10-Q · August 3, 2026
BWXT delivered $901.625 million of Q2 revenue, up 18.0% year over year, and operating income of $114.136 million, up $11.712 million; the resulting 12.7% operating margin improved from 11.0% a year ago and 9.9% in Q1…
Earnings analysis · 10-Q
BWXT earnings analysis
Filed August 4, 2026 · Our reading of the company's report
The latest report
BWXT posted a strong Q2, with revenue rising 18.0% year over year to $901.625 million and operating margin improving to 12.7% from 11.0% a year earlier and 9.9% in Q1 2026. Commercial Operations was the clear driver,…
Read full summary
BWXT posted a strong Q2, with revenue rising 18.0% year over year to $901.625 million and operating margin improving to 12.7% from 11.0% a year earlier and 9.9% in Q1 2026. Commercial Operations was the clear driver, delivering 71.7% revenue growth and a 410-basis-point margin increase, while Government Operations remained highly profitable but experienced a 100-basis-point margin decline. Liquidity improved, with $625.101 million of cash and investments and $249.0 million of six-month operating cash flow, although $2.2564 billion of backlog is unfunded and the company anticipates significant 2026 cash deployment for PCG.
Gross and operating margin
How much of each revenue dollar the business keeps.
One point per quarterly or annual filing. Both margins are shares of that report's revenue.
From revenue to operating profit
Where each $100 of revenue went in this report.
Cost of sales, operating expenses, and what remained. Figures are rounded to whole dollars.
Where revenue came from
The business segments reported by the company.
Shares of the segments disclosed in this filing, largest first.
How we read each report
Our analysis across the last few reports.
Our model's reading of each filing, not the share price or the market's reaction. Annual and quarterly reports each occupy one position.
Reported figures
- Earnings per share
- $1.07
What stood out
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Revenue growth accelerated to 18% YoY
Q2 revenue rose $137.586 million, or 18.0% year over year, to $901.625 million. Revenue also increased 4.8% from $860 million in Q1 2026.
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Margins and EPS improved materially
Operating income increased $11.712 million to $114.136 million, producing a 12.7% operating margin versus 11.0% in Q2 2025 and 9.9% in Q1 2026. Diluted EPS was $1.07, above the $1.04 consensus estimate.
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Commercial Operations drove profit growth
Commercial Operations revenue grew $126.373 million, or 71.7%, to $302.512 million, while operating income rose $17.455 million to $24.332 million. Its operating margin expanded 410 basis points to 8.0%.
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Liquidity and working capital strengthened
Cash, cash equivalents, restricted cash and investments increased $109.654 million to $625.101 million at June 30, 2026. Working capital increased $108.5 million to $996.8 million.
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Operating cash flow increased
Six-month operating cash flow increased $39.3 million to $249.0 million, driven by timing of vendor payments, customer billings and project cash flows, plus higher net income.
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Backlog expanded to $8.4 billion
Total backlog increased $1.137 billion from $7.261 billion at December 31, 2025 to $8.398 billion at June 30, 2026, including Government Operations backlog of $6.798 billion.
What to watch
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Government segment margin contracted
Government Operations revenue increased only $12.332 million, or 2.1%, to $601.291 million, while operating income declined $3.739 million to $105.678 million. Segment margin fell 100 basis points to 17.6%, reflecting favorable prior-year contract adjustments.
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Government backlog has funding uncertainty
Of the $8.3981 billion backlog at June 30, 2026, $2.2564 billion was unfunded U.S. Government backlog. The filing notes that government programs remain subject to annual appropriations and can be cancelled, modified or delayed.
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Convertible dilution and debt maturities
BWXT has $1.25 billion of 0% convertible notes due 2030, plus $400 million of 4.125% notes due 2028 and $400 million of 4.125% notes due 2029. The convertibles initially convert at $262.51 per share, creating potential dilution above that threshold.
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Pension funding remains a cash call
The filing reports no material changes to risk factors from the 2025 10-K, but the company expects pension and postretirement contributions of approximately $15.8 million for the remainder of 2026 and has $152.0 million of underfunded plan obligations.
Management's outlook
The 10-Q provides no explicit revenue or EPS outlook. Management expects to recognize approximately 55% of its $8.3981 billion June 30, 2026 backlog by the end of 2027 and states it expects a significant cash investment during 2026 for the PCG acquisition completed July 1, 2026.
Earlier filings 4
10-Q · May 4, 2026
BWX Technologies reported robust Q1 2026 results with revenues of $860.2 million, a 26.1% increase year-over-year, and EPS of $1.12, exceeding expectations markedly. The Commercial Operations segment saw a significant…
10-K · February 23, 2026
BWXT reported a strong FY2025 top-line with pro forma revenue of ~$3.20B (sum of four quarters) and materially expanded backlog to $7,260.7 million at December 31, 2025 (up from $4,843 million at year-end 2024).…
10-Q · November 3, 2025
BWXT reported a strong top-line quarter with revenues of $866,286,000 (Q3 2025) versus $671,956,000 a year ago (+$194,330,000, +28.9%), and diluted EPS rose to $0.89 from $0.76 a year ago. Operating income improved to…
This is our reading of a public filing, not the filing itself. Analysis can contain errors; check the source document for full context.