Baker Hughes Company

Baker Hughes Company (NASDAQ: BKR) is a United States-based energy technology company headquartered in Houston, Texas, formed in 1987 from the merger of Baker International and Hughes Tool. Employing approximately 55,000 people across 120+ countries, it operates more than 100 high-end component manufacturing, assembly and testing facilities worldwide, including a 55,000-tonne-per-year chemicals facility on Jurong Island, Singapore. FY2025 revenue reached USD 27.80 billion with a record USD 32.4 billion order backlog.

Business Overview

Baker Hughes has evolved from an oilfield-services stalwart into an industrial-energy technology leader. Its Industrial and Energy Technology (IET) segment won USD 14.9 billion in 2025 orders and dominates LNG turbomachinery: more than 60 large LNG plants worldwide run on its centrifugal and axial compressors, representing over 440 MTPA of installed drive capacity - an unrivalled franchise in the global LNG buildout. The company also supplies gas turbines, power generation packages, pumps, and valves across refining, petrochemical, and industrial process markets.

Bently Nevada condition-monitoring systems remain the industry standard for rotating-equipment diagnostics, installed across refineries, power plants, and LNG facilities worldwide. The company integrates compressor assembly, specialty chemicals production (over 100 intermediate and blend chemistries from its Jurong Island plant), and digital monitoring platforms (APM, pipeline integrity, emissions management) into a single full-stack delivery chain, creating durable service annuities and cross-selling economics.

In offshore energy, Baker Hughes commands roughly 26 percent of the global subsea services market, one of the few suppliers able to deliver integrated subsea production networks - trees, wellheads, manifolds and control systems - at scale. In October 2025 it won a multi-year Petrobras contract to supply integrated subsea production equipment and intelligent well-completion tools for Brazil's deepwater pre-salt fields, and it demonstrated comparable delivery capability on the third phase of the Sakarya gas development in the Black Sea. Its new 49,000-square-meter subsea manufacturing and service hub near Stavanger, Norway - equipped with 22,500 psi test capability and powered by renewable energy - anchors North Sea deepwater delivery.

Competitive Advantages

In April 2026, Baker Hughes inaugurated a 49,000-square-meter subsea manufacturing and service hub near Stavanger, Norway, equipped with 22,500 psi test capabilities and powered by 100% renewable energy, strengthening deepwater delivery in the North Sea. The company also captured about USD 1 billion in new orders in 2025 by bringing heavy power equipment into AI data-center applications, expanding beyond traditional hydrocarbon end-markets. Its Oilfield Services and Equipment segment continues to supply well construction, completion, subsea production systems, and flexible pipe technologies globally.

The record USD 32.4 billion backlog - roughly 1.2 times annual revenue - provides exceptional visibility, and the IET franchise increasingly resembles an industrial-tech business rather than a pure oilfield service provider, trading on structural LNG and energy-transition demand.

Outlook and Risks

Roughly two-thirds of revenue still tracks oil and gas capex, exposing results to hydrocarbon price cycles and operator budget decisions. However, LNG expansion (including Qatar, United States, and East Africa projects), industrial energy transition, and the AI data-center power opportunity provide strong multi-year growth drivers. The company is also investing in hydrogen compression, carbon capture, and geothermal technologies to broaden its transition portfolio, while maintaining disciplined capital allocation with growing free cash flow.

Based on LNG leadership and backlog quality, Baker Hughes achieves a VerityRank Score of 89/100.