Baker Hughes Boasts Backlog Gains, Warns on Iran War's Effects

---

Written by Will Ploch, Assistant Editor-in-Chief for IIR News Intelligence (Sugar Land, Texas)

---

Summary

Baker Hughes continued its run of record-setting backlog growth amid soaring demand for LNG and other energy resources, but executives acknowledged the ongoing conflict in the Middle East will continue to present challenges.

---

LNG Drives Hot Streak in Orders

Rising demand for services related to liquefied natural gas (LNG) and other energy sources buoyed Baker Hughes in the first quarter, with the provider reporting record orders for its related businesses. According to Industrial Info Resources data, Baker Hughes is involved in nearly US$100 billion worth of active and proposed projects across the U.S. and Canada.

Baker Hughes reported total orders (also called bookings) of US$8.16 billion for the first quarter, led by its Industrial & Energy Technology (IET) segment, which hit a record of $4.9 billion. Lorenzo Simonelli, the chief executive officer of Baker Hughes, said in a quarterly earnings-related conference call that this marks the IET segment's third consecutive quarter with bookings of more than US$4 billion.

"This performance reflects ongoing strength across energy infrastructure, highlighted by US$1.4 billion in Power Systems orders and further progress in LNG, gas infrastructure and CCS [carbon capture and storage]," Simonelli said. "IET also reported a book-to-bill of 1.5 for the quarter." The book-to-bill ratio measures new bookings over a specific period to products or services shipped and invoiced (billings) during the same period; a ratio or more than one usually points to strong demand and a growing backlog.

Simonelli also pointed to US$1.2 billion in quarterly global bookings related to LNG development: "We recently entered into a strategic agreement with ST LNG to provide critical gas compression and power generation solutions for their proposed 8.4 million-ton-per-annum LNG export terminal offshore Texas," named Matagorda. As proposed, the four-phase project involves constructing one 2.1 million-ton-per-annum liquefaction unit per year through 2029.

Many factors still could delay or otherwise alter the project's timeline, but ST LNG expects to make its final investment decision in the coming months. Industrial Info Resources is tracking all four phases of Matagorda. For more information, the Industrial Info Resources Global Market Intelligence (GMI) Oil & Gas Project Database offer details--including key components, investment values and necessary equipment--in project reports for Phase I, Phase II, Phase III and Phase IV.

Other U.S LNG projects featuring Baker Hughes' services include the Port Arthur LNG complex, a joint venture between Sempra Infrastructure and ConocoPhillips on the Texas Gulf Coast, for which Baker Hughes is supplying the main refrigerant compressors. For more information, readers can consult a detailed list of project reports and the April 22, 2026, article - Port Arthur LNG on Track to Bolster U.S. Role in Energy Exports.

By the Numbers

• Nearly US$100 billion: Total investment in U.S. and Canadian projects featuring Baker Hughes, according to Industrial Info Resources data
• US$8.16 billion: Baker Hughes' total global bookings for the first quarter
• US$1.2 billion: Baker Hughes' total quarterly bookings related to LNG development

Hormuz Crisis Spurs Diversified Approach

Executives were blunt about the challenges presented to the global energy sector from the ongoing violence in the Middle East, particularly the political furor surrounding the Strait of Hormuz. Simonelli and his peers said they assume the U.S.-Iranian war will continue at least through June, and they do not expect the Strait--which is a key chokepoint for the global crude oil market--to be fully operational until months later.

This view is shared widely: Last week, the Federal Reserve Bank of Dallas released a survey of about 100 oil and gas executives, of which more than 75% said they do not expect the Strait of Hormuz will reopen before August.

"Disruptions across critical energy corridors, including the Strait of Hormuz, have tightened global oil and LNG balances, leading to sharp price increases," Simonelli said in the earnings call. "These developments have heightened inflationary pressures, which would present downside risk to global economic growth should the conflict persist over an extended period."

Simonelli also acknowledged the conflict likely will make energy security a "foundational priority" for governments and industry worldwide, "driving greater emphasis on diversifying oil and gas supply sources and increased investment in power and energy infrastructure, while also supporting continued development of lower carbon solutions such as geothermal, nuclear and grid modernization."

To that end, Baker Hughes is partnering with FERVO Energy on the latter's Cape Station Power Plant in Milford, Utah, which is set to become the first enhanced geothermal power plant to be built in the U.S. on a commercial scale. Baker Hughes agreed last year to deliver five closed-loop, thermodynamic units to the project, each of which would generate 60 MW. For more information, readers can consult a detailed plant profile and project report.

Baker Hughes reported total revenues for first-quarter 2026 of US$6.59 billion, a 2% increase from the same period last year; net income stood at US$930 million, more than double the US$402 million in first-quarter 2025.

The Industrial Info Resources GMI Project and Plant databases offer a full list of detailed reports for projects mentioned in this article, and a full list of related plant profiles.

Industrial Info Resources also offers a full list of reports for active and proposed projects across the U.S. and Canada that feature Baker Hughes' services.

Key Takeaways

• Baker Hughes' Industrial & Energy Technology segment reported record bookings for first-quarter 2026.
• Company executives do not expect the Strait of Hormuz will reopen fully before August.
• Acknowledging the need for diversified energy development, Baker Hughes is at work on geothermal and other non-carbon projects.

---

About Industrial Info Resources
Industrial Info Resources (IIR) is the leading provider of industrial market intelligence. Since 1983, IIR has provided comprehensive research, news, and analysis on the industrial process, manufacturing, and energy-related industries. IIR's Global Market Intelligence (GMI) helps companies identify and pursue trends across multiple markets with access to real, qualified, and verified plant and project opportunities. Across the world, Industrial Info Resources is tracking over 250,000 current and future projects worth $30.2 trillion (USD).