Baker Hughes announced first-quarter 2026 revenue of $6.59 billion, up 2.5% year-over-year, surpassing analyst expectations by $260 million. The lift was largely credited to a surge in LNG and gas equipment orders, which helped offset weakness in its Oilfield Services segment caused by Middle East disruptions. Industry-wide drilling activity has been dampened by tensions in the Middle East, a challenge echoed by peers SLB and Halliburton . Despite these headwinds, Baker Hughes' diversified portfolio has allowed it to maintain momentum. Key Data First-quarter non-GAAP earnings per share reached $0.58, beating estimates by $0.09, while adjusted net income climbed 12% year-over-year to $573 million. The Industrial & Energy Technology (IET) segment drove the majority of growth, recording revenue of $3.35 billion, a 14% increase from the prior year. Orders in IET rose to $4.89 billion, reflecting a 54% year-over-year jump, largely driven by LNG, gas technologies, and sub-utility power generation. In contrast, the Oilfield Services and Equipment (OFSE) segment saw a 7% decline in revenue. Major contracts included compressor technology for QatarEnergy LNG's North Field West project and a five-year services award from Petrobras . The company is also investing in digital-first asset management through Cordant and AI partnerships such as C3 AI, and in hydrogen-ready turbines, carbon capture, utilization, and storage technologies to support its net-zero ambitions. Looking ahead, Baker Hughes aims for 20% EBITDA margins by 2026-2028, leveraging expansion in LNG, digital solutions, and new energy frontiers like hydrogen and carbon capture. The firm's focus on decarbonization and digital innovation positions it well to capture growth opportunities in a shifting energy landscape.