Highlights

  • Third quarter 2026 net sales were $1,167.9 million, compared with $742.7 million a year earlier, and net income was $109.2 million.
  • Net income for the nine months was $83.3 million, compared with $136.9 million, as SG&A and interest expense both increased.
  • Management expects full-year 2026 revenue of $3.9 billion to $4 billion and adjusted EBITDA of $780 million to $800 million.
  • Equipment order backlog was $8.0 billion at quarter end, and equipment order intake was $2.2 billion in the third quarter.

INNIO N.V. (NASDAQ: INIO) shares were trading at USD 16.45 on October 27, 2026, down 1.11%, with a relative volume at time of 2.66. The gas engine maker closed its initial public offering on June 5, 2026, completed an acquisition on September 30, 2026, and filed its quarterly report for the quarter ended September 30, 2026 on October 27, 2026, alongside a raised full-year outlook.

INNIO is incorporated in the Netherlands and lists principal executive offices in Munich, Germany and Waukesha, Wisconsin. It provides reciprocating gas engine solutions under the Jenbacher and Waukesha brands for data centers, power generation and compression, and reports two segments, Equipment and Services. It employed 5,642 full-time equivalents in 22 countries at September 30, 2026. Its fiscal year ends December 31.

Third Quarter Results

Net sales for the three months ended September 30, 2026 were $1,167.9 million, compared with $742.7 million. Sales of equipment and products were $777.6 million, up 86.3%, and sales of services were $390.3 million, up 20.0%. Gross profit was $367.7 million, compared with $240.6 million. Operating income was $193.6 million, compared with $92.6 million, and net income was $109.2 million, compared with $39.5 million.

SG&A expenses were $142.6 million, compared with $119.0 million, and interest expense and related financing costs, net, were $46.9 million, compared with $34.9 million. Adjusted EBITDA, a non-GAAP measure, was $245.4 million, compared with $144.2 million, and Adjusted EBITDA margin was 21.0%, compared with 19.4%.

Nine Months, Balance Sheet and Cash Flow

For the nine months, net sales were $2,774.2 million, compared with $1,896.2 million, and operating income was $301.8 million, compared with $268.6 million. Net income was $83.3 million, compared with $136.9 million. SG&A increased 63.1% to $517.8 million, which the company attributed to more full-time equivalents, salary inflation and professional service costs related to its IPO. Interest expense and related financing costs, net, increased 100.9% to $170.6 million, including costs of the February 2026 refinancing.

Cash and cash equivalents were $1,195.8 million at September 30, 2026. Net cash provided by operating activities was $741.5 million for the nine months, compared with $309.4 million, and net cash used for investing activities was $243.3 million. The Euro Term Loan B of €1,100.0 million and a consolidated $1,339.5 million U.S. dollar Term Loan B now mature in November 2031. A €300.0 million revolving facility package was amended in June 2026, with the €210.0 million revolving credit facility undrawn at quarter end.

The company said it believes existing cash and positive operating cash flows will be sufficient for at least the next 12 months.

IPO and Acquisition

The IPO consisted of 103,500,000 common shares sold by its principal shareholder at $27.00 per share, including the underwriters' option in full. INNIO did not receive any proceeds from the sale. On September 30, 2026, it acquired the Enerflex Asia Pacific aftermarket business, with consideration of approximately $61.6 million, and net cash paid of $44.6 million funded from cash on hand.

Outlook and Management Commentary

On the earnings call, management said it raised full-year 2026 revenue guidance to between $3.9 billion and $4 billion from $3.8 billion to $3.9 billion. It said adjusted EBITDA is now expected at $780 million to $800 million, an increase of $60 million at the midpoint, and that it targets deliveries of approximately 4.5 GW for 2026, including approximately 1.5 GW in the fourth quarter.

Management reported equipment order backlog of $8.0 billion, compared with $3.3 billion a year earlier. It said its largest customer accounted for approximately 41% of order intake in 2025. The filing notes that larger data center projects with a limited number of customers expose the company to greater potential volatility if projects are delayed, cancelled or changed.