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Babcock & Wilcox Enterprises Inc. (NYSE:BW) shares jumped 31.82% to $4.93 in the after-hours session on Tuesday. The company closed regular trading at $3.74. B&W released four announcements on Tuesday: a $1.5 billion AI data center contract with Applied Digital Corp. (NASDAQ:APLD), third-quarter earnings results, the $29 million sale of the Allen-Sherman-Hoff business, and plans to redeem all remaining February 2026 bonds. Check out the current price of BW stock here. According to Benzinga Pro data, BW closed regular trading at $3.74, down $0.18 or 4.59%. One Gigawatt Power Generation Deal Babcock & Wilcox signed a limited notice to proceed with Applied Digital to supply and install natural gas technology capable of generating one gigawatt of energy for an AI data center project. The company will design and build four 300-megawatt natural gas-fired power plants featuring proven boilers and steam turbines. Operations are expected to begin in 2028, with the full contract expected to be finalized in the first quarter of 2026. $10 Billion Pipeline Expansion Kenneth Young, Babcock & Wilcox's chairman and chief executive officer, said, "Our solutions for AI Data Centers are proven technologies that utilize natural gas efficiently while providing reliable, redundant and readily available power faster than combined-cycle or simple-cycle plants." The deal adds more than $3 billion to B&W's pipeline, bringing its global total to over $10 billion. See Also: Tempus AI Stock (TEM) Slides 6% Overnight: Here's Why The Stock Is Trending Strong Q3 Performance The Ohio-based company reported third-quarter revenues of $149.0 million, with operating income surging 306% to $6.5 million from $1.6 million year-over-year. Adjusted earnings before interest, taxes, depreciation, and amortization (EBITDA) were $12.6 million versus $8.0 million, significantly outperforming company and consensus expectations. Loss per common share was $0.06 compared to $0.13 in the prior year period. Debt Reduction Progress B&W completed asset sales of Diamond Power International for $177 million and Allen-Sherman-Hoff for $29 million. The energy technology company also intends to redeem any remaining February 2026 bonds in December 2025 after paying down $70 million in bonds that were due in October of that year. Bond Redemption Notice B&W also issued a notice of redemption for the entire $26 million principal amount owed on its 8.125% Senior Notes due in 2026 in a separate press release. On December 5, 2025, the redemption will take place at 100% of the principal amount plus interest that has accumulated. There won’t be any notes left over after completion. Stock Performance Babcock & Wilcox shares have gained 116.18% year to date. With a market capitalization of $378.1 million, B&W shares have traded between $0.22 and $4.12 over the past 52 weeks. With a strong Momentum in the 99th percentile, Benzinga’s Edge Stock Rankings indicate that BW has a positive price trend across all time frames. Know how its momentum lines up with other well-known names. Read Next: What Drove Zeta Global's Nearly 8% After-Hours Surge? Photo Courtesy: Xharites on Shutterstock.com
