The world of energy generation is evolving rapidly, fueled by the increasing demand for power from a variety of sectors, especially data centers and artificial intelligence (AI). Cameron Frymyer, the Chief Financial Officer (CFO) of Babcock and Wilcox, recently spoke with FintechTV’s J.D. Durkin to discuss the company’s pivotal role in this transition, especially following his momentous occasion of ringing the closing bell on Wall Street for the first time.
As a seasoned player in the power sector, Babcock and Wilcox specializes in generating steam for energy production. The company is strategically positioned to meet the surging energy demands associated with modern technology, particularly in the realm of data centers, which are increasingly reliant on high-capacity energy to operate effectively. During our conversation, Frymyer shared insights into the firm’s ambitious objectives for the upcoming years, highlighting their recent projects aimed at providing 1.2 gigawatts of energy through partnerships with significant entities like Applied Digital.
Looking back at 2025, Frymyer highlighted the challenges the company faced with a balance sheet that reflected approximately $380 million in debt due in 2026. However, through strategic asset sales and careful financial planning, Babcock and Wilcox successfully reduced their debt by about $250 million and deferred an additional $100 million to 2030. This financial restructuring not only strengthened the company’s balance sheet but also positioned them as a robust and responsive provider in the power generation market.
In the face of unprecedented demand from AI applications and data centers, Babcock and Wilcox has committed to increasing their service and power generation capabilities. The projected shift towards higher reliance on fossil fuels for energy generation also complements the company’s growth trajectory in providing essential services. Frymyer underscored the importance of adapting to the emerging demands and opportunities within the energy sector, citing AI as a major driver that has significantly reshaped their business landscape over the past year.
The road to developing impactful partnerships is seldom easy, but Frymyer explained that the relationship with Applied Digital has been a culmination of years of collaboration between the two companies. The initiation of projects that leverage Babcock and Wilcox’s ability to provide timely energy solutions has opened avenues for potentially lucrative contracts, with expected revenues of $1.5 billion over three years as they move forward.
As we stride further into a digital and AI-driven future, the focus on sustainability investing continues to rise. Babcock and Wilcox’s efforts align not only with the immediate financial goals but also with broader social goals under the Sustainable Development Goals (SDGs). Their commitment to innovation in power generation helps tackle key challenges faced in the industry, reinforcing their role in the transformation towards sustainable energy solutions coupled with financial viability.
Cameron Frymyer’s insights provide a clear perspective on how Babcock and Wilcox is adapting to the evolving needs of energy generation while positioning itself for future growth. Their experience underscores the importance of strategic innovation in the power sector as it responds to the demands of an increasingly technology-driven world. The firm is set to continue leveraging its unique capabilities to not only meet client needs but to also create lasting impacts on the global energy landscape.
As the intersection between finance, technology, and sustainability continues to deepen, companies like Babcock and Wilcox will be crucial in the journey towards a greener, more efficient future.