GE Aerospace Stock Price, News & Analysis

GE HealthCare reported a strong financial performance for Q1 2023, with revenues of $4.7 billion, an 8% increase year-over-year. Organic revenue growth reached 12%, significantly aided by improved supply chain fulfillment. Net income attributable to the company was $372 million, a decline from $389 million in Q1 2022. Diluted EPS fell to $0.41 from $0.86 in the previous year, primarily due to a noncontrolling interest redemption. However, Adjusted EBIT rose to $664 million, reflecting an increase in operational efficiency, while cash flow from operations remained steady at $468 million.

The board declared a dividend of $0.03 per share, and the company maintains its organic revenue growth guidance for 2023 between 5% to 7%.

GE Aerospace has entered a four-year Global Performance-Based Logistics agreement with Lockheed Martin to maintain and overhaul avionics and electrical power systems on the F-35 Lightning II globally. This initiative aims to enhance the reliability and readiness of the expanding F-35 fleet while making operations more affordable. Under this agreement, GE will provide services from multiple locations across California, Georgia, Utah, and various sites in Michigan, New York, and the United Kingdom. GE Aerospace has been a key player in supporting F-35 systems, including the electrical power management and aircraft memory systems.

GE Aerospace has entered a three-year agreement with AJW Group to provide support for avionics and electrical power systems on B777, B737, and A320/30/40 aircraft. This collaboration aims to address the increasing demands from MRO customers and will be effective this year across Europe, the Middle East, and Africa (EMEA). GE's selection was based on their superior turnaround time and repair capability. Key systems included in the deal are Electrical Load Management Systems, Flight Management Systems, and Data Control Display Units. The service will be conducted at GE's facility in Cheltenham, UK.

GE Renewable Energy’s Grid Solutions unit has secured HVDC contracts valued at approximately 10 billion euros as part of a consortium with Sembcorp Marine and McDermott. These projects are part of TenneT's 2GW Program aimed at connecting 40 GW of offshore wind farms in the North Sea. The initiatives will enhance Europe's energy security and contribute to achieving climate neutrality by 2050. The agreements are based on a five-year framework with potential extensions, highlighting GE’s advanced Voltage-Sourced Converter technology. This marks a significant milestone in the development of renewable energy infrastructure in Europe.

GE and Svante have announced a joint development agreement to innovate solid sorbent technologies for carbon capture in natural gas power generation. This collaboration supports GE's investment in Svante's $318 million Series E fundraising round, completed in December 2022. GE’s goal is to lead the energy transition, aiming to provide sustainable and reliable electricity, leveraging its extensive experience in the energy sector. Svante's advanced filters can capture CO2 from various industrial processes and are applicable to 85% of the carbon capture market. This partnership is expected to enhance the decarbonization efforts of natural gas-fired turbines.

GE announced the addition of two new directors to its Board: Darren McDew, retired General from the U.S. Air Force, and Jessica Uhl, former CFO of Shell plc. McDew brings 36 years of military leadership experience, while Uhl has over 20 years in the energy sector. They will enhance GE’s expertise in aerospace and energy as the company prepares to launch GE Aerospace and GE Vernova as independent entities. Retiring directors Francisco D’Souza and Leslie Seidman completed 10 and 5 years, respectively. Their departure marks a significant transition as GE strengthens its financial and operational foundations.

Air India has finalized a significant order with GE Aerospace, comprising 40 GEnx-1B and 20 GE9X engines, alongside a multi-year TrueChoice™ engine services agreement. This deal aligns with Air India's purchase of 20 Boeing 787 and 10 Boeing 777X aircraft. Additionally, Air India placed a record order for over 800 LEAP engines, marking the largest LEAP order for its 210 Airbus A320/A321neo and 190 Boeing 737 MAX aircraft. GE claims these engines are more fuel-efficient and eco-friendly, supporting Air India's Vihaan.AI transformation plan aimed at expanding its fleet and modernizing operations.