10-KPeriod: FY2024

GENERAL ELECTRIC CO Annual Report, Year Ended Dec 31, 2024

Filed February 3, 2025For Securities:GE

Summary

General Electric Company (GE Aerospace) reported robust revenue growth for the fiscal year ending December 31, 2024, with total revenue reaching $38.7 billion, an increase of 9% year-over-year. This growth was primarily driven by the Commercial Engines & Services segment, which saw a 13% increase in revenue, fueled by higher spare parts volume, improved pricing, and increased shop visit workscope. The Defense & Propulsion Technologies segment also contributed positively with a 6% revenue increase. The company generated significant free cash flow of $6.1 billion in 2024, an increase from $4.7 billion in the prior year, reflecting strong operational performance and disciplined capital allocation. GE Aerospace also announced a new $15 billion share repurchase authorization, underscoring its commitment to returning capital to shareholders. Despite supply chain constraints impacting new engine deliveries, the company's extensive remaining performance obligation of $171.6 billion highlights strong future demand across its business segments.

Financial Statements
Beta
Revenue$38.70B
R&D Expenses$1.29B
SG&A Expenses$4.44B
Operating Expenses$33.35B
Operating Income$6.67B
Net Income$6.56B
EPS (Basic)$6.04
EPS (Diluted)$5.99
Shares Outstanding (Basic)1.08B
Shares Outstanding (Diluted)1.09B

Key Highlights

  • 1Total revenue increased by 9% to $38.7 billion, primarily driven by growth in the Commercial Engines & Services segment.
  • 2Free cash flow reached $6.1 billion, a substantial increase from $4.7 billion in the prior year, indicating strong operational cash generation.
  • 3The company announced a new $15 billion share repurchase authorization, signaling confidence and a commitment to shareholder returns.
  • 4Remaining Performance Obligation (RPO) grew to $171.6 billion, demonstrating a strong backlog and robust future demand.
  • 5GE Aerospace continued to invest in R&D, with total R&D expenses reaching $2.7 billion, with a significant portion allocated to sustainable flight technologies like the RISE program.
  • 6The company effectively managed its debt, reducing total borrowings to $19.3 billion from $20.5 billion at the end of the previous year.
  • 7Despite ongoing supply chain challenges impacting new engine deliveries, the company's services business showed resilience, contributing significantly to revenue and profit.

Frequently Asked Questions

GE Aerospace reported a strong financial performance for the fiscal year ending December 31, 2024. Total revenue increased by 9% to $38.7 billion. The company generated $6.1 billion in free cash flow and announced a significant $15 billion share repurchase authorization, reflecting confidence in its operational execution and financial health.

Revenue growth was primarily driven by the Commercial Engines & Services segment, which saw a 13% increase. This was fueled by higher spare parts volume, improved pricing strategies, and an increased volume of shop visit workscope. The Defense & Propulsion Technologies segment also contributed positively with a 6% revenue increase, supported by services growth and improved pricing.

GE Aerospace acknowledges ongoing supply chain constraints that have impacted new engine deliveries. The company is actively investing in its manufacturing and overhaul facilities, and collaborating with suppliers to improve material input and manage inflationary pressures. While these challenges persist, the services business has demonstrated resilience.

GE Aerospace's Remaining Performance Obligation (RPO) stood at $171.6 billion as of December 31, 2024. This substantial backlog, with a significant portion expected to be recognized in the coming years, indicates strong future demand across both the commercial and defense segments, providing a solid foundation for future revenue and earnings.