Home Stocks General Electric Company Edges Lower On Revenue Miss

General Electric Company Edges Lower On Revenue Miss

General Electric released its first quarter earnings report before opening bell this morning, posting earnings of 21 cents per share on $27.6 billion in revenue. Analysts had been expecting earnings of 19 cents per share and $28.2 billion in revenue.

General Electric swings to profit

GE’s reported earnings were 2 cents per share, compared to last year’s losses of 45 cents per share. The company’s Industrial segments recorded 2 cents per share in negative impacts from currency exchange. The Industrial segment’s organic revenues declined 1% year over year, although management is leaving its framework at a 2% to 4% gain as they expect to log higher power shipments in the second half of the year.

General Electric saw a 1% increase in orders but a 7% decline organically. Services grew 4% organically, while the Power segment surged 25% year over year. GE’s Renewable Energy business skyrocketed 88% in the first quarter, while GE Digital orders grew 29% to $1.2 billion. The company had a backlog of $316 billion, an 18% increase year over year or 7% excluding Alstom, which had an impact of losses of 1 cent per share. General Electric said Alstom is on track to deliver earnings of 5 cents per share this year, however.

GE Capital signed $166 billion in asset sales and closed $146 billion, which puts the company ahead of management’s plan. General Electric reported that Verticals are performing well, contributing 5 cents per share in earnings and growing 67% in the first quarter.

Highlights on first quarter deals

The company took six orders for six HA turbines in the U.S. and shipped four turbines. It has a backlog of 35 orders as well. In Renewable Energy, General Electric received more than 1,550 megawatts of orders for onshore wind, and in Healthcare, the company saw an 8% increase in U.S. equipment orders. China orders grew 11%, while Bioprocess orders increased 7%, excluding currency exchange.

GE Capital had a 14.5% Tier 1 Common Ratio at the end of the quarter and paid dividends of $7.5 billion to the parent company in the first quarter.

General Electric shares edged lower by 0.87% to $30.71 in premarket trading this morning.

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