General Electric Stock Earnings Reports

GE Aerospace started 2026 with strong operational and financial momentum. Orders jumped 87% (CES +93%, DPT +67%) and revenue rose 29% driven by commercial engine services (CES) and defense, with EPS up 25% to $1.86 and free cash flow up 14% to $1.7B. Flight Deck initiatives and supplier collaboration materially improved output (total engine deliveries +43%) and shop turnaround times, while GE announced $1B of U.S. manufacturing investments plus $100M for suppliers. Commercial services backlog exceeds $170B and total company backlog is over $210B, providing multiyear visibility. Spare parts demand remains strong (spare parts orders +30% year-over-year since March) but supply constraints have increased delinquency ~70% vs 2024; GE says >95% of Q2 spare parts revenue is already in backlog and ~two-thirds of engines slated for 2026 shop visits are currently off wing, giving high near-term visibility into services revenue. Management is maintaining full-year guidance (low double-digit revenue growth range, profit $9.85–$10.25B, EPS $7.10–$7.40, FCF $8.0–$8.4B) but revised the departures assumption to flat to low single-digit growth (down from mid-single-digit) due to the Middle East conflict, and expects the impact on services to lag air traffic changes (potential effects more likely in 2H/2027). Key program notes: LEAP aftermarket margins are improving with a path to peer CES margins by ~2028; GE9X durability issue (mid-seal) is understood, modification underway, and management expects no change to previously communicated schedule or loss outlook for the program in 2026. Overall risks: near-term geopolitical/fuel-driven demand weakness that could push demand into future periods, existing spare parts delinquency that must be worked down, and continued supplier coordination to sustain ramp.