Financial Performance - Total revenue for Q4 2025 was $12.7 billion, an increase of 18% year-over-year, while full-year revenue reached $45.9 billion, also up 18%[5] - GAAP profit for Q4 2025 was $2.9 billion, a 24% increase from the previous year, with full-year profit at $10.0 billion, up 31%[5] - Continuing EPS for Q4 2025 was $2.31, reflecting a 32% increase, and full-year EPS was $8.05, also up 32%[5] - Total revenue for 2025 reached $12,717 million, an 18% increase from $10,812 million in 2024[26] - Adjusted revenue for 2025 was $11,865 million, up 20% from $9,879 million in 2024[26] - Net income for 2025 was $2,452 million, representing a 29% increase from $1,905 million in 2024[30] - Operating profit for 2025 was $2,273 million, a 14% increase compared to $1,988 million in 2024[26] - Adjusted net income for 2025 was $1,667 million, an increase from $1,433 million in 2024[30] Orders and Revenue Segments - Total orders in Q4 2025 amounted to $27.0 billion, a 74% increase, contributing to full-year orders of $66.2 billion, up 32%[5] - Commercial Engines & Services (CES) revenue for Q4 2025 was $9.5 billion, a 24% increase, with full-year CES revenue at $33.3 billion, also up 24%[13] - Defense & Propulsion Technologies (DPT) orders for Q4 2025 were $4.6 billion, a 61% increase, with full-year DPT orders at $13.4 billion, up 19%[15] Cash Flow and Assets - Free cash flow for Q4 2025 was $1.8 billion, a 15% increase, with full-year free cash flow at $7.7 billion, up 24%[5] - Free cash flow (FCF) for the three months ended December 31, 2025, was $1,760 million, a 15% increase from $1,529 million in 2024; for the twelve months, FCF was $7,694 million, up 24% from $6,203 million in 2024[33] - Cash flows from operating activities (CFOA) for the three months ended December 31, 2025, were $2,096 million, a 59% increase from $1,318 million in 2024; for the twelve months, CFOA was $8,543 million, a 47% increase from $5,817 million in 2024[33] - Total assets increased to $130,169 million in 2025 from $123,140 million in 2024[19] - Current liabilities rose to $38,980 million in 2025, up from $34,392 million in 2024[19] - Total liabilities increased to $111,271 million in 2025, compared to $103,576 million in 2024[19] - Retained earnings grew to $87,663 million in 2025, up from $80,488 million in 2024[19] Future Guidance and Investments - The company expects adjusted revenue growth for 2026 to be in the low double digits, with adjusted EPS guidance of $7.10 to $7.40[9] - The company is investing over $1 billion in its global Maintenance, Repair and Overhaul (MRO) network, including significant investments in LEAP capacity[6] - The company expects to provide guidance for 2026 operating profit, adjusted EPS, and free cash flow, but cannot reconcile non-GAAP measures to GAAP due to uncertainties[35][36][38] Corporate Strategy and Communication - The company has a global installed base of approximately 50,000 commercial and 30,000 military aircraft engines, emphasizing its leadership in aerospace propulsion[47] - The company is committed to innovation in aerospace, focusing on future flight technologies and safety[47] - The company will discuss its results during an investor conference call, which will be available via webcast[46] - The company encourages investors to visit its investor relations website for updated financial information[44]

Core Viewpoint - GE Aerospace forecasts annual profit exceeding estimates, driven by robust demand for high-margin aftermarket parts and services as airlines are expected to prioritize maintenance spending due to aircraft supply constraints [1] Group 1 - Strong demand for aftermarket parts and services is a key driver of profit growth for GE Aerospace [1] - Airlines are likely to increase maintenance spending in response to ongoing aircraft supply constraints [1]

Group 1 - GE Aerospace is set to release its fourth-quarter earnings on January 22, with expected earnings of $1.43 per share, an increase from $1.32 per share in the same period last year [1] - The consensus estimate for GE Aerospace's quarterly revenue is $11.21 billion, up from $9.88 billion reported last year [1] - GE Aerospace announced a deal with Delta Air Lines for GEnx engines to power 30 new Boeing 787-10s, which includes options for 30 more aircraft and long-term service support [2] Group 2 - UBS analyst maintained a Buy rating and raised the price target from $366 to $368 [4] - Citigroup analyst maintained a Buy rating but cut the price target from $386 to $378 [4] - Susquehanna analyst initiated coverage with a Positive rating and a price target of $386 [4] - B of A Securities analyst maintained a Buy rating and raised the price target from $310 to $365 [4] - JP Morgan analyst maintained an Overweight rating and raised the price target from $275 to $325 [4]

Group 1 - GE Aerospace is set to release its fourth-quarter earnings on January 22, with expected earnings of $1.43 per share, an increase from $1.32 per share in the same period last year [1] - The consensus estimate for GE Aerospace's quarterly revenue is $11.21 billion, up from $9.88 billion reported last year [1] - On January 13, GE Aerospace announced a deal with Delta Air Lines for GEnx engines to power 30 new Boeing 787-10s, which includes options for 30 more aircraft and long-term services support [2] Group 2 - UBS analyst maintained a Buy rating and raised the price target from $366 to $368 [4] - Citigroup analyst maintained a Buy rating but cut the price target from $386 to $378 [4] - Susquehanna analyst initiated coverage with a Positive rating and a price target of $386 [4] - B of A Securities analyst maintained a Buy rating and raised the price target from $310 to $365 [4] - JP Morgan analyst maintained an Overweight rating and raised the price target from $275 to $325 [4]

If you want full access to all our reports, data and investing ideas, join The Aerospace Forum , the #1 aerospace, defense and airline investment research service on Seeking Alpha, with access to evoX Data Analytics, our in-house developed data analytics platform.GE Aerospace ( GE ) has been one of my favorite aerospace stocks. However, in October I downgraded the stock from buy to hold as the company’s stock price showed overvaluation against expected earningsDhierin-Perkash Bechai is an aerospace, defense ...

Group 1 - The fourth quarter earnings season is gaining momentum, with major financial institutions like Charles Schwab and regional banks such as Fifth Third set to report results, alongside Netflix and Intel, which are expected to be focal points [1][5] - An optimistic consensus is emerging, with 7% of S&P 500 companies having reported fourth quarter results as of January 16, and analysts projecting an 8.2% increase in earnings per share for the quarter, marking the 10th consecutive quarter of annual earnings growth for the index [2] - Analysts had initially anticipated an 8.3% increase in earnings per share heading into the reporting period, a decrease from the previous quarter's 13.6% growth rate, but expectations have been raised recently, particularly for technology companies [3] Group 2 - The current earnings season is expected to test the improved stock market breadth observed at the beginning of 2026, with ongoing themes from 2025, such as artificial intelligence and economic policies, continuing to influence market dynamics [4] - This week's earnings releases will also include reports from notable companies such as United Airlines, 3M Company, D.R. Horton, Johnson & Johnson, GE Aerospace, Procter & Gamble, Abbott Laboratories, and Capital One [5]

Group 1 - The core point of the article is that GE has consistently outperformed Wall Street's earnings estimates for 12 consecutive quarters [1]

Core Viewpoint - GE Aerospace's earnings must exceed mere stock price increases for bullish investors to regain confidence [1] Group 1 - The company is facing pressure to deliver strong earnings results that can sustain investor interest and confidence [1] - There is a need for GE Aerospace to demonstrate consistent performance beyond short-term stock price fluctuations [1] - The current market sentiment indicates that investors are looking for more substantial evidence of growth and profitability [1]

Core Viewpoint - GE Aerospace is expected to report strong growth in its fourth quarter 2025 financials, supported by solid demand and operational efficiency, despite recent subdued share performance [1][5]. Financial Performance - For the first nine months of 2025, adjusted revenue increased by 21% year-over-year, with operating margins expanding by 140 basis points, indicating volume growth and operational efficiency [2]. - Adjusted earnings per share surged nearly 46%, showcasing strong operating leverage within the business [2]. - Free cash flow reached $5.9 billion, and the company exited the third quarter with a $175 billion backlog, providing a robust foundation for future revenue growth [2]. Market Sentiment - The ongoing momentum in GE's businesses is expected to contribute to strong growth in Q4, with the stock's 14-day Relative Strength Index (RSI) at 59.55, indicating potential for upward movement if results exceed expectations [3]. - Derivatives markets anticipate a moderate reaction to the earnings release, with options pricing suggesting a post-earnings move of approximately 4.6% in either direction [4]. Business Drivers - GE Aerospace's business is benefiting from a large installed base of aircraft engines, strong demand for aftermarket services, and a steady recovery in engine deliveries, which are expected to support revenue growth and profitability [5]. - Strength is anticipated across major operating segments, particularly in the Commercial Engines & Services business, driven by rising services revenue and improving equipment sales [6]. - Increased demand for servicing and spare parts, as more engines cycle through Maintenance, Repair, and Overhaul facilities, is allowing the company to capitalize on higher volumes and favorable pricing conditions [6].

Core Viewpoint - GE Aerospace is experiencing significant financial growth, with free cash flow conversion exceeding 130%, leading to increased shareholder returns since its spin-off from General Electric in 2024 [1] Financial Performance - The company reported a 26% increase in revenue to $11.3 billion and a 26% rise in operating profit to $2.3 billion for the third quarter [4] - Adjusted earnings per share surged 44% to $1.66 [4] - The stock has returned 71% over the last 12 months, with adjusted earnings expected to grow by 35.6% in 2025 following a 63.7% increase in 2024 [3] Shareholder Returns - GE Aerospace has committed to returning $24 billion to shareholders from 2024 to 2026, representing a 20% increase from initial plans [2] Market Position - The company operates the largest installed base of commercial jet engines globally, with 78,000 engines powering three out of every four commercial aircraft [5] - The extensive fleet generates predictable high-margin services revenue [5] Upcoming Expectations - Analysts forecast revenue in Q4 to increase to $11.2 billion from $9.88 billion year-over-year, with adjusted earnings per share expected to rise to $1.43 from $1.32 [6] Supply Chain Improvements - Services revenue increased by 28% due to improved material availability and increased shop visits, with internal shop visit revenue growing by 33% [8] - Spare parts sales rose by 25% as supply chain constraints eased, and LEAP engine deliveries surged by 40% year-over-year in Q3 [8]