GE(US:GE)2025-10-21 10:23Financial Performance - Total revenue for Q3 2025 reached $12.2 billion, a 24% increase year-over-year, with adjusted revenue at $11.3 billion, up 26%[4] - GAAP profit for the quarter was $2.5 billion, reflecting a 33% increase, while adjusted EPS rose 44% to $1.66[4] - Total revenue for Q3 2025 reached $12,181 million, a 24% increase from $9,842 million in Q3 2024[22] - Adjusted revenue for Q3 2025 was $11,305 million, up 26% from $8,943 million in Q3 2024[22] - Operating profit for Q3 2025 was $2,299 million, reflecting a 26% increase compared to $1,818 million in Q3 2024[22] - Adjusted net income for Q3 2025 was $1,764 million, a 41% increase from $1,255 million in Q3 2024[23] - Free cash flow (FCF) for Q3 2025 was $2,362 million, representing a 30% increase from $1,820 million in Q3 2024[27] - Profit margin (GAAP) for Q3 2025 improved to 20.7%, up 150 basis points from 19.2% in Q3 2024[22] - Adjusted operating profit margin for Q3 2025 remained stable at 20.3% compared to Q3 2024[22] - The company reported a conversion rate of free cash flow at 134% for Q3 2025[27] Orders and Revenue Growth - Total orders amounted to $12.8 billion, a 2% increase, with Commercial Engines & Services (CES) orders at $10.3 billion, up 5%[4][12] - CES revenue grew 27% to $8.9 billion, driven by a 28% increase in services revenue and a 33% rise in internal shop visit revenue[12] - Defense & Propulsion Technologies (DPT) revenue increased 26% to $2.8 billion, with operating profit up 75% to $386 million[14] Future Outlook - GE Aerospace raised its full-year 2025 guidance, expecting adjusted revenue growth in the high-teens and adjusted EPS between $6.00 and $6.20[8] - The company expects significant growth in operating profit and adjusted EPS for 2025, although specific GAAP reconciliations cannot be provided due to uncertainties[28][29] Strategic Initiatives - The company secured significant new engine orders, including a historic deal with Korean Air for 103 Boeing aircraft[5] - GE Aerospace completed its first supersonic test campaign and announced a partnership with BETA Technologies for hybrid electric flight development[5] - The company plans to use adjusted revenue and operating profit as performance metrics for its annual executive incentive plan for 2025[22] Operational Focus - The operating profit margin for CES improved by 170 basis points to 27.4% in Q3 2025[12] - GE Aerospace has an installed base of approximately 49,000 commercial and 29,000 military aircraft engines[39] - The company employs around 53,000 people, leveraging over a century of innovation in aerospace[39] Risks and Challenges - Forward-looking statements indicate potential impacts from macroeconomic conditions, including inflation and supply chain disruptions[33] - Risks include changes in demand for air travel and the financial strength of key aerospace industry participants[33] - Future financial performance may be influenced by global economic trends and geopolitical risks, including sanctions and trade tensions[33] - The company does not undertake to update its forward-looking statements, acknowledging potential discrepancies with actual results[34] Commitment to Innovation - The company is focused on executing planned transactions and capital allocation strategies, including dividends and share repurchases[33] - GE Aerospace is committed to research and development for new products and services, aiming for cost-effective launches[33] - The company emphasizes operational execution amidst market growth and the ramping of newer product platforms[33] Additional Information - Additional financial information is available on GE Aerospace's investor relations website[36]