GE Aerospace surpassed revenue and earnings estimates last quarter as orders soared, though it lowered its departures outlook due to the Iran war.
Earnings per share increased 25% year-over-year to US$1.86, surpassing Zacks consensus estimates of $1.61. Revenue rose 29% to $11.61 billion, beating estimates by 9.13%.
“GE Aerospace had a strong first quarter with orders growing 87% and revenue up 29%, supporting double-digit growth in earnings and free cash flow,” said chair and CEO Larry Culp.
“Our young and diverse fleet coupled with a $170 billion commercial services backlog positions us well to navigate the current operating environment.”
The surge in orders included agreements to provide LEAP-1A engines to American Airlines and GEnx engines to United Airlines and Delta Air Lines.
Its total backlog is more than $210 billion, the company said, up from $190 billion at the end of 2025’s fourth quarter.
Overall operating profit was up 18% to $2.5 billion, with both major segments reporting double-digit percentage growth.
GE Aerospace has reduced its full-year departures guidance, forecasting a low double-digit decline for Middle Eastern departures amid the Iran war. It expects flat to low single-digit departure growth, compared with its prior outlook of mid single-digit growth.
The company said it would otherwise maintain its guidance, and said it was trending towards the higher end of its outlook. It projects earnings per share of $7.10-7.40 and operating profit of $9.85-10.25 billion.
GE Aerospace (NYSE: GE) shares closed 5.6% lower at $286.73, but rose 1% after-hours. Its market capitalisation is $299.58 billion.
