General Electric Co (GE) on Wednesday reported higher quarterly profit on 30% due to good performance of the aviation business, but gave worse-than-expected profit forecast for the year 2020.
income from continuing operations attributable to equity holders of GE, has grown to 663 million dollars in the fourth quarter ended 31 December 2019, compared with 509 million dollars a year earlier.
income from continuing operations per share increased to 7 cents from 6 cents, the company said. Adjusted earnings per share were 21 cents. Total revenue decreased by approximately 1% to 26,24 billion.
"We achieved or exceeded our financial targets for the year 2019 and are on a positive growth trajectory in 2020. We are proud of our progress, including decisive actions to reduce our leverage and strengthen our business. Our work is ongoing, but dedicated team of GE, exceptional technology and a global network make me more confident than ever," said Chairman and chief Executive officer, GE H. Lawrence Culp, Jr.
In 2020, the company expects adjusted earnings per share from 0.50 to 0.60 US dollar and free cash flow 2 to $ 4 billion.
This forecast depends on the return to service of Boeing 737 MAX, which GE expects in mid-2020. GE plans to offset the negative effects from the freezing of production and service 737 max by increasing productivity and reducing costs.
Previously coalsalesthat Ukrzaliznytsya, the Ministry of infrastructure of Ukraine and the company Wabtec (GE Transportation) on December 30 signed a Memorandum of understanding providing for the strengthening of joint work to conclude contracts for the supply in 2020, 40 new locomotives of the TE AC 33, manufactured by General Electric and the provision of maintenance services for 70 of these locomotives.
