Adjustments for Non-Cash Items [USD, Millions]

Stock-Based Compensation [USD, Millions]

Changes in Working Capital [USD, Millions]

Capital Expenditures (CapEx) [USD, Millions]

Proceeds from / Repayments of Debt [USD, Millions]

Share Repurchases [USD, Millions]

Dividend Payments [USD, Millions]

Net Change in Cash [USD, Millions]

f60d355d105f0625cbe7b740aae20582da9db42320d85757b763862213f53cb8

Total Revenue [USD, Millions]

Cost of Goods Sold (COGS) [USD, Millions]

SG&A [USD, Millions]

R&D [USD, Millions]

D&A [USD, Millions]

Interest Expense [USD, Millions]

Operating Income (EBIT) [USD, Millions]

Net Income [USD, Millions]

EPS - Basic [USD]

EPS - Diluted [USD]

700693bef79bc72d6c7d12461349164fef83b151f78c97e069693e9abaa4d1b5

c3f83b3eeae13e6ad9a181e215285e2f7e2aa003262f07b7a4f1deaafa911faa

5500434785ac9f98c6832ad3387dd3d201c213c6f30f01b957dbed99094f9722

United States

Non-U.S. Regions

- Europe

- China

- Asia (excl. China)

- Americas (excl. U.S.)

- Middle East and Africa

Total Non-U.S. Revenue

Total Revenue

cce6732cacf5baac71983934c361833fce8e301776dc3e23a9c933299e112860

Number of Commercial Engines Delivered (units)

Number of LEAP Engines Delivered (units)

Number of Defense Engines Delivered (units)

Internal Shop Visit Growth Rate (percentage)

e22de1505e9d184b7432127e7fe10e456643be55a658963b66d2e40922b6b47d

d923a61c5b9d6fdd8d528ab8dd267a16b0602e9d26349851b0f063c543085268

**GE's Q2 2024 results show a significant decline in equipment revenue due to lower new engine deliveries—which included a **26% year-over-year decline in commercial engine shipments and a **29% drop in LEAP engine shipments**—that notably impacted total revenue. This decrease in equipment revenue was partly offset by higher services revenue driven by increased internal shop visit volume, higher pricing, and a favorable mix. However, this decline in equipment revenue is the primary reason behind the notably low total revenue figure reported for Q2 2024.  **[0000040545-24-000176_ge-20240630.htm:4]** **[0000040545-24-000176_ge-20240630.htm:52]** **[GE_3393923_3]** **[0000040545-24-000176_ge-20240630.htm:7]** **

Why was Total Revenue so low in Q2 2024?

The negative **Cost of Equipment Sold** in Q2 2024 is explained by a combination of operational and market factors. Specifically, there was an **11% decrease in equipment revenue**, driven by a **26% reduction in engine shipments** and a **29% drop in LEAP engine deliveries**, which meant fewer units were produced and delivered, thereby significantly lowering associated production costs. Additionally, persistent **supply chain challenges**, adjustments in **customer mix and pricing**, and improved productivity through initiatives like **FLIGHT DECK** further contributed to this negative figure.  **[GE_3393923_3]** **[0000040545-24-000176_ge-20240630.htm:9]** 

Why is Cost of Equipment Sold negative in Q2 2024?

The documents show conflicting figures for Q2 2024. One document reports **SG&A expenses as (319.00) million**  **[0000040545-24-000176_ge-20240630.htm:22]** , while another discussion states that GE’s SG&A expenses were **$2,269 million** in Q2 2024, an increase of **$127 million** compared to Q2 2023.  **[0000040545-24-000113_ge-20240331.htm:52]** **[0000040545-24-000176_ge-20240630.htm:4]**  The documents do not provide a detailed explanation for the negative figure. It is possible that the negative value reflects a unique accounting adjustment or one‐time transactions such as restructuring or separation activities, but the documents do not definitively clarify the reason for the negative amount.  **[0000040545-24-000176_ge-20240630.htm:22]** **[0000040545-24-000176_ge-20240630.htm:4]** 

Why are SG&A expenses negative in Q2 2024?

The documents show that **Sales of Services** in Q2 2024 were **$2,463 million** compared to **$9,164 million** in Q2 2023; however, the explanation provided does not indicate that the change was due to a drop—instead, it outlines factors that contributed to a **14% year-over-year growth** in services revenue. In other words, the documents attribute the change to increased internal shop visits, improved pricing, a favorable customer and work scope mix, higher spare parts demand, and strong orders momentum.  **[0000040545-24-000176_ge-20240630.htm:4]** **[GE_3393923_8]** **[GE_3393923_1]** **[GE_3393923_14]** **[GE_3393923_3]**  There is no definitive information in the documents that directly explains a dramatic drop in Sales of Services in Q2 2024.

What caused Sales of Services to drop dramatically in Q2 2024?

The sharp decline in **Net Earnings** in Q1 2024 was primarily driven by a **$5.3 billion decrease in gains on retained and sold ownership interests**, mainly tied to GE HealthCare’s equity position, along with an **increase of $0.2 billion in separation costs**. These negative impacts were partly offset by modest gains in segment profit, the nonrecurrence of preferred stock dividends, an increase in adjusted total corporate operating profit, and an uplift in insurance profit.  **[0000040545-24-000113_ge-20240331.htm:4]** **[0000040545-24-000113_ge-20240331.htm:5]** 

What led to the sharp decline in Net Earnings in Q1 2024?

8994cda6fa90f46ec8ad23bd38b57f0e253b4d1fc25a99b25cdd5f7bbea07917

The significant turnaround in GE’s operating cash flow in Q1 2024 was primarily driven by a **substantial increase in net income** (supported by higher segment profits and favorable adjustments for non-cash items).  **[0000040545-24-000113_ge-20240331.htm:20]** **[0000040545-24-000113_ge-20240331.htm:4]**  Additionally, there were **working capital improvements**—with progress collections and deferred income surging significantly (by **$1,095 million** versus **$205 million** in Q1 2023), current receivables falling by **$235 million**, and accounts payable rising by **$111 million**.  **[0000040545-24-000113_ge-20240331.htm:54]**  Moreover, a **reduction in other operating activities** (reflecting lower employee benefit liabilities, restructuring charges, and changes in deferred assets) coupled with the **non-recurrence of unfavorable items** from Q1 2023 further contributed to the improved operating cash flow.  **[0000040545-24-000113_ge-20240331.htm:20]** **[0000040545-24-000113_ge-20240331.htm:21]** 

What drove the significant turnaround in Operating Cash Flow in Q1 2024?

Operating Cash Flow in Q4 2024 is notably lower than in Q4 2023 because of significant changes in working capital and cash usage. In Q4 2024, GE experienced increased current receivables and higher inventories—driven by higher volume and increased material purchases—which absorbed cash and lowered overall operating cash inflows. Additionally, although there was improved net income and operational efficiency (for example, in GE Aerospace), the impact of these positive factors was partly offset by changes in progress collections and a decline in restructuring and separation cash expenditures (which fell from **$204 million** in Q4 2023 to **$85 million** in Q4 2024).  **[0000040545-24-000027_ge-20231231.htm:81]** **[0000040545-25-000015_ge-20241231.htm:74]** **[0000040545-25-000015_ge-20241231.htm:26]** **[0000040545-25-000009_ge4q2024earningsrelease.htm:9]** 

Why is Operating Cash Flow in Q4 2024 notably lower than in Q4 2023?

The decline was largely driven by two components. One factor was the **working capital changes**, which resulted in a negative impact (approximately **$(0.4) billion** overall, with components such as **current receivables** and **inventories** contributing negatively) compared to the prior year. The other key factor was the **decline in “All Other Operating Activities”**—this component fell from a positive **$743 million** in FY 2023 to a negative **$(326) million** in FY 2024. This drop was primarily due to **lower gains on purchases and sales of business interests** as well as a **decrease in employee benefit liabilities and other deferred assets**.  **[0000040545-25-000015_ge-20241231.htm:26]** **[0000040545-25-000015_ge-20241231.htm:74]** 

What factors contributed to the decline in FY 2024 Operating Cash Flow?

The provided documents do not include any information regarding free cash flow or the reasons for its drop in FY 2024 [N/A].

What led to the drop in Free Cash Flow in FY 2024?

The documents do not provide any definitive explanation for a drastic fall in Depreciation and Amortization in Q2 2024. One source indicates a figure of **23.00 million USD** for Q2 2024  **[0000040545-24-000176_ge-20240630.htm:24]** , while another shows that the figure was **401 million USD** in Q2 2024—only a **7 million USD** increase from **394 million USD** in Q2 2023.  **[0000040545-24-000176_ge-20240630.htm:24]**  There is no explanation or additional context given that would explain a drastic decline.

Why did Depreciation and Amortization fall so drastically in Q2 2024?

e711f0353070a922470a79143a2faa567b33a40a29c2e1f603d64c6f57d47be4

GE’s cash balance increased significantly in Q1 2024 mainly because the company generated strong cash from operating activities while also realizing a sizeable inflow from investing activities. In detail, GE generated **$1,024 million** from operations, benefiting from earnings growth and working capital improvements, and received **$769 million** from investing activities, primarily due to proceeds from the sale of GE HealthCare stock. Although there was a modest use of cash in financing activities and a small negative impact from currency fluctuations, these factors combined to result in a net increase of **$1,480 million** in its cash, cash equivalents, and restricted cash during the period.  **[0000040545-24-000113_ge-20240331.htm:53]** **[0000040545-24-000113_ge-20240331.htm:54]** **[0000040545-24-000112_ge1q2024earningsrelease.htm:0]** **[0000040545-24-000113_ge-20240331.htm:4]** 

Why did cash increase significantly in Q1 2024?

The sharp decline in GE’s current investment securities in Q4 2024 was primarily driven by the sale of **GE HealthCare equity shares**, which dramatically reduced their value. This reduction was further compounded by a decrease in investment values due to **higher market yields**, with the impact only partially offset by new investments in GE's run-off insurance operations.  **[0000040545-25-000015_ge-20241231.htm:90]** **[0000040545-25-000015_ge-20241231.htm:89]** 

What drove the sharp decline in current investment securities in Q4 2024?

In Q2 2024, GE’s significant drop in total assets was primarily driven by **four key factors**. First, GE completed the **spin-off of its GE Vernova business** on April 2, 2024, which removed the associated assets from its consolidated financial statements.  **[0000040545-24-000176_ge-20240630.htm:27]** **[0000040545-24-000166_gevoluntaryfinancials-exve.htm:1]**  Second, there was a **reclassification of discontinued operations**, evidenced by a drastic fall in the assets of discontinued operations from **$47,927 million** to **$1,817 million**.  **[0000040545-24-000176_ge-20240630.htm:23]**  Third, GE experienced a **reduction in its cash, cash equivalents, and investment securities**, contributing further to the decline.  **[0000040545-24-000176_ge-20240630.htm:23]**  Finally, the **assets held for sale** decreased significantly, from **$541 million** to **$137 million**.  **[0000040545-24-000176_ge-20240630.htm:23]** **[0000040545-24-000176_ge-20240630.htm:27]** 

What factors contributed to the drop in total assets in Q2 2024?

The increase in short-term borrowings in Q4 2024 was primarily driven by a significant rise in **senior unsecured borrowings**—which jumped from **$1,044 million in 2023 to $1,952 million in 2024 (an increase of $908 million)**—and by an additional increase in **subordinated notes and other borrowings** (up from **$27 million to $87 million, a $60 million increase**). These changes reflect GE’s strategic reliance on short-term debt markets to fund its operations and financial obligations.  **[0000040545-25-000015_ge-20241231.htm:96]** **[0000040545-25-000015_ge-20241231.htm:24]** 

What caused the increase in short-term borrowings in Q4 2024?

1c926950f50398ca05deacd06f95299fe2700f24b9e0013b7f8ecdbbcdcd8610

a93bbc9c25c5ec78636cb7c2a38460d261751b1d25b95790a0d631c31509af71

Total Revenue (USD, millions)

Net Earnings (Loss) (USD, millions)

ed746d1a367e2d6a324c58d440bdaba87303d3260e8e3991174e57765193e474

General Electric Co (GE)

Financials