General Electric Earnings: Here’s Why Shares are Up Now
General Electric Co. (NYSE:GE) delivered a profit and met Wall Street’s expectations, AND came up short on beating the revenue expectation. The revenue miss is a negative sign to shareholders seeking high growth out of the company. Shares are up 2.12%.
General Electric Co. Earnings Cheat Sheet
Results: Adjusted Earnings Per Share decreased 5.26% to $0.36 in the quarter versus EPS of $0.38 in the year-earlier quarter.
Revenue: Decreased 3.78% to $35.12 billion from the year-earlier quarter.
Actual vs. Wall St. Expectations: General Electric Co. reported adjusted EPS income of $0.36 per share. By that measure, the company met the mean analyst estimate of $0.36. It missed the average revenue estimate of $35.58 billion.
Quoting Management: “In the second quarter, GE achieved Industrial segment profit growth in six of seven businesses, reduced structural costs, and continued to invest in growth,” said GE Chairman and CEO Jeff Immelt. “We executed in a business environment that was slightly improved versus the first quarter. Emerging markets remain resilient, and in the U.S. we saw strong growth in orders this quarter. Europe is stabilizing but still challenged. We expect margin expansion to continue and segment profits to grow in the second half of the year.”