- Tools for Investors
- Stock News
- Investing Ideas
- Econ & Policy
- Personal Finance
S&P 500 (NYSE:SPY) component General Electric Company (NYSE:GE) reported higher profit for the third quarter as revenue showed growth. General Electric is an advanced technology, services and finance company that provides services ranging from aircraft engines to business and consumer financing.
Earnings season is back and more important than ever. Get our newest CHEAT SHEET stock picks now
General Electric Company Earnings Cheat Sheet
Results: Net income for the diversified operations rose to $3.49 billion (33 cents per share) vs. $3.22 billion (22 cents per share) in the same quarter a year earlier. This marks a rise of 8.3% from the year-earlier quarter.
Revenue: Rose 2.8 percent to $36.35 billion from $35.36 billion.
Actual vs. Wall St. Expectations: General Electric Company reported adjusted net income of 36 cents per share. By that measure, the company fell short of mean estimate of 37 cents per share. It fell short of the average revenue estimate of $36.8 billion.
Quoting Management: “The overall environment remains challenging, but GE continues to execute on our growth strategy,” said GE Chairman and CEO Jeff Immelt. “GE’s Industrial segments delivered another quarter of strong organic revenue growth, and we ended the quarter with a robust backlog. As expected, our margins increased 70bps over the prior year period, with margin expansion in all five Industrial segments.”
Last quarter’s profit increase ends a three-quarter streak of profit decreases. In the second quarter, net income fell 17.5% from the year earlier, while the figure dropped 11.6% in the first quarter and 17.8% in the fourth quarter of the last fiscal year.
After beating analyst estimates for the two previous quarters, the company fell short of forecasts. In the second quarter, it topped the mark by one cent, and in the first quarter, it was ahead by one cent.
Looking Forward: For next quarter, analysts have a more positive outlook about the company’s expected results. The average estimate for the fourth quarter is 47 cents per share, up from 46 cents ninety days ago. Over the past sixty days, the average estimate for the fiscal year has reached $1.55 per share, a decline from $1.56.
Stocks with improving earnings metrics are worthy of your extra attention. In fact, “E = Earnings Are Increasing Quarter-Over-Quarter” is a core component of our CHEAT SHEET investing framework for this very reason. Don’t waste another minute — click here and get our CHEAT SHEET stock picks now.
(Company fundamentals provided by Xignite Financials. Earnings estimates provided by Zacks)
Don’t Miss These Additional Hot Stories:
Don't miss one of the biggest bull markets in history! Covers Gold, Silver, Gold & Silver stocks, and miners.
There's always a bull market in some sector! Find the best opportunities in commodities.