Meeting Expectations, GE's 3Q Net Leaps 57%
Blue-chip conglomerate General Electric (NYSE:GE) met Wall Street’s expectations on Friday by posting a 57% jump in third-quarter earnings and projected more growth ahead for 2012.
The Fairfield, Conn.-based maker of everything from jet engines and nuclear power plants to microwaves said it earned $3.22 billion, or 22 cents a share. Excluding one-time items, it earned 31 cents a share, matching consensus calls from analysts.
Revenue flatlined at $35.37 billion, surpassing the Street’s view of $34.94 billion.
“We are pleased to deliver our sixth consecutive quarter of double-digit operating earnings growth in a volatile macro environment,” CEO Jeff Immelt said in a statement. “We improved earnings, achieved solid double-digit infrastructure order growth, executed on our balanced capital allocation plan and maintained a strong balance sheet.”
Nearly all of GE’s business segments grew revenue last quarter, led by a 48% surge in transportation to $1.3 billion and a 30% leap in energy to $10.9 billion. GE’s finance arm, GE Capital, posted flat revenue of $11.1 billion.
Looking ahead, GE projected double-digit operating EPS growth for 2012 despite the sluggish economic recovery.
“We continue to successfully navigate a volatile global economy,” said Immelt. “We are well positioned to execute on our operating framework in 2011 and achieve double-digit operating EPS growth in 2012.”
Shares of GE declined 1.08% to $16.45 ahead of the opening bell, putting them on track to erase some of their four-week gain of over 10%. Year-to-date the stock has fallen 9%.