General Electric (NYSE:GE) jumped Tuesday after the company posted stronger-than-expected earnings for the second quarter. GE also boosted its full-year profit guidance on the back of strong demand from aerospace and record orders in its renewable energy business.
Revenue climbed 18% from a year earlier to $16.7 billion, compared with the consensus estimate of $15.15 billion.
Earnings adjusted for one-time items were $0.68 a share, beating the consensus estimate of $0.46 a share.
"GE's second-quarter performance was strong, building on our first-quarter momentum and marking a solid first half of the year,” said CEO Lawrence Culp. “We are raising our full-year guidance as market strength and the lean transformation within our more focused businesses drive significant profit and cash improvement across GE.”
GE’s adjusted EPS guidance is now in a range of $2.10 to $2.30, up from $1.70 to $2 previously. It forecast organic revenue, which strips out foreign-exchange moves, to rise by a low dougle-digit percentage, up from the high-single-digit range expected earlier this year.
The company’s aerospace revenue rose 28% from a year earlier to $7.86 billion on stronger demand for aircraft engines. Orders climbed 37% to $9.45 billion.
GE Vernova, which makes power generators and other equipment, saw renewable energy revenue rise 24% to $3.85 billion. Its power segment’s revenue slipped 1% to $4.15 billion.
GE shares jumped $7.40, or 6.7%, to $117.65.
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