GE Aviation has reported a 39 per cent drop in revenues in the third quarter compared to the year-before period, to US$4,919 million.
There were 385 fewer engine sales year-on-year. This included sales of 172 LEAP-1A and -1B units, which were down 283 from last year. Services revenues were also down, primarily due to lower commercial spare part shipments and decreased shop visits.
Profits dropped 79 per cent year-on-year to US$356 million, while orders were down 54 per cent to US$4,072 million, with declines of approximately 60 per cent in both the Commercial Engines and Services business units.
The decrease was primarily attributed to lower volume on commercial spare part and commercial spare engine shipments, and decreased shop visits in service agreements.
In the first nine months, revenues fell 32 per cent year-on-year to US$16,196 million. Profits fell 86 per cent to US$681 million, while orders decreased 41 per cent to US$15,259 million.
GE’s chairman and CEO H. Lawrence Culp, Jr. noted that aviation was the company’s only business sector not to see organic margin expansion in the quarter.
Discussing the overall business position, he said: “We are managing through a still-difficult environment with better operational execution across our businesses, and we are on track with our cost and cash actions.
“While our work continues, GE’s transformation is accelerating. We remain focused on unlocking upside potential for the long term.”