General Electric beats by $0.01, misses on revs
Reports Q3 (Sep) earnings of $0.38 per share, excluding non-recurring items, $0.01 better than the Capital IQ Consensus of $0.37; revenues rose 1.4% year/year to $36.17 bln vs the $36.86 bln consensus.
- Industrial sales of $26.0 bln increased 3% YoY.
- Industrial segment profits rose 9% in the third quarter to $4.3 bln and industrial segment margins expanded 90 basis points.
- Industrial segment organic revenue growth was 4%.
- Orders were up 22% in the quarter, with increases in five of six segments. Growth market orders rose 34% with increases in five of nine growth regions. GE expects industrial organic revenue growth for the year to be at the higher end of the 4-7% range.
- GE's backlog of equipment and services at the end of the quarter was a record $250 bln, up $21 bln over the year-ago period.
- GECC revenues of $10.5 bln decreased 1% from last year.
- Company is on track to meet its 2014 goal of $14-$17 bln in CFOA.
- GE ended the quarter with $90 bln of consolidated cash and cash equivalents.
- Our total-year framework is intact, GE expects Alstom to be accretive to earnings in 2015, and add $0.06-0.09 per share in 2016.
- Through these transactions, GE is executing on its strategy to achieve 75% of its earnings from its Industrial businesses by 2016.