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Power
Power
Transcript
2023 Q1
26 Apr 23
As we said in March, we see an inflection to profitability from renewables in '24 from higher U.S. volume, price and continued cost out.
reaffirm profit in RE in 2024
Transcript
2023 Q1
26 Apr 23
we still expect Offshore to remain a near-term challenge as we execute our initial projects and improve our learning curve, both in terms of product cost and operational capabilities. Scott and the team are laser-focused on managing project costs and disbursements while improving our underwriting processes.
offshire still a challenge
Transcript
2023 Q1
26 Apr 23
Onshore, we're executing the strategy we shared with you in March.
Focusing on select markets with a simplified range of product offerings, this in turn is yielding better margins in our backlog for longer-term profitable growth. And this quarter, we saw both sequential and year-over-year margin improvement, mostly in U.S. equipment. And we continue to drive pricing with positive price/cost.
onshore more focused, margin improving , positive price/cost
Transcript
2023 Q1
26 Apr 23
cluding 2 large HVDC orders needed to connect new renewable sources to the Grid. Onshore equipment orders also increased with North America growing more than threefold
orders to connect RE sources to GRd, onshore equipment orders increased
Transcript
2023 Q1
26 Apr 23
renewables
renewables
Transcript
2023 Q1
26 Apr 23
GE Aerospace.
GE Aerospace
Transcript
2023 Q1
26 Apr 23
Commercial Engines and Services performance was particularly robust with 35% revenue growth. Commercial Engines revenue grew over 30% with LEAP deliveries up over 50%. To support our customers, LEAP spare engine deliveries will be more first half loaded, but we expect this to normalize in the second half, remaining roughly in line with 2022 for the full year.
leap engine h1 weighted, so earnings headwinds
Transcript
2023 Q1
26 Apr 23
Based on this performance and market demand, we are raising the low end of our full year adjusted EPS range by $0.10 and our free cash flow range by $200 million.
So we now expect adjusted EPS of $1.70 to $2 and free cash flow of $3.6 billion to $4.2 billion.
raising low end of guidance -- earnings and fcf
Transcript
2023 Q1
26 Apr 23
djusted costs were down over 10% year-over-year, primarily driven by ongoing cost-out efforts and interest income as well as improvement in digital.
For the year, we expect costs of around $600 million, half the amount in 2021 and in line with reduced corporate needs and progress setting up stand-alone cost structures.
corpoorate costs coming down
Transcript
2023 Q1
26 Apr 23
Orders increased 26%, all segments up. Equipment was up significantly led by renewables, almost doubling its order intake. Notably, grid booked 2 large HVDC orders with Tenet and U.S. Onshore Wind is seeing the initial positive impact of the Inflation Reduction Act, including higher margin orders
orders growth led by RE -- grid and onsjore wind
Transcript
2023 Q1
26 Apr 23
Further, we also continued to simplify the balance sheet, partially monetizing our AerCap stake, closing out our Baker Hughes stake and calling half of the preferreds.
sold some aercap stock and its baker hughes stake
Transcript
2023 Q1
26 Apr 23
Market demand continues to be strong, though the first quarter was impacted by supply chain and inflationary challenges. Orders were up high single-digits year-over-year. This was driven by high single-digit growth in Healthcare Systems and mid-single digits in PDx. Elective procedure volumes recovered from January. COVID cases subsided in February and March, with volumes improving sequentially, though hospital staffing shortages continue. Revenue was up 2%, with services growing low single-digit and equipment flat. Growth was impacted by the continued supply chain constraints, primarily in electronics, COVID impact in certain China regions, further limiting what we can buy and ship, and affecting revenue toward quarter end, lower volume in Russia and Ukraine, a region that accounts for about 2% of Healthcare's annual sales. And finally, COVID has delayed site readiness and some equipment installations, mainly due to customers' labor and construction material shortages. Absent these constraints, we estimate that the revenue growth would have been about 7 to 8 points higher or a year-over-year growth of approximately 9%. Segment margin was significantly impacted by increased material and logistics inflation, which net of our sourcing actions resulted in a headwind of about 4 points. We've been leveraging every tool at our disposal within our control. This includes: price actions, which are showing early success; qualifying alternative parts; redesigning product configuration; and reducing discretionary spend. The Healthcare team remains focused on innovation and commercial growth investments, with R&D investments up double-digits this quarter. A couple of key solution highlights from the quarter include: the FDA approval of the Entitled Control Software platform to automate anesthesia delivery and a subscription model for our handheld ultrasound tools.
Looking ahead, our current view at Healthcare is that supply and inflationary challenges will persist at some level through 2022. Sequential improvement depends on supply chain constraints easing, especially in China, and our ability to leverage lean to improve output and strengthen our pricing discipline.
healthcare, rev growth impsatedby 7-8 points, mgn hit by material/logistics impact, ukraine
Transcript
2022 Q1
20 Mar 23
Turning to the quarter, both orders and revenue were up over 20%. Equipment orders were robust, now with almost 10,000 LEAP engines in backlog. Commercial services and equipment revenue grew about 30% and military revenue was up about 20%. And services internal shop visits were up 25% and external part sales were up more than 20%.
In equipment, commercial units were up nearly 30% with LEAP units, up almost 50%
aerospace orders.revenue, LEAP
Transcript
2022 Q4
2 Feb 23
Onshore, we expect more than 50% orders growth in North America this year. And based on the orders we have in hand, we are confident of delivering over 2,000 units globally with North American volume more than doubling in the second half versus the first half of the year.
RE-- onshore orders up 50% in NA in 2023
Transcript
2022 Q4
2 Feb 23
Looking ahead today, GE and CFM departures are close to 90% of ‘19 levels and we expect to be back to ‘19 levels later this year. In ‘23, internal shop visits are expected to grow about 20% and external spare part sales are expected to increase. With commercial engines growing at about 20% and services at high-teens to about 20% plus military growing at a high single-digit rate, we expect total aerospace revenue to be in the mid to high-teens and we expect LEAP engine deliveries to grow about 50% in ‘23.
We also expect to deliver profit of $5.3 billion to $5.7 billion and higher free cash flow. Aligned to current airframe or aircraft delivery schedules, AD&A is expected to be about $0.5 billion outflow in 2023.
shop visits, and aerospace oiutlook
Transcript
2022 Q4
2 Feb 23
We also expect a significant step up in profit driven by lower warranty and related reserves, better price and restructuring benefits
lower warrantt costs at RE
Transcript
2022 Q4
2 Feb 23
Pete, just as we head into spin here, we've had a number of companies in the medical device space report already as well as several large hospital customers. And I think I would classify the environment right now is highly mixed
health demand?
Transcript
2022 Q3
8 Nov 22
e expect free cash flow in a range of $2.1 billion to $2.3 billion based on the higher inventory build to meet demand in the fourth quarter and into 2023.
high inv build (heal;th) impacting cash
Transcript
2022 Q3
8 Nov 22
While challenging, we expect supply chain pressures to improve for the remainder of '22 and into '23.
healthcare supply chsain to imptpve 22 & 23
Transcript
2022 Q3
8 Nov 22