GE Posts Upbeat Q1 Earnings, But Revenue Misses Views

reported better-than-expected earnings for the first quarter, but the company's revenue missed analysts' expectations. The Fairfield, Connecticut-based company reported a quarterly loss of $13.57 billion, or $1.35 per share, versus a year-ago profit of $3 billion, or $0.30 per share. Its operating earnings, excluding GE Capital exit impacts, came in at $0.31 per share. Its revenue declined 12 percent to $29.36 billion, while revenue, excluding GE Capital exit impacts, came in at $33.1 billion. However, analysts were projecting operating earnings of $0.30 per share on revenue of $34.23 billion. Its industrial revenue declined 1 percent to $24.36 billion, while revenue for its oil and gas business slipped 8 percent to $3.96 billion. GE Capital revenue dipped 39 percent to $5.98 billion. Jeff Immelt, Chairman and CEO, said, "We have laid out a clear plan to reshape GE for the future. We will reduce the size of our financial business through the sale of most GE Capital assets over the next 24 months, with the potential to return more than $90 billion to investors in dividends, buyback and the Synchrony exchange through 2018. Our industrial businesses are performing well and we will continue to invest in our competitive advantages built on the GE Store. We will continue to boost margins and returns. This is the plan for the future of GE as a fast-growth, high-tech industrial company." The average estimate among 57 Estimize users was for earnings of $0.31 per share and revenue of $34.45 billion. GE shares fell 0.55 percent to $27.13 in pre-market trading.