The US aircraft supplier GE Aerospace reported a significant increase in profits in the first quarter of 2025. According to the company, operating profit jumped by 38 percent to $2,1 billion (approximately €1,8 billion). This increase was largely due to the flourishing aircraft engine maintenance business. Adjusted revenue also rose by XNUMX percent to $XNUMX billion.
This success comes despite major aircraft manufacturers Boeing and Airbus struggling with production bottlenecks and blaming their suppliers, particularly the engine manufacturers, for the disruption. For example, Airbus recently complained about significant delivery delays at CFM, a joint venture between GE and the French company Safran. However, GE CEO Larry Culp pledged to address the supply chain issues head-on and accelerate deliveries throughout the year. Despite these challenges, GE Aerospace reiterated its full-year 2025 guidance and emphasized that the expected impact of the tariffs imposed by the US government has already been factored into its outlook.
For the full year 2025, Culp continues to expect revenue growth of over ten percent and operating profit between $7,8 billion and $8,2 billion (previous year: $7,3 billion). Adjusted earnings per share are expected to be between $5,10 and $5,45. In the first quarter, adjusted earnings per share of $1,49 significantly exceeded analyst expectations of $1,27 and were 60 percent higher than the previous year. GE Aerospace is currently benefiting from the high utilization of its existing aircraft fleets, which require more frequent maintenance due to production delays for new aircraft. The maintenance business often generates higher margins for engine manufacturers than the sale of new engines.
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