(Boursier.com) — General Electric is losing ground ahead of the stock market on Wall Street. The American industrial and financial giant has just published for its fourth fiscal quarter revenues and free cash flow above market expectations. However, GE also delivers flat earnings guidance. The group forecasts adjusted profit for 2023 below expectations, due to the persistent difficulties in its loss-making renewable energy activity. GE expects an operating loss of between $200 million and $600 million for its GE Vernova energy business in 2023. General Electric, which completed the spinoff of its healthcare unit earlier this month, said it expected overall adjusted earnings per share of $1.60 to $2 for the full year, versus a FactSet consensus of $2.37. The aerospace business should continue to increase its results due to strong demand for engines and aftermarket services. GE Aerospace’s operating profit is expected to be between $5.3 billion and $5.7 billion in 2023.
For the quarter ended, adjusted earnings per share stood at $1.24, against a FactSet consensus of $1.15. Revenue rose 7.3% to $21.79 billion, above consensus ($21.25 billion). Among GE’s business units, aerospace revenue rose 25.7% to $9.68 billion, energy revenue rose 26% to $5.44 billion, healthcare revenue increased fell to 5.28 billion, and revenue from renewables rose 3.7% to 5.03 billion, all beating Wall Street expectations. FCF, measured closely watched at GE, came in at $4.3 billion, versus a FactSet consensus of $3.98 billion.
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