Richard Drew
This growth could not compensate for the declines in the other divisions. In the first quarter, sales fell 12 percent to 17.1 billion US dollars, as the company announced on Tuesday. Adjusted earnings from industrial businesses, a key operating metric for GE, decreased one-fifth to $ 828 million.
In connection with the announced merger of the aircraft leasing division Gecas with the Irish competitor AerCap, GE booked a bill in the billions. The bottom line was a loss of nearly $ 2.9 billion for the group’s shareholders.
Operationally, the aviation division continued to give up and recorded double-digit declines in incoming orders, sales and earnings. The pandemic-related crisis in the aviation industry had a negative impact.
However, the energy division, in which the power plant business is bundled, also recorded declines in sales, but was able to reduce its losses. The company’s decision not to accept any new orders for coal-fired power plants put pressure on incoming orders. Medical technology also contributed less sales and profits.
In contrast, the business with renewable energies such as wind and water power as well as solar remains on course and was able to increase incoming orders and sales and significantly reduce its losses.