General Electric Q3 was huge lossChristian Fernsby ▼ | October 30, 2019
General Electric announced results for the third quarter ending September 30, 2019.
General Electric FCF is money left
Topics: General Electric
GE’s closely watched industrial free cash flow (FCF), which is used as a gauge of efficiency, totaled $650 million. Essentially, FCF is money left over after a company pays for operating expenses and capital spending. The company increased its 2019 forecast for industrial FCF to a range of flat to $2 billion, up from a range between negative and plus $1 billion.
“We are raising our industrial free cash flow outlook again even with external headwinds from the 737 Max and tariffs,” Culp said.
On the whole, GE reported a consolidated net loss of $9.5 billion for the third-quarter. While improved from a $22.8 billion non-adjusted loss for the same period last year, the bottom line reveals GE is still a struggling industrial conglomerate in the depths of a turnaround.
The company’s struggling power division saw quarterly revenue fall 14% year-over-year, to $3.9 billion from $4.6 billion, as orders for its turbines and other products fell 30%. But Power recorded a $144 million loss, improved 79% from the $676 million loss the unit reported for the same period last year. ■