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GE Aerospace Beats Q4 Targets, Raises 2026 Guidance on Aftermarket Strength

Surging aftermarket demand plus a $190 billion backlog underpin guidance for higher profit and cash flow in 2026.

Overview

  • Q4 adjusted EPS reached $1.57 versus the $1.43 consensus, with adjusted revenue at $11.87 billion versus $11.21 billion, up roughly 20% year over year.
  • Quarterly orders jumped 74% to $27.0 billion, backlog was cited at roughly $190 billion, and record 2025 LEAP deliveries of 1,802 are set to rise about 15% in 2026.
  • For 2026, the company guided to adjusted EPS of $7.10 to $7.40, free cash flow of $8.0 billion to $8.4 billion, and low double-digit revenue growth.
  • Commercial Engines & Services revenue rose 24% to $9.47 billion with a 24.0% margin, while Defense & Propulsion Technologies revenue increased 13% to $2.84 billion with a 2.2x book-to-bill.
  • Shares were little changed after the release, slipping around 0.2% despite the beat and stronger outlook.