Shares of GE Aerospace (GE) surged nearly 10% on Thursday morning, making it one of the top gainers in the S&P 500, after the company reported impressive fourth-quarter results that significantly exceeded analysts’ expectations. The manufacturer of airplane engines and other aerospace components reported a net income of $1.9 billion, or $1.75 per share, on revenue of $10.81 billion. Analysts had forecasted a profit of $1.2 billion, or $1.10 per share, on $10.01 billion in revenue, according to estimates compiled by Visible Alpha.
The strong performance was driven by GE Aerospace’s two main revenue segments: commercial engines and services, and defense and propulsion. The company reported $7.65 billion in revenue from commercial engines and services, surpassing analysts’ expectations of $7.39 billion. Revenue from defense and propulsion came in at $2.52 billion, slightly below the projected $2.53 billion.
Looking ahead to the next fiscal year, GE Aerospace projects low-double-digit adjusted revenue growth, following a 10% rise to $35.1 billion in 2024. The company also expects adjusted earnings per share (EPS) to range between $5.10 and $5.45, up from the previous year’s $4.60. This positive outlook has further fueled investor confidence, driving the stock’s significant rise. GE Aerospace’s performance reflects strong demand for its products, particularly in commercial aviation and defense sectors, positioning the company for continued growth in the coming year.