General Electric Company (NYSE:GE) reported better than expected rise in revenue helped by its businesses of selling oil pumps and jet engines. The U.S. conglomerate revealed that its order backlog is back again to a record high. GE has been working to lower its dependence on the uncertain financial sector, and focus more on the industrial manufacturing. The company stated that six of its seven industrial segments experienced improved earnings.
“GE ended the year with strong fourth-quarter earnings and margin growth in an improving but mixed environment,” Chairman and Chief Executive Jeff Immelt said. “We saw good conditions in growth markets, strength in the U.S., and a mixed environment in Europe.”
Cost saving numbers ahead of target
For the fourth quarter, profit excluding items came in at 53 cents, which was in line with the analyst’s expectations. Net earnings for the quarter stood at $4.2 billion, or 41 cents per share compared to $4.01 billion, or 38 cents a share, a year earlier. Revenue for the company jumped 3.1 percent to $40.38 billion beating analyst’s estimates by $160 million.
General Electric Company (NYSE:GE) informed that its cost saving plans is ahead of the target for 2013, and the company plans to save on costs by a minimum of $1 billion, in 2014. GE’s backlog of orders ranging from locomotives, jet engines and turbines increased to 16 percent to $244 billion. Yearly balance for consolidated cash and equivalents stood at $89 billion.
Segment wise results
GE’s oil and gas business, which is its fourth largest segment and is, showing rapid development in 2013, reported a 17 percent rise in revenues. Revenue for the aviation business, its second-biggest, jumped 13 percent. Revenue from General Electric Company (NYSE:GE) Capital fell 4.5 percent to $11.08 billion. Revenue for GE’s power and water equipment segment, which is its largest and also its weakest, were down 13 per cent, and profit was down 8 per cent. Operating margin for the company’s industrial’s businesses improved by 0.66 percent, missing the yearly target of 0.7 percent.
In the pre-market trade, shares of the manufacturer fell 1.1 percent after closing the previous session at $27.20. In 2013, shares of the company gained 31 percent, outperforming the Dow Jones Industrial’s index.
