GE Aerospace (GE) Q1 2026 earnings summary

Executive summary

• Orders surged 87% year-over-year to $23.0B, with total revenue up 25% to $12.4B and adjusted revenue up 29% to $11.6B, driven by strong commercial services demand and a growing backlog exceeding $210B.

• Operating profit rose 18% to $2.5B, adjusted EPS increased 25% to $1.86, and free cash flow grew 14% to $1.7B.

• Commercial services revenue and total engine deliveries both increased over 35% year-over-year, with major engine wins from American, United, Delta, and Ryanair.

• Robust backlog over $210B provides multi-year demand visibility, with RPO up 11% to $211.3B since year-end.

• Operational improvements, including AI-driven efficiencies and expanded U.S. manufacturing, contributed to output growth and reduced turnaround times.

Financial highlights

• Orders grew 87% year-over-year to $23.0B; adjusted revenue up 29% to $11.6B; operating profit up 18% to $2.5B; adjusted EPS up 25% to $1.86; free cash flow up 14% to $1.7B.

• CES revenue up 34% to $8.9B, DPT up 19% to $3.2B; CES profit up 23% to $2.4B, DPT profit up 17% to $379M.

• Adjusted operating profit margin was 21.8%, down 200 bps year-over-year.

• Free cash flow was $1.66B, up from $1.45B in Q1 2025.

• Diluted share count decreased by 24M; $2.2B in share repurchases in Q1 2026.

Outlook and guidance

• 2026 guidance maintained, trending toward the high end for adjusted revenue ($42.3B), operating profit ($9.85B–$10.25B), adjusted EPS ($7.10–$7.40), and free cash flow ($8.0B–$8.4B).

• Services revenue expected up ~$4B year-over-year, higher than previous $3.5B estimate.

• Guidance assumes elevated oil prices through Q3, reduced global GDP estimates, and flat to low-single-digit departures growth, but no global recession.

• Second quarter services growth expected in high teens, with all shop visits already off wing.

• Supply chain constraints and inflationary pressures are expected to persist, but ongoing mitigation actions are in place.