After a major legal charge, General Electric’s Friday quarterly financial report showed that the company bled to the tune $1.2 billion in the first quarter of this year.
This is in spite of the fact that the company’s shares were bullish for much of the first quarter after operating profits topped expectations of analysts.
The C.E.O. of General Electric, John Flannery, in a statement, expressed his optimism in the company’s first-quarter reports regarding it as a step forward in the execution of their 2018 plan and that it was a good sign of progression. He urged the company’s shareholders to trust the process and progress.
Concerning the gradual crash in GE’s power division, Flannery added that the company “is making progress on cost actions and operational and services execution, but the industry continues to be challenging and is trending softer than our forecast,”
The company’s revenues went up by 6.7% to $28.7 billion, recorded profits in all their divisions excluding oil and gas, and higher profits than the previous year in four divisions, including their two strongest divisions – aviation and healthcare.
GE’s earnings which were four cents above expectation of analysts translated into 16 cents per share and pre-market trading shares jumped 5.4 percent to $14.75.
