General Electric stock gains are down on Q1 earnings; it confirms profit guidance for 2022

General Electric stock gains are down on Q1 earnings; it confirms profit guidance for 2022 ...

General Electric () - announced its first quarter earnings less than expected, while confirming its full-year profit plan and noting that its historic intentions to split the group into three distinct companies are still on track.

General Electric said adjusted non-GAAP earnings for the three months ended in March were measured at 24 cents per share, a figure that was nearly unchanged from last year, but ahead of the Street consensus forecast of 19 cents per share. Group earnings, according to General Electric, were also little-changed from last year at $17 billion, but came in in modestly higher than analysts' estimates of a $16.9 billion tally.

GE's 2022 projections have been confirmed, which were updated last month, and estimated adjusted earnings in the range of $2.80 to $3.50 per share for the entire year, while generating,.

S, GE said in March that the "magnitude" of these challenges would also stifle growth profits and free cash flow.

TheStreet Recommandations

"Our continued operational improvements set us up to reinvest in innovation across GE, and our businesses remain focused on growth, supported by continued growth at Aviation and strong demand at Healthcare."

"We're maintaining the outlook range we shared in January, but as we continue to work through inflation and other evolving pressures, we're currently going toward the lower end of the range," says the author. "We are important to continue to establish three independent, investment-grade companies with lead positions in developing and critical sectors, capable of achieving long-term value."

Following the earnings release, GE's stock was marked 1.23% higher than pre-market trading, indicating a $90.99 opening price.

A group of executives said it is on track to split the iconic group into three separate 'investment grade' companies, a strategy that was unveiled last year and mark one of the most significant changes in the industry's 130-year history.

General Electric will build three different companies focusing on energy, healthcare, and aviation, with current CEO Larry Culp serving as the non-executive chairman of the developing healthcare organization which will be led by Peter Arduini when it is decided to leave in 2023.

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