GE Aerospace (NYSE:GE)

Current assets exhibited a slight decrease from 2021 to 2022, followed by a more pronounced decline through 2024. A modest increase is then observed between 2024 and 2025. The adjusted current assets follow a similar pattern, though the magnitude of the decreases and increases are slightly different.

Overall Trend

Both current assets and adjusted current assets demonstrate a general downward trend from 2021 to 2024. This represents a reduction of approximately 43.2% for current assets and 43.1% for adjusted current assets over the period. The subsequent increase from 2024 to 2025 suggests a potential stabilization or recovery, though levels remain significantly below those of 2021 and 2022.

Magnitude of Adjustments

The difference between current assets and adjusted current assets remains relatively consistent across the observed period. In each year, adjusted current assets are higher than reported current assets, by approximately US$1.1 billion in 2021, US$0.86 billion in 2022, US$0.65 billion in 2023, US$0.106 billion in 2024, and US$0.094 billion in 2025. This suggests a systematic adjustment being applied to the reported current asset value.

Year-over-Year Changes

From 2021 to 2022, current assets decreased by 0.15%, while adjusted current assets decreased by 0.53%. The largest year-over-year decrease in both metrics occurred between 2022 and 2023, with current assets falling by 10.0% and adjusted current assets falling by 9.6%. The decline continued from 2023 to 2024, with current assets decreasing by 36.7% and adjusted current assets decreasing by 36.6%. Finally, from 2024 to 2025, both metrics experienced a modest increase of approximately 7.9%.

The consistent adjustments to current assets warrant further investigation to understand the nature of these adjustments and their impact on the overall financial position. The significant decline from 2022 to 2024, followed by a small recovery, should be examined in the context of broader business operations and industry trends.

Total assets decreased significantly over the observed period, exhibiting a consistent decline from 2021 to 2024 before showing a modest increase in 2025. This trend is mirrored in adjusted total assets, though the magnitude of the decrease appears slightly less pronounced. The difference between reported and adjusted total assets remains relatively stable across the years examined.

Overall Trend in Total Assets

Total assets experienced a substantial reduction, falling from US$198,874 million in 2021 to US$123,140 million in 2024. This represents a decrease of approximately 38% over the four-year period. A slight recovery is noted in 2025, with total assets increasing to US$130,169 million.

Trend in Adjusted Total Assets

Adjusted total assets followed a similar pattern, decreasing from US$189,093 million in 2021 to US$116,135 million in 2024, a decline of roughly 38.5%. Like total assets, adjusted total assets increased in 2025, reaching US$122,804 million.

Difference Between Total and Adjusted Assets

The difference between total assets and adjusted total assets remained within a relatively narrow range throughout the period. In 2021, the difference was US$9,781 million, and in 2025, it was US$7,365 million. This suggests that the adjustments made to total assets consistently remove a similar proportion of the reported value each year.

Year-over-Year Changes

The largest year-over-year decrease in total assets occurred between 2022 and 2023, with a reduction of US$24,743 million. The decrease between 2023 and 2024 was US$19,928 million. The increase between 2024 and 2025 was US$6,999 million, indicating a slower rate of growth than the previous declines.

The consistent decline in both total and adjusted assets from 2021 to 2024 warrants further investigation to understand the underlying drivers. The modest increase in 2025 may signal a stabilization or reversal of this trend, but continued monitoring is necessary to confirm this.

Current liabilities exhibited volatility over the five-year period. Initially increasing from 2021 to 2022, they subsequently decreased in 2023, followed by a substantial decline in 2024, and a modest increase in 2025. Adjusted current liabilities mirrored this pattern, though the magnitudes of change differed slightly.

Overall Trend

Both current liabilities and adjusted current liabilities demonstrate a general decrease from peak values in 2022 to the most recent period in 2025. The most significant reduction occurred between 2022 and 2024. The increase from 2024 to 2025 suggests a potential stabilization or a new phase of growth in these obligations.

Magnitude of Change

Current liabilities increased by approximately 9.7% from 2021 to 2022, rising from US$51,953 million to US$56,947 million. A subsequent decrease of 10.7% brought the value down to US$50,876 million in 2023. The largest single-year decline was observed from 2023 to 2024, with a reduction of 32.2%, reaching US$34,392 million. Finally, a 6.4% increase occurred between 2024 and 2025, resulting in US$38,980 million.

Adjustments Impact

The difference between reported current liabilities and adjusted current liabilities remained relatively consistent throughout the period, generally ranging between US$2,900 million and US$3,200 million. This suggests the adjustments represent a systematic and recurring refinement of the initially reported figures. The adjustments represent approximately 5.6% to 6.0% of the current liabilities.

Year-over-Year Changes in Adjusted Values

Adjusted current liabilities increased by 9.5% from 2021 to 2022, decreased by 6.0% from 2022 to 2023, decreased by 31.8% from 2023 to 2024, and increased by 6.1% from 2024 to 2025. These movements closely follow the trends observed in the unadjusted current liabilities.

The substantial decrease in both current and adjusted liabilities in 2024 warrants further investigation to understand the underlying drivers, such as debt repayment, reclassification of obligations, or changes in operational practices. The subsequent increase in 2025 should also be examined to determine its sustainability and potential implications.

Total liabilities decreased significantly over the observed period, exhibiting volatility before a slight increase in the final year. Reported total liabilities declined from US$157,262 million in 2021 to US$103,576 million in 2024, before rising to US$111,271 million in 2025. Adjusted total liabilities mirrored this trend, though with smaller absolute values, decreasing from US$151,547 million in 2021 to US$101,612 million in 2024, and subsequently increasing to US$109,294 million in 2025.

Overall Trend

Both reported and adjusted total liabilities demonstrate a clear downward trend from 2021 through 2024. The decline represents a substantial reduction in the company’s obligations over this timeframe. The increase in 2025 suggests a potential shift in the company’s financial structure, possibly due to new financing activities or accounting adjustments.

Magnitude of Change

The largest year-over-year decrease in reported total liabilities occurred between 2022 and 2023, with a reduction of US$15,740 million. The largest decrease in adjusted total liabilities also occurred between 2022 and 2023, decreasing by US$10,011 million. The increase in both metrics between 2024 and 2025 was comparatively modest, at US$7,700 million for reported liabilities and US$7,682 million for adjusted liabilities.

Relationship between Reported and Adjusted Values

The difference between reported and adjusted total liabilities remained relatively consistent throughout the period, generally ranging between US$5,700 million and US$6,200 million. This suggests that the adjustments applied are systematic and do not represent large, one-time corrections. The consistent difference indicates a recurring element being adjusted for.

The observed fluctuations in total liabilities warrant further investigation to understand the underlying drivers. The increase in 2025, following a period of consistent decline, should be examined in the context of the company’s strategic initiatives and financing activities.

Shareholders’ equity and adjusted total equity both demonstrate a consistent decline over the five-year period from 2021 to 2025. The magnitude of the decrease accelerates over time, particularly noticeable between 2022 and 2024.

Overall Trend

Both equity measures exhibit a downward trajectory. Shareholders’ equity decreased from US$40,310 million in 2021 to US$18,677 million in 2025, representing a substantial reduction. Adjusted total equity followed a similar pattern, declining from US$37,546 million to US$13,510 million over the same period.

Rate of Decline

The rate of decline in both equity measures appears to be increasing. The decrease from 2021 to 2022 was relatively moderate. However, the drop from 2022 to 2023 and from 2023 to 2024 were significantly larger. The decline decelerates slightly between 2024 and 2025, but remains negative.

Relationship between Measures

Adjusted total equity consistently reports a lower value than shareholders’ equity in each year. The difference between the two measures remains relatively stable, averaging approximately US$2,764 million across the observed period. This suggests the adjustments being made to arrive at adjusted total equity are consistent in their impact.

The continued reduction in both shareholders’ equity and adjusted total equity warrants further investigation to understand the underlying drivers. Potential causes could include net losses, dividend payments, share repurchases, or accounting adjustments. The accelerating rate of decline, particularly between 2022 and 2024, is a key observation requiring detailed examination.

Over the five-year period ending December 31, 2025, both reported and adjusted financial metrics demonstrate significant shifts in the capital structure. A consistent decline is observed in both total reported debt and shareholders’ equity, impacting the overall reported capital. The adjusted figures reveal similar trends, though with differing magnitudes and starting points.

Total Capital Trend

Total reported capital decreased from US$75,495 million in 2021 to US$39,171 million in 2025, representing a substantial reduction. Adjusted total capital followed a similar pattern, declining from US$75,579 million to US$35,067 million over the same period. The rate of decline appears to moderate in the later years for adjusted capital, while reported capital continues to decrease at a relatively consistent pace.

Debt and Equity Changes

Reported total debt decreased from US$35,185 million in 2021 to US$20,494 million in 2025. Adjusted total debt exhibited a comparable decrease, moving from US$38,033 million to US$21,557 million. The difference between reported and adjusted debt widens over time, suggesting increasing adjustments are being made.

Shareholders’ equity experienced a more pronounced decline, falling from US$40,310 million in 2021 to US$18,677 million in 2025. Adjusted total equity showed a similar, though more accelerated, decrease, dropping from US$37,546 million to US$13,510 million. The gap between reported and adjusted equity also expands significantly, indicating substantial adjustments impacting the equity position.

Adjustments Impact

The difference between reported and adjusted figures for both debt and equity increases throughout the period. In 2021, the adjustments to debt were approximately US$2.85 billion, while adjustments to equity were roughly US$2.76 billion. By 2025, these adjustments grew to approximately US$1.06 billion for debt and US$5.17 billion for equity. This suggests that the nature or magnitude of items requiring adjustment has changed over time, particularly concerning equity.

The observed trends indicate a significant restructuring of the capital base. The consistent decline in both debt and equity, coupled with increasing adjustments, warrants further investigation into the underlying causes. The widening gap between reported and adjusted figures suggests a growing impact from items not reflected in the initially reported financials.

The reported sales of equipment and services demonstrate considerable fluctuation over the five-year period. Initially, a modest increase is observed, followed by a substantial decline and a partial recovery. A comparison with the adjusted sales figures reveals a consistent pattern of minor adjustments made to the originally reported sales values.

Overall Trend

Sales of equipment and services increased from US$71,090 million in 2021 to US$73,602 million in 2022, representing a growth of approximately 3.6%. However, a significant decrease occurred in 2023, with sales falling to US$64,565 million. This downward trend continued into 2024, with sales plummeting to US$35,121 million. A partial recovery is evident in 2025, as sales rose to US$42,322 million, though remaining considerably below the 2021 and 2022 levels.

Adjustments to Sales

The adjusted sales figures closely mirror the reported sales figures throughout the period. The adjustments are relatively small in magnitude. In 2021, adjusted sales exceeded reported sales by US$266 million. In 2022, the difference was US$134 million. In 2023, adjusted sales were US$61 million lower than reported sales. In 2024, adjusted sales were US$23 million lower than reported sales. In 2025, adjusted sales were US$10 million higher than reported sales. This suggests a consistent, but minor, refinement of the initial sales recording.

Magnitude of Change

The largest percentage decrease in sales occurred between 2023 and 2024, with a decline of approximately 40.7%. The recovery observed between 2024 and 2025, while notable, only represents an increase of approximately 20.5%. The adjustments made to sales represent less than 1% of the total sales value in each year, indicating they are not materially altering the overall revenue picture.

In summary, the period is characterized by initial growth, followed by a substantial and rapid decline in sales, and a subsequent, limited recovery. The adjustments to sales are consistently small and do not fundamentally change the observed trends.

The reported net income attributable to the Company demonstrates significant volatility over the five-year period. Initially, a substantial net loss was recorded in 2021, followed by a positive, albeit modest, net income in 2022. Subsequent years exhibit consistently positive net income, with a peak in 2023, followed by a decrease in 2024 and a further, smaller decrease in 2025.

The adjusted net income presents a contrasting pattern. While also showing volatility, the adjusted figures begin with a positive value in 2021, shift to a loss in 2022, and then increase through 2024 before declining in 2025. The magnitude of the fluctuations in adjusted net income is considerable, particularly the shift from a substantial positive value in 2021 to a significant loss in 2022.

Net Income Trend

A dramatic improvement is observed in net income from 2021 to 2023, moving from a loss of US$6,520 million to a profit of US$9,481 million. However, this positive trend plateaus and slightly reverses in the subsequent two years, with net income decreasing to US$6,556 million in 2024 and US$8,704 million in 2025. This suggests potential challenges in sustaining the gains achieved in 2023.

Adjusted Net Income Trend

The adjusted net income exhibits a different trajectory. Starting with a positive value in 2021, it experiences a substantial decline into negative territory in 2022. A recovery is then evident through 2024, reaching US$8,997 million, before decreasing to US$7,756 million in 2025. The divergence between reported and adjusted net income suggests the presence of significant non-recurring or unusual items impacting the reported results.

Relationship Between Reported and Adjusted Income

The differences between net income and adjusted net income are substantial in each year. In 2021 and 2022, the adjustments significantly alter the reported results, moving the company from a large loss to a profit in 2021 and from a small profit to a large loss in 2022. While the divergence lessens in 2023, 2024, and 2025, it remains noteworthy, indicating that the reported net income is significantly impacted by items excluded in the adjusted figures. Further investigation into the nature of these adjustments would be beneficial.

Overall, the financial performance, as reflected in both reported and adjusted net income, demonstrates considerable fluctuation. While a clear upward trend is visible in the latter half of the period, the volatility and the substantial differences between reported and adjusted figures warrant further scrutiny.