Analysis of Profitability Ratios
Quarterly Data
Profitability ratios measure the company ability to generate profitable sales from its resources (assets).
Paying user area
Try for free
GE Aerospace pages available for free this week:
- Common-Size Income Statement
- Analysis of Liquidity Ratios
- Analysis of Solvency Ratios
- Analysis of Short-term (Operating) Activity Ratios
- Capital Asset Pricing Model (CAPM)
- Dividend Discount Model (DDM)
- Selected Financial Data since 2005
- Return on Assets (ROA) since 2005
- Debt to Equity since 2005
- Price to Earnings (P/E) since 2005
The data is hidden behind: . Unhide it.
Get full access to the entire website from $10.42/mo, or
get 1-month access to GE Aerospace for $24.99.
This is a one-time payment. There is no automatic renewal.
We accept:
Profitability Ratios (Summary)
GE Aerospace, profitability ratios (quarterly data)
Based on: 10-K (reporting date: 2025-12-31), 10-Q (reporting date: 2025-09-30), 10-Q (reporting date: 2025-06-30), 10-Q (reporting date: 2025-03-31), 10-K (reporting date: 2024-12-31), 10-Q (reporting date: 2024-09-30), 10-Q (reporting date: 2024-06-30), 10-Q (reporting date: 2024-03-31), 10-K (reporting date: 2023-12-31), 10-Q (reporting date: 2023-09-30), 10-Q (reporting date: 2023-06-30), 10-Q (reporting date: 2023-03-31), 10-K (reporting date: 2022-12-31), 10-Q (reporting date: 2022-09-30), 10-Q (reporting date: 2022-06-30), 10-Q (reporting date: 2022-03-31).
The profitability metrics demonstrate a significant and consistent improvement over the observed period. Initially, the metrics reflect challenges, but a clear upward trajectory emerges, accelerating in later periods. This suggests successful implementation of strategic initiatives and/or favorable market conditions.
- Gross Profit Margin
- The gross profit margin exhibited initial stability around the 24-25% range from March 2022 to December 2022. A decline to approximately 22% occurred in the first half of 2023, followed by a robust and sustained increase, reaching 31.55% by December 2025. This indicates improving cost management or pricing power.
- Operating Profit Margin
- Similar to the gross profit margin, the operating profit margin showed initial fluctuations between 7% and 8% before decreasing to around 6% in late 2022. A strong upward trend commenced in early 2023, with the margin more than quadrupling to 26.03% by the end of 2025. This substantial improvement suggests effective operational efficiency and cost control measures.
- Net Profit Margin
- The net profit margin began with negative values, reaching a low of -8.10% in September 2022, before turning positive in December 2022 at 0.31%. The margin then experienced rapid growth, consistently increasing to 20.57% by December 2025. This demonstrates a significant turnaround in overall profitability, driven by improvements in both gross and operating margins, and potentially favorable financial leverage or tax positions.
- Return on Equity (ROE)
- ROE mirrored the trend of the profit margins, starting with negative values and reaching a peak of 46.60% by December 2025. The substantial increase from -18.56% in September 2022 to 46.60% indicates a highly effective utilization of shareholder equity to generate profits. This suggests improved earnings and/or efficient capital structure management.
- Return on Assets (ROA)
- ROA followed a similar pattern, transitioning from negative figures to 6.69% by December 2025. This indicates an increasing ability to generate profit from the company’s assets, reflecting improved asset utilization and profitability. The consistent growth in ROA reinforces the positive trend observed in other profitability metrics.
In summary, the observed trends across all profitability ratios indicate a substantial and sustained improvement in financial performance. The acceleration of these improvements in the later periods suggests a positive outlook for future profitability.
Return on Sales
Return on Investment
Gross Profit Margin
GE Aerospace, gross profit margin calculation (quarterly data)
| Dec 31, 2025 | Sep 30, 2025 | Jun 30, 2025 | Mar 31, 2025 | Dec 31, 2024 | Sep 30, 2024 | Jun 30, 2024 | Mar 31, 2024 | Dec 31, 2023 | Sep 30, 2023 | Jun 30, 2023 | Mar 31, 2023 | Dec 31, 2022 | Sep 30, 2022 | Jun 30, 2022 | Mar 31, 2022 | ||||||
|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|
| Selected Financial Data (US$ in millions) | |||||||||||||||||||||
| Gross profit from sales | |||||||||||||||||||||
| Sales of equipment and services | |||||||||||||||||||||
| Profitability Ratio | |||||||||||||||||||||
| Gross profit margin1 | |||||||||||||||||||||
| Benchmarks | |||||||||||||||||||||
| Gross Profit Margin, Competitors2 | |||||||||||||||||||||
| Boeing Co. | |||||||||||||||||||||
| Caterpillar Inc. | |||||||||||||||||||||
| Eaton Corp. plc | |||||||||||||||||||||
| Honeywell International Inc. | |||||||||||||||||||||
| Lockheed Martin Corp. | |||||||||||||||||||||
| RTX Corp. | |||||||||||||||||||||
Based on: 10-K (reporting date: 2025-12-31), 10-Q (reporting date: 2025-09-30), 10-Q (reporting date: 2025-06-30), 10-Q (reporting date: 2025-03-31), 10-K (reporting date: 2024-12-31), 10-Q (reporting date: 2024-09-30), 10-Q (reporting date: 2024-06-30), 10-Q (reporting date: 2024-03-31), 10-K (reporting date: 2023-12-31), 10-Q (reporting date: 2023-09-30), 10-Q (reporting date: 2023-06-30), 10-Q (reporting date: 2023-03-31), 10-K (reporting date: 2022-12-31), 10-Q (reporting date: 2022-09-30), 10-Q (reporting date: 2022-06-30), 10-Q (reporting date: 2022-03-31).
1 Q4 2025 Calculation
Gross profit margin = 100
× (Gross profit from salesQ4 2025
+ Gross profit from salesQ3 2025
+ Gross profit from salesQ2 2025
+ Gross profit from salesQ1 2025)
÷ (Sales of equipment and servicesQ4 2025
+ Sales of equipment and servicesQ3 2025
+ Sales of equipment and servicesQ2 2025
+ Sales of equipment and servicesQ1 2025)
= 100 × ( + + + )
÷ ( + + + )
=
2 Click competitor name to see calculations.
The gross profit margin exhibited fluctuations over the observed period, beginning in March 2022 and extending through December 2025. Initially, the margin demonstrated relative stability, followed by a period of decline and subsequent recovery, culminating in a peak before a slight decrease in the final quarter.
- Initial Period (Mar 31, 2022 – Dec 31, 2022)
- The gross profit margin began at 24.26% and increased to 25.22% by June 30, 2022. It then experienced a slight decrease to 24.52% and remained relatively stable at 24.55% by the end of 2022. This initial period suggests a consistent ability to maintain profitability on sales.
- Decline (Mar 31, 2023 – Dec 31, 2023)
- A downward trend became apparent in the first quarter of 2023, with the gross profit margin falling to 24.24%. This decline continued through the year, reaching a low of 21.95% by December 31, 2023. This period indicates potential pressures on cost of goods sold or pricing strategies.
- Recovery and Peak (Mar 31, 2024 – Sep 30, 2025)
- The gross profit margin began to recover in early 2024, increasing from 22.97% to 24.74% and then to 27.00% by September 2024. The upward trajectory continued, peaking at 32.16% in September 2025. This substantial improvement suggests successful implementation of cost control measures, favorable pricing adjustments, or a shift in product mix towards higher-margin offerings.
- Final Quarter (Dec 31, 2025)
- The gross profit margin experienced a slight decrease in the final quarter, settling at 31.55%. While still representing a strong margin, this decrease warrants further investigation to determine if it signals a potential reversal of the recent positive trend or is simply a temporary fluctuation.
Overall, the gross profit margin demonstrates a cyclical pattern of decline and recovery. The significant improvement observed in 2024 and 2025 is noteworthy, but the final quarter’s slight decrease suggests the need for continued monitoring to ensure sustained profitability.
Operating Profit Margin
GE Aerospace, operating profit margin calculation (quarterly data)
| Dec 31, 2025 | Sep 30, 2025 | Jun 30, 2025 | Mar 31, 2025 | Dec 31, 2024 | Sep 30, 2024 | Jun 30, 2024 | Mar 31, 2024 | Dec 31, 2023 | Sep 30, 2023 | Jun 30, 2023 | Mar 31, 2023 | Dec 31, 2022 | Sep 30, 2022 | Jun 30, 2022 | Mar 31, 2022 | ||||||
|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|
| Selected Financial Data (US$ in millions) | |||||||||||||||||||||
| Operating income | |||||||||||||||||||||
| Sales of equipment and services | |||||||||||||||||||||
| Profitability Ratio | |||||||||||||||||||||
| Operating profit margin1 | |||||||||||||||||||||
| Benchmarks | |||||||||||||||||||||
| Operating Profit Margin, Competitors2 | |||||||||||||||||||||
| Boeing Co. | |||||||||||||||||||||
| Caterpillar Inc. | |||||||||||||||||||||
| Eaton Corp. plc | |||||||||||||||||||||
| Honeywell International Inc. | |||||||||||||||||||||
| Lockheed Martin Corp. | |||||||||||||||||||||
| RTX Corp. | |||||||||||||||||||||
Based on: 10-K (reporting date: 2025-12-31), 10-Q (reporting date: 2025-09-30), 10-Q (reporting date: 2025-06-30), 10-Q (reporting date: 2025-03-31), 10-K (reporting date: 2024-12-31), 10-Q (reporting date: 2024-09-30), 10-Q (reporting date: 2024-06-30), 10-Q (reporting date: 2024-03-31), 10-K (reporting date: 2023-12-31), 10-Q (reporting date: 2023-09-30), 10-Q (reporting date: 2023-06-30), 10-Q (reporting date: 2023-03-31), 10-K (reporting date: 2022-12-31), 10-Q (reporting date: 2022-09-30), 10-Q (reporting date: 2022-06-30), 10-Q (reporting date: 2022-03-31).
1 Q4 2025 Calculation
Operating profit margin = 100
× (Operating incomeQ4 2025
+ Operating incomeQ3 2025
+ Operating incomeQ2 2025
+ Operating incomeQ1 2025)
÷ (Sales of equipment and servicesQ4 2025
+ Sales of equipment and servicesQ3 2025
+ Sales of equipment and servicesQ2 2025
+ Sales of equipment and servicesQ1 2025)
= 100 × ( + + + )
÷ ( + + + )
=
2 Click competitor name to see calculations.
The operating profit margin demonstrates a generally positive trend over the observed period, with notable fluctuations. Initial values exhibit some volatility before establishing a clear upward trajectory.
- Initial Period (Mar 31, 2022 – Dec 31, 2022)
- The operating profit margin began at 7.31% and experienced a peak of 8.12% in June 2022, followed by a decline to 6.05% by December 2022. This initial period suggests some sensitivity to quarterly variations in sales and operating income.
- Recovery and Growth (Mar 31, 2023 – Dec 31, 2024)
- From March 2023, the operating profit margin began a consistent upward trend. It rose from 7.40% to reach 23.29% by December 2024. This substantial increase indicates improved operational efficiency and/or pricing power during this timeframe. The margin more than tripled over this period.
- Stabilization (Mar 31, 2025 – Dec 31, 2025)
- The rate of increase in the operating profit margin slowed in 2025. The margin peaked at 26.24% in September 2025, before slightly decreasing to 26.03% by December 2025. This suggests a potential stabilization of profitability at a high level. The values in 2025 remain significantly above those observed in earlier periods.
- Overall Trend
- The overall trend is strongly positive. While initial quarters showed variability, the operating profit margin has demonstrated significant and sustained growth, culminating in a substantially higher margin by the end of the analyzed period. The most significant gains occurred between March 2023 and December 2024.
The consistent increase in the operating profit margin suggests effective cost management, successful pricing strategies, or a favorable shift in the product/service mix. Further investigation into the underlying drivers of these changes would be beneficial.
Net Profit Margin
GE Aerospace, net profit margin calculation (quarterly data)
| Dec 31, 2025 | Sep 30, 2025 | Jun 30, 2025 | Mar 31, 2025 | Dec 31, 2024 | Sep 30, 2024 | Jun 30, 2024 | Mar 31, 2024 | Dec 31, 2023 | Sep 30, 2023 | Jun 30, 2023 | Mar 31, 2023 | Dec 31, 2022 | Sep 30, 2022 | Jun 30, 2022 | Mar 31, 2022 | ||||||
|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|
| Selected Financial Data (US$ in millions) | |||||||||||||||||||||
| Net income (loss) attributable to the Company | |||||||||||||||||||||
| Sales of equipment and services | |||||||||||||||||||||
| Profitability Ratio | |||||||||||||||||||||
| Net profit margin1 | |||||||||||||||||||||
| Benchmarks | |||||||||||||||||||||
| Net Profit Margin, Competitors2 | |||||||||||||||||||||
| Boeing Co. | |||||||||||||||||||||
| Caterpillar Inc. | |||||||||||||||||||||
| Eaton Corp. plc | |||||||||||||||||||||
| Honeywell International Inc. | |||||||||||||||||||||
| Lockheed Martin Corp. | |||||||||||||||||||||
| RTX Corp. | |||||||||||||||||||||
Based on: 10-K (reporting date: 2025-12-31), 10-Q (reporting date: 2025-09-30), 10-Q (reporting date: 2025-06-30), 10-Q (reporting date: 2025-03-31), 10-K (reporting date: 2024-12-31), 10-Q (reporting date: 2024-09-30), 10-Q (reporting date: 2024-06-30), 10-Q (reporting date: 2024-03-31), 10-K (reporting date: 2023-12-31), 10-Q (reporting date: 2023-09-30), 10-Q (reporting date: 2023-06-30), 10-Q (reporting date: 2023-03-31), 10-K (reporting date: 2022-12-31), 10-Q (reporting date: 2022-09-30), 10-Q (reporting date: 2022-06-30), 10-Q (reporting date: 2022-03-31).
1 Q4 2025 Calculation
Net profit margin = 100
× (Net income (loss) attributable to the CompanyQ4 2025
+ Net income (loss) attributable to the CompanyQ3 2025
+ Net income (loss) attributable to the CompanyQ2 2025
+ Net income (loss) attributable to the CompanyQ1 2025)
÷ (Sales of equipment and servicesQ4 2025
+ Sales of equipment and servicesQ3 2025
+ Sales of equipment and servicesQ2 2025
+ Sales of equipment and servicesQ1 2025)
= 100 × ( + + + )
÷ ( + + + )
=
2 Click competitor name to see calculations.
The net profit margin exhibited significant volatility over the observed period, transitioning from negative values to substantial positive figures, and then stabilizing at a high level. Initial periods demonstrate losses, followed by a marked improvement and subsequent consistent profitability.
- Initial Period (Mar 31, 2022 – Dec 31, 2022)
- The net profit margin began with negative values, registering -6.70% as of March 31, 2022. This trend continued through June 30, 2022 (-6.18%) and September 30, 2022 (-8.10%), indicating a period of unprofitability. A substantial shift occurred by December 31, 2022, with the margin turning positive at 0.31%, suggesting a turnaround in financial performance.
- Improvement and Growth (Mar 31, 2023 – Dec 31, 2023)
- The period from March 31, 2023, to December 31, 2023, showcased a strong upward trajectory in net profit margin. It increased from 12.35% in March 2023 to 14.68% by the end of the year. The margin peaked at 13.91% in June 2023 and 15.08% in September 2023, demonstrating consistent profitability and improved operational efficiency.
- Stabilization at High Levels (Mar 31, 2024 – Dec 31, 2025)
- From March 31, 2024, through December 31, 2025, the net profit margin stabilized at a consistently high level, ranging between 5.96% and 20.57%. A slight dip was observed in March 2024 (5.96%), but the margin quickly recovered and continued to climb, reaching 20.43% in June 2025 and concluding the period at 20.57%. This indicates sustained profitability and effective cost management.
- Overall Trend
- The overall trend reveals a dramatic recovery from initial losses to a period of sustained, high profitability. The magnitude of the increase suggests significant improvements in revenue generation, cost control, or both. The stabilization of the margin in recent periods indicates a mature and consistently profitable business model.
Return on Equity (ROE)
GE Aerospace, ROE calculation (quarterly data)
| Dec 31, 2025 | Sep 30, 2025 | Jun 30, 2025 | Mar 31, 2025 | Dec 31, 2024 | Sep 30, 2024 | Jun 30, 2024 | Mar 31, 2024 | Dec 31, 2023 | Sep 30, 2023 | Jun 30, 2023 | Mar 31, 2023 | Dec 31, 2022 | Sep 30, 2022 | Jun 30, 2022 | Mar 31, 2022 | ||||||
|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|
| Selected Financial Data (US$ in millions) | |||||||||||||||||||||
| Net income (loss) attributable to the Company | |||||||||||||||||||||
| Shareholders’ equity | |||||||||||||||||||||
| Profitability Ratio | |||||||||||||||||||||
| ROE1 | |||||||||||||||||||||
| Benchmarks | |||||||||||||||||||||
| ROE, Competitors2 | |||||||||||||||||||||
| Boeing Co. | |||||||||||||||||||||
| Caterpillar Inc. | |||||||||||||||||||||
| Eaton Corp. plc | |||||||||||||||||||||
| Honeywell International Inc. | |||||||||||||||||||||
| Lockheed Martin Corp. | |||||||||||||||||||||
| RTX Corp. | |||||||||||||||||||||
Based on: 10-K (reporting date: 2025-12-31), 10-Q (reporting date: 2025-09-30), 10-Q (reporting date: 2025-06-30), 10-Q (reporting date: 2025-03-31), 10-K (reporting date: 2024-12-31), 10-Q (reporting date: 2024-09-30), 10-Q (reporting date: 2024-06-30), 10-Q (reporting date: 2024-03-31), 10-K (reporting date: 2023-12-31), 10-Q (reporting date: 2023-09-30), 10-Q (reporting date: 2023-06-30), 10-Q (reporting date: 2023-03-31), 10-K (reporting date: 2022-12-31), 10-Q (reporting date: 2022-09-30), 10-Q (reporting date: 2022-06-30), 10-Q (reporting date: 2022-03-31).
1 Q4 2025 Calculation
ROE = 100
× (Net income (loss) attributable to the CompanyQ4 2025
+ Net income (loss) attributable to the CompanyQ3 2025
+ Net income (loss) attributable to the CompanyQ2 2025
+ Net income (loss) attributable to the CompanyQ1 2025)
÷ Shareholders’ equity
= 100 × ( + + + )
÷ =
2 Click competitor name to see calculations.
The Return on Equity (ROE) exhibited significant volatility over the observed period, transitioning from negative values to substantial positive returns. A clear progression can be identified, moving from initial losses to increasingly robust profitability.
- Initial Period (Mar 31, 2022 – Dec 31, 2022)
- The initial period demonstrates consistently negative ROE values. From -12.20% in March 2022, the ROE declined to -18.56% in September 2022 before a modest recovery to 0.62% by December 2022. This suggests a period of financial challenges and eventual stabilization.
- Recovery and Growth (Mar 31, 2023 – Dec 31, 2023)
- A dramatic improvement in ROE is evident beginning in March 2023, reaching 27.72%. This upward trend continued through June 2023 (30.77%), September 2023 (35.27%), and December 2023 (34.63%). This indicates a successful turnaround and strengthening financial performance.
- Continued Strength and Acceleration (Mar 31, 2024 – Dec 31, 2025)
- ROE remained positive and continued to climb throughout the latter part of the period. A slight decrease to 11.77% in March 2024 was followed by a rebound to 25.51% in June 2024. The ROE then consistently increased, reaching 33.11% in September 2024, 33.90% in December 2024, 36.34% in March 2025, 40.54% in June 2025, 42.86% in September 2025, and culminating in 46.60% by December 2025. This sustained growth suggests increasing efficiency in utilizing shareholder equity to generate profits.
The substantial increase in ROE over the analyzed timeframe indicates a significant improvement in the company’s profitability relative to shareholder equity. The progression from negative returns to consistently high positive returns suggests effective strategic adjustments and operational improvements. The accelerating trend in the most recent quarters implies a strengthening competitive position and enhanced financial health.
Return on Assets (ROA)
GE Aerospace, ROA calculation (quarterly data)
| Dec 31, 2025 | Sep 30, 2025 | Jun 30, 2025 | Mar 31, 2025 | Dec 31, 2024 | Sep 30, 2024 | Jun 30, 2024 | Mar 31, 2024 | Dec 31, 2023 | Sep 30, 2023 | Jun 30, 2023 | Mar 31, 2023 | Dec 31, 2022 | Sep 30, 2022 | Jun 30, 2022 | Mar 31, 2022 | ||||||
|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|
| Selected Financial Data (US$ in millions) | |||||||||||||||||||||
| Net income (loss) attributable to the Company | |||||||||||||||||||||
| Total assets | |||||||||||||||||||||
| Profitability Ratio | |||||||||||||||||||||
| ROA1 | |||||||||||||||||||||
| Benchmarks | |||||||||||||||||||||
| ROA, Competitors2 | |||||||||||||||||||||
| Boeing Co. | |||||||||||||||||||||
| Caterpillar Inc. | |||||||||||||||||||||
| Eaton Corp. plc | |||||||||||||||||||||
| Honeywell International Inc. | |||||||||||||||||||||
| Lockheed Martin Corp. | |||||||||||||||||||||
| RTX Corp. | |||||||||||||||||||||
Based on: 10-K (reporting date: 2025-12-31), 10-Q (reporting date: 2025-09-30), 10-Q (reporting date: 2025-06-30), 10-Q (reporting date: 2025-03-31), 10-K (reporting date: 2024-12-31), 10-Q (reporting date: 2024-09-30), 10-Q (reporting date: 2024-06-30), 10-Q (reporting date: 2024-03-31), 10-K (reporting date: 2023-12-31), 10-Q (reporting date: 2023-09-30), 10-Q (reporting date: 2023-06-30), 10-Q (reporting date: 2023-03-31), 10-K (reporting date: 2022-12-31), 10-Q (reporting date: 2022-09-30), 10-Q (reporting date: 2022-06-30), 10-Q (reporting date: 2022-03-31).
1 Q4 2025 Calculation
ROA = 100
× (Net income (loss) attributable to the CompanyQ4 2025
+ Net income (loss) attributable to the CompanyQ3 2025
+ Net income (loss) attributable to the CompanyQ2 2025
+ Net income (loss) attributable to the CompanyQ1 2025)
÷ Total assets
= 100 × ( + + + )
÷ =
2 Click competitor name to see calculations.
The Return on Assets (ROA) exhibited a significant trajectory over the observed period, transitioning from negative values to substantial positive returns. Initial periods demonstrate considerable losses, followed by a marked improvement and subsequent stabilization at elevated levels.
- Initial Performance (Mar 31, 2022 – Dec 31, 2022)
- The ROA began with negative values, registering -2.48% in March 2022, -2.38% in June 2022, and reaching a low of -3.23% in September 2022. A positive shift occurred in December 2022, with the ROA reaching 0.12%, indicating a move towards profitability relative to asset utilization.
- Significant Improvement (Mar 31, 2023 – Dec 31, 2023)
- The period from March 2023 through December 2023 witnessed a substantial increase in ROA. It rose to 5.33% in March 2023, peaking at 6.45% in September 2023, and concluding the year at 5.81% in December 2023. This represents a considerable enhancement in the efficiency with which assets are being employed to generate profit.
- Stabilization and Continued Growth (Mar 31, 2024 – Dec 31, 2025)
- From March 2024 to December 2025, the ROA demonstrated a pattern of stabilization at a high level, with a gradual upward trend. The ROA started at 2.14% in March 2024, increased to 6.69% in December 2025. The ROA consistently remained above 5% throughout this period, indicating sustained profitability and efficient asset management. The highest value recorded was 6.69% in December 2025.
Overall, the ROA trend indicates a successful turnaround and a period of sustained improvement in profitability relative to the company’s asset base. The initial losses were overcome, and the company has consistently generated increasing returns on its assets over the analyzed timeframe.