Analysis of Reportable Segments
GE Aerospace operates in 2 segments: Commercial Engines & Services (CES) and Defense & Propulsion Technologies (DPT).
Paying user area
Try for free
GE Aerospace pages available for free this week:
- Statement of Comprehensive Income
- Cash Flow Statement
- Common-Size Balance Sheet: Assets
- Enterprise Value to FCFF (EV/FCFF)
- Price to FCFE (P/FCFE)
- Capital Asset Pricing Model (CAPM)
- Present Value of Free Cash Flow to Equity (FCFE)
- Total Asset Turnover since 2005
- Price to Earnings (P/E) since 2005
- Analysis of Revenues
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:
Segment Profit Margin
GE Aerospace, profit margin by reportable segment
| Dec 31, 2024 | Dec 31, 2023 | Dec 31, 2022 | Dec 31, 2021 | Dec 31, 2020 | |
|---|---|---|---|---|---|
| Commercial Engines & Services (CES) | |||||
| Defense & Propulsion Technologies (DPT) |
Based on: 10-K (reporting date: 2024-12-31), 10-K (reporting date: 2023-12-31), 10-K (reporting date: 2022-12-31), 10-K (reporting date: 2021-12-31), 10-K (reporting date: 2020-12-31).
The reportable segment profit margin data displays distinct trends across the two segments analyzed over the recent periods, with data available starting from the year ending December 31, 2022.
- Commercial Engines & Services (CES)
- The profit margin for this segment has shown a consistent upward trajectory. Beginning at 22.13% in 2022, the margin increased to 23.66% in 2023, followed by a further rise to 26.25% in 2024. This steady growth indicates improving profitability and effective management of costs or pricing strategies within this segment.
- Defense & Propulsion Technologies (DPT)
- The profit margin trend for this segment reveals some volatility. Starting at 12.22% in 2022, the margin declined to 10.13% in 2023, before recovering slightly to 11.19% in 2024. Despite the fluctuation, the margin has remained in the low double-digit range, suggesting moderate stability but with some challenges affecting profitability during this timeframe.
Overall, the data indicates stronger and more consistent margin improvement within the Commercial Engines & Services segment, whereas the Defense & Propulsion Technologies segment shows a more mixed performance with a decline followed by a partial recovery. These patterns may reflect differing market conditions, operational efficiencies, or strategic priorities across the two segments.
Segment Profit Margin: Commercial Engines & Services (CES)
GE Aerospace; Commercial Engines & Services (CES); segment profit margin calculation
| Dec 31, 2024 | Dec 31, 2023 | Dec 31, 2022 | Dec 31, 2021 | Dec 31, 2020 | |
|---|---|---|---|---|---|
| Selected Financial Data (US$ in millions) | |||||
| Segment profit (loss) | |||||
| Revenues | |||||
| Segment Profitability Ratio | |||||
| Segment profit margin1 | |||||
Based on: 10-K (reporting date: 2024-12-31), 10-K (reporting date: 2023-12-31), 10-K (reporting date: 2022-12-31), 10-K (reporting date: 2021-12-31), 10-K (reporting date: 2020-12-31).
1 2024 Calculation
Segment profit margin = 100 × Segment profit (loss) ÷ Revenues
= 100 × ÷ =
The financial performance of the Commercial Engines & Services (CES) segment demonstrates a positive and consistent upward trajectory over the observed periods.
- Segment Profit
- The segment profit exhibits substantial growth, starting from US$ 4164 million in 2022 and increasing to US$ 5643 million in 2023, followed by a further rise to US$ 7055 million in 2024. This represents a significant enhancement in profitability over the three-year span.
- Revenues
- Revenues have also shown a robust increase, with figures rising from US$ 18,813 million in 2022 to US$ 23,855 million in 2023, and reaching US$ 26,881 million in 2024. The upward trend in revenues supports the growth noted in segment profits.
- Segment Profit Margin
- The segment profit margin has improved steadily, climbing from 22.13% in 2022 to 23.66% in 2023, and further to 26.25% in 2024. This indicates enhanced efficiency and profitability relative to revenues over time.
In summary, the CES segment shows strong financial health characterized by growing revenues, increasing absolute profitability, and improved profit margins, suggesting effective operational performance and successful market positioning during the analyzed period.
Segment Profit Margin: Defense & Propulsion Technologies (DPT)
GE Aerospace; Defense & Propulsion Technologies (DPT); segment profit margin calculation
| Dec 31, 2024 | Dec 31, 2023 | Dec 31, 2022 | Dec 31, 2021 | Dec 31, 2020 | |
|---|---|---|---|---|---|
| Selected Financial Data (US$ in millions) | |||||
| Segment profit (loss) | |||||
| Revenues | |||||
| Segment Profitability Ratio | |||||
| Segment profit margin1 | |||||
Based on: 10-K (reporting date: 2024-12-31), 10-K (reporting date: 2023-12-31), 10-K (reporting date: 2022-12-31), 10-K (reporting date: 2021-12-31), 10-K (reporting date: 2020-12-31).
1 2024 Calculation
Segment profit margin = 100 × Segment profit (loss) ÷ Revenues
= 100 × ÷ =
- Revenues
- Revenues have shown a consistent upward trend over the observed periods. Starting from 7,989 million US dollars at the end of 2021, revenues increased to 8,961 million US dollars by the end of 2023, representing a significant growth. The upward trajectory continued into 2024, reaching 9,478 million US dollars, indicating ongoing expansion and improved sales performance within the segment.
- Segment profit (loss)
- Segment profit experienced fluctuations but overall growth within the observed timeline. The profit stood at 976 million US dollars at the end of 2021, decreased slightly to 908 million US dollars by the end of 2023, and then rose notably to 1,061 million US dollars by the end of 2024. This suggests a strong recovery and enhanced profitability after a modest decline in the intermediate year.
- Segment profit margin
- The segment profit margin, expressed as a percentage, paralleled the profit trend with some variability. The margin decreased from 12.22% in 2021 to 10.13% in 2023, reflecting a decrease in profitability relative to revenues during this period. However, improvement occurred in 2024 with the margin rising to 11.19%, signaling better cost control or pricing strategies contributing to enhanced profitability.
- Overall Analysis
- The segment demonstrates positive revenue growth coupled with a variable but recovering profitability profile. The dip in profit margin and profit in 2023 suggests possible challenges or increased expenses during that period, but the subsequent recovery in 2024 highlights resilience and an ability to improve operational efficiency or market conditions. The general upward trend in revenues and segment profit by the end of 2024 reflects a strengthening financial position for the segment.
Segment Capital Expenditures to Depreciation
GE Aerospace, capital expenditures to depreciation by reportable segment
| Dec 31, 2024 | Dec 31, 2023 | Dec 31, 2022 | Dec 31, 2021 | Dec 31, 2020 | |
|---|---|---|---|---|---|
| Commercial Engines & Services (CES) | |||||
| Defense & Propulsion Technologies (DPT) |
Based on: 10-K (reporting date: 2024-12-31), 10-K (reporting date: 2023-12-31), 10-K (reporting date: 2022-12-31), 10-K (reporting date: 2021-12-31), 10-K (reporting date: 2020-12-31).
- Commercial Engines & Services (CES)
- The capital expenditures to depreciation ratio for this segment shows a notable upward trend over the observed periods. Starting at 0.44 in 2022, the ratio more than doubles to 0.96 in 2023, indicating increased capital investment relative to depreciation expense. This upward trajectory continues into 2024, reaching 1.16, which suggests that capital expenditures are outpacing the depreciation costs, potentially reflecting an expansion or modernization of assets within this business area.
- Defense & Propulsion Technologies (DPT)
- The ratio for this segment demonstrates a slight declining trend across the reported years. In 2022, the ratio stands at 1.03, marginally reducing to 0.99 in 2023, and further decreasing to 0.90 in 2024. This indicates that capital expenditures are becoming relatively lower compared to depreciation charges over time, which could imply a more conservative investment approach or a phase of asset base stabilization.
- Overall Observations
- Comparing the two segments, CES is exhibiting increasing capital investment relative to depreciation, suggesting a growth or asset renewal phase. In contrast, DPT shows a gradual decline in this ratio, which may point to steadier or diminishing capital expenditures in relation to the ongoing asset consumption. These contrasting trends highlight different investment and asset management strategies possibly aligned with the distinct operational priorities of each segment.
Segment Capital Expenditures to Depreciation: Commercial Engines & Services (CES)
GE Aerospace; Commercial Engines & Services (CES); segment capital expenditures to depreciation calculation
| Dec 31, 2024 | Dec 31, 2023 | Dec 31, 2022 | Dec 31, 2021 | Dec 31, 2020 | |
|---|---|---|---|---|---|
| Selected Financial Data (US$ in millions) | |||||
| Property, plant and equipment additions | |||||
| Depreciation and amortization | |||||
| Segment Financial Ratio | |||||
| Segment capital expenditures to depreciation1 | |||||
Based on: 10-K (reporting date: 2024-12-31), 10-K (reporting date: 2023-12-31), 10-K (reporting date: 2022-12-31), 10-K (reporting date: 2021-12-31), 10-K (reporting date: 2020-12-31).
1 2024 Calculation
Segment capital expenditures to depreciation = Property, plant and equipment additions ÷ Depreciation and amortization
= ÷ =
The data reveals a consistent upward trend in property, plant, and equipment additions over the three reported years, increasing from $160 million in 2022 to $343 million in 2023, and further to $431 million in 2024. This indicates significant investment in infrastructure and assets within the segment.
Depreciation and amortization expenses have remained relatively stable during the same period, with values slightly declining from $362 million in 2022 to $356 million in 2023, before rising again to $370 million in 2024. This suggests a consistent allocation of the cost of fixed assets over time, with only minor fluctuations.
The ratio of segment capital expenditures to depreciation exhibits an increasing pattern, moving from 0.44 in 2022 to 0.96 in 2023, and reaching 1.16 in 2024. This upward movement implies that capital expenditures are growing faster than depreciation expenses, which may indicate expansion or modernization efforts that exceed the rate at which existing assets are being depreciated.
Segment Capital Expenditures to Depreciation: Defense & Propulsion Technologies (DPT)
GE Aerospace; Defense & Propulsion Technologies (DPT); segment capital expenditures to depreciation calculation
| Dec 31, 2024 | Dec 31, 2023 | Dec 31, 2022 | Dec 31, 2021 | Dec 31, 2020 | |
|---|---|---|---|---|---|
| Selected Financial Data (US$ in millions) | |||||
| Property, plant and equipment additions | |||||
| Depreciation and amortization | |||||
| Segment Financial Ratio | |||||
| Segment capital expenditures to depreciation1 | |||||
Based on: 10-K (reporting date: 2024-12-31), 10-K (reporting date: 2023-12-31), 10-K (reporting date: 2022-12-31), 10-K (reporting date: 2021-12-31), 10-K (reporting date: 2020-12-31).
1 2024 Calculation
Segment capital expenditures to depreciation = Property, plant and equipment additions ÷ Depreciation and amortization
= ÷ =
- Property, Plant and Equipment Additions
- Over the observed period from the end of 2022 to the end of 2024, additions to property, plant, and equipment exhibited a declining trend. The values decreased from 149 million US dollars in 2022 to 145 million in 2023, followed by a further reduction to 135 million in 2024. This trend may indicate a gradual reduction in investment in capital assets within the segment.
- Depreciation and Amortization
- Depreciation and amortization expenses showed a steady increase over the same timeframe. The expense rose from 144 million US dollars in 2022 to 147 million in 2023 and further to 150 million in 2024. This escalation suggests increasing allocation of costs for asset usage and amortization, potentially reflecting aging assets or changes in asset mix.
- Segment Capital Expenditures to Depreciation Ratio
- The ratio of capital expenditures to depreciation demonstrated a decline from 1.03 in 2022 to 0.99 in 2023 and further down to 0.90 in 2024. This indicates that capital expenditures are decreasing relative to the depreciation charge, implying a potential reduction in asset base growth or reinvestment levels compared to asset consumption or expense recognition.
Revenues
GE Aerospace, revenues by reportable segment
US$ in millions
| Dec 31, 2024 | Dec 31, 2023 | Dec 31, 2022 | Dec 31, 2021 | Dec 31, 2020 | |
|---|---|---|---|---|---|
| Commercial Engines & Services (CES) | |||||
| Defense & Propulsion Technologies (DPT) | |||||
| Corporate & Other | |||||
| Total |
Based on: 10-K (reporting date: 2024-12-31), 10-K (reporting date: 2023-12-31), 10-K (reporting date: 2022-12-31), 10-K (reporting date: 2021-12-31), 10-K (reporting date: 2020-12-31).
The financial data reveals the annual revenues for three reportable segments over the 2023 and 2024 fiscal years, with no available data for the years 2020 to 2022. The segments include Commercial Engines & Services (CES), Defense & Propulsion Technologies (DPT), and Corporate & Other.
- Commercial Engines & Services (CES)
- This segment shows a strong upward revenue trend, increasing from $18,813 million in 2023 to $23,855 million in 2024, and further to $26,881 million by the end of 2024. This reflects a consistent growth trajectory, indicating robust demand or successful business expansion in this area.
- Defense & Propulsion Technologies (DPT)
- The DPT segment exhibits moderate growth over the same period. Revenues increase from $7,989 million in 2023 to $8,961 million in 2024 and reach $9,478 million by the end of 2024. The growth rate is positive but more gradual compared to CES, suggesting steady but less aggressive market progression.
- Corporate & Other
- This segment presents relatively stable revenues with minor fluctuations. The figures show an increase from $2,337 million in 2023 to $2,532 million in 2024, followed by a slight decline to $2,343 million by the end of 2024. This stability might reflect consistent corporate overhead or miscellaneous income with limited variability.
- Total Revenues
- The aggregate revenue across all segments rises from $29,139 million in 2023 to $35,348 million in 2024, and then to $38,702 million by the end of 2024. This overall increase underscores a positive financial performance driven chiefly by the strong growth in the Commercial Engines & Services segment, complemented by steady gains in Defense & Propulsion Technologies.
Segment profit (loss)
GE Aerospace, segment profit (loss) by reportable segment
US$ in millions
| Dec 31, 2024 | Dec 31, 2023 | Dec 31, 2022 | Dec 31, 2021 | Dec 31, 2020 | |
|---|---|---|---|---|---|
| Commercial Engines & Services (CES) | |||||
| Defense & Propulsion Technologies (DPT) | |||||
| Total |
Based on: 10-K (reporting date: 2024-12-31), 10-K (reporting date: 2023-12-31), 10-K (reporting date: 2022-12-31), 10-K (reporting date: 2021-12-31), 10-K (reporting date: 2020-12-31).
The segment profit (loss) data for the specified periods exhibit a clear upward trajectory for the Commercial Engines & Services (CES) segment. CES reported segment profits of 4,164 million USD in 2023, increasing to 5,643 million USD in 2024, and further reaching 7,055 million USD in 2025. This represents a consistent and significant growth trend over the three years.
In contrast, the Defense & Propulsion Technologies (DPT) segment shows a more fluctuating pattern. Segment profit stood at 976 million USD in 2023, decreased slightly to 908 million USD in 2024, before recovering to 1,061 million USD in 2025. Despite the dip observed in 2024, the segment finishes the period with an improved profit level relative to 2023.
Overall, the combined segment profit data, reflected by the Total figure, also display a strong upward trend. Total segment profit grew from 5,140 million USD in 2023 to 6,551 million USD in 2024, and further increased to 8,116 million USD in 2025. The growth is primarily driven by the substantial and steady increase in the CES segment, while DPT contributes with moderate but less consistent profit changes.
The missing data for the years 2020 to 2022 limits the ability to analyze longer-term trends; however, the available data from 2023 onwards clearly indicate positive momentum in overall segment profitability, predominantly supported by the Commercial Engines & Services segment. The Defense & Propulsion Technologies segment demonstrates some volatility but ultimately improves its profitability by the end of the period under review.
Property, plant and equipment additions
GE Aerospace, property, plant and equipment additions by reportable segment
US$ in millions
| Dec 31, 2024 | Dec 31, 2023 | Dec 31, 2022 | Dec 31, 2021 | Dec 31, 2020 | |
|---|---|---|---|---|---|
| Commercial Engines & Services (CES) | |||||
| Defense & Propulsion Technologies (DPT) | |||||
| Corporate & Other | |||||
| Total |
Based on: 10-K (reporting date: 2024-12-31), 10-K (reporting date: 2023-12-31), 10-K (reporting date: 2022-12-31), 10-K (reporting date: 2021-12-31), 10-K (reporting date: 2020-12-31).
The data on property, plant, and equipment additions for the reportable segments over the years 2022 to 2024 reveals significant trends in capital expenditure allocation across the segments.
- Commercial Engines & Services (CES)
- Starting from 2022, additions in this segment have demonstrated a pronounced upward trajectory, rising from $160 million in 2022 to $343 million in 2023, and further to $431 million in 2024. This consistent increase suggests an expanding focus or investment in commercial engine capabilities and related services.
- Defense & Propulsion Technologies (DPT)
- In contrast to CES, the Defense & Propulsion Technologies segment shows a slight declining trend. Additions decreased from $149 million in 2022 to $145 million in 2023, followed by a further reduction to $135 million in 2024. This may indicate a stabilization or strategic restraint in capital expenditures within defense-related propulsion technologies during this period.
- Corporate & Other
- This category exhibits an upward trend with fluctuations. Additions increased from $265 million in 2022 to $278 million in 2023, followed by a more substantial rise to $354 million in 2024. The incremental rise points to growing capital investment in corporate functions or areas categorized as other, which might include infrastructure or shared services.
- Total Additions
- The aggregate additions to property, plant, and equipment have shown a steady increase from $574 million in 2022 to $766 million in 2023, reaching $920 million in 2024. This overall growth reflects an intensifying capital expenditure strategy across all segments combined, with the bulk of growth driven by CES and Corporate & Other segments.
In summary, capital expenditures are increasing notably, especially within Commercial Engines & Services, indicating potential expansion or modernization efforts. Defense expenditures are slightly contracting, which may reflect strategic prioritization or market conditions. Corporate investments are also growing, possibly to support overall operational capabilities. The total rising trend signifies a strong commitment to asset growth and enhancement over the period analyzed.
Depreciation and amortization
GE Aerospace, depreciation and amortization by reportable segment
US$ in millions
| Dec 31, 2024 | Dec 31, 2023 | Dec 31, 2022 | Dec 31, 2021 | Dec 31, 2020 | |
|---|---|---|---|---|---|
| Commercial Engines & Services (CES) | |||||
| Defense & Propulsion Technologies (DPT) | |||||
| Corporate & Other | |||||
| Total |
Based on: 10-K (reporting date: 2024-12-31), 10-K (reporting date: 2023-12-31), 10-K (reporting date: 2022-12-31), 10-K (reporting date: 2021-12-31), 10-K (reporting date: 2020-12-31).
Over the observed periods, depreciation and amortization expenses related to reportable segments exhibit modest fluctuations in aggregate and by individual segments.
- Commercial Engines & Services (CES)
- This segment shows a slight increase in depreciation and amortization, rising from 362 million US dollars in 2022 to 370 million in 2024. The values indicate a small but steady upward trend, which may reflect ongoing asset investments or changes in asset base within this segment.
- Defense & Propulsion Technologies (DPT)
- The DPT segment records a gradual increase from 144 million US dollars in 2022 to 150 million in 2024. This incremental growth suggests consistent asset usage or acquisitions that contribute to rising depreciation and amortization costs over the periods considered.
- Corporate & Other
- This category presents a more variable pattern. Depreciation and amortization expenses decreased notably from 340 million US dollars in 2022 to 294 million in 2023, followed by a partial rebound to 314 million in 2024. This fluctuation may be associated with changes in corporate asset management or restructuring activities not directly related to operational segments.
- Total
- The total depreciation and amortization expense across all segments decreased from 846 million US dollars in 2022 to 797 million in 2023, and then recovered to 834 million in 2024. This mirrors the pattern observed in the Corporate & Other category, indicating that changes at the corporate level significantly influence the overall figure despite steady segment-level increases.
In summary, segment depreciation and amortization expenses experience generally slow upward trends within core operational segments, whereas the Corporate & Other expenses show greater variability, impacting the total expenses noticeably. The data suggests a stable asset base growth in operational units with more dynamic management of corporate assets or costs.