Shares of General Electric Co (NYSE:GE) climbed 4% on Tuesday morning after GE Aerospace posted better-than-expected first-quarter earnings, driven by strong demand for commercial engine maintenance and gains in its defense business, and reaffirmed its full-year forecast.
The aerospace supplier reported adjusted earnings per share of $1.49 for the quarter ended March 31, topping analysts' average estimate of $1.27, according to LSEG data.
Revenue rose 11% from a year earlier to $9.9 billion, in line with expectations.
CEO Lawrence Culp Jr said the company got off to a “strong start” in 2025, citing a 60% jump in adjusted earnings per share and improvements in supply chain performance supported by its FLIGHT DECK digital operations suite.
"We are well-positioned to deliver on our full-year targets, supported by a backlog of more than $140 billion," Culp said.
The company reaffirmed its 2025 guidance, including adjusted EPS of $5.10 to $5.45 and free cash flow between $6.3 billion and $6.8 billion.
GE Aerospace completed its split from General Electric earlier this year, debuting as a standalone aerospace company focused on commercial and defense propulsion systems.
The company also announced plans to invest $1 billion in US manufacturing this year, part of a broader effort to expand production capacity and meet sustained demand for its commercial engines and services.