General Electric reported second-quarter earnings on Wednesday, which was slightly better than Wall Street expected.
GE's stock rose over 4.1% in pre-sale trading since its previous close of $ 10.52 a share.
GE reported adjusted revenue. from 17 cents a share, down 6% from the same quarter last year, but more than the 12 cents a share predicted by analysts surveyed by Refinitive. The company also reported lower revenue of $ 28.83 billion compared to the previous second quarter, which is also higher than analysts' expectations of Refinitiv for $ 28.68 billion.
The company also stated that its industrial cash flow for the second quarter was negative $ 1
"We have made steady progress on our strategic priorities in the second quarter. Our peak growth has been steady, and Power has made significant improvements in reducing fixed costs and executing projects," GE Chairman and CEO Larry Culp said in a statement. .
GE's free cash flow appears to stabilize close to Culp's forecast earlier this year. Some analysts have expected GE to report free cash flow for the second quarter between negative $ 1 billion and negative $ 2 billion. GE filing said industrial free cash flow for the first half of the year was negative $ 2.2 billion, which puts the company close to Culp's previous estimate of free cash flow for the year between $ 2 billion and $ 2 billion.
Culp has been tempering investor expectations for this year in previous comments as it seeks to reverse GE. Fighting the company's energy business "is in a serious turnaround," Culp said in March, and GE expects the gas-powered turbine market to stagnate by 2020.
Despite Culp's warnings, GE's shares are nearly 45% this year – up for its best year since 1999