GE VERNOVA INC. GE Vernova Reports First Quarter 2024 Financial Results
Solid first quarter results; growing backlog1 & significant margin expansion across all segments; reaffirming 2024 guidance
First Quarter 2024 Highlights:
- Total orders of $9.7B with orders exceeding revenue, driving continued backlog1 growth
- Total revenue of $7.3B, +6%, +5% organically*, led by services growing +9%, +8% organically*
- Net income (loss) of $(0.1)B, +$0.2B; net income (loss) margin of (1.5)%, +360 bps
- Adjusted EBITDA* of $0.2B, +$0.3B organically*; adjusted EBITDA margin* of 2.6%, +470bps organically*
- Cash from (used for) operating activities of $(0.4)B, +$0.2B; free cash flow* (FCF) of $(0.7)B, +$0.2B, on improved earnings partially offset by increased working capital use
CAMBRIDGE, Mass., (Apr. 25, 2024) - GE Vernova Inc. (NYSE: GEV), a unique industry leader enabling customers to accelerate the energy transition, today reported financial results for the first quarter ending March 31, 2024.
"We delivered solid results with significant margin expansion across each segment, and I am pleased with the progress we are making as an independent company following our April 2 spin-off from GE. The energy transition is a growing, exciting market and GE Vernova is well-positioned to lead," said GE Vernova CEO Scott Strazik. "In 2024, we will continue to execute our strategy with sustainability, innovation, and lean at our core. With the combination of strong market demand and operational improvement in our businesses, we are electrifying and decarbonizing the world while delivering an attractive multi-year financial trajectory. I'm grateful to the entire GE Vernova team for their hard work to support our customers and stakeholders."
In the quarter, GE Vernova orders of $9.7 billion were flat, down (1)% organically. Revenue of $7.3 billion was up +6%, +5% organically*, driven by Electrification and Power. Services revenue grew +9%, +8% organically*, with growth across all segments. Margins were higher from price, productivity, cost management and volume.
Power
- Strong orders of $5.0 billion, up 24% organically from increased HA and Aeroderivative gas turbine equipment orders, and revenues of $4.0 billion increased +6%, +4% organically*, led by higher Gas Power services.
- Power secured orders for 8 HA gas units, includingan orderfor 7HA.03 equipment from Louisville Gas and Electric Company and Kentucky Utilities Company, regulated subsidiaries of PPL Corp. (NYSE:PPL).
Wind
- Orders of $1.1 billion, down (40)% organically as developers progress through siting and permitting, and revenues of $1.6 billion declined (6)%, (7)% organically*, from lower Onshore, partially offset by Offshore backlog execution.
- Wind booked 0.6GW of wind turbine orders while continuing to implement selectivity, lean, and pricing.
Electrification
- Orders of $3.6 billion, down (10)% organically with strong grid demand more than offset by a non-repeat of large High-Voltage Direct Current (HVDC) orders, and revenues of $1.7 billion grew +24%, +21% organically*, due to growth in Grid Solutions.
- Electrificationawardeda consortium contract with MYTILINEOS to supply two HVDC converter stations for Eastern Green Link 1 in the United Kingdom.
- Defined as remaining performance obligation (RPO) *Non-GAAP Financial Measure
Company Highlights:
- In the first quarter, GE Vernova experienced zero fatalities and demonstrated an Injury and Illness (I&I) rate of 0.372, a 5.1% improvement versus the prior year period.
- Invested $0.2 billion in capital expenditures versus $0.1 billion in the first quarter of 2023 to increase assembly capacity, supporting profitable growth.
- Funded $0.2 billion in research and development (R&D) spending to advance and commercialize breakthrough energy transition technologies.
- Hosted its2024 Investor Dayon March 6 and debuted its sustainability frameworkand lean operating system.
"With an encouraging start to the year, we are executing our financial strategy to deliver disciplined revenue growth with stronger profitability and free cash flow. We expect cash generation to improve meaningfully every quarter this year, in line with our typical seasonality," said GE Vernova CFO Ken Parks. "As we execute this strategy, we will focus on strategic capital allocation and remain committed to maintaining our investment-grade balance sheet."
Guidance:
GE Vernova reaffirmed its 2024 financial guidance for revenue of $34-35 billion, adjusted EBITDA margin* at the high end of mid-single digits, cash from operating activities of $1.5-1.9 billion, and free cash flow* of $0.7-1.1 billion. Additionally, GE Vernova reaffirmed segment guidance of:
- Power: mid-single digit organic revenue* growth with ~100bps of organic EBITDA margin* expansion.
- Wind: flat organic revenue* growth, approaching profitability.
- Electrification: low double-digit organic revenue* growth with mid-single digit segment EBITDA margins.
Total Company Results
Three months ended March 31 | ||||
(Dollars in millions, except per share) | 2024 | 2023 | Year-on- | |
Year | ||||
GAAP Metrics | ||||
Total Revenues | $7,260 | $6,822 | 6% | |
Net Income (loss) | $(106) | $(346) | $240 | |
Net Income (loss) margin | (1.5)% | (5.1)% | 360bps | |
EPS(a) | $(0.47) | $(1.15) | 59% | |
Cash from (used for) Operating Activities | $(444) | $(690) | $246 | |
Non-GAAP Metrics | ||||
Organic Revenues | $7,169 | $6,829 | 5% | |
Adjusted EBITDA | $189 | $(185) | $374 | |
Adjusted EBITDA margin | 2.6% | (2.7)% | 530bps | |
Adjusted Organic EBITDA margin | 3.1% | (1.6)% | 470bps | |
Adjusted EPS(a) | $(0.41) | $(1.25) | 67% | |
Free Cash Flow | $(661) | $(814) | $153 |
- Reflects earnings (loss) per share on a basic and diluted basis. On April 2, 2024, there were approximately 274 million shares of GE Vernova common stock outstanding. The computation of earnings (loss) per common share for all periods through March 31, 2024 was calculated using 274 million common shares and is net of Net loss (income) attributable to noncontrolling interests. For periods prior to the Spin-Off, the Company participated in various GE stock-based compensation plans. It is assumed that there are no dilutive equity instruments as there were no equity awards of GE Vernova outstanding prior to Spin-Off. Outstanding equity instruments may convert into equity instruments of the Company after the Spin-Off and be included in the diluted earnings per share calculation in future reporting periods to the extent such equity instruments are dilutive.
- Incidents per 100 full-time employees in a given time frame (trailing twelve months ending March 2024). *Non-GAAP Financial Measure
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Results by Reporting Segment
The following segment discussions and variance explanations are intended to reflect management's view of the relevant
comparisons of financial results.
Power
Three months ended March 31 | |||
(In millions) | 2024 | 2023 | Year-on-year |
Orders | $5,029 | $4,018 | 25% |
Revenues | $4,035 | $3,821 | 6% |
Segment EBITDA | $345 | $177 | $168 |
Segment EBITDA margin | 8.6% | 4.6% | 400bps |
First Quarter 2024 Power Performance:
Orders of $5.0 billion increased +25%, +24% organically, with higher equipment orders from increased HA and Aeroderivative gas turbines. Revenues of $4.0 billion increased +6%, +4% organically*, led by higher Gas Power services with higher outages and stronger pricing. Segment EBITDA was $0.3 billion and segment EBITDA margin was 8.6%, up +400 basis points, +340 basis points organically*, with higher Gas Power services volume, favorable price and productivity more than offsetting inflation.
Wind
Three months ended March 31 | |||
(In millions) | 2024 | 2023 | Year-on-Year |
Orders | $1,150 | $1,919 | (40)% |
Revenues | $1,639 | $1,751 | (6)% |
Segment EBITDA | $(173) | $(260) | $87 |
Segment EBITDA margin | (10.6)% | (14.8)% | 420bps |
First Quarter 2024 Wind Performance:
Orders of $1.1 billion declined (40)% reported and organically driven by lower Onshore Wind equipment, as North American customers continue to site and permit projects. Revenues of $1.6 billion declined (6)%, (7)% organically*, from lower Onshore Wind equipment volume, partially offset by higher Offshore Wind equipment and Wind services. Segment EBITDA was $(0.2) billion and segment EBITDA margin was (10.6)%, up +420 basis points, +400 basis points organically*, from continued cost reduction and improved pricing, with Onshore Wind positive for a third consecutive quarter.
Electrification
Three months ended March 31 | |||
(In millions) | 2024 | 2023 | Year-on-year |
Orders | $3,571 | $3,856 | (7)% |
Revenues | $1,651 | $1,331 | 24% |
Segment EBITDA | $66 | $(30) | $96 |
Segment EBITDA margin | 4.0% | (2.3)% | 630bps |
First Quarter 2024 Electrification Performance:
Orders of $3.6 billion declined (7)%, (10)% organically, with lower large HVDC orders, partially offset by strong grid demand. Revenues of $1.7 billion grew +24%, +21% organically*, due to growth in Grid Solutions. Segment EBITDA was $0.1 billion and segment EBITDA margin was 4.0%, up +630 basis points, +600 basis points organically*, due to rising volume, price, and productivity.
*Non-GAAP Financial Measure
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COMBINED STATEMENT OF INCOME (LOSS) (UNAUDITED) | Three months ended March 31 | ||
(In millions) | 2024 | 2023 | V% |
Sales of equipment | $3,617 | $3,489 | |
Sales of services | 3,642 | 3,333 | |
Total revenues | 7,260 | 6,822 | 6% |
Cost of equipment | 3,693 | 3,575 | |
Cost of services | 2,417 | 2,328 | |
Gross profit | 1,150 | 919 | 25% |
Selling, general and administrative expenses | 1,202 | 1,186 | |
Research and development expenses | 237 | 202 | |
Operating income (loss) | (289) | (469) | 38% |
Interest and other financial charges - net | (14) | (21) | |
Non-operating benefit income | 134 | 139 | |
Other income (expense) - net | 73 | (64) | |
Income (loss) before income taxes | (96) | (415) | 77% |
Provision (benefit) for income taxes | 10 | (69) | |
Net income (loss) | (106) | (346) | 69% |
Net loss (income) attributable to noncontrolling interests | (24) | 32 | |
Net income (loss) attributable to GE Vernova | $(130) | $(315) | 59% |
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COMBINED STATEMENT OF FINANCIAL POSITION (UNAUDITED)
(In millions) | March 31, 2024 December 31, 2023 | |
Cash, cash equivalents and restricted cash | $3,255 | $1,551 |
Current receivables - net | 6,992 | 7,409 |
Due from related parties | 104 | 80 |
Inventories, including deferred inventory costs | 8,859 | 8,253 |
Current contract assets | 8,579 | 8,339 |
All other current assets | 462 | 352 |
Assets of businesses held for sale | 993 | 1,444 |
Current assets | 29,243 | 27,428 |
Property, plant and equipment - net | 5,224 | 5,228 |
Goodwill | 4,403 | 4,437 |
Intangible assets - net | 991 | 1,042 |
Contract and other deferred assets | 633 | 621 |
Equity method investments | 3,647 | 3,555 |
Deferred income taxes | 1,428 | 1,582 |
All other assets | 2,303 | 2,228 |
Total assets | $47,872 | $46,121 |
Accounts payable and equipment project payables | $7,509 | $7,900 |
Due to related parties | 217 | 532 |
Contract liabilities and deferred income | 15,919 | 15,074 |
All other current liabilities | 4,399 | 4,352 |
Liabilities of businesses held for sale | 1,472 | 1,448 |
Current liabilities | 29,516 | 29,306 |
Deferred income taxes | 423 | 382 |
Non-current compensation and benefits | 3,266 | 3,273 |
All other liabilities | 4,687 | 4,780 |
Total liabilities | 37,892 | 37,741 |
Net parent investment | 9,659 | 8,051 |
Accumulated other comprehensive income (loss) - net attributable to GE Vernova | (686) | (635) |
Total equity attributable to GE Vernova | 8,974 | 7,416 |
Noncontrolling interests | 1,007 | 964 |
Total equity | 9,980 | 8,380 |
Total liabilities and equity | $47,872 | $46,121 |
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COMBINED STATEMENT OF CASH FLOWS (UNAUDITED) | Three months ended March 31 | |
(In millions) | 2024 | 2023 |
Net income (loss) | $(106) | $(346) |
Adjustments to reconcile net income (loss) to cash from (used for) operating activities | ||
Depreciation and amortization of property, plant and equipment | 188 | 176 |
Amortization of intangible assets | 63 | 55 |
Principal pension plans - net | (95) | (99) |
Other postretirement benefit plans - net | (47) | (83) |
Provision (benefit) for income taxes | 10 | (69) |
Cash recovered (paid) during the year for income taxes | (58) | (45) |
Changes in operating working capital: | ||
Decrease (increase) in current receivables | 359 | 591 |
Decrease (increase) in due from related parties | (56) | (12) |
Decrease (increase) in inventories, including deferred inventory costs | (717) | (739) |
Decrease (increase) in current contract assets | (270) | (36) |
Increase (decrease) in accounts payable and equipment project payables | (306) | (306) |
Increase (decrease) in due to related parties | (365) | 10 |
Increase (decrease) in contract liabilities and current deferred income | 885 | 317 |
All other operating activities | 71 | (104) |
Cash from (used for) operating activities | (444) | (690) |
Additions to property, plant and equipment and internal-use software | (217) | (124) |
Dispositions of property, plant and equipment | 4 | 2 |
Purchases of and contributions to equity method investments | (91) | (18) |
Sales of and distributions from equity method investments | 29 | 13 |
All other investing activities | (9) | 86 |
Cash from (used for) investing activities | (285) | (41) |
Net increase (decrease) in borrowings of maturities of 90 days or less | (23) | 18 |
Transfers from (to) Parent | 2,023 | 708 |
All other financing activities | (66) | (22) |
Cash from (used for) financing activities | 1,934 | 704 |
Effect of currency exchange rate changes on cash, cash equivalents and restricted cash | (32) | 13 |
Increase (decrease) in cash, cash equivalents and restricted cash, including cash | 1,173 | (14) |
classified within businesses held for sale | ||
Less: Net increase (decrease) in cash classified within businesses held for sale | (531) | (21) |
Increase (decrease) in cash, cash equivalents and restricted cash | 1,704 | 6 |
Cash, cash equivalents and restricted cash at beginning of year | 1,551 | 2,067 |
Cash, cash equivalents and restricted cash as of March 31 | $3,255 | $2,073 |
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Non-GAAP Financial Measures
The non-GAAP financial measures presented in this press release are supplemental measures of our performance and our liquidity that we believe help investors understand our financial condition and operating results and assess our future prospects. We believe that presenting these non-GAAP financial measures, in addition to the corresponding U.S. GAAP financial measures, are important supplemental measures that exclude non-cash or other items that may not be indicative of or are unrelated to our core operating results and the overall health of our company. We believe that these non-GAAP financial measures provide investors greater transparency to the information used by management for its operational decision-making and allows investors to see our results "through the eyes of management." We further believe that providing this information assists our investors in understanding our operating performance and the methodology used by management to evaluate and measure such performance. When read in conjunction with our U.S. GAAP results, these non-GAAP financial measures provide a baseline for analyzing trends in our underlying businesses and can be used by management as one basis for financial, operational and planning decisions. Finally, these measures are often used by analysts and other interested parties to evaluate companies in our industry.
Management recognizes that these non-GAAP financial measures have limitations, including that they may be calculated differently by other companies or may be used under different circumstances or for different purposes, thereby affecting their comparability from company to company. In order to compensate for these and the other limitations discussed below, management does not consider these measures in isolation from or as alternatives to the comparable financial measures determined in accordance with U.S. GAAP. Readers should review the reconciliations below and should not rely on any single financial measure to evaluate our business. The reasons we use these non-GAAP financial measures and the reconciliations to their most directly comparable GAAP financial measures follow. Unless otherwise noted, tables are presented in U.S. dollars in millions, except for per-share amounts which are presented in U.S. dollars. Certain columns and rows within tables may not add due to the use of rounded numbers. Percentages presented in this report are calculated from the underlying numbers in millions.
We believe the organic measures presented below provide management and investors with a more complete understanding of underlying operating results and trends of established, ongoing operations by excluding the effect of acquisitions, dispositions and foreign currency, which includes translational and transactional impacts, as these activities can obscure underlying trends.
ORGANIC REVENUES, EBITDA, AND EBITDA MARGIN BY SEGMENT (NON-GAAP)(a) | |||||||||||
Revenue | Segment EBITDA | Segment EBITDA margin | |||||||||
Three months ended March 31 | 2024 | 2023 | V% | 2024 | 2023 | V% | 2024 | 2023 | V bps | ||
Power (GAAP) | $4,035 | $3,821 | 6% | $345 | $177 | 95% | 8.6% | 4.6% | 400bps | ||
Less: Acquisitions | 41 | - | 14 | - | |||||||
Less: Business dispositions | - | - | - | - | |||||||
Less: Foreign currency effect | 12 | 1 | (39) | (49) | |||||||
Power organic (Non-GAAP) | $3,981 | $3,820 | 4% | $370 | $226 | 64% | 9.3% | 5.9% | 340bps | ||
Wind (GAAP) | $1,639 | $1,751 | (6)% | $(173) | $(260) | 33% | (10.6)% (14.8)% 420bps | ||||
Less: Acquisitions | - | - | - | - | |||||||
Less: Business dispositions | - | - | - | - | |||||||
Less: Foreign currency effect | 3 | (7) | (14) | (19) | |||||||
Wind organic (Non-GAAP) | $1,636 | $1,758 | (7)% | $(159) | $(241) | 34% | (9.7)% (13.7)% 400bps | ||||
Electrification (GAAP) | $1,651 | $1,331 | 24% | $66 | $(30) | F | 4.0% | (2.3)% 630bps | |||
Less: Acquisitions | 1 | - | - | - | |||||||
Less: Business dispositions | - | - | - | - | |||||||
Less: Foreign currency effect | 33 | (2) | (7) | (10) | |||||||
Electrification organic (Non-GAAP) | $1,617 | $1,333 | 21% | $73 | $(20) | F | 4.5% | (1.5)% 600bps |
(a) Includes intersegment sales of $78 million and $90 million for the three months ended March 31, 2024 and 2023, respectively.
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Three months ended March 31 | ||||
ORGANIC REVENUES (Non-GAAP) | 2024 | 2023 | V% | |
Total revenues (GAAP) | $7,260 | $6,822 | 6% | |
Less: Acquisitions | 42 | - | ||
Less: Business dispositions | - | - | ||
Less: Foreign currency effect | 48 | (8) | ||
Organic revenues (Non-GAAP) | $7,169 | $6,829 | 5% | |
Three months ended March 31 | ||||
EQUIPMENT AND SERVICES ORGANIC REVENUES (NON-GAAP) | 2024 | 2023 | V% | |
Total equipment revenues (GAAP) | $3,617 | $3,489 | 4% | |
Less: Acquisitions | 20 | - | ||
Less: Business dispositions | - | - | ||
Less: Foreign currency effect | 44 | (8) | ||
Equipment organic revenues (Non-GAAP) | $3,554 | $3,497 | 2% | |
Total services revenues (GAAP) | $3,642 | $3,333 | 9% | |
Less: Acquisitions | 23 | - | ||
Less: Business dispositions | - | - | ||
Less: Foreign currency effect | 4 | 1 | ||
Services organic revenues (Non-GAAP) | $3,615 | $3,332 | 8% |
We believe that Adjusted EBITDA* and Adjusted EBITDA margin*, which are adjusted to exclude the effects of unique and/or non-cash items that are not closely associated with ongoing operations provide management and investors with meaningful measures of our performance that increase the period-to-period comparability by highlighting the results from ongoing operations and the underlying profitability factors. We believe Adjusted organic EBITDA* and Adjusted organic EBITDA margin* provide management and investors with a more complete understanding of underlying operating results and trends of established, ongoing operations by further excluding the effect of acquisitions, dispositions and foreign currency, which includes translational and transactional impacts, as these activities can obscure underlying trends.
We believe these measures provide additional insight into how our businesses are performing, on a normalized basis. However, Adjusted EBITDA*, Adjusted organic EBITDA*, Adjusted EBITDA margin* and Adjusted organic EBITDA margin* should not be construed as inferring that our future results will be unaffected by the items for which the measures adjust.
Three months ended March 31 | |||
ADJUSTED EBITDA AND ADJUSTED EBITDA MARGIN (NON-GAAP) | 2024 | 2023 | V% |
Net income (loss) (GAAP) | $(106) | $(346) | 69% |
Add: Restructuring and other charges(a) | 148 | 110 | |
Add: Purchases and sales of business interests(b) | 5 | - | |
Add: Non-operating benefit income(c) | (134) | (139) | |
Add: Depreciation and amortization(d) | 209 | 204 | |
Add: Interest and other financial charges - net(e) | 4 | 9 | |
Add: Provision (benefit) for income taxes(e) | 64 | (22) | |
Adjusted EBITDA (Non-GAAP) | $189 | $(185) | F |
Net income (loss) margin (GAAP) | (1.5)% | (5.1)% | 360bps |
Adjusted EBITDA margin (Non-GAAP) | 2.6 % | (2.7)% | 530bps |
- Consists of severance, facility closures, acquisition and disposition, and other charges associated with major restructuring programs.
- Consists of gains and losses resulting from the purchases and sales of business interests and assets.
- Primarily related to the expected return on plan assets, partially offset by interest cost.
- Excludes depreciation and amortization expense related to Restructuring and other charges.
- Excludes interest expense of $10 million and $12 million and benefit for income taxes of $54 million and $47 million for the three months ended March 31, 2024 and 2023, respectively, related to our Financial Services business which, because of the nature of its investments, is measured on an after-tax basis due to its strategic investments in renewable energy tax equity investments.
*Non-GAAP Financial Measure
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Three months ended March 31 | |||
ADJUSTED ORGANIC EBITDA AND ADJUSTED ORGANIC EBITDA MARGIN (NON-GAAP) | 2024 | 2023 | V% |
Adjusted EBITDA (Non-GAAP) | $189 | $(185) | F |
Less: Acquisitions | 14 | - | |
Less: Business dispositions | - | - | |
Less: Foreign currency effect | (46) | (78) | |
Adjusted organic EBITDA (Non-GAAP) | $222 | $(106) | F |
Adjusted EBITDA margin (Non-GAAP) | 2.6 % | (2.7)% | 530bps |
Adjusted organic EBITDA margin (Non-GAAP) | 3.1 % | (1.6)% | 470bps |
We believe Adjusted net income* and Adjusted net income margin* provide investors with improved comparability of underlying operating results and a further understanding and additional transparency regarding how we evaluate our business. Adjusted net income* also provides management and investors with additional perspective regarding the impact of certain significant items on our earnings. Adjusted net income* excludes non-operating benefit income, certain tax expenses, and unique and/or non-cash items, that can have a material impact on our results. In addition, we may from time to time consider excluding other nonrecurring items to enhance comparability between periods. However, Adjusted net income* and Adjusted net income margin* should not be construed as inferring that our future results will be unaffected by the items for which the measures adjust.
Three months ended March 31 | |||
ADJUSTED NET INCOME AND ADJUSTED NET INCOME MARGIN (NON-GAAP) | 2024 | 2023 | V% |
Net income (loss) (GAAP) | $(106) | $(346) | 69% |
Add: Restructuring and other charges(a) | 148 | 110 | |
Add: Purchases and sales of business interests(b) | 5 | - | |
Add: Non-operating benefit income(c) | (134) | (139) | |
Add: Tax effect of reconciling items | (1) | 3 | |
Adjusted net income (Non-GAAP) | $(88) | $(373) | 76% |
Net income (loss) margin (GAAP) | (1.5)% | (5.1)% | 360bps |
Adjusted net income margin (Non-GAAP) | (1.2)% | (5.5)% | 430bps |
- Consists of severance, facility closures, acquisition and disposition, and other charges associated with major restructuring programs.
- Consists of gains and losses resulting from the purchases and sales of business interests and assets.
- Primarily related to the expected return on plan assets, partially offset by interest cost.
We believe Adjusted earnings (loss) per share* provides investors with improved comparability of underlying operating results and a further understanding and additional transparency regarding how we evaluate our business. Adjusted earnings (loss) per share* also provides management and investors with additional perspective regarding the impact of certain significant items on our per share earnings (loss). Adjusted earnings (loss) per share* excludes non-operating benefit income, certain tax expenses, and unique and/or non-cash items that can have a material impact on our results. In addition, we may from time to time consider excluding other nonrecurring items to enhance comparability between periods. However, Adjusted earnings (loss) per share* should not be construed as inferring that our future results will be unaffected by the items for which the measure adjusts.
Three months ended March 31 | |||
ADJUSTED EARNINGS (LOSS) PER SHARE (NON-GAAP) | 2024 | 2023 | V% |
Earnings (loss) per share (GAAP) | $(0.47) | $(1.15) | 59% |
Add: Restructuring and other charges(a) | 0.54 | 0.40 | |
Add: Purchases and sales of business interests(b) | 0.02 | - | |
Add: Non-operating benefit income(c) | (0.49) | (0.51) | |
Add: Tax effect of reconciling items | - | 0.01 | |
Adjusted earnings (loss) per share (Non-GAAP)(d) | $(0.41) | $(1.25) | 67% |
- Consists of severance, facility closures, acquisition and disposition, and other charges associated with major restructuring programs.
- Consists of gains and losses resulting from the purchases and sales of business interests and assets.
- Primarily related to the expected return on plan assets, partially offset by interest cost.
- Adjusted earnings (loss) per share* amounts are computed independently, and thus, the sum of per-share amounts may not equal the total.
*Non-GAAP Financial Measure
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We believe that free cash flow* provides management and investors with an important measure of our ability to generate cash on a normalized basis. Free cash flow* also provides insight into our ability to produce cash subsequent to fulfilling our capital obligations; however, free cash flow* does not delineate funds available for discretionary uses as it does not deduct the payments required for certain investing and financing activities.
Three months ended March 31 | ||||
FREE CASH FLOW (NON-GAAP) | 2024 | 2023 | V% | |
Cash from (used for) operating activities (GAAP) | $(444) | $(690) | 36% | |
Add: Gross additions to property, plant and equipment and internal-use software | (217) | (124) | ||
Free cash flow (Non-GAAP) | $(661) | $(814) | 19% | |
2024 GUIDANCE: FREE CASH FLOW (NON-GAAP) | ||||
For the years ended December 31 | 2024E | |||
Cash from (used for) operating activities (GAAP) | $1,500-1,900 | |||
Add: gross additions to property, plant and equipment and internal-use software | (800) | |||
Free cash flow (Non-GAAP) | $700-1,100 |
2024 GUIDANCE: POWER SEGMENT ORGANIC EBITDA MARGIN (NON-GAAP)
We cannot provide a reconciliation of the differences between non-GAAP expectations and the corresponding GAAP measure for organic EBITDA margin* expansion for the Power segment in the 2024 outlook without unreasonable effort due to the uncertainty of foreign exchange rates.
*Non-GAAP Financial Measure
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GE Vernova Inc. published this content on 25 April 2024 and is solely responsible for the information contained therein. Distributed by Public, unedited and unaltered, on 25 April 2024 10:30:07 UTC.
