GE Aerospace

Overview

GE Aerospace is a global, two-segment aerospace company that designs, manufactures, and services aircraft engines and propulsion systems for commercial, business and defense customers. It also develops propulsion technologies and related components through Avio Aero, Unison, Dowty Propellers and Colibrium Additive within its Defense & Propulsion Technologies segment. Core activities include engine design and manufacturing, aftermarket maintenance, repair and overhaul (MRO), spare parts, and long-term service agreements.

Segments and offerings

Commercial Engines & Services (CES)

• Designs, develops, manufactures and services jet engines for commercial airframes, business aviation and aeroderivative applications.
• Aftermarket services include MRO, spare parts, long-term service agreements (LTSA), spare parts arrangements, and time-and-material contracts.
• Engines power narrowbody, widebody and regional aircraft. CFM International, a joint venture with Safran Aircraft Engines, is a major non-consolidated partner.

Defense & Propulsion Technologies (DPT)

• Provides defense engines, avionics and power systems for governments and militaries, plus associated support services.
• Propulsion & Additive Technologies (P&AT) designs and manufactures aircraft components and systems through Avio Aero, Unison, Dowty Propellers and Colibrium Additive for commercial and military applications, including additive manufacturing and advanced propulsion systems.

Product programs and milestones (2025)

• GE9X, GEnx and LEAP engine programs; plans to expand LEAP ramp capacity and MRO capacity.
• GEnx high-pressure turbine blade reached a durability milestone of over 4,000 cycles.
• Dust ingestion testing on the GE9X and evaluation of RISE program technologies (Open Fan, compact core, hybrid electric).
• T901 first flight on a Black Hawk helicopter.
• Continued support for F110-GE-129 and F404/F414 defense platforms; HAL order for F404-GE-IN20 engines.

Scale and geography

• Global footprint: about 70 facilities in the United States and Puerto Rico (24 owned) and 62 facilities in 23 other countries (30 owned).
• Workforce: approximately 57,000 employees as of December 31, 2025; about 30,000 employed in the United States; roughly 3,800 union-represented manufacturing and service employees in the U.S.
• Customer base: serves customers in roughly 120 countries, including airframers and airlines. Key 2025 engine commitments came from Qatar Airways, Emirates, ANA Holdings, Malaysia Aviation Group, Korean Air, Cathay Pacific and Pegasus.

Financial highlights (fiscal year ended December 31, 2025)

Revenue

• Total revenue: $45.855 billion (GAAP) vs. $38.702 billion in 2024 and $35.348 billion in 2023.
• Segment revenue: CES $33.314 billion; DPT $10.554 billion; combined segment revenue $43.868 billion (before insurance and eliminations). Insurance revenue contributed $3.533 billion to total revenue.
• CES revenue components: Equipment $8.304 billion; Services $25.010 billion.
• DPT revenue components: Defense engines (D&S) $6.574 billion; Propulsion & Additive Technologies (P&AT) $3.980 billion.

Profitability

• Net income from continuing operations (GAAP): about $8.60 billion (diluted EPS from continuing operations: $8.05; basic $8.11).
• Net income attributable to common shareholders (GAAP): about $8.704 billion; diluted EPS (GAAP) $8.05; basic $8.11.
• Segment profits: CES $8.861 billion (segment profit margin 26.6%); DPT $1.296 billion (segment profit margin 12.3%).
• Adjusted operating profit: approximately $9.055 billion with an adjusted margin near 21.4%.

Remaining Performance Obligation (RPO)

• Total RPO: $190.564 billion as of December 31, 2025 (Equipment $27.534 billion; Services $163.029 billion).
• RPO increased $18.9 billion (11%) year over year.

Cash flow and liquidity

• Cash, cash equivalents and restricted cash: $12.392 billion at December 31, 2025 (U.S. $9.9B; outside U.S. $2.5B).
• Cash flow from operating activities (continuing operations): $8.543 billion in 2025.
• Free cash flow (non-GAAP): $7.694 billion in 2025.
• Total borrowings: $20.5 billion; long-term borrowings $18.808 billion.
• Revolving credit facility available up to $3.0 billion with zero outstanding at year-end.
• New long-term debt issued in 2025: $2.0 billion.
• Share repurchases: 29.6 million shares repurchased in 2025 for $7.4 billion; 6.404 million shares repurchased in Q4 2025 for $2.006 billion. Board approved a new repurchase authorization of up to $20 billion in December 2025; cumulative repurchases under the prior authorization totaled about $12.3 billion.

Research and development

• Total 2025 R&D expense: $2.989 billion (GE Aerospace funded $1.580 billion; customer/partner funded $1.409 billion).

Tax and income

• Effective tax rate (GAAP): 14.1% in 2025; adjusted effective tax rate (Non-GAAP): 17.3%.
• 2025 tax provision: approximately $1.405 billion; cash taxes paid about $585 million.

Insurance and run-off operations

• Run-off insurance operations include ERAC and UFLIC. Insurance revenue in 2025 was $3.533 billion.

2026 and strategic moves

• On January 15, 2026, GE Aerospace announced CES would expand to cover the entire commercial engine lifecycle and that the Aeroderivative business would move to the Defense, Propulsion & Technologies segment.

Operations and risk

• The company applies the FLIGHT DECK operating model to improve safety, quality, delivery and cost.
• Exposure areas include macroeconomic conditions, supply chain constraints, tariffs and government defense spending dynamics.
• The business maintains extensive long-term service agreements and a substantial LTSA-backed backlog that supports aftermarket revenue over multi-year horizons.

Summary

GE Aerospace operates two primary segments—Commercial Engines & Services and Defense & Propulsion Technologies—designing, building and servicing jet engines, power systems and propulsion components for civil and military applications. In 2025 the company reported $45.9 billion in total revenue, produced roughly $8.6–8.7 billion in net income under GAAP measures, held about $190.6 billion of RPO, employed roughly 57,000 people, and maintained significant cash, borrowing and share repurchase activity. The company serves customers in about 120 countries and operates a broad global footprint across dozens of facilities.