General Electric Co reported on Friday that first-quarter cash flow from its industrial operations turned negative and was less than the company expected, though its earnings and revenue exceeded analyst estimates.
GE reported a negative $1.6-billion in cash flow from industrial operating activities compared with a negative $600-million it expected for the quarter due to higher working capital and the timing of bills to customers.
Still, GE said it expects to hit its cash target of $12-billion to $14-billion for the full year. Investors have been watching cash flow as an indicator of GE’s operating performance.
Revenue fell 1 per cent to $27.66-billion at the maker of jet engines, power plants and other industrial equipment, due to lower sales in its oil-and-gas and lighting businesses. The figure beat analysts’ estimates of $26.26-billion, according to Thomson Reuters I/B/E/S.
Earnings from continuing operations attributable to GE shareholders rose to $858-million in the quarter ended March 31, from $248-million a year earlier.
Earnings per share from continuing operations rose to 10 cents from 3 cents. Adjusted earnings of 21 cents a share were unchanged from a year ago and beat analyst estimates of 17 cents, according to Thomson Reuters I/B/E/S.
GE shares were little changed in premarket trading at $30.28.Report Typo/Error