GE reports small loss as costs rise; oil profits down

23 Apr, 2016

General Electric reported a modest first-quarter loss Friday as costs rose and industrial profits dipped, in part due to a big drop in its oil and gas segment. GE reported a loss of $98 million, compared with the year-ago loss of $13.6 billion when results were marred by massive charges related to divestments of GE Capital. This time, results were hit by higher costs and interest and finance charges as the industrial giant proceeds with a massive scaling back of its financial operations.
Revenues were $25.3 billion, up 6.1 percent from the year-ago period. Industrial profits were $3.3 billion, down 6.9 percent, with profits lower in oil and gas, as well as in GE's power segment and transportation. Those declines were offset somewhat by higher profits in aviation and health care. "GE continues to deliver in a volatile environment," said chief executive Jeff Immelt. "The oil and gas environment is challenging and the value of GE is that we are able to offset this with better performance across the portfolio."

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