# GE Aerospace (GE) Q2 2026 earnings

Results filed 2026-07-16 for the quarter ended 2026-06-30. Source page: https://earnings.opennash.com/companies/ge/2026-q2/
Press release and exhibits: https://www.sec.gov/Archives/edgar/data/40545/000004054526000047/0000040545-26-000047-index.htm
> Summaries and transcripts are machine-generated and can contain errors.

## In brief

GE Aerospace reported second quarter 2026 total revenue (GAAP) of $13.3B, +21%, continuing EPS (GAAP) of $2.30, +23%, adjusted EPS* $2.02, +22%, and free cash flow* $3.0B, +43%.

GE Aerospace had a strong second quarter. Total orders were $16.5B, +17%, and adjusted revenue* was $12.6B, +24%. Commercial services drove the growth: Commercial Engines & Services (CES) revenue was $9.7 billion, up 27%, with services up 26%. Adjusted EPS* was $2.02, +22%, and free cash flow* was $3.0B, +43%. Operating profit margin* fell to 21.7%, (130) bps, as engine volume, investments and inflation weighed on margins.
Management raised its full-year 2026 guidance across the board. Adjusted revenue* growth is now expected in the high-teens, operating profit* $10.55 - $10.75B, adjusted EPS* $7.65 - $7.85 and free cash flow* $8.9 - $9.2B. CES operating profit is guided to $10.25-$10.35 billion. The main tension is that growth in new engine installs, investments and inflation continue to pressure margins, while the release also cites supply chain, tariff and geopolitical risks.

## Key numbers

| Metric | Value | Change | Basis |
| --- | --- | --- | --- |
| Total revenue | $13.3B | +21% | GAAP |
| Net income from continuing operations | $2,405 |  | GAAP |
| Continuing EPS | $2.30 | +23% | GAAP |
| Adjusted EPS | $2.02 | +22% | non-GAAP |
| Operating profit | $2.7B | +18% | non-GAAP |
| Operating profit margin | 21.7% | (130) bps | non-GAAP |
| Cash from operating activities | $3.3B | +39% | GAAP |
| Free cash flow | $3.0B | +43% | non-GAAP |

## Segments and operating metrics

| Name | Value | Change |
| --- | --- | --- |
| CES revenue | $9.7 billion | up 27% |
| CES orders | $12.9 billion | increased 18% |
| CES operating profit | $2.7 billion | up 20% |
| DPT revenue | $3.4 billion | grew 16% |
| DPT orders | $4.1 billion | up 12% |
| DPT operating profit | $475 million | up 18% |

## Outlook

| Metric | Period | Outlook |
| --- | --- | --- |
| Operating profit | full-year 2026 | $10.55 - $10.75B |
| Adjusted EPS | full-year 2026 | $7.65 - $7.85 |
| Free cash flow | full-year 2026 | $8.9 - $9.2B |
| CES revenue growth | full-year 2026 (CES) | ~20% |
| CES operating profit | full-year 2026 (CES) | $10.25-$10.35 billion |
| DPT operating profit | full-year 2026 (DPT) | $1.6-$1.7 billion |

## Key takeaways

1. **Commercial services drove the quarter** CES revenue of $9.7 billion was up 27%, with services up 26% and internal shop visit revenue up 25%. Spare parts revenue was up over 25%.
2. **Full-year guidance raised across the board** Adjusted EPS* guidance moved to $7.65 - $7.85 from $7.10 - $7.40, and free cash flow* to $8.9 - $9.2B from $8.0 - $8.4B. Operating profit* is now $10.55 - $10.75B.
3. **Margins contracted despite strong growth** Operating profit margin* was 21.7%, (130) bps, and CES margin was 27.3%, (160)bps. The release cites install engine growth (including GE9X), investments and inflation.
4. **Cash generation outpaced earnings growth** Free cash flow* of $3.0B was up 43% and cash from operating activities (GAAP) of $3.3B was up 39%, against adjusted EPS* up 22%.
5. **Engine deliveries and backlog remain strong** Total engine deliveries increased 31% in the first half, including LEAP deliveries up 41%. Management cites a backlog of over $210 billion.

## Questions

**What were GE Aerospace's headline results for Q2 2026?** Total revenue (GAAP) was $13.3B, +21%, and adjusted revenue* was $12.6B, +24%. Continuing EPS (GAAP) was $2.30, +23%, and adjusted EPS* was $2.02, +22%.
**How much cash did GE Aerospace generate in the quarter?** Cash from operating activities (GAAP) was $3.3B, +39%, and free cash flow* was $3.0B, +43%. Free cash flow* was $4,685 million for the first six months of 2026.
**What is GE Aerospace's updated 2026 guidance?** The company now expects adjusted revenue* growth in the high-teens, operating profit* of $10.55 - $10.75B, adjusted EPS* of $7.65 - $7.85 and free cash flow* of $8.9 - $9.2B. Each was raised from the prior guide.
**Which segment drove growth, and how did margins fare?** Commercial Engines & Services revenue was $9.7 billion, up 27%, led by services up 26%. Its operating profit margin was 27.3%, down (160) bps from install engine growth, investments and inflation.
**How did the Defense & Propulsion Technologies segment perform?** DPT revenue was $3.4 billion, up 16%, and operating profit was $475 million, up 18%, with margin up 30 basis points. DPT now expects 2026 operating profit of $1.6-$1.7 billion.