United States

United States

GE Renewable Energy continues to operate at a loss

The conglomerate's renewables business posted its third straight quarterly net loss despite growth in revenue and orders.

Orders for GE Renewable Energy's 12MW Haliade-X offshore turbine are mounting up
Orders for GE Renewable Energy's 12MW Haliade-X offshore turbine are mounting up

Google Translate

GE Renewable Energy saw its revenues in Q3 grow 13% year-on-year to $4.43 billion, while order income totalled $5 billion — up 30% on the same quarter of 2018.

For onshore wind, GE received 3.41GW of new business, a 56% increase on the same period a year ago. Meanwhile, it was named preferred supplier to deliver its 12MW Haliade-X offshore wind turbine for 4.8GW of offshore wind projects in the US and the UK.

Reporting Period Segment Profit / (Loss) Revenue
Q4 2018 $67 million $3,361 million
Q1 2019 ($162 million) $1,604 million
Q2 2019 ($184 million) $3,627 million
Q3 2019 ($98 million) $4,425 million

It is the third straight quarter of posting an operating loss. In Q1, GE Renewable Energy recording a segment loss of $162 million, followed by a further loss of $184 million in Q2.However, the business segment posted a operating loss of $98 million, compared to $116 million profit in Q3 2018.

The company explained the loss in Q3 was "driven by higher losses on legacy contracts, pricing, tariffs and increased R&D investment".

It was partly offset by "cost productivity and strong volume", the company added.

For the nine-month period between January and September, GE Renewable Energy saw orders income grow 22% to $12.2 billion and revenues increase 10% to $10.6 billion. Segment performance across the first nine months has fallen from a $312 million profit to a $469 million loss.

Have you registered with us yet?

Register now to enjoy more articles
and free email bulletins.

Sign up now
Already registered?
Sign in

Windpower Monthly Events


Latest Jobs