This article is based on an official press release from GE Aerospace.

GE Aerospace Reports 74% Surge in Q4 Orders, Issues Optimistic 2026 Guidance

GE Aerospace concluded its 2025 fiscal year with a robust fourth-quarter performance, reporting significant growth in orders and revenue that surpassed Wall Street expectations. In an official press release issued on January 22, 2026, the company announced a 74% year-over-year increase in orders for the fourth quarter, driven by sustained demand for commercial engines and a recovery in defense deliveries.

Despite the strong financial results, which included a “beat and raise” on earnings per share and revenue, the company’s stock price experienced volatility in trading sessions following the announcement. While the aviation giant projects continued double-digit growth into 2026, market analysts suggest the immediate stock reaction reflects profit-taking after a year of substantial gains.

Fourth Quarter and Full Year 2025 Financial Results

According to the company’s financial report, GE Aerospace delivered double-digit growth across key metrics. For the fourth quarter of 2025, the company reported total orders of $27.0 billion, a massive 74% increase compared to the same period in the previous year. Adjusted revenue for the quarter reached $11.9 billion, rising 20% year-over-year and beating analyst consensus estimates of approximately $11.2 billion.

Profitability metrics also showed strength. The company reported an adjusted Earnings Per Share (EPS) of $1.57 for the quarter, a 19% increase that exceeded the consensus estimate of $1.43. Operating profit grew by 14% to $2.3 billion.

For the full year of 2025, GE Aerospace highlighted the following results:

• Total Orders: $66.2 billion (up 32% year-over-year).
• Adjusted Revenue: $42.3 billion (up 21% year-over-year).
• Adjusted EPS: $6.37 (up 38% year-over-year).
• Free Cash Flow: $7.7 billion (up 24% year-over-year).

The company also noted a substantial backlog of approximately $190 billion, which management indicated represents nearly five years of revenue visibility at current production rates.

Operational Highlights: Services and Defense

The press release and accompanying presentation materials attributed the strong performance to high demand in both the Commercial Engines & Services (CES) and Defense sectors.

Commercial Engines & Services

Commercial services revenue grew 26% for the full year. This surge is largely attributed to higher volumes of shop visits and spare parts sales as airlines continue to fly older aircraft to meet travel demand. Additionally, the company achieved a record number of LEAP engine deliveries, which rose 28% year-over-year.

Defense Recovery

The Defense & Propulsion Technologies segment showed signs of overcoming previous supply chain hurdles. Defense engine deliveries increased 30% year-over-year, while orders in the segment jumped 61% in the fourth quarter. This indicates an easing of the constraints that had previously limited output in this critical sector.

“The proprietary FLIGHT DECK lean operating model [is credited] for improving turnaround times and output.”

, Larry Culp, CEO (Summarized from company remarks)

2026 Outlook and Guidance

Looking ahead, GE Aerospace management provided guidance for 2026 that projects continued expansion, albeit at a stabilizing rate compared to the rapid post-pandemic recovery phase. The company forecasts low double-digit growth in adjusted revenue and expects operating profit to land between $9.85 billion and $10.25 billion.

CFO Rahul Ghai also confirmed expectations that the LEAP engine program will reach profitability in 2026, a significant milestone for the company’s long-term margin expansion strategy. The guidance for adjusted EPS is set between $7.10 and $7.40, with Free Cash Flow projected between $8.0 billion and $8.4 billion.

AirPro News Analysis

The results from GE Aerospace reinforce the “aviation supercycle” narrative currently dominating the sector. With major airframers facing production delays, airlines are forced to extend the lifecycles of their existing fleets. This dynamic directly benefits GE Aerospace, which generates high-margin revenue from the aftermarket services and parts required to keep older engines operational.

Furthermore, the 30% increase in defense deliveries suggests that the worst of the supply chain disruptions may be resolving. This operational improvement allows the company to convert its massive $190 billion backlog into recognized revenue more efficiently. However, the market’s “sell the news” reaction, dropping the stock 3-6% despite the beat, highlights investor caution regarding valuation multiples after a ~70% rally over the last year.

Sources

• GE Aerospace Press Release