Return on Equity (ROE)
since 2005
Calculation
GE Aerospace, ROE, long-term trends, calculation
| ROE | = | 100 | × | Net earnings (loss) attributable to the Company1 | ÷ | Shareholders’ equity1 | |
|---|---|---|---|---|---|---|---|
| Dec 31, 2024 | 33.90% | = | 100 | × | 6,556) | ÷ | 19,342) |
| Dec 31, 2023 | 34.63% | = | 100 | × | 9,481) | ÷ | 27,378) |
| Dec 31, 2022 | 0.62% | = | 100 | × | 225) | ÷ | 36,366) |
| Dec 31, 2021 | -16.17% | = | 100 | × | (6,520) | ÷ | 40,310) |
| Dec 31, 2020 | 16.04% | = | 100 | × | 5,704) | ÷ | 35,552) |
| Dec 31, 2019 | -17.58% | = | 100 | × | (4,979) | ÷ | 28,316) |
| Dec 31, 2018 | -72.16% | = | 100 | × | (22,355) | ÷ | 30,981) |
| Dec 31, 2017 | -9.00% | = | 100 | × | (5,786) | ÷ | 64,263) |
| Dec 31, 2016 | 11.65% | = | 100 | × | 8,831) | ÷ | 75,828) |
| Dec 31, 2015 | -6.23% | = | 100 | × | (6,126) | ÷ | 98,274) |
| Dec 31, 2014 | 11.89% | = | 100 | × | 15,233) | ÷ | 128,159) |
| Dec 31, 2013 | 10.00% | = | 100 | × | 13,057) | ÷ | 130,566) |
| Dec 31, 2012 | 11.09% | = | 100 | × | 13,641) | ÷ | 123,026) |
| Dec 31, 2011 | 12.15% | = | 100 | × | 14,151) | ÷ | 116,438) |
| Dec 31, 2010 | 9.79% | = | 100 | × | 11,644) | ÷ | 118,936) |
| Dec 31, 2009 | 9.40% | = | 100 | × | 11,025) | ÷ | 117,291) |
| Dec 31, 2008 | 16.63% | = | 100 | × | 17,410) | ÷ | 104,665) |
| Dec 31, 2007 | 19.22% | = | 100 | × | 22,208) | ÷ | 115,559) |
| Dec 31, 2006 | 18.55% | = | 100 | × | 20,829) | ÷ | 112,314) |
| Dec 31, 2005 | 14.95% | = | 100 | × | 16,353) | ÷ | 109,354) |
Based on: 10-K (reporting date: 2024-12-31), 10-K (reporting date: 2023-12-31), 10-K (reporting date: 2022-12-31), 10-K (reporting date: 2021-12-31), 10-K (reporting date: 2020-12-31), 10-K (reporting date: 2019-12-31), 10-K (reporting date: 2018-12-31), 10-K (reporting date: 2017-12-31), 10-K (reporting date: 2016-12-31), 10-K (reporting date: 2015-12-31), 10-K (reporting date: 2014-12-31), 10-K (reporting date: 2013-12-31), 10-K (reporting date: 2012-12-31), 10-K (reporting date: 2011-12-31), 10-K (reporting date: 2010-12-31), 10-K (reporting date: 2009-12-31), 10-K (reporting date: 2008-12-31), 10-K (reporting date: 2007-12-31), 10-K (reporting date: 2006-12-31), 10-K (reporting date: 2005-12-31).
1 US$ in millions
The analysis of the annual financial data reveals several distinct trends regarding the company's profitability and equity over the review period.
- Net Earnings (Loss) Attributable to the Company
- The company experienced generally positive net earnings from 2005 through 2014, with a peak in 2007 at 22,208 million USD. However, a significant downturn occurred in 2015, marked by a substantial loss of 6,126 million USD. The earnings then fluctuated notably, showing a recovery phase in some years (notably 2016, 2020, 2023, and 2024) but also returning to losses or minimal gains in others (notably 2017, 2018, 2019, and 2021). This volatility reflects a period of instability in profitability over the recent decade.
- Shareholders' Equity
- Shareholders' equity started at 109,354 million USD in 2005, displaying a gradual increase until reaching a high point around 2013 at over 130,000 million USD. Post-2013, equity values declined sharply, dropping continuously through 2018 to a low of 30,981 million USD. There was some recovery evident between 2019 and 2021, with equity increasing slightly but then decreasing again toward 2024, where the equity falls further to 19,342 million USD. The decline in equity signifies potential challenges related to retained earnings, asset devaluation, or capital structure over this time frame.
- Return on Equity (ROE)
- ROE demonstrates a pattern consistent with net earnings and equity trends. The company maintained healthy ROE percentages through 2014, peaking in 2007 at 19.22%. Subsequently, ROE experienced sharp declines and negative values after 2014, including a drastic negative return of -72.16% in 2018 and continued negative or near-zero returns in subsequent years. Notably, 2023 and 2024 saw a strong rebound in ROE to approximately 34%, indicating improved profitability relative to equity in those periods despite earlier difficulties. The volatility in ROE reflects fluctuations in both profitability and equity base, highlighting periods of operational and financial stress.
Overall, the data points to a generally stable and profitable period until around 2014, followed by a phase of significant financial challenges characterized by losses, diminished equity, and volatility in returns. The recent uptick in ROE and net earnings in the last two reported years suggests a potential recovery phase, though the lower level of shareholders’ equity compared to earlier years remains a concern.
Comparison to Competitors
GE Aerospace, ROE, long-term trends, comparison to competitors
| GE Aerospace | Boeing Co. | Caterpillar Inc. | Eaton Corp. plc | Honeywell International Inc. | Lockheed Martin Corp. | RTX Corp. | |
|---|---|---|---|---|---|---|---|
| Dec 31, 2024 | 33.90% | — | 55.37% | 20.52% | 30.64% | 84.26% | 7.94% |
| Dec 31, 2023 | 34.63% | — | 53.02% | 16.90% | 35.68% | 101.24% | 5.34% |
| Dec 31, 2022 | 0.62% | — | 42.25% | 14.45% | 29.74% | 61.86% | 7.16% |
| Dec 31, 2021 | -16.17% | — | 39.37% | 13.06% | 29.85% | 57.62% | 5.29% |
| Dec 31, 2020 | 16.04% | — | 19.56% | 9.44% | 27.23% | 113.60% | -4.88% |
| Dec 31, 2019 | -17.58% | — | 41.77% | 13.75% | 33.22% | 199.23% | 13.25% |
| Dec 31, 2018 | -72.16% | 3,085.55% | 43.79% | 13.32% | 37.21% | 361.98% | 13.70% |
| Dec 31, 2017 | -9.00% | 2,309.01% | 5.50% | 17.30% | 9.58% | — | 15.37% |
| Dec 31, 2016 | 11.65% | 599.14% | -0.51% | 12.90% | 24.83% | 350.89% | 18.33% |
| Dec 31, 2015 | -6.23% | 81.70% | 14.19% | 13.03% | 26.08% | 116.40% | 27.81% |
| Dec 31, 2014 | 11.89% | 62.85% | 22.06% | 11.36% | 24.01% | 106.29% | 19.93% |
| Dec 31, 2013 | 10.00% | 30.82% | 18.21% | 11.08% | 22.47% | 60.61% | 17.95% |
| Dec 31, 2012 | 11.09% | 66.47% | 32.40% | 8.07% | 22.55% | 7,038.46% | 19.80% |
| Dec 31, 2011 | 12.15% | 114.31% | 38.25% | 18.07% | 19.13% | 265.23% | 22.76% |
| Dec 31, 2010 | 9.79% | 119.56% | 24.94% | 12.62% | 18.96% | 78.91% | 20.45% |
| Dec 31, 2009 | 9.40% | 61.65% | 10.24% | 5.65% | 24.34% | 73.24% | 19.08% |
| Dec 31, 2008 | 16.63% | — | 58.44% | 16.75% | 38.85% | 112.29% | 29.46% |
| Dec 31, 2007 | 19.22% | 45.25% | 39.86% | 19.22% | 26.50% | 30.93% | 19.78% |
| Dec 31, 2006 | 18.55% | 46.74% | 51.57% | 23.14% | 21.43% | 36.74% | 21.58% |
| Dec 31, 2005 | 14.95% | 23.26% | 33.85% | 21.31% | 14.71% | 23.20% | 18.06% |
Based on: 10-K (reporting date: 2024-12-31), 10-K (reporting date: 2023-12-31), 10-K (reporting date: 2022-12-31), 10-K (reporting date: 2021-12-31), 10-K (reporting date: 2020-12-31), 10-K (reporting date: 2019-12-31), 10-K (reporting date: 2018-12-31), 10-K (reporting date: 2017-12-31), 10-K (reporting date: 2016-12-31), 10-K (reporting date: 2015-12-31), 10-K (reporting date: 2014-12-31), 10-K (reporting date: 2013-12-31), 10-K (reporting date: 2012-12-31), 10-K (reporting date: 2011-12-31), 10-K (reporting date: 2010-12-31), 10-K (reporting date: 2009-12-31), 10-K (reporting date: 2008-12-31), 10-K (reporting date: 2007-12-31), 10-K (reporting date: 2006-12-31), 10-K (reporting date: 2005-12-31).
Comparison to Sector (Capital Goods)
GE Aerospace, ROE, long-term trends, comparison to sector (capital goods)
| GE Aerospace | Capital Goods | |
|---|---|---|
| Dec 31, 2024 | 33.90% | 18.15% |
| Dec 31, 2023 | 34.63% | 27.89% |
| Dec 31, 2022 | 0.62% | 13.39% |
| Dec 31, 2021 | -16.17% | 8.48% |
| Dec 31, 2020 | 16.04% | 4.42% |
| Dec 31, 2019 | -17.58% | 18.11% |
| Dec 31, 2018 | -72.16% | 11.28% |
| Dec 31, 2017 | -9.00% | 10.13% |
| Dec 31, 2016 | 11.65% | 20.08% |
| Dec 31, 2015 | -6.23% | 10.42% |
| Dec 31, 2014 | 11.89% | 18.16% |
| Dec 31, 2013 | 10.00% | 15.14% |
| Dec 31, 2012 | 11.09% | 17.58% |
| Dec 31, 2011 | 12.15% | 19.63% |
| Dec 31, 2010 | 9.79% | 15.88% |
| Dec 31, 2009 | 9.40% | 13.47% |
| Dec 31, 2008 | 16.63% | 24.97% |
| Dec 31, 2007 | 19.22% | 22.64% |
| Dec 31, 2006 | 18.55% | 22.16% |
| Dec 31, 2005 | 14.95% | 17.27% |
Based on: 10-K (reporting date: 2024-12-31), 10-K (reporting date: 2023-12-31), 10-K (reporting date: 2022-12-31), 10-K (reporting date: 2021-12-31), 10-K (reporting date: 2020-12-31), 10-K (reporting date: 2019-12-31), 10-K (reporting date: 2018-12-31), 10-K (reporting date: 2017-12-31), 10-K (reporting date: 2016-12-31), 10-K (reporting date: 2015-12-31), 10-K (reporting date: 2014-12-31), 10-K (reporting date: 2013-12-31), 10-K (reporting date: 2012-12-31), 10-K (reporting date: 2011-12-31), 10-K (reporting date: 2010-12-31), 10-K (reporting date: 2009-12-31), 10-K (reporting date: 2008-12-31), 10-K (reporting date: 2007-12-31), 10-K (reporting date: 2006-12-31), 10-K (reporting date: 2005-12-31).
Comparison to Industry (Industrials)
GE Aerospace, ROE, long-term trends, comparison to industry (industrials)
| GE Aerospace | Industrials | |
|---|---|---|
| Dec 31, 2024 | 33.90% | 23.51% |
| Dec 31, 2023 | 34.63% | 27.70% |
| Dec 31, 2022 | 0.62% | 15.38% |
| Dec 31, 2021 | -16.17% | 15.38% |
| Dec 31, 2020 | 16.04% | 0.24% |
| Dec 31, 2019 | -17.58% | 14.56% |
| Dec 31, 2018 | -72.16% | 17.95% |
| Dec 31, 2017 | -9.00% | 18.24% |
| Dec 31, 2016 | 11.65% | 21.69% |
| Dec 31, 2015 | -6.23% | 16.11% |
| Dec 31, 2014 | 11.89% | 19.68% |
| Dec 31, 2013 | 10.00% | 16.40% |
| Dec 31, 2012 | 11.09% | 17.20% |
| Dec 31, 2011 | 12.15% | 20.10% |
| Dec 31, 2010 | 9.79% | 16.41% |
| Dec 31, 2009 | 9.40% | 12.84% |
| Dec 31, 2008 | 16.63% | 20.74% |
| Dec 31, 2007 | 19.22% | 20.36% |
| Dec 31, 2006 | 18.55% | 32.16% |
| Dec 31, 2005 | 14.95% | 7.80% |
Based on: 10-K (reporting date: 2024-12-31), 10-K (reporting date: 2023-12-31), 10-K (reporting date: 2022-12-31), 10-K (reporting date: 2021-12-31), 10-K (reporting date: 2020-12-31), 10-K (reporting date: 2019-12-31), 10-K (reporting date: 2018-12-31), 10-K (reporting date: 2017-12-31), 10-K (reporting date: 2016-12-31), 10-K (reporting date: 2015-12-31), 10-K (reporting date: 2014-12-31), 10-K (reporting date: 2013-12-31), 10-K (reporting date: 2012-12-31), 10-K (reporting date: 2011-12-31), 10-K (reporting date: 2010-12-31), 10-K (reporting date: 2009-12-31), 10-K (reporting date: 2008-12-31), 10-K (reporting date: 2007-12-31), 10-K (reporting date: 2006-12-31), 10-K (reporting date: 2005-12-31).