GE Vernova operationally and financially ready
to spin off from GE on April 2
- GE Vernova reaffirms 2024 financial guidance, presents its 2025
financial guidance and outlook by 2028
- Building financial momentum with significant adjusted EBITDA*
and free cash flow* growth ahead
- Debuting GE Vernova’s sustainability framework and lean
operating system while investing $1 billion in R&D annually,
creating value for all stakeholders
GE (NYSE: GE) announced that GE Vernova will host its 2024
Investor Day today in New York, New York. The event begins at
8:00am EST and can be viewed virtually here. GE Vernova CEO Scott
Strazik will be joined by GE Chairman and CEO and GE Aerospace CEO
H. Lawrence Culp, Jr., GE Board member and GE Vernova Non-Executive
Chair Steve Angel, and members of the GE Vernova leadership team to
discuss the strategic priorities and near- and longer-term outlook
for GE Vernova in advance of launching as an independent, public
company on April 2.
This press release features multimedia. View
the full release here:
https://www.businesswire.com/news/home/20240306605830/en/
(Graphic: GE)
GE Chairman and CEO and GE Aerospace CEO H. Lawrence Culp, Jr.
said, “Today is a tremendous milestone for GE Vernova, which is
ready to stand on its own as an independent, investment-grade
company leading the energy transition. Under Scott Strazik’s
leadership, GE Vernova is expected to deliver significant free cash
flow growth and is well-positioned to lead the industry forward. I
am extremely proud and confident in the future of GE Vernova.”
GE Board member and GE Vernova Non-Executive Chair Steve Angel
said, “GE Vernova is a purpose-built company serving a wide range
of global stakeholders seeking to electrify and decarbonize the
world. I am looking forward to partnering with the other board
members to drive strong governance while working closely with GE
Vernova’s leadership team to advance this crucial mission as a
standalone company.”
GE Vernova CEO Scott Strazik said, “The energy transition is the
next investment supercycle, and today we are excited to share GE
Vernova’s value creation strategy. With a vast installed base,
growing recurring revenue from high margin services, and a
significant backlog, GE Vernova provides a unique scope and scale
of solutions to serve the world’s most impactful electricity
providers. I am also proud to introduce GE Vernova’s sustainability
framework that will guide our work to create a more sustainable
power system, utilizing our lean operating system and investments
in innovation.”
The GE Vernova leadership team will present its strategy and
financial outlook, including across its three segments - Power,
Wind, and Electrification - highlighting how GE Vernova is:
- Purpose-built to electrify and decarbonize, serving the vital
energy transition market with multi-decade growth.
- Executing with sustainability, innovation and lean at our
core.
- Delivering disciplined growth to drive margin expansion, higher
free cash flow*, and effective capital allocation.
Financial Outlook
Today, GE Vernova reaffirms its 2024 guidance and outlines its
2025 guidance and outlook by 2028:
Financial Metric
2024 Guidance
2025 Guidance
Outlook by 2028
Revenue
$34-35B
Mid-single digit organic revenue
growth*
Mid-single digit organic revenue
growth*
Adjusted EBITDA Margin*
Mid-single digit (high-end)
High-single digit
(low-end)
10%
Free cash flow*
$0.7-1.1B
$1.2-1.8B
90-110% conversion
Capital Allocation Framework
GE Vernova is committed to maintaining an investment grade
credit rating, and its capital allocation framework includes:
- Organic investments
- Capital return to shareholders
- Inorganic growth optionality
Sustainability Framework
GE Vernova’s sustainability framework helps to deliver
innovative technologies to create a more sustainable electric power
system. It comprises four pillars, outlined on GE Vernova’s new
sustainability website: electrify, decarbonize, conserve, and
thrive.
Event Webcast
GE Vernova will broadcast the event live via webcast today
starting at 8:00am EST and it is expected to last approximately
four hours. The webcast and accompanying slide presentation can be
accessed by visiting GE Vernova’s Investor Relations website here.
An archived version of the webcast will be available on the website
after the call.
GE Vernova CEO Scott Strazik will be joined by the following
leaders: CFO Ken Parks, CEO of Power Maví Zingoni, CEO of Wind Vic
Abate, CEO of Electrification Systems Philippe Piron, CEO of
Electrification Software Scott Reese, President Jessica Uhl, Chief
Supply Chain Officer Dan Garceau, Chief Commercial Officer Pablo
Koziner, Chief Sustainability Officer Roger Martella, VP of
Investor Relations Michael Lapides, and Environmental Health &
Safety Leader Rob Cummings.
Additional Information
GE Vernova is expected to spin off from GE on April 2, 2024, and
list on the New York Stock Exchange under the ticker symbol “GEV.”
On February 29, 2024, to effect the separation, GE’s Board of
Directors approved a distribution to GE shareholders of all shares
of GE Vernova’s common stock. Investors, media, and the general
public are invited to learn more about the pending spin-off on GE’s
website and on GE Vernova’s Investor Relations website.
Additional Financial Information
Additional financial information can be found on the Company’s
website: www.gevernova.com/investors.
The Company website at www.gevernova.com/investors, as well as
GE Vernova’s LinkedIn and other social media accounts, contains a
significant amount of information about GE Vernova, including
financial and other information for investors. GE Vernova
encourages investors to visit these websites from time to time, as
information is updated, and new information is posted.
Non-GAAP Financial
Measures
In this document, the Company sometimes uses information derived
from consolidated financial data but not presented in its financial
statements prepared in accordance with U.S. generally accepted
accounting principles (GAAP). Certain of these data are considered
“non-GAAP financial measures” under the U.S. Securities and
Exchange Commission (SEC) rules. These non-GAAP financial measures
supplement the Company’s GAAP disclosures and should not be
considered an alternative to the GAAP measure. The reasons the
Company uses these non-GAAP financial measures and the
reconciliations to their most directly comparable GAAP financial
measures are included in this press release and GE Vernova's Form
10 filed with the SEC and any updates or amendments it makes in
future filings.
2024 AND 2025 GUIDANCE AND 2028
OUTLOOK
Free cash flow (non-GAAP)
($ in millions)
For the years ended December 31,
2024E
2025E
Cash from (used for) operating activities
(GAAP)
$
1,500-1,900
$
2,000-2,600
Add: gross additions to property, plant
and equipment and internal-use software
(800
)
(800
)
Free cash flow (Non-GAAP)
$
700-1,100
$
1,200-1,800
We cannot provide a reconciliation of the differences between
the non-GAAP expectations and the corresponding GAAP measure for
free cash flow* conversion in the 2028 outlook without unreasonable
effort due to the uncertainty of the costs and timing associated
with potential restructuring actions and the impacts of
depreciation and amortization.
Adjusted EBITDA margin (Non-GAAP)
We cannot provide a reconciliation of the differences between
non-GAAP expectations and the corresponding GAAP measure for
Adjusted EBITDA margin* in the 2028 outlook without unreasonable
effort due to the uncertainty of the costs and timing associated
with potential restructuring actions and the impacts of
depreciation and amortization.
*Non-GAAP Financial Measure
Forward-looking Statements
This document contains forward-looking statements – that is,
statements related to future events that by their nature address
matters that are, to different degrees, uncertain. These
forward-looking statements often address GE Vernova’s (Company)
expected future business and financial performance and financial
condition, and often contain words such as “expect,” “anticipate,”
“intend,” “plan,” “believe,” “seek,” “see,” “will,” “would,”
“estimate,” “forecast,” “target,” “preliminary,” or “range.”
Forward-looking statements by their nature address matters that
are, to different degrees, uncertain, such as statements about
planned and potential transactions, including GE’s planned spin-off
of GE Vernova; the impacts of macroeconomic and market conditions
and volatility on the Company’s business operations, financial
results and financial position and on the global supply chain and
world economy; its expected financial performance, including cash
flows, revenues, organic growth, margins, earnings and earnings per
share; the Company’s credit ratings and outlooks; its funding and
liquidity; its business’ cost structures and plans to reduce costs;
restructuring; goodwill impairment or other financial charges; or
tax rates.
For GE Vernova, particular areas where risks or uncertainties
could cause its actual results to be materially different than
those expressed in its forward-looking statements include:
- The Company’s success in executing planned and potential
transactions, including GE’s plan to pursue a spin-off of GE
Vernova;
- Changes in macroeconomic and market conditions and market
volatility, including risk of recession, inflation, supply chain
constraints or disruptions, interest rates, the value of securities
and other financial assets, oil, natural gas and other commodity
prices and exchange rates, and the impact of such changes and
volatility on the Company’s business operations, financial results
and financial position;
- Global economic trends, competition and geopolitical risks,
including impacts from the ongoing geopolitical conflicts (such as
the Russia-Ukraine conflict and conflict in the Middle East),
demand or supply shocks from events such as a major terrorist
attack, natural disasters or actual or threatened public health
pandemics or other emergencies, or an escalation of sanctions,
tariffs or other trade tensions, and related impacts on the
Company’s business’ goal supply chains and strategies;
- Actual or perceived quality issues or safety failures related
to the Company’s complex and specialized products, solutions and
services;
- Market developments or customer actions that may affect the
Company’s ability to achieve its anticipated operational cost
savings and implement initiatives to control or reduce operating
costs;
- Significant disruptions in the Company’s supply chain,
including the high cost or unavailability of raw materials,
components, and products essential to its business, and significant
disruptions to its manufacturing and production facilities and
distribution networks;
- The Company’s capital allocation plans, including the timing
and amount of dividends, share repurchases, acquisitions, organic
investments, and other priorities;
- Downgrades of the Company’s credit ratings or ratings outlooks,
or changes in rating application or methodology, and the related
impact on the Company’s funding profile, costs, liquidity and
competitive position;
- Shifts in market and other dynamics related to
decarbonization;
- The amount and timing of the Company’s cash flows and earnings,
which may be impacted by macroeconomic, customer, supplier,
competitive, contractual and other dynamics and conditions;
- Actions by the Company’s joint venture arrangements,
consortiums, and similar collaborations with third parties for
certain projects that result in additional costs and
obligations;
- Any reductions or modifications to, or the elimination of,
governmental incentives or policies that support renewable energy
and energy transition innovation and technology;
- The Company’s ability to develop and introduce new technologies
to meet market demand and evolving customer needs;
- Changes in law, regulation or policy that may affect the
Company’s businesses, such as trade policy and tariffs, regulation
and incentives related to climate change (including the impact of
the Inflation Reduction Act and other policies), environmental,
health and safety laws, and the effects of tax law changes;
- The impact related to information technology, cybersecurity or
data security breaches at GE Vernova or third parties; and
- The other factors that are described in the “Risk Factors”
section of GE Vernova’s Form 10 filed with the SEC and any updates
or amendments it makes in future filings.
These and other uncertainties may cause the Company’s actual
future results to be materially different than those expressed in
its forward-looking statements. GE Vernova does not undertake to
update its forward-looking statements. This document includes
certain forward-looking projected financial information that is
based on current estimates and forecasts. Actual results could
differ materially.
About GE
GE (NYSE:GE) rises to the challenge of building a world that
works. For more than 130 years, GE has invented the future of
industry, and today the company’s dedicated team, leading
technology, and global reach and capabilities help the world work
more efficiently, reliably, and safely. GE’s people are diverse and
dedicated, operating with the highest level of integrity and focus
to fulfill GE’s mission and deliver for its customers.
www.ge.com
About GE Vernova
GE Vernova is a planned, purpose-built global energy company
that includes Power, Wind, and Electrification businesses and is
supported by its accelerator businesses of Advanced Research,
Consulting Services, and Financial Services. Building on over 130
years of experience tackling the world’s challenges, GE Vernova is
uniquely positioned to help lead the energy transition by
continuing to electrify the world while simultaneously working to
decarbonize it. GE Vernova helps customers power economies and
deliver electricity that is vital to health, safety, security, and
improved quality of life. GE Vernova is headquartered in Cambridge,
Massachusetts, U.S., with more than 80,000 employees across 100+
countries around the world.
GE Vernova’s mission is embedded in its name – it retains its
legacy, “GE,” as an enduring and hard-earned badge of quality and
ingenuity. “Ver” / “verde” signal Earth’s verdant and lush
ecosystems. “Nova,” from the Latin “novus,” nods to a new,
innovative era of lower carbon energy. Supported by the Company
Purpose, The Energy to Change the World, GE Vernova will help
deliver a more affordable, reliable, sustainable, and secure energy
future. Learn more: GE Vernova’s website and LinkedIn.
www.gevernova.com
View source
version on businesswire.com: https://www.businesswire.com/news/home/20240306605830/en/
GE Vernova Investor Contact Michael Lapides 631.662.4317
M.Lapides@ge.com
GE Investor Contact Steve Winoker 617.443.3400
swinoker@ge.com
GE Vernova Media Contact Adam Tucker 518.227.2463
adam.tucker@ge.com
GE Media Contact Mary Kate Mullaney 202.304.6514
marykate.nevin@ge.com
GE Aerospace (NYSE:GE)
Gráfico Histórico do Ativo
De Mar 2024 até Abr 2024
GE Aerospace (NYSE:GE)
Gráfico Histórico do Ativo
De Abr 2023 até Abr 2024