By Rob Curran

GE Vernova posted a first-quarter loss and reiterated its revenue growth targets for 2024 as growth blossomed for its electrification unit.

In its first earnings report since spinning off from General Electric, the provider of equipment and services to power plants and wind farms posted a loss of $106 million, or 47 cents a share, narrower than $346 million, or $1.15 a share, a year earlier.

Stripping out certain one-off items, GE Vernova posted a loss of 41 cents a share, compared to the average Wall Street target of 32 cents a share, as tallied by FactSet.

Revenue rose 6% to $7.26 billion, just shy of the average Wall Street peg of $7.28 billion, as per FactSet.

Revenue in the power unit rose 6% to $4 billion, with strong demand for gas-power services. Revenue in the wind unit fell 6% as onshore wind sales fell, even as the company caught up with offshore backlog. Revenue at the electrification unit, which provides software for tracking carbon and converting to electrical power sources, among other things, rose by 24% to $1.7 billion.

GE Vernova backed its projection for 2024 revenue in a range between $34 and $35 billion, with the strongest rate of growth anticipated in the electrification unit.

GE Vernova's spinoff became official in April. GE Aerospace recently posted first-quarter earnings ahead of expectations. After peaking on the stock market in the year 2000 under then-Chief Executive Jack Welch, GE struggled for decades to take advantage of its conglomerate structure and diverse range of units and products. Finally, current GE Aerospace Chief Executive Larry Culp decided to split the company up, and, in terms of stock-market value at least, the sum of the parts appears to be worth more than the whole ever was.

Adjusted for spinoffs, the value of GE shares recently topped 2008 levels.

Consolidated adjusted earnings for both GE Aerospace and GE Vernova were 82 cents per share for the quarter, with consolidated GAAP earnings coming out to $1.38 per share. Total consolidated revenue increased 11% to $16.1 billion.

Write to Rob Curran at

(END) Dow Jones Newswires

04-25-24 0702ET