General Electric Beats on Both Top and Bottom Lines

Just the facts, Fool.

Seth Jayson
Seth Jayson
Mar 4, 2013 at 12:00AM
Other

General Electric (NYSE: GE) filed its 10-K on Feb. 26. Here are the numbers you need to know.

The 10-second takeaway
For the quarter ended Dec. 31 (Q4), General Electric beat slightly on revenues and beat slightly on earnings per share.

Compared to the prior-year quarter, revenue grew. Non-GAAP earnings per share grew. GAAP earnings per share grew.

Gross margins expanded, operating margins increased, net margins dropped.

Revenue details
General Electric booked revenue of $39.33 billion. The 11 analysts polled by S&P Capital IQ wanted to see revenue of $38.70 billion on the same basis. GAAP reported sales were 13% higher than the prior-year quarter's $34.17 billion.

Source: S&P Capital IQ. Quarterly periods. Dollar amounts in millions. Non-GAAP figures may vary to maintain comparability with estimates.

EPS details
EPS came in at $0.44. The 14 earnings estimates compiled by S&P Capital IQ forecast $0.43 per share. Non-GAAP EPS of $0.44 for Q4 were 13% higher than the prior-year quarter's $0.39 per share. (The prior-year quarter included -$0.02 per share in earnings from discontinued operations.) GAAP EPS of $0.38 for Q4 were 8.6% higher than the prior-year quarter's $0.35 per share. (The prior-year quarter included -$0.02 per share in earnings from discontinued operations.)

Source: S&P Capital IQ. Quarterly periods. Non-GAAP figures may vary to maintain comparability with estimates.

Margin details
For the quarter, gross margin was 39.9%, 510 basis points better than the prior-year quarter. Operating margin was 13.4%, much better than the prior-year quarter. Net margin was 10.4%, 50 basis points worse than the prior-year quarter.

Looking ahead
Next quarter's average estimate for revenue is $34.92 billion. On the bottom line, the average EPS estimate is $0.35.

Next year's average estimate for revenue is $148.90 billion. The average EPS estimate is $1.68.

Investor sentiment
The stock has a four-star rating (out of five) at Motley Fool CAPS, with 15,476 members out of 16,519 rating the stock outperform, and 1,043 members rating it underperform. Among 3,135 CAPS All-Star picks (recommendations by the highest-ranked CAPS members), 2,989 give General Electric a green thumbs-up, and 146 give it a red thumbs-down.

Of Wall Street recommendations tracked by S&P Capital IQ, the average opinion on General Electric is outperform, with an average price target of $24.62.

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