Introduction

GE Aviation was established in 1917 and has become today, a leading provider of jet and turboprop
engines, components and integrated systems. It is also a tier-1 avionics supplier to the world's major
aircraft manufacturers i.e. Boeing and Airbus. To support its offerings, it has established global
manufacturing, overhaul, repair and service network. Headquarter of GE Aviation is located in
Cincinnati, Ohio (USA) and the company currently employs close to 40,000 people. It has partnered with
companies such as CFM International, Engine Alliance, etc.
GE Aviation moved into the civil aviation market in 1971 and thereafter expanded to manufacture
marine and industrial gas turbines in 1958. It was selected as the exclusive engine manufacturer for
Boeing 777 before entering into the integrated systems business in 2007. The Business and General
Aviation Business (B&GA) segment was the latest addition which was established in 2008.
Business Segments
GE Aviation currently operates in four business segments: Commercial, Military, B&GA and Marine.

Commercial

Military

Engines

Engines

Systems

Systems

Services

Services

Business &
General Aviation
Engines
Systems

Marine
Turbines
Systems

Services

Financial Performance:
Revenues for GE Aviation saw a dip from $18.7 billion in 2009 to $17.6 billion 2010. Thereafter, the
revenues constantly rose in 2011 ($18.8b), 2012 ($20.0B) and 2013 ($21.9b). Profits followed a similar
trend. Latest profit reported (for 2013) was $4.3 billion. From a high of 21%, the operating profit margin
remained low through 2010 to 2012 at around 18.5%, until it rose to near 20% in 2013.

25,000

21.00%

20,000

20.00%

15,000

19.00%
18.00%

10,000

17.00%
5,000

16.00%

15.00%
2009
2010
2011
GE Aviation Revenue (in million $)
Operating Profit Margin

2012
2013
GE Aviation Profits (in million $)