GE: Strong Q2 Earnings Lift Outlook — But $GE’s 2017 Power Settlement Still Weighs
Court: S.D. New York
Case: 1:17-cv-08457
GE Aerospace 
GE delivered a strong Q2 performance, reporting EPS of $1.66—beating expectations by $0.26—and revenue of $10.15 billion, topping the $9.54 billion consensus. The solid results bolster confidence in the company’s aerospace momentum. However, investors are still dealing with the aftermath of a long-running lawsuit tied to misstatements around GE's Power division dating back to 2017.
✈️ What We Know About GE’s Momentum
- Q2 EPS: $1.66 vs. $1.40 expected
- Revenue: $10.15B, beating $9.54B consensus
- Aerospace strength driving improved top-line performance
- Guidance for FY2025 reaffirmed, with higher expected free cash flow
- Shares up 0.57% intraday on strong earnings report
- GE Aerospace remains a key player in the commercial and defense aviation markets
🧾 But a Legacy Lawsuit Still Lingers Over GE
GE reached a settlement with investors over allegations it overstated 2017 guidance by concealing Power division weaknesses.
📆 Timeline Overview
- Oct 20, 2017 – GE cut cash flow guidance; GE fell 7%
- Nov 13, 2017 – Announced 50% dividend cut; stock dropped 12.5%
- Jan 16, 2018 – Disclosed $6.2B insurance charge; GE declined 13%
- Nov 1, 2019 – Investors filed lawsuit over misleading financial guidance
- Jan 2025 – GE agreed to settle the case with affected shareholders
💼 Allegations Include
- Overstating the financial health of its Power segment
- Failing to disclose significant insurance reserve risks
- Misleading investors on projected cash flow and dividend stability
💰 Investor Update
- Settlement finalized in January 2025
- Addresses investor losses from late 2017 to early 2018
- Payout process expected to begin following court approval
👉 You can check more information about it and file for a payout HERE.
As GE Aerospace charts a strong future with impressive earnings, investors are still collecting restitution for past missteps that remind shareholders of the costs of financial opacity.