US conglomerate General Electric reported Friday fourth quarter 2007 net profits of 6.7 billion dollars, or 66 cents per share, amid improved sales of big-ticket items and strong performance in overseas markets, according to dpa. The profit, largely meeting market analysts' expectations, exceeded the 6.44 billion dollars (62 cents per share) in the final quarter of 2006, and came amid a 15 per cent rise in operating profit. Fairfield, Connecticut-based GE said its fourth-quarter earnings from continuing operations reached 6.8 billion dollars, up 15 per cent 5.9 billion dollars in the same quarter a year earlier. The continuing operation earnings, at 68 cents per share, reflected improved sales of jet engines, power generation equipment and locomotives, GE said, while analysts also noted the gains in overseas markets operations. The earnings came on revenues of 48.6 billion dollars, a gain of 18 per cent from almost 41.3 billion dollars in the final quarter of 2006. Meanwhile new orders reached 27 billion dollars, up 18 per cent on the final quarter of 2006. For the full year 2007, GE net profits rose 7 per cent to 22.2 billion dollars, on a 14 per cent gain in revenues, to 172.7 billion dollars. Earnings per share were 2.17 dollars, up from 2 dollars in 2006. For 2008, GE predicted earnings per share reaching 2.42 dollars. GE chief executive officer Jeffrey Immelt commented, "We have strengthened the portfolio for growth, restructured to lower our cost, maintained our Triple A credit rating and stayed true to our risk management principles." The financial agency Bloomberg noted that Immelt's drive into international markets had paid dividends, accounting for over half of GE sales in 2007. The gains were led above all by the GE Infrastructure unit, with developing nations building cities, hospitals, airports and railroads, the agency said. GE Infrastructure, the company's biggest unit, boosted fourth- quarter profit by 26 per cent, GE said. The company is boosting its business in the Middle East, Asia and South America. At the same time, a weaker dollar was also helping GE in Europe. A further strong performer was GE Money, the unit providing private consumer financing, which boosted its profit by 7 per cent.
