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PHOTO OF FILE: the logo of the American conglomerate General Electric is represented on the site of the company, in Belfort, in France, on February 5, 2019. REUTERS / Vincent Kessler / File Photo
(Reuters) – General Electric Co expects adjusted earnings of 50 cents to 60 cents per share in its outlook for 2019 on Thursday, which is below badysts' expectations of about 70 cents, while new CEO Larry Culp , continues its efforts with the sale and restructuring of badets.
The company's shares, crushed by tens of billions of dollars last year and one of Wall Street's best-performing stocks, fell 3.2% to $ 9.70 in pre-sale deals.
The US industrial conglomerate, which scared investors last week by announcing a net cash outflow from its industrial operations this year, said it expected a free cash flow adjusted between $ 2 billion and a point stable. (Invent.ge/2HkbYTq)
"GE's challenges in 2019 are complex but clear," Culp said in a statement.
The company said it expects the adjusted free cash flow of the industry to be positive in 2020 and that the pace of improvements will accelerate in 2021.
Investors are very interested in GE's cash flow and results.
Since taking over the reins of the struggling industrial conglomerate last year, Culp has taken a series of quick steps to restore profit and increase its stock, which has fallen to less than a third of its value since mid-2016.
Last year, Culp reduced the dividend to one cent per share. He also led the sale of the company's biopharmaceutical division to Danaher Corp in February for $ 21.4 billion, which it will use to reduce its $ 121 billion debt from December.
Report by Rachit Vats and Sanjana Shivdas in Bengaluru; Edited by James Emmanuel
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