GE Sees More Revenue, Less Profit from Renewables
- Business & Finance
GE Renewable Energy marked an 11 percent decrease in profit for the three months ended June 30, 2016, compared to the same period a year earlier, despite significant improvements in revenue.
The profit for the second quarter stood at USD 128 million, as opposed to USD 144 million recorded in the second quarter of 2015.
GE Renewable Energy increased its revenue by 28 percent for the period, from USD 1.64 billion in 2Q 2015, to USD 2.09 billion in 2Q 2016, which includes USD 200 million revenue from Alstom. The increase in revenue was driven by higher wind turbine shipments and mix shift to turbine units with larger capacity, the company said.
The renewable energy unit added 1.4 GW of new orders in the period, 65% of which were new products. GE Renewable Energy received orders for 637 wind turbines in the quarter, 251 less than 888 units sold in the same period in 2015.
The unit sold 856 wind turbines in 2Q 2016, 50 more compared to the same period a year earlier.