GE Aerospace (GE) Business Profile

What it does

GE Aerospace designs, makes and services engines that power commercial and military aircraft. It also supplies aircraft systems, components and propulsion equipment for marine and other applications. General Electric Company operates as GE Aerospace. It was founded on 1892-04-15, is headquartered in Evendale, Ohio, and is led by Chairman and Chief Executive Officer H. Lawrence Culp Jr.

The commercial business sells engines to aircraft manufacturers and airlines for narrowbody, widebody, regional and business aircraft. It also maintains and repairs engines and sells spare parts to airlines and independent repair shops. Commercial engines can operate for decades after their initial sale, creating demand for work throughout their service lives.

The defense business supplies engines and aircraft systems to governments, militaries and aircraft manufacturers. Its engines power aircraft including fighters, bombers, transport planes and helicopters. GE Aerospace also makes components such as turbines, controls, propellers, sensors and engine accessories for commercial and military customers.

GE Aerospace works with partners on engine programs. Its commercial engines include those sold through CFM International, a joint venture with Safran Aircraft Engines. The company also works with government customers on advanced propulsion programs. Its operations span manufacturing, engineering and maintenance facilities as well as sales and service relationships around the world.

How it makes money

GE Aerospace earns revenue from selling equipment and from servicing it after delivery. Its two reportable segments are Commercial Engines & Services and Defense & Propulsion Technologies. It also retains some legacy operations, including run-off insurance.

Commercial Engines & Services makes engines for commercial aircraft, business aviation and aeroderivative applications. It sells spare parts and provides maintenance, repair and overhaul through arrangements that include long-term service agreements, spare-parts agreements and contracts based on time and materials. Customers also include independent repair shops that buy parts and license maintenance technology. The segment represented approximately 73% of total company revenue for the year ended December 31, 2025; services represented 75% of that segment’s revenue.

Defense & Propulsion Technologies makes and services military engines, avionics and power systems. It also supplies aircraft components and systems under brands including Avio Aero, Unison, Dowty Propellers and Colibrium Additive. The segment represented approximately 23% of total company revenue for the year ended December 31, 2025; services represented 51% of segment revenue.

Across the company, aftermarket services represented approximately 70% of revenue. An installed base of approximately 50,000 commercial and 30,000 military engines, including engines on parked aircraft, supports that business. Aftermarket sales include both recurring work under long-term agreements and individual parts or repair transactions.

Revenue increased $7.2 billion, or 18%, in 2025 compared with 2024; total company revenue increased 18% in the third quarter of 2026. For 2025, higher engine deliveries and prices increased equipment revenue, while more shop visits, larger work scopes and higher spare-parts volume increased services revenue.

Customers and how it sells

GE Aerospace serves customers in approximately 120 countries. Its commercial customers include aircraft manufacturers and airlines, as well as independent maintenance, repair and overhaul shops. Boeing and Airbus are commercial equipment and services customers. Depending on the aircraft model, an airline may have a choice of engine suppliers, while some Boeing models use GE Aerospace engines as their sole source.

The company sells parts and licenses maintenance technology to independent repair shops as well as performing work in its own facilities. Its agreements can cover individual engine purchases or continuing services for fleets. In 2026, GE Aerospace announced an agreement to supply Turkish Airlines with more than 300 LEAP-1B engines and a long-term service agreement covering its fleet of over 600 LEAP-1B engines.

Defense customers include governments, militaries, aircraft manufacturers and shipyards. Most Defense & Systems revenue comes from funding flowing through the U.S. defense budget or equivalent international budgets. Agencies of the U.S. Government accounted for 10.0% of company revenue in FY2025.

Manufacturing and service operations are conducted at 70 facilities in 23 U.S. states and Puerto Rico, and at 62 facilities in 23 other countries. At December 31, 2025, the company and its consolidated affiliates employed approximately 57,000 people, including approximately 30,000 in the United States.

Suppliers and costs

GE Aerospace relies on a global supplier network for raw materials, components, parts, maintenance services and other purchases. Some suppliers or their own suppliers are limited- or sole-source providers. Procurement rules on certain contracts can also limit which suppliers and subcontractors the company may use.

Supplier quality, delivery schedules, capacity and costs affect GE Aerospace’s ability to manufacture engines and perform service work. Material availability and supplier delivery performance have disrupted production and deliveries. The company expects supply-chain constraints and inflation to continue, and it is working with suppliers and investing in manufacturing and overhaul facilities.

GE Aerospace is investing $1 billion to increase maintenance, repair and overhaul capacity, including $500 million for LEAP capacity. In 2026, it agreed to acquire Consolidated Precision Products, a supplier, to expand capacity for engine castings. The acquisition has not been described as completed.

Research and development is another cost of the business. The company funds development itself and receives funding from customers and partners, including government customers. Tariffs and inflation can add costs, and GE Aerospace uses productivity measures and pricing changes to help manage their effects.

Competitive position

GE Aerospace competes with other global engine manufacturers for commercial and defense engine sales and services. Independent maintenance, repair and overhaul shops also compete for commercial engine service work. In defense, GE Aerospace competes for government and prime-contractor awards against U.S. and non-U.S. companies or groups. No specific competitor companies are named as competitors in the supplied material.

Engine and system selections affect future opportunities to sell parts and services over the life of a platform. Manufacturers compete on price, performance, durability, reliability, service, development time and financing terms. Competitors can offer discounts, guarantees or financing to win an engine installation and the associated aftermarket opportunity.

Our reading: The installed engine base is a meaningful competitive advantage because engines can remain in service for decades and generate maintenance and parts demand, although independent shops also pursue that work.

Our reading: Aircraft-platform positions can be durable where GE Aerospace is the sole engine source, but winning future platforms remains competitive. GE Aerospace is the sole source for the Boeing 777X’s GE9X engine.

Our reading: Engineering expertise and intellectual property provide additional protection, although patents and trade secrets do not prevent others from developing comparable products. GE Aerospace licenses some repair technology to customers and does not consider itself materially dependent on any single intellectual property right or patent license.

Growth opportunities

GE Aerospace expects growth from delivering newer engines and servicing a larger installed fleet. It expects the LEAP installed base to more than double between 2025 and 2030. As LEAP engines age, the company expects more shop visits and a greater need for maintenance capacity. It is expanding its overhaul network and investing in production facilities and suppliers.

The company is also developing technologies for future engines. CFM International’s RISE program includes work on open-fan, compact-core and hybrid-electric systems. In defense, the U.S. Air Force selected GE Aerospace’s XA102 adaptive-cycle engine for the next phase of the NGAP program, including hardware procurement and component testing.

For 2027, GE Aerospace expects low double-digit commercial services growth. It has described its commercial services backlog as exceeding $170 billion, with much of the backlog in long-term service agreements. Backlog represents contracted work rather than revenue already earned, and delivering it depends on the timing of customer needs and the company’s ability to perform.

In the third quarter of 2026, commercial services orders increased 23%, and total company orders increased 49%. Defense & Propulsion Technologies backlog was over $30 billion at quarter-end. GE Aerospace has also agreed to acquire Consolidated Precision Products to add casting capacity for current and future engine programs.

Structural risks

• Air travel and aircraft production: Commercial aviation is cyclical. Lower travel demand, airline financial stress, aircraft production changes or delayed certification can reduce orders and demand for engines, parts and services.
• Supply and costs: Material shortages, supplier capacity constraints, quality problems and price increases can delay deliveries or increase costs. Some inputs come from limited- or sole-source suppliers, while tariffs and inflation can also affect costs.
• Safety and quality: Engine or component failures, durability issues, certification delays or aircraft groundings can cause financial and reputational harm. Problems with an aircraft or third-party component can also affect GE Aerospace’s sales and costs.
• Government programs: Defense demand depends on government funding and priorities. Government customers may modify, curtail or terminate contracts, and failures to meet procurement requirements can lead to penalties or loss of eligibility for new business.
• Competition and technology: Competitors offer parts and services for GE Aerospace’s installed engines. Developing new engines takes years, and research spending may not produce products that meet customer needs or earn the returns anticipated.
• Legacy obligations: GE Aerospace retains environmental remediation obligations and run-off insurance operations. The separations of GE HealthCare and GE Vernova also carry potential liabilities, including tax risk if either separation is determined to be taxable.

Bottom line

Our reading

GE Aerospace is an engine manufacturer with a substantial aftermarket business tied to aircraft already in service. Its installed fleet and long-term service agreements support future work, while competition for maintenance and new aircraft platforms remains important. The business also depends on airline activity, defense funding and a constrained supply chain; converting demand into deliveries requires capacity, reliable suppliers and certified products.