GE Vernova Stock Slumps as Q4 Revenue, Profit Fall Short of Estimates

GE Vernova (GEV) shares are falling in premarket trading Wednesday after the energy company reported worse-than-expected fourth-quarter results.

The company reported net income of $484 million, or $1.73 per share, on revenue of $10.56 billion. Analysts polled by Visible Alpha expected a profit of $634.5 million, or $2.30 per share, on revenue of $10.74 billion.

GE Vernova’s wind segment reported earnings before interest, taxes, depreciation and amortization (EBITDA) of just $19 million, with the segment losing $588 million on the year. It previously said the unit should be “approaching profitability” by the end of the fiscal year.

This was GE Vernova’s third full quarter as an independent company. Last quarter, it posted an unexpected loss because of contract losses in its offshore wind business.

Last week, Bank of America analysts upgraded and lifted their price target for GE Vernova’s stock, citing optimism that the company could benefit from rising prices for gas turbines.

GE Vernova shares, which dropped 4% immediately following the report, have roughly tripled in value since the firm spun off from GE Aerospace (GE) last April. GE Aerospace is set to report fourth-quarter results Thursday.