2021 profit was higher than 2020, despite lower revenue
In 2021, GE Aviation’s profit improved upon that of 2020, despite revenue trending in the opposite direction. This is in part due to the company providing a different mix of services in response to the COVID-19 (coronavirus) pandemic; revenues from commercial engine fell while commercial services revenues rose. The latter’s rise is due to increased shop visits amid lower flight rates, which also contributed to increased overall segment profit.
COVIDIn response to volatile demand in the wake of the first COVID-19 surge, the company undertook a comprehensive cost reduction program, aimed at shoring up labor and supply costs.
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