A DPT Showcase In The City of Champions

研报英文原文证据摘录

A DPT Showcase In The City of Champions

productivity (+100 bps in '26 vs '24; Lynn ~20% Each, Followed by ~10% Splits for the

engine output +30% in '25 on flat headct of ~2.5K), int'l mix that can earn margins 2X vs domestic Remaining SixUnison,MarketsDowty

Combat(Fighter FMS, exports for indigenous programs, European ramps), and improved Services contracts & Colibrium11% Engines 19%

(~50% of DPT sales; new DoW contracts online mid-'26). The dampeners are continued investments

in 4 areas of next-gen focus (adaptive cycle for combat & next-gen rotorcraft; CCAs; hypersonic; Avio Aero

Rotorcrafthybrid-electric) alongside the typical cost-plus mix of these development programs as they scale 22% $12.2BB Engines 12%

($2.7BB of awarded options + development contracts, up 11X vs '24). We est $1.61BB of segment 2025 Revenue

Marine &profit (guide $1.55-1.65BB; 14% of total) for margins of 12.3% in 2026, up 30 bps y-o-y. Every 100

Mobility Engines Electrical Power

9% & Avionics 10%bps of margin = $0.11/sh (1.3%) or $118MM of FCF in '27.

Other & Edison Aeroderivatives

. Works 6% 11%

A Moment for Aeroderivatives. GE has an installed base of >5K Aeroderivative engines (45% Source: Company data, Jefferies estimates

through Baker Hughes, ~35% through GEV, and ~20% through Marine) across the LM2500 (>4K),

Exhibit 2 - 2024 Investor Day Points to >30%LM6000 (>1K) and new LM9000 (based on GE90 vs CF6). Pricing on this ~$1.4BB business across Upside in Engine Shipments by 2028 vs. JEFe,

Equipment & Services has increased >30% post spin w/ revenue expected to increase at a DD CAGR Driven Primarily by Rich-Mix Combat Engines

1,200with slots sold-out this decade. >30% 1,000+

1,000 Upside

$50BB CCA and Cruise Missile Oppty.