GE posts $10 billion loss as quarterly revenue drops 5 percent

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(Reuters) – General Electric Co (GE.N) reported a 5-percent fall in revenue and a $10 billion loss for the fourth quarter on Wednesday, driven by an already announced $11-billion charge for insurance losses and taxes.

The U.S. industrial conglomerate said profit fell 88 percent in its troubled power business, which makes electricity generating equipment, attributing the drop to unspecified charges and other factors. GE could not immediately provide more detail.

Revenue and orders also fell sharply at the power business.

GE said cash from industrial operating activities totaled $7.8 billion in the quarter, above expectations of about $7 billion, and GE said its ability to generate cash is improving.

FILE PHOTO: The General Electric logo is pictured on the General Electric offshore wind turbine plant in Montoir-de-Bretagne, near Saint-Nazaire, western France, November 21, 2016. REUTERS/Stephane Mahe/File Photo

GE’s loss totaled $10.01 billion in the quarter, compared with a profit of $3.48 billion a year earlier.

On a per-share basis, GE reported a loss from continuing operations of $1.15, compared with a profit of 39 cents per share.

GE said last week it would book a $11 billion charge in the fourth quarter, including $6.2 billion for reevaluation of insurance assets. The insurance charge was double what GE warned last year.

Total revenue fell to $31.40 billion from $33.09 billion.

Reporting by Alwyn Scott in New York and Rachit Vats in Bengaluru; Editing by Anil D’Silva and Nick Zieminski

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