GE · 10-Q · 2026Q2 · Full report
Manufacturing, Capacity Expansion and CapEx Plans
GENERAL ELECTRIC CO · 2026-07-16 · Importance 64 · Surprise 42 · Matches filing data
GE continues to carry material nonrecurring engineering (NRE) and contract fulfillment costs related to equipment production, primarily in the Defense & Propulsion Technologies (DPT) segment, with nonrecurring engineering costs reported at $2,406 million (June 30, 2026) that are amortized over production. The most significant program cited is DPT contracts for the Boeing 777X aircraft, where NRE will be amortized once the engines enter service; recoverability is assessed and assets impaired if no longer probable of recovery. These deferred engineering costs represent a sizable investment in future production capacity and will affect future unit economics and margins when amortization begins. Management monitors recoverability and will impair the asset if program economics change, which would materially affect near-term earnings.
Key facts
- GE Aerospace is planning to invest $1 billion in U.S. manufacturing and hire 5,000 U.S workers in 2026. source
- Cash used for additions to property, plant and equipment and internal-use software net of dispositions was $0.6 billion for the six months ended June 30, 2026 and $0.5 billion for 2025. source
Impact estimates
| metric | direction | stage | expected | basis |
|---|---|---|---|---|
| assets | positive | probable | +0.4% | GE Aerospace is planning to invest $1 billion in U.S. manufacturing and hire 5,000 U.S workers in 2026. |
| cash | negative | probable | -0.4% | GE Aerospace is planning to invest $1 billion in U.S. manufacturing and hire 5,000 U.S workers in 2026. |
| cash | negative | realized | -0.1% | Cash used for additions to property, plant and equipment and internal-use software net of dispositions was $0.6 billion for the six months… |