GE Vernova Raises Guidance Amid Global Push for Electrification

By Will Wade

Published: July 24, 2024 at 6:43AM EDT

A General Electric Co. wind turbine, owned by the Rural Electric Cooperative, stands in Greenfield, Iowa, U.S., on Wednesday, Sept. 14, 2016. The turbine is part of a 10-turbine community wind farm, owned by 200 farmers. Property tax income from the turbines allowed the county to bond $2.8 million in debt to finance a new jail complex which replaced an aging 107-year old jail that defied state safety standards. Photographer: Daniel Acker/Bloomberg (Daniel Acker/Bloomberg)

(Bloomberg) -- GE Vernova Inc., the newly independent supplier of power-generation equipment, is raising its full-year guidance as the global fight against climate change drives demand for electricity.

The company, which was spun off from General Electric Co. in April, expects free cash flow for 2024 of $1.3 billion to $1.7 billion, up from its prior forecast of $700 million to $1.1 billion, according to a statement Wednesday.

The only soft spot in the company is wind, which is expected to see flat organic revenue growth. GE Vernova is facing scrutiny after a massive blade from one of its turbines fell into the sea July 13 at a project under construction in Massachusetts.

“Global electrification and decarbonization trends continue to drive demand for our products and services,” Chief Executive Officer Scott Strazik said in the statement.