In its annual report to shareholders. General Electric reported the following fi
ID: 2376364 • Letter: I
Question
In its annual report to shareholders. General Electric reported the following financial results:
Revenues increased from $134.5 billion to $149.7 billion
Net income decreased from $16.8 billion to $16.4 billion
Total assets decreased from $750.0 billion to $673.5 billion
Shareholders equity decreased from $110.8 billion to $109.4 billion
For the year, the cash flow from operating activities was $37.6 billion, the cash flow from investing activities was negative $35.1 billion, and the cash flow from financing activities was negative $6.2 million
What was the possible explanations for the financial results of General Electric.
Explanation / Answer
In GE, we take on the world%u2019s toughest challenges and we find ways to build a better future. We want to be in places where the people share their same spirit. New Orleans has faced this year challenges and its people have only made this city stronger. That commitment is making a better future is a critical part of GE%u2019s culture. That%u2019s why we%u2019ve invested millions of dollars in the state-of-the-art IT facility here in New Orleans. We approach that we opened the GE Capital Technology center this week and have already begun to staffing the facility. We%u2019ll bring more than 300 jobs in New Orleans and these are high-tech jobs, so they will add to the city%u2019s economy.
Over the years, we%u2019ve developed solutions for our customers. We have build on strong relationships and help the communities. Oscar has been a partner to GE Healthcare for years. It%u2019s a great relationship on several levels, technology, efficiency and culture. And across the U.S., we must develop new models of healthcare, building both the structure and culture that allows us to move faster. This week we also announced the donation to the Congressional Medal of Honor Foundation for the educational programs with World War II Museum here in New Orleans. It%u2019s a way for the great organization and the local teachers and students who%u2019ll help benefit from these programs.
So this is special place for GE and its shareowners and to be I welcome all of you. We like to think that GE as a company that can compete and help our customers to compete in today%u2019s environment and we%u2019re focused on big productivity drivers of our time. And this includes things like unconventional resources, the shale gas revolution, advanced manufacturing, only the analytical layers around our products and simplification which we%u2019ll work on very hard in GE to move faster and be more competitive.