ICYMI: Morgan Stanley Laguna Conference, Consolidated Precision Products (CPP) acquisition & CFM RISE Development Program fireside chat

It has been a very busy quarter at GE Aerospace. Last week, GE Aerospace CFO, Rahul Ghai, joined Aerospace & Defense Equity Research Analyst, Kristine Liwag, for a fireside chat at the 14th annual Morgan Stanley Laguna Conference. You can watch the replay on our GE Aerospace Investor Relations website. Rahul highlighted the progress we’ve been making on commercial equipment, FLIGHT DECK's role in delivering on our $210B+ backlog, and the strength of our Commercial Services business. 

During the conversation, Rahul spoke to the parked fleet, which is a leading indicator of retirements, which has trended lower throughout 2026. More specifically on CFM56, retirements continue to remain low, and we expect will land around 1.5-2.0% for the full year, supporting roughly 2,400 shop visits in 2026 and 2027, with stable workscopes. Looking ahead to 2027, Rahul spoke to engine removals growing double-digits in the first half of the year. Combined with our elevated backlog, this supports another strong year of double-digits services growth in 2027. Longer term, Rahul spoke to the workscope tailwind we’ll see on LEAP and GEnx as Services continue to mature, with LEAP workscope currently ~50% lower than CFM56.

Earlier this month we also announced an agreement to acquire Consolidated Precision Products (CPP), a leading manufacturer of highly engineered castings. This acquisition will grow capacity to support increased, timely delivery for commercial engine, aftermarket and defense customers. This investment also shortens time to market to introduce new airfoil technology, that is under development, which improves durability and time-on-wing, for both the current fleet and next generation of engines. We expect the transaction to close in 2H’27 and to be adjusted EPS* and FCF* accretive in year 1 post close.

And, in case you missed it, last month, Arjan Hegeman, Vice President of Future of Flight Engineering at GE Aerospace, and Pierre Cottenceau, Executive Vice President of Engineering, Research & Technology at Safran Aircraft Engines sat down with Doug Harned, Managing Director and Aerospace & Defense Equity Research Analyst at Bernstein, to provide an update on the CFM RISE development program. They discussed the significant progress made in the last five years across all four technologies pillars: Open Fan, Compact Core, Hybrid Electric, and Alternative Fuels in preparation for flight tests by the end of the decade. Arjan also highlighted how the RISE program can deliver greater durability and at least a 20% improvement in fuel efficiency versus today’s engines, always with an uncompromising commitment to safety through a higher bypass ratio leading to a cooler engine core and reducing dust ingestion. You can watch the recap here.

Thank you for your continued interest in GE Aerospace.

The GE Aerospace Investor Relations team.

CFM International is a 50-50 joint company between GE Aerospace and Safran Aircraft Engines. The RISE program is not a product offered for commercial sale.

*Non-GAAP Financial Measure