This page has been archived and commenting is disabled.

GE's Jeff Immelt: "We've Definitely Seen A Slowdown In The Fourth Quarter"

Tyler Durden's picture





 

In what is likely the fist major under the radar profit warning of the current quarter, GE chief, and Obama Job Tzar, Jeff Immelt warned during GE's annual outlook meeting held earlier in Manhattan that the "economic uncertainty" in the current quarter has resulted in an investment "pause" that has resulted in a slowdown of corporate sales. Put into numbers, GE is now calling for about 8% growth this year, from a 10% forecast barely two months ago. Read: Q4 sales, and thus earnings, are set to be a major disappointment. And while no superstorms were blamed in this particular sales warning, the fiscal cliff did feature prominently. As the WSJ reports, "[Immelt] said ongoing jitters over the so-called "fiscal cliff" of tax increases and government spending cuts contributed to the trend." Then again, it is just as likely that the tapped out US consumer, whose savings rate is tumbling, whose real disposable income is now declining on a year over year basis, and whose real wage growth is decidedly negative, would be tapped out even if Obama and Boehner were not playing constant cat and mouse. But whatever the reason for the slowdown may be, one thing is certain: "Clearly, there has been an investment pause in certain industries," Mr. Immelt said. "We've definitely seen a slowdown in the fourth quarter." Bring on the spin brigade.

From the WSJ:

GE is planning for industrial organic revenue growth—which excludes the impact of acquisitions—of 2% to 6% in 2013.

 

Mr. Immelt was upbeat overall, saying GE is on track for solid earnings growth, and he also stood by previous targets for expansions in industrial profit margins this year and next. He noted the company has a sizable cash position and is growing in key markets.

 

Mr. Immelt said the U.S. conglomerate aims for a long-term earnings contribution from GE Capital of around 30% as it continues its efforts to shrink the finance unit. GE Capital contributed about 32% of GE's earnings in 2011, and about 35% through the first nine months of 2012.

 

"Our strategy really hasn't changed," said Mr. Immelt as he opened the annual investor meeting.

 

...

 

Mr. Immelt said Monday that order flow from China was improving, while Europe and the health-care sector remained headwinds.

More can be found in the complete GE investor presentation attached below, which summarizes the key tailwinds and headwinds as follows:

Full presentation below (link):

 


- advertisements -

Comment viewing options

Select your preferred way to display the comments and click "Save settings" to activate your changes.
Mon, 12/17/2012 - 20:54 | Link to Comment Seasmoke
Seasmoke's picture

I hate this fucking POS

Mon, 12/17/2012 - 21:15 | Link to Comment I think I need ...
I think I need to buy a gun's picture

does it really fuckin matter of this piece of shit bailed out company and one of his piece of shit corporates employee sons just slaughtered 20 babies, maybe he should have spent some more time with his fuckin kid instead of all these thieves,,,,,,fucke em all

Mon, 12/17/2012 - 22:04 | Link to Comment knukles
knukles's picture

Imelt didn't do it himself.

Mon, 12/17/2012 - 22:14 | Link to Comment Zer0head
Zer0head's picture

scum sucking slime

Tue, 12/18/2012 - 10:07 | Link to Comment kralizec
kralizec's picture

FOAD Jeff!

Mon, 12/17/2012 - 21:28 | Link to Comment ball-and-chain
ball-and-chain's picture

It helps to have friends in high places.

Jeff is friends with the president.

He can do no wrong.

He is above the law.

Let's all go to his house and piss on his mailbox.

Why not?

http://www.angrysinner.blogspot.kr/2012/12/yesterday-i-hiked-ten-miles-through_17.html

Mon, 12/17/2012 - 21:42 | Link to Comment surf0766
surf0766's picture

He believe state communism is better. nuff said

Mon, 12/17/2012 - 22:58 | Link to Comment LongSoupLine
LongSoupLine's picture

Fuck you Immelt, you crony dick sucking piece of shit.

 

 

 

i hope you end up a fucking speed bump in the fucking shit ass GE parking lot.

Mon, 12/17/2012 - 23:15 | Link to Comment otto skorzeny
otto skorzeny's picture

soup-you'd be a fun guy to have a beer with-in all seriousness

Tue, 12/18/2012 - 09:46 | Link to Comment LongSoupLine
LongSoupLine's picture

thanks otto...yeah, I leave my inhibitions behind and get real fired up with some beer in me.

Mon, 12/17/2012 - 23:33 | Link to Comment otto skorzeny
otto skorzeny's picture

Jeffy is on here junking everyone tonight. although he seems to be the punching bag on multiple stories tonight on ZH-awesome

Tue, 12/18/2012 - 03:17 | Link to Comment Bay of Pigs
Bay of Pigs's picture

Well, this article exposed this worthless cocksucker earlier today on ZH. It's a shame people arent reading these articles anymore around here.

http://www.zerohedge.com/contributed/2012-12-17/crisis-conflicts-new-york-fed-circling-wagons-set-ex-goldmanite-william-dudle

Mon, 12/17/2012 - 20:57 | Link to Comment grunk
grunk's picture

I'm surprised Immelt's report wasn't in Mandarin. 

Mon, 12/17/2012 - 21:07 | Link to Comment Mr Lennon Hendrix
Mr Lennon Hendrix's picture

Good thing Bernanke is buying so many bonds from the Private Banking Firms that support GE's toxic derivatives, otherwise GE's market outlook would read: 

"We're Fucked".

Mon, 12/17/2012 - 20:59 | Link to Comment Squid Vicious
Squid Vicious's picture

fuck you immelt... tax avoiding/politician cock sucking scum...

Tue, 12/18/2012 - 00:29 | Link to Comment Notarocketscientist
Notarocketscientist's picture

Fuck Jack Welch.  He's an even bigger cocksucker.  I hope that bastard spends his last penny on cancer medicine

Mon, 12/17/2012 - 21:03 | Link to Comment Gene Parmesan
Gene Parmesan's picture

I guess the election must be over.

Mon, 12/17/2012 - 21:03 | Link to Comment buzzsaw99
buzzsaw99's picture

big fat welfare case

Mon, 12/17/2012 - 21:03 | Link to Comment Darkness
Darkness's picture

WOOPS

Mon, 12/17/2012 - 21:04 | Link to Comment Kali
Kali's picture

Let's see:

1.  Rec'd bailouts as a "bank"

2. Doesn't pay taxes.

3.  Low interest Zirp loans.

4.  Uses international labor arbitrage.

5.  Practices political/regulatory capture to get what it wants.

6. Charges usurous interest rates to consumer credit customers.

How can they fail?

 

Tue, 12/18/2012 - 00:09 | Link to Comment optimator
optimator's picture

If things get really tough he can go back to being one of the managers of the New York FED!

http://www.reuters.com/article/2011/04/28/us-usa-fed-immelt-idUSTRE73R70F20110428

Mon, 12/17/2012 - 21:11 | Link to Comment Racer
Racer's picture

and out of hours futures taking off as usual

Mon, 12/17/2012 - 21:14 | Link to Comment tradewithdave
tradewithdave's picture

Out with Ecomagination... In with Economachination.

www.tradewithdave.com

Mon, 12/17/2012 - 21:23 | Link to Comment WillyGroper
WillyGroper's picture

I love how these vultures devour one another. My house took a power hit & even with a lightning arrestor at the power head, fried my appliances. I made the mistake of replacing them with Whirlpool. As I'm sure most of you know WHP bought everything except Frigidaire & maybe Tappan or Roper, can't remember. I never believed in extended warranties, but for $45, I thought what the heck. The EW was thru GE. They lost their proverbial a$$. Two ice makers for the fridge @ $200 ea. Two motors on the dishwasher. A diode on the dryer. Three calls on the washer. The shocks broke on the washer & I finally said, never again. The only thing that hasn't died is the microwave. GE ate WHP's crap several times over. 

Perish the thought, but should you need a new washing machine, as I did my homework, I got a blast from the past. Speed Queen. Metal gears, not plastic crap. They're considered commercial, so you get by the energy star bullshit that makes have to wash things 3 times. Not quiet, but very much like my old 27 yr old Maytag that never had a service call. Best of all, both the washer & dryer for the price of the POS WHP washer. Nothing good to say about the GE fridge that I had b4.

Screw Immelt & Chainsaw Jack. They are all beginning to eat one another. Banksters next.

 

Mon, 12/17/2012 - 21:33 | Link to Comment stant
stant's picture

thanks for the tip on the washer

Mon, 12/17/2012 - 23:19 | Link to Comment WillyGroper
WillyGroper's picture

Added plus. Made in the USSA. No digital electronics, mechanical controls with a fill override if necessary.

Here, have a couple of laughs.

http://www.youtube.com/watch?v=-2hQ2HD019Y

http://www.youtube.com/watch?v=MTKuOqWDhkI

Mon, 12/17/2012 - 21:34 | Link to Comment stant
stant's picture

thanks for the tip on the washer

Mon, 12/17/2012 - 23:17 | Link to Comment otto skorzeny
otto skorzeny's picture

my parents built a house 4 years ago w/all GE stuff-it's all been replaced

Mon, 12/17/2012 - 23:26 | Link to Comment Dr. Gonzo
Dr. Gonzo's picture

20 year old Maytag Washer and Dryer still kicking ass. Should go another 20. 

Mon, 12/17/2012 - 23:35 | Link to Comment otto skorzeny
otto skorzeny's picture

companies just don't make durable shit anymore- and the more HiEfficiency it is the faster it craps out

Tue, 12/18/2012 - 03:13 | Link to Comment devo
devo's picture

Planned obsolescence.

Tue, 12/18/2012 - 01:53 | Link to Comment batterycharged
batterycharged's picture

Whirlpool and Electrolux used to be made in the midwest.

The CEO of electrolux said to former Micihigan Governor Jennifer Granholm "none of your tax incentives can make up the $2/hr for a Mexican worker".

NAFTA oh NAFTA.

Then there was the time Michigan couldn't stop Canada from dumping garbage in Michigan, because NAFTA laws trumped the will of the people in Michigan.

Now you get what you pay for....

Tue, 12/18/2012 - 07:40 | Link to Comment LongSoupLine
LongSoupLine's picture

My buddy got a GE stove...top model. 3 fucking things on it didn't work right out of the fucking box.

Mon, 12/17/2012 - 21:34 | Link to Comment AssFire
AssFire's picture

That SOB just wants the information data services contract for the Obamacare cash grab program.

 

Like anything he ever said anti-Obama ever meant anything other than reverse psychology..like this BS Fiscal Cliff...Oh, No please don't throw me in that briar patch!

 

NOTHING IN POLITICS IS EVER UNPLANNED.

Fuck me.

Mon, 12/17/2012 - 21:28 | Link to Comment The Gooch
The Gooch's picture

Rhymes with "semen's" resembles that remark, says little birdy.  

Love that font and color scheme!

"Great things to life

Mon, 12/17/2012 - 21:35 | Link to Comment MyBrothersKeeper
MyBrothersKeeper's picture

Not all consumers are tapped out....just the ones working in private sector.  The govt can overpay wages/benefits etc and give raises promised by public unions and who has to pay?  Private sector families.  So while the private sector is trying to figure out how to pay for gas, food, healthcare, and college...the public sector is turning in their car lease to upgrade and planning the next family vacation.  Is it suprising that 73% of job growth the last 5 months is from new government jobs?  The admin etc has to keep somebody pumping up the economy and spending or it's game over.

Mon, 12/17/2012 - 23:37 | Link to Comment Seer
Seer's picture

"Is it suprising that 73% of job growth the last 5 months is from new government jobs?"

Do you have a reference?  I'm not seeing anything to support that claim: my local municipal govt has been hacking, and other municipal govts I also see hacking.

http://www.marketwatch.com/story/hiring-spreads-to-more-job-sectors-2012...

"The public sector, meanwhile, shed 13,000 government jobs as federal and state agencies continued to cut back. Governments face pressure to cut costs amid concerns of a fiscal cliff and a greater focus on reducing the deficit, says Russell."

http://www.nytimes.com/2012/09/08/business/economy/us-added-96000-jobs-i...

"The pace of government layoffs seems to be slowing, said Peter Cappelli, a professor of management at the Wharton School and director of the school’s Center for Human Resources. As the private sector added 103,000 jobs in August, governments cut just 7,000. That is down from 21,000 in July, and well below the average of 16,000 reductions a month since March. Federal employment actually increased by 3,000 in August, to 2.8 million, the first monthly increase since February 2011."

Tue, 12/18/2012 - 00:00 | Link to Comment Seer
Seer's picture

This might provide more light (has graphs showing all of 2012):

http://www.gallup.com/poll/159071/job-creation-remains-relatively-positi...

Note, however, this:

"Longer term, however, non-government hiring is back to where it was in the late summer of 2008. State and local government hiring is now similar to the levels seen in late 2008, while federal government hiring remains sharply down."

Tue, 12/18/2012 - 00:29 | Link to Comment HD
HD's picture

The police state - job creation at the cost of freedom. Only terrorists need civil liberties.

Mon, 12/17/2012 - 21:43 | Link to Comment surf0766
surf0766's picture

communist

Mon, 12/17/2012 - 23:55 | Link to Comment Dadburnitpa
Dadburnitpa's picture

Maybe.  Douchebag for sure.

Mon, 12/17/2012 - 22:07 | Link to Comment Zap Powerz
Zap Powerz's picture

Dear Mr. Immelt,

Why the fuck do you care about this?  Youre a made man.  Regardless of the destruction your kind causes, you will be fine.  How many more jobs are you going to send to China?  Working hard to not pay taxes you giant fucking douche?!

Sincerely,

ZP

Mon, 12/17/2012 - 22:15 | Link to Comment orangegeek
orangegeek's picture

And this is the warning shot.  Q2 and Q3 were exercises in accounting.  Drive profit by firing and stuff channels for revenue.

 

January is going to be interesting.

 

http://bullandbearmash.com/chart/sp500-weekly-closes-channel-support/

 

There's a long way to go to March 2009 lows and below.  What a bloody mess we are headed toward.

Mon, 12/17/2012 - 22:38 | Link to Comment q99x2
q99x2's picture

Depending on how much control over the market the FED has (I assume infinite wealth equates to more than a smidgen) the markets may not go down at all over the long term.

Although, my suspicions are, since GS and Tepper are trying to get clients to buy stocks now, that a pretty sizeable correction is near at hand.

Mon, 12/17/2012 - 23:01 | Link to Comment azzhatter
azzhatter's picture

dear jeff, take a suck you infintessimal prick. And fuck your shitbag company. and wipe that obama jizz off your chin

Mon, 12/17/2012 - 23:11 | Link to Comment lizzy36
lizzy36's picture

And what happens when the fiscal is avoided and nothing changes?

Mon, 12/17/2012 - 23:40 | Link to Comment Seer
Seer's picture

It does not matter what They (TPTB) do, they have zero control over where we're headed (they can alter time a bit, but the fundamentals that are driving things are pretty much a sealed deal).  Change is guaranteed.

Mon, 12/17/2012 - 23:59 | Link to Comment Mr Lennon Hendrix
Mr Lennon Hendrix's picture

That's right.

As all eyes and ears are focused on collapsing equities or a collapsing bond market or a collapsing currency market the one thing no one is seeing or hearing is the fact that world has only so much light sweet crude oil in easably accessable areas. 

Excuses are given like, "Natural gas" and "Frcacking" and "Shale" and "Clean coal" and probably even "Solar" (even those those people are watching Circue de Soleai while they plan road trips to Las Vegas).

Yet there is no solution.  No amount of money printing will keep the platue of easy energy from falling, except a drop in demand, but the world needs oil now, and even during a great depression 7 Billion people will need some energy.

Tue, 12/18/2012 - 00:04 | Link to Comment Seer
Seer's picture

Always glad that there are others out there who understand the REAL picture.  I'm going to miss cheap oil, that's for sure, but because I will I'm not so stupid as to pretend that it ain't going to happen (hoping for some miracle).

Many of the 7 billion people on this planet use very little energy (and for many it's crude shit, literally- like burning cow pies).  People like me, however, are going to feel it pretty good/bad.

Tue, 12/18/2012 - 00:15 | Link to Comment Mr Lennon Hendrix
Mr Lennon Hendrix's picture

The world will be a different place.  America will need to change (it has been changing slowly already let's see how slowly it will continue to change).  It will need to change from being a place where obiese people can survive easily to a place where people will need to take some time out of their life for sitting on a couch to walking a few miles for a bite of food.

Tue, 12/18/2012 - 00:08 | Link to Comment Mr Lennon Hendrix
Mr Lennon Hendrix's picture

Because "like goods" have now been introduced in the vamped "chained" CPI we will see inflation of proportions only remembered by boomers coming into the workforce in the '70s. 

Of course this time will be like the last time and in ten years UE will be like it was when Reagen was POTUS (damn him, right boomers?) UE will be below 5% so the economy will be fine and the said boomers will be collecting 4% on their IRAs that are averaging 7% growth a year (7% nominal is good right?) so they will be able to eat dinner downtown everynight, give an inheritence away so that they get the best head stone available, and travel a few times a year to cold places to see family.

Tue, 12/18/2012 - 10:41 | Link to Comment madcows
madcows's picture

The current "Real" inflation rate is already at 1970's level.  My calcs are at 11.4%.  ShadowStats are around the same.  The highest rate in the 70's was 11.2% in 1979.  I'd suggest you track all your expenditures to measure real inflation, instead of taking it on faith from the Government.  They have many reasons to be dishonest with you.

Mon, 12/17/2012 - 23:24 | Link to Comment hairball48
hairball48's picture

Immelt is just a fucking liar like all the rest of them.

Mon, 12/17/2012 - 23:52 | Link to Comment MiltonFriedmans...
MiltonFriedmansNightmare's picture

If he admits to a slowdown, it likely means the world economy is grinding to a complete standstill. Prepare for the warnings season accordingly.

Tue, 12/18/2012 - 00:11 | Link to Comment optimator
optimator's picture

His Yacht should be named "Jacks Mistake".

Tue, 12/18/2012 - 00:28 | Link to Comment Cabreado
Cabreado's picture

Ignore the words of the Sociopath.

The true health of an organization might best be measured by the relative psychosis of its sycophants and enablers.

GE too.

Tue, 12/18/2012 - 10:45 | Link to Comment Jim B
Jim B's picture

Criminal Sociopath.... Just saying

Tue, 12/18/2012 - 02:04 | Link to Comment AynRandFan
AynRandFan's picture

Ben Cssselman and Phil Izzo of the WSJ are reporting today (12-17-2012) that everything will get better from here.

Tue, 12/18/2012 - 07:15 | Link to Comment Vince Clortho
Vince Clortho's picture

Will GE receive more bailout cash to meet its profit projections?  That is the new business model in America.

Tue, 12/18/2012 - 09:43 | Link to Comment d edwards
d edwards's picture

Either that, or run businesses Chinese style, ie dictatorships.

Tue, 12/18/2012 - 10:36 | Link to Comment madcows
madcows's picture

I think he's angling for more tax breaks.  I don't trust Kleptocrats

Do NOT follow this link or you will be banned from the site!