GE Renewable Energy has reported continued widening losses for the first quarter of 2022, posting a loss of $434m, compared with a loss of $234m in the same period in 2021.
Orders of $2.8bn decreased 21% in the first quarter of 2022, compared with the first quarter of 2021, due to lower onshore equipment orders, consistent with “inflation-driven customer delays” and the US market decline.
GE said the team’s international selectivity strategy is starting to impact its wind businesses and grid, which also declined due to the non-repeat of a large high voltage direct current system order booked in the first quarter of 2021.
Services orders grew 5% organically, partially offsetting the decline.
Revenues of $2.9bn decreased 12% reported and 10% organically, due to lower onshore wind North America equipment deliveries and continued selectivity at grid.
Partially offsetting this was services growth.
The business unit’s onshore wind margin declined and was negative, pressured by volume, mix, and new product transitions, while the grid business margins improved slightly with lower restructuring expense offsetting lower volume and low-margin legacy backlog.
GE said its renewable energy business is “focused on transforming fundamentals with decentralisation, selectivity, price, and cost actions to manage through market challenges”.