GE Aerospace's second-quarter 2026 operating profit rose 18% year-over-year. Profit reached $2.75 billion. Strong demand in commercial and defense sectors drove this increase. Its operating margin contracted by 130 basis points to 21.7%. Inflation and growth investments caused this contraction. Cost of sales surged 26.7% to $8.7 billion. Research and administrative expenses also rose significantly.
Despite margin pressure, GE Aerospace raised its full-year operating profit forecast. The new forecast ranges from $10.55 billion to $10.75 billion. This is up from a previous estimate of $9.85 billion to $10.25 billion. A robust project pipeline supports this outlook. Strong demand for aftermarket services and increased LEAP engine deliveries also contribute. The company's total backlog now exceeds $210 billion.