Third-quarter net income rises

Friday, Oct. 8, 2004 | 9:19 a.m.

General Electric Co., the world's largest company by market value, said today that third-quarter profit rose 11 percent as acquisitions and economic growth spurred the biggest quarterly sales increase in four years.

Net income was $4.05 billion, or 38 cents a share, compared with $3.65 billion, or 36 cents a share a year earlier, matching analysts' estimates. Revenue rose 15 percent to $38.27 billion, General Electric said in a statement, the biggest gain since Jeffrey Immelt, 48, took over as chief executive from Jack Welch.

Profit next year may grow by as much as 15 percent as Immelt expands in faster-growing areas such as health care and media and divests units with lower returns like insurance, the company said. It was the first full quarter with medical-equipment maker Amersham Plc and Vivendi Universal SA's media assets. Orders rose 27 percent on higher demand for engine parts, appliances and consumer lending.

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