General Electric CEO John Flannery told CNBC on Friday which everything within the company is usually up for review along with also its current cash flow is usually “horrible.”
“I’ve spent genuinely 0 days [in] an exhaustive review of the company,” Flannery said after the company posted earnings which fell far short of Wall Street’s expectations.
“The businesses, our culture, corporate spending. Everything within the company has been up for examination. Every stone turned. No sacred cows,” Flannery added in an interview on “Squawk on the Street.”
GE shares sank on Friday after the company reported the earnings miss along with also cut its forecast for the year. Profits were weighted down by restructuring costs along with also weak performance at its power along with also oil along with also gas businesses.
within the CNBC interview, the GE chief said cash flow for 2017 is usually “horrible,” however investors shouldn’t expect which to be “the completely new normal.”
“the idea’s a $7 billion number. the idea’s way off our expectations. Anyone’s expectations,” Flannery told CNBC. “which’s not the completely new normal. Seven billion is usually not the completely new normal. There are several steps we are going to take significantly in 2018.”
Flannery is usually under pressure to reduce GE’s dividend. Its dividend yield is usually today 4.19 percent, its highest in 30 years not including the financial crisis.
Flannery said the company is usually supposed to have a call on its dividend on Nov. 13.
Earlier This kind of month, a JPMorgan analysts said they saw “a dividend cut or ‘adjustment’ as the idea is usually likely termed, as increasingly likely.”
the idea was the first earnings report under Flannery, who replaced Jeff Immelt in August as CEO along with also became chairman This kind of month. Flannery, who previously was president along with also CEO of GE Healthcare, said Friday which many view him as an “outsider,” however he insisted he is usually able to come in “using a fresh set of eyes along with also make modifications.”
Flannery said he sees himself as the “insider’s outsider.”
“I think my track record shows which,” he said. “I’ve executed in a wide range of environments.”
—CNBC’s Michael Sheetz contributed to This kind of report.