Larry Culp Split GE Into 3 Companies, Lifting Combined Value to $689 Billion

3 articles · Updated · Fortune · Jul 23

$689 billion is the combined value of GE Aerospace, GE Vernova and GE HealthCare after Culp completed GE’s breakup with the 2023 and 2024 spinoffs.
From a $150 billion debt burden and a $96 billion market cap in 2018, Culp cut debt, decentralized operations and pushed Toyota-style lean manufacturing to rebuild cash flow and competitiveness.
The three companies have delivered roughly 30% annualized returns since Culp arrived; GE Vernova has surged more than 600% and GE Aerospace more than 160% as standalones.
GE Aerospace now anchors the story, with a $211 billion backlog, 19% revenue growth to $45.9 billion and 33% profit growth to $8.7 billion, though supplier bottlenecks still limit output.
The split turned a sprawling conglomerate once seen as near Chapter 11 into three focused industrial businesses, with Culp arguing that focus beats synergies in faster-moving markets.

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Breaking Up to Win: GE’s 2024 Split Delivers $400 Billion in Value and Redefines Corporate Strategy

Overview

In April 2024, General Electric completed its historic breakup, transforming into three independent companies: GE Aerospace, GE Vernova, and GE HealthCare. This strategic split was designed to give investors more flexibility and was met with a strong, positive market response. The immediate result was a dramatic surge in the combined market value of the new entities, unlocking significant shareholder value and setting a new benchmark for corporate transformation. Among the three, GE Vernova quickly stood out as a top performer, demonstrating robust growth and highlighting the success of GE’s bold restructuring.

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