- July 27, 2021
- Posted by: Stratford Team
- Category: Business
July 27 (Reuters) – General Electric Co (GE.N)Chief Executive Larry Culp said on Tuesday the industrial conglomerate is facing inflationary pressure that is set to intensify in the remainder of the year.
The comments came after the Boston-based company lifted its free cash flow forecast for the year after unexpectedly reporting positive cash flow in the second quarter as industrial orders and revenue returned to growth.
In an interview, Culp said the company is managing the inflationary pressure through a combination of price increases, better sourcing of parts and raw materials, elimination of waste and higher productivity.
“We’re certainly not immune from these inflationary pressures,” he told Reuters. “We’re going to see more of that pressure in the second half.”
But for the price pressure, Culp said the company’s quarterly earnings would have been better. The company is drawing up mitigation measures as it expects a supply chain logjam to persist in…
