GE 2014 Annual Report Download - page 57

GE 2014 FORM 10-K 37
MD&A SEGMENT OPERATIONS | OIL & GAS
FINANCIAL OVERVIEW
(Dollars in billions)
SEGMENT REVENUES & PROFIT SEGMENT PROFIT MARGIN
SEGMENT REVENUES & PROFIT WALK: COMMENTARY:
2014 – 2013 2014 – 2013
Segment revenues up $1.7 billion (10%);
Segment profit up $0.4 billion (19%) as a result of:
x The increase in revenues was primarily due to higher
volume, mainly driven by higher equipment sales at SS,
D&S and TMS, as well as the $0.3 billion net impact of
acquisitions, primarily Lufkin, and dispositions, primarily
Wayne. Higher prices primarily at SS also increased
revenues. These increases were partially offset by the
effects of a stronger U.S. dollar.
x The increase in profit was primarily due to higher
productivity, higher volume and higher prices. These
increases were partially offset by negative business
mix.
Revenues Profit
2013 $ 17.0 $ 2.2
Volume 1.7 0.2
Price 0.1 0.1
Foreign Exchange (0.1) -
(Inflation)/Deflation N/A -
Mix N/A (0.2)
Productivity N/A 0.4
Other - -
2014 $ 18.7 $ 2.6
2013 – 2012 2013 – 2012
Segment revenues up $1.7 billion (11%);
Segment profit up $0.3 billion (13%) as a result of:
x The increase in revenues was primarily due to higher
volume, mainly driven by increased equipment sales as
well as the impact of acquisitions ($0.7 billion), higher
prices at TMS, and the effects of a weaker U.S. dollar.
x The increase in profit was due to higher volume, which
was positively impacted by acquisitions and organic
growth in the SS and D&S business, as well as higher
prices at TMS. This was partially offset by lower cost
productivity.
Revenues Profit
2012 $ 15.2 $ 1.9
Volume 1.5 0.2
Price 0.2 0.2
Foreign Exchange 0.1 -
(Inflation)/Deflation N/A -
Mix N/A -
Productivity N/A (0.1)
Other - -
2013 $ 17.0 $ 2.2
  Revenue   Profit