“And even with Leap shop visit volume growing at a 25% CAGR through 2030, we expect CES margins to stay at current levels as we are offsetting the impact of LEAP with better performance on other platforms.”

In context

“CAGR. Taken together, the strength of our foundational fleets combined with our installed base growth supports the annualized double-digit services revenue growth. Moving to Slide 23. On Commercial Services revenue growth, and how that will translate into a significant profit improvement. Narrow-body profit is expected to rise over 70%, primarily from LEAP with CFM56 continuing to contribute meaningfully. And by the end of the decade, we expect LEAP and CFM56 profit to reach parity, reflecting the maturity and the scale of the LEAP program. Wide-body profit is expected to grow more than 40% supported by installed base growth and higher work scope, shop visits for both GE90 and GEnx. We also expect contributions from productivity, pricing and favorable mix as external shop visits increase. And even with Leap shop visit volume growing at a 25% CAGR through 2030, we expect CES margins to stay at current levels as we are offsetting the impact of LEAP with better performance on other platforms. Altogether, we expect services profit to grow over 50% between '24 and '28 with contributions from both foundational and current generation programs. Going deeper into the outlook for our foundational fleets on Slide 24. Currently, approximately 40% of CFM56 fleet has yet to undergo a first shop visit. And a majority of the operators anticipate keeping these engines in service well into 2030s. This sustained demand is resulting in fewer retirements, we expect retirements of around 1.5% in 2025, rising to 2% to 3% in 2016 before normalizing at 3% to 4%. Increased shop visit activity, which we expect to peak in '27 with approximately 600 additional shop visits through '28 compared to our outlook last March. And we expect a gradual decline in volume post '27 to roughly 2,000 shop visits by t”