H. Lawrence Culp
Chairman and Chief Executive Officer at General Electric
Carolina, thank you. Starting with GE Aerospace, as many of you heard from us just over a month ago at our customer technical education center in Cincinnati, a premier franchise with leading value propositions for propulsion and systems in both commercial and defense. With our highly differentiated technology and service portfolio, we're redefining flight for today, tomorrow and the future.
Today, we're focused on partnering with air framers, airlines and lessors to drive stability and predictability as they ramp. For tomorrow, we're focused on growing and optimizing our next-generation of engines. A recent proof point our record-breaking deal with Air India with 800 LEAP 40 GEnx and 20 GE9X engines plus services. And for the future, we're developing next-generation technologies like RISE, hybrid electric and sustainable aviation fuels to better serve our customers and deliver growth.
I'm extremely proud of how our team continues to make progress on these priorities, running the business with lean principles in a more decentralized manner with intensity, discipline and focus day-in and day-out.
Looking at the market, the recovery has strengthened as the world is eager to travel. GE and CFM departures continue to improve, currently at 97% of '19 levels. And we still expect to be back to '19 levels later this year. To that end, we delivered strong results driven by this commercial momentum. Orders were up 14%, revenue was up 25% driven primarily by services in commercial engine deliveries. Profit improved, up over 40% and margins expanded due to services volume pricing and productivity, which together more than offset negative mix inflation and investments.
Commercial Engines and Services performance was particularly robust with 35% revenue growth. Commercial Engines revenue grew over 30% with LEAP deliveries up over 50%. To support our customers' LEAP spare engine deliveries, we'll be more first-half loaded, but we expect this to normalize in the second-half, remaining roughly in line with 2022 for the full-year. Services revenue also grew over 30%. Internal shop visits increased over 30% and external spare parts was up over 20%. Favorable pricing and customer mix also contributed to the margins.
We recently welcomed two new members of our LEAP MRO network StandardAero and ST Engineering. Our external network for LEAP is now up to five partners, creating a highly competitive environment that drives a lower cost of ownership for our airline customers. Today, the third-party MROs license by CFM service about 70% of the CFM56 shop visits. So this is a model that customers know well and trust today.
In the supply chain, we saw areas of improvement with material inputs and LEAP shipments improving sequentially; thanks largely to our lean efforts. However, output continue to be impacted by material availability and supplier challenges, particularly in defense, where revenue declined 2%. Lean is critical to improve process capabilities and increase material availability from our suppliers. In both commercial and defense, we use rigorous daily management with problem solving across product lines, supply chain and engineering teams. This helped drive commercial engine deliveries to be up 40% year-over-year and recovery of roughly 70 engines in defense the first week of April. Predictability, stability and improved delivery remain key for us going forward.
We're also constantly innovating for the future. Our XA100 is the only engine tested and ready to ensure the US maintains air superiority this decade, especially critical as geopolitical threats grow. XA100 provides 30% more range, 20% greater acceleration and twice the thermal management capacity. This engine is the most effective -- the most cost-effective option to meet the needs of the US warfighter for decades to come.
Looking ahead, despite the encouraging start, as we shared in March, over the next few quarters we'll face headwinds from tougher comps and the mix impact from equipment growth, inflation and investments. However, we continue to expect to deliver significant profit dollar growth and higher free cash flow in 2023. primarily from strong volume across engines and services combined with better pricing and productivity. We'll share more details on our progress and our future as a standalone industry-leader at the Paris Air Show in June. I look forward to seeing many of you there.
Turning to Vernova. This business is already demonstrating how well it's positioned to support our customers through the energy transition. We're seeing favorable secular growth tailwinds, underscored by IRA momentum and the need for sustainable, affordable, resilient and secure energy. This quarter, Renewables, we saw continued signs of progress. We've talked about the IRA as a game-changer, providing greater near-term and long-term demand uncertainty. We're already seeing this play out with significantly better visibility into our commercial pipeline over the next several years compared to this time just a year ago.
Orders nearly doubled, led by Grid with strong growth across the businesses, including two large HVDC orders needed to connect new renewable sources to the Grid. Onshore equipment orders also increased with North America growing more than threefold. Revenues were up mid-single digits organically, driven primarily by Grid and Offshore Wind. Looking at services, excluding repower, core services grew again on both orders and revenue. We saw both sequential and year-over-year profit improvement driven by price and cost reduction benefits primarily at Onshore and Grid.
To break it down by business, at Grid, we're clearly making progress. All three businesses saw strong top-line growth with continued productivity gains in the first quarter and we remain on track to achieve modest profitability for the full year.
At Onshore, we're executing the strategy we shared with you in March; focusing on select markets with a simplified range of product offerings. This, in turn, is yielding better margins in our backlog for longer term profitable growth. And this quarter, we saw both sequential and year-over-year margin improvement, mostly in US equipment and we continue to drive pricing was positive price-cost. Our proactive fleet enhancement program is now roughly 20% complete. At the same time, we're still rationalizing our onshore cost structure. As mentioned last quarter, headcount is down roughly 20% relative to last summer with more to do. And this has already begun to generate some savings.
At Offshore, we're managing our existing Haliade-X backlog. This quarter revenue more than doubled as we produced more nacelles. As discussed in March, we still expect Offshore to remain a near-term challenge as we execute our initial projects and improve our learning curve both in terms of product cost and operational capabilities. Scott and the team are laser-focused on managing project costs and disbursements, while improving our underwriting processes.
Looking ahead for Renewables overall, we're expecting a second quarter loss roughly in line with the first quarter. We continue to expect significant second-half improvement year-over-year in Onshore Wind, which will be partially offset by Offshore Wind. As we said in March, we see an inflection to profitability for Renewables in 24 from higher US volume, price and continued cost-out.
Moving to Power. We delivered another quarter of solid growth led by Gas Power, including both equipment and services. This business is a long-term cash generator and will help fund future growth at GE Vernova. Starting with the market, GE Gas Turbine utilization grew low-single digits, despite a milder winter in many markets, providing stable baseload power to customers transitioning from coal to gas or needing new power for electrification. We also continue to invest for the long-term, including decarbonization pathways that will provide customers with cleaner, more reliable power.
Focusing on the quarter, Power delivered solid top-line growth with services up 8% organically driven by Gas Power heavy-duty gas turbine transactional services and aero derivatives. Equipment revenue grew double-digits as we shipped five more HDGT units compared to last year. This included two incremental HA units, adding to our large gas installed base, which will serve us for years to come. Margins expanded despite a higher mix of HDGT equipment sales. We continue to manage inflationary pressures with price and continued productivity gains.
Looking beyond the quarter, similar to last year, we see roughly 70% to 75% of Power's total year profit in the second-half based on higher expected gas outage volume. Overall Power remains on track to deliver on its '23 commitments, including strong cash conversion.
In summary, I am encouraged by the progress we're making across GE Vernova. With the secular tailwinds, the impact of lean in our investments in the portfolio, I see tremendous value-creation opportunity for years to come.
So to wrap-up on Slide 7, the GE team is off to an encouraging start in '23 and our progress continues. Our missions at both GE Aerospace and GE Vernova matter to the world and we're crystal-clear on how we plan to deliver on them. GE Aerospace has a bold vision to define the future of flight. With nearly 3 billion people flying with our engines under wing last year, this exceptional franchise is growing amidst the pronounced industry ramp.
At GE Vernova is the world looks to accelerate efforts to decarbonize and electrify. We're uniquely positioned with our solutions, which provide 30% of the world's electricity today. Our Renewables business is showing continued signs of progress with clearly more to do, while Power continues to deliver solid growth. Simply put, we're improving how we operate, how we innovate and how we deliver for our customers. I couldn't be more excited about the future and where we're going.
So with that, let's go to Q&A. Steve?