Financial Position and Debt - The company has approximately $9,442 million in outstanding borrowings as of December 31, 2023[243]. - As of December 31, 2023, the company has $8,250 million of fixed-rate debt and $1,150 million outstanding on a Term Loan Facility with a variable interest rate[383]. - A hypothetical change of interest rates by 100 basis points would increase or decrease the company's annual interest expense by approximately $22 million[384]. - The company entered into interest-rate swap contracts in Q4 2023 to convert $1,000 million of senior unsecured notes from fixed rates to variable rates as part of its interest rate risk management strategy[385]. Operational Risks and Challenges - The company may incur increased costs due to the loss of synergies previously enjoyed while operating as part of GE[240]. - The company may face challenges accessing capital markets on favorable terms due to potential volatility and disruptions[242]. - Disruptions in deliveries or production, due to various risks, could significantly impact the company's operating profit or cash flows[388]. Currency and Commodity Exposure - A potential 10% decrease in USD spot rates against other currencies could result in a $13 million decrease in the fair value of foreign currency derivative contracts[380]. - The company has exposure to foreign currency translation risk due to global operations, with significant revenues and expenses in various currencies[378]. - If commodity or energy prices increase and the company cannot pass these costs to customers, profit margins would be adversely affected[387]. - The company relies on supplies of raw materials such as helium, iodine, and rare earth minerals, which are subject to volatility in demand, availability, and pricing[386]. Shareholder Impact and Equity - Future equity issuances may dilute existing shareholders' interests and adversely affect earnings per share[250]. - GE owns approximately 13.5% of the company's outstanding common stock and intends to monetize its remaining ownership over time[249]. Compliance and Internal Controls - The company is required to comply with Section 404 of the Sarbanes Oxley Act, which mandates annual management assessments of internal control effectiveness[239]. - The company’s ability to generate cash is subject to various external factors, including economic and regulatory conditions[245]. Deferred Compensation and Equity Risks - The company has $269 million of deferred compensation liabilities subject to equity price risk, which would impact earnings and cash flows[390]. - The company entered into various transaction agreements with GE related to the Spin-Off, which may impact its financial condition if obligations are not met[241].

GE HealthCare Technologies Inc. (GEHC) is scheduled to report fourth-quarter 2023 results on Feb 6, before market open.In the last reported quarter, the company’s adjusted earnings per share of 99 cents surpassed the Zacks Consensus Estimate by 11.2%.Let’s take a look at how things might have shaped up prior to the announcement.Factors at PlayIn January 2023, General Electric Company announced the completion of the spinoff of its healthcare business to create a new player in the field of Precision Care. Fro ...

CHICAGO--(BUSINESS WIRE)--GE HealthCare (Nasdaq: GEHC) today announced it has received 510(k) clearance from the United States Food and Drug Administration (FDA) for Novii™+ Wireless Patch Solution. The antepartum and intrapartum maternal and fetal monitor noninvasively measures and displays fetal heart rate, maternal heart rate and uterine activity, so care teams can have a real-time view of patient data. Through its belt-free and wireless design, Novii+ enables mobility and freedom for mothers to support ...

CHICAGO--(BUSINESS WIRE)--GE HealthCare (Nasdaq: GEHC) announces the latest innovation in electrophysiology (EP), the Prucka 3 with CardioLab EP Recording system, to help clinicians in the diagnosis and treatment of cardiac arrhythmias. Cardiovascular disease is the leading cause of death globally - affecting millions of individuals and placing a significant burden on healthcare systems today. 1 Within the complex umbrella of cardiology care and cardiovascular disease, atrial fibrillation (AFib) is the m ...

CHICAGO--(BUSINESS WIRE)--GE HealthCare (Nasdaq: GEHC), a leader in precision care innovation, will announce its fourth quarter and full year 2023 financial results before the market opens on Tuesday, February 6, 2024. The GE HealthCare management team will also host a conference call and webcast at 8:30 a.m. Eastern Time on that same day, which will be a live webcast and accessible at https://investor.gehealthcare.com/news-events/events. The earnings release, accompanying financial information, and webcast ...

CHICAGO--(BUSINESS WIRE)--GE HealthCare (Nasdaq: GEHC) today announced it has entered into an agreement to acquire MIM Software, a global provider of medical imaging analysis and artificial intelligence (AI) solutions for the practice of radiation oncology, molecular radiotherapy, diagnostic imaging, and urology at imaging centers, hospitals, specialty clinics, and research organizations worldwide. GE HealthCare expects to leverage MIM Software’s imaging analytics and digital workflow capabilities across va ...

3Q 2023 Earnings Presentation October 31, 2023 © 2023 GE HealthCare. GE is a trademark of General Electric Company used under trademark license. Forward-looking Statements This presentation contains forward-looking statements. These forward-looking statements might be identified by words, and variations of words, such as "will," "expect," "may," "would," "could," "plan," "believe," "anticipate," "intend," "estimate," "potential," "position," "forecast," "target," "guidance," "outlook," and similar expressio ...

Revenue Performance - Total revenues for Q3 2023 were $4,822 million, a 5% increase from $4,576 million in Q3 2022, with organic growth of 6%[161]. - For the nine months ended September 30, 2023, total revenues were $14,346 million, a 7% increase from $13,403 million in the same period of 2022, with organic growth of 9%[164]. - EMEA region revenues grew by 9% to $1,249 million in Q3 2023, driven by increases in Imaging, PDx, and PCS revenues[160]. - The China region saw revenues of $719 million, an 8% increase from $668 million in Q3 2022, despite unfavorable foreign currency impacts[160]. - Total revenues for the three months ended September 30, 2023, were $4,822 million, a 5% increase from $4,576 million in the same period of 2022[187]. Segment Performance - Product sales increased by 6% to $3,186 million in Q3 2023, driven by growth in Imaging, Pharmaceutical Diagnostics (PDx), and Patient Care Solutions (PCS)[156]. - Imaging segment revenues reached $2,635 million, growing 5% year-over-year, supported by improvements in supply chain fulfillment and new product introductions[162]. - The Ultrasound segment reported revenues of $815 million, a slight decline of 1% from $823 million in Q3 2022, primarily due to prior year supply chain improvements[162]. - Imaging segment revenues were $7,751 million, growing 7% or $475 million, with organic revenue growth of 9% driven by MI/CT and MR product lines[1]. - Ultrasound segment revenues were $2,513 million, growing 2% or $47 million, with organic revenue growth of 4% primarily due to new product introductions[1]. - PCS segment revenues were $2,315 million, growing 9% or $185 million, with organic revenue growth of 10% across all product lines[1]. - PDx segment revenues were $1,715 million, growing 15% or $230 million, with organic revenue growth of 17% driven by improved demand[1]. Income and Expenses - Net income attributable to GE HealthCare for Q3 2023 was $375 million, down from $487 million in Q3 2022, reflecting a decrease of 23%[156]. - Operating income for Q3 2023 was $617 million, a 2% increase from $605 million in Q3 2022, but a decrease of 40 basis points as a percentage of total revenues[167]. - Total operating expenses increased by $150 million, with SG&A expenses rising by $88 million and R&D investments increasing by $62 million[169]. - Adjusted net income for the nine months ended September 30, 2023, was $1,258 million, a decrease of 17% from $1,507 million in the prior year[173]. - Adjusted net income for the three months ended September 30, 2023, was $451 million, a 17% decrease from $546 million in 2022[193]. Cash Flow and Debt - Free cash flow for the nine months ended September 30, 2023, was $759 million, a decrease of 10% compared to $841 million for the same period in 2022[198]. - Cash from operating activities for the nine months ended September 30, 2023, was $1,051 million, slightly down 1.9% from $1,071 million in 2022[203]. - Total debt as of September 30, 2023, was $10,260 million, an increase from $8,250 million as of December 31, 2022[216]. - Cash, cash equivalents, and restricted cash balance as of September 30, 2023, was $2,418 million, with access to revolving credit facilities totaling $3,500 million[199]. - Cash generated from financing activities was $422 million for the nine months ended September 30, 2023, compared to cash used of $785 million in 2022[209]. Research and Development - Research and development expenses increased to $322 million in Q3 2023, compared to $260 million in Q3 2022, marking a 24% rise[156]. - The company acquired Caption Health, an AI company, for $147 million, enhancing its capabilities in AI-guided ultrasound screening[207]. Earnings Per Share - Adjusted earnings per share for Q3 2023 was $0.99, down 17.5% from $1.20 in Q3 2022, and for the nine months ended September 30, 2023, it was $2.75, down 17.2% from $3.32 in the same period of 2022[195].

Financial Data and Key Metrics Changes - The company reported revenues of $4.8 billion for Q2 2023, representing a 7% increase year-over-year and a 9% organic growth, driven by strong product growth [21][22] - Adjusted EBIT margin was 14.8%, down 120 basis points year-over-year, primarily due to standalone costs and inflation, but improved 70 basis points sequentially from Q1 [19][52] - Adjusted EPS was $0.92, up 12% year-over-year on a standalone basis, but down 20% year-over-year due to interest expense [22] Business Line Data and Key Metrics Changes - Imaging segment saw a 9% year-over-year revenue growth, driven by molecular imaging CT and MR, although EBIT margin decreased by 380 basis points due to planned investments [55][56] - Patient Care Solutions (PCS) organic revenue grew by 9% year-over-year, driven by price and volume, with EBIT margin decreasing by 50 basis points due to inflation and planned investments [13][57] - Ultrasound generated 3% organic revenue growth year-over-year, reflecting high backlog fulfillment, with revenue driven by cardiovascular and women's health [12] Market Data and Key Metrics Changes - Global demand for healthcare products improved, with a 6% increase in orders in Q2, up from 3% in Q1 [18] - The company reported a healthy backlog of $18.4 billion, although it declined slightly due to revenues growing faster than orders [21][102] - Strong demand was noted in China, with revenue growth in double digits, as the country prioritizes improved healthcare access [53] Company Strategy and Development Direction - The company is focused on investing in AI and machine learning capabilities to enhance productivity and patient care, with a goal of creating interoperable ecosystems of devices and applications [5][26] - A balanced capital allocation strategy is being pursued, including organic investments, inorganic opportunities, deleveraging, and initiating dividends [20] - The company raised its full-year guidance for organic revenue growth to a range of 6% to 8% and adjusted EPS outlook to $3.70 to $3.85, reflecting confidence in market conditions [29][30] Management's Comments on Operating Environment and Future Outlook - Management expressed optimism about the healthcare providers' continued investment globally, which is expected to drive demand for imaging and surgical equipment [4] - The company anticipates that many operational changes will yield benefits in 2024 and beyond, with a focus on margin expansion through productivity initiatives [11][60] - Management highlighted the importance of new product introductions and AI capabilities in driving future growth and improving patient outcomes [34][62] Other Important Information - The company is experiencing inflationary pressures and standalone costs that are impacting margins, but it is optimistic about future margin improvements through operational efficiencies [11][52] - The introduction of new AI technologies is expected to enhance product offerings and improve operational efficiency [62][110] - The company is well-positioned to capitalize on advancements in Alzheimer's disease therapies, which are expected to create new market opportunities [35][66] Q&A Session Summary Question: What is the status of the TSA roll-off and its impact on operating margins? - Management indicated that over 400 TSAs are to be exited over the next several years, with 100 already completed, which will positively impact operating margins in the coming years [41][42] Question: Can you elaborate on the order growth and market dynamics? - Management noted that order growth was strong at 6%, with a focus on maintaining mid-single-digit growth in the long term, despite some challenges in the market [49][80] Question: How does the company view the opportunity in Alzheimer's disease therapies? - Management expressed optimism about the growth opportunities related to new therapies and the company's role in providing diagnostic and monitoring solutions [66][99]

Q2 2023 Financial Performance - Total revenue reached $4.8 billion, reflecting a 6% year-over-year increase[27] - Organic revenue growth was 9% year-over-year[29] - Adjusted EBIT margin was 14.8%, a decrease of 120 basis points year-over-year, but up year-over-year excluding post-spin cash outflows[28] Segment Performance - Imaging revenue was $2.6 billion, with 9% organic revenue growth[32] - Ultrasound revenue was $839 million, with 3% organic revenue growth[93] - Patient Care Solutions (PCS) revenue was $770 million, with 9% organic revenue growth[54] - Pharmaceutical Diagnostics (PDx) revenue was $568 million, with 20% organic revenue growth[82] Orders and Cash Flow - Organic orders growth was 6%[89] - Free Cash Flow (FCF) was negative $136 million, but up year-over-year excluding standalone interest and incremental post-retirement benefit payments[57] Guidance - The company raised its full-year 2023 organic revenue growth guidance to 6% to 8%[45] - Adjusted EPS guidance was raised to $3.70 - $3.85, representing growth of 9% to 14%[45] - Adjusted EBIT margin is reaffirmed in the range of 15% to 15.5%[41] - Free cash flow conversion is reaffirmed at 85%+ [41]