For the quarter ended March 2025, GE HealthCare Technologies (GEHC) reported revenue of $4.78 billion, up 2.7% over the same period last year. EPS came in at $1.01, compared to $0.90 in the year-ago quarter.The reported revenue compares to the Zacks Consensus Estimate of $4.66 billion, representing a surprise of +2.57%. The company delivered an EPS surprise of +10.99%, with the consensus EPS estimate being $0.91.While investors scrutinize revenue and earnings changes year-over-year and how they compare with ...

GE HealthCare Technologies (GEHC) came out with quarterly earnings of $1.01 per share, beating the Zacks Consensus Estimate of $0.91 per share. This compares to earnings of $0.90 per share a year ago. These figures are adjusted for non-recurring items.This quarterly report represents an earnings surprise of 10.99%. A quarter ago, it was expected that this medical technology company would post earnings of $1.26 per share when it actually produced earnings of $1.45, delivering a surprise of 15.08%.Over the la ...

GE HealthCare Technologies (GEHC) Q1 2025 Earnings Call April 30, 2025 08:30 AM ET Company Participants Carolynne Borders - Chief Investor Relations OfficerPeter Arduini - President & CEOJames Saccaro - VP & CFOVijay Kumar - Senior Managing DirectorDavid Roman - Managing DirectorJoanne Wuensch. - Managing DirectorAnthony Petrone - Managing Director Conference Call Participants Lawrence Biegelsen - Senior Medical Device Equity Research AnalystJason Bednar - Senior Research AnalystRobert Marcus - AnalystCraig ...

Financial Data and Key Metrics Changes - In Q1 2025, the company reported revenues of $4.8 billion, with organic revenue growth of 4% and high single-digit growth in the U.S. market [10][11] - Adjusted EPS for the quarter was $1.01, reflecting a 12% year-over-year increase, while free cash flow was $98 million, down $175 million from the previous year [12][19] - The adjusted EBIT margin was 15%, up 30 basis points year-over-year, driven by volume and productivity improvements [12][13] Business Line Data and Key Metrics Changes - Imaging segment organic revenue grew 5% year-over-year, with EBIT margin up 130 basis points due to productivity and volume [14][15] - Advanced Visualization Solutions saw a 3% increase in organic revenue, with EBIT margin increasing by 10 basis points [16] - Patient Care Solutions experienced 2% organic revenue growth, but EBIT margin declined by 450 basis points due to investments and product mix [17] - Pharmaceutical Diagnostics achieved 8% organic growth with an EBIT margin above 32% [18] Market Data and Key Metrics Changes - The U.S. market showed strong demand, particularly in imaging products focused on cardiology and oncology, contributing to record double-digit orders growth [5][6] - The company noted a significant backlog of $20.6 billion, up $1.9 billion year-over-year, indicating strong market demand [11] Company Strategy and Development Direction - The company is focused on mitigating tariff impacts and optimizing its supply chain, with expectations of reduced tariff impacts in 2026 [8][9] - Continued investment in R&D is prioritized, with a commitment to innovation and product leadership, including the launch of new products like radiopharmaceuticals [12][25] - The company aims to enhance its market presence and drive growth through strategic M&A opportunities [20][88] Management's Comments on Operating Environment and Future Outlook - Management expressed confidence in operational execution despite macroeconomic challenges, with an updated full-year guidance reflecting organic revenue growth of 2% to 3% [21][22] - The company anticipates a negative sales performance in China for the first half of 2025, with expectations of sequential improvement in the second half [22][40] - Management remains focused on maintaining long-term innovation investments while controlling discretionary expenses [27][81] Other Important Information - The company announced a share repurchase program authorization of $1 billion [20] - The first commercial doses of Flurcado were delivered, and the company is on track with its planned rollout [18][70] Q&A Session Summary Question: Can you elaborate on the tariff impact and mitigation efforts? - The estimated tariff impact for 2025 is $0.85 per share, with a significant portion expected in Q2, Q3, and Q4. Mitigation efforts include duty drawback and dual sourcing strategies [31][33][34] Question: What is the outlook for China and the impact of VBP? - The company expects a mid-single-digit decline in China for the first half of 2025, with no significant changes in market sentiment [39][40] Question: How are you managing R&D and operational spending amid tariff impacts? - The company is controlling spending in SG&A while protecting key investments in R&D and sales to support product launches [81][82] Question: What is the status of Flurcado and its market potential? - Flurcado is on track for a successful launch, with expected revenue of $30 million in 2025 and positive clinical feedback [70][71] Question: How do you view the potential risks from rare earth element export limitations? - The company does not foresee significant long-term issues from rare earth element limitations, as it has multiple sourcing strategies in place [108][109]

1Q 2025 Earnings Presentation April 30, 2025 © 2025 GE HealthCare. GE is a trademark of General Electric Company used under trademark license. Forward-looking statements and additional information 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," "outloo ...

Financial Performance - Total revenues for the three months ended March 31, 2025, were $4,777 million, representing a 3% increase year-over-year and a 4% organic growth [164]. - Operating income increased to $629 million, up 17% from $540 million in the same period last year, with an operating margin of 13.2% [165]. - Net income attributable to GE HealthCare rose to $564 million, a 51% increase compared to $374 million in the prior year [165]. - Imaging segment revenues were $2,140 million, growing 4% year-over-year, driven by strong performance in Molecular Imaging and Computed Tomography [166]. - PDx segment revenues increased by 6% to $632 million, supported by growth in both price and volume [166]. - USCAN revenues grew by 7% to $2,237 million, with significant contributions from PDx and Imaging segments [166]. - Adjusted EBIT was $715 million, reflecting a 5% increase from the previous year, with an adjusted EBIT margin of 15.0%, up 30 basis points [185]. - Organic revenue for the three months ended March 31, 2025, was $4,842 million, a 4% increase from $4,650 million in the prior year [182]. - Adjusted net income was $464 million, a 12% increase from $413 million in the previous year [188]. - Adjusted earnings per share for Q1 2025 was $1.01, an increase of 12.2% from $0.90 in Q1 2024 [190]. Expenses and Costs - Research and development expenses were $344 million, up from $324 million in the previous year [161]. - Operating expenses increased by $21 million, primarily due to a $20 million increase in R&D investments [167]. - Cost of products sold decreased by $4 million, resulting in a 160 basis point reduction as a percentage of sales of products [167]. - Gross profit increased by $111 million, representing a 120 basis point improvement as a percentage of total revenues, primarily due to a reduction in cost of products sold [167]. Cash Flow and Debt - Free cash flow for Q1 2025 decreased by 64% to $98 million, down from $274 million in Q1 2024 [197]. - Cash generated from operating activities in Q1 2025 was $250 million, a decrease of 40.4% compared to $419 million in Q1 2024 [199]. - Total debt as of March 31, 2025, was $8,759 million, down from $8,951 million as of December 31, 2024, due to a $250 million repayment of the Term Loan Facility [212]. - The weighted average interest rate for the company's debt was 5.93% for Q1 2025 [213]. - As of March 31, 2025, the company had $2,473 million in cash, cash equivalents, and restricted cash, along with access to $3,500 million in revolving credit facilities [198]. Tax and Investments - The effective tax rate for Q1 2025 was 15.0%, a decrease from 24.2% in Q1 2024 [193]. - Cash used for investing activities in Q1 2025 was $407 million, primarily for the acquisition of the remaining 50% interest in NMP and additions to PP&E [203]. - Capital expenditures for Q1 2025 were $152 million, compared to $145 million in Q1 2024, focused on manufacturing capacity expansion and new product introductions [209]. Strategic Initiatives - The company continues to monitor the impact of tariffs imposed by the U.S. on imports from China, Mexico, and Canada, which could materially affect financial results [153]. - The 2024 stimulus program in China is expected to create long-term opportunities for the company, despite short-term revenue delays [155]. - The company authorized a share repurchase program for up to $1,000 million of common stock on April 30, 2025 [211]. Segment Performance - Imaging segment EBIT increased by $33 million to $199 million, driven by cost productivity and sales volume growth [174]. - The company generated revenues of $64 million from Russia and Ukraine for the three months ended March 31, 2025, down from $77 million in the same period last year [156].

[Overview of First Quarter 2025 Performance](index=1&type=section&id=Overview%20of%20First%20Quarter%202025%20Performance) GE HealthCare reported robust Q1 2025 growth in revenue, orders, and profit, driven by the U.S. market, despite a significant decline in cash flow Q1 2025 Key Financial Highlights (vs. Q1 2024) | Metric | Q1 2025 | Q1 2024 | Change | | :--- | :--- | :--- | :--- | | Revenues | $4.8B | $4.7B | +3% Reported, +4% Organic* | | Net Income Margin | 11.8% | 8.0% | +380 bps | | Adjusted EBIT Margin* | 15.0% | 14.7% | +30 bps | | Diluted EPS | $1.23 | $0.81 | +$0.41 | | Adjusted EPS* | $1.01 | $0.90 | +$0.11 | | Cash from Operating Activities | $250M | $419M | -$169M | | Free Cash Flow* | $98M | $274M | -$175M | - The company experienced strong customer demand, with a total company book-to-bill ratio of 1.09 and a record **10% organic increase in orders** year-over-year[7](index=7&type=chunk) - CEO Peter Arduini highlighted strong execution, focus on precision care strategies, and active mitigation actions regarding the current global trade environment[3](index=3&type=chunk) [Segment Financial Performance](index=2&type=section&id=First%20quarter%202025%20segment%20financial%20performance) All four segments achieved positive organic revenue growth in Q1 2025, with Pharmaceutical Diagnostics leading in growth and margin expansion, while Patient Care Solutions saw a significant EBIT margin decline Q1 2025 Segment Financial Performance (YoY) | Segment | Revenues ($M) | Organic Growth* | Segment EBIT ($M) | EBIT Margin | Margin Change | | :--- | :--- | :--- | :--- | :--- | :--- | | Imaging | $2,140 | 5% | $199 | 9.3% | +130 bps | | Advanced Visualization Solutions | $1,239 | 3% | $261 | 21.1% | +10 bps | | Patient Care Solutions | $753 | 2% | $48 | 6.4% | -450 bps | | Pharmaceutical Diagnostics | $632 | 8% | $205 | 32.4% | +270 bps | - Financial results were recast to reflect the move of Image Guided Therapies from the Imaging segment to Advanced Visualization Solutions[8](index=8&type=chunk) [Growth, Innovation, and Strategic Initiatives](index=2&type=section&id=Growth%2C%20Innovation%2C%20and%20Strategic%20Initiatives) The company is advancing its precision care strategy through new product launches, strategic acquisitions, and a new **$1 billion** share repurchase program to enhance shareholder value - Key commercial and strategic highlights for the quarter include: Completion of the acquisition of Nihon Medi-Physics (NMP), a leading radiopharmaceutical company in Japan; U.S. launch of Flyrcado™ (flurpiridaz F 18) injection for PET imaging; Unveiling of the Revolution™ Vibe CT system and the Freelium sealed magnet platform; Expansion of the invasive cardiology portfolio with AltiX AI.i[9](index=9&type=chunk)[10](index=10&type=chunk) - The Board of Directors authorized a **$1 billion** share repurchase program, demonstrating confidence in the company's long-term prospects and providing a mechanism to opportunistically return capital to shareholders[13](index=13&type=chunk)[14](index=14&type=chunk) [Full-Year 2025 Guidance Update](index=2&type=section&id=2025%20guidance) GE HealthCare updated its full-year 2025 guidance, revising down Adjusted EBIT Margin*, Adjusted EPS*, and Free Cash Flow* due to estimated tariff impacts, while Organic Revenue Growth* remains unchanged Updated Full-Year 2025 Guidance | Metric | Previous Guidance | Updated Guidance | Change | | :--- | :--- | :--- | :--- | | Organic Revenue Growth* | 2% to 3% | 2% to 3% | Unchanged | | Adjusted EBIT Margin* | 16.7% to 16.8% | 14.2% to 14.4% | -250 to -240 bps | | Adjusted EPS* | $4.61 to $4.75 | $3.90 to $4.10 | -$0.71 to -$0.65 | | Free Cash Flow* | at least $1.75B | at least $1.2B | -$0.55B | - The guidance was updated to reflect the impact of announced tariffs, which are assumed to return to pre-pause levels on July 9, 2025[10](index=10&type=chunk)[12](index=12&type=chunk) [Consolidated Financial Statements](index=5&type=section&id=Consolidated%20Financial%20Statements) This section provides the unaudited consolidated financial statements for Q1 2025, including Statements of Income, Financial Position, and Cash Flows, detailing the company's financial performance and condition [Condensed Consolidated Statements of Income](index=5&type=section&id=Condensed%20Consolidated%20Statements%20of%20Income%20%28Unaudited%29) Q1 2025 saw total revenues increase to **$4.78 billion**, gross profit to **$2.01 billion**, operating income to **$629 million**, and net income attributable to GE HealthCare significantly rose by **51%** to **$564 million**, yielding a diluted EPS of **$1.23** Q1 2025 Income Statement Highlights (in millions, except EPS) | Line Item | Q1 2025 | Q1 2024 | | :--- | :--- | :--- | | Total revenues | $4,777 | $4,650 | | Gross profit | $2,012 | $1,902 | | Operating income | $629 | $540 | | Net income attributable to GE HealthCare | $564 | $374 | | Diluted EPS | $1.23 | $0.81 | [Condensed Consolidated Statements of Financial Position](index=6&type=section&id=Condensed%20Consolidated%20Statements%20of%20Financial%20Position%20%28Unaudited%29) As of March 31, 2025, total assets were **$33.6 billion** and total liabilities **$24.2 billion**, with cash and equivalents decreasing to **$2.47 billion** and long-term borrowings reducing to **$6.76 billion** Balance Sheet Highlights (in millions) | Line Item | March 31, 2025 | Dec 31, 2024 | | :--- | :--- | :--- | | Cash, cash equivalents, and restricted cash | $2,473 | $2,889 | | Total current assets | $9,735 | $9,901 | | Total assets | $33,586 | $33,089 | | Total current liabilities | $9,969 | $9,553 | | Long-term borrowings | $6,757 | $7,449 | | Total liabilities | $24,168 | $24,437 | | Total equity | $9,207 | $8,464 | [Condensed Consolidated Statements of Cash Flows](index=7&type=section&id=Condensed%20Consolidated%20Statements%20of%20Cash%20Flows%20%28Unaudited%29) Q1 2025 cash from operating activities significantly decreased to **$250 million**, with investing activities using **$407 million** and financing activities using **$286 million**, resulting in a net cash decrease of **$416 million** Q1 Cash Flow Summary (in millions) | Line Item | Q1 2025 | Q1 2024 | | :--- | :--- | :--- | | Cash from operating activities | $250 | $419 | | Add: Additions to PP&E and internal-use software | ($152) | ($145) | | **Free cash flow*** | **$98** | **$274** | [Non-GAAP Financial Measures and Reconciliations](index=9&type=section&id=Non-GAAP%20Financial%20Measures%20and%20Reconciliations) This section defines and reconciles non-GAAP financial measures like Organic Revenue*, Adjusted EBIT*, and Free Cash Flow* to U.S. GAAP, providing transparency on adjustments for acquisitions, currency, and one-time costs - The company uses non-GAAP measures to help investors understand underlying business trends by excluding effects of acquisitions, currency fluctuations, and certain non-recurring or non-cash items[22](index=22&type=chunk)[23](index=23&type=chunk)[24](index=24&type=chunk) [Organic Revenue Reconciliation](index=10&type=section&id=Organic%20Revenue%20Reconciliation) Total reported revenues of **$4.78 billion** were adjusted for currency and acquisitions, resulting in an Organic Revenue* of **$4.84 billion**, a **4%** year-over-year growth Total Revenue to Organic Revenue* Reconciliation (in millions) | Description | Q1 2025 | | :--- | :--- | | Total revenues (GAAP) | $4,777 | | Less: Acquisitions | $14 | | Less: Foreign currency exchange | ($78) | | **Organic revenue* (Non-GAAP)** | **$4,842** | [Adjusted EBIT Reconciliation](index=12&type=section&id=Adjusted%20EBIT%20Reconciliation) Adjusted EBIT* for Q1 2025 increased **5%** to **$715 million**, reconciled from Net Income Attributable to GE HealthCare by adjusting for interest, taxes, restructuring, spin-off costs, and an investment revaluation gain EBIT* and Adjusted EBIT* Reconciliation (in millions) | Description | Q1 2025 | Q1 2024 | | :--- | :--- | :--- | | Net income attributable to GE HealthCare | $564 | $374 | | **EBIT*** | **$728** | **$531** | | Add/Less: Adjustments (Restructuring, Spin-Off, etc.) | ($13) | $151 | | **Adjusted EBIT*** | **$715** | **$681** | [Adjusted Net Income & EPS Reconciliation](index=13&type=section&id=Adjusted%20Net%20Income%20%26%20EPS%20Reconciliation) Adjusted Net Income* increased **12%** to **$464 million**, leading to Adjusted EPS* of **$1.01**, primarily adjusted from GAAP Diluted EPS by excluding non-operating income, spin-off costs, and an investment revaluation gain Diluted EPS to Adjusted EPS* Reconciliation | Description | Q1 2025 | Q1 2024 | | :--- | :--- | :--- | | Diluted earnings per share (GAAP) | $1.23 | $0.81 | | Total Adjustments | ($0.22) | $0.09 | | **Adjusted earnings per share* (Non-GAAP)** | **$1.01** | **$0.90** | [Free Cash Flow Reconciliation](index=15&type=section&id=Free%20Cash%20Flow%20Reconciliation) Free Cash Flow* for the quarter decreased **64%** to **$98 million**, derived from **$250 million** in operating cash flow minus **$152 million** for PP&E and internal-use software additions Free Cash Flow* Reconciliation (in millions) | Description | Q1 2025 | Q1 2024 | | :--- | :--- | :--- | | Cash from operating activities | $250 | $419 | | Add: Additions to PP&E and internal-use software | ($152) | ($145) | | **Free cash flow*** | **$98** | **$274** | [Other Information](index=16&type=section&id=Other%20Information) This section provides investor and media details, including earnings call information, and outlines forward-looking statement risks such as geopolitical instability, tariff policies, and supply chain disruptions, concluding with a corporate overview - The company will host a conference call and webcast on April 30, 2025, at 8:30 am ET to discuss the quarterly results[48](index=48&type=chunk) - The forward-looking statements are subject to risks including geopolitical instability, changes in trade and tariff policy, supply chain management, and competition[49](index=49&type=chunk) - GE HealthCare is a **$19.7 billion** business with approximately **53,000 employees**, focused on medical technology, pharmaceutical diagnostics, and AI-enabled solutions[51](index=51&type=chunk)

GE HealthCare Technologies Inc. (GEHC) is scheduled to report first-quarter 2025 results on April 30, before market open.In the last reported quarter, the company’s adjusted earnings per share of $1.45 beat the Zacks Consensus Estimate by 15.1%.Stay up-to-date with all quarterly releases: See Zacks Earnings Calendar.Let us look at how things have shaped up for GEHC prior to the announcement.Factors That Might Have Driven GEHC’s Q1 PerformanceGE HealthCare is poised to benefit from ongoing robust procedure v ...

According to the collective judgment of analysts, 'Revenues- Imaging' should come in at $2.03 billion. The estimate indicates a year-over-year change of -17.8%. Based on the collective assessment of analysts, 'Revenues- Ultrasound' should arrive at $1.22 billion. The estimate suggests a change of +48.5% year over year. Analysts on Wall Street project that GE HealthCare Technologies (GEHC) will announce quarterly earnings of $0.91 per share in its forthcoming report, representing an increase of 1.1% year ove ...

GE HealthCare Technologies, Inc. (GEHC) is well-poised for growth in the coming quarters, courtesy of its continued focus on innovations. The optimism, led by strong fourth-quarter 2024 performance and acquisitions, is expected to contribute further. However, geopolitical tensions and stiff competition are concerning.This Zacks Rank #3 (Hold) company’s shares have lost 11.6% in the year-to-date period against 2.7% growth of the industry. The S&P 500 Composite has lost 7.1% during the said time frame.The ren ...