GE HealthCare Technologies (US:GEHC)2024-04-30 10:27Financial Performance - Total revenues for the three months ended March 31, 2024, were $4,650 million, a decrease of 1% or $57 million compared to the same period in 2023[130] - Net income attributable to GE HealthCare for the three months ended March 31, 2024, was $374 million, compared to $372 million in the same period of 2023, reflecting no significant change[139] - Adjusted EBIT for the three months ended March 31, 2024, was $681 million, an increase of 3% compared to $664 million in the same period of 2023[139] - Operating income for the three months ended March 31, 2024, was $540 million, a decrease of 3% from $559 million in the same period of 2023[139] - Total revenues for the three months ended March 31, 2024, were $4.65 billion, a decrease of 1% from $4.71 billion in the previous year[155] - Adjusted net income for Q1 2024 was $413 million, a 6% increase from $388 million in Q1 2023[161] - Diluted earnings per share for Q1 2024 increased to $0.90, up from $0.85 in Q1 2023, reflecting a $0.05 increase[165] Segment Performance - Imaging segment revenues were $2,466 million, decreasing 1% or $30 million, while Ultrasound segment revenues were $824 million, decreasing 4% or $35 million[136] - Imaging Segment EBIT increased by 26% to $240 million, while Ultrasound Segment EBIT decreased by 12% to $182 million[144] Revenue Sources - Revenues from the China region decreased 11% to $597 million, reflecting declines in all segment revenues following double-digit growth in the prior year[136] - The company generated revenues of $77 million from customers in Russia and Ukraine for the three months ended March 31, 2024, compared to $78 million in the same period of 2023[125] Costs and Expenses - The total cost of products sold was $1,967 million, a decrease of 3% or $70 million compared to $2,037 million in the same period of 2023[130] - Research and development expenses increased to $324 million for the three months ended March 31, 2024, compared to $270 million in the same period of 2023[130] - Research and Development (R&D) investments increased by $54 million, leading to a 120 basis point increase in R&D as a percentage of total revenues[140] - Cost of products sold decreased by $70 million, contributing to a gross profit increase of $11 million or 70 basis points as a percentage of total revenues[140] Cash Flow and Debt - Free cash flow for Q1 2024 was $274 million, a 16% decrease from $325 million in Q1 2023[168] - Cash from operating activities in Q1 2024 was $419 million, down 11% from $468 million in Q1 2023[173] - Total debt as of March 31, 2024, was $9,255 million, a decrease from $9,442 million as of December 31, 2023[183] - The company has access to $3,500 million in revolving credit facilities to support liquidity needs[171] Tax and Financial Charges - Interest and other financial charges – net decreased by $14 million, primarily due to lower overall borrowings[140] - The effective tax rate for Q1 2024 was 24.2%, down from 29.9% in Q1 2023[167] Capital Expenditures - Cash used for investing activities in Q1 2024 was $188 million, compared to $266 million in Q1 2023[173] - Capital expenditures for Q1 2024 were $145 million, primarily for manufacturing capacity expansion and new product introductions[180] Credit Ratings - As of April 23, 2024, the company's long-term credit ratings were Baa2 from Moody's, BBB from S&P, and BBB from Fitch, all with a stable outlook[189]