Ge Healthcare Technologies Inc. · NASDAQ:GEHC

Ge Healthcare Technologies — Q1 2025 Earnings Presentation

31 slides from Ge Healthcare Technologies's earnings presentation, Apr 30, 2025

  1. Slide 1: 1Q 2025 Earnings Presentation

    1Q 2025 Earnings Presentation April 30, 2025 © 2025 GE HealthCare. GE is a trademark of General Electric Company used under trademark license.

  2. Slide 2: Forward-looking statements and additional information

    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

  3. Slide 3: 1Q 2025 Update

    1Q 2025 Update • Record double-digit orders growth, strong momentum in backlog and continuing strength in book-to-bill • Broad-based revenue growth across all segments with particular strength in the U.S. • Solid margin expansion and EPS growth driven by volume and productivity • Adjusting guidance

  4. Slide 4: Navigating the global trade environment

    Navigating the global trade environment Background 2025 Adjusted EPS* guidance • Global manufacturing footprint with 43 $4.61 - $4.75 ~$(1.75) sites across 17 countries ~$0.95 $0.05 $0.08 $3.90 - $4.10 • Largest U.S.-based manufacturing profile among diagnostic imaging providers Mitigations Tariff i

  5. Slide 5: 1Q 2025 Consolidated performance summary

    1Q 2025 Consolidated performance summary Revenues Organic orders Adjusted EBIT* and Adjusted EPS* Free cash flow* growth**(1) Adjusted EBIT margin* $4.8B 10% YoY $715M $1.01 $98M 4% Organic growth*(1) Book-to-Bill** 15.0% Margin +12% YoY $(175)M YoY 1.09x +30 bps YoY *Non-GAAP financial measure. See

  6. Slide 6: Delivered 1Q 2025 Adjusted margin expansion

    Delivered 1Q 2025 Adjusted margin* expansion Adjusted Gross Profit Margin* +80 bps YoY • Increased volume and higher margin NPIs • Disciplined strategic pricing • Benefited from lean productivity initiatives Adjusted EBIT Margin* • Limited tariff impact in 1Q +30 bps YoY Delivered margin expansion w

  7. Slide 7: 1Q 2025 Imaging results

    1Q 2025 Imaging results 1Q 2024 1Q 2025 YoY change Revenues $2,062M $2,140M 5%*(1) Segment EBIT $166M $199M 20% Segment EBIT margin 8.0% 9.3% 130 bps Note: Results recast in line with move of Image Guided Therapies from Imaging to Advanced Visualization Solutions Highlights • Organic revenue growth*

  8. Slide 8: 1Q 2025 Advanced Visualization Solutions results

    1Q 2025 Advanced Visualization Solutions results 1Q 2024 1Q 2025 YoY change Revenues $1,227M $1,239M 3%*(1) Segment EBIT $257M $261M 2% Segment EBIT margin 20.9% 21.1% 10 bps Note: Results recast in line with move of Image Guided Therapies from Imaging to Advanced Visualization Solutions Highlights

  9. Slide 9: 1Q 2025 Patient Care Solutions results

    1Q 2025 Patient Care Solutions results 1Q 2024 1Q 2025 YoY change Revenues $747M $753M 2%*(1) Segment EBIT $81M $48M (41)% Segment EBIT margin 10.9% 6.4% (450) bps Highlights • Organic revenue growth* YoY driven by strength in the U.S., including growth in Monitoring Solutions • EBIT margin decrease

  10. Slide 10: 1Q 2025 Pharmaceutical Diagnostics results

    1Q 2025 Pharmaceutical Diagnostics results 1Q 2024 1Q 2025 YoY change Revenues $599M $632M 8%*(1) Segment EBIT $178M $205M 15% Segment EBIT margin 29.7% 32.4% 270 bps . Highlights • Continued robust global Organic revenue growth* • EBIT margin increased due to price and volume, while continuing inve

  11. Slide 11: 1Q 2025 Cash performance

    1Q 2025 Cash performance 1Q 2025 Free cash flow* Cash highlights • Delivered $98M in Free cash flow* and repaid $250M of debt $274M • YoY Free cash flow* declined due to timing of annual employee compensation payments and inventory build • Focused efforts on working capital management $98M • Announc

  12. Slide 12: 2025 Outlook

    2025 Outlook 2024A Previous 2025E (1) Updated 2025E (2) (3) 2% - 3% 2% - 3% Organic Revenue Growth* 1% FX headwind on revenue FX neutral on revenue estimated to be 1.5% Adjusted EBIT Margin* 16.3% 16.7% - 16.8% 14.2% - 14.4% 40 - 50 bps growth (210) - (190) bps Adjusted ETR* 21.8% 22% - 23% 21% - 22

  13. Slide 13: Investing for future growth

    Investing for future growth PDx Imaging AVS First-of-its-kind F 18 PET MPI agent for the detection Revolution™ Vibe* features innovative The AltiX AI.i edition of CardioLab™ and of coronary artery disease Flyrcado™ (flurpiridaz F cardiovascular assessment capabilities designed ComboLab™ showcase our

  14. Slide 14: Summary

    Summary • Strong execution as we start 2025 with record orders and strong top-line growth • Positive customer sentiment around existing GE HealthCare solutions and new products • Focusing on what we can control to protect margin, earnings and cash flow • Prudent guidance based on current macro view

  15. Slide 15: Slide 15

  16. Slide 16: Q&A

    Q&A © 2025 GE HealthCare. GE is a trademark of General Electric Company used under trademark license.

  17. Slide 17: Upcoming events

    Upcoming events Bank of America Global Healthcare Conference May 13, 2025 GE HealthCare Annual Meeting of Stockholders May 28, 2025 Goldman Sachs 46th Annual Healthcare Conference June 10, 2025 © 2025 GE HealthCare. GE is a trademark of General Electric Company used under trademark license.

  18. Slide 18: Appendix

    Appendix © 2025 GE HealthCare. GE is a trademark of General Electric Company used under trademark license.

  19. Slide 19: Organic Revenue

    Organic Revenue* ($ in millions) For the three months ended March 31 Unaudited 2025 2024 % change Total revenues $ 4,777 $ 4,650 3% Less: Acquisitions(1) 14 — Less: Dispositions(2) — — Less: Foreign currency exchange (78) — Organic revenue* $ 4,842 $ 4,650 4% (1) Represents revenues attributable to

  20. Slide 20: Segment Organic Revenue

    Segment Organic Revenue* ($ in millions) For the three months ended March 31 Unaudited 2025 2024 % change Imaging revenues $ 2,140 $ 2,062 4% Less: Acquisitions(1) 14 — Less: Dispositions(2) — — Less: Foreign currency exchange (38) — Imaging Organic revenue* $ 2,165 $ 2,062 5% AVS revenues $ 1,239 $

  21. Slide 21: Adjusted EBIT

    Adjusted EBIT* ($ in millions) For the three months ended March 31 Unaudited 2025 2024 % change Net income attributable to GE HealthCare $ 564 $ 374 51 % Add: Interest and other financial charges – net 110 122 Add: Non-operating benefit (income) costs (74) (102) Less: Benefit (provision) for income

  22. Slide 22: Adjusted Net Income

    Adjusted Net Income* ($ in millions) For the three months ended March 31 Unaudited 2025 2024 % change Net income attributable to GE HealthCare $ 564 $ 374 51 % Add: Non-operating benefit (income) costs (74) (102) Add: Restructuring costs(1) 22 40 Add: Acquisition and disposition-related charges (ben

  23. Slide 23: Adjusted Earnings Per Share

    Adjusted Earnings Per Share* (In dollars, except shares outstanding presented in millions) For the three months ended March 31 Unaudited 2025 2024 $ change Diluted earnings per share $ 1.23 $ 0.81 $ 0.41 Add: Non-operating benefit (income) costs (0.16) (0.22) Add: Restructuring costs(1) 0.05 0.09 Ad

  24. Slide 24: Adjusted Tax Expense and Adjusted ETR

    Adjusted Tax Expense* and Adjusted ETR* ($ in millions) For the three months ended March 31 Unaudited 2025 2024 Benefit (provision) for income taxes $ (104) $ (124) Add: Tax effect of reconciling items(1) — (14) Add: Spin-Off and other tax adjustments(2) (17) 5 Adjusted tax expense* $ (121) $ (133)

  25. Slide 25: Free Cash Flow

    Free Cash Flow* ($ in millions) For the three months ended March 31 Unaudited 2025 2024 % change Cash from (used for) operating activities $ 250 $ 419 (40)% Add: Additions to PP&E and internal-use software (152) (145) Add: Dispositions of PP&E — — Free cash flow* $ 98 $ 274 (64)% *Non-GAAP financial

  26. Slide 26: Non-GAAP P&L Reconciliations - 1Q 2025

    Non-GAAP P&L Reconciliations - 1Q 2025 ($ in millions) Acquisition Amortization Non- and (Gain) loss on of Investment Operating Spin-Off and Tax effect of Spin-Off and Non-GAAP GAAP Restructuring disposition- business and acquisition- revaluation benefit separation reconciling other tax Reported cos

  27. Slide 27: Non-GAAP P&L Reconciliations - 1Q 2024

    Non-GAAP P&L Reconciliations - 1Q 2024 ($ in millions) Acquisition Amortization Non- and (Gain) loss on of Investment Operating Spin-Off and Tax effect of Spin-Off and Non-GAAP GAAP Restructuring disposition- business and acquisition- revaluation benefit separation reconciling other tax Reported cos

  28. Slide 28: Acronyms

    Acronyms AI Artificial Intelligence AVS Advanced Visualization Solutions bps Basis points CT Computed Tomography EBIT Earnings Before Interest and Taxes ECG Electrocardiogram EPS Earnings Per Share ETR Effective Tax Rate FCF Free Cash Flow FX Foreign Exchange IGS Image-Guided Surgery MR Magnetic Res

  29. Slide 29: Definitions

    Definitions The estimated revenue expected from customer contracts that are partially or fully unperformed including amounts deferred Backlog in contract liabilities, contracts, or portions thereof, that provide the customer with the right to cancel or terminate without incurring a substantive penal

  30. Slide 30: Non-GAAP Financial Measures

    Non-GAAP Financial Measures The non-GAAP financial measures presented in this presentation are supplemental measures of GE HealthCare’s performance and its liquidity that the Company believes will help investors understand its financial condition, cash flows, and operating results, and assess its fu

  31. Slide 31: Non-GAAP Financial Measures in Outlook

    Non-GAAP Financial Measures in Outlook GE HealthCare calculates forward-looking non-GAAP financial measures, including Organic revenue growth, Adjusted EBIT margin, Adjusted ETR, Adjusted EPS, and Free cash flow based on internal forecasts that omit certain amounts that would be included in GAAP fin

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