NASDAQ$GEHC

GE HealthCare Technologies Inc · Q1 2024 earnings

Q1 2024 earnings · · Investor relations

Briefing

GE HealthCare's financial performance in Q1 2024 showed a slight revenue decline but margin expansion, driven by productivity and pricing. The company reaffirmed its full-year guidance.

GE HealthCare reported a 1% decline in revenues, but organic revenue was approximately flat. Net income margin increased to 8.0%, and adjusted EBIT margin rose to 14.7%. Diluted EPS was $0.81, and adjusted EPS was $0.90. The company reaffirmed its full-year 2024 guidance.

  • Revenues declined 1% year-over-year, but organic revenue growth was approximately flat.
  • Net income margin increased to 8.0%, and adjusted EBIT margin rose to 14.7%.
  • Diluted EPS was $0.81, and adjusted EPS was $0.90.
  • Cash flow from operating activities was $419 million, and free cash flow was $274 million. Company reaffirmed full year 2024 guidance

Headline financials

Total Revenue

$4.65B

Previous: $4.71B-1.2%
EPS

$0.81

Previous: $0.85-4.7%
Net income margin

8.0%

Previous: 7.9%+1.3%
Adjusted EBIT margin

14.7%

Previous: 14.1%+4.3%
Operating cash flow

$419M

Previous: $468M-10.5%
Capital Expenditures

-$145M

Previous: -$143M-1.4%
Free Cash Flow

$374M

Previous: $229M+63.3%
Net Income

$374M

Previous: $372M+0.5%
Operating Income

$540M

Previous: $559M-3.4%
Gross Profit

$1.9B

Previous: $1.89B+0.6%
Cash & Equivalents

$2.55B

Previous: $2.32B+9.8%
Total Assets

$32.2B

Previous: $32.6B-1.3%
R&D Expense

$324M

No prior period
Stock-Based Comp

$34M

Previous: $24M+41.7%

Revenue & EPS history

GE HealthCare · Revenue · Quarterly

$4.65B

Q1 2024-1.2%vs Q1 2023
Beat estimate in 7 of 12 quarters(58%)
ActualEstimate

Revenue by segment

GE HealthCare · $4.01B total across 4 segments · Q3 2023

  • Imaging
    $2.64B+4.7%
  • Patient Care
    $764M+9.0%
  • Pharma Diagnostics
    $589M+12.8%
  • Other
    $19M+35.7%

Forward guidance

The Company is reaffirming full year 2024 guidance as follows:

Tailwinds

  • Organic revenue growth of approximately 4% year-over-year.
  • Adjusted EBIT margin in the range of 15.6% to 15.9%, reflecting an expansion of 50 to 80 basis points versus 2023 Adjusted EBIT margin of 15.1%.
  • Adjusted effective tax rate (ETR) in the range of 23% to 25%.
  • Adjusted EPS in the range of $4.20 to $4.35, representing 7% to 11% growth versus Adjusted EPS of $3.93 for 2023.
  • Free cash flow of approximately $1.8 billion.

Historical earnings impact

How earnings announcements have historically affected this stock's price.

Avg. return before/after earnings

Based on 15 quarterly earnings reports · overlaid with Q1 2024

Historical avgQ1 2024

-0.2%

Avg return

Earnings day

+0.2%

Avg return

5 days after

-0.3%

Avg return

30 days after

50%

8 / 16 earnings

Positive

+11.5%

Q4 2021

Best reaction

-12.9%

Q1 2026

Worst reaction

Earnings price reactions
QuarterReport dateReaction (Day 0)+5 days+30 days
Q1 2026-12.9%-10.9%-8.9%
Q4 2025+6.4%+0.4%-5.7%
Q3 2025-2.7%-6.2%+0.7%
Q1 2025+3.3%+1.9%+3.6%
Q4 2024+8.8%+7.9%-4.6%
Q3 2024+2.4%+2.0%-2.4%
Q2 2024+0.9%-1.4%+2.6%
Q1 2024-12.0%-10.6%-11.7%
Q4 2021+11.5%+10.8%+26.2%
Q3 2023+8.1%+13.3%+8.4%
Q3 2022+8.1%+13.3%+8.4%
Q2 2023-4.0%-3.4%-15.1%
Q1 2023-8.7%-7.3%-9.0%
Q1 2022-8.7%-7.3%-9.0%
Q2 2022-2.3%+0.8%+4.4%
Q4 2022-0.8%+0.7%+7.4%
Q3 2021
Q2 2021
Q1 2021

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