GE HealthCare (NASDAQ:GEHC) on Wednesday reported adjusted earnings of $1.44 per share, beating the consensus of $1.40.
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The global health care solutions provider reported sales of $5.69 billion, beating the consensus of $5.61 billion.
Revenue growth of 7.1%, including organic revenue growth of 4.8%, was driven by Pharmaceutical Diagnostics (PDx), Imaging, and Advanced Visualization Solutions (AVS), with overall strength in the U.S. and Europe, the Middle East and Africa (EMEA).
President and CEO Peter Arduini said, "We delivered a strong quarter and year with growth in Pharmaceutical Diagnostics, Imaging, and Advanced Visualization Solutions. This reflects healthy capital investment trends, commercial execution and demand for new products.”
Total orders up 2% organically and book-to-bill of 1.06 times.
Vice President and CFO Jay Saccaro said, “We ended 2025 in a position of strength with record backlog. We significantly mitigated gross tariff impacts, demonstrating operational resilience.”
Net income margin of 10.3% was down 320 basis points (bps); Adjusted EBIT margin of 16.7% was down 200 bps, with both measures negatively impacted by tariff expense and unfavorable mix, partially offset by volume and price.
Segment Overview
Imaging segment sales jumped 6.6% (+5.3% organically) to $2.55 billion, AVS sales were up 5.9% (+4.2%) to $1.53 billion, Pharmaceutical Diagnostics sales increased 22.3% (+12.7%) to $790 million, and Patient Care Solutions sales fell marginally by 0.3% (-1.1%) to $825 million.
Outlook For Fiscal 2026
GE HealthCare expects the 2026 tariff impact to be lower than that of 2025 based on current rates.
“We entered 2026 with momentum driven by a differentiated innovation pipeline. While the macro environment remains dynamic, we are focused on delivering profitable growth, strong cash flow and shareholder value," Arduini said.
GE HealthCare forecasts fiscal 2026 adjusted earnings of $4.95-$5.15 per share versus the consensus of $4.92.
GEHC Price Action: GEH HealthCare stock is up 6.64% at $84.01 at publication on Wednesday, according to Benzinga Pro data.
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