GE HealthCare Shares Rise Over 4% as Q3 Earnings Beat Forecasts and 2026 Guidance Increases

GE HealthCare Technologies (NASDAQ:GEHC) shares gained more than 4% in pre-market trading on Wednesday after the medical technology company reported third-quarter 2026 earnings and revenue above analyst expectations and raised its full-year financial outlook.

The company reported adjusted earnings per share of $1.34, exceeding the consensus estimate of $1.20. Revenue increased 7.2% to $5.5 billion, ahead of analysts’ forecasts of $5.35 billion, with organic revenue growth of 6.2%.

Revenue Growth and Margin Expansion Support Results

GE HealthCare reported a 6.7% increase in product revenue to $3.60 billion, while services revenue grew 8% to $1.91 billion.

Adjusted EBIT increased 20% to $913 million, representing a margin of 16.6%.

President and Chief Executive Officer Peter Arduini attributed the performance to commercial execution, operational improvements and customer demand.

“We delivered strong top-line growth and margin expansion across all segments, and robust EPS growth in the third quarter,” Arduini said. “This reflects our teams’ commercial execution, disciplined operational focus enabled by Heartbeat, and continued customer adoption of our innovations. With our improved performance year-to-date and momentum in the business, we are raising guidance for the year.”

GE HealthCare Raises Full-Year 2026 Guidance

Following the third-quarter results, GE HealthCare increased its adjusted earnings per share forecast for 2026 to between $4.95 and $5.05, compared with its previous guidance of $4.80 to $5.00.

The company now expects organic revenue growth of approximately 4%, compared with its earlier forecast of 3% to 4%.

Adjusted EBIT margin guidance was revised to 15.5%–15.7%, narrowing the previous range of 15.4%–15.7%.

GE HealthCare also raised its free cash flow outlook to more than $1.6 billion, compared with its earlier expectation of approximately $1.6 billion.

The company maintained its forecast for an adjusted effective tax rate of 20% to 21%.

Orders Increase as Backlog Reaches $23.7 Billion

GE HealthCare reported organic order growth of 4% during the third quarter, reflecting continued demand for its medical technology products and services.

The company’s book-to-bill ratio reached 1.03 times, indicating that orders exceeded revenue during the period.

Its order backlog stood at $23.7 billion, providing visibility into future business activity.

The increase in orders accompanied revenue growth across the company’s product and services operations.

GE HealthCare Outlook

GE HealthCare’s third-quarter performance exceeded market expectations for both earnings and revenue, supported by higher sales and improved operating profitability.

The company reported adjusted EBIT growth of 20%, while its order backlog reached $23.7 billion.

The revised 2026 outlook reflects stronger year-to-date performance, with higher earnings expectations, an improved organic revenue growth forecast and increased free cash flow guidance.

Shares advanced more than 4% before the opening bell following the announcement, as investors assessed the quarterly results and updated financial projections.

GE Healthcare Technologies stock price