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GE HealthCare beats estimates as orders surge to record high

July 29, 2026 6:46 AM

Investing.com -- GE HealthCare Technologies Inc. (NASDAQ: GEHC) reported second-quarter results before the open on Wednesday, exceeding Wall Street expectations.



Adjusted earnings per share came in at $1.13, beating the analyst consensus of $1.04 by $0.09. Revenue reached $5.3 billion, topping the estimate of $5.26 billion and marking a 5.7% increase from the prior-year period.


The company delivered record organic orders growth of 11.1% with a book-to-bill ratio of 1.15 times and backlog of $23.9 billion. Organic revenue grew 3.5%, driven by strength in Pharmaceutical Diagnostics and Advanced Imaging Solutions across the U.S., Europe, the Middle East, and Africa.


However, Patient Care Solutions continued to face challenges, with revenue declining 13.5% YoY. Adjusted EBIT margin came in at 14.2%, down 40 basis points from the prior year, impacted by the Patient Care Solutions decline and inflation related to memory chips, oil, and freight costs.


Shares jumped 9% premarket following the release.


"We delivered record orders and backlog in the second quarter, with orders growth across every segment, demonstrating strong commercial execution, including the adoption of new products," said President and CEO Peter Arduini.


Results benefited from $129 million in tariff refunds for net income and $23 million for adjusted EBIT. Cash flow from operating activities reached $168 million, up $74 million YoY, while free cash flow totaled $68 million, up $61 million.


GE HealthCare reaffirmed its full-year 2026 guidance, projecting organic revenue growth of 3.0% to 4.0%, adjusted EBIT margin of 15.4% to 15.7%, and adjusted EPS in the range of $4.80 to $5.00. The midpoint of the EPS guidance at $4.90 represents 6.8% growth YoY. The company expects free cash flow of approximately $1.6 billion for the year.

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