GE HealthCare Q4 2022 Earnings Report
Key Takeaways
GE HealthCare reported an 8% increase in revenues, reaching $4.9 billion, and a net income of $554 million for Q4 2022. The company's performance was driven by growth in Imaging, Patient Care Solutions (PCS), and Ultrasound, with a book-to-bill ratio of 1.07. GE HealthCare reaffirmed its 2023 guidance and introduced 2023 Adjusted EPS guidance.
Revenues increased by 8% year-over-year, with organic revenues up by 13%.
Net income was $554 million, compared to $564 million in the prior year.
EPS was $1.21, while Adjusted EPS was $1.31.
Cash flow from operating activities was $1.1 billion, and Free cash flow was $987 million.
GE HealthCare
GE HealthCare
GE HealthCare Revenue by Segment
Forward Guidance
The Company reaffirmed its guidance for full year 2023 and introduced Adjusted EPS guidance as follows:
Positive Outlook
- Organic revenue growth in the range of 5% to 7% year-over-year.
- Adjusted EBIT margin in the range of 15.0% to 15.5%, reflecting an expansion of 50 to 100 basis points versus 2022 Standalone Adjusted EBIT margin of 14.5%.
- Adjusted effective tax rate (ETR) in the range of 23% to 25%.
- Adjusted EPS in the range of $3.60 to $3.75. This compares to 2022 Standalone Adjusted EPS of $3.38.
- Free cash flow conversion of 85% or more for the full year.
Revenue & Expenses
Visualization of income flow from segment revenue to net income