Curious about GE Healthcare Technologies net worth and financial performance? In 2024, this healthcare giant continues to evolve with significant revenue streams and growth.
We’ll dive into the details, exploring their financial position, key revenue contributors, and industry impact, presented by Ando Money.
Quick Facts
| FACT | DETAIL |
|---|---|
| Name | GE HealthCare Technologies |
| Full Name | GE HealthCare Technologies Inc. |
| Website | www.gehealthcare.com |
| Industry | Medical Technology, Pharma Diagnostics, Digital Solutions |
| Traded as | Nasdaq: GEHC |
| ISIN | N/A |
| Founded | September 28, 1994 |
| Founders | N/A |
| Country/Territory | USA |
| Headquarters | Chicago, Illinois |
| Chief Executive Officer | Peter Arduini |
| Number of Employees | 51,000 |
| Market Cap | $41.74 Billion (as of Oct 2024) |
| Total Assets | $31.85 Billion |
| Total Equity | $7.817 Billion |
| Revenue | $4.8 Billion (Q2 2024) |
| Net Income | $428 Million (Q2 2024) |
What is the Net Worth/Market Cap of GE Healthcare Technologies in 2024?
GE Healthcare Technologies has an estimated market cap of $41.74 billion as of October 2024.
This figure positions the company among the leading healthcare technology players worldwide. The valuation is reflective of their diverse product portfolio and global market presence.
While GE Healthcare Technologies is not yet the top of the list, its position is notable among some of the major competitors and partners, including:
- Philips Healthcare
- Siemens Healthineers
- Medtronic
- Johnson & Johnson
- Stryker
- Abbott Laboratories
- Baxter International
- Boston Scientific
- Cardinal Health
If you’re interested in comparing the net worth of companies globally, check out our comprehensive list of the richest companies.
GE Healthcare Technologies Financial Performance Overview
GE Healthcare Technologies continues to be a leader in healthcare technology with a revenue of $4.8 billion in Q2 2024. This figure was flat year-over-year, but organic growth showed a 1% rise.
This growth signals stability and resilience in an ever-evolving healthcare market.
With a net income margin of 8.9%, up from 8.7% in the previous year, and an adjusted EBIT margin of 15.3%, the company exhibits solid financial health and progress toward its long-term financial goals.
Revenue Streams and Growth Factors
The company’s revenue streams come from various segments like Imaging, Ultrasound, Patient Care Solutions, and Pharmaceutical Diagnostics. These segments contribute collectively to the financial growth, with Imaging standing out at $2.6 billion in revenue.
The Pharmaceutical Diagnostics division showed a 12% increase in YoY growth, driving a significant portion of the company’s performance.
Organic growth, which excludes factors like acquisitions and foreign exchange effects, stood at 1%, showing stability in core operations.
Profit Margins and Net Income Analysis
In Q2 2024, GE Healthcare’s net income was $428 million, up from $418 million the previous year. The company’s net income margin saw a modest yet promising rise from 8.7% to 8.9%.
Additionally, the EBIT margin increased from 14.8% to 15.3%, highlighting efficient cost management and profitability.
The diluted earnings per share (EPS) also improved to $0.93, up from $0.91, indicating the company’s ability to generate returns for shareholders.
Segment Performance Breakdown
The company’s diverse product segments play an essential role in its financial stability:
- Imaging: Contributing over half of the revenue with $2.6 billion, the imaging segment remained steady in YoY growth.
- Ultrasound: Although showing a slight (2%) decline in YoY, it generated a robust $823 million in revenue.
- Patient Care Solutions: Demonstrated resilience with $772 million in revenue, maintaining consistent financial contributions.
- Pharmaceutical Diagnostics: Surpassing others in growth with a 14% organic increase and revenue of $639 million, this segment is pivotal for future expansion.
Cash Flow and Operational Efficiency
Cash flow is a critical indicator of financial health. GE Healthcare reported an operating cash flow of $(119) million, reflecting a year-over-year decrease of $52 million.
The company’s free cash flow stood at $(182) million, lower than the $(136) million reported last year.
These figures indicate a temporary drop in liquidity but do not undermine the company’s ability to generate operational cash.
Investment in Research and Development
Investment in Research & Development (R&D) remains crucial for GE Healthcare’s market position and long-term financial growth.
In Q2 2024, the company allocated $327 million for R&D efforts, up from $298 million in the previous year.
This focus on R&D drives product innovation and competitive advantages, ensuring that GE Healthcare stays ahead in technology and service offerings.
Financial Position and Asset Management
GE Healthcare holds $31.85 billion in assets as of June 2024. The company’s liabilities are effectively managed, amounting to $23.86 billion, while equity is strong at $7.817 billion.
With total debt kept in check and strategic investment in assets, it maintains a stable financial footing and is well-positioned for future growth.
Future Financial Guidance and Expectations
Looking ahead, the company projects an organic revenue growth range of 1% to 2% for the full year of 2024.
Additionally, GE Healthcare anticipates an adjusted EBIT margin of 15.7% to 16.0% and an adjusted EPS range of $4.20 to $4.35, indicating expected continued improvement in profitability and financial performance.
FAQs About GE Healthcare Technologies
What Segments Contribute Most to GE Healthcare’s Revenue?
The Imaging segment is the largest contributor, generating $2.6 billion in Q2 2024, followed by Ultrasound, Patient Care Solutions, and Pharmaceutical Diagnostics.
How Did Its Net Income Change in 2024?
Its net income rose to $428 million in Q2 2024, up from $418 million the previous year, reflecting improved profitability.
What Is GE Healthcare’s Cash Flow Situation?
The company reported operating cash flow of $(119) million in Q2 2024, with a free cash flow of $(182) million, indicating short-term operational cash challenges.
How Much Does GE Healthcare Invest in R&D?
In Q2 2024, GE Healthcare invested $327 million in R&D, up from $298 million in the prior year, demonstrating a focus on innovation and product development.
What Are GE Healthcare’s Future Financial Projections?
The company expects organic revenue growth between 1% and 2% for 2024, with an adjusted EBIT margin of 15.7% to 16.0%, and adjusted EPS between $4.20 and $4.35.
Conclusion
GE Healthcare Technologies is a strong player in the healthcare technology industry. For more in-depth financial insights, leave a comment, share your thoughts, or explore more on our website at www.andomoney.com.
