GE HealthCare (Nasdaq:GEHC) shares ticked up today on third-quarter results that came in mixed compared to the consensus forecast.
Shares of GEHC rose more than 3% to $87.76 apiece in by afternoon trading today.
The Chicago-based company reported profits of $470 million. That equals $1.02 per share on sales of $4.86 billion for the three months ended Sept. 30, 2024.
GE HealthCare recorded a 25.3% bottom-line gain on a sales increase of 0.85%.
Adjusted to exclude one-time items, earnings per share came in at $1.14. That landed 9¢ ahead of estimates on Wall Street. Sales came up just shy of expectations, though, as experts projected $4.87 billion in revenue.
One area GE HealthCare highlighted was headwinds in China, which the company noted last quarter as well. Philips, Siemens Healthineers, BD and Intuitive Surgical also recently highlighted issues in the Chinese medtech market in their latest earnings reports, indicating that it could have broader implications for the industry.
“Both sales and orders grew in the mid-single digits excluding China, with particular strength in the U.S. across all segments,” GE HealthCare President and CEO Peter Arduini said. “Ongoing lean initiatives across the organization are delivering better value to patients and customers and have resulted in robust margin expansion.”
GE HealthCare expects revenue growth to end up near the lower end of its previously announced 1%-2% projection. The company attributed this to the continued market softness in China. However, GE HealthCare raised the low end of its adjusted EPS guidance from $4.20 to $4.25, meaning it now projects between $4.25 and $4.35.
