GE HealthCare

GEHC Q2 2025 Earnings

Reported Jul 30, 2025 at 6:25 AM ET · SEC Source

Q2 25 EPS

$1.06

BEAT +15.51%

Est. $0.92

Q2 25 Revenue

$5.01B

BEAT +0.84%

Est. $4.97B

vs S&P Since Q2 25

-26.9%

TRAILING MARKET

GEHC -13.3% vs S&P +13.6%

Market Reaction

Did GEHC Beat Earnings? Q2 2025 Results

GE HealthCare delivered a stronger-than-expected second quarter, reporting adjusted EPS of $1.06 against a consensus estimate of $0.92, a beat of 15.51%, while revenue of $5.01 billion edged past expectations by 0.84% and grew 3.5% year over year. Th… Read more GE HealthCare delivered a stronger-than-expected second quarter, reporting adjusted EPS of $1.06 against a consensus estimate of $0.92, a beat of 15.51%, while revenue of $5.01 billion edged past expectations by 0.84% and grew 3.5% year over year. The standout driver behind the earnings outperformance was a sharp drop in the effective tax rate, which fell to 18.4% from 24.7% a year ago, alongside lower interest expense, helping net income climb to $486 million from $428 million in the prior-year period. Pharmaceutical Diagnostics was the segment-level highlight, posting 14% revenue growth on rising demand for radiopharmaceutical products, though margin pressure from tariffs weighed on Adjusted EBIT, which slipped to $729 million from $742 million. Despite the profitability headwinds, management raised full-year 2025 guidance meaningfully, lifting adjusted EPS to $4.43 to $4.63 and free cash flow guidance to at least $1.40 billion, reflecting confidence in tariff mitigation progress and healthy underlying capital investment trends, even as shares fell sharply on investor concern over margin contraction.

Key Takeaways

  • Healthy customer investment in capital equipment
  • Strong performance in U.S. and EMEA regions
  • Increased demand for radiopharmaceutical products including Vizamyl, Cerianna, and Flyrcado
  • Lower tax and interest expense boosting EPS
  • Lean capabilities and productivity gains partially offsetting tariff impacts
  • Book-to-bill of 1.07x with 3% organic orders growth
24/7 Wall St

GEHC YoY Financials

Q2 2025 vs Q2 2024, source: SEC Filings

24/7 Wall St

GEHC Revenue by Segment

With YoY comparisons, source: SEC Filings

Q1 25 Q1 26

“We were pleased with solid orders and revenue performance in the second quarter across all segments, reflecting healthy customer investment in capital equipment. We also reported strong earnings performance while leveraging our lean capabilities and demonstrating progress on tariff mitigation. Overall, we believe we are driving long-term value through our strategic priorities and are well positioned operationally.”

— Peter Arduini, Q2 2025 Earnings Press Release