GE HealthCare Technologies Inc. reported its financial results for the third quarter of fiscal year 2025, posting a 6% year-on-year increase in revenue to $5.1 billion, driven by growth across all business segments. However, profitability remained under pressure due to higher R&D spending and operational costs.
The company’s net income fell 5.3% YoY to $464 million, while operating income declined 3.4% to $653 million during the quarter. Diluted earnings per share (EPS) dropped 3.9% year-on-year to $0.98, reflecting margin compression despite solid revenue growth.
Performance Overview
GE HealthCare attributed its revenue growth to strong demand across imaging, ultrasound, and patient care solutions. However, increased investments in research and development weighed on near-term profitability.
Chief Executive Officer Peter Arduini commented,
“We delivered robust orders with growth across all segments in the third quarter. As a result of our increased R&D investments, we are entering a new wave of innovation and, coupled with our focus on lean, we expect to accelerate top and bottom line growth.”
The company continues to prioritize innovation-driven growth, particularly in precision care and digital health technologies.
Stock Market Reaction
Following the earnings announcement, GE HealthCare shares fell 7% in premarket trading to $73.84, as investors reacted to the dip in quarterly profit and margin performance despite stronger revenues.
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