GE HealthCare delivers strong revenue growth in first earnings report after spinoff
Yahoo Finance Live anchors break down quarterly earnings for GE HealthCare.
Video Transcript
BRAD SMITH: --in my quarter note gaffe a moment ago. Let's get to GE HealthCare this time. GE HealthCare Technology, ticker symbol GHC, they reported its first standalone earnings report this morning. Revenue increased over 7% for the fourth quarter, though profit dipped on an annual basis. The company expects sales to grow between 5% and 7% for the full year.
And we had spoken with the CEO of GE HealthCare on the day that they made their debut into the public markets. And on this report, he said that they delivered strong revenue growth in the fourth quarter and full-year 2022, saying some of the catalysts were robust end-market demand as well as improved pricing and some of the easing supply-chain pressures.
BRIAN SOZZI: What I don't like on this quarter-- generally I don't have any problems with this per se. Good top-line growth, but margins-- operating margins down in the imaging, ultrasound, and pharmaceutical diagnostics segments. The only-- really, essentially this quarter was driven by margin gains and patient-care solutions. So right out of the gate, we're seeing some margin pressure on this newly publicly traded company. I'm sure they will get a lot of questions about that on the earnings call.
JULIE HYMAN: Yeah. I mean, and they did report preliminary results earlier in the month, so not necessarily seeing as much of a reaction as we would have. The stock has done well since it spun off from GE, so that's interesting. And we'll see, you know, are there sort of lessons for investors to learn here ahead of the eventual separation of the rest of the business as they track GE HealthCare?
