GE HealthCare Q3 2025 Earnings: Diagnostics Surge, China Stumbles

GE HealthCare, a major player in the medical technology space since its spin-off from General Electric, just released its third-quarter financial results for 2025. Let's dive into the numbers from their latest 10-Q filing to see how the company is performing and what's driving its results.

A Picture of Profitability

For the third quarter ending September 30, 2025, GE HealthCare reported total revenues of $5.14 billion, a 6% increase compared to the same period last year. After accounting for all costs and expenses, the company landed a net income of $464 million, representing a net margin of about 9.0%.

To better understand how revenue flows through the company to become profit, the following flow diagram visualizes the quarterly income statement.

Uneven Growth Across Business Lines

While the overall revenue picture is positive, a closer look reveals a mixed performance across GE HealthCare's four main business segments.

• Pharmaceutical Diagnostics (PDx): This segment was the standout performer, with revenue surging 20% year-over-year to $749 million. PDx provides contrast media and molecular imaging agents used in medical scans, and its strong growth points to high demand in diagnostic procedures.
• AVS: The Advanced Visualization and Surgical (AVS) segment, which includes a range of ultrasound equipment and imaging software, also posted a solid 7% increase, bringing in $1.30 billion.
• Imaging: As the company's largest division, responsible for MRI, CT, and X-ray systems, Imaging grew a steady 5% to reach $2.35 billion in revenue.
• Patient Care Solutions (PCS): This was the only segment to see a decline, with revenues falling 6% to $731 million. The filing attributes this drop primarily to a "product hold," indicating a potential supply chain or regulatory issue impacting its monitoring and life support solutions.

Global Performance: Strength in the West, Softness in the East

Geographically, GE HealthCare saw its strongest growth in Europe, the Middle East, and Africa (EMEA), where revenue jumped 10% to $1.36 billion. Its largest market, the U.S. and Canada (USCAN), grew by a healthy 5% to $2.36 billion.

However, the China region presented a challenge, with revenue declining by 3% to $547 million. The company noted "continued pressure" in this key market, a trend affecting many multinational corporations operating there.

In conclusion, GE HealthCare's third-quarter results paint a picture of steady, consolidated growth powered by strong performances in its diagnostics and AVS divisions. However, the company faces clear headwinds with the operational issues in its Patient Care Solutions segment and persistent market softness in China. Investors will be watching closely to see how the company navigates these challenges in the quarters ahead.