GE HealthCare Officially Lists on Nasdaq as Independent Company Under Ticker GEHC

On July 18, 2022, GE announced the new brand identities for its planned spin-off into three world-leading, investment-grade public companies. These three companies will focus on three growth sectors: healthcare, energy, and aviation. The GE healthcare business will be named GE HealthCare Technologies, Inc.GE HealthCare。

GE Energy Business Will Be NamedGE Vernova, covering: GE Renewable Energy, GE Power, GE Digital Group, and GE Energy Financial Services. Currently, GE's energy businesses and users account for one-third of the world's power supply, and they will continue to focus on improving the reliability, accessibility, and sustainability of energy.

GE Aviation Business Will Be NamedGE AerospaceCurrently, GE Aerospace has 39,400 in-service commercial aircraft engines and 26,200 in-service military aircraft engines worldwide.

GE Plans to Complete the Spin-off of Its Healthcare Business in Early 2023. The independent healthcare business will drive innovation in the field of precision medicine, focusing on improving patient outcomes and the level of disease diagnosis and treatment, addressing the severe challenges faced by patients and clinicians.

Inheriting over a century of GE's historical accumulation,GE HealthCareThis new name and brand identity reflect the new company's unwavering commitment to safety, quality, trust, and innovation; while the new brand color tones"Warmth Purple"Symbolizing humanity, warmth, and care, as well as the company's pursuit of excellence. GE HealthCare has an installed base of 4 million units worldwide, performing over 2 billion patient exams annually.

On November 23, 2022, GE issued $8.25 billion in senior notes to support the planned spin-off of its GE HealthCare division. GE stated that these notes will constitute senior unsecured debt of GE HealthCare. Prior to the completion of the spin-off, GE HealthCare intends to distribute the net proceeds from the issuance of the new currency notes to GE, enabling GE to repay existing debts until the spin-off is finalized.

According to GE's 2021 financial report released in February 2022,GE Group's total revenue was $71.1 billion. Among its business segments in aviation, healthcare, renewable energy, and power, only healthcare achieved positive growth.

In 2021, GE Healthcare received orders worth $19.6 billion, with total business revenue reaching $17.7 billion. Among these:

• Healthcare System (referred to as HCS, including imaging, ultrasound, life care solutions, enterprise software and solutions, referred to as HCS)Revenue of $15.7 billion, an increase of 2% year-on-year, accounting for 89% of GE Healthcare's total revenue;

• Pharmaceutical Diagnostics (shortened as PDx, including contrast agents and nuclear tracers)Revenue of $2 billion, an increase of 13% year-on-year, accounting for 11% of GE Healthcare's total revenue.

Global installations of equipment reach 4 million, with 2 billion patient scans annually. GE Healthcare expects supply chain challenges to persist at most until the first half of 2022 and is confident in the long-term sustainable growth of the business.

▲GE Healthcare 2021 Business Revenue Data

GE Group's Total Revenue in the Third Quarter was $19.1 BillionIn which, GE Healthcare's sales in the third quarter of 2022 were US$4.613 billion, increasing by 6.3% year-on-year; the net profit was US$712 million, increasing by 1.1% year-on-year.GE Healthcare's order volume was flat compared to the same period last year, with orders from healthcare services growing 11% year-over-year.

Increase in Imaging and Ultrasound Equipment Orders Drives Third-Quarter Revenue Growth for GE Healthcare. During the same period, equipment sales grew by 8% to $2.35 billion, while service revenue increased by 5% to $2.26 billion.

▲ GE Healthcare Q3 2022 Business Revenue Data