GE HealthCare Technologies (GEHC) Investor Day 2024 summary

Strategic Priorities and Growth Framework

• Targeting mid-single-digit organic revenue growth (4–6% CAGR) through 2028, driven by innovation, margin expansion, and recurring revenue.

• Four strategic pillars: leadership products, business optimization, precision care, and new revenue models (SaaS, M&A).

• R&D investment increased from 4% to 6% of sales, with over $2.2B invested since 2022 and a focus on high-impact product launches.

• Recurring revenue now over 45% of total, with a long-term target of 60% through services, SaaS, and consumables; digital revenue expected to grow 50% to $1.8B by 2028.

• Margin expansion plan targets high teens to 20%+ EBIT, supported by productivity, platforming, and innovation.

Innovation and Technology Strategy

• Over 100 new products launched since the spin-off; 25+ imaging NPIs and 40 AVS NPIs planned for the midterm.

• Leading in AI med tech with 80 FDA-cleared AI-enabled products, aiming for 200+ by 2028.

• Major launches include photon counting CT (Deep Silicon), next-gen MR, Flyrcado (cardiac PET), Vizamyl (Alzheimer’s PET), and CareIntellect for Oncology.

• Digital and SaaS backbone to enable new recurring revenue streams, with the first enterprise SaaS product launching in 2025.

• Strategic M&A and partnerships to broaden capabilities in high-growth adjacencies and digital health.

Segment Highlights and Market Positioning

• Imaging: $8.9B revenue, 9.2% EBIT margin, 4-5% market CAGR, 300,000+ installed base, focus on AI and molecular imaging.

• AVS: $5.1B revenue, 800,000 installed base, 40 NPIs planned, integration of ultrasound and interventional labs for margin and growth.

• PCS: $3.1B revenue, 4M installed base, 10 NPIs planned, targeting 400bps margin improvement via digital and supply chain.

• PDx: $2.3B revenue, 26.8% margin, high single-digit growth, pipeline of 8 assets, leveraging unique integration with imaging.

• Strategic partnerships and enterprise deals ($4B+ since spin) drive recurring revenue and customer stickiness.