By Puyaan Singh
July 29 (Reuters) – GE HealthCare said on Wednesday it might sell its patient care segment, after beating Wall Street estimates on steady demand for its diagnostics and imaging devices as well as tariff refunds.
Shares of the company, which had already provided some preliminary second-quarter numbers earlier this month and maintained its annual profit forecast, jumped 12.1% in morning trading.
GE HealthCare reported quarterly net income of $561 million, boosted by $129 million in tariff refunds. Companies are seeking to recover tariffs they have paid, after courts found duties imposed by U.S. President Donald Trump last year were collected illegally and must be repaid.
Revenue of $5.30 billion for the three months ended June 30 exceeded estimates of $5.26 billion. Sales jumped 7.9% and 15.6% at the company’s imaging device and pharmaceutical diagnostics segments, respectively.
But revenue at its patient care solutions unit, which sells patient-monitoring and anesthesia-delivery systems among others, declined 13.3% to $675 million. The segment has been facing profitability and supply issues.
Finance chief Jay Saccaro said the company “expects to see supply improvement, which will benefit both sales and margin in the second half of the year.”
However, CEO Peter Arduini said a review of strategic options for the segment was underway “to determine the best path to maximize long-term growth and value, including continued ownership, a sale and other value-enhancing transactions.”
The company’s adjusted core margin shrank 40 basis points from a year earlier, pressured by inflation related to memory chips, oil and freight costs.
“Global geopolitical instability, including the conflict in the Middle East, adversely impacted our costs, supply chains, and logistics during the second quarter of 2026,” GE HealthCare said.
It reported quarterly adjusted earnings per share of $1.13. Analysts on average estimated $1.04, according to data compiled by LSEG.
(Reporting by Puyaan Singh in Bengaluru; Editing by Joyjeet Das)
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