Company: GEHC
Filing Date: 2025-07-30
Form Type: 10-Q
Source: 0001932393-25-000049
Chunk: 144

Company: GE HealthCare Technologies Inc.
Filing Date: 2025-07-30
Form: 10-Q
Item: Item 2
Chunk 144
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30, 2025, includes the impact from the revaluation of our existing 50% interest in NMP as part of the acquisition transaction.(6)The tax effect of reconciling items is calculated using the statutory tax rate, taking into consideration the nature of the items and the relevant taxing jurisdiction.(7)Consists of certain income tax adjustments, including the release of income tax reserves in a foreign jurisdiction for tax years which are no longer subject to an assessment from the local taxing authorities, discrete tax impacts resulting from the Spin-Off and separation from GE, and tax impacts of the NMP acquisition. As of the third quarter of 2024 this line additionally includes discrete tax impacts resulting from the Spin-Off and separation from GE previously reported under Tax effect of reconciling items.

Adjusted Tax Expense* and Adjusted ETR*For the three months ended June 30For the six months ended June 302025202420252024Benefit (provision) for income taxes$(113)$(143)$(216)$(267)Add: Tax effect of reconciling items(1)(1)(10)(1)(24)Add: Spin-Off and other tax adjustments(2)    —9(18)14Adjusted tax expense*$(114)$(144)$(235)$(277)Effective tax rate18.4%24.7%16.6%24.5%Adjusted effective tax rate*18.5%23.6%19.3%23.7%

(1)The tax effect of reconciling items is calculated using the statutory tax rate, taking into consideration the nature of the items and the relevant taxing jurisdiction.(2)Consists of certain income tax adjustments, including the release of income tax reserves in a foreign jurisdiction for tax years which are no longer subject to an assessment from the local taxing authorities, discrete tax impacts resulting from the Spin-Off and separation from GE, and tax impacts of the NMP acquisition. As of the third quarter of 2024 this line additionally includes discrete tax impacts resulting from the Spin-Off and separation from GE previously reported under Tax effect of reconciling items.

Free Cash Flow*For the six months ended June 3020252024 % changeCash from (used for) operating activities$344$30015%Add: Additions to PP&E and internal-use software    (238)(209)Add: Dispositions of PP&E    ——Free cash flow*$106$9215%

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*Non-GAAP Financial Measure