Company: GEHC
Filing Date: 2025-04-30
Form Type: 10-Q
Source: 0001932393-25-000014
Chunk: 58

Company: GE HealthCare Technologies Inc.
Filing Date: 2025-04-30
Form: 10-Q
Item: Item 1
Chunk 58
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 103 Non-current other deferred assets(1)113 105 Total contract and other deferred assets$1,144 $1,183 (1)Non-current contract and other deferred assets are recognized within All other non-current assets in the Condensed Consolidated Statements of Financial Position.CONTRACT LIABILITIES.Contract liabilities include customer advances and deposits received when orders are placed and billed in advance of completion of performance obligations. Contract liabilities are classified as current or non-current based on the periods over which these remaining performance obligations are expected to be satisfied with our customers.As of March 31, 2025 and December 31, 2024, contract liabilities were approximately $2,613 million and $2,629 million, respectively, of which the non-current portion of $724 million and $686 million, respectively, was recognized in All other non-current liabilities in the Condensed Consolidated Statements of Financial Position. Revenue recognized related to the contract liabilities balance at the beginning of the year was approximately $752 million and $741 million for the three months ended March 31, 2025 and 2024, respectively.REMAINING PERFORMANCE OBLIGATIONS.Remaining performance obligations (“RPO”) represents the estimated revenue expected from customer contracts that are partially or fully unperformed inclusive of amounts deferred in contract liabilities, excluding contracts, or portions thereof, that provide the customer with the right to cancel or terminate without incurring a substantive penalty. RPO also excludes estimated revenue from arrangements where we lease equipment manufactured by the Company to customers.As ofMarch 31, 2025December 31, 2024Products$4,599$4,755Services    10,2809,737Total RPO    $14,879$14,491We expect to recognize substantially all of the revenue for our product-related RPO within two years and services-related RPO within five years.

NOTE 3. SEGMENT INFORMATION

Effective July 1, 2024, Image Guided Therapies, previously part of the Imaging segment, was realigned to the Ultrasound segment. The Ultrasound segment was subsequently renamed Advanced Visualization Solutions (“AVS”). Following this realignment, the Company continues to have four reportable segments: Imaging, Advanced Visualization Solutions, Patient Care Solutions (“PCS”), and Pharmaceutical Diagnostics (“PDx”). These segments have been identified based on the nature of the products sold and how the Company manages its operations. We have not aggregated any of our operating segments to form reportable segments. A description of our