Company: GEHC
Filing Date: 2025-07-30
Form Type: 10-Q
Source: 0001932393-25-000049
Chunk: 29

Company: GE HealthCare Technologies Inc.
Filing Date: 2025-07-30
Form: 10-Q
Item: Item 1
Chunk 29
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202520242025202420252024Service cost – Operating$2 $16 $10 $10 $3 $4 Interest cost497 484 74 70 26 27 Expected return on plan assets(573)(597)(74)(96)— — Amortization of net loss (gain)(40)(34)10 6 (30)(30)Amortization of prior service cost (credit)(5)4 (1)— (40)(44)Special termination cost2 — — — 1 — Non-operating$(119)$(143)$9 $(20)$(43)$(47)Net periodic expense (income)$(117)$(127)$19 $(10)$(40)$(43)In the six months ended June 30, 2025, the Company made cash payments totaling $87 million to its U.S. Plans, $22 million to its International Plans, and $73 million to its OPEB Plans. As of June 30, 2025, the Company expects to make total cash contributions of approximately $350 million to these plans in 2025. The Company funds annually, at a minimum, the statutorily required minimum amount for our qualified plans. Non-qualified plans are unfunded and we pay benefits from our cash on hand.Defined Contribution PlanGE HealthCare sponsors a defined contribution plan for its eligible U.S. employees. Expenses associated with our employees’ participation in GE HealthCare’s defined contribution plan were $39 million and $40 million for the three months ended June 30, 2025 and 2024, respectively, and $83 million and $73 million for the six months ended June 30, 2025 and 2024, respectively.

NOTE 10. INCOME TAXES

Our effective income tax rate was 18.4% and 24.7% for the three months ended June 30, 2025 and 2024, respectively, and 16.6% and 24.5% for the six months ended June 30, 2025 and 2024, respectively. The tax rate for the three months ended June 30, 2025 is lower than the U.S. statutory rate primarily due to the use of tax attributes from updating our global structure following the Spin-Off and research and development (“R&D”) benefits, partially offset by withholding taxes, geographic earnings mix, and state taxes