GE HealthCare Technologies Inc. (NASDAQ:GEHC) Q3 2024 Earnings Conference Call October 30, 2024 8:30 AM ET

Company Participants

Carolynne Borders - Chief Investor Relations Officer
Peter Arduini - President and Chief Executive Officer
Jay Saccaro - Vice President and Chief Financial Officer

Conference Call Participants

Robbie Marcus - J.P. Morgan
Ryan Zimmerman - BTIG
Joanne Wuensch - Citi
David Roman - Goldman Sachs
Larry Biegelsen - Wells Fargo
Vijay Kumar - Evercore ISI
Sezgi Ozener - HSBC
Navann Ty - BNP Paribas

Operator

Thank you for standing by, and welcome to GE HealthCare's Third Quarter 2024 Earnings Conference Call. At this time, all participants are in a listen-only mode. After the speaker presentation, there will be a question-and-answer session. [Operator Instructions]

I would now like to turn the call over to Carolynne Borders with Investor Relations. Please go ahead.

Carolynne Borders

Thanks, operator. Good morning, and welcome to GE HealthCare's third quarter 2024 earnings call. I'm joined by our President and CEO, Peter Arduini; and Vice President and CFO, Jay Saccaro.

Our conference call remarks will include both GAAP and non-GAAP financial results. Reconciliations between GAAP and non-GAAP measures can be found in today's press release and in the presentation slides available on our website. During this call, we'll make forward-looking statements about our performance. These statements are based on how we see things today. As described in our SEC filings, actual results may differ materially due to risks and uncertainties.

With that, I'll hand the call over to Peter.

Peter Arduini

Thanks, Carolynne, and thanks to all those joining us today. In the third quarter, we delivered 1% organic revenue growth, in line with our expectations, with strong performance in the U.S. across all segments, and solid growth in Pharmaceutical Diagnostics. In the quarter, we delivered positive price and volume. Organic orders growth was 1%. Excluding China, reported sales growth was approximately 5%, and orders growth was 4%, reflective of a healthy capital equipment market outside of China. On a total company level, we reported strong growth in backlog in the quarter that was primarily driven by services. As a reminder, multiyear service agreements support our reoccurring revenue profile with a high level of revenue predictability at accretive margins.

In the U.S., strong orders in sales were driven by multiyear enterprise deals primarily made up of imaging products, particularly PET and CT systems, which are critical to the diagnosis and treatment of chronic diseases. We are pleased with the progress that we're making to secure long-term partnerships which is foundational to our growth strategy. Another revenue driver in the quarter was PDx, team continues to deliver for customers, and we've seen PDx report seven quarters of high single-digit -- or double-digit organic revenue growth.