GE HealthCare Technologies Inc. stock research
FY2025 Q3
GE HealthCare Technologies (GEHC) Gross Margin — Quarter Ended Sep 30, 2025
Revenue increased compared to both the previous quarter and the year-ago quarter, while gross profit remained stable. However, cost of revenue rose more than revenue, causing gross margin to decline relative to both periods.
Gross margin takeaway
Quarter ended Sep 30, 2025 · FY2025 Q3
Revenue increased compared to both the previous quarter and the year-ago quarter, while gross profit remained stable. However, cost of revenue rose more than revenue, causing gross margin to decline relative to both periods.
- The primary driver of the gross margin decline was the faster growth in cost of revenue relative to revenue growth.
- Gross margin weakened compared to the immediately preceding quarter and the same quarter one year earlier.
Gross margin snapshot
The selected quarter's reported revenue, gross profit, direct costs, and margin comparisons.
Gross margin
38.7%
Gross profit
$2.0B
Revenue
$5.1B
Cost of revenue
$3.2B
Quarter-over-quarter change
-1.0 pts
Year-over-year change
-3.0 pts
Quarterly gross margin trend
A four-quarter view of the revenue and direct-cost bridge behind gross margin.
| Period | Revenue | Gross profit | Cost of revenue | Gross margin |
|---|---|---|---|---|
| Dec 31, 2024 | $5.3B | $2.3B | $3.0B | 42.8% |
| Mar 31, 2025 | $4.8B | $2.0B | $2.8B | 42.1% |
| Jun 30, 2025 | $5.0B | $2.0B | $3.0B | 39.6% |
| Sep 30, 2025 | $5.1B | $2.0B | $3.2B | 38.7% |
Quarterly comparisons
Compare the selected margin with the preceding quarter and the same fiscal quarter one year earlier.
Previous-quarter change
Jun 30, 2025
-1.0 pts
Year-over-year change
Sep 30, 2024
-3.0 pts
What the margin says
Filing-constrained interpretation of margin direction, comparisons, and what to monitor next.
The primary driver of the gross margin decline was the faster growth in cost of revenue relative to revenue growth.
Gross margin weakened compared to the immediately preceding quarter and the same quarter one year earlier.
Monitor the trajectory of cost of revenue, as it is the key factor affecting gross margin.