v3.25.4
POSTRETIREMENT BENEFIT PLANS
 12 Months Ended
Dec. 31, 2025
Retirement Benefits [Abstract]  
POSTRETIREMENT BENEFIT PLANS POSTRETIREMENT BENEFIT PLANS
In connection with the Spin-Off, on January 1, 2023, GE HealthCare assumed a portion of former GE pension and other postretirement obligations and assets. The pension and other postretirement obligations assumed relate to benefits owed to current GE HealthCare employees, former GE HealthCare employees, and certain GE legacy plan participants. As of January 1, 2023, GE HealthCare established the assumed pension plans as single-employer plans, but continued to participate in legacy GE multiple-employer other postretirement benefit (“OPEB”) plans sponsored by GE. On January 1, 2024, we transitioned from the legacy GE multiple-employer OPEB plans to a GE HealthCare sponsored single-employer OPEB plan. This change did not have an impact on our results of operations or financial position.

The total assets and liabilities for all plans assumed by GE HealthCare on January 1, 2023, are shown in the tables below.

Accumulated Benefit Obligations and Unrecognized Gain
As of January 1, 2023
Defined benefit plans(1)
Other postretirement plans(2)
Total
Accumulated benefit obligations$21,696 $1,210 $22,906 
Unrecognized gain recorded in AOCI
1,258 1,223 2,481 

Net Benefit Liability
As of January 1, 2023
Defined benefit plans(1)
Other postretirement plans(2)
Total
Projected benefit obligations$21,743 $1,210 $22,953 
Fair value of plan assets
18,908 — 18,908 
Net liability$2,835 $1,210 $4,045 
(1) Defined benefit plans are comprised of both U.S. Plans and International Plans, as described below.
(2) OPEB Plans are comprised of benefits, as described below.

DESCRIPTION OF OUR PLANS.

We disclose in the following tables postretirement plans with assets or obligations that exceed $50 million. We use a December 31st measurement date for these plans and all tables presented below are for the years ended December 31st.

The U.S. Pension Plans are comprised of the obligations transferred to GE HealthCare from GE in connection with the Spin-Off and obligations that existed prior to the Spin-Off. The largest plans include the GE HealthCare Pension Plan and the GE HealthCare Supplemental Pension Plan, which provides supplementary benefits to higher-level, longer-service U.S. employees. The GE HealthCare Pension Plan and the GE HealthCare Supplemental Pension Plan have been closed to new participants since 2012. All remaining service accruals for the GE HealthCare Pension Plan were frozen effective December 31, 2024. Benefits for participants of the GE HealthCare Supplemental Pension Plan who became executives before 2011 were frozen effective January 1, 2021, and thereafter these employees accrue a benefit which is paid out in ten annual installments upon retirement. The GE HealthCare Pension Plan has a projected benefit obligation of $15,519 million, plan assets of $13,988 million, and is 90% funded per U.S. GAAP as of December 31, 2025. The GE HealthCare Supplemental Pension plan has a projected benefit obligation of $1,672 million as of December 31, 2025, and the benefits are paid to eligible participants directly by the Company as described further in “Funding” below.

Our International Pension Plans include all other plans that cover non-U.S. participants. These plans include obligations that existed prior to the Spin-Off and obligations transferred to GE HealthCare from GE in connection with the Spin-Off. In certain countries, benefit accruals have ceased and/or have been closed to new hires as of various dates.

The OPEB Plans include unfunded postretirement health and life insurance defined benefit obligations to U.S. participants. GE HealthCare assumed the obligations associated with these plans in connection with the Spin-Off. Participants share in the cost of the healthcare and life insurance benefits. With the exception of production employees, subsidized benefits are generally only available to closed groups of employees and retirees.

Funding
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. In 2026, the Company expects to make total cash contributions of approximately $350 million to these plans.
Plan Funded StatusU.S. PlansInternational PlansOPEB Plans
202520242025202420252024
Change in projected benefit obligations
Balance at January 1$18,241 $19,363 $2,957 $3,385 $1,016 $1,133 
Service cost4 35 21 20 6 7 
Interest cost996 970 151 141 50 54 
Participant contributions— 4 1 — 14 16 
Actuarial loss (gain) – net591 (799)(122)(357)(45)(48)
Benefits paid(1,266)(1,332)(136)(131)(134)(146)
Settlements
— — (8)(4)— — 
Special termination cost
3 — — — 1 — 
Acquisitions/Divestitures/Mergers
— — 33 — — — 
Exchange rate adjustments— — 252 (96)— — 
Balance at December 31$18,569 $18,241 $3,148 $2,957 $908 $1,016 
Change in plan assets
Balance at January 1$14,378 $15,485 $3,276 $3,733 $— $— 
Actual gain (loss) on plan assets1,443 49 14 (263)— — 
Employer contributions176 172 41 30 120 130 
Participant contributions— 4 1 — 14 16 
Benefits paid(1,266)(1,332)(144)(136)(134)(146)
Acquisitions/Divestitures/Mergers
— — 72 — — — 
Exchange rate adjustments— — 269 (89)— — 
Balance at December 31$14,731 $14,378 $3,528 $3,276 $— $— 
Funded status – surplus (deficit)$(3,838)$(3,863)$380 $319 $(908)$(1,016)

Actuarial gains and losses result from changes in actuarial assumptions (such as changes in the discount rate and revised mortality rates). Actuarial losses in 2025 and gains in 2024 related to projected benefit obligations were primarily the result of changes in discount rates.

Amounts Recorded in Consolidated Statements of Financial Position
U.S. PlansInternational PlansOPEB Plans
202520242025202420252024
All other non-current assets
$13 $11 $723 $642 $— $— 
Current compensation and benefits
(178)(172)(23)(18)(118)(135)
Non-current compensation and benefits
(3,673)(3,702)(319)(305)(790)(881)
Net amount recorded$(3,838)$(3,863)$380 $319 $(908)$(1,016)

The projected benefit obligation balance at December 31 represents the actuarial present value of benefits based on employee service and compensation as of the measurement date and incorporates assumptions relating to future compensation levels and other demographic and financial assumptions. The accumulated benefit obligation represents the same actuarial obligations, excluding an assumption about future compensation levels.
Plan Obligations in Excess of Plan AssetsAs of
December 31, 2025
December 31, 2024
Accumulated benefit obligation$22,595 $22,185 
Plans with accumulated benefit obligation in excess of plan assets
Accumulated benefit obligation$19,754 $19,517 
Fair value of plan assets14,677 14,327 
Plans with projected benefit obligation in excess of plan assets
Projected benefit obligation$19,778 $19,540 
Fair value of plan assets14,677 14,327 
Pre-Tax Amounts Recorded in AOCI
U.S. PlansInternational PlansOPEB Plans
202520242025202420252024
Net loss (gain)$(147)$(506)$909 $849 $(450)$(469)
Prior service cost (credit)(40)(51)(15)(16)(367)(447)
Total recorded in AOCI$(187)$(557)$893 $833 $(818)$(916)

Pre-tax Cost of Postretirement Benefit Plans and Changes in Other Comprehensive Income
U.S. Plans
International Plans
OPEB Plans
202520242023202520242023202520242023
Cost (income) of postretirement benefit plans
$(218)$(250)$(224)$37 $(20)$(22)$(86)$(87)$(86)
Changes in other comprehensive loss (income):
Transfers from GE at Spin-Off
— — (1,791)— — 542 — — (1,216)
Plan amendments
— — 53 — (1)— — — — 
Net loss (gain) – current year294 348 695 16 98 198 (45)(48)50 
Reclassifications out of AOCI:
Curtailment / settlement gain (loss)— — (108)1 — — — — — 
Amortization of net (loss) gain
65 68 121 (21)(14)(6)64 61 64 
Amortization of prior service (cost) credit
11 (8)(4)2 2 3 80 87 87 
Total changes in other comprehensive loss (income)$370 $408 $(1,034)$(2)$86 $737 $98 $100 $(1,015)
Cost (income) of postretirement benefit plans and changes in other comprehensive loss (income)$152 $158 $(1,258)$35 $66 $715 $12 $13 $(1,101)

With respect to the retirement benefit balances included on our Consolidated Statement of Financial Position as of December 31, 2025, we estimate that we will amortize $108 million of net actuarial gain and $93 million of prior service credit from AOCI into Non-operating benefit (income) cost in the Consolidated Statement of Income during 2026.

Components of Expense (Income)
U.S. Plans
International Plans
OPEB Plans
202520242023202520242023202520242023
Service cost – Operating$4 $35 $35 $21 $20 $20 $6 $7 $6 
Interest cost996 970 1,022 151 141 139 50 54 59 
Expected return on plan assets(1,145)(1,196)(1,242)(152)(193)(184)— — — 
Amortization of net loss (gain)(65)(68)(121)21 14 6 (64)(61)(64)
Amortization of prior service cost (credit)(11)8 4 (2)(2)(3)(80)(87)(87)
Curtailment loss (gain)
— — 17 — — — — — — 
Settlement loss (gain)
— — 61 (1)— — — — — 
Special termination cost
3 1 — — — — 1 — — 
Non-operating$(222)$(285)$(259)$17 $(40)$(42)$(92)$(94)$(92)
Net periodic expense (income)$(218)$(250)$(224)$37 $(20)$(22)$(86)$(87)$(86)

In 2023, management approved an amendment to the U.S. based GE HealthCare Pension Plan whereby the benefits for all remaining active employees were frozen effective December 31, 2024, and additional benefit enhancements were provided. As a result, we recognized a non-cash pre-tax curtailment loss of approximately $17 million as non-operating benefit costs and an increase to our pension liability of $23 million in the year ended December 31, 2023. As a result of the plan changes, we remeasured the plan assets and the projected benefit obligation. These changes collectively decreased AOCI by $305 million as of December 31, 2023.
Also in 2023, management approved and paid a one-time lump sum payment for certain terminated employees in two plans who were vested in their benefits. These lump sum settlements reduce our future cash requirements. As a result of the partial settlement of the pension liability, we recognized a non-cash pre-tax settlement charge in the year ended December 31, 2023. The settlement charge of $61 million represents a pro rata portion of unrecognized net loss recorded in AOCI and is recorded in Non-operating benefit (income) costs in the Consolidated Statement of Income.

Assumptions
U.S. Plans
International Plans
OPEB Plans
202520242023202520242023202520242023
Weighted-average benefit obligations assumptions
Discount rate5.4 %5.7 %5.2 %5.1 %4.9 %4.2 %5.0 %5.5 %5.1 %
Compensation increases3.5 %3.5 %3.7 %2.7 %2.8 %3.1 %3.6 %3.6 %3.6 %
Weighted-average benefit cost assumptions
Discount rate5.7 %5.2 %5.5 %4.9 %4.2 %4.6 %5.5 %5.1 %5.4 %
Expected rate of return on plan assets7.0 %7.0 %7.0 %4.7 %5.3 %5.2 %— %— %— %

For the December 31, 2025 postretirement health care obligations remeasurement, the Company assumed a 8.4% initial weighted average rate of increase in the per capita cost of the various covered health care benefits, which applies primarily to non-Medicare eligible participants. The trend rate was assumed to decrease gradually to an ultimate rate of 4.5% in 2038 and remain at that level thereafter.

Assumptions Used in Calculations
Accounting requirements necessitate the use of assumptions to reflect the uncertainties and the length of time over which the pension obligations will be paid. The actual amount of future benefit payments will depend upon when participants retire, the amount of their benefit at retirement, and how long they live. To reflect the obligation in today’s U.S. dollars, we discount the future payments using a rate that matches the time frame over which the payments are expected to be made. We also assume a long-term rate of return that will be earned on investments used to fund these payments.

GE HealthCare engages third-party actuaries to assist in the determination of the pension and other postretirement defined benefit plan assumptions. We evaluate these assumptions annually. We periodically evaluate other assumptions, such as retirement age, mortality, and turnover, and update them as necessary to reflect our actual experience and expectations for the future.

We determine the discount rate using the weighted average yields on high-quality fixed-income securities that have maturities consistent with the expected timing of benefit payments.

The expected return on plan assets is the estimated long-term rate of return that will be earned on the investments used to fund the pension obligations. To determine this rate, we consider the current and target composition of plan investments, our historical returns earned, and our expectations about the future.

The compensation assumption is used to estimate the annual rate at which compensation of active plan participants will grow. If the rate of growth assumed increases, the size of the pension obligations will increase, as will the amount recorded in AOCI in our Consolidated Statements of Financial Position and amortized to earnings in subsequent periods.

Expected Future Benefit Payments of Our Benefit Plans
U.S. Plans
International Plans
OPEB Plans
2026$1,397 $157 $118 
20271,403 158 116 
20281,408 167 112 
20291,409 172 110 
2030
1,404 179 105 
2031-2035
6,797 980 436 
PENSION PLAN ASSETS.

The GE HealthCare Employee Benefits Investment Committee (the “Investment Committee”) and various country pension boards oversee and monitor the investment decisions related to the assets of our U.S. funded pension plans and other international pension assets, respectively. The Investment Committee retains independent investment managers and advisors and uses documented policies and procedures relating to investment goals, targeted asset allocations, risk management practices, allowable and prohibited investment holdings, diversification, use of derivatives, the relationship between plan assets and benefit obligations, the funded status of the plans, and other relevant factors and considerations.

The assets of our U.S. funded pension plans are invested in a portfolio that includes U.S. and international equity securities; U.S. government and corporate debt securities; asset-backed debt securities; private equity; real estate and other alternative investments; as well as cash and cash equivalents and derivatives contracts. This combination of assets and derivatives is utilized to implement the investment strategies as well as for hedging asset and liability risks. The Investment Committee sets target allocation percentages at an asset class level, including permitted ranges above or below the target allocation percentages.

In October 2025, the Trustee of the Company’s United Kingdom (“U.K.”) defined benefit pension plan entered into an agreement with a third-party insurance company to execute a full bulk annuity purchase (“buy-in”) for the plan. The agreement does not relieve the Company of the primary responsibility to fund the pension obligations. The buy-in was undertaken to reduce pension risk, including investment, longevity, interest rate and inflation risk, by closely aligning plan assets with the plan’s long-term benefit obligations. The annuity contract is reported within the fair value of plan assets and is intended to provide payments to the plan in amounts equivalent to the benefits owed to members in accordance with the plan rules.

The plan assets for international plans are managed and allocated by the country pension boards in each country.

The following tables summarize our pension plan assets that are measured at fair value on a recurring basis. There are no plan assets associated with our OPEB Plans. The inputs and valuation techniques used to measure the fair value of the assets are consistent with the valuation methodologies we use to measure financial assets at fair value on a recurring basis, as described in Note 2, “Summary of Significant Accounting Policies.”

Composition of Plan Assets
Basis of fair value measurement
Balance as of December 31, 2025
Level 1
Level 2
Level 3
Measured at NAV(1)
Global equity securities$4,832 $2,292 $108 $— $2,432 
Debt securities, cash, and cash equivalents
8,412 2,042 5,330 — 1,040 
Real estate793 — — 299 494 
Private equities and other investments1,990 (75)46 161 1,858 
Annuity contract
2,104 — — 2,104 — 
Other
128 — — — — 
Fair value of plan assets
$18,259 $4,258 $5,484 $2,564 $5,825 
(1) Certain assets that are measured at fair value using the NAV per share (or its equivalent), as a practical expedient, have not been classified in the fair value hierarchy.

Basis of fair value measurement
Balance as of December 31, 2024
Level 1
Level 2
Level 3
Measured at NAV(1)
Global equity securities$4,084 $944 $38 $— $3,101 
Debt securities, cash, and cash equivalents
10,593 1,307 8,000 — 1,285 
Real estate1,100 — — 476 623 
Private equities and other investments1,877 7 53 216 1,602 
Fair value of plan assets
$17,654 $2,258 $8,091 $692 $6,612 
(1) Certain assets that are measured at fair value using the NAV per share (or its equivalent), as a practical expedient, have not been classified in the fair value hierarchy.

As of December 31, 2025 and 2024, the fair value of plan assets that used significant unobservable inputs (Level 3) was $2,564 million and $692 million, respectively. These assets primarily relate to an annuity contract, real estate, and private equity investments. The changes to the balances of Level 3 plan assets during 2025 were primarily driven by the buy-in transaction for the U.K. defined benefit pension plan described above. The changes to the balances of Level 3 plan assets during 2024 were not significant.
Weighted Average Asset Allocation of Pension Plans
2025 Target
2025 Actual
Global equity securities22 %26 %
Debt securities, cash, and cash equivalents
49 %46 %
Real estate5 %4 %
Private equities and other instruments12 %12 %
Annuity contract
12 %12 %

DEFINED CONTRIBUTION PLAN.
GE 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 $154 million, $130 million, and $122 million for the years ended December 31, 2025, 2024, and 2023, respectively.