Name: William Grogan
New title: CFO, GE HealthCare
Previous title: CFO, Xylem
GE HealthCare said Tuesday it has appointed William Grogan as CFO, filling a vacancy created when Jay Saccaro stepped down last month.
Grogan will join GE HealthCare from Xylem, a water technology company, where he became CFO in October 2023. Grogan is set to leave Xylem on Sept. 13 and start at GE HealthCare the next day.
The arrival of Grogan will end George Newcomb’s time as interim CFO. Newcomb will continue as GE HealthCare’s controller and chief accounting officer. GE HealthCare is installing a permanent CFO shortly after Saccaro left to take an expanded role covering finance and operations at Zoetis, an animal health company.
Analysts welcomed Grogan’s appointment.
In a note to investors assessing Xylem’s performance during Grogan’s tenure, Stifel analysts said the company met or beat earnings expectations in every quarter and fell short of revenue forecasts twice. The analysts are “highly optimistic” about the appointment.
RBC Capital Markets analysts also published a positive note on the appointment. Because GE HealthCare initially said it would hire a new CFO in the “coming months,” Grogan’s appointment occurred earlier than RBC analysts expected.
The RBC team was also encouraged by Grogan’s track record, noting his history of expanding margins, simplifying operating systems and integrating acquisitions. The track record aligns with GE HealthCare’s priorities, the analysts said, particularly its ambitions to achieve mid-single-digit organic growth and raise margins toward 20% over the medium term.
Stifel analysts noted Grogan’s “strong track record of leadership.” The incoming CFO has “a ‘no-nonsense’ mindset about setting expectations, a crucial topic for the company,” the analysts said. The Stifel team sees Grogan as a strong partner for GE HealthCare CEO Pete Arduini for the next phase of the company’s growth and transformation.
The Stifel analysts saw no evidence that GE HealthCare’s new CFO has specific medtech or healthcare experience. However, Grogan’s strengths, such as his focus on “driving his companies forward with a ‘lean operations mindset,’” offset that gap in the Stifel analysts’ view and make him an “outstanding choice” for the CFO role at GE HealthCare.
