Summary of Baxter International Conference Call Company Overview - **Company**: Baxter International (NYSE:BAX) - **Date**: November 18, 2025 - **Key Speakers**: Joel Grade (CFO), Kevin Moran (Investor Relations) Key Points Industry and Company Changes - Baxter has undergone significant portfolio management, divesting non-core businesses to focus on core operations [3][4] - The acquisition of Hillrom in December 2021 led to increased debt and integration challenges, prompting strategic changes in January 2023 [4][5] - Key divestitures included the BPS (contract manufacturing) and kidney businesses, aimed at debt reduction and strategic alignment [4][5] Financial Performance and Growth Strategy - The company aims to stabilize operations and improve cash generation for reinvestment in growth [6][8] - Baxter's current focus is on enhancing operational consistency and predictability, with no major portfolio changes anticipated in the near term [6][8] - The advanced surgery business within the MPT segment grew by 11% last quarter, indicating strong performance [11] Segment Performance - **MPT Segment**: - Challenges with the Novum pump, but the Spectrum pump remains a strong alternative [9][10] - Fluid conservation efforts have reset the baseline for growth, with expectations for continued growth in this area [10][26] - **HST Segment**: - Positive order book with a 30% increase year-over-year, indicating strong demand [11] - Anticipated modest growth in frontline care markets [12] - **Pharmaceutical Segment**: - Compounding is a fast-growing area, although it has lower margins [12] - Anesthesia business showed high single-digit growth, but challenges remain in the U.S. injectables market due to market shifts [12][13] Future Outlook - Baxter plans to provide more detailed guidance and a long-range plan update in 2026 [14] - The company is focused on new product launches, including the Connex 360 monitor, which is expected to enhance margins in the future [16][17] - Ongoing efforts to improve margins through cost efficiencies and product mix optimization [18] Regulatory and Market Challenges - The Novum pump's market re-entry is uncertain, with expectations that it may extend beyond 2025 [21][22] - Baxter is actively engaging with regulators to ensure compliance and safety during the Novum pump's return process [22] - The company is managing tariff impacts, with a net impact of approximately $40 million, and is focusing on targeted pricing actions to mitigate these effects [32][34] GPO Contracts and Pricing Strategy - Baxter renegotiated two of three large GPO contracts, resulting in an anticipated 100 basis points price increase at the enterprise level [30] - The third GPO contract will be renegotiated in late 2026, impacting 2027 pricing [31] Conclusion - Baxter is navigating a complex landscape of operational challenges and market dynamics while focusing on core business growth and strategic realignment. The company is committed to enhancing its product offerings and operational efficiencies to drive future growth and profitability [40]

Core Viewpoint - A class action securities lawsuit has been filed against Baxter International, Inc. due to alleged securities fraud affecting investors between February 23, 2022, and July 30, 2025 [1] Group 1: Allegations of Fraud - The lawsuit claims that Baxter's Novum LVP product had systemic defects leading to malfunctions such as underinfusion, overinfusion, and non-delivery of fluids, posing serious risks to patients [2] - It is alleged that Baxter was aware of multiple device malfunctions, injuries, and deaths related to these defects [2] - Baxter's attempts to address these issues through customer alerts were deemed inadequate, as design flaws persisted and continued to harm patients [2] - The lawsuit suggests that there was an increased risk of customers being instructed to take Novum LVPs out of service and that Baxter would halt all new sales of these pumps [2] - Baxter's statements regarding the safety, efficacy, product rollout, customer feedback, and sales prospects of the Novum LVPs were claimed to be materially false and misleading [2] Group 2: Legal Process and Participation - Investors who suffered losses during the specified timeframe have until December 15, 2025, to request to be appointed as lead plaintiff, although participation does not require serving in this role [3] - Class members may be entitled to compensation without any out-of-pocket costs or fees, with no obligation to participate [3] Group 3: Firm Background - Levi & Korsinsky has a history of securing hundreds of millions of dollars for shareholders and has extensive expertise in complex securities litigation [4] - The firm has been recognized in ISS Securities Class Action Services' Top 50 Report for seven consecutive years as one of the leading securities litigation firms in the United States [4]

Core Viewpoint - Baxter International, Inc. is facing a class action lawsuit due to allegations of issuing misleading statements regarding the safety and efficacy of its Novum LVP product, which reportedly has systemic defects leading to serious patient risks [1][2]. Summary by Sections Allegations - The lawsuit claims that Baxter's Novum LVP product suffered from systemic defects causing malfunctions such as underinfusion, overinfusion, and non-delivery of fluids, posing risks of serious injury or death to patients [1]. - Baxter was allegedly aware of multiple device malfunctions, injuries, and deaths related to these defects but failed to adequately address them [1]. - The company's attempts to mitigate these issues through customer alerts were deemed insufficient, as design flaws persisted [1]. - There was an increased risk that customers would be instructed to take existing Novum LVPs out of service, and Baxter would halt all new sales of these pumps [1]. - Baxter's statements regarding the safety, efficacy, product rollout, customer feedback, and sales prospects of the Novum LVPs were claimed to be materially false and misleading [1]. Class Action Details - The class period for the lawsuit is defined as February 23, 2022, to July 30, 2025 [1]. - Shareholders who purchased shares during this period are encouraged to register for participation in the class action, with a deadline for lead plaintiff appointment set for December 15, 2025 [2]. Firm Background - The Gross Law Firm is a nationally recognized class action law firm dedicated to protecting investors' rights against deceit and illegal business practices [3].

Core Viewpoint - A class action securities lawsuit has been filed against Baxter International, Inc. due to alleged securities fraud affecting shareholders between February 23, 2022, and July 30, 2025 [2][3]. Group 1: Lawsuit Details - The lawsuit claims that Baxter's product, the Novum LVP, had systemic defects leading to malfunctions such as underinfusion, overinfusion, and non-delivery of fluids, posing serious risks to patients [3]. - It is alleged that Baxter was aware of multiple malfunctions, injuries, and deaths related to these defects but failed to take adequate remedial actions [3]. - The complaint states that Baxter's public statements regarding the safety, efficacy, and sales prospects of the Novum LVP were materially false and misleading [3]. Group 2: Next Steps for Shareholders - Shareholders who experienced losses in Baxter International, Inc. stock during the specified timeframe are encouraged to seek information on their rights to recovery, with no cost or obligation to participate [4]. Group 3: Legal Representation - Levi & Korsinsky LLP, a recognized securities litigation firm, has a strong track record in securing recoveries for shareholders and has been ranked among the top securities litigation firms in the U.S. for seven consecutive years [5].

Core Viewpoint - Faruqi & Faruqi, LLP is investigating potential claims against Baxter International Inc. due to allegations of false and misleading statements regarding the Novum LVP medical device, which has been linked to serious malfunctions and patient risks [2][5]. Group 1: Legal Investigation - The law firm is encouraging investors who suffered losses in Baxter between February 23, 2022, and July 30, 2025, to discuss their legal rights [1]. - A federal securities class action has been filed against Baxter, with a deadline of December 15, 2025, for investors to seek the role of lead plaintiff [2]. Group 2: Allegations Against Baxter - The complaint alleges that Baxter and its executives violated federal securities laws by failing to disclose systemic defects in the Novum LVP, which caused malfunctions that could lead to serious injury or death [5]. - Baxter was reportedly aware of multiple device malfunctions and injuries but did not take adequate remedial measures, leading to a heightened risk of product withdrawal from the market [5]. Group 3: Stock Impact - The extent of the alleged fraud was revealed on July 31, 2025, when Baxter announced a voluntary pause in shipments and installations of the Novum LVP, resulting in a 22.4% drop in stock price, closing at $21.76 [6].

Core Viewpoint - Baxter International, Inc. is facing a class action lawsuit due to allegations of misleading investors regarding the safety and performance of its Novum LVP device, which has been linked to serious patient risks and malfunctions [2][3]. Group 1: Lawsuit Details - The lawsuit claims that Baxter failed to disclose systemic defects in the Novum LVP that led to malfunctions such as underinfusion and overinfusion, posing serious risks to patients [2]. - Baxter was reportedly aware of multiple device malfunctions, injuries, and deaths associated with the Novum LVP but did not take adequate remedial measures [2]. - The company issued warnings to customers about the risks but continued to face issues with the device, leading to a temporary halt in shipments and installations [3]. Group 2: Financial Impact - Following the announcement of safety concerns and the decision to pause shipments, Baxter's stock price fell by $6.29, approximately 22.4%, from $28.05 to $21.76 on July 31, 2025 [3].

Core Viewpoint - A class action securities lawsuit has been filed against Baxter International, Inc. due to alleged securities fraud affecting investors between February 23, 2022, and July 30, 2025 [1] Group 1: Allegations of Fraud - The lawsuit claims that Baxter's product, the Novum LVP, had systemic defects leading to malfunctions such as underinfusion, overinfusion, and non-delivery of fluids, posing serious risks to patients [2] - It is alleged that Baxter was aware of multiple device malfunctions, injuries, and deaths related to these defects [2] - Baxter's attempts to address these issues through customer alerts were deemed inadequate, as design flaws persisted and continued to harm patients [2] - The lawsuit suggests that there was an increased risk of customers being instructed to take Novum LVPs out of service and that Baxter would halt all new sales of these pumps [2] - Baxter's statements regarding the safety, efficacy, product rollout, customer feedback, and sales prospects of the Novum LVPs were claimed to be materially false and misleading [2] Group 2: Legal Process and Participation - Investors who suffered losses during the specified timeframe have until December 15, 2025, to request to be appointed as lead plaintiff [3] - Participation in the lawsuit does not require serving as a lead plaintiff, and class members may be entitled to compensation without any out-of-pocket costs [3] Group 3: Firm Background - Levi & Korsinsky, LLP has a history of securing hundreds of millions of dollars for shareholders and has extensive expertise in complex securities litigation [4] - The firm has been recognized in ISS Securities Class Action Services' Top 50 Report for seven consecutive years as one of the leading securities litigation firms in the United States [4]

Core Points - Baxter International Inc. is facing a federal securities class action lawsuit due to allegations of making false and misleading statements regarding the Novum LVP medical device, which reportedly suffered from systemic defects leading to serious patient risks [3][4] - The lawsuit claims that Baxter was aware of multiple malfunctions and injuries associated with the Novum LVP but failed to adequately address these issues, resulting in a significant drop in stock price following the announcement of a pause in shipments [4] Summary by Category Company Overview - Baxter International Inc. is a publicly traded company listed on the NYSE under the ticker BAX [3] Legal Issues - The complaint alleges that Baxter and its executives violated federal securities laws by failing to disclose critical information about the Novum LVP, including systemic defects that caused malfunctions such as underinfusion and overinfusion [3] - Baxter's attempts to mitigate these issues through customer alerts were deemed inadequate, leading to a heightened risk of product recalls and a complete halt in new sales [3] Stock Performance - Following the announcement on July 31, 2025, regarding the voluntary pause of Novum LVP shipments, Baxter's stock price fell by 22.4%, closing at $21.76 [4] Class Action Details - The deadline for investors to seek the role of lead plaintiff in the class action is December 15, 2025 [1] - Faruqi & Faruqi, LLP is encouraging investors who suffered losses to contact them for legal options [1][5]

Core Viewpoint - A class action securities lawsuit has been filed against Baxter International, Inc. due to alleged securities fraud affecting investors between February 23, 2022, and July 30, 2025 [2][3]. Group 1: Lawsuit Details - The lawsuit claims that Baxter's product, the Novum LVP, had systemic defects leading to malfunctions such as underinfusion, overinfusion, and non-delivery of fluids, posing serious risks to patients [3]. - It is alleged that Baxter was aware of multiple device malfunctions, injuries, and deaths related to these defects [3]. - Baxter's attempts to address these issues through customer alerts were deemed inadequate, as design flaws persisted and continued to harm patients [3]. - The lawsuit suggests that there was an increased risk of customers being instructed to take existing Novum LVPs out of service and that Baxter would halt all new sales of these pumps [3]. - Baxter's statements regarding the safety, efficacy, product rollout, customer feedback, and sales prospects of the Novum LVPs were claimed to be materially false and misleading [3]. Group 2: Next Steps for Investors - Investors who suffered losses during the specified timeframe have until December 15, 2025, to request appointment as lead plaintiff [4]. - Participation in the lawsuit does not require serving as a lead plaintiff, and class members may be entitled to compensation without any out-of-pocket costs [4]. Group 3: Legal Representation - Levi & Korsinsky, LLP has a strong track record in securities litigation, having secured hundreds of millions of dollars for shareholders over the past 20 years [5]. - The firm has been recognized as one of the top securities litigation firms in the United States for seven consecutive years [5].

Core Insights - Artificial intelligence (AI) is identified as the greatest investment opportunity of the current era, with a strong emphasis on the urgency to invest now [1][13] - The energy demands of AI technologies are highlighted, with data centers consuming as much energy as small cities, leading to concerns about power grid strain and rising electricity prices [2][3] Investment Opportunity - A specific company is presented as a key player in the AI energy sector, owning critical energy infrastructure assets that are essential for meeting the increasing energy demands of AI [3][7] - This company is characterized as a "toll booth" operator in the AI energy boom, benefiting from the surge in demand for electricity driven by AI advancements [4][5] Market Position - The company is noted for its unique position in the market, being debt-free and holding a significant cash reserve, which is nearly one-third of its market capitalization [8] - It also has a substantial equity stake in another AI-related company, providing investors with indirect exposure to multiple growth engines in the AI sector [9][10] Future Trends - The article discusses the broader trends of onshoring and U.S. LNG exports, positioning the company as a beneficiary of these developments under the current political climate [6][14] - The influx of talent into the AI sector is expected to drive continuous innovation and advancements, reinforcing the importance of investing in AI-related companies [12] Conclusion - The narrative emphasizes the potential for significant returns on investment, suggesting that the company could see a 100% return within 12 to 24 months due to its strategic positioning in the AI and energy markets [15][19]