Baxter International Inc. (BAX) is scheduled to release first-quarter 2025 results on May 1, before the opening bell. In the last reported quarter, the company’s earnings beat the Zacks Consensus Estimate by 11.54%. BAX’s earnings beat estimates in each of the trailing four quarters, delivering an average surprise of 5.92%. (Stay up-to-date with all quarterly releases: See Zacks Earnings Calendar.)Q1 EstimatesCurrently, the consensus estimate for revenues is pegged at $2.57 billion, indicating a decline of ...

Baxter International Inc. (BAX) recently introduced Voalte Linq , a lightweight, wearable badge powered by Scotty assistant, a voice-activated technology, at the 2025 HIMSS Global Healthcare Conference. Voalte Linq is the company’s latest innovation within connected care, providing health systems with an ecosystem that promotes full connectivity for care teams and their patients. The latest product introduction by Baxter is aimed at driving workflow automation for hospital settings and transforming how care ...

Research and Development - R&D expenditures were $590 million in 2024, $518 million in 2023, and $450 million in 2022, reflecting a focus on enhancing future growth through clinical differentiation [43]. - The company is working to create a more resilient supply chain and may consolidate R&D facilities as part of its new operating model [43]. Financial Performance and Challenges - The company faced challenges in recovering cost increases for raw materials and components due to contractual limits and market forces, negatively impacting profit margins in 2022 and 2023 [36]. - The company’s profit margins were adversely affected in Q4 2024 due to increased supply chain costs related to ongoing recovery efforts [36]. - The company’s ability to increase prices is constrained by global healthcare cost containment efforts, including price controls and competitive tenders [38]. Workforce and Talent - The company employs approximately 38,000 people globally, with 15,000 in the United States and 23,000 outside the United States, emphasizing the importance of talent in achieving strategic objectives [53]. Regulatory Environment - The company is subject to extensive regulation by government agencies, including the FDA and EMA, impacting the marketing and sale of its products [50]. Competitive Landscape - The company’s competitive advantages include a broad product offering and strong relationships with customers, but it faces substantial competition from both domestic and international healthcare companies [37]. - The company has purchasing agreements with major Group Purchasing Organizations (GPOs) in the U.S., which may limit price increases and create competition from other suppliers [33]. Corporate Governance and Transparency - The company provides free access to its Annual Reports on Form 10-K, Quarterly Reports on Form 10-Q, and Current Reports on Form 8-K on its website [56]. - Reports are also available via EDGAR through the SEC website, ensuring transparency and accessibility for stakeholders [56]. - Corporate Governance Guidelines and Code of Conduct are accessible on the company's website, promoting accountability and ethical standards [56]. - Stockholders can request printed materials, indicating the company's commitment to shareholder communication [56]. - The company incorporates market risk disclosures in its financial reporting, highlighting its awareness of financial instrument risks [374]. Corporate Responsibility - The company’s corporate responsibility strategy focuses on empowering patients, protecting the planet, and championing communities, with a commitment to report progress annually [48].

Financial Performance - Worldwide Baxter sales from continuing operations grew 1% on a reported basis and 2% on a constant currency basis[13] - Adjusted earnings per share from continuing operations totaled $058, exceeding the company's original guidance of $050 to $053 per diluted share[13] - Full-Year 2024 global reported sales were $106 billion, a 3% increase compared to FY 2023[22] - Full-Year 2024 adjusted diluted EPS was $189, an 11% increase compared to FY 2023[22] - Q4 2024 adjusted operating margin was 152%, a decrease of 190 bps year-over-year[19] Business Operations and Strategy - Baxter completed the sale of its Kidney Care business to Carlyle on January 31, 2025 for approximately $34 billion of net, after-tax proceeds[13] - Hurricane Helene negatively impacted sales by approximately $110 million in Q4 2024[13] - Baxter's North Cove manufacturing site has restarted all 10 manufacturing lines and is producing at pre-hurricane levels[13] - Baxter paid a quarterly dividend of $017 per share, reflecting a commitment to return value to shareholders[16, 31] 2025 Outlook - The company projects Q1 2025 sales growth of 3%-4% and adjusted diluted EPS from continuing operations of $047-$050[46] - The company projects FY 2025 sales growth of 5%-6% and adjusted diluted EPS from continuing operations of $245-$255[47]

Core Insights - Baxter International Inc. reported fourth-quarter 2024 adjusted earnings per share (EPS) of 58 cents, exceeding the Zacks Consensus Estimate of 52 cents by 11.5%, although this represents a 10.8% decline from the previous year due to increased costs and expenses [1][4][16] - On a GAAP basis, the company experienced a loss per share of 95 cents, compared to an EPS of 43 cents in the prior-year quarter, primarily due to special items including goodwill impairment and business optimization costs [2][16] - Revenue from continued operations reached $2.75 billion, reflecting a 0.9% increase on a reported basis and a 2% increase at constant currency, surpassing the Zacks Consensus Estimate by 3.4% [4][16] Revenue and Segment Performance - The Medical Products & Therapies segment reported total sales of $1.31 billion, nearly flat year over year but up 1% at constant currency, driven by strong sales of the Novum IQ infusion pump and Advanced Surgery products [8][9] - The Healthcare Systems and Technologies segment generated sales of $784 million, down 1% year over year, with the Front Line Care category sales totaling $280 million, down 8% [10][12] - The Pharmaceuticals segment saw total sales of $643 million, an 8% increase year over year, primarily due to strong demand for Drug Compounding services and specialty injectables [10][11] Margin and Expense Analysis - Adjusted gross profit was reported at $1.23 billion, a 0.7% increase year over year, but the adjusted gross margin contracted by 10 basis points to 44.5% [12][13] - Selling, general and administrative expenses rose by 11.4% to $761 million, while research and development expenses surged by 66.1% to $211 million [12][13] Future Guidance - For the first quarter of 2025, Baxter anticipates sales growth from continuing operations of 3-4% and adjusted EPS in the range of 47-50 cents, with the Zacks Consensus Estimate for sales at $2.62 billion [14][15] - For the full year 2025, continuing operational sales growth is expected to be 5-6%, with adjusted EPS projected between $2.45 and $2.55 [15][16] Strategic Transformation - Baxter completed its transformation plan, including the divestiture of its Kidney Care business for $3.4 billion, which is expected to enhance operational efficiency and financial flexibility [5][17] - The company has shifted to a vertical operating model, which is anticipated to improve response times to market changes and foster innovation [6][17] - Recent product launches and FDA approvals are expected to position Baxter for strong growth in 2025 and beyond, with a focus on high-value, patient-centric solutions [19]

Financial Data and Key Metrics Changes - Baxter reported fourth quarter 2024 global sales from continuing operations of $2.75 billion, an increase of 1% on a reported basis and 2% on a constant-currency basis, exceeding previous guidance which anticipated a low single-digit decline [26][27] - Adjusted earnings per share from continuing operations for the fourth quarter were $0.58, surpassing prior guidance of $0.50 to $0.53 per share, despite an 11% year-over-year decline primarily due to Hurricane Helene's impact [28][52] - For the full year 2024, Baxter reported sales from continuing operations of $10.6 billion, a 3% increase on both a reported and constant-currency basis, with adjusted earnings per share totaling $1.89, reflecting an 11% increase over the prior year [27][53] Business Line Data and Key Metrics Changes - In the Medical Products & Therapies (MPT) segment, fourth quarter sales were $1.3 billion, a 1% increase, with full year sales totaling $5.2 billion, advancing 5% [30][31] - The Infusion Therapies & Technologies division within MPT reported fourth quarter sales of $1 billion, a 1% decrease, while Nutrition sales advanced double-digits globally [32] - The Pharmaceuticals segment saw fourth quarter sales of $643 million, an 8% increase, with full year sales reaching $2.4 billion, a 7% increase [39][40] Market Data and Key Metrics Changes - U.S. capital orders for Care & Connectivity Solutions rose 9% in the fourth quarter and increased 15% for the full year, indicating strong demand in the market [36] - Frontline care sales in the fourth quarter were $280 million, an 8% decline, attributed to backlog reductions and supply constraints [37] - The overall capital environment for patient monitoring devices and hospital equipment remains strong, with a 15% growth in capital orders year-over-year [102] Company Strategy and Development Direction - Baxter is focused on customer-inspired innovation, optimizing its structure post-Kidney Care divestiture, and driving commercial excellence [81][83] - The company aims to achieve a target leverage ratio of around 3x net debt-to-EBITDA by the end of 2025, following significant debt repayment initiatives [90][92] - The strategic actions taken, including the implementation of a verticalized operating model, are expected to enhance agility and focus on profitable growth [12][14] Management's Comments on Operating Environment and Future Outlook - Management expressed confidence in recovering from Hurricane Helene and anticipates stabilization in the primary care market, which is expected to positively impact performance in 2025 [71][73] - The outlook for 2025 includes total sales growth of 5% to 6% on a reported basis, with operational sales growth expected to be 4% to 5% [54][60] - Management highlighted the importance of new product launches, particularly in the Infusion Therapies segment, which is expected to drive significant growth [98][122] Other Important Information - The company completed the sale of Vantive on January 31, 2025, marking a significant milestone in its transformation efforts [12][13] - Adjusted gross margin from continuing operations for the fourth quarter was 44.5%, reflecting a sequential improvement [45] - The company plans to offset stranded costs from the Kidney Care divestiture through income from transition services agreements and cost containment initiatives [44] Q&A Session Summary Question: How should we think about the cadence for 2025? - Management indicated a conservative approach for the first quarter due to ongoing recovery from Hurricane Helene, with expectations for a stronger performance in the fourth quarter [67][68] Question: What is the latest on the HST business, especially frontline care? - Management anticipates stabilization in the primary care market and expects to overcome previous headwinds, with a stronger order book heading into 2025 [72][75] Question: Can you discuss the direction of the company post-Vantive? - Management emphasized a focus on customer-inspired innovation, targeted market investments, and optimizing the company's structure for growth [80][82] Question: What is the post-Vantive capital structure and target leverage ratios? - The target leverage ratio is around 3x net debt-to-EBITDA, with expectations to achieve this by the end of 2025 following significant debt repayments [89][90] Question: Can you elaborate on new product investments and their timing? - Management highlighted ongoing innovation across the portfolio, particularly in the Infusion Therapies and Pharmaceuticals segments, with expectations for continued growth in 2025 [97][98]

Baxter International (BAX) reported $2.75 billion in revenue for the quarter ended December 2024, representing a year-over-year decline of 29.1%. EPS of $0.58 for the same period compares to $0.88 a year ago.The reported revenue compares to the Zacks Consensus Estimate of $2.66 billion, representing a surprise of +3.49%. The company delivered an EPS surprise of +11.54%, with the consensus EPS estimate being $0.52.While investors scrutinize revenue and earnings changes year-over-year and how they compare wit ...

UNITED STATES SECURITIES AND EXCHANGE COMMISSION Washington, D.C. 20549 FORM 8-K CURRENT REPORT PURSUANT TO SECTION 13 OR 15(D) OF THE SECURITIES EXCHANGE ACT OF 1934 Date of Report (Date of earliest event reported): February 1, 2025 Baxter International Inc. (Exact name of registrant as specified in its charter) Delaware (State or other jurisdiction of incorporation) (Commission File Number) 1-4448 36-0781620 (I.R.S. Employer Identification No.) One Baxter Parkway, Deerfield, Illinois 60015 (Address of pri ...

Core Viewpoint - Baxter International Inc. is expected to report mixed fourth-quarter 2024 results, with revenue and earnings anticipated to decline significantly year-over-year due to various operational challenges and macroeconomic pressures [3][11]. Revenue Estimates - The consensus estimate for revenues is $2.66 billion, reflecting a 31.5% decline from the prior-year quarter [2] - The model estimates total revenues to decline 3.3% at constant currency to $2.67 billion [2]. Earnings Estimates - The consensus estimate for earnings is 52 cents per share, indicating a 40.9% year-over-year decline [2] - Adjusted earnings per share are expected to decline 4.7% to 81 cents [2][11]. Factors Influencing Performance - Strong momentum in certain product lines is expected, but operational challenges and macroeconomic pressures may temper overall results [3]. - Recovery from Hurricane Helene and cost-control initiatives are key macro drivers affecting performance [3]. - Pricing initiatives and operational efficiencies are anticipated to provide some support [3]. Segment Performance - The Medical Products & Therapies segment may face near-term pressure from Hurricane Helene, potentially impacting sales by $150-$160 million [4]. - Growth in infusion therapies, particularly the Novum IQ pump platform, is a bright spot expected to continue [5]. - The Advanced Surgery division is expected to maintain steady demand, with total segment sales estimated to decline 5.1% at constant currency to $1.27 billion [6]. - The Healthcare Systems & Technologies segment may reflect softness in the U.S. primary care market, but patient support systems are expected to grow in the low double-digits [7]. - The Frontline Care division might see improved performance due to stabilization in the primary care market and new product launches, with total segment sales estimated to decline 6.3% at constant currency to $744.8 million [8]. - The Pharmaceuticals segment is likely to rebound, with strong performance expected from the injectable drug portfolio [9]. Future Outlook - Despite short-term headwinds from Hurricane Helene, the company’s focus on operational efficiency and product innovation is expected to support stabilization and modest growth [11]. - Sales are anticipated to decline in the low single digits on a reported basis, with adjusted EPS expected between 77 cents and 81 cents [11]. Earnings Prediction Model - The Zacks model does not predict an earnings beat for Baxter this time, as the Earnings ESP is 0.00% [12].

In its upcoming report, Baxter International (BAX) is predicted by Wall Street analysts to post quarterly earnings of $0.52 per share, reflecting a decline of 40.9% compared to the same period last year. Revenues are forecasted to be $2.66 billion, representing a year-over-year decrease of 31.5%.Over the last 30 days, there has been no revision in the consensus EPS estimate for the quarter. This signifies the covering analysts' collective reconsideration of their initial forecasts over the course of this ti ...