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Baxter (BAX) Beats on Q4 Earnings and Revenue Estimates

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Headquartered in Deerfield, Illinois, Baxter International Inc. (BAX - Free Report) is a global medical products and services company. The company’s Hospital Products business manufactures products used in the delivery of fluids and drugs to patients. Renal portfolio is mainly for patients with kidney failure/disease and their healthcare providers.

Currently, Baxter International has a Zacks Rank #3 (Hold) but that could change following its fourth-quarter 2017 earnings report which has just released. (You can see the complete list of today’s Zacks #1 Rank (Strong Buy) stocks here). We have highlighted some of the key details from the just-released announcement below:

Earnings: Baxter’s adjusted earnings of 64 cents per share beat the Zacks Consensus Estimate of 59 cents and increased from 57 cents from the year-ago quarter.

Revenues: Baxter posted worldwide sales of $2.8 billion, beating the Zacks Consensus Estimate for revenues of $2.76 billion. At constant currency (cc), revenues increased almost 3% on a year-over-year basis.

Key Stats: Hospital Sales in the United States were $896 million, up 0.1% on a year-over-year basis. Renal Products delivered revenues worth $232 million, up 4.5% from the year-ago quarter, in the United States.

Major Factors:  Sales in the reported quarter were driven by solid revenues by the two major segments. Per management, increased emphasis on innovation and portfolio expansion delivered positive results in the quarter.

Performance in the segments in the reported quarter is attributable to continued strength in the company’s U.S. fluid systems business as well as favorable demand for injectable pharmaceuticals.

For full-year 2018, Baxter expects revenue growth to be approximately 4% at cc.

Adjusted earnings for fiscal 2018 are expected in the band of $2.72 to $2.80 per share.

Stock Price: Shares have risen roughly 49.6% in the last year, while the broader industry has gained 25.6% over the same time frame. Following the earnings release, share prices inched down 1.1% at $71.25 in the pre-market trading session.

Check back later for our full write up on this Baxter International report later!

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