April 23--Baxter International said first-quarter results were affected by the weakness in foreign currencies and costs related to the separation of its biopharmaceutical and medical products businesses.
Here's a snapshot of the quarter, and a bit on what's to come.
By the numbers: Baxter's net income fell 23 percent to $430 million, or 78 cents a share, from $556 million, or $1.01 a share, from a year ago. The company said after-tax charges totaling $120 million, including separation-related costs of $87 million and costs of $12 million related to the integration of Gambro. Excluding the special items, Baxter said it had net income of $1 a share, which beat previously issued estimates of 85 cents to 90 cents a share.
Sales fell 2 percent to $3.76 billion, from $3.85 billion a year earlier. Excluding the impact of foreign currencies, sales rose 4 percent.
Highlights of the quarter: Baxter said it had strong demand for its immunoglobulin treatments, intravenous therapies, anesthesia products and peritoneal dialysis products. The company also received regulatory approval for a drug used in renal replacement therapy, which it plans to introduce in the United States in the coming weeks.
Quote you on that: "We continue to successfully deliver on a wide range of strategic and operational objectives that will drive future growth and position us for sustained success," said Robert Parkinson Jr., chairman and CEO.
What's next: The separation is anticipated to occur midyear. The biopharmaceutical company will be called Baxalta. Baxter said its expects second-quarter earnings, excluding special items, of 92 cents to 96 cents per share.
Market reaction: Baxter shares gained $1.13, or 1.6 percent, to close at $71.51 on Thursday.
asachdev@tribpub.com
