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Jun 30, 2024

Baxter Q2 2024 Earnings Report

Baxter's Q2 2024 earnings exceeded expectations, driven by strategic transformation and strong segment performance.

Key Takeaways

Baxter International Inc. reported a 3% increase in worldwide sales from continuing operations, totaling $3.81 billion. U.S. GAAP diluted EPS from continuing operations was ($0.62), while adjusted diluted EPS from continuing operations reached $0.68, both exceeding previous guidance. The company has raised its full-year sales and adjusted diluted EPS guidance.

Second-quarter sales increased by 3% on a reported basis and 4% on a constant currency basis, surpassing previous guidance.

U.S. sales increased by 3% year-over-year, while international sales also increased by 3% on a reported basis.

Adjusted diluted EPS from continuing operations was $0.68, exceeding the company’s previously issued guidance.

Baxter increased its full-year sales growth and adjusted diluted EPS guidance.

Total Revenue
$3.81B
Previous year: $3.71B
+2.8%
EPS
$0.68
Previous year: $0.66
+3.0%
Gross Profit
$1.43B
Previous year: $1.11B
+28.8%
Cash and Equivalents
$2.1B
Previous year: $1.72B
+21.7%
Free Cash Flow
-$1M
Total Assets
$26.3B
Previous year: $27.9B
-5.6%

Baxter

Baxter

Baxter Revenue by Geographic Location

Forward Guidance

Baxter expects sales growth of approximately 3% on both a reported and constant currency basis for full-year 2024. The company anticipates adjusted earnings of $2.93 to $3.01 per diluted share. For the third quarter of 2024, sales growth is expected to be 3% to 4% on a reported basis and 4% to 5% on a constant currency basis, with adjusted earnings of $0.77 to $0.79 per diluted share.

Positive Outlook

  • Sales growth - U.S. GAAP 3% - 4% (Q3 2024)
  • Sales growth - Constant currency 4% - 5% (Q3 2024)
  • Sales growth - U.S. GAAP ~ 3% (FY 2024)
  • Sales growth - Constant currency ~ 3% (FY 2024)
  • Adjusted diluted EPS $0.77 - $0.79 (Q3 2024)

Revenue & Expenses

Visualization of income flow from segment revenue to net income