[April 23, 2015] |
|
Baxter Reports First Quarter Financial Results That Exceed Guidance
Baxter International Inc. (NYSE:BAX) today reported first quarter
financial results that exceeded the company's previously issued
guidance. Baxter reported first quarter net income of $430 million and
earnings per diluted share of $0.78, compared to net income of $556
million and earnings per diluted share of $1.01 in the same period last
year. First quarter 2015 results include net after-tax special items
totaling $120 million (or $0.22 per diluted share), primarily for
intangible asset amortization, costs associated with the company's
planned separation and the integration of its Gambro AB acquisition,
partially offset by a benefit related to the reversal of certain
business optimization reserves. First quarter 2014 results included net
after-tax charges totaling $96 million (or $0.18 per diluted share).
On an adjusted basis, excluding special items in both periods, Baxter
reported first quarter net income of $550 million compared to $652
million reported in 2014. For the quarter, adjusted earnings of $1.00
per diluted share, which included unplanned other income of $74 million
(or $0.11 per diluted share), exceeded the company's previously issued
earnings guidance of $0.85 to $0.90 per diluted share.
Worldwide sales of $3.76 billion declined 2 percent from the $3.85
billion reported in the first quarter of 2014. Excluding the impact of
foreign currency, Baxter's sales increased 4 percent. Sales in the
United States grew 4 percent to $1.7 billion, while international sales
of $2.1 billion declined 6 percent from the prior-year period. Excluding
foreign currency, international sales increased 5 percent.
Baxter's BioScience business generated revenues of $1.4 billion in the
quarter, reflecting an increase of 2 percent. Excluding foreign
currency, sales advanced 8 percent, driven by strong demand for the
company's immunoglobulin treatments for patients with primary
immunodeficiency (PI), hemophilia and inhibitor therapies, and certain
biotherapeutics.
Medical Products sales of $2.4 billion declined 5 percent from the
prior-year period. Excluding foreign currency, sales increased 2
percent. Strong sales of products for peritoneal dialysis (PD),
intravenous therapies and anesthesia products, as well as improved
demand for injectable drug compounding services contributed to the
performance.
''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 L. Parkinson, Jr., chairman and chief
executive officer. ''As the separation we announced more than a year ago
is nearing completion, we continue to believe that all stakeholders will
benefit from the unique attributes, distinct profiles, growth prospects
and strategies of the two new companies.''
Baxter achieved a number of pipeline and portfolio milestones since the
beginning of the year, including:
-
Completion of CE marking (market approval) in Europe for HOMECHOICE
CLARIA automated peritoneal dialysis system with the SHARESOURCE
web-based connectivity platform, which provides secure two-way
connectivity so healthcare providers can have increased visibility to
monitor their patients' home peritoneal dialysis treatments. Baxter
plans to initiate the commercial launch of the system in select
European and Asian countries beginning in the second quarter of this
year.
-
Receipt of FDA approval and orphan drug designation of PHOXILLUM Renal
Replacement Solutions for use in continuous renal replacement therapy,
or CRRT, to correct electrolyte and acid-base imbalances. The company
expects to introduce these solutions in the United States in the
coming weeks.
-
Submission of a new drug application to Japan's Ministry of Health for
the approval of BAX 855, an investigational, extended half-life
recombinant factor VIII treatment for hemophilia A based on ADVATE.
-
Completion of enrollment in the BAX 855 pediatric study, which will
support post-approval label expansion in the U.S. for previously
treated pediatric patients and European regulatory submission in 2016.
-
Positive results from the Phase III study of BAX 817 for patients with
hemophilia A or B who develop inhibitors. The trial met its endpoint
of successful resolution of bleeding episodes (overall success rate of
92%). No patients developed inhibitors or binding antibodies during
the study and none discontinued treatment due to adverse events.
-
Announcement with CTI BioPharma of positive top-line results from
PERSIST-1, a randomized, controlled Phase III registration clinical
trial examining pacritinib, a next generation oral JAK2/FLT3 inhibitor
for the treatment of patients with primary or secondary myelofibrosis.
The trial met its primary endpoint of reduction in spleen volume and
the safety profile was consistent with previous studies. Data will be
highlighted in a late-breaking oral presentation at the upcoming
American Society of Clinical Oncology (ASCO) 2015 Meeting in Chicago,
Illinois.
-
Initiation of a pharmacokinetic trial in Europe for BAX 923
(adalimumab), a biosimilar version of HUMIRA®, being developed in
collaboration with Momenta Pharmaceuticals for patients with
autoimmune and inflammatory diseases.
-
Presentation of interim data in the Phase I/II study of BAX 335, an
investigational factor IX gene therapy treatment for hemophilia B. The
trial is assessing the safety of ascending doses of BAX 335 in up to
16 patients to determine the optimal single dose. At the end of 2014,
a total of six patients in three dosing cohorts had been treated, with
evidence of a dose-related response. In the two highest dose cohorts,
FIX activity levels of 10 percent or above were observed in two
patients with no bleeding events. The investigational treatment has
also been granted orphan drug designation by the FDA.
-
Acquisition of SuppreMol GmbH, a biopharmaceutical company based in
Germany. The acquisition includes SuppreMol's early-stage development
portfolio of biologic immunoregulatory therapeutics for the treatment
of autoimmune and IgE-mediated allergic diseases.
-
An exclusive global licensing and distribution agreement with
Laboratoire Aguettant SAS for trace elements, which are essential
micronutrients used in parenteral nutrition (PN) therapy.
Outlook for Second Quarter 2015
Baxter also announced today its outlook for the second quarter 2015. The
company expects sales growth of approximately 1 percent, excluding the
impact of foreign currency. Including the impact of foreign currency,
the company expects sales to decline approximately 9 to 10 percent.
Baxter also expects earnings from continuing operations, before special
items, of $0.92 to $0.96 per diluted share. The second quarter 2015
earnings guidance excludes approximately $0.08 per diluted share of
projected intangible amortization expense. Reconciling for the inclusion
of intangible asset amortization results in expected GAAP (Generally
Accepted Accounting Principles) earnings of $0.84 to $0.88 per diluted
share, before other special items, for the quarter.
With the separation of the two companies anticipated to occur mid-2015,
company executives will be providing investors an overview of both
companies' long-term, strategic outlooks and financial guidance, the
afternoon of May 18, 2015 for Baxter International Inc., and the morning
of May 19, 2015 for Baxalta Incorporated, in New York City. Please visit www.baxter.com
to register for the event and for additional details.
Baxter plans to report its second quarter 2015 results the afternoon of
Wednesday, July 29, followed by a separate financial report by Baxalta
Incorporated the morning of Thursday, July 30. Each company will conduct
separate conference calls for investors following their respective
second quarter results.
A webcast of Baxter's first quarter conference call for investors can be
accessed live from a link on the company's website at www.baxter.com
beginning at 7:30 a.m. CDT on April 23, 2015. Also, the company's Annual
Meeting of Shareholders will take place on May 5, 2015. Please visit www.baxter.com
for more information regarding these upcoming investor events and
webcasts.
Baxter International Inc., through its subsidiaries, develops,
manufactures and markets products that save and sustain the lives of
people with hemophilia, immune disorders, cancer, infectious diseases,
kidney disease, trauma, and other chronic and acute medical conditions.
As a global, diversified healthcare company, Baxter applies a unique
combination of expertise in medical devices, pharmaceuticals and
biotechnology to create products that advance patient care worldwide.
This release includes forward-looking statements concerning the
company's financial results, business development activities, R&D
pipeline including regulatory actions and commercial launch
events, outlook for second quarter 2015, and the planned separation of
Baxter's biopharmaceutical and medical products businesses. The
statements are based on assumptions about many important factors,
including the following, which could cause actual results to differ
materially from those in the forward-looking statements: product
development risks; product quality or patient safety concerns; future
actions of regulatory bodies and other governmental authorities,
including the FDA and foreign counterparts; failures with respect to
compliance programs; future actions of third-parties, including payors;
U.S. healthcare reform and other global austerity measures; pricing,
reimbursement, taxation and rebate policies of government agencies and
private payers; the impact of competitive products and pricing,
including generic competition, drug reimportation and disruptive
technologies; global, trade and tax policies; accurate identification of
and execution on business development and R&D opportunities and
realization of anticipated benefits; fluctuations in supply and demand
and the pricing of plasma-based therapies; the availability of
acceptable raw materials and component supply; the inability to create
timely production capacity or other manufacturing or supply
difficulties; the ability to successfully separate the biopharmaceutical
and medical products businesses on the terms or timeline currently
contemplated, if at all, and achieve the intended results; the ability
to enforce owned or in-licensed patents, or the patents of third parties
preventing or restricting manufacture, sale or use of affected products
or technology; the impact of global economic conditions; fluctuations in
foreign exchange and interest rates; any changes in law concerning the
taxation of income, including income earned outside the United States;
actions by tax authorities in connection with ongoing tax audits;
breaches or failures of the company's information technology systems;
loss of key employees or inability to identify and recruit new
employees; the outcome of pending or future litigation; the adequacy of
the company's cash flows from operations to meet its ongoing cash
obligations and fund its investment program; and other risks identified
in the company's most recent filing on Form 10-K and other Securities
and Exchange Commission filings, all of which are available on the
company's website. The company does not undertake to update its
forward-looking statements. Financial schedules are attached to
this release and available on the company's website.
|
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BAXTER INTERNATIONAL INC.
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Consolidated Statements of Income
|
Three Months Ended March 31, 2015 and 2014
|
(unaudited)
|
(in millions, except per share and percentage data)
|
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|
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|
|
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Three Months Ended
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March 31,
|
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2015
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|
2014
|
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Change
|
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|
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NET SALES
|
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|
$3,764
|
|
|
$3,848
|
|
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(2%)
|
|
|
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|
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COST OF SALES
|
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1,963
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1,957
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0%
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GROSS MARGIN
|
|
|
1,801
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|
|
1,891
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(5%)
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% of Net Sales
|
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47.8%
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49.1%
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(1.3 pts)
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MARKETING AND ADMINISTRATIVE EXPENSES
|
|
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1,015
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910
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12%
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% of Net Sales
|
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27.0%
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23.6%
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|
3.4 pts
|
|
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RESEARCH AND DEVELOPMENT EXPENSES
|
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300
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|
309
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(3%)
|
% of Net Sales
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8.0%
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8.0%
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0 pts
|
|
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NET INTEREST EXPENSE
|
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|
30
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43
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(30%)
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OTHER INCOME, NET
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|
|
(74)
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|
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(24)
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N/M
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INCOME FROM CONTINUING OPERATIONS BEFORE INCOME TAXES
|
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530
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653
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(19%)
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INCOME TAX EXPENSE
|
|
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110
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|
|
146
|
|
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(25%)
|
% of Income from Continuing Operations before Income Taxes
|
|
|
20.8%
|
|
|
22.4%
|
|
|
(1.6 pts)
|
|
|
|
|
|
|
|
|
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|
INCOME FROM CONTINUING OPERATIONS
|
|
|
420
|
|
|
507
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(17%)
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INCOME FROM DISCONTINUED OPERATIONS, NET OF TAX A
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10
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49
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(80%)
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NET INCOME
|
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|
$430
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$556
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(23%)
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INCOME FROM CONTINUING OPERATIONS PER COMMON SHARE
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Basic
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$0.77
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|
$0.93
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(17%)
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Diluted
|
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|
$0.76
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|
$0.92
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|
(17%)
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|
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|
|
|
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INCOME FROM DISCONTINUED OPERATIONS PER COMMON SHARE
|
|
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|
Basic
|
|
|
$0.02
|
|
|
$0.09
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|
(78%)
|
Diluted
|
|
|
$0.02
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$0.09
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(78%)
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NET INCOME PER COMMON SHARE
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Basic
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$0.79
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|
$1.02
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(23%)
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Diluted
|
|
|
$0.78
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|
$1.01
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(23%)
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WEIGHTED-AVERAGE NUMBER OF COMMON SHARES OUTSTANDING
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|
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Basic
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|
543
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|
542
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Diluted
|
|
|
548
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548
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|
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ADJUSTED PRE-TAX INCOME FROM CONTINUING OPERATIONS (excluding
special items)
|
|
$702
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B
|
|
$765
|
B
|
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(8%)
|
ADJUSTED INCOME FROM CONTINUING OPERATIONS (excluding special
items)
|
|
$549
|
B
|
|
$595
|
B
|
|
(8%)
|
ADJUSTED DILUTED EPS FROM CONTINUING OPERATIONS (excluding
special items)
|
|
$1.00
|
B
|
|
$1.09
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B
|
|
(8%)
|
A
|
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Operating results from the company's vaccines franchise are
classified as discontinued operations for all periods presented.
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B
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Refer to page 8 for a description of the adjustments and a
reconciliation to generally accepted accounting principles (GAAP)
measures.
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BAXTER INTERNATIONAL INC.
|
Note to Consolidated Statements of Income
|
Three Months Ended March 31, 2015 and 2014
|
Description of Adjustments and Reconciliation of GAAP to Non-GAAP
Measures
|
(unaudited)
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(in millions, except per share and percentage data)
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The company's GAAP results for the three months ended March 31,
2015 and 2014 included special items which impacted the GAAP
measures as follows:
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Three Months Ended March 31,
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2015
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2014
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Change
|
Gross Margin
|
|
$1,801
|
|
|
$1,891
|
|
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(5%)
|
Intangible asset amortization expense 1
|
|
48
|
|
|
43
|
|
|
|
Business optimization items 2
|
|
(7)
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4
|
|
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Separation-related costs 3
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1
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-
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Adjusted Gross Margin
|
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$1,843
|
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$1,938
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(5%)
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% of Net Sales
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49.0%
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50.4%
|
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(1.4 pts)
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|
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Marketing and Administrative Expenses
|
|
$1,015
|
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|
$910
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12%
|
Gambro acquisition and integration items 4
|
|
(18)
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|
|
(17)
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Tax and legal items 5
|
|
-
|
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|
10
|
|
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Business optimization items 2
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|
(2)
|
|
|
(10)
|
|
|
|
Separation-related costs 3
|
|
(108)
|
|
|
-
|
|
|
|
Adjusted Marketing and Administrative Expenses
|
|
$887
|
|
|
$893
|
|
|
(1%)
|
% of Net Sales
|
|
23.6%
|
|
|
23.2%
|
|
|
0.4 pts
|
|
|
|
|
|
|
|
|
|
Research and Development Expenses
|
|
$300
|
|
|
$309
|
|
|
(3%)
|
Business development items 6
|
|
-
|
|
|
(25)
|
|
|
|
Business optimization items 2
|
|
6
|
|
|
(6)
|
|
|
|
Separation-related costs 3
|
|
(8)
|
|
|
-
|
|
|
|
Adjusted Research and Development Expenses
|
|
$298
|
|
|
$278
|
|
|
7%
|
% of Net Sales
|
|
7.9%
|
|
|
7.2%
|
|
|
0.7 pts
|
|
|
|
|
|
|
|
|
|
Other Income, Net
|
|
$(74)
|
|
|
$(24)
|
|
|
N/M
|
Gambro acquisition and integration items 4
|
|
-
|
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|
(17)
|
|
|
|
Adjusted Other Income, Net
|
|
$(74)
|
|
|
$(41)
|
|
|
N/M
|
|
|
|
|
|
|
|
|
|
Pre-Tax Income from Continuing Operations
|
|
$530
|
|
|
$653
|
|
|
(19%)
|
Impact of special items
|
|
172
|
|
|
112
|
|
|
|
Adjusted Pre-Tax Income from Continuing Operations
|
|
$702
|
|
|
$765
|
|
|
(8%)
|
|
|
|
|
|
|
|
|
|
Income Tax Expense
|
|
$110
|
|
|
$146
|
|
|
(25%)
|
Impact of special items
|
|
43
|
|
|
24
|
|
|
|
Adjusted Income Tax Expense
|
|
$153
|
|
|
$170
|
|
|
(10%)
|
% of Adjusted Pre-Tax Income from Continuing Operations
|
|
21.8%
|
|
|
22.2%
|
|
|
(0.4 pts)
|
|
|
|
|
|
|
|
|
|
Income from Continuing Operations
|
|
$420
|
|
|
$507
|
|
|
(17%)
|
Impact of special items
|
|
129
|
|
|
88
|
|
|
|
Adjusted Income from Continuing Operations
|
|
$549
|
|
|
$595
|
|
|
(8%)
|
|
|
|
|
|
|
|
|
|
Adjusted Income from Discontinued Operations
|
|
1
|
|
|
57
|
|
|
|
|
|
|
|
|
|
|
|
|
Adjusted Net Income
|
|
$550
|
|
|
$652
|
|
|
(16%)
|
|
|
|
|
|
|
|
|
|
Diluted EPS from Continuing Operations
|
|
$0.76
|
|
|
$0.92
|
|
|
(17%)
|
Impact of special items
|
|
0.24
|
|
|
0.17
|
|
|
|
Adjusted Diluted EPS from Continuing Operations
|
|
$1.00
|
|
|
$1.09
|
|
|
(8%)
|
|
|
|
|
|
|
|
|
|
Adjusted Diluted EPS from Discontinued Operations
|
|
0.00
|
|
|
0.10
|
|
|
|
|
|
|
|
|
|
|
|
|
Adjusted Diluted EPS
|
|
$1.00
|
|
|
$1.19
|
|
|
(16%)
|
|
|
|
|
|
|
|
|
|
WEIGHTED-AVERAGE NUMBER OF COMMON SHARES OUTSTANDING
|
|
|
|
|
|
|
|
|
Diluted
|
|
548
|
|
|
548
|
|
|
|
1
|
|
The company's results in 2015 and 2014 included intangible asset
amortization expense of $48 million ($38 million, or $0.07 per
diluted share, on an after-tax basis) and $43 million ($34 million,
or $0.06 per diluted share, on an after-tax basis), respectively.
|
|
|
|
2
|
|
The company's results in 2015 included a net benefit of $11 million
($8 million, or $0.01 per diluted share, on an after-tax basis)
related to adjustments of $29 million to previous business
optimization reserves that are no longer probable of being utilized,
partially offset by additional business optimization charges of $18
million. The company's results in 2014 included business
optimization charges of $20 million ($13 million, or $0.03 per
diluted share, on an after-tax basis), which includes Gambro AB
(Gambro) post-acquisition restructuring activities.
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|
3
|
|
The company's results in 2015 included separation-related costs of
$117 million ($87 million, or $0.16 per diluted share, on an
after-tax basis) for the planned separation of Baxter's
biopharmaceutical and medical products businesses.
|
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4
|
|
The company's results in 2015 included total charges of $18 million
($12 million, or $0.02 per diluted share, on an after-tax basis)
primarily related to the integration of Gambro. The company's
results in 2014 included total charges of $34 million ($26 million,
or $0.05 per diluted share, on an after-tax basis) primarily related
to the integration of Gambro, including the loss on the
regulator-mandated divestiture of Baxter's legacy Continuous Renal
Replacement Therapy business.
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5
|
|
The company's results in 2014 included the reversal of prior
litigation reserves of $10 million ($7 million, or $0.01 per diluted
share, on an after-tax basis).
|
|
|
|
6
|
|
The company's results in 2014 included total charges of $25 million
($22 million, or $0.04 per diluted share, on an after-tax basis)
related to certain milestone payments associated with the company's
collaboration arrangements.
|
|
|
|
For more information on the company's use of non-GAAP financial
measures in this press release, please see the company's Current
Report on Form 8-K filed with the Securities and Exchange Commission
on the date of this press release.
|
|
BAXTER INTERNATIONAL INC.
|
Net Sales
|
Periods Ending March 31, 2015 and 2014
|
(unaudited)
|
($ in millions)
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Q1
|
|
|
Q1
|
|
|
% Growth @
|
|
|
% Growth @
|
|
|
|
|
|
|
|
2015
|
|
|
2014
|
|
|
Actual Rates
|
|
|
Constant Rates
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
BioScience 1
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
United States
|
|
|
|
|
|
$755
|
|
|
$706
|
|
|
7%
|
|
|
7%
|
International
|
|
|
|
|
|
606
|
|
|
623
|
|
|
(3%)
|
|
|
10%
|
Total BioScience
|
|
|
|
|
|
$1,361
|
|
|
$1,329
|
|
|
2%
|
|
|
8%
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Medical Products 1
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
United States
|
|
|
|
|
|
$945
|
|
|
$935
|
|
|
1%
|
|
|
1%
|
International
|
|
|
|
|
|
1,458
|
|
|
1,584
|
|
|
(8%)
|
|
|
3%
|
Total Medical Products
|
|
|
|
|
|
$2,403
|
|
|
$2,519
|
|
|
(5%)
|
|
|
2%
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Baxter International Inc.
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
United States
|
|
|
|
|
|
$1,700
|
|
|
$1,641
|
|
|
4%
|
|
|
4%
|
International
|
|
|
|
|
|
2,064
|
|
|
2,207
|
|
|
(6%)
|
|
|
5%
|
Total Baxter
|
|
|
|
|
|
$3,764
|
|
|
$3,848
|
|
|
(2%)
|
|
|
4%
|
1
|
|
As a result of the planned spin-off of the biopharmaceuticals
business, the company realigned its biosurgery products and services
to the Medical Products segment. Effective January 1, 2015, the
company changed its segment presentation to reflect this new
structure, and recast all prior periods presented to conform to the
new presentation.
|
|
BAXTER INTERNATIONAL INC.
|
Sales by Franchise 1
|
Periods Ending March 31, 2015 and 2014
|
(unaudited)
|
($ in millions)
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Q1
|
|
|
Q1
|
|
|
% Growth @
|
|
|
% Growth @
|
|
|
|
|
|
|
|
|
2015
|
|
|
2014
|
|
|
Actual Rates
|
|
|
Constant Rates
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
BioScience
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Hemophilia 2
|
|
|
|
|
|
|
$641
|
|
|
$675
|
|
|
(5%)
|
|
|
2%
|
Immunoglobulin Therapies 3
|
|
|
|
|
|
|
420
|
|
|
398
|
|
|
6%
|
|
|
9%
|
Inhibitor Therapies 4
|
|
|
|
|
|
|
166
|
|
|
152
|
|
|
9%
|
|
|
18%
|
BioTherapeutics 5
|
|
|
|
|
|
|
134
|
|
|
104
|
|
|
29%
|
|
|
36%
|
Total BioScience
|
|
|
|
|
|
|
$1,361
|
|
|
$1,329
|
|
|
2%
|
|
|
8%
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Medical Products
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Renal 6
|
|
|
|
|
|
|
$913
|
|
|
$991
|
|
|
(8%)
|
|
|
1%
|
Fluid Systems 7
|
|
|
|
|
|
|
493
|
|
|
504
|
|
|
(2%)
|
|
|
3%
|
Integrated Pharmacy Solutions 8
|
|
|
|
|
|
|
564
|
|
|
592
|
|
|
(5%)
|
|
|
1%
|
Surgical Care 9
|
|
|
|
|
|
|
322
|
|
|
322
|
|
|
0%
|
|
|
5%
|
Other 10
|
|
|
|
|
|
|
111
|
|
|
110
|
|
|
1%
|
|
|
6%
|
Total Medical Products
|
|
|
|
|
|
|
$2,403
|
|
|
$2,519
|
|
|
(5%)
|
|
|
2%
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Total Baxter
|
|
|
|
|
|
|
$3,764
|
|
|
$3,848
|
|
|
(2%)
|
|
|
4%
|
1
|
|
Effective January 1, 2015, Baxter has transitioned to a new
commercial franchise structure for reporting net sales. Prior period
net sales have been recast to reflect the new commercial franchise
structure. See Notes 2 - 10 below for a description of each
commercial franchise.
|
|
|
|
2
|
|
Includes sales of the company's recombinant and plasma-derived
hemophilia products (primarily factor VIII and factor IX).
|
|
|
|
3
|
|
Includes sales of the company's antibody-replacement immunoglobulin
therapies.
|
|
|
|
4
|
|
Includes sales of the company's products to treat patients with
congenital hemophilia A or B who have developed inhibitors as well
as patients that have developed acquired hemophilia A due to an
inhibitor.
|
|
|
|
5
|
|
Includes sales of the company's plasma-based therapies to treat
alpha-1 antitrypsin deficiency, burns and shock, and other chronic
and acute blood-related conditions.
|
|
|
|
6
|
|
Includes sales of the company's peritoneal dialysis, hemodialysis
and continuous renal replacement therapies.
|
|
|
|
7
|
|
Includes sales of the company's IV therapies, infusion pumps and
administration sets.
|
|
|
|
8
|
|
Includes sales of the company's premixed and oncology drug
platforms, nutrition products and pharmacy compounding services.
|
|
|
|
9
|
|
Includes sales of the company's anesthesia products as well as
biological products and medical devices used in surgical procedures
for hemostasis, tissue sealing and adhesion prevention. Sales of the
company's biosurgery products and services, previously reported as a
separate franchise in the BioScience segment, have been realigned to
the Medical Products segment. Refer to page 9 for additional details.
|
|
|
|
10
|
|
Includes sales primarily from the company's pharmaceutical
partnering business.
|
|
BAXTER INTERNATIONAL INC.
|
Franchise Sales by U.S. and International 1
|
Periods Ending March 31, 2015 and 2014
|
(unaudited)
|
($ in millions)
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Q1 2015
|
|
|
|
|
|
Q1 2014
|
|
|
|
|
|
% Growth
|
|
|
|
|
|
|
|
U.S.
|
|
International
|
|
Total
|
|
|
|
|
|
U.S.
|
|
International
|
|
Total
|
|
|
|
|
|
U.S.
|
|
International
|
|
Total
|
BioScience
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Hemophilia
|
|
|
|
|
|
$305
|
|
$336
|
|
$641
|
|
|
|
|
|
$297
|
|
$378
|
|
$675
|
|
|
|
|
|
3%
|
|
(11%)
|
|
(5%)
|
Immunoglobulin Therapies
|
|
|
|
|
|
328
|
|
92
|
|
420
|
|
|
|
|
|
307
|
|
91
|
|
398
|
|
|
|
|
|
7%
|
|
1%
|
|
6%
|
Inhibitor Therapies
|
|
|
|
|
|
63
|
|
103
|
|
166
|
|
|
|
|
|
44
|
|
108
|
|
152
|
|
|
|
|
|
43%
|
|
(5%)
|
|
9%
|
BioTherapeutics
|
|
|
|
|
|
59
|
|
75
|
|
134
|
|
|
|
|
|
58
|
|
46
|
|
104
|
|
|
|
|
|
2%
|
|
63%
|
|
29%
|
Total BioScience
|
|
|
|
|
|
$755
|
|
$606
|
|
$1,361
|
|
|
|
|
|
$706
|
|
$623
|
|
$1,329
|
|
|
|
|
|
7%
|
|
(3%)
|
|
2%
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Medical Products
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Renal
|
|
|
|
|
|
$186
|
|
$727
|
|
$913
|
|
|
|
|
|
$180
|
|
$811
|
|
$991
|
|
|
|
|
|
3%
|
|
(10%)
|
|
(8%)
|
Fluid Systems
|
|
|
|
|
|
232
|
|
261
|
|
493
|
|
|
|
|
|
215
|
|
289
|
|
504
|
|
|
|
|
|
8%
|
|
(10%)
|
|
(2%)
|
Integrated Pharmacy Solutions
|
|
|
|
|
|
270
|
|
294
|
|
564
|
|
|
|
|
|
284
|
|
308
|
|
592
|
|
|
|
|
|
(5%)
|
|
(5%)
|
|
(5%)
|
Surgical Care
|
|
|
|
|
|
186
|
|
136
|
|
322
|
|
|
|
|
|
182
|
|
140
|
|
322
|
|
|
|
|
|
2%
|
|
(3%)
|
|
0%
|
Other
|
|
|
|
|
|
71
|
|
40
|
|
111
|
|
|
|
|
|
74
|
|
36
|
|
110
|
|
|
|
|
|
(4%)
|
|
11%
|
|
1%
|
Total Medical Products
|
|
|
|
|
|
$945
|
|
$1,458
|
|
$2,403
|
|
|
|
|
|
$935
|
|
$1,584
|
|
$2,519
|
|
|
|
|
|
1%
|
|
(8%)
|
|
(5%)
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Total Baxter
|
|
|
|
|
|
$1,700
|
|
$2,064
|
|
$3,764
|
|
|
|
|
|
$1,641
|
|
$2,207
|
|
$3,848
|
|
|
|
|
|
4%
|
|
(6%)
|
|
(2%)
|
1
|
|
Effective January 1, 2015, Baxter has transitioned to a new
commercial franchise structure for reporting net sales. Prior period
net sales have been recast to reflect the new commercial franchise
structure. Refer to page 10 for additional details.
|
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|