NYSE$BAX

Baxter International Inc · Q4 2021 earnings

Q4 2021 earnings · · Investor relations

Briefing

Reported fourth-quarter and full-year results, reflecting growth in sales and earnings per share driven by sustained demand and the acquisition of Hillrom.

Baxter International Inc. reported a 10% increase in fourth-quarter sales, reaching $3.5 billion, and a 42% increase in U.S. GAAP earnings per share to $0.47. The results include 19 days of contribution from Hillrom following its acquisition in December 2021. The company's performance reflects strong demand for its medically essential products and the impact of its ongoing transformation.

  • Fourth-quarter sales increased 10% on a reported basis, 12% on a constant currency basis, and 4% on an operational basis.
  • U.S. GAAP earnings per share (EPS) were $0.47, and adjusted EPS was $1.04 for the fourth quarter.
  • Full-year revenue increased 10% on a reported basis, 7% on a constant currency basis, and 5% on an operational basis.
  • The acquisition of Hillrom is expected to accelerate top- and bottom-line performance and drive innovation in connected care solutions.

Headline financials

Total Revenue

$3.51B

Previous: $3.18B+10.5%
EPS (adj)

$1.04

Previous: $0.80+30.0%
Adjusted Operating Income

$714M

Previous: $563M+26.8%
Adjusted Net Income Attributable to Baxter Stockholders

$525M

Previous: $412M+27.4%
Net Income

$242M

Previous: $168M+44.0%
Operating Income

$383M

Previous: $406M-5.7%
Gross Profit

$1.41B

Previous: $1.19B+18.1%
Cash & Equivalents

$2.95B

Previous: $3.73B-20.9%
Total Assets

$33.5B

Previous: $20B+67.4%
Stock-Based Comp

$53M

Previous: $33M+60.6%

Revenue & EPS history

Baxter · Revenue · Quarterly

$3.51B

Q4 2021+10.5%vs Q4 2020
Beat estimate in 11 of 16 quarters(69%)
ActualEstimate

Revenue by segment

Baxter · $597M total across 2 segments · Q3 2023

  • Pharmaceuticals
    $580M
  • Other
    $17M

Forward guidance

Baxter expects full-year 2022 sales growth of 24% to 25% on a reported basis and adjusted earnings of $4.25 to $4.35 per diluted share. For the first quarter of 2022, the company anticipates sales growth of 24% to 25% on a reported basis and adjusted earnings of $0.79 to $0.82 per diluted share.

Tailwinds

  • Sales growth of 24% to 25% on a reported basis for full-year 2022.
  • Adjusted earnings of $4.25 to $4.35 per diluted share for full-year 2022.
  • Sales growth of 24% to 25% on a reported basis for first-quarter 2022.
  • Adjusted earnings of $0.79 to $0.82 per diluted share for first-quarter 2022.
  • Operational sales growth of approximately 4% for full-year 2022.

Headwinds

  • Hillrom is expected to negatively impact sales growth by (25)% - (26)% in Q1 2022
  • Hillrom is expected to negatively impact sales growth by (22)% - (23)% in FY 2022
  • Foreign exchange is expected to positively impact sales growth by 3% in Q1 2022
  • Foreign exchange is expected to positively impact sales growth by 2% in FY 2022
  • Actual U.S. GAAP earnings per share for the first quarter and full year of 2022 may differ significantly from those amounts.

Historical earnings impact

How earnings announcements have historically affected this stock's price.

Avg. return before/after earnings

Based on 20 quarterly earnings reports · overlaid with Q4 2021

Historical avgQ4 2021

-0.4%

Avg return

Earnings day

-2.0%

Avg return

5 days after

-0.9%

Avg return

30 days after

47%

34 / 72 earnings

Positive

+18.2%

Q4 2019

Best reaction

-16.0%

Q4 2025

Worst reaction

Earnings price reactions
QuarterReport dateReaction (Day 0)+5 days+30 days
Q1 2026+6.1%-0.9%+11.2%
Q4 2025-16.0%-6.9%-21.9%
Q3 2025-14.4%-20.0%-16.4%
Q1 2025-1.6%-4.0%-2.1%
Q4 2024+8.5%+16.6%+7.7%
Q3 2024-5.0%-9.5%-11.8%
Q2 2024+5.6%+7.2%+12.1%
Q1 2024-8.6%-10.5%-15.5%
Q4 2023+0.4%+0.6%+11.1%
Q3 2023+3.6%+4.3%+11.5%
Q2 2023-4.0%-8.1%-15.2%
Q1 2023+3.5%+2.0%-10.4%
Q4 2022-10.4%-12.6%-16.8%
Q3 2022-4.6%-6.7%-2.8%
Q2 2022-12.2%-11.9%-14.4%
Q1 2022-0.0%+1.4%+7.2%
Q4 2021-3.3%-0.8%-7.1%
Q3 2021-3.6%-2.0%-6.9%
Q2 2021-5.6%-6.9%-9.7%
Q1 2021-1.5%+0.5%-5.6%
Q4 2020+0.0%-0.4%+1.0%
Q3 2020-0.7%-1.1%-2.8%
Q2 2020-4.8%-10.6%-5.2%
Q1 2020-4.0%-3.0%-1.6%
Q4 2019+18.2%+5.8%+26.5%
Q3 2019+18.2%+5.8%+26.5%
Q2 2019+1.5%+2.7%+1.3%
Q1 2019-0.1%+0.0%-1.5%
Q4 2018+0.6%+0.5%+5.7%
Q3 2018-8.1%-9.0%-0.2%
Q2 2018-6.3%-5.3%-5.4%
Q1 2018+5.5%+5.5%+9.0%
Q4 2017-4.8%-7.4%-8.0%
Q3 2017+0.9%+0.3%-0.4%
Q2 2017-2.8%-2.6%-0.9%
Q1 2017+4.2%+4.5%+10.2%
Q4 2016+0.5%+0.9%+6.3%
Q3 2016-2.1%-2.6%-3.9%
Q2 2016+4.8%+4.2%+2.2%
Q1 2016+1.3%
Q4 2015+2.6%
Q3 2015+3.7%
Q2 2015+5.0%
Q1 2015+1.1%
Q4 2014+0.2%
Q3 2014-1.6%
Q2 2014-0.1%
Q1 2014-0.4%
Q4 2013-3.0%
Q3 2013-2.3%
Q2 2013+1.3%
Q1 2013-1.6%
Q4 2012+2.1%
Q3 2012+0.0%
Q2 2012+0.1%
Q1 2012-0.4%
Q4 2011+1.8%
Q3 2011+2.8%
Q2 2011-2.7%
Q1 2011+1.7%
Q4 2007-1.2%
Q4 2010-1.2%
Q3 2010+1.2%
Q2 2010+0.3%
Q1 2009+0.9%
Q1 2010-0.8%
Q4 2009-0.3%
Q3 2008-0.8%
Q3 2009-0.8%
Q2 2008+2.2%
Q2 2009+2.2%
Q4 2008+2.2%

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