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Baxter Intl: 1Q24 Results Preview

HEALTHCARE

Baxter Intl (BAX: Baa2/BBB *neg /BBB-): 1Q24 Preview


Baxter purchased Hillrom for $12.4bn in 2021 and has been struggling with high levels of debt ever since. Fitch cut the credit to BBB- in Jan ’24 in spite of the plan to spin-off Vantive (Renal Care) in Jul ’24. S&P have the credit on Neg Outlook. Renal care accounts for around 30% of sales so its divestment will leave Baxter with less diversification of revenue. The market will want to see progress on debt reduction and will wait for management comments regarding Vantive.

  • Revenue expected $3.6bn
  • EBITDA expected $646m
  • Net Debt expected $10.3bn

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