Revenue growth remains volatile amidst structural shifts, with gross margins experiencing significant compression from a 38.6% peak in 2024Q1 to 33.0% by 2026Q1.
| Metric | TTM | Dec'25 | Dec'24 | Dec'23 | Dec'22 | Dec'21 | Dec'20 | Dec'19 | Dec'18 | Dec'17 | Dec'16 | Dec'15 | Dec'14 | Dec'13 | Dec'12 | Dec'11 | Dec'10 | Dec'09 | Dec'08 | Dec'07 | Dec'06 | Dec'05 | Dec'04 | Dec'03 | Dec'02 | Dec'01 | Dec'00 | Dec'99 | Dec'98 | Dec'97 | Dec'96 |
|---|
| Sales/Revenue | 11.32B | 11.24B | 10.64B | 10.36B | 10.06B | 12.15B | 11.67B | 11.36B | 11.1B | 10.58B | 10.16B | 9.97B | 10.72B | 9.41B | 13.94B | 13.89B | 12.84B | 12.56B | 12.35B | 11.26B | 10.38B | 9.85B | 9.51B | 8.9B | 8.1B | 7.36B | 6.7B | 6.38B | 5.71B | 5.26B | 5.44B |
| Revenue Growth % | 5.1% | 5.72% | 2.66% | 3.01% | -17.2% | 4.05% | 2.74% | 2.37% | 4.87% | 4.14% | 1.96% | -7.01% | 13.87% | -32.46% | 0.31% | 8.18% | 2.24% | 1.73% | 9.63% | 8.53% | 5.37% | 3.58% | 6.79% | 9.94% | 10.1% | 9.84% | 4.97% | 11.81% | 8.5% | -3.29% | 7.73% |
| Cost of Goods Sold | 7.91B | 7.87B | 6.65B | 6.21B | 6.51B | 7.43B | 7.09B | 6.6B | 6.34B | 6.11B | 6.05B | 5.82B | 6.14B | 5.25B | 6.8B | 6.85B | 6.88B | 6.04B | 6.22B | 5.74B | 5.64B | 5.76B | 5.59B | 4.95B | 4.31B | 3.94B | 3.64B | 3.21B | 2.82B | 2.57B | 2.7B |
| COGS % of Revenue | - | 69.95% | 62.54% | 59.94% | 64.71% | 61.14% | 60.7% | 58.1% | 57.12% | 57.73% | 59.5% | 58.41% | 57.26% | 55.78% | 48.81% | 49.28% | 53.61% | 48.06% | 50.36% | 51% | 54.36% | 58.44% | 58.83% | 55.6% | 53.27% | 53.62% | 54.37% | 50.39% | 49.35% | 48.87% | 49.6% |
| Gross Profit | 3.41B | 3.38B | 3.98B | 4.15B | 3.55B | 4.72B | 4.59B | 4.76B | 4.76B | 4.47B | 4.12B | 4.15B | 4.58B | 4.16B | 7.13B | 7.05B | 5.96B | 6.53B | 6.13B | 5.52B | 4.74B | 4.09B | 3.92B | 3.95B | 3.79B | 3.41B | 3.06B | 3.17B | 2.89B | 2.69B | 2.74B |
| Gross Margin % | 30.11% | 30.05% | 37.46% | 40.06% | 35.29% | 38.86% | 39.3% | 41.9% | 42.88% | 42.27% | 40.5% | 41.59% | 42.74% | 44.22% | 51.19% | 50.72% | 46.39% | 51.94% | 49.64% | 49% | 45.64% | 41.56% | 41.17% | 44.4% | 46.73% | 46.38% | 45.63% | 49.61% | 50.65% | 51.13% | 50.4% |
| Gross Profit Growth % | - | -15.19% | -4% | 16.93% | -24.81% | 2.9% | -3.65% | 0.04% | 6.37% | 8.7% | -0.72% | -9.5% | 10.07% | -41.66% | 1.25% | 18.26% | -8.69% | 6.44% | 11.07% | 16.51% | 15.73% | 4.55% | -0.96% | 4.44% | 10.93% | 11.65% | -3.44% | 9.52% | 7.47% | -1.9% | 6.28% |
| Operating Expenses | 3.71B | 3.69B | 3.97B | 3.44B | 6.39B | 3.37B | 2.97B | 2.99B | 3.17B | 3.19B | 3.37B | 3.7B | 3.92B | 3.67B | 4.31B | 4.1B | 3.82B | 3.65B | 3.57B | 3.35B | 2.9B | 2.45B | 3.02B | 2.69B | 2.26B | 2.19B | 2.02B | 2.02B | 1.88B | 1.8B | 1.83B |
| OpEx % of Revenue | - | 32.79% | 37.33% | 33.23% | 63.58% | 27.75% | 25.45% | 26.31% | 28.61% | 30.1% | 33.17% | 37.09% | 36.62% | 38.95% | 30.95% | 29.51% | 29.76% | 29.04% | 28.88% | 29.75% | 27.91% | 24.92% | 31.76% | 30.27% | 27.86% | 29.76% | 30.19% | 31.58% | 32.86% | 34.27% | 33.65% |
| Selling, General & Admin | 2.92B | 2.89B | 2.97B | 2.95B | 3.1B | 2.85B | 2.47B | 2.54B | 2.62B | 2.63B | 2.73B | 3.09B | 3.31B | 3.08B | 3.28B | 3.15B | 2.91B | 2.73B | 2.7B | 2.52B | 2.28B | 2.03B | 1.96B | 1.8B | 1.57B | 1.44B | 1.33B | 1.31B | 1.21B | 1.15B | 1.14B |
| SG&A % of Revenue | - | 25.7% | 27.9% | 28.5% | 30.79% | 23.42% | 21.15% | 22.31% | 23.61% | 24.82% | 26.81% | 31.04% | 30.93% | 32.76% | 23.56% | 22.7% | 22.63% | 21.74% | 21.85% | 22.38% | 21.99% | 20.61% | 20.61% | 20.27% | 19.34% | 19.58% | 19.86% | 20.55% | 21.17% | 21.77% | 21% |
| Research & Development | 517M | 518M | 590M | 518M | 450M | 531M | 521M | 595M | 654M | 615M | 646M | 603M | 610M | 582M | 1.08B | 946M | 915M | 917M | 868M | 760M | 614M | 533M | 517M | 553M | 501M | 426M | 378M | 332M | 323M | 339M | 340M |
| R&D % of Revenue | - | 4.61% | 5.55% | 5% | 4.47% | 4.37% | 4.46% | 5.24% | 5.89% | 5.81% | 6.36% | 6.05% | 5.69% | 6.18% | 7.76% | 6.81% | 7.12% | 7.3% | 7.03% | 6.75% | 5.92% | 5.41% | 5.44% | 6.21% | 6.19% | 5.79% | 5.64% | 5.2% | 5.66% | 6.45% | 6.25% |
| Other Operating Expenses | -2M | 279M | 413M | -28M | 2.85B | -6M | -19M | -141M | -99M | -56M | 0 | 0 | 0 | 0 | -51M | 0 | 0 | 0 | 0 | 70M | 0 | -109M | 543M | 337M | 189M | 323M | 314M | 372M | 344M | 318M | 348M |
| Operating Income | -300M | -308M | 14M | 707M | -2.85B | 1.35B | 1.62B | 1.77B | 1.58B | 1.29B | 745M | 449M | 656M | 496M | 2.82B | 2.95B | 2.14B | 2.88B | 2.56B | 2.17B | 1.84B | 1.64B | 895M | 1.26B | 1.53B | 1.22B | 1.03B | 1.15B | 1.01B | 887M | 911M |
| Operating Margin % | -2.65% | -2.74% | 0.13% | 6.82% | -28.29% | 11.11% | 13.84% | 15.6% | 14.27% | 12.17% | 7.33% | 4.5% | 6.12% | 5.27% | 20.24% | 21.2% | 16.63% | 22.9% | 20.76% | 19.25% | 17.74% | 16.64% | 9.41% | 14.13% | 18.88% | 16.63% | 15.44% | 18.03% | 17.79% | 16.87% | 16.75% |
| Operating Income Growth % | - | -2300% | -98.02% | 124.85% | -310.74% | -16.46% | -8.8% | 11.87% | 22.98% | 72.89% | 65.92% | -31.55% | 32.26% | -82.42% | -4.24% | 37.92% | -25.76% | 12.21% | 18.27% | 17.76% | 12.32% | 83.13% | -28.86% | -17.72% | 25.02% | 18.28% | -10.09% | 13.3% | 14.43% | -2.63% | 11.92% |
| EBITDA | 671M | 673M | 1.01B | 1.69B | -1.77B | 2.22B | 2.44B | 2.56B | 2.35B | 2.04B | 1.54B | 1.21B | 1.45B | 1.13B | 3.53B | 3.62B | 2.82B | 3.52B | 3.19B | 2.75B | 2.42B | 2.22B | 1.5B | 1.8B | 1.97B | 1.65B | 1.43B | 1.52B | 1.36B | 1.21B | 1.26B |
| EBITDA Margin % | 5.93% | 5.99% | 9.51% | 16.32% | -17.63% | 18.25% | 20.89% | 22.54% | 21.22% | 19.26% | 15.2% | 12.12% | 13.51% | 12.02% | 25.35% | 26.03% | 21.97% | 27.98% | 25.87% | 24.41% | 23.28% | 22.53% | 15.73% | 20.25% | 24.3% | 22.43% | 21.32% | 23.86% | 23.82% | 22.91% | 23.15% |
| EBITDA Growth % | -27.85% | -33.43% | -40.21% | 195.38% | -179.97% | -9.1% | -4.76% | 8.75% | 15.55% | 31.91% | 27.9% | -16.57% | 28.03% | -67.99% | -2.3% | 28.18% | -19.74% | 10.02% | 16.22% | 13.78% | 8.88% | 48.33% | -17.03% | -8.38% | 19.27% | 15.55% | -6.18% | 11.99% | 12.78% | -4.29% | 9.48% |
| D&A (Non-Cash Add-back) | 971M | 981M | 997M | 984M | 1.07B | 867M | 823M | 789M | 771M | 750M | 800M | 759M | 792M | 635M | 712M | 670M | 685M | 638M | 631M | 581M | 575M | 580M | 601M | 545M | 439M | 427M | 394M | 372M | 344M | 318M | 348M |
| EBIT | -227M | -215M | 119M | 750M | -2.83B | 1.32B | 1.45B | 1.08B | 1.71B | 1.19B | 5.04B | 574M | 657M | 530M | 2.95B | 2.9B | 2B | 2.85B | 2.61B | 2.24B | 1.84B | 1.53B | 1.44B | 1.59B | 1.72B | 1.5B | 1.32B | 1.15B | 1.01B | 887M | 911M |
| Net Interest Income | -240M | -238M | -341M | -439M | -394M | -193M | -134M | -71M | -45M | -55M | -66M | -126M | -145M | -128M | -87M | -54M | -87M | -98M | -76M | -22M | -101M | -118M | -99M | -115M | -71M | -108M | -131M | 0 | -193M | 0 | -214M |
| Interest Income | 35M | 52M | 67M | 69M | 19M | 14M | 19M | 40M | 48M | 30M | 23M | 20M | 22M | 27M | 26M | 38M | 28M | 19M | 72M | 102M | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 |
| Interest Expense | 275M | 290M | 408M | 508M | 413M | 207M | 153M | 111M | 93M | 85M | 89M | 146M | 167M | 155M | 113M | 92M | 115M | 117M | 148M | 124M | 101M | 118M | 99M | 115M | 71M | 108M | 131M | 0 | 193M | 0 | 214M |
| Other Income/Expense | -208M | -197M | -303M | -465M | -403M | -234M | -324M | -802M | 33M | -188M | 4.21B | -21M | -166M | -121M | 17M | -137M | -246M | -143M | -102M | -54M | -95M | -195M | -465M | -129M | -143M | -244M | -72M | -98M | -522M | -317M | -118M |
| Pretax Income | -508M | -505M | -289M | 242M | -3.25B | 1.12B | 1.29B | 970M | 1.62B | 1.1B | 4.95B | 428M | 490M | 375M | 2.84B | 2.81B | 1.89B | 2.73B | 2.46B | 2.11B | 1.75B | 1.44B | 430M | 1.13B | 1.39B | 979M | 962M | 1.05B | 493M | 570M | 793M |
| Pretax Margin % | -4.49% | -4.49% | -2.72% | 2.34% | -32.3% | 9.19% | 11.07% | 8.54% | 14.57% | 10.39% | 48.75% | 4.29% | 4.57% | 3.98% | 20.36% | 20.22% | 14.72% | 21.76% | 19.94% | 18.77% | 16.82% | 14.66% | 4.52% | 12.68% | 17.11% | 13.31% | 14.36% | 16.49% | 8.64% | 10.84% | 14.58% |
| Income Tax | 473M | 395M | 37M | 61M | -135M | 83M | 182M | -41M | 65M | 491M | -12M | 35M | 33M | 60M | 555M | 553M | 463M | 519M | 437M | 407M | 348M | 486M | 47M | 222M | 360M | 304M | 208M | 273M | 218M | 199M | 218M |
| Effective Tax Rate % | -93.11% | -78.22% | -12.8% | 25.21% | 4.16% | 7.44% | 14.09% | -4.23% | 4.02% | 44.64% | -0.24% | 8.18% | 6.73% | 16% | 19.56% | 19.69% | 24.5% | 18.98% | 17.75% | 19.25% | 19.93% | 33.66% | 10.93% | 19.66% | 25.97% | 31.05% | 21.62% | 25.95% | 44.22% | 34.91% | 27.49% |
| Net Income | -1.1B | -957M | -649M | 2.66B | -2.43B | 1.28B | 1.1B | 1B | 1.55B | 602M | 4.96B | 968M | 2.5B | 2.01B | 2.33B | 2.22B | 1.42B | 2.21B | 2.01B | 1.71B | 1.4B | 956M | 388M | 866M | 771M | 612M | 740M | 797M | 315M | 300M | 669M |
| Net Margin % | -9.7% | -8.51% | -6.1% | 25.64% | -24.19% | 10.57% | 9.44% | 8.81% | 13.93% | 5.69% | 48.85% | 9.71% | 23.3% | 21.37% | 16.69% | 16.01% | 11.06% | 17.55% | 16.31% | 15.16% | 13.45% | 9.71% | 4.08% | 9.73% | 9.52% | 8.32% | 11.05% | 12.49% | 5.52% | 5.7% | 12.3% |
| Net Income Growth % | -96.07% | -47.46% | -124.44% | 209.17% | -289.49% | 16.52% | 10.09% | -35.25% | 156.81% | -87.88% | 412.91% | -61.23% | 24.11% | -13.5% | 4.59% | 56.62% | -35.6% | 9.48% | 17.98% | 22.28% | 46.03% | 146.39% | -55.2% | 12.32% | 25.98% | -17.3% | -7.15% | 153.02% | 5% | -55.16% | 3.08% |
| Net Income (Continuing) | -981M | -900M | -326M | 181M | -3.11B | 1.03B | 1.11B | 1.01B | 1.55B | 609M | 4.97B | 393M | 457M | 315M | 2.28B | 2.26B | 1.43B | 2.21B | 2.02B | 1.71B | 1.4B | 958M | 383M | 907M | 1.03B | 675M | 754M | 779M | 275M | 371M | 575M |
| Discontinued Operations | 0 | -57M | -312M | 2.48B | 692M | 262M | 0 | 0 | -6M | -7M | -1M | 575M | 2.04B | 1.7B | 43M | 0 | 0 | 0 | 0 | 0 | -1M | -2M | 5M | -24M | -255M | -11M | -14M | 45M | 40M | -71M | 94M |
| Minority Interest | -27M | -27M | 60M | 66M | 62M | 44M | 37M | 30M | 22M | -8M | -10M | 19M | 36M | 23M | 40M | 243M | 229M | 229M | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 |
| EPS (Diluted) | -2.13 | -1.75 | -1.27 | 5.23 | -4.83 | 2.53 | 2.13 | 1.93 | 2.97 | 1.08 | 9.01 | 1.76 | 4.56 | 3.66 | 4.18 | 3.88 | 2.39 | 3.59 | 3.16 | 2.61 | 2.13 | 1.52 | 0.63 | 1.50 | 1.66 | 1.09 | 1.25 | 1.35 | 0.55 | 0.53 | 1.23 |
| EPS Growth % | -92.61% | -37.8% | -124.28% | 208.28% | -290.91% | 18.78% | 10.36% | -35.02% | 175% | -88.01% | 411.93% | -61.4% | 24.59% | -12.44% | 7.73% | 62.34% | -33.43% | 13.61% | 21.07% | 22.54% | 40.13% | 141.27% | -58% | -9.64% | 52.29% | -12.8% | -7.41% | 145.45% | 3.77% | -56.91% | 4.24% |
| EPS (Basic) | - | -1.75 | -1.27 | 5.25 | -4.83 | 2.56 | 2.17 | 1.97 | 3.04 | 1.11 | 9.09 | 1.78 | 4.61 | 3.70 | 4.22 | 3.91 | 2.41 | 3.63 | 3.22 | 2.65 | 2.15 | 1.54 | 0.63 | 1.51 | 1.71 | 1.13 | 1.27 | 1.38 | 0.56 | 0.54 | 1.23 |
| Diluted Shares Outstanding | 515M | 513M | 510M | 506M | 504M | 508M | 517M | 519M | 546M | 555M | 551M | 549M | 547M | 549M | 556M | 573M | 594M | 614M | 637M | 654M | 656M | 629M | 618M | 577.33M | 464.46M | 561.47M | 592M | 590M | 578M | 564M | 552M |
| Basic Shares Outstanding | 515M | 513M | 510M | 506M | 504M | 502M | 509M | 509M | 534M | 543M | 546M | 545M | 542M | 543M | 551M | 569M | 590M | 607M | 625M | 644M | 651M | 622M | 614M | 573.51M | 450.88M | 541.59M | 582.68M | 580M | 568M | 556M | 544M |
| Dividend Payout Ratio | - | - | - | 22.06% | - | 41.28% | 42.92% | 42.26% | 24.32% | 52.33% | 5.4% | 94.01% | 43.85% | 50.84% | 34.57% | 31.88% | 48.45% | 28.66% | 27.11% | 41.24% | - | - | - | - | - | - | - | - | - | - | - |
Portfolio transformation execution risk
According to recent financial disclosures, Baxter's revenue growth has exhibited significant volatility, with quarterly figures fluctuating between a 29.1% contraction in 2024 and an 8.0% expansion by 2025Q4, reflecting the ongoing impact of divestitures and the complex integration of the Hillrom acquisition into core operations.
The inconsistent revenue trajectory suggests that the company is struggling to establish a stable organic growth baseline while navigating the Vantive spin-off. Investors should monitor whether the recent return to positive growth in late 2025 represents a sustainable recovery or merely a temporary stabilization following aggressive portfolio pruning.
As reported in quarterly income statements, Baxter's gross margins have faced substantial pressure, plummeting from a peak of 38.6% in early 2024 to a low of 19.4% in 2025Q4, indicating significant challenges in managing input costs and maintaining pricing power within its medical device segments.
The sharp contraction in gross margins suggests that inflationary pressures on raw materials and logistics are disproportionately impacting the company's high-volume consumable business. This volatility warrants further investigation into whether the current margin profile is a structural impairment or a transient result of supply chain realignment.
Based on reported figures, Baxter's net income has been frequently marred by significant non-operating items and restructuring charges, resulting in erratic EPS performance that swung from a $0.48 profit in 2023Q4 to a $2.16 loss per share by the end of 2025.
The frequent divergence between operating income and net income suggests that the company's underlying earnings power is being masked by persistent transformation costs. Analysts should be wary of relying on headline EPS, as the recurring nature of these charges implies that the company's profitability remains fundamentally strained.
Evidence from recent filings suggests that Baxter's reliance on low-margin consumables, combined with a high fixed-cost base, creates a precarious environment where even minor operational disruptions lead to significant operating margin compression, as evidenced by the negative 2.74% operating margin reported in recent periods.
Short-sellers may focus on the company's inability to scale operating income despite revenue growth, which suggests that the current business model lacks the necessary operating leverage. The ongoing portfolio transformation may not be sufficient to offset the structural headwinds facing the company's legacy product lines.
Quick answers to the most common questions about buying BAX stock.
For fiscal year 2025, Baxter International Inc. (BAX) reported total revenue of $11.24B. This represents a 106.8% increase compared to $5.44B in 1996.
Baxter International Inc. (BAX) reported a net loss of $957.0M for the fiscal year ending 2025.
Baxter International Inc. (BAX) reported an operating income of $-308.0M, resulting in an operating profit margin of -2.7%. This margin reflects the operational efficiency of the business before interest and taxes.
Baxter International Inc. (BAX) generated $3.38B in gross profit for the year, representing a gross profit margin of 30.1%. This demonstrates the company's core pricing power and production efficiency.