Baxter International Shares Climb Despite Q1 Net Loss as FY26 Guidance Holds

Baxter International (BAX) reported a net loss attributable to shareholders for the first quarter of 2026, marking a downturn from the profitability recorded in the same period last year. The company posted a loss of $15 million, or $0.03 per share, compared to a net income of $126 million, or $0.25 per share, in the prior-year quarter. The financial results reflect a period of structural transition following the divestiture of Baxter's Kidney Care business in January 2025. When excluding specific items, adjusted income from continuing operations for the quarter was $0.37 per share, down from $0.62 per share a year ago. On the top line, worldwide net sales grew 3% to $2.70 billion, up from $2.63 billion in the first quarter of the previous year. However, the company noted a 1% decline in sales on an organic basis. Despite the quarterly loss, Baxter reiterated its fiscal 2026 projections. The company continues to project adjusted earnings from continuing operations in a range of $1.85 to $2.05 per share. Reported sales growth from continuing operations is expected to be flat to 1%, with organic sales growth remaining flat. Investors reacted positively to the reiterated guidance and the stability of continuing operations. In Thursday's pre-market trading, BAX shares on the NYSE rose 4.47%, trading at $17.66, an increase of $0.75.