(Reuters) – Baxter International beat Wall Street expectations for second-quarter sales, helped by higher demand for its medical devices.
An ongoing recovery in demand for non-urgent surgical procedures and easing staffing shortages has helped drive a surge in hospital admissions, boosting demand for medical devices.
Baxter, which manufactures dialysis products and infusion pumps, reported a 2.7% rise in quarterly revenue of $3.85 billion, including discontinued operations.
Analysts on average had expected revenue of $3.80 billion, according to Refinitiv IBES data.
The medical technology company’s discontinued operations include its biopharma solutions unit, which is currently expected to be divested towards the end of the third quarter.
Baxter in May said that a private equity group, which includes Warburg Pincus and Advent International, had agreed to buy its biopharma solutions unit for $4.25 billion.
However, the company said on Thursday the “ultimate timing for the sale is uncertain”. The biopharma solutions unit supports drugmakers in the formulation, development and commercialization of drugs typically given by infusion or injection such as vaccines.
The Deerfield, Illinois-based company said it expects an annual adjusted profit of $2.87-$2.95 per share if the unit sale is completed by September.
Analysts on average were expecting $2.94 per share, according to Refinitiv.
(Reporting by Pratik Jain in Bengaluru; Editing by Maju Samuel)
