DEERFIELD (dpa-AFX) - Baxter International Inc. (BAX) increased its financial outlook for 2016 including sales growth of approximately 2 percent on a reported basis or 4 percent on a constant currency basis, and earnings from continuing operations, before special items, of $1.88 to $1.91 per share for the full year. Previous guidance called for reported sales of 1 to 2 percent (or 3 to 4 percent constant currency) and earnings of $1.69 to $1.74 per share. Analysts polled by Thomson Reuters expect the company to report profit per share of $1.72. Analysts' estimates typically exclude special items.
For the fourth quarter, the company expects sales growth of approximately 2 percent on both a reported and constant currency basis. Baxter expects earnings from continuing operations, before special items, of $0.49 to $0.52 per share for the fourth quarter of 2016. Analysts polled by Thomson Reuters expect the company to report profit per share of $0.46.
Third-quarter income from continuing operations was $127 million, or $0.23 per share, on a GAAP basis. These results included net after-tax special items totaling $184 million, primarily related to business optimization initiatives, intangible asset amortization, debt extinguishment and Baxalta related spin-off costs. On an adjusted basis, excluding special items, Baxter's third quarter income from continuing operations totaled $311 million, or $0.56 per share.
Baxter's third quarter worldwide sales totaled $2.6 billion, an increase of 3 percent on a reported basis and 4 percent on a constant currency basis as compared to the prior-year period.
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