Baxter International Inc. (NYSE:BAX) took a hit today after reporting big profit declines for the fourth quarter and full year 2010.
Shares were down nearly 2 percent today after the Deerfield, Ill.-based medical products giant said fourth-quarter profits were down 26.0 percent to $423.0 million, or 72 cents per diluted share, compared with $572.0 million, or 94 cents per share, during Q3 2009. Profits dropped 35.6 percent in 2010 to $1.42 billion, or $2.39 diluted EPS, compared with $2.21 billion, or $3.59 diluted EPS, in 2009.
Fourth-quarter sales were flat at $3.50 billion, compared with $3.47 billion during Q4 2009; full-year sales were $12.84 billion, up 2.2 percent compared with $12.56 billion during the prior year.
Baxter said a slew of charges contributed to its bottom-line woes, including a recall of its Colleague insulin pump, legal expenses and increased sales & marketing and research & development expenses.
Sales are expected to increase between 2 percent and 3 percent this year, the company said, with full-year 2011 diluted EPS of between $4.15 and $4.25.
BAX shares dipped 1.8 percent to $50 this morning.