Baxter on the Hunt for New CEO Amid Restructuring and Growth Plans

Following a turbulent year marked by restructuring, asset sales, and hurricane-related disruptions, Baxter is searching for a new CEO to lead its next phase of innovation and growth. Interim CEO Brent Shafer emphasized that recent strategic moves—including the $3.8 billion sale of its Vantive kidney care business and a $4.25 billion divestiture of its biopharma solutions unit—have streamlined operations, reduced debt, and positioned the company for profitability. Despite a $649 million net loss in 2024, Baxter ended the year on a strong note with better-than-expected sales performance, leading to an 8.5% stock price surge.

With manufacturing back to full capacity at its North Cove facility after Hurricane Helene-related shutdowns, Baxter projects 5% to 6% sales growth in 2025. The company is balancing organic expansion with potential tuck-in acquisitions while navigating global trade uncertainties, including tariffs in China. CFO Joel Grade highlighted Baxter’s improved financial flexibility after repaying $3 billion in debt from its 2021 Hillrom acquisition. The CEO search, considering both internal and external candidates, is moving swiftly to ensure continued stability and strategic execution.