DEERFIELD, Ill. (AP) -- Baxter International Inc. said Thursday its net income rose 7 percent in the fourth quarter on greater sales of hemophilia and immune drugs and other injectable therapies.
Baxter also said it agreed to buy a late-stage experimental hemophilia drug through a bankruptcy court proceeding. It will pay Inspiration BioPharmaceuticals $50 million upfront for the drug.
Baxter's fourth-quarter net income rose to $494 million, or 89 cents per share, from $463 million, or 82 cents per share. Excluding one-time items related to pension obligations and business optimization costs, Baxter said it earned $1.26 per share.
Revenue rose 4 percent to $3.75 billion from $3.59 billion. The company said sales of bioscience products like its hemophilia treatment Advate and antibody drug Gammagard Liquid rose 7 percent, and sales of products like intravenous and injectable drugs edged up 2 percent.
Analysts expected income of $1.26 per share and $3.72 billion in revenue, according to estimates compiled by FactSet.
The company's 2012 net income rose 5 percent to $2.33 billion, or $4.18 per share, from $2.22 billion, or $3.88 per share, in 2011. Baxter's income totaled $4.53 per share excluding one-time charges. Revenue grew 2 percent to $14.19 billion from $13.89 billion.
In 2013 the company expects net income of $4.60 to $4.70 per share. That estimate excludes special one-time charges, but it does include costs related to Baxter's proposed purchase of dialysis products maker Gambro AB. That deal is expected to reduce Baxter's net income by 10 to 15 cents per share in 2013. Baxter agreed to buy Gambro in December for $2.76 billion, and it expects to close the transaction during the second quarter.
Analysts expect Baxter to report net income of $4.81 per share for 2013.
For the first quarter, Baxter expects to earn between $1.03 and $1.05 per share, while analysts are forecasting $1.09 per share, on average.
Baxter said separately it agreed to acquire a hemophilia drug called OBI-1 and manufacturing operations related to the product. Baxter said OBI-1 is derived from pigs' blood. It is being studied as a treatment for acquired hemophilia A, and for congenital hemophilia A patients who have developed antibodies against certain human-derived treatments. Baxter said acquired hemophilia A is diagnosed in about 1.5 people per million.
While some types of hemophilia affect only males, type A is found in both men and women. The disease is called acquired hemophilia because it is not present from birth and can occur in patients with no family history of hemophilia.
OBI-1 has been designated an orphan drug in the U.S. and the European Union, meaning it will get years of marketing exclusivity if it is approved. U.S. regulators have also agreed to speed up their review of the drug.
In addition to the $50 million upfront payment, Baxter said it could pay another $20 million if it gets marketing approval of OBI-1 in the U.S. and at least one other country. It will make further payments based on additional marketing approvals and if sales of the drug exceed $100 million.
Shares of Baxter rose 93 cents to $67.52 in afternoon trading.
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