#5 Baxter BioScience

One Baxter Parkway Deerfield, IL 60015
Tel: (847) 948-2000 Fax: (847) 948-3642
www.baxter.com

Headcount	46,500 (total company)
Year Established	1931
Biopharma Revenues	$4,649	+6%
Total Revenues	$11,263	+9%
Net Income	$1,707	+22%
R&D Budget	$760	+24%

 

Top Selling Drugs
Drug	Indication	Sales	(+/-%)
Recombinants		$1,714	+13%
Plasma proteins		$1,015	+15%
Antibody therapies		$985	+25%
Regenerative medicine		$346	+16%

Account for 87% of total biopharma sales, up from 79% in 2006.

PROFILE

Baxter BioScience is another beneficiary of my revised Biopharma definition. BioScience is the biggest of Baxter’s three units (the others are Medication Delivery and Renal) and, even though a piece of the BioSciences business comes from hemostatic products rather than strict pharmaceuticals, it’s my list and I’ll cry if I want to. And before you ask, Heparin is marketed by another division (Medication Delivery), so I’m not covering that product and its manufacturing issues in this profile.

Unfortunately, Baxter doesn’t break out BioScience sales by product, instead opting for product categories. The company did point out that Advate, an antihemophilic factor, brought in more than $1.2 billion of sales for the Recombinant line, which had $1.7 billion in total 2007 sales. Baxter is also working with Nektar Therapeutics to develop a long-acting version of its recombinant factor IX, for treatment of hemophilia B.

At this point, vaccines are part of “Other” category revenues, but they could become a major contributor in the next few years. Baxter is working with DynPort Vaccine Co. on Phase III trials for a pair of pandemic flu vaccines, which could bring big government money. Baxter has signed several advance-purchase and stockpiling agreements for an H5N1 vaccine, which it can manufacture with a cell-based technology that whips existing egg-based production times. The company first entered the vaccine field with its purchase of Immuno International in 1997.

The company is working with Halozyme to develop a subcutanaeous delivery route for Gammagard Liquid Immune Globulin, which is currently delivered only by IV infusion. Gammagard is an antibody-replacement therapy to treat immune deficiencies.

Interestingly, Baxter is pursuing a Phase III trial of Gammagard as a treatment for mild-to-moderate Alzheimer’s disease, based on small studies that showed significant improvement in cognitive function. Six-month Phase II results released in April 2008 showed changes in beta- and alpha-amyloid antibody levels in patients’ blood and cerebrospinal fluid. The Phase III trial is co-sponsored by the National Institutes of Health and will tie in 35 U.S. academic centers.

For a new addition to our biopharma ranks with some strongly established lines, Baxter actually has some interesting R&D going on.

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For the full profile, including pipeline and patent information, download the PDF.