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SEGMENT INFORMATION
 9 Months Ended
Sep. 30, 2023
Segment Reporting [Abstract]  
SEGMENT INFORMATION SEGMENT INFORMATION
Our reportable segments were previously comprised of the following geographic segments related to our legacy Baxter business: Americas (North and South America), EMEA (Europe, Middle East and Africa) and APAC (Asia Pacific), and a global segment for our Hillrom business. In the third quarter of 2023, we completed the implementation of a new operating model intended to simplify and streamline our operations and better align our manufacturing and supply chain to our commercial activities. Our business is comprised of four segments under this new operating model: Medical Products and Therapies, Healthcare Systems and Technologies (formerly referred to as our Hillrom segment), Pharmaceuticals and Kidney Care. Our segments were changed during the third quarter of 2023 to align with our new operating model and prior period segment disclosures have been revised to reflect the new segment presentation.
The Medical Products and Therapies segment includes sales of our sterile IV solutions, infusion systems, administration sets, parenteral nutrition therapies and surgical hemostat, sealant and adhesion prevention products. The Healthcare Systems and Technologies segment includes sales of our connected care solutions and collaboration tools, including smart bed systems, patient monitoring systems and diagnostic technologies, respiratory health devices and advanced equipment for the surgical space, including surgical video technologies, precision positioning devices and other accessories. The Pharmaceuticals segment includes sales of specialty injectable pharmaceuticals, inhaled anesthesia and drug compounding. The Kidney Care segment includes sales of chronic and acute dialysis therapies and services, including peritoneal dialysis, hemodialysis, continuous renal replacement therapies (CRRT) and other organ support therapies. Other sales not allocated to a segment primarily include sales of products and services provided directly through certain of our manufacturing facilities and royalty income under a business development arrangement that ended in early 2023 when we acquired the related product rights.
Disaggregation of Net Sales
The following tables present our U.S. and International disaggregated net sales. Intersegment sales are eliminated in consolidation.
Three Months Ended September 30,
20232022
(in millions)U.S.InternationalTotalU.S.InternationalTotal
Infusion Therapies and Technologies
$570 $433 $1,003 $567 $389 $956 
Advanced Surgery
139 116 255 141 106 247 
Medical Products and Therapies709 549 1,258 708 495 1,203 
Care and Connectivity Solutions
317 126 443 339 117 456 
Front Line Care
234 67 301 209 70 279 
Healthcare Systems and Technologies
551 193 744 548 187 735 
Injectables and Anesthesia
195 156 351 173 152 325 
Drug Compounding— 229 229 — 200 200 
Pharmaceuticals195 385 580 173 352 525 
Chronic Therapies1
233 688 921 236 698 934 
Acute Therapies1
66 122 188 57 109 166 
Kidney Care299 810 1,109 293 807 1,100 
Other1
12 5 17 36 10 46 
Total Baxter$1,766 $1,942 $3,708 $1,758 $1,851 $3,609 
Nine Months Ended September 30,
20232022
(in millions)U.S.InternationalTotalU.S.InternationalTotal
Infusion Therapies and Technologies
$1,654 $1,264 $2,918 $1,672 $1,157 $2,829 
Advanced Surgery
433 340 773 428 310 738 
Medical Products and Therapies2,087 1,604 3,691 2,100 1,467 3,567 
Care and Connectivity Solutions
926 381 1,307 991 359 1,350 
Front Line Care
681 230 911 618 237 855 
Healthcare Systems and Technologies
1,607 611 2,218 1,609 596 2,205 
Injectables and Anesthesia
550 437 987 494 467 961 
Drug Compounding— 665 665 — 613 613 
Pharmaceuticals550 1,102 1,652 494 1,080 1,574 
Chronic Therapies1
689 2,041 2,730 675 2,069 2,744 
Acute Therapies1
194 370 564 194 348 542 
Kidney Care883 2,411 3,294 869 2,417 3,286 
Other1
56 17 73 98 31 129 
Total Baxter$5,183 $5,745 $10,928 $5,170 $5,591 $10,761 
1In connection with our segment change in the third quarter of 2023, we made the following reclassifications of prior period sales amounts to conform to the current period presentation. We reclassified $16 million of sales from the first half of 2023 and $8 million and $23 million for the three and nine months ended September 30, 2022, respectively, from Chronic Therapies to Acute Therapies. Additionally, in connection with the reclassification of our BPS business to discontinued operations during the second quarter of 2023, we reclassified $2 million of contract manufacturing revenues from the first quarter of 2023 and $8 million and $26 million for the three and nine months ended September 30, 2022, respectively, from BPS to Other (within continuing operations), as the related manufacturing facility was not part of that divestiture transaction.
Geographic Sales Information
Our net sales are attributed to the following geographic regions based on the location of the customer.
Three Months Ended
September 30,		Nine Months Ended
September 30,
2023202220232022
United States$1,766 $1,758 $5,183 $5,170 
Emerging markets1
852 820 2,447 2,355 
Rest of world2
1,090 1,031 3,298 3,236 
Total Baxter$3,708 $3,609 $10,928 $10,761 
1 Emerging markets include sales from our operations in Eastern Europe, the Middle East, Africa, Latin America and Asia (except for Japan).
2 Rest of world includes sales from our operations in Western Europe, Canada, Japan, Australia and New Zealand.
Segment Operating Income
We use segment operating income to evaluate the performance of our segments and to make resource allocation decisions. Segment operating income represents income before income taxes, interest and other non-operating income or expense, unallocated corporate costs, intangible asset amortization and other special items. Special items, which are presented below in our reconciliations of segment operating income to income (loss) from continuing operations before income taxes, are excluded from segment operating income because they are highly variable, difficult to predict and of a size that may substantially impact our reported results of operations for the period.
Under our new operating model, most global functional support costs, overhead costs and other shared costs that benefit our segments are allocated to those segments. Corporate costs that are not allocated to our segments, as well as any differences between actual corporate costs and the amounts allocated to our segments, are presented as
unallocated corporate costs. The following table presents our segment operating income and reconciliations of segment operating income to income (loss) from continuing operations before income taxes.
Three months ended
September 30,		Nine months ended
September 30,
(in millions)2023202220232022
Medical Products and Therapies$245 $257 $706 $703 
Healthcare Systems and Technologies115 108 327 367 
Pharmaceuticals108 82 284 295 
Kidney Care96 103 208 307 
Other6 17 19 52 
Total570 567 1,544 1,724 
Unallocated corporate costs(5)1 (51)(41)
Intangible asset amortization expense(162)(168)(481)(578)
Long-lived asset impairments(267)(332)(267)(332)
Legal matters(13)— (13)— 
Goodwill impairments— (2,785)— (2,785)
Business optimization items(81)(73)(508)(196)
Acquisition and integration items(2)(4)(2)(193)
Loss on product divestiture arrangement— (54)— (54)
Separation-related costs(77)— (123)— 
European Medical Devices Regulation(14)(12)(38)(35)
Product-related items— (20)— (43)
Total operating income (loss)(51)(2,880)61 (2,533)
Interest expense, net128 104 369 278 
Other (income) expense, net(7)61 33 1 
Loss from continuing operations before income taxes$(172)$(3,045)$(341)$(2,812)
Our chief operating decision maker does not receive any asset information by operating segment and, accordingly, we do not report asset information by operating segment.