Internal Probe Reveals Baxter Overstated Annual Income
In October 2019, Baxter (NYSE: BAX) warned shareholders that it found an accounting error in its past financial filings, something that would require an internal investigation. On late Thursday, investors found out the preliminary results of the internal probe looking into the matter, which revealed that the company had significantly overstated its income between 2016 and the first half of 2019.
The healthcare product maker stated in an official Securities and Exchange Commission (SEC) filing that over the past four years, it overstated its income by $276 million due to foreign exchange trading practices that weren't GAAP (generally accepted accounting principles) compliant. Baxter expects to refile its financial statements during the period that these errors were recorded.
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Source Fool.com
