Health and Healthcare
AbbVie Slides on Top-Line Miss
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AbbVie Inc. (NYSE: ABBV) reported its third-quarter financial results before the markets opened on Friday. The company posted $1.21 in earnings per share (EPS) and $6.43 billion in revenue. The consensus estimates from Thomson Reuters had called for $1.20 in EPS on revenue of $6.56 billion. The same period of last year reportedly had EPS of $1.13 and $5.94 billion in revenue.
Global Humira sales increased 11.3% on a reported basis. Operational Humira sales increased 12.1%, excluding a 0.8% impact from foreign exchange. Humira global revenues totaled $4.06 billion.
At the same time, global Imbruvica net revenue was $501 million, with U.S. sales of $437 million and international profit sharing of $64 million for the quarter.
In terms of the outlook for the full year, the company expects EPS to be in the range of $4.80 to $4.82, compared with the consensus estimates of $4.82 in EPS and $25.85 billion in revenue for the year.
AbbVie is also announcing that its board of directors declared an increase in the company’s quarterly cash dividend to $0.64 per share from $0.57 per share, beginning with the dividend payable on February 15, 2017, to shareholders of record as of January 13, 2017.
Richard A. Gonzalez, board chair and chief executive of AbbVie, commented:
We delivered another strong quarter, with EPS growth ahead of our expectations. Year-to-date, we’ve driven strong commercial, operational and R&D execution, and we have advanced our pipeline and other strategic priorities. AbbVie represents a unique investment opportunity, offering both compelling growth, along with a strong return of capital to investors, including a rapidly growing dividend, which has grown 60 percent since we became an independent company nearly four years ago.
Shares of AbbVie traded down more than 7% to $56.79 Friday morning, with a consensus analyst price target of $71.21 and a 52-week trading range of $50.71 to $68.12.
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