- Sales of $10.1 billion driven
by strong underlying base business performance
- Reported sales decreased 2.6 percent due to anticipated
decline in COVID-19 testing-related sales versus prior
year
- Organic sales growth for underlying base business of 13.8
percent, reflects double-digit growth in each of the four major
businesses
ABBOTT
PARK, Ill., Oct. 18,
2023 /PRNewswire/ -- Abbott (NYSE: ABT) today
announced financial results for the third quarter ended
Sept. 30, 2023.
- Third-quarter GAAP diluted EPS of $0.82 and adjusted diluted EPS of $1.14, which excludes specified items.
- Abbott narrowed its full-year 2023 EPS guidance range. Abbott
projects full-year diluted EPS on a GAAP basis of $3.14 to $3.18 and
projects adjusted diluted EPS of $4.42 to $4.46,
which represents an increase at the midpoint of the guidance
range.
- Abbott continues to project full-year 2023 organic sales
growth, excluding COVID-19 testing-related sales1, to be
in the low double-digits2.
- In July, Abbott obtained CE Mark for its AVEIR™
single-chamber leadless pacemaker for treating patients with slow
heart rhythms. Unlike traditional pacemakers, leadless pacemakers
do not require an incision in the chest to implant or leads (wires)
to deliver therapy.
- In September, Abbott acquired Bigfoot Biomedical, a leader in
developing insulin management systems, furthering Abbott's efforts
to develop connected solutions for making diabetes management even
more personal and precise.
- In September, Abbott expanded its existing collaboration with
global biotech leader mAbxience Holdings S.L. to commercialize
several biosimilar molecules, with the goal of broadening access to
these therapies for people in emerging markets.
- In September, Abbott published an analysis showing a
complementary relationship between the company's FreeStyle
Libre® continuous glucose monitoring system and GLP-1
medications. The analysis also showed that a growing number of
people are using these tools together to support behavior change to
optimize the treatment of diabetes and improve overall health.
"The investments we made during the pandemic continue to drive
broad-based growth across our underlying base business," said
Robert B. Ford, chairman and chief
executive officer, Abbott. "We're on track to deliver on the
financial commitments we set at the beginning of the year, and the
momentum we're building across the portfolio positions us well as
we head into 2024."
THIRD-QUARTER BUSINESS OVERVIEW
Management believes
that measuring sales growth rates on an organic basis, which
excludes the impact of foreign exchange, the impact of exiting the
pediatric nutrition business in China, and the impact of the acquisition of
Cardiovascular Systems, Inc. (CSI), is an appropriate way for
investors to best understand the core underlying performance of the
business. Management further believes that measuring sales growth
rates on an organic basis excluding COVID-19 tests is an
appropriate way for investors to best understand underlying base
business performance as the COVID-19 pandemic has shifted to an
endemic state, resulting in significantly lower demand for COVID-19
tests.
Note: In order to compute results excluding the impact of
exchange rates, current year U.S. dollar sales are multiplied or
divided, as appropriate, by the current year average foreign
exchange rates and then those amounts are multiplied or divided, as
appropriate, by the prior year average foreign exchange
rates.
Third Quarter 2023
Results (3Q23)
|
|
Sales 3Q23 ($ in
millions)
|
Total
Company
|
|
Nutrition
|
|
Diagnostics
|
|
Established
Pharmaceuticals
|
|
Medical
Devices
|
U.S.
|
3,817
|
|
860
|
|
1,013
|
|
—
|
|
1,940
|
International
|
6,326
|
|
1,213
|
|
1,436
|
|
1,368
|
|
2,309
|
Total
reported
|
10,143
|
|
2,073
|
|
2,449
|
|
1,368
|
|
4,249
|
|
|
|
|
|
|
|
|
|
|
% Change vs.
3Q22
|
|
|
|
|
|
|
|
|
|
U.S.
|
(6.8)
|
|
25.4
|
|
(40.8)
|
|
n/a
|
|
14.6
|
International
|
0.2
|
|
9.3
|
|
(25.6)
|
|
3.2
|
|
18.4
|
Total
reported
|
(2.6)
|
|
15.5
|
|
(32.7)
|
|
3.2
|
|
16.6
|
Impact of foreign
exchange
|
(1.4)
|
|
(1.4)
|
|
(0.8)
|
|
(7.9)
|
|
0.6
|
Impact of CSI
acquisition
|
0.5
|
|
—
|
|
—
|
|
—
|
|
1.3
|
Impact of business
exit
|
(0.2)
|
|
(1.2)
|
|
—
|
|
—
|
|
—
|
Organic
|
(1.5)
|
|
18.1
|
|
(31.9)
|
|
11.1
|
|
14.7
|
Impact of COVID-19
testing sales (3)
|
(15.3)
|
|
—
|
|
(42.0)
|
|
—
|
|
—
|
Organic (excluding
COVID-19 tests)
|
13.8
|
|
18.1
|
|
10.1
|
|
11.1
|
|
14.7
|
|
|
|
|
|
|
|
|
|
|
U.S.
|
15.3
|
|
25.4
|
|
13.7
|
|
n/a
|
|
11.8
|
International
|
13.0
|
|
13.4
|
|
8.2
|
|
11.1
|
|
17.1
|
First Nine Months
2023 Results (9M23)
|
|
Sales 9M23 ($ in
millions)
|
Total
Company
|
|
Nutrition
|
|
Diagnostics
|
|
Established
Pharmaceuticals
|
|
Medical
Devices
|
U.S.
|
11,503
|
|
2,553
|
|
3,309
|
|
—
|
|
5,631
|
International
|
18,365
|
|
3,563
|
|
4,145
|
|
3,844
|
|
6,813
|
Total
reported
|
29,868
|
|
6,116
|
|
7,454
|
|
3,844
|
|
12,444
|
|
|
|
|
|
|
|
|
|
|
% Change vs.
9M22
|
|
|
|
|
|
|
|
|
|
U.S.
|
(17.4)
|
|
20.2
|
|
(51.8)
|
|
n/a
|
|
14.3
|
International
|
(6.5)
|
|
1.3
|
|
(34.5)
|
|
4.0
|
|
11.8
|
Total
reported
|
(11.0)
|
|
8.4
|
|
(43.5)
|
|
4.0
|
|
12.9
|
Impact of foreign
exchange
|
(2.4)
|
|
(2.8)
|
|
(1.4)
|
|
(7.6)
|
|
(1.7)
|
Impact of CSI
acquisition
|
0.3
|
|
—
|
|
—
|
|
—
|
|
0.8
|
Impact of business
exit
|
(0.2)
|
|
(1.5)
|
|
—
|
|
—
|
|
—
|
Organic
|
(8.7)
|
|
12.7
|
|
(42.1)
|
|
11.6
|
|
13.8
|
Impact of COVID-19
testing sales (3)
|
(20.5)
|
|
—
|
|
(49.3)
|
|
—
|
|
—
|
Organic (excluding
COVID-19 tests)
|
11.8
|
|
12.7
|
|
7.2
|
|
11.6
|
|
13.8
|
|
|
|
|
|
|
|
|
|
|
U.S.
|
12.9
|
|
20.2
|
|
6.3
|
|
n/a
|
|
12.6
|
International
|
11.2
|
|
8.0
|
|
7.7
|
|
11.6
|
|
14.8
|
Refer to table titled "Non-GAAP Revenue Reconciliation" for a
reconciliation of adjusted historical revenue to reported
revenue.
Nutrition
|
|
Third Quarter 2023
Results (3Q23)
|
|
Sales 3Q23 ($ in
millions)
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Total
|
|
Pediatric
|
|
Adult
|
U.S.
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
860
|
|
506
|
|
354
|
International
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
1,213
|
|
495
|
|
718
|
Total
reported
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
2,073
|
|
1,001
|
|
1,072
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
% Change vs.
3Q22
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
U.S.
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
25.4
|
|
41.8
|
|
7.7
|
International
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
9.3
|
|
5.1
|
|
12.4
|
Total
reported
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
15.5
|
|
20.9
|
|
10.8
|
Impact of foreign
exchange
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
(1.4)
|
|
(1.4)
|
|
(1.6)
|
Impact of business
exit
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
(1.2)
|
|
(2.6)
|
|
—
|
Organic
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
18.1
|
|
24.9
|
|
12.4
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
U.S.
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
25.4
|
|
41.8
|
|
7.7
|
International
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
13.4
|
|
11.5
|
|
14.8
|
Worldwide Nutrition sales increased 15.5 percent on a reported
basis and 18.1 percent on an organic basis in the third quarter.
Refer to table titled "Non-GAAP Revenue Reconciliation" for a
reconciliation of adjusted historical revenue to reported
revenue.
In Pediatric Nutrition, global sales increased 20.9 percent on a
reported basis and 24.9 percent on an organic basis. In the U.S.,
sales growth of 41.8 percent was primarily driven by continued
market share recovery in the infant formula business following a
voluntary recall of certain products last year.
In Adult Nutrition, global sales increased 10.8 percent on a
reported basis and 12.4 percent on an organic basis, which was led
by strong global growth of Ensure®, Abbott's
market-leading complete and balanced nutrition brand.
First Nine Months
2023 Results (9M23)
|
|
Sales 9M23 ($ in
millions)
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Total
|
|
Pediatric
|
|
Adult
|
U.S.
|
|
|
|
|
|
|
|
|
|
|
|
|
|
2,553
|
|
1,472
|
|
1,081
|
International
|
|
|
|
|
|
|
|
|
|
|
|
|
|
3,563
|
|
1,477
|
|
2,086
|
Total
reported
|
|
|
|
|
|
|
|
|
|
|
|
|
|
6,116
|
|
2,949
|
|
3,167
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
% Change vs.
9M22
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
U.S.
|
|
|
|
|
|
|
|
|
|
|
|
|
|
20.2
|
|
32.8
|
|
6.4
|
International
|
|
|
|
|
|
|
|
|
|
|
|
|
|
1.3
|
|
(0.9)
|
|
2.9
|
Total
reported
|
|
|
|
|
|
|
|
|
|
|
|
|
|
8.4
|
|
13.5
|
|
4.1
|
Impact of foreign
exchange
|
|
|
|
|
|
|
|
|
|
|
|
|
|
(2.8)
|
|
(2.1)
|
|
(3.3)
|
Impact of business
exit
|
|
|
|
|
|
|
|
|
|
|
|
|
|
(1.5)
|
|
(3.5)
|
|
—
|
Organic
|
|
|
|
|
|
|
|
|
|
|
|
|
|
12.7
|
|
19.1
|
|
7.4
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
U.S.
|
|
|
|
|
|
|
|
|
|
|
|
|
|
20.2
|
|
32.8
|
|
6.4
|
International
|
|
|
|
|
|
|
|
|
|
|
|
|
|
8.0
|
|
8.1
|
|
7.9
|
Diagnostics
|
|
Third Quarter 2023
Results (3Q23)
|
|
Sales 3Q23 ($ in
millions)
|
Total
|
|
Core
Laboratory
|
|
Molecular
|
|
Point of
Care
|
|
Rapid
Diagnostics
*
|
U.S.
|
1,013
|
|
317
|
|
38
|
|
97
|
|
561
|
International
|
1,436
|
|
997
|
|
95
|
|
43
|
|
301
|
Total
reported
|
2,449
|
|
1,314
|
|
133
|
|
140
|
|
862
|
|
|
|
|
|
|
|
|
|
|
% Change vs.
3Q22
|
|
|
|
|
|
|
|
|
|
U.S.
|
(40.8)
|
|
12.7
|
|
(42.0)
|
|
5.7
|
|
(55.9)
|
International
|
(25.6)
|
|
6.3
|
|
(19.9)
|
|
21.8
|
|
(64.1)
|
Total
reported
|
(32.7)
|
|
7.8
|
|
(27.8)
|
|
10.2
|
|
(59.2)
|
Impact of foreign
exchange
|
(0.8)
|
|
(1.9)
|
|
(0.3)
|
|
0.4
|
|
(0.3)
|
Organic
|
(31.9)
|
|
9.7
|
|
(27.5)
|
|
9.8
|
|
(58.9)
|
Impact of COVID-19
testing sales (3)
|
(42.0)
|
|
(0.7)
|
|
(23.9)
|
|
—
|
|
(72.0)
|
Organic (excluding
COVID-19 tests)
|
10.1
|
|
10.4
|
|
(3.6)
|
|
9.8
|
|
13.1
|
|
|
|
|
|
|
|
|
|
|
U.S.
|
13.7
|
|
13.4
|
|
(15.9)
|
|
5.7
|
|
20.1
|
International
|
8.2
|
|
9.5
|
|
1.7
|
|
20.4
|
|
2.9
|
As expected, Diagnostics sales growth in the third quarter was
negatively impacted by year-over-year declines in COVID-19
testing-related sales3. Worldwide COVID-19 testing sales
were $305 million in the third
quarter of 2023 compared to $1.671
billion in the third quarter of the prior year.
Excluding COVID-19 testing-related sales, global Diagnostics
sales increased 8.8 percent on a reported basis and 10.1 percent on
an organic basis.
First Nine Months
2023 Results (9M23)
|
|
Sales 9M23 ($ in
millions)
|
Total
|
|
Core
Laboratory
|
|
Molecular
|
|
Point of
Care
|
|
Rapid
Diagnostics
*
|
U.S.
|
3,309
|
|
917
|
|
128
|
|
289
|
|
1,975
|
International
|
4,145
|
|
2,872
|
|
293
|
|
127
|
|
853
|
Total
reported
|
7,454
|
|
3,789
|
|
421
|
|
416
|
|
2,828
|
|
|
|
|
|
|
|
|
|
|
% Change vs.
9M22
|
|
|
|
|
|
|
|
|
|
U.S.
|
(51.8)
|
|
9.7
|
|
(58.7)
|
|
1.9
|
|
(63.7)
|
International
|
(34.5)
|
|
3.0
|
|
(42.2)
|
|
14.6
|
|
(70.8)
|
Total
reported
|
(43.5)
|
|
4.6
|
|
(48.4)
|
|
5.5
|
|
(66.2)
|
Impact of foreign
exchange
|
(1.4)
|
|
(3.5)
|
|
(0.9)
|
|
(0.4)
|
|
(0.6)
|
Organic
|
(42.1)
|
|
8.1
|
|
(47.5)
|
|
5.9
|
|
(65.6)
|
Impact of COVID-19
testing sales (3)
|
(49.3)
|
|
(1.1)
|
|
(36.2)
|
|
—
|
|
(73.8)
|
Organic (excluding
COVID-19 tests)
|
7.2
|
|
9.2
|
|
(11.3)
|
|
5.9
|
|
8.2
|
|
|
|
|
|
|
|
|
|
|
U.S.
|
6.3
|
|
10.6
|
|
(19.5)
|
|
1.9
|
|
7.7
|
International
|
7.7
|
|
8.8
|
|
(7.7)
|
|
16.0
|
|
9.0
|
|
*The Acelis
Connected Health business was internally transferred from Rapid
Diagnostics to Heart Failure on January 1, 2023. As a result, $30
million of sales in the third quarter of 2022 and $87 million in
the first nine months of 2022 were moved from Rapid Diagnostics to
Heart Failure.
|
Established
Pharmaceuticals
|
|
Third Quarter 2023
Results (3Q23)
|
|
Sales 3Q23 ($ in
millions)
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Total
|
|
Key
Emerging
Markets
|
|
Other
|
U.S.
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
—
|
|
—
|
|
—
|
International
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
1,368
|
|
987
|
|
381
|
Total
reported
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
1,368
|
|
987
|
|
381
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
% Change vs.
3Q22
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
U.S.
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
n/a
|
|
n/a
|
|
n/a
|
International
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
3.2
|
|
(1.4)
|
|
17.2
|
Total
reported
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
3.2
|
|
(1.4)
|
|
17.2
|
Impact of foreign
exchange
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
(7.9)
|
|
(10.2)
|
|
(1.2)
|
Organic
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
11.1
|
|
8.8
|
|
18.4
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
U.S.
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
n/a
|
|
n/a
|
|
n/a
|
International
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
11.1
|
|
8.8
|
|
18.4
|
Established Pharmaceuticals sales increased 3.2 percent on a
reported basis and 11.1 percent on an organic basis in the third
quarter.
Key Emerging Markets include several emerging countries that
represent the most attractive long-term growth opportunities for
Abbott's branded generics product portfolio. Sales in these
geographies decreased 1.4 percent on a reported basis and increased
8.8 percent on an organic basis, led by growth in several
geographies and therapeutic areas, including cardiometabolic,
women's health, and central nervous system/pain management.
First Nine Months
2023 Results (9M23)
|
|
Sales 9M23 ($ in
millions)
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Total
|
|
Key
Emerging
Markets
|
|
Other
|
U.S.
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
—
|
|
—
|
|
—
|
International
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
3,844
|
|
2,889
|
|
955
|
Total
reported
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
3,844
|
|
2,889
|
|
955
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
% Change vs.
9M22
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
U.S.
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
n/a
|
|
n/a
|
|
n/a
|
International
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
4.0
|
|
1.3
|
|
13.2
|
Total
reported
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
4.0
|
|
1.3
|
|
13.2
|
Impact of foreign
exchange
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
(7.6)
|
|
(8.7)
|
|
(3.9)
|
Organic
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
11.6
|
|
10.0
|
|
17.1
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
U.S.
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
n/a
|
|
n/a
|
|
n/a
|
International
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
11.6
|
|
10.0
|
|
17.1
|
Medical
Devices
|
|
Third Quarter 2023
Results (3Q23)
|
|
Sales 3Q23 ($ in
millions)
|
Total
|
|
Rhythm
Management
|
|
Electro-
physiology
|
|
Heart
Failure
*
|
|
Vascular
|
|
Structural
Heart
|
|
Neuro-
modulation
|
|
Diabetes
Care
|
U.S.
|
1,940
|
|
271
|
|
246
|
|
217
|
|
251
|
|
223
|
|
188
|
|
544
|
International
|
2,309
|
|
292
|
|
298
|
|
67
|
|
421
|
|
264
|
|
39
|
|
928
|
Total
reported
|
4,249
|
|
563
|
|
544
|
|
284
|
|
672
|
|
487
|
|
227
|
|
1,472
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
% Change vs.
3Q22
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
U.S.
|
14.6
|
|
3.7
|
|
9.1
|
|
5.0
|
|
17.5
|
|
7.6
|
|
20.9
|
|
28.5
|
International
|
18.4
|
|
8.2
|
|
22.5
|
|
30.9
|
|
7.3
|
|
23.8
|
|
7.4
|
|
24.8
|
Total
reported
|
16.6
|
|
6.0
|
|
16.0
|
|
10.2
|
|
10.9
|
|
15.8
|
|
18.3
|
|
26.2
|
Impact of foreign
exchange
|
0.6
|
|
0.2
|
|
(0.8)
|
|
1.0
|
|
0.2
|
|
1.1
|
|
(0.5)
|
|
1.7
|
Impact of CSI
acquisition
|
1.3
|
|
—
|
|
—
|
|
—
|
|
7.9
|
|
—
|
|
—
|
|
—
|
Organic
|
14.7
|
|
5.8
|
|
16.8
|
|
9.2
|
|
2.8
|
|
14.7
|
|
18.8
|
|
24.5
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
U.S.
|
11.8
|
|
3.7
|
|
9.1
|
|
5.0
|
|
(4.1)
|
|
7.6
|
|
20.9
|
|
28.5
|
International
|
17.1
|
|
7.8
|
|
24.0
|
|
26.3
|
|
6.5
|
|
21.6
|
|
9.9
|
|
22.3
|
Worldwide Medical Devices sales increased 16.6 percent on a
reported basis and 14.7 percent on an organic basis in the third
quarter. Sales growth was led by double-digit organic growth in
Diabetes Care, Electrophysiology, Structural Heart, and
Neuromodulation. Several recently launched products and new
indications contributed to the strong performance, including
Amplatzer® Amulet®, Navitor®,
TriClip®, and AVEIR.
In Electrophysiology, internationally, sales grew more than 20
percent on a reported and organic basis, which includes mid-teens
growth in Europe.
In Diabetes Care, FreeStyle Libre sales were $1.4 billion, which represents sales growth of
30.5 percent on a reported basis and 28.5 percent on an organic
basis.
First Nine Months
2023 Results (9M23)
|
|
Sales 9M23 ($ in
millions)
|
Total
|
|
Rhythm
Management
|
|
Electro-
physiology
|
|
Heart
Failure
*
|
|
Vascular
|
|
Structural
Heart
|
|
Neuro-
modulation
|
|
Diabetes
Care
|
U.S.
|
5,631
|
|
800
|
|
729
|
|
661
|
|
733
|
|
652
|
|
528
|
|
1,528
|
International
|
6,813
|
|
873
|
|
873
|
|
199
|
|
1,271
|
|
794
|
|
122
|
|
2,681
|
Total
reported
|
12,444
|
|
1,673
|
|
1,602
|
|
860
|
|
2,004
|
|
1,446
|
|
650
|
|
4,209
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
% Change vs.
9M22
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
U.S.
|
14.3
|
|
3.4
|
|
9.3
|
|
8.3
|
|
12.7
|
|
7.9
|
|
15.8
|
|
31.1
|
International
|
11.8
|
|
5.1
|
|
13.0
|
|
19.2
|
|
3.5
|
|
19.1
|
|
8.5
|
|
15.6
|
Total
reported
|
12.9
|
|
4.3
|
|
11.3
|
|
10.7
|
|
6.7
|
|
13.8
|
|
14.4
|
|
20.8
|
Impact of foreign
exchange
|
(1.7)
|
|
(1.7)
|
|
(2.8)
|
|
(0.2)
|
|
(2.1)
|
|
(1.5)
|
|
(1.1)
|
|
(1.5)
|
Impact of CSI
acquisition
|
0.8
|
|
—
|
|
—
|
|
—
|
|
4.9
|
|
—
|
|
—
|
|
—
|
Organic
|
13.8
|
|
6.0
|
|
14.1
|
|
10.9
|
|
3.9
|
|
15.3
|
|
15.5
|
|
22.3
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
U.S.
|
12.6
|
|
3.4
|
|
9.3
|
|
8.3
|
|
(0.5)
|
|
7.9
|
|
15.8
|
|
31.1
|
International
|
14.8
|
|
8.6
|
|
18.3
|
|
20.1
|
|
6.2
|
|
21.9
|
|
14.1
|
|
17.9
|
|
*The Acelis
Connected Health business was internally transferred from Rapid
Diagnostics to Heart Failure on January 1, 2023. As a result, $30
million of sales in the third quarter of 2022 and $87 million in
the first nine months of 2022 were moved from Rapid Diagnostics to
Heart Failure.
|
ABBOTT'S EARNINGS-PER-SHARE GUIDANCE
Abbott projects
full-year 2023 diluted earnings per share under GAAP of
$3.14 to $3.18. Abbott forecasts specified items for the
full-year 2023 of $1.28 per share
primarily related to intangible amortization, costs associated with
acquisitions, restructuring and cost reduction initiatives and
other net expenses. Excluding specified items, projected adjusted
diluted earnings per share would be $4.42 to $4.46 for
the full-year 2023.
ABBOTT DECLARES 399TH CONSECUTIVE QUARTERLY
DIVIDEND
On Sept. 21, 2023,
the board of directors of Abbott declared the company's quarterly
dividend of $0.51 per share. Abbott's
cash dividend is payable Nov. 15,
2023, to shareholders of record at the close of business on
Oct. 13, 2023.
Abbott has increased its dividend payout for 51 consecutive
years and is a member of the S&P 500 Dividend Aristocrats
Index, which tracks companies that have annually increased their
dividend for at least 25 consecutive years.
About Abbott:
Abbott is a global healthcare leader that helps people live more
fully at all stages of life. Our portfolio of life-changing
technologies spans the spectrum of healthcare, with leading
businesses and products in diagnostics, medical devices,
nutritionals and branded generic medicines. Our 115,000 colleagues
serve people in more than 160 countries.
Connect with us at www.abbott.com, on LinkedIn at
www.linkedin.com/company/abbott-/, on Facebook at
www.facebook.com/Abbott and on Twitter @AbbottNews.
Abbott will live-webcast its third-quarter earnings conference
call through its Investor Relations website at
www.abbottinvestor.com at 8 a.m. Central
time today. An archived edition of the webcast will be
available later in the day.
— Private Securities Litigation Reform Act of
1995 —
A Caution Concerning Forward-Looking
Statements
Some statements in this news release may be forward-looking
statements for purposes of the Private Securities Litigation Reform
Act of 1995. Abbott cautions that these forward-looking statements
are subject to risks and uncertainties that may cause actual
results to differ materially from those indicated in the
forward-looking statements. Economic, competitive, governmental,
technological and other factors that may affect Abbott's operations
are discussed in Item 1A, "Risk Factors" in our Annual Report on
Form 10-K for the year ended December 31,
2022, and are incorporated herein by reference. Abbott
undertakes no obligation to release publicly any revisions to
forward-looking statements as a result of subsequent events or
developments, except as required by law.
1
|
For the full-year 2022,
COVID-19 testing-related sales were $8.368 billion and total
worldwide sales were $43.653 billion. For the full-year 2023,
Abbott projects COVID-19 testing-related sales of approximately
$1.5 billion.
|
|
|
2
|
Abbott has not provided
the related GAAP financial measure for organic sales growth,
excluding COVID-19 testing-related sales, on a forward-looking
basis because the company is unable to predict the impact of
foreign exchange due to the unpredictability of future changes in
foreign exchange rates, which could significantly impact reported
sales growth.
|
|
|
3
|
Diagnostic sales and
COVID-19 testing-related sales in 2023 and 2022 are summarized
below:
|
|
Sales
3Q23
|
|
|
COVID Tests Sales
3Q23
|
($ in
millions)
|
U.S.
|
|
Int'l
|
|
Total
|
|
|
U.S.
|
|
Int'l
|
|
Total
|
Total
Diagnostics
|
1,013
|
|
1,436
|
|
2,449
|
|
|
207
|
|
98
|
|
305
|
Core
Laboratory
|
317
|
|
997
|
|
1,314
|
|
|
2
|
|
3
|
|
5
|
Molecular
|
38
|
|
95
|
|
133
|
|
|
5
|
|
3
|
|
8
|
Rapid
Diagnostics
|
561
|
|
301
|
|
862
|
|
|
200
|
|
92
|
|
292
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Sales
3Q22
|
|
|
COVID Tests Sales
3Q22
|
($ in
millions)
|
U.S.
|
|
Int'l
|
|
Total
|
|
|
U.S.
|
|
Int'l
|
|
Total
|
Total
Diagnostics
|
1,711
|
|
1,930
|
|
3,641
|
|
|
1,002
|
|
669
|
|
1,671
|
Core
Laboratory
|
281
|
|
938
|
|
1,219
|
|
|
4
|
|
7
|
|
11
|
Molecular
|
65
|
|
118
|
|
183
|
|
|
26
|
|
28
|
|
54
|
Rapid
Diagnostics
|
1,273
|
|
839
|
|
2,112
|
|
|
972
|
|
634
|
|
1,606
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Sales
9M23
|
|
|
COVID Tests Sales
9M23
|
($ in
millions)
|
U.S.
|
|
Int'l
|
|
Total
|
|
|
U.S.
|
|
Int'l
|
|
Total
|
Total
Diagnostics
|
3,309
|
|
4,145
|
|
7,454
|
|
|
1,031
|
|
267
|
|
1,298
|
Core
Laboratory
|
917
|
|
2,872
|
|
3,789
|
|
|
6
|
|
10
|
|
16
|
Molecular
|
128
|
|
293
|
|
421
|
|
|
19
|
|
17
|
|
36
|
Rapid
Diagnostics
|
1,975
|
|
853
|
|
2,828
|
|
|
1,006
|
|
240
|
|
1,246
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Sales
9M22
|
|
|
COVID Tests Sales
9M22
|
($ in
millions)
|
U.S.
|
|
Int'l
|
|
Total
|
|
|
U.S.
|
|
Int'l
|
|
Total
|
Total
Diagnostics
|
6,864
|
|
6,328
|
|
13,192
|
|
|
4,722
|
|
2,577
|
|
7,299
|
Core
Laboratory
|
836
|
|
2,788
|
|
3,624
|
|
|
12
|
|
39
|
|
51
|
Molecular
|
308
|
|
507
|
|
815
|
|
|
174
|
|
201
|
|
375
|
Rapid
Diagnostics
|
5,436
|
|
2,923
|
|
8,359
|
|
|
4,536
|
|
2,337
|
|
6,873
|
Abbott Laboratories and
Subsidiaries
Condensed Consolidated
Statement of Earnings
Third Quarter Ended
September 30, 2023 and 2022
(in millions, except
per share data)
(unaudited)
|
|
|
|
|
3Q23
|
|
3Q22
|
|
%
Change
|
|
Net Sales
|
$10,143
|
|
$10,410
|
|
(2.6)
|
|
|
|
|
|
|
|
|
Cost of products sold,
excluding amortization expense
|
4,605
|
|
4,629
|
|
(0.5)
|
|
Amortization of
intangible assets
|
496
|
|
498
|
|
(0.4)
|
|
Research and
development
|
672
|
|
782
|
|
(14.0)
|
|
Selling, general, and
administrative
|
2,723
|
|
2,731
|
|
(0.3)
|
|
Total Operating Cost
and Expenses
|
8,496
|
|
8,640
|
|
(1.7)
|
|
|
|
|
|
|
|
|
Operating
Earnings
|
1,647
|
|
1,770
|
|
(7.0)
|
|
|
|
|
|
|
|
|
Interest expense,
net
|
69
|
|
86
|
|
(20.9)
|
|
Net foreign exchange
(gain) loss
|
(10)
|
|
19
|
|
n/m
|
|
Other (income)
expense, net
|
(83)
|
|
(93)
|
|
(10.8)
|
|
Earnings before
taxes
|
1,671
|
|
1,758
|
|
(4.9)
|
|
Taxes on
earnings
|
235
|
|
323
|
|
(27.4)
|
|
|
|
|
|
|
|
|
Net
Earnings
|
$1,436
|
|
$1,435
|
|
0.1
|
|
|
|
|
|
|
|
|
Net Earnings excluding
Specified Items, as described below
|
$2,000
|
|
$2,036
|
|
(1.8)
|
1)
|
|
|
|
|
|
|
|
Diluted Earnings per
Common Share
|
$0.82
|
|
$0.81
|
|
1.2
|
|
|
|
|
|
|
|
|
Diluted Earnings per
Common Share,
excluding Specified
Items, as described below
|
$1.14
|
|
$1.15
|
|
(0.9)
|
1)
|
|
|
|
|
|
|
|
Average Number of
Common Shares Outstanding
Plus Dilutive Common
Stock Options
|
1,748
|
|
1,764
|
|
|
|
|
NOTES:
|
See table tilted
"Non-GAAP Reconciliation of Financial Information" for an
explanation of certain non-GAAP financial information.
|
n/m = Percent change is
not meaningful.
|
See footnotes on the
following page.
|
|
|
1)
|
2023 Net Earnings and
Diluted Earnings per Common Share, excluding Specified Items,
excludes net after-tax charges of $564 million, or $0.32 per share,
for intangible amortization, charges related to restructuring and
cost reduction initiatives, expenses associated with acquisitions
and other net expenses.
|
|
|
|
2022 Net Earnings and
Diluted Earnings per Common Share, excluding Specified Items,
excludes net after-tax charges of $601 million, or $0.34 per share,
for intangible amortization, charges related to the impairment of
R&D intangible assets, expenses associated with acquisitions,
restructuring and cost reduction initiatives and other net
expenses.
|
Abbott Laboratories and
Subsidiaries
Condensed Consolidated
Statement of Earnings
Nine Months Ended
September 30, 2023 and 2022
(in millions, except
per share data)
(unaudited)
|
|
|
|
|
9M23
|
|
9M22
|
|
%
Change
|
|
Net Sales
|
$29,868
|
|
$33,562
|
|
(11.0)
|
|
|
|
|
|
|
|
|
Cost of products sold,
excluding amortization expense
|
13,419
|
|
14,549
|
|
(7.8)
|
|
Amortization of
intangible assets
|
1,485
|
|
1,517
|
|
(2.1)
|
|
Research and
development
|
2,041
|
|
2,163
|
|
(5.6)
|
|
Selling, general, and
administrative
|
8,225
|
|
8,275
|
|
(0.6)
|
|
Total Operating Cost
and Expenses
|
25,170
|
|
26,504
|
|
(5.0)
|
|
|
|
|
|
|
|
|
Operating
Earnings
|
4,698
|
|
7,058
|
|
(33.4)
|
|
|
|
|
|
|
|
|
Interest expense,
net
|
182
|
|
309
|
|
(41.3)
|
|
Net foreign exchange
(gain) loss
|
17
|
|
16
|
|
5.0
|
|
Other (income)
expense, net
|
(370)
|
|
(253)
|
|
46.2
|
|
Earnings before
taxes
|
4,869
|
|
6,986
|
|
(30.3)
|
|
Taxes on
earnings
|
740
|
|
1,086
|
|
(31.9)
|
1)
|
|
|
|
|
|
|
|
Net
Earnings
|
$4,129
|
|
$5,900
|
|
(30.0)
|
|
|
|
|
|
|
|
|
Net Earnings excluding
Specified Items, as described below
|
$5,708
|
|
$7,655
|
|
(25.4)
|
2)
|
|
|
|
|
|
|
|
Diluted Earnings per
Common Share
|
$2.35
|
|
$3.32
|
|
(29.2)
|
|
|
|
|
|
|
|
|
Diluted Earnings per
Common Share,
excluding Specified
Items, as described below
|
$3.25
|
|
$4.31
|
|
(24.6)
|
2)
|
|
|
|
|
|
|
|
Average Number of
Common Shares Outstanding
Plus Dilutive Common
Stock Options
|
1,750
|
|
1,768
|
|
|
|
|
NOTES:
|
See table tilted
"Non-GAAP Reconciliation of Financial Information" for an
explanation of certain non-GAAP financial information.
|
n/m = Percent change is
not meaningful.
|
See footnotes on the
following page.
|
|
|
1)
|
2023 Taxes on Earnings
includes the recognition of approximately $59 million of net tax
expense as a result of the resolution of various tax positions
related to prior years.
|
|
|
|
2022 Taxes on Earnings
includes the recognition of approximately $20 million of net tax
expense as a result of the resolution of various tax positions
related to prior years and approximately $36 million in excess tax
benefits associated with share-based compensation.
|
|
|
2)
|
2023 Net Earnings and
Diluted Earnings per Common Share, excluding Specified Items,
excludes net after-tax charges of $1.579 billion, or $0.90 per
share, for intangible amortization, charges related to
restructuring and cost reduction initiatives, expenses associated
with acquisitions and other net expenses.
|
|
|
|
2022 Net Earnings and
Diluted Earnings per Common Share, excluding Specified Items,
excludes net after-tax charges of $1.755 billion, or $0.99 per
share, for intangible amortization, charges related to a voluntary
recall and the impairment of R&D intangible assets,
acquisition-related costs and other net expenses.
|
Abbott Laboratories and
Subsidiaries
Non-GAAP Reconciliation
of Financial Information
Third Quarter Ended
September 30, 2023 and 2022
(in millions, except
per share data)
(unaudited)
|
|
|
3Q23
|
|
As
Reported
(GAAP)
|
|
Specified
Items
|
|
As
Adjusted
|
|
|
|
|
|
|
Intangible
Amortization
|
$
496
|
|
$
(496)
|
|
$
—
|
Gross
Margin
|
5,042
|
|
542
|
|
5,584
|
R&D
|
672
|
|
(46)
|
|
626
|
SG&A
|
2,723
|
|
(43)
|
|
2,680
|
Other (income)
expense, net
|
(83)
|
|
(23)
|
|
(106)
|
Earnings before
taxes
|
1,671
|
|
654
|
|
2,325
|
Taxes on
Earnings
|
235
|
|
90
|
|
325
|
Net
Earnings
|
1,436
|
|
564
|
|
2,000
|
Diluted Earnings per
Share
|
$
0.82
|
|
$
0.32
|
|
$
1.14
|
Specified items reflect intangible amortization expense of
$496 million and other net expenses
of $158 million associated with
restructuring actions, costs associated with acquisitions and other
net expenses. See table titled "Details of Specified
Items" for additional details regarding specified items.
|
3Q22
|
|
As
Reported
(GAAP)
|
|
Specified
Items
|
|
As
Adjusted
|
|
|
|
|
|
|
Intangible
Amortization
|
$
498
|
|
$
(498)
|
|
$
—
|
Gross
Margin
|
5,283
|
|
540
|
|
5,823
|
R&D
|
782
|
|
(146)
|
|
636
|
SG&A
|
2,731
|
|
(39)
|
|
2,692
|
Other (income)
expense, net
|
(93)
|
|
(4)
|
|
(97)
|
Earnings before
taxes
|
1,758
|
|
729
|
|
2,487
|
Taxes on
Earnings
|
323
|
|
128
|
|
451
|
Net
Earnings
|
1,435
|
|
601
|
|
2,036
|
Diluted Earnings per
Share
|
$
0.81
|
|
$
0.34
|
|
$
1.15
|
Specified items reflect intangible amortization expense of
$498 million and other net expenses
of $231 million associated with the
impairment of R&D intangible assets, costs associated with
acquisitions and other expenses. See table titled "Details of
Specified Items" for additional details regarding specified
items.
Abbott Laboratories and
Subsidiaries
Non-GAAP Reconciliation
of Financial Information
Nine Months Ended
September 30, 2023 and 2022
(in millions, except
per share data)
(unaudited)
|
|
|
9M23
|
|
As
Reported
(GAAP)
|
|
Specified
Items
|
|
As
Adjusted
|
|
|
|
|
|
|
Intangible
Amortization
|
$
1,485
|
|
$
(1,485)
|
|
$
—
|
Gross
Margin
|
14,964
|
|
1,591
|
|
16,555
|
R&D
|
2,041
|
|
(144)
|
|
1,897
|
SG&A
|
8,225
|
|
(67)
|
|
8,158
|
Other (income)
expense, net
|
(370)
|
|
34
|
|
(336)
|
Earnings before
taxes
|
4,869
|
|
1,768
|
|
6,637
|
Taxes on
Earnings
|
740
|
|
189
|
|
929
|
Net
Earnings
|
4,129
|
|
1,579
|
|
5,708
|
Diluted Earnings per
Share
|
$
2.35
|
|
$
0.90
|
|
$
3.25
|
Specified items reflect intangible amortization expense of
$1.485 billion and other net expenses
of $283 million associated with
restructuring actions, costs associated with acquisitions and other
expenses. See table titled "Details of Specified Items" for
additional details regarding specified items.
|
9M22
|
|
As
Reported
(GAAP)
|
|
Specified
Items
|
|
As
Adjusted
|
|
|
|
|
|
|
Intangible
Amortization
|
$
1,517
|
|
$
(1,517)
|
|
$
—
|
Gross
Margin
|
17,496
|
|
1,739
|
|
19,235
|
R&D
|
2,163
|
|
(211)
|
|
1,952
|
SG&A
|
8,275
|
|
(92)
|
|
8,183
|
Other (income)
expense, net
|
(253)
|
|
(31)
|
|
(284)
|
Earnings before
taxes
|
6,986
|
|
2,073
|
|
9,059
|
Taxes on
Earnings
|
1,086
|
|
318
|
|
1,404
|
Net
Earnings
|
5,900
|
|
1,755
|
|
7,655
|
Diluted Earnings per
Share
|
$
3.32
|
|
$
0.99
|
|
$
4.31
|
Specified items reflect intangible amortization expense of
$1.517 billion and other net expenses
of $556 million that includes charges
for the impairment of R&D intangible assets, costs associated
with a product recall, acquisition-related costs, and other net
expenses. See table titled "Details of Specified Items" for
additional details regarding specified items.
A reconciliation of the third-quarter tax rates for 2023 and
2022 is shown below:
|
3Q23
|
|
($ in
millions)
|
Pre-Tax
Income
|
|
Taxes
on
Earnings
|
|
Tax
Rate
|
|
As reported
(GAAP)
|
$
1,671
|
|
$
235
|
|
14.0 %
|
|
Specified
items
|
654
|
|
90
|
|
|
|
Excluding specified
items
|
$
2,325
|
|
$
325
|
|
14.0 %
|
|
|
|
|
|
|
|
|
|
3Q22
|
|
($ in
millions)
|
Pre-Tax
Income
|
|
Taxes
on
Earnings
|
|
Tax
Rate
|
|
As reported
(GAAP)
|
$
1,758
|
|
$
323
|
|
18.4 %
|
|
Specified
items
|
729
|
|
128
|
|
|
|
Excluding specified
items
|
$
2,487
|
|
$
451
|
|
18.1 %
|
|
A reconciliation of the year-to-date tax rates for 2023 and 2022
is shown below:
|
9M23
|
|
($ in
millions)
|
Pre-Tax
Income
|
|
Taxes
on
Earnings
|
|
Tax
Rate
|
|
As reported
(GAAP)
|
$
4,869
|
|
$
740
|
|
15.2 %
|
1)
|
Specified
items
|
1,768
|
|
189
|
|
|
|
Excluding specified
items
|
$
6,637
|
|
$
929
|
|
14.0 %
|
|
|
|
|
|
|
|
|
|
9M22
|
|
($ in
millions)
|
Pre-Tax
Income
|
|
Taxes
on
Earnings
|
|
Tax
Rate
|
|
As reported
(GAAP)
|
$
6,986
|
|
$
1,086
|
|
15.6 %
|
2)
|
Specified
items
|
2,073
|
|
318
|
|
|
|
Excluding specified
items
|
$
9,059
|
|
$
1,404
|
|
15.5 %
|
|
1)
|
2023 Taxes on Earnings
includes the recognition of approximately $59 million of net tax
expense as a result of the resolution of various tax positions
related to prior years.
|
|
|
2)
|
2022 Taxes on Earnings
includes the recognition of approximately $20 million of net tax
expense as a result of the resolution of various tax positions
related to prior years and approximately $36 million in excess tax
benefits associated with share-based compensation.
|
Abbott Laboratories and
Subsidiaries
Non-GAAP Revenue
Reconciliation
Third Quarter and Nine
Months Ended September 30, 2023 and 2022
($ in
millions)
(unaudited)
|
|
|
|
3Q23
|
|
3Q22
|
|
% Change vs.
3Q22
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Non-GAAP
|
|
|
Abbott
Reported
|
Impact
of CSI
acquisition
(a)
|
Impact from
business
exit (b)
|
Adjusted
Revenue
|
|
Abbott
Reported
|
Impact from
business
exit (b)
|
Adjusted
Revenue
|
|
Reported
|
|
Adjusted
|
Organic
|
Total
Company
|
|
10,143
|
(47)
|
(4)
|
10,092
|
|
10,410
|
(21)
|
10,389
|
|
(2.6)
|
|
(2.9)
|
(1.5)
|
U.S.
|
|
3,817
|
(46)
|
—
|
3,771
|
|
4,094
|
—
|
4,094
|
|
(6.8)
|
|
(7.9)
|
(7.9)
|
Intl
|
|
6,326
|
(1)
|
(4)
|
6,321
|
|
6,316
|
(21)
|
6,295
|
|
0.2
|
|
0.4
|
2.6
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Total
Nutrition
|
|
2,073
|
—
|
(4)
|
2,069
|
|
1,795
|
(21)
|
1,774
|
|
15.5
|
|
16.7
|
18.1
|
U.S.
|
|
860
|
—
|
—
|
860
|
|
686
|
—
|
686
|
|
25.4
|
|
25.4
|
25.4
|
Intl
|
|
1,213
|
—
|
(4)
|
1,209
|
|
1,109
|
(21)
|
1,088
|
|
9.3
|
|
11.0
|
13.4
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Pediatric
Nutrition
|
|
1,001
|
—
|
(4)
|
997
|
|
827
|
(21)
|
806
|
|
20.9
|
|
23.5
|
24.9
|
U.S.
|
|
506
|
—
|
—
|
506
|
|
357
|
—
|
357
|
|
41.8
|
|
41.8
|
41.8
|
Intl
|
|
495
|
—
|
(4)
|
491
|
|
470
|
(21)
|
449
|
|
5.1
|
|
9.1
|
11.5
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Total Medical
Devices
|
|
4,249
|
(47)
|
—
|
4,202
|
|
3,645
|
—
|
3,645
|
|
16.6
|
|
15.3
|
14.7
|
U.S.
|
|
1,940
|
(46)
|
—
|
1,894
|
|
1,694
|
—
|
1,694
|
|
14.6
|
|
11.8
|
11.8
|
Intl
|
|
2,309
|
(1)
|
—
|
2,308
|
|
1,951
|
—
|
1,951
|
|
18.4
|
|
18.4
|
17.1
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Vascular
|
|
672
|
(47)
|
—
|
625
|
|
606
|
—
|
606
|
|
10.9
|
|
3.0
|
2.8
|
U.S.
|
|
251
|
(46)
|
—
|
205
|
|
213
|
—
|
213
|
|
17.5
|
|
(4.1)
|
(4.1)
|
Intl
|
|
421
|
(1)
|
—
|
420
|
|
393
|
—
|
393
|
|
7.3
|
|
6.9
|
6.5
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
9M23
|
|
9M22
|
|
% Change vs.
9M22
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Non-GAAP
|
|
|
Abbott
Reported
|
Impact
of CSI
acquisition (a)
|
Impact from
business
exit (b)
|
Adjusted
Revenue
|
|
Abbott
Reported
|
Impact from
business
exit (b)
|
Adjusted
Revenue
|
|
Reported
|
|
Adjusted
|
Organic
|
Total
Company
|
|
29,868
|
(90)
|
(41)
|
29,737
|
|
33,562
|
(112)
|
33,450
|
|
(11.0)
|
|
(11.1)
|
(8.7)
|
U.S.
|
|
11,503
|
(85)
|
—
|
11,418
|
|
13,923
|
—
|
13,923
|
|
(17.4)
|
|
(18.0)
|
(18.0)
|
Intl
|
|
18,365
|
(5)
|
(41)
|
18,319
|
|
19,639
|
(112)
|
19,527
|
|
(6.5)
|
|
(6.2)
|
(2.0)
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Total
Nutrition
|
|
6,116
|
—
|
(41)
|
6,075
|
|
5,642
|
(112)
|
5,530
|
|
8.4
|
|
9.9
|
12.7
|
U.S.
|
|
2,553
|
—
|
—
|
2,553
|
|
2,124
|
—
|
2,124
|
|
20.2
|
|
20.2
|
20.2
|
Intl
|
|
3,563
|
—
|
(41)
|
3,522
|
|
3,518
|
(112)
|
3,406
|
|
1.3
|
|
3.4
|
8.0
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Pediatric
Nutrition
|
|
2,949
|
—
|
(41)
|
2,908
|
|
2,599
|
(112)
|
2,487
|
|
13.5
|
|
17.0
|
19.1
|
U.S.
|
|
1,472
|
—
|
—
|
1,472
|
|
1,108
|
—
|
1,108
|
|
32.8
|
|
32.8
|
32.8
|
Intl
|
|
1,477
|
—
|
(41)
|
1,436
|
|
1,491
|
(112)
|
1,379
|
|
(0.9)
|
|
4.2
|
8.1
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Total Medical
Devices
|
|
12,444
|
(90)
|
—
|
12,354
|
|
11,024
|
—
|
11,024
|
|
12.9
|
|
12.1
|
13.8
|
U.S.
|
|
5,631
|
(85)
|
—
|
5,546
|
|
4,927
|
—
|
4,927
|
|
14.3
|
|
12.6
|
12.6
|
Intl
|
|
6,813
|
(5)
|
—
|
6,808
|
|
6,097
|
—
|
6,097
|
|
11.8
|
|
11.7
|
14.8
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Vascular
|
|
2,004
|
(90)
|
—
|
1,914
|
|
1,878
|
—
|
1,878
|
|
6.7
|
|
1.8
|
3.9
|
U.S.
|
|
733
|
(85)
|
—
|
648
|
|
650
|
—
|
650
|
|
12.7
|
|
(0.5)
|
(0.5)
|
Intl
|
|
1,271
|
(5)
|
—
|
1,266
|
|
1,228
|
—
|
1,228
|
|
3.5
|
|
3.1
|
6.2
|
|
|
(a)
|
Reflects the impact of
the acquisition of Cardiovascular Systems, Inc. (CSI) on April 27,
2023.
|
(b)
|
Reflects the impact of
exiting the pediatric nutrition business in China. This action was
initiated in December 2022.
|
Abbott Laboratories and
Subsidiaries
Details of Specified
Items
Third Quarter Ended
September 30, 2023
(in millions, except
per share data)
(unaudited)
|
|
|
Acquisition
or
Divestiture-
related (a)
|
|
Restructuring
and Cost
Reduction
Initiatives
(b)
|
|
Intangible
Amortization
|
|
Other (c)
|
|
Total
Specifieds
|
Gross Margin
|
$
3
|
|
$
19
|
|
$
496
|
|
$
24
|
|
$
542
|
R&D
|
(1)
|
|
(13)
|
|
—
|
|
(32)
|
|
(46)
|
SG&A
|
(22)
|
|
(22)
|
|
—
|
|
1
|
|
(43)
|
Other (income) expense,
net
|
5
|
|
—
|
|
—
|
|
(28)
|
|
(23)
|
Earnings before
taxes
|
$
21
|
|
$
54
|
|
$
496
|
|
$
83
|
|
654
|
Taxes on Earnings
(d)
|
|
|
|
|
|
|
|
|
90
|
Net Earnings
|
|
|
|
|
|
|
|
|
$
564
|
Diluted Earnings per
Share
|
|
|
|
|
|
|
|
|
$
0.32
|
|
The table above
provides additional details regarding the specified items described
on tables titled "Non-GAAP Reconciliation of Financial
Information".
|
a)
|
Acquisition-related
expenses include integration costs, which represent incremental
costs directly related to integrating acquired businesses, as well
as legal and other costs related to business
acquisitions.
|
b)
|
Restructuring and cost
reduction initiative expenses include severance, outplacement and
other direct costs associated with specific restructuring plans and
cost reduction initiatives.
|
c)
|
Other includes
incremental costs to comply with the European Union's Medical
Device Regulations (MDR) and In Vitro Diagnostics Medical Device
Regulations (IVDR) requirements for previously approved products
and charges for intangible asset impairments.
|
d)
|
Reflects the net tax
benefit associated with the specified items.
|
Abbott Laboratories and
Subsidiaries
Details of Specified
Items
Third Quarter Ended
September 30, 2022
(in millions, except
per share data)
(unaudited)
|
|
|
Acquisition
or
Divestiture-
related (a)
|
|
Restructuring
and Cost
Reduction
Initiatives
(b)
|
|
Intangible
Amortization
|
|
Other (c)
|
|
Total
Specifieds
|
Gross Margin
|
$
15
|
|
$
11
|
|
$
498
|
|
$
16
|
|
$
540
|
R&D
|
(3)
|
|
(3)
|
|
—
|
|
(140)
|
|
(146)
|
SG&A
|
(13)
|
|
(5)
|
|
—
|
|
(21)
|
|
(39)
|
Other (income) expense,
net
|
(4)
|
|
—
|
|
—
|
|
—
|
|
(4)
|
Earnings before
taxes
|
$
35
|
|
$
19
|
|
$
498
|
|
$
177
|
|
729
|
Taxes on Earnings
(d)
|
|
|
|
|
|
|
|
|
128
|
Net Earnings
|
|
|
|
|
|
|
|
|
$
601
|
Diluted Earnings per
Share
|
|
|
|
|
|
|
|
|
$
0.34
|
|
|
|
The table above
provides additional details regarding the specified items described
on tables titled "Non-GAAP Reconciliation of Financial
Information".
|
|
a)
|
Acquisition-related
expenses include integration costs, which represent incremental
costs directly related to integrating the acquired businesses and
include expenditures for the integration of systems, processes and
business activities.
|
|
b)
|
Restructuring and cost
reduction initiative expenses include severance, outplacement, and
other direct costs associated with specific restructuring plans and
cost reduction initiatives.
|
|
c)
|
Other includes charges
related to an impairment of R&D intangible assets acquired in a
business combination, incremental costs to comply with the European
Union's Medical Device (MDR) and In Vitro Diagnostics Medical
Device (IVDR) Regulations for previously approved products and
costs related to certain litigation.
|
|
d)
|
Reflects the net tax
benefit associated with the specified items.
|
Abbott Laboratories and
Subsidiaries
Details of Specified
Items
Nine Months Ended
September 30, 2023
(in millions, except
per share data)
(unaudited)
|
|
|
Acquisition
or
Divestiture-
related (a)
|
|
Restructuring
and Cost
Reduction
Initiatives
(b)
|
|
Intangible
Amortization
|
|
Other (c)
|
|
Total
Specifieds
|
Gross Margin
|
$
15
|
|
$
51
|
|
$
1,485
|
|
$
40
|
|
$
1,591
|
R&D
|
(13)
|
|
(5)
|
|
—
|
|
(126)
|
|
(144)
|
SG&A
|
(43)
|
|
(28)
|
|
—
|
|
4
|
|
(67)
|
Other (income) expense,
net
|
46
|
|
—
|
|
—
|
|
(12)
|
|
34
|
Earnings before
taxes
|
$
25
|
|
$
84
|
|
$
1,485
|
|
$
174
|
|
1,768
|
Taxes on Earnings
(d)
|
|
|
|
|
|
|
|
|
189
|
Net Earnings
|
|
|
|
|
|
|
|
|
$
1,579
|
Diluted Earnings per
Share
|
|
|
|
|
|
|
|
|
$
0.90
|
|
The table above
provides additional details regarding the specified items described
on tables titled "Non-GAAP Reconciliation of Financial
Information".
|
a)
|
Acquisition-related
expenses include legal and other costs related to business
acquisitions as well as integration costs, which represent
incremental costs directly related to integrating acquired
businesses.
|
b)
|
Restructuring and cost
reduction initiative expenses include severance, outplacement and
other direct costs associated with specific restructuring plans and
cost reduction initiatives.
|
c)
|
Other includes
incremental costs to comply with the MDR and IVDR regulations for
previously approved products and charges for intangible asset
impairments.
|
d)
|
Reflects the net tax
benefit associated with the specified items and tax expense as a
result of the resolution of various tax positions related to prior
years.
|
Abbott Laboratories and
Subsidiaries
Details of Specified
Items
Nine Months Ended
September 30, 2022
(in millions, except
per share data)
(unaudited)
|
|
|
Acquisition
or
Divestiture-
related (a)
|
|
Restructuring
and Cost
Reduction
Initiatives
(b)
|
|
Intangible
Amortization
|
|
Other (c)
|
|
Total
Specifieds
|
Gross Margin
|
$
56
|
|
$
(1)
|
|
$
1,517
|
|
$
167
|
|
$
1,739
|
R&D
|
(10)
|
|
(4)
|
|
—
|
|
(197)
|
|
(211)
|
SG&A
|
(31)
|
|
(5)
|
|
—
|
|
(56)
|
|
(92)
|
Other (income) expense,
net
|
(15)
|
|
—
|
|
—
|
|
(16)
|
|
(31)
|
Earnings before
taxes
|
$
112
|
|
$
8
|
|
$
1,517
|
|
$
436
|
|
2,073
|
Taxes on Earnings
(d)
|
|
|
|
|
|
|
|
|
318
|
Net Earnings
|
|
|
|
|
|
|
|
|
$
1,755
|
Diluted Earnings per
Share
|
|
|
|
|
|
|
|
|
$
0.99
|
|
The table above
provides additional details regarding the specified items described
on tables titled "Non-GAAP Reconciliation of Financial
Information".
|
a)
|
Acquisition-related
expenses include integration costs, which represent incremental
costs directly related to integrating the acquired businesses and
include expenditures for the integration of systems, processes and
business activities.
|
b)
|
Restructuring and cost
reduction initiative expenses include severance, outplacement, and
other direct costs associated with specific restructuring plans and
cost reduction initiatives. The Gross Margin amount includes a
credit associated with the charges taken in the second quarter of
2021 for a restructuring plan related to Abbott's manufacturing
network for COVID-19 diagnostic tests.
|
c)
|
Other primarily relates
to the net costs related to a voluntary recall within the Nutrition
segment, charges associated with the impairment of R&D
intangible assets acquired in a business combination, incremental
costs to comply with the European Union's MDR and IVDR Regulations
for previously approved products and costs related to certain
litigation.
|
d)
|
Reflects the net tax
benefit associated with the specified items, excess tax benefits
associated with share-based compensation and net tax expense as a
result of the resolution of various tax positions related to prior
years.
|
View original
content:https://www.prnewswire.com/news-releases/abbott-reports-third-quarter-2023-results-and-raises-midpoint-of-full-year-eps-guidance-range-301960446.html
SOURCE Abbott