- Fourth-quarter reported sales increased 1.5 percent; organic
sales growth for the underlying base business increased 11.0
percent
- Full-year 2023 reported sales decreased 8.1 percent due to
anticipated decline in COVID-19 testing-related sales; organic
sales growth for the underlying base business increased 11.6
percent
- Full-year 2023 GAAP diluted EPS of $3.26; adjusted diluted EPS of $4.44
- R&D pipeline continues to deliver steady cadence of new
products
ABBOTT
PARK, Ill., Jan. 24,
2024 /PRNewswire/ -- Abbott today announced financial
results for the fourth quarter ended Dec.
31, 2023.
- Fourth-quarter sales increased 1.5 percent on a reported basis,
2.1 percent on an organic basis, and 11.0 percent on an organic
basis, excluding COVID-19 testing-related sales1.
- Fourth-quarter GAAP diluted EPS of $0.91 and adjusted diluted EPS of $1.19, which excludes specified items.
- Abbott issues full-year 2024 guidance for diluted EPS on a GAAP
basis of $3.20 to $3.40 and full-year adjusted diluted EPS of
$4.50 to $4.70.
- Abbott projects full-year 2024 organic sales growth, excluding
COVID-19 testing-related sales, to be in the range of 8.0% to
10.0%2.
- In 2023, Abbott continued to recapture market share in the U.S.
infant formula market. The company has now reclaimed its previous
market-leading position, as measured on a volume basis.
- In December, Abbott announced U.S. Food and Drug Administration
(FDA) approval of its new laboratory automation system, GLP systems
Track™, to help laboratories optimize performance and
safety to better meet the growing demand for diagnostic
testing.
- In January, Abbott announced that the first-in-human procedures
were conducted using the company's new Volt™ Pulsed
Field Ablation (PFA) System to treat patients with heart rhythm
disorders such as atrial fibrillation (AFib). These procedures were
part of Abbott's Volt CE Mark clinical study. Abbott anticipates
approval for its U.S. clinical trial (IDE) for the Volt PFA System
in the first half of 2024.
- In January, Abbott announced that Tandem Diabetes Care's t:slim
X2™3 insulin pump is the first automated insulin
delivery system in the U.S. to integrate with Abbott's new
FreeStyle Libre® 2 Plus sensor.
"The strength and diversity of the Abbott portfolio drove our
success in 2023," said Robert B.
Ford, chairman and chief executive officer, Abbott. "We're
entering 2024 with a lot of positive momentum, and with our highly
productive pipeline, we're well-positioned for growth in 2024 and
beyond."
FOURTH-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.
|
Fourth Quarter 2023
Results (4Q23)
|
|
|
Sales 4Q23 ($ in
millions)
|
Total
Company
|
|
Nutrition
|
|
Diagnostics
|
|
Established
Pharmaceuticals
|
|
Medical
Devices
|
|
U.S.
|
3,949
|
|
860
|
|
1,020
|
|
—
|
|
2,065
|
|
International
|
6,292
|
|
1,178
|
|
1,514
|
|
1,222
|
|
2,378
|
|
Total
reported
|
10,241
|
|
2,038
|
|
2,534
|
|
1,222
|
|
4,443
|
|
|
|
|
|
|
|
|
|
|
|
% Change vs.
4Q22
|
|
|
|
|
|
|
|
|
|
|
U.S.
|
(6.4)
|
|
8.2
|
|
(38.8)
|
|
n/a
|
|
17.6
|
|
International
|
7.2
|
|
15.3
|
|
(6.0)
|
|
0.5
|
|
17.5
|
|
Total
reported
|
1.5
|
|
12.2
|
|
(22.7)
|
|
0.5
|
|
17.5
|
|
Impact of foreign
exchange
|
(0.8)
|
|
(0.7)
|
|
(0.4)
|
|
(8.3)
|
|
1.0
|
|
Impact of CSI
acquisition
|
0.4
|
|
—
|
|
—
|
|
—
|
|
1.1
|
|
Impact of business
exit
|
(0.2)
|
|
(1.0)
|
|
—
|
|
—
|
|
—
|
|
Organic
|
2.1
|
|
13.9
|
|
(22.3)
|
|
8.8
|
|
15.4
|
|
Impact of COVID-19
testing sales (4)
|
(8.9)
|
|
—
|
|
(24.5)
|
|
—
|
|
—
|
|
Organic (excluding
COVID-19 tests)
|
11.0
|
|
13.9
|
|
2.2
|
|
8.8
|
|
15.4
|
|
|
|
|
|
|
|
|
|
|
|
U.S.
|
7.1
|
|
8.2
|
|
(10.7)
|
|
n/a
|
|
15.5
|
|
International
|
13.4
|
|
18.5
|
|
10.9
|
|
8.8
|
|
15.4
|
|
Full-Year 2023
Results (12M23)
|
|
|
Sales 12M23 ($ in
millions)
|
Total
Company
|
|
Nutrition
|
|
Diagnostics
|
|
Established
Pharmaceuticals
|
|
Medical
Devices
|
|
U.S.
|
15,452
|
|
3,413
|
|
4,329
|
|
—
|
|
7,696
|
|
International
|
24,657
|
|
4,741
|
|
5,659
|
|
5,066
|
|
9,191
|
|
Total
reported
|
40,109
|
|
8,154
|
|
9,988
|
|
5,066
|
|
16,887
|
|
|
|
|
|
|
|
|
|
|
|
% Change vs.
12M22
|
|
|
|
|
|
|
|
|
|
|
U.S.
|
(14.8)
|
|
16.9
|
|
(49.3)
|
|
n/a
|
|
15.2
|
|
International
|
(3.3)
|
|
4.4
|
|
(28.7)
|
|
3.1
|
|
13.2
|
|
Total
reported
|
(8.1)
|
|
9.3
|
|
(39.4)
|
|
3.1
|
|
14.1
|
|
Impact of foreign
exchange
|
(2.0)
|
|
(2.3)
|
|
(1.2)
|
|
(7.8)
|
|
(1.0)
|
|
Impact of CSI
acquisition
|
0.3
|
|
—
|
|
—
|
|
—
|
|
0.9
|
|
Impact of business
exit
|
(0.2)
|
|
(1.4)
|
|
—
|
|
—
|
|
—
|
|
Organic
|
(6.2)
|
|
13.0
|
|
(38.2)
|
|
10.9
|
|
14.2
|
|
Impact of COVID-19
testing sales (4)
|
(17.8)
|
|
—
|
|
(44.0)
|
|
—
|
|
—
|
|
Organic (excluding
COVID-19 tests)
|
11.6
|
|
13.0
|
|
5.8
|
|
10.9
|
|
14.2
|
|
|
|
|
|
|
|
|
|
|
|
U.S.
|
11.3
|
|
16.9
|
|
1.3
|
|
n/a
|
|
13.3
|
|
International
|
11.7
|
|
10.4
|
|
8.5
|
|
10.9
|
|
14.9
|
Refer to table titled "Non-GAAP Revenue Reconciliation" for a
reconciliation of adjusted historical revenue to reported
revenue.
|
Nutrition
|
|
|
Fourth Quarter 2023
Results (4Q23)
|
|
|
Sales 4Q23 ($ in
millions)
|
Total
|
|
Pediatric
|
|
Adult
|
|
U.S.
|
860
|
|
505
|
|
355
|
|
International
|
1,178
|
|
480
|
|
698
|
|
Total
reported
|
2,038
|
|
985
|
|
1,053
|
|
|
|
|
|
|
|
% Change vs.
4Q22
|
|
|
|
|
|
|
U.S.
|
8.2
|
|
11.4
|
|
4.0
|
|
International
|
15.3
|
|
12.3
|
|
17.4
|
|
Total
reported
|
12.2
|
|
11.8
|
|
12.5
|
|
Impact of foreign
exchange
|
(0.7)
|
|
(0.5)
|
|
(0.9)
|
|
Impact of business
exit
|
(1.0)
|
|
(2.2)
|
|
—
|
|
Organic
|
13.9
|
|
14.5
|
|
13.4
|
|
|
|
|
|
|
|
U.S.
|
8.2
|
|
11.4
|
|
4.0
|
|
International
|
18.5
|
|
17.9
|
|
18.9
|
Worldwide Nutrition sales increased 12.2 percent on a reported
basis and 13.9 percent on an organic basis in the fourth 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 11.8 percent on a
reported basis and 14.5 percent on an organic basis.
International sales increased 12.3 percent on a reported basis and
17.9 percent on an organic basis, which was led by strong growth in
Canada and several countries in
Latin America. In the U.S., sales
growth of 11.4 percent was primarily driven by market share
recovery in the infant formula business following a voluntary
recall of certain products last year.
In Adult Nutrition, global sales increased 12.5 percent on a
reported basis and 13.4 percent on an organic basis, which was led
by strong global growth of Ensure®, Abbott's
market-leading complete and balanced nutrition brand.
|
Full-Year 2023
Results (12M23)
|
|
|
Sales 12M23 ($ in
millions)
|
Total
|
|
Pediatric
|
|
Adult
|
|
U.S.
|
3,413
|
|
1,977
|
|
1,436
|
|
International
|
4,741
|
|
1,957
|
|
2,784
|
|
Total
reported
|
8,154
|
|
3,934
|
|
4,220
|
|
|
|
|
|
|
|
% Change vs.
12M22
|
|
|
|
|
|
|
U.S.
|
16.9
|
|
26.6
|
|
5.8
|
|
International
|
4.4
|
|
2.0
|
|
6.2
|
|
Total
reported
|
9.3
|
|
13.0
|
|
6.1
|
|
Impact of foreign
exchange
|
(2.3)
|
|
(1.8)
|
|
(2.7)
|
|
Impact of business
exit
|
(1.4)
|
|
(3.1)
|
|
—
|
|
Organic
|
13.0
|
|
17.9
|
|
8.8
|
|
|
|
|
|
|
|
U.S.
|
16.9
|
|
26.6
|
|
5.8
|
|
International
|
10.4
|
|
10.3
|
|
10.4
|
|
Diagnostics
|
|
|
Fourth Quarter 2023
Results (4Q23)
|
|
|
Sales 4Q23 ($ in
millions)
|
Total
|
|
Core
Laboratory
|
|
Molecular
|
|
Point of
Care
|
|
Rapid
Diagnostics *
|
|
U.S.
|
1,020
|
|
326
|
|
44
|
|
107
|
|
543
|
|
International
|
1,514
|
|
1,044
|
|
109
|
|
42
|
|
319
|
|
Total
reported
|
2,534
|
|
1,370
|
|
153
|
|
149
|
|
862
|
|
|
|
|
|
|
|
|
|
|
|
% Change vs.
4Q22
|
|
|
|
|
|
|
|
|
|
|
U.S.
|
(38.8)
|
|
8.3
|
|
(27.7)
|
|
20.7
|
|
(55.3)
|
|
International
|
(6.0)
|
|
8.4
|
|
(7.8)
|
|
(1.0)
|
|
(34.4)
|
|
Total
reported
|
(22.7)
|
|
8.4
|
|
(14.6)
|
|
13.6
|
|
(49.3)
|
|
Impact of foreign
exchange
|
(0.4)
|
|
(0.7)
|
|
0.3
|
|
0.6
|
|
(0.1)
|
|
Organic
|
(22.3)
|
|
9.1
|
|
(14.9)
|
|
13.0
|
|
(49.2)
|
|
Impact of COVID-19
testing sales (4)
|
(24.5)
|
|
(0.6)
|
|
(16.6)
|
|
—
|
|
(35.5)
|
|
Organic (excluding
COVID-19 tests)
|
2.2
|
|
9.7
|
|
1.7
|
|
13.0
|
|
(13.7)
|
|
|
|
|
|
|
|
|
|
|
|
U.S.
|
(10.7)
|
|
8.8
|
|
(12.6)
|
|
20.7
|
|
(29.2)
|
|
International
|
10.9
|
|
10.0
|
|
8.2
|
|
(2.9)
|
|
18.6
|
As expected, Diagnostics sales growth in the fourth quarter was
negatively impacted by year-over-year declines in COVID-19
testing-related sales4. Worldwide COVID-19 testing sales
were $288 million in the fourth
quarter of 2023 compared to $1.069
billion in the fourth quarter of the prior year.
Excluding COVID-19 testing-related sales, global Diagnostics
sales increased 1.7 percent on a reported basis and 2.2 percent on
an organic basis.
|
Full-Year 2023
Results (12M23)
|
|
|
Sales 12M23 ($ in
millions)
|
Total
|
|
Core
Laboratory
|
|
Molecular
|
|
Point of
Care
|
|
Rapid
Diagnostics *
|
|
U.S.
|
4,329
|
|
1,243
|
|
172
|
|
396
|
|
2,518
|
|
International
|
5,659
|
|
3,916
|
|
402
|
|
169
|
|
1,172
|
|
Total
reported
|
9,988
|
|
5,159
|
|
574
|
|
565
|
|
3,690
|
|
|
|
|
|
|
|
|
|
|
|
% Change vs.
12M22
|
|
|
|
|
|
|
|
|
|
|
U.S.
|
(49.3)
|
|
9.3
|
|
(53.6)
|
|
6.4
|
|
(62.1)
|
|
International
|
(28.7)
|
|
4.4
|
|
(35.7)
|
|
10.3
|
|
(65.6)
|
|
Total
reported
|
(39.4)
|
|
5.5
|
|
(42.3)
|
|
7.5
|
|
(63.3)
|
|
Impact of foreign
exchange
|
(1.2)
|
|
(2.9)
|
|
(0.7)
|
|
(0.2)
|
|
(0.4)
|
|
Organic
|
(38.2)
|
|
8.4
|
|
(41.6)
|
|
7.7
|
|
(62.9)
|
|
Impact of COVID-19
testing sales (4)
|
(44.0)
|
|
(1.0)
|
|
(33.5)
|
|
—
|
|
(64.2)
|
|
Organic (excluding
COVID-19 tests)
|
5.8
|
|
9.4
|
|
(8.1)
|
|
7.7
|
|
1.3
|
|
|
|
|
|
|
|
|
|
|
|
U.S.
|
1.3
|
|
10.1
|
|
(17.8)
|
|
6.4
|
|
(4.8)
|
|
International
|
8.5
|
|
9.1
|
|
(3.8)
|
|
10.8
|
|
11.6
|
|
|
*The Acelis Connected
Health business was internally transferred from Rapid Diagnostics
to Heart Failure on January 1, 2023. As a result, $28 million of
sales in the fourth quarter of 2022 and $115 million in the
full-year 2022 were moved from Rapid Diagnostics to Heart
Failure.
|
|
|
Established
Pharmaceuticals
|
|
|
Fourth Quarter 2023
Results (4Q23)
|
|
|
Sales 4Q23 ($ in
millions)
|
Total
|
|
Key Emerging
Markets
|
|
Other
|
|
U.S.
|
—
|
|
—
|
|
—
|
|
International
|
1,222
|
|
918
|
|
304
|
|
Total
reported
|
1,222
|
|
918
|
|
304
|
|
|
|
|
|
|
|
% Change vs.
4Q22
|
|
|
|
|
|
|
U.S.
|
n/a
|
|
n/a
|
|
n/a
|
|
International
|
0.5
|
|
0.5
|
|
0.4
|
|
Total
reported
|
0.5
|
|
0.5
|
|
0.4
|
|
Impact of foreign
exchange
|
(8.3)
|
|
(10.9)
|
|
(0.4)
|
|
Organic
|
8.8
|
|
11.4
|
|
0.8
|
|
|
|
|
|
|
|
U.S.
|
n/a
|
|
n/a
|
|
n/a
|
|
International
|
8.8
|
|
11.4
|
|
0.8
|
Established Pharmaceuticals sales increased 0.5 percent on a
reported basis and 8.8 percent on an organic basis in the fourth
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 increased 0.5 percent on a reported basis and increased
11.4 percent on an organic basis, led by growth in several
geographies and therapeutic areas, including cardiometabolic,
gastroenterology, respiratory, and central nervous system/pain
management.
|
Full-Year 2023
Results (12M23)
|
|
|
Sales 12M23 ($ in
millions)
|
Total
|
|
Key Emerging
Markets
|
|
Other
|
|
U.S.
|
—
|
|
—
|
|
—
|
|
International
|
5,066
|
|
3,807
|
|
1,259
|
|
Total
reported
|
5,066
|
|
3,807
|
|
1,259
|
|
|
|
|
|
|
|
% Change vs.
12M22
|
|
|
|
|
|
|
U.S.
|
n/a
|
|
n/a
|
|
n/a
|
|
International
|
3.1
|
|
1.1
|
|
9.8
|
|
Total
reported
|
3.1
|
|
1.1
|
|
9.8
|
|
Impact of foreign
exchange
|
(7.8)
|
|
(9.2)
|
|
(3.0)
|
|
Organic
|
10.9
|
|
10.3
|
|
12.8
|
|
|
|
|
|
|
|
U.S.
|
n/a
|
|
n/a
|
|
n/a
|
|
International
|
10.9
|
|
10.3
|
|
12.8
|
|
Medical
Devices
|
|
|
Fourth Quarter 2023
Results (4Q23)
|
|
|
Sales 4Q23 ($ in
millions)
|
Total
|
|
Rhythm
Management
|
|
Electro-
physiology
|
|
Heart
Failure *
|
|
Vascular
|
|
Structural
Heart
|
|
Neuro-
modulation
|
|
Diabetes
Care
|
|
U.S.
|
2,065
|
|
285
|
|
279
|
|
227
|
|
245
|
|
231
|
|
197
|
|
601
|
|
International
|
2,378
|
|
297
|
|
314
|
|
74
|
|
432
|
|
267
|
|
43
|
|
951
|
|
Total
reported
|
4,443
|
|
582
|
|
593
|
|
301
|
|
677
|
|
498
|
|
240
|
|
1,552
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
% Change vs.
4Q22
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
U.S.
|
17.6
|
|
12.0
|
|
15.0
|
|
13.6
|
|
14.8
|
|
7.9
|
|
20.8
|
|
28.3
|
|
International
|
17.5
|
|
14.5
|
|
28.0
|
|
26.6
|
|
10.4
|
|
17.6
|
|
10.2
|
|
18.4
|
|
Total
reported
|
17.5
|
|
13.3
|
|
21.5
|
|
16.6
|
|
12.0
|
|
12.9
|
|
18.8
|
|
22.0
|
|
Impact of foreign
exchange
|
1.0
|
|
1.2
|
|
0.3
|
|
1.2
|
|
1.1
|
|
1.5
|
|
—
|
|
1.3
|
|
Impact of CSI
acquisition
|
1.1
|
|
—
|
|
—
|
|
—
|
|
6.4
|
|
—
|
|
—
|
|
—
|
|
Organic
|
15.4
|
|
12.1
|
|
21.2
|
|
15.4
|
|
4.5
|
|
11.4
|
|
18.8
|
|
20.7
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
U.S.
|
15.5
|
|
12.0
|
|
15.0
|
|
13.6
|
|
(2.5)
|
|
7.9
|
|
20.8
|
|
28.3
|
|
International
|
15.4
|
|
12.1
|
|
27.3
|
|
21.4
|
|
8.3
|
|
14.7
|
|
10.2
|
|
16.2
|
Worldwide Medical Devices sales increased 17.5 percent on a
reported basis and 15.4 percent on an organic basis in the fourth
quarter. Sales growth was led by double-digit organic growth in
Diabetes Care, Neuromodulation, Structural Heart,
Electrophysiology, Heart Failure, and Rhythm Management. 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 25.0
percent on a reported and organic basis, which included sales
growth of more than 20.0 percent in Europe.
In Diabetes Care, FreeStyle Libre sales were $1.4 billion, which represents sales growth of
25.5 percent on a reported basis and 23.8 percent on an organic
basis.
|
Full-Year 2023
Results (12M23)
|
|
|
Sales 12M23 ($ in
millions)
|
Total
|
|
Rhythm
Management
|
|
Electro-
physiology
|
|
Heart
Failure *
|
|
Vascular
|
|
Structural
Heart
|
|
Neuro-
modulation
|
|
Diabetes
Care
|
|
U.S.
|
7,696
|
|
1,085
|
|
1,008
|
|
888
|
|
978
|
|
883
|
|
725
|
|
2,129
|
|
International
|
9,191
|
|
1,170
|
|
1,187
|
|
273
|
|
1,703
|
|
1,061
|
|
165
|
|
3,632
|
|
Total
reported
|
16,887
|
|
2,255
|
|
2,195
|
|
1,161
|
|
2,681
|
|
1,944
|
|
890
|
|
5,761
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
% Change vs.
12M22
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
U.S.
|
15.2
|
|
5.5
|
|
10.8
|
|
9.6
|
|
13.2
|
|
7.9
|
|
17.2
|
|
30.3
|
|
International
|
13.2
|
|
7.4
|
|
16.6
|
|
21.1
|
|
5.2
|
|
18.7
|
|
9.0
|
|
16.3
|
|
Total
reported
|
14.1
|
|
6.5
|
|
13.9
|
|
12.1
|
|
8.0
|
|
13.6
|
|
15.5
|
|
21.1
|
|
Impact of foreign
exchange
|
(1.0)
|
|
(1.0)
|
|
(2.0)
|
|
0.1
|
|
(1.3)
|
|
(0.7)
|
|
(0.9)
|
|
(0.8)
|
|
Impact of CSI
acquisition
|
0.9
|
|
—
|
|
—
|
|
—
|
|
5.3
|
|
—
|
|
—
|
|
—
|
|
Organic
|
14.2
|
|
7.5
|
|
15.9
|
|
12.0
|
|
4.0
|
|
14.3
|
|
16.4
|
|
21.9
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
U.S.
|
13.3
|
|
5.5
|
|
10.8
|
|
9.6
|
|
(1.0)
|
|
7.9
|
|
17.2
|
|
30.3
|
|
International
|
14.9
|
|
9.4
|
|
20.5
|
|
20.5
|
|
6.7
|
|
20.1
|
|
13.1
|
|
17.5
|
|
|
*The Acelis
Connected Health business was internally transferred from Rapid
Diagnostics to Heart Failure on January 1, 2023. As a result, $28
million of sales in the fourth quarter of 2022 and $115 million in
the full-year 2022 were moved from Rapid Diagnostics to Heart
Failure.
|
ABBOTT'S EARNINGS-PER-SHARE GUIDANCE
Abbott projects
full-year 2024 diluted earnings per share under GAAP of
$3.20 to $3.40. Abbott forecasts specified items for the
full-year 2024 of $1.30 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 $4.50 to $4.70 for
the full-year 2024.
ABBOTT DECLARES 400TH CONSECUTIVE QUARTERLY
DIVIDEND
On Dec. 15, 2023, the
board of directors of Abbott declared the company's quarterly
dividend of $0.55 per share. Abbott's
cash dividend is payable Feb. 15,
2024, to shareholders of record at the close of business on
Jan. 12, 2024.
Abbott has increased its dividend payout for 52 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 114,000 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 fourth-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
|
In the fourth quarter
of 2023, total worldwide sales were $10.241 billion and COVID-19
testing-related sales were $288 million. In the fourth quarter of
2022, total worldwide sales were $10.091 billion and COVID-19
testing-related sales were $1.069 billion.
|
|
|
|
2
|
Abbott has not provided
the related GAAP financial measure for organic sales growth,
excluding COVID-19 testing-related sales, on a forward-looking
basis because the company is unable to predict with reasonable
certainty the impact of foreign exchange due to the
unpredictability of future changes in foreign exchange rates, which
could significantly impact reported sales growth. In addition, as
the COVID-19 pandemic has shifted to an endemic state, the company
has determined that it is unable to predict with reasonable
certainty future COVID-19 test sales due to the unpredictability of
demand for Covid-19 tests.
|
|
|
|
3
|
t:slimX2™ is a
trademark of Tandem Diabetes Care, Inc.
|
|
|
|
4
|
Diagnostic sales and
COVID-19 testing-related sales in 2023 and 2022 are summarized
below:
|
|
|
|
Sales
4Q23
|
|
|
COVID Tests Sales
4Q23
|
|
|
($ in
millions)
|
U.S.
|
|
Int'l
|
|
Total
|
|
|
U.S.
|
|
Int'l
|
|
Total
|
|
|
Total
Diagnostics
|
1,020
|
|
1,514
|
|
2,534
|
|
|
224
|
|
64
|
|
288
|
|
|
Core
Laboratory
|
326
|
|
1,044
|
|
1,370
|
|
|
1
|
|
3
|
|
4
|
|
|
Molecular
|
44
|
|
109
|
|
153
|
|
|
5
|
|
2
|
|
7
|
|
|
Rapid
Diagnostics
|
543
|
|
319
|
|
862
|
|
|
218
|
|
59
|
|
277
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Sales
4Q22
|
|
|
COVID Tests Sales
4Q22
|
|
|
($ in
millions)
|
U.S.
|
|
Int'l
|
|
Total
|
|
|
U.S.
|
|
Int'l
|
|
Total
|
|
|
Total
Diagnostics
|
1,667
|
|
1,610
|
|
3,277
|
|
|
776
|
|
293
|
|
1,069
|
|
|
Core
Laboratory
|
301
|
|
963
|
|
1,264
|
|
|
3
|
|
7
|
|
10
|
|
|
Molecular
|
62
|
|
118
|
|
180
|
|
|
17
|
|
20
|
|
37
|
|
|
Rapid
Diagnostics
|
1,216
|
|
486
|
|
1,702
|
|
|
756
|
|
266
|
|
1,022
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Sales
12M23
|
|
|
COVID Tests Sales
12M23
|
|
|
($ in
millions)
|
U.S.
|
|
Int'l
|
|
Total
|
|
|
U.S.
|
|
Int'l
|
|
Total
|
|
|
Total
Diagnostics
|
4,329
|
|
5,659
|
|
9,988
|
|
|
1,255
|
|
331
|
|
1,586
|
|
|
Core
Laboratory
|
1,243
|
|
3,916
|
|
5,159
|
|
|
7
|
|
13
|
|
20
|
|
|
Molecular
|
172
|
|
402
|
|
574
|
|
|
24
|
|
19
|
|
43
|
|
|
Rapid
Diagnostics
|
2,518
|
|
1,172
|
|
3,690
|
|
|
1,224
|
|
299
|
|
1,523
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Sales
12M22
|
|
|
COVID Tests Sales
12M22
|
|
|
($ in
millions)
|
U.S.
|
|
Int'l
|
|
Total
|
|
|
U.S.
|
|
Int'l
|
|
Total
|
|
|
Total
Diagnostics
|
8,531
|
|
7,938
|
|
16,469
|
|
|
5,498
|
|
2,870
|
|
8,368
|
|
|
Core
Laboratory
|
1,137
|
|
3,751
|
|
4,888
|
|
|
16
|
|
46
|
|
62
|
|
|
Molecular
|
370
|
|
625
|
|
995
|
|
|
190
|
|
221
|
|
411
|
|
|
Rapid
Diagnostics
|
6,652
|
|
3,409
|
|
10,061
|
|
|
5,292
|
|
2,603
|
|
7,895
|
|
|
Abbott Laboratories and
Subsidiaries
Condensed Consolidated
Statement of Earnings
Fourth Quarter
Ended December 31, 2023 and 2022
(in millions, except
per share data)
(unaudited)
|
|
|
|
|
4Q23
|
|
4Q22
|
|
%
Change
|
|
|
Net Sales
|
$10,241
|
|
$10,091
|
|
1.5
|
|
|
|
|
|
|
|
|
|
Cost of products sold,
excluding amortization expense
|
4,556
|
|
4,593
|
|
(0.8)
|
|
|
Amortization of
intangible assets
|
481
|
|
496
|
|
(3.1)
|
|
|
Research and
development
|
700
|
|
725
|
|
(3.6)
|
|
|
Selling, general, and
administrative
|
2,724
|
|
2,973
|
|
(8.3)
|
|
|
Total Operating Cost
and Expenses
|
8,461
|
|
8,787
|
|
(3.7)
|
|
|
|
|
|
|
|
|
|
Operating
Earnings
|
1,780
|
|
1,304
|
|
36.5
|
|
|
|
|
|
|
|
|
|
Interest expense,
net
|
70
|
|
66
|
|
5.9
|
|
|
Net foreign exchange
(gain) loss
|
24
|
|
(14)
|
|
n/m
|
|
|
Other (income)
expense, net
|
(109)
|
|
(68)
|
|
60.9
|
|
|
Earnings before
taxes
|
1,795
|
|
1,320
|
|
36.0
|
|
|
Taxes on
earnings
|
201
|
|
287
|
|
(29.6)
|
|
|
|
|
|
|
|
|
|
Net
Earnings
|
$1,594
|
|
$1,033
|
|
54.2
|
|
|
|
|
|
|
|
|
|
Net Earnings excluding
Specified Items, as described below
|
$2,094
|
|
$1,811
|
|
15.6
|
1)
|
|
|
|
|
|
|
|
|
Diluted Earnings per
Common Share
|
$0.91
|
|
$0.59
|
|
54.2
|
|
|
|
|
|
|
|
|
|
Diluted Earnings per
Common Share,
excluding Specified
Items, as described below
|
$1.19
|
|
$1.03
|
|
15.5
|
1)
|
|
|
|
|
|
|
|
|
Average Number of
Common Shares Outstanding
Plus Dilutive Common
Stock Options
|
1,748
|
|
1,754
|
|
|
|
|
|
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 section.
|
|
|
|
1)
|
2023 Net Earnings and
Diluted Earnings per Common Share, excluding Specified Items,
excludes net after-tax charges of $500 million, or $0.28 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 $778 million, or $0.44 per share,
for intangible amortization, charges related to restructuring and
cost reduction initiatives, expenses associated with acquisitions,
and other net expenses.
|
|
Abbott Laboratories and
Subsidiaries
Condensed Consolidated
Statement of Earnings
Twelve Months Ended
December 31, 2023 and 2022
(in millions, except
per share data)
(unaudited)
|
|
|
|
|
12M23
|
|
12M22
|
|
%
Change
|
|
|
Net Sales
|
$40,109
|
|
$43,653
|
|
(8.1)
|
|
|
|
|
|
|
|
|
|
Cost of products sold,
excluding amortization expense
|
17,975
|
|
19,142
|
|
(6.1)
|
|
|
Amortization of
intangible assets
|
1,966
|
|
2,013
|
|
(2.3)
|
|
|
Research and
development
|
2,741
|
|
2,888
|
|
(5.1)
|
|
|
Selling, general, and
administrative
|
10,949
|
|
11,248
|
|
(2.7)
|
|
|
Total Operating Cost
and Expenses
|
33,631
|
|
35,291
|
|
(4.7)
|
|
|
|
|
|
|
|
|
|
Operating
Earnings
|
6,478
|
|
8,362
|
|
(22.5)
|
|
|
|
|
|
|
|
|
|
Interest expense,
net
|
252
|
|
375
|
|
(33.0)
|
|
|
Net foreign exchange
(gain) loss
|
41
|
|
2
|
|
n/m
|
|
|
Other (income)
expense, net
|
(479)
|
|
(321)
|
|
49.3
|
|
|
Earnings before
taxes
|
6,664
|
|
8,306
|
|
(19.8)
|
|
|
Taxes on
earnings
|
941
|
|
1,373
|
|
(31.4)
|
1)
|
|
|
|
|
|
|
|
|
Net
Earnings
|
$5,723
|
|
$6,933
|
|
(17.5)
|
|
|
|
|
|
|
|
|
|
Net Earnings excluding
Specified Items, as described below
|
$7,802
|
|
$9,466
|
|
(17.6)
|
2)
|
|
|
|
|
|
|
|
|
Diluted Earnings per
Common Share
|
$3.26
|
|
$3.91
|
|
(16.6)
|
|
|
|
|
|
|
|
|
|
Diluted Earnings per
Common Share,
excluding Specified
Items, as described below
|
$4.44
|
|
$5.34
|
|
(16.9)
|
2)
|
|
|
|
|
|
|
|
|
Average Number of
Common Shares Outstanding
Plus Dilutive Common
Stock Options
|
1,749
|
|
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 section.
|
|
|
|
1)
|
Taxes on Earnings
includes the recognition of approximately $22 million and $43
million of excess tax benefits associated with share-based
compensation in 2023 and 2022, respectively.
|
|
|
|
2)
|
2023 Net Earnings and
Diluted Earnings per Common Share, excluding Specified Items,
excludes net after-tax charges of $2.079 billion, or $1.18 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 $2.533 billion, or $1.43 per
share, for intangible amortization, charges related to a voluntary
recall and restructuring actions, the impairment of R&D
intangible assets, acquisition-related costs and other net
expenses.
|
|
Abbott Laboratories and
Subsidiaries
Non-GAAP Reconciliation
of Financial Information
Fourth Quarter
Ended December 31, 2023 and 2022
(in millions, except
per share data)
(unaudited)
|
|
|
4Q23
|
|
As
Reported
(GAAP)
|
|
Specified
Items
|
|
As
Adjusted
|
|
|
|
|
|
|
|
Intangible
Amortization
|
$
481
|
|
$
(481)
|
|
$
—
|
|
Gross
Margin
|
5,204
|
|
518
|
|
5,722
|
|
R&D
|
700
|
|
(78)
|
|
622
|
|
SG&A
|
2,724
|
|
(35)
|
|
2,689
|
|
Other (income)
expense, net
|
(109)
|
|
(9)
|
|
(118)
|
|
Earnings before
taxes
|
1,795
|
|
640
|
|
2,435
|
|
Taxes on
Earnings
|
201
|
|
140
|
|
341
|
|
Net
Earnings
|
1,594
|
|
500
|
|
2,094
|
|
Diluted Earnings per
Share
|
$
0.91
|
|
$
0.28
|
|
$
1.19
|
Specified items reflect intangible amortization expense of
$481 million and other net expenses
of $159 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.
|
4Q22
|
|
As
Reported
(GAAP)
|
|
Specified
Items
|
|
As
Adjusted
|
|
|
|
|
|
|
|
Intangible
Amortization
|
$
496
|
|
$
(496)
|
|
$
—
|
|
Gross
Margin
|
5,002
|
|
612
|
|
5,614
|
|
R&D
|
725
|
|
(71)
|
|
654
|
|
SG&A
|
2,973
|
|
(144)
|
|
2,829
|
|
Other (income)
expense, net
|
(68)
|
|
(24)
|
|
(92)
|
|
Earnings before
taxes
|
1,320
|
|
851
|
|
2,171
|
|
Taxes on
Earnings
|
287
|
|
73
|
|
360
|
|
Net
Earnings
|
1,033
|
|
778
|
|
1,811
|
|
Diluted Earnings per
Share
|
$
0.59
|
|
$
0.44
|
|
$
1.03
|
Specified items reflect intangible amortization expense of
$496 million and other net expenses
of $355 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.
|
Abbott Laboratories and
Subsidiaries
Non-GAAP Reconciliation
of Financial Information
Twelve Months Ended
December 31, 2023 and 2022
(in millions, except
per share data)
(unaudited)
|
|
|
12M23
|
|
As
Reported
(GAAP)
|
|
Specified
Items
|
|
As
Adjusted
|
|
|
|
|
|
|
|
Intangible
Amortization
|
$
1,966
|
|
$
(1,966)
|
|
$
—
|
|
Gross
Margin
|
20,168
|
|
2,109
|
|
22,277
|
|
R&D
|
2,741
|
|
(222)
|
|
2,519
|
|
SG&A
|
10,949
|
|
(102)
|
|
10,847
|
|
Other (income)
expense, net
|
(479)
|
|
25
|
|
(454)
|
|
Earnings before
taxes
|
6,664
|
|
2,408
|
|
9,072
|
|
Taxes on
Earnings
|
941
|
|
329
|
|
1,270
|
|
Net
Earnings
|
5,723
|
|
2,079
|
|
7,802
|
|
Diluted Earnings per
Share
|
$
3.26
|
|
$
1.18
|
|
$
4.44
|
Specified items reflect intangible amortization expense of
$1.966 billion and other net expenses
of $442 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.
|
12M22
|
|
As
Reported
(GAAP)
|
|
Specified
Items
|
|
As
Adjusted
|
|
|
|
|
|
|
|
Intangible
Amortization
|
$
2,013
|
|
$
(2,013)
|
|
$
—
|
|
Gross
Margin
|
22,498
|
|
2,351
|
|
24,849
|
|
R&D
|
2,888
|
|
(282)
|
|
2,606
|
|
SG&A
|
11,248
|
|
(236)
|
|
11,012
|
|
Other (income)
expense, net
|
(321)
|
|
(55)
|
|
(376)
|
|
Earnings before
taxes
|
8,306
|
|
2,924
|
|
11,230
|
|
Taxes on
Earnings
|
1,373
|
|
391
|
|
1,764
|
|
Net
Earnings
|
6,933
|
|
2,533
|
|
9,466
|
|
Diluted Earnings per
Share
|
$
3.91
|
|
$
1.43
|
|
$
5.34
|
Specified items reflect intangible amortization expense of
$2.013 billion and other net expenses
of $911 million that includes charges
for the impairment of R&D intangible assets, costs associated
with a product recall and restructuring actions,
acquisition-related costs, and other net expenses. See table titled
"Details of Specified Items" for additional details regarding
specified items.
A reconciliation of the fourth-quarter tax rates for 2023 and
2022 is shown below:
|
4Q23
|
|
|
($ in
millions)
|
Pre-Tax
Income
|
|
Taxes
on
Earnings
|
|
Tax
Rate
|
|
|
As reported
(GAAP)
|
$
1,795
|
|
$
201
|
|
11.2 %
|
|
|
Specified
items
|
640
|
|
140
|
|
|
|
|
Excluding specified
items
|
$
2,435
|
|
$
341
|
|
14.0 %
|
|
|
|
|
|
|
|
|
|
4Q22
|
|
|
($ in
millions)
|
Pre-Tax
Income
|
|
Taxes
on
Earnings
|
|
Tax
Rate
|
|
|
As reported
(GAAP)
|
$
1,320
|
|
$
287
|
|
21.7 %
|
|
|
Specified
items
|
851
|
|
73
|
|
|
|
|
Excluding specified
items
|
$
2,171
|
|
$
360
|
|
16.5 %
|
|
A reconciliation of the year-to-date tax rates for 2023 and 2022
is shown below:
|
12M23
|
|
|
($ in
millions)
|
Pre-Tax
Income
|
|
Taxes
on
Earnings
|
|
Tax
Rate
|
|
|
As reported
(GAAP)
|
$
6,664
|
|
$
941
|
|
14.1 %
|
1)
|
|
Specified
items
|
2,408
|
|
329
|
|
|
|
|
Excluding specified
items
|
$
9,072
|
|
$
1,270
|
|
14.0 %
|
|
|
|
|
|
|
|
|
|
12M22
|
|
|
($ in
millions)
|
Pre-Tax
Income
|
|
Taxes
on
Earnings
|
|
Tax
Rate
|
|
|
As reported
(GAAP)
|
$
8,306
|
|
$
1,373
|
|
16.5 %
|
2)
|
|
Specified
items
|
2,924
|
|
391
|
|
|
|
|
Excluding specified
items
|
$
11,230
|
|
$
1,764
|
|
15.7 %
|
|
|
|
|
1)
|
2023 Taxes on Earnings
includes the recognition of approximately $22 million in excess tax
benefits associated with share-based compensation.
|
|
|
|
2)
|
2022 Taxes on Earnings
includes the recognition of approximately $43 million in
excess tax benefits associated with share-based
compensation.
|
|
Abbott Laboratories and
Subsidiaries
Non-GAAP Revenue
Reconciliation
Fourth Quarter and
Twelve Months Ended December 31, 2023 and 2022
($ in
millions)
(unaudited)
|
|
|
|
4Q23
|
|
4Q22
|
|
% Change vs.
4Q22
|
|
|
|
|
|
|
|
|
|
|
|
|
|
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
|
|
10,241
|
(40)
|
(7)
|
10,194
|
|
10,091
|
(23)
|
10,068
|
|
1.5
|
|
1.3
|
2.1
|
|
U.S.
|
|
3,949
|
(38)
|
—
|
3,911
|
|
4,219
|
—
|
4,219
|
|
(6.4)
|
|
(7.3)
|
(7.3)
|
|
Intl
|
|
6,292
|
(2)
|
(7)
|
6,283
|
|
5,872
|
(23)
|
5,849
|
|
7.2
|
|
7.4
|
8.8
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Total
Nutrition
|
|
2,038
|
—
|
(7)
|
2,031
|
|
1,817
|
(23)
|
1,794
|
|
12.2
|
|
13.2
|
13.9
|
|
U.S.
|
|
860
|
—
|
—
|
860
|
|
795
|
—
|
795
|
|
8.2
|
|
8.2
|
8.2
|
|
Intl
|
|
1,178
|
—
|
(7)
|
1,171
|
|
1,022
|
(23)
|
999
|
|
15.3
|
|
17.2
|
18.5
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Pediatric
Nutrition
|
|
985
|
—
|
(7)
|
978
|
|
882
|
(23)
|
859
|
|
11.8
|
|
14.0
|
14.5
|
|
U.S.
|
|
505
|
—
|
—
|
505
|
|
454
|
—
|
454
|
|
11.4
|
|
11.4
|
11.4
|
|
Intl
|
|
480
|
—
|
(7)
|
473
|
|
428
|
(23)
|
405
|
|
12.3
|
|
16.9
|
17.9
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Total Medical
Devices
|
|
4,443
|
(40)
|
—
|
4,403
|
|
3,778
|
—
|
3,778
|
|
17.5
|
|
16.4
|
15.4
|
|
U.S.
|
|
2,065
|
(38)
|
—
|
2,027
|
|
1,754
|
—
|
1,754
|
|
17.6
|
|
15.5
|
15.5
|
|
Intl
|
|
2,378
|
(2)
|
—
|
2,376
|
|
2,024
|
—
|
2,024
|
|
17.5
|
|
17.4
|
15.4
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Vascular
|
|
677
|
(40)
|
—
|
637
|
|
605
|
—
|
605
|
|
12.0
|
|
5.6
|
4.5
|
|
U.S.
|
|
245
|
(38)
|
—
|
207
|
|
214
|
—
|
214
|
|
14.8
|
|
(2.5)
|
(2.5)
|
|
Intl
|
|
432
|
(2)
|
—
|
430
|
|
391
|
—
|
391
|
|
10.4
|
|
9.9
|
8.3
|
|
12M23
|
|
12M22
|
|
% Change vs.
12M22
|
|
|
|
|
|
|
|
|
|
|
|
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
|
40,109
|
(130)
|
(48)
|
39,931
|
|
43,653
|
(135)
|
43,518
|
|
(8.1)
|
(8.2)
|
(6.2)
|
|
U.S.
|
15,452
|
(123)
|
—
|
15,329
|
|
18,142
|
—
|
18,142
|
|
(14.8)
|
(15.5)
|
(15.5)
|
|
Intl
|
24,657
|
(7)
|
(48)
|
24,602
|
|
25,511
|
(135)
|
25,376
|
|
(3.3)
|
(3.0)
|
0.5
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Total
Nutrition
|
8,154
|
—
|
(48)
|
8,106
|
|
7,459
|
(135)
|
7,324
|
|
9.3
|
10.7
|
13.0
|
|
U.S.
|
3,413
|
—
|
—
|
3,413
|
|
2,919
|
—
|
2,919
|
|
16.9
|
16.9
|
16.9
|
|
Intl
|
4,741
|
—
|
(48)
|
4,693
|
|
4,540
|
(135)
|
4,405
|
|
4.4
|
6.6
|
10.4
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Pediatric
Nutrition
|
3,934
|
—
|
(48)
|
3,886
|
|
3,481
|
(135)
|
3,346
|
|
13.0
|
16.1
|
17.9
|
|
U.S.
|
1,977
|
—
|
—
|
1,977
|
|
1,562
|
—
|
1,562
|
|
26.6
|
26.6
|
26.6
|
|
Intl
|
1,957
|
—
|
(48)
|
1,909
|
|
1,919
|
(135)
|
1,784
|
|
2.0
|
7.1
|
10.3
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Total Medical
Devices
|
16,887
|
(130)
|
—
|
16,757
|
|
14,802
|
—
|
14,802
|
|
14.1
|
13.2
|
14.2
|
|
U.S.
|
7,696
|
(123)
|
—
|
7,573
|
|
6,681
|
—
|
6,681
|
|
15.2
|
13.3
|
13.3
|
|
Intl
|
9,191
|
(7)
|
—
|
9,184
|
|
8,121
|
—
|
8,121
|
|
13.2
|
13.1
|
14.9
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Vascular
|
2,681
|
(130)
|
—
|
2,551
|
|
2,483
|
—
|
2,483
|
|
8.0
|
2.7
|
4.0
|
|
U.S.
|
978
|
(123)
|
—
|
855
|
|
864
|
—
|
864
|
|
13.2
|
(1.0)
|
(1.0)
|
|
Intl
|
1,703
|
(7)
|
—
|
1,696
|
|
1,619
|
—
|
1,619
|
|
5.2
|
4.7
|
6.7
|
|
|
|
(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
Fourth Quarter Ended
December 31, 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
|
$
1
|
|
$
29
|
|
$
481
|
|
$
7
|
|
$
518
|
|
R&D
|
(6)
|
|
(4)
|
|
—
|
|
(68)
|
|
(78)
|
|
SG&A
|
(15)
|
|
(5)
|
|
—
|
|
(15)
|
|
(35)
|
|
Other (income) expense,
net
|
(6)
|
|
—
|
|
—
|
|
(3)
|
|
(9)
|
|
Earnings before
taxes
|
$
28
|
|
$
38
|
|
$
481
|
|
$
93
|
|
640
|
|
Taxes on Earnings
(d)
|
|
|
|
|
|
|
|
|
140
|
|
Net Earnings
|
|
|
|
|
|
|
|
|
$
500
|
|
Diluted Earnings per
Share
|
|
|
|
|
|
|
|
|
$
0.28
|
|
|
|
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
Fourth Quarter
Ended December 31, 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
|
$
23
|
|
$
87
|
|
$
496
|
|
$
6
|
|
$
612
|
|
R&D
|
(6)
|
|
(34)
|
|
—
|
|
(31)
|
|
(71)
|
|
SG&A
|
(7)
|
|
(135)
|
|
—
|
|
(2)
|
|
(144)
|
|
Other (income) expense,
net
|
3
|
|
—
|
|
—
|
|
(27)
|
|
(24)
|
|
Earnings before
taxes
|
$
33
|
|
$
256
|
|
$
496
|
|
$
66
|
|
851
|
|
Taxes on Earnings
(d)
|
|
|
|
|
|
|
|
|
73
|
|
Net Earnings
|
|
|
|
|
|
|
|
|
$
778
|
|
Diluted Earnings per
Share
|
|
|
|
|
|
|
|
|
$
0.44
|
|
|
|
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
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 as
well as the impairment of an equity investment.
|
|
d)
|
Reflects the net tax
benefit associated with the specified items.
|
|
Abbott Laboratories and
Subsidiaries
Details of Specified
Items
Twelve Months Ended
December 31, 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
|
$
16
|
|
$
80
|
|
$
1,966
|
|
$
47
|
|
$
2,109
|
|
R&D
|
(19)
|
|
(9)
|
|
—
|
|
(194)
|
|
(222)
|
|
SG&A
|
(58)
|
|
(33)
|
|
—
|
|
(11)
|
|
(102)
|
|
Other (income) expense,
net
|
40
|
|
—
|
|
—
|
|
(15)
|
|
25
|
|
Earnings before
taxes
|
$
53
|
|
$
122
|
|
$
1,966
|
|
$
267
|
|
2,408
|
|
Taxes on Earnings
(d)
|
|
|
|
|
|
|
|
|
329
|
|
Net Earnings
|
|
|
|
|
|
|
|
|
$
2,079
|
|
Diluted Earnings per
Share
|
|
|
|
|
|
|
|
|
$
1.18
|
|
|
|
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.
|
|
Abbott Laboratories and
Subsidiaries
Details of Specified
Items
Twelve Months Ended
December 31, 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
|
$
79
|
|
$
86
|
|
$
2,013
|
|
$
173
|
|
$
2,351
|
|
R&D
|
(16)
|
|
(38)
|
|
—
|
|
(228)
|
|
(282)
|
|
SG&A
|
(38)
|
|
(140)
|
|
—
|
|
(58)
|
|
(236)
|
|
Other (income) expense,
net
|
(12)
|
|
—
|
|
—
|
|
(43)
|
|
(55)
|
|
Earnings before
taxes
|
$
145
|
|
$
264
|
|
$
2,013
|
|
$
502
|
|
2,924
|
|
Taxes on Earnings
(d)
|
|
|
|
|
|
|
|
|
391
|
|
Net Earnings
|
|
|
|
|
|
|
|
|
$
2,533
|
|
Diluted Earnings per
Share
|
|
|
|
|
|
|
|
|
$
1.43
|
|
|
|
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 impairments of R&D
intangible assets and an equity investment 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-fourth-quarter-and-full-year-2023-results-issues-2024-financial-outlook-302043275.html
SOURCE Abbott