AbbVie Inc. (ABBV) reported adjusted earnings of $2.79 per share for fourth-quarter 2023, beating the Zacks Consensus Estimate of $2.76. The reported earnings also exceeded the guidance of $2.72-$2.76. However, earnings declined 22.5% year over year.ABBV’s revenues of $14.30 billion beat the Zacks Consensus Estimate of $14.05 billion. Sales declined 5.4% year over year, both on a reported basis and an operational basis. The downside was caused by lower sales of Humira and Imbruvica, which was partially offs ...

Financial Data and Key Metrics Changes - AbbVie reported total net revenues of $54.3 billion for the year, exceeding initial guidance by approximately $2.3 billion [9] - Adjusted earnings per share for the full year were $11.11, which is $0.63 above the initial guidance midpoint [9] - The adjusted operating margin ratio was 43.8% of sales, with an adjusted gross margin of 83.9% [39] Business Line Data and Key Metrics Changes - The growth platform excluding Humira delivered full-year sales growth of over 8%, with revenue growth accelerating to more than 15% in Q4 [6] - Immunology revenues exceeded expectations, with Skyrizi sales at approximately $2.4 billion (51.6% operational growth) and Rinvoq at over $1.2 billion (62.8% operational growth) [15] - Oncology revenues totaled $1.5 billion, with Imbruvica down 19% to $903 million and Venclexta up 13.7% to $589 million [19] - Aesthetics sales were approximately $1.4 billion, with U.S. Botox Cosmetic sales increasing by 7.3% [24] Market Data and Key Metrics Changes - Global sales for Skyrizi are expected to exceed $17 billion by 2027, while Rinvoq is anticipated to achieve over $10 billion in the same timeframe [13] - The U.S. market for Humira saw a 40.8% decline due to biosimilar competition, with global sales at $3.3 billion [18] - Neuroscience revenues were over $7.7 billion for the year, reflecting nearly $1.2 billion in growth [21] Company Strategy and Development Direction - AbbVie is focused on driving strong performance from its ex-Humira growth platform, with key brands expected to contribute double-digit sales growth in 2024 [10] - The company plans to prioritize investments in its pipeline, with several important R&D programs anticipated for updates this year [11] - AbbVie aims to close and integrate the acquisitions of ImmunoGen and Cerevel, which are expected to enhance revenue growth into the next decade [11] Management's Comments on Operating Environment and Future Outlook - Management expressed confidence in returning to operational sales growth in 2024, one year after the Humira loss of exclusivity [8] - The long-term sales outlook includes a return to robust revenue growth in 2025, with a high single-digit CAGR through the end of the decade [12] - Management highlighted the significant growth potential in the immunology market, particularly for Rinvoq and Skyrizi [53] Other Important Information - AbbVie increased its quarterly dividend, which has grown by more than 285% since inception [7] - The company expects to generate free cash flow of approximately $18 billion in 2024, supporting dividend growth and debt repayment [45] Q&A Session Summary Question: Long-term immunology outlook and growth drivers - Management indicated that there is significant headroom for growth in immunology, with both Rinvoq and Skyrizi expected to contribute to revenue growth beyond 2027, with Rinvoq likely having a higher growth rate due to new indications [50][55] Question: Succession planning update - Management stated that there is no new update on succession planning but emphasized that the transition will occur when the business is performing at a high level post-Humira LOE [58][60] Question: Commercial opportunity for lutikizumab in HS - Management highlighted that HS is a significant commercial opportunity, with expectations for continued market expansion and the potential for lutikizumab to succeed in IBD due to its mechanism of action [63][64] Question: Impact of RNA IRA-mediated price cuts - Management believes that the impact of IRA negotiations will be largely contained to the Medicare side and will not significantly affect the commercial market [67] Question: Plans for ImmunoGen acquisition and earlier lines of therapy - Management discussed strategies to move Elahere into earlier lines of ovarian cancer therapy, focusing on sensitive populations and combination therapies [71]

The big jobs numbers out this week came from this morning’s U.S. Bureau of Labor Statistics' (BLS) Employment Situation report, which surprised to the upside in a major way: 353K new jobs created for January, nearly double the 180K or so analysts were looking for. A big upward revision for December accompanies this headline, from 216K originally reported to 333K today. These are far and away the strongest months for jobs gains in the past 12 months. The Unemployment Rate stayed at 3.7%, where it’s been for ...

About this content About Emily Jarvie Emily began her career as a political journalist for Australian Community Media in Hobart, Tasmania. After she relocated to Toronto, Canada, she reported on business, legal, and scientific developments in the emerging psychedelics sector before joining Proactive in 2022. She brings a strong journalism background with her work featured in newspapers, magazines, and digital publications across Australia, Europe, and North America, including The Examiner, The Advocate, ...

The big jobs numbers out this week came from this morning’s U.S. Bureau of Labor Statistics' (BLS) Employment Situation report, which surprised to the upside in a major way: 353K new jobs created for January, nearly double the 180K or so analysts were looking for. A big upward revision for December accompanies this headline, from 216K originally reported to 333K today. These are far and away the strongest months for jobs gains in the past 12 months. The Unemployment Rate stayed at 3.7%, where it’s been for ...

For the quarter ended December 2023, AbbVie (ABBV) reported revenue of $14.3 billion, down 5.4% over the same period last year. EPS came in at $2.79, compared to $3.60 in the year-ago quarter.The reported revenue represents a surprise of +1.78% over the Zacks Consensus Estimate of $14.05 billion. With the consensus EPS estimate being $2.76, the EPS surprise was +1.09%.While investors closely watch year-over-year changes in headline numbers -- revenue and earnings -- and how they compare to Wall Street expec ...

Key PointsAbbVie's treatment for patent-cliff woes is working and has the company on track to return to growth soon. Humira continues to outperform, and the non-Humira portfolio is more robust than expected. The pipeline is robust and amplified by recently announced acquisitions expected to close this year. 5 stocks we like better than AbbVieAbbVie NYSE: ABBV is turning an important corner in 2024 and is on track to resume growth. Its Humira-related patent cliff aside, the business is stronger than ever, an ...

The fourth-quarter earnings season is in full swing for the drug and biotech sector.  The performance of the large drugmakers that have reported so far has been rather lukewarm, with most posting mixed results.Higher tax rates due to changes in global tax regulations, concerns around the economy and inflation, regular pipeline setbacks and the slow ramp-up of newer drugs are some concerns of drug developers. Uncertainty about the impact of Medicare drug price negotiations and the Federal Trade Commission’s ...

AbbVie (ABBV) came out with quarterly earnings of $2.79 per share, beating the Zacks Consensus Estimate of $2.76 per share. This compares to earnings of $3.60 per share a year ago. These figures are adjusted for non-recurring items.This quarterly report represents an earnings surprise of 1.09%. A quarter ago, it was expected that this drugmaker would post earnings of $2.86 per share when it actually produced earnings of $2.95, delivering a surprise of 3.15%.Over the last four quarters, the company has surpa ...

Pharmaceuticals company AbbVie (NYSE: ABBV) reported its Q4 and full year financial results for 2023 this afternoon.The American medical R&D powerhouse had some setbacks in the year, including disappointing profits from their drug Humira, which lost significant market share to generic knockoffs in both the US and abroad in 2023. Full year resultsCopy link to sectionThe company reported net revenues of $54.318 billion, 6.4 percent less YoY than 2022, and diluted EPS of $2.72 for the full year on a GAAP basis ...