Financial Data and Key Metrics Changes - For fiscal 2025, the company reported net sales of $10.3 billion, a 6% increase compared to the prior year, primarily driven by the Sovos Brands acquisition [27] - Organic net sales decreased by 1% year-over-year, attributed to lower volume and unfavorable mix and net price investment [27] - Adjusted EBIT increased by 2% compared to the previous year, while adjusted EPS decreased by 4% to $2.97 due to higher adjusted net interest expense [28][29] Business Line Data and Key Metrics Changes - Organic net sales in the meals and beverages division were flat, while snacks division saw a 3% decrease [27] - The company achieved $145 million in enterprise cost savings under a $250 million cost savings program, which was later increased to $375 million by the end of fiscal 2028 [28] Market Data and Key Metrics Changes - The company generated strong operating cash flow of $1.1 billion, slightly lower than the previous year due to changes in working capital [28] - Capital expenditures for fiscal 2025 were $426 million, an 18% decline compared to the prior year [29] Company Strategy and Development Direction - The company aims to leverage category leadership and innovation capabilities to keep its brands aligned with consumer trends while focusing on efficiency and effectiveness for sustainable long-term growth [30] - The company intends to use cost savings as a lever to offset tariff headwinds [28] Management's Comments on Operating Environment and Future Outlook - Management expressed that fiscal 2025 results were slightly ahead of expectations, driven by a focus on execution in a dynamic operating environment [27] - The company remains committed to returning cash to shareholders, having paid $459 million in dividends and $62 million in share repurchases [29] Other Important Information - The board unanimously recommended against two shareholder proposals regarding simple majority voting and a report on the effectiveness of the regenerative agriculture program [15][23] - The company’s independent audit was performed by PricewaterhouseCoopers LLP, and the results of the voting on various proposals were reported [25] Q&A Session Summary - No questions were submitted regarding the formal agenda items, and the meeting proceeded to voting [24] - Management was prepared to answer questions related to the business or operations of the company, but no questions were asked during the session [30]

Financial Data and Key Metrics Changes - For fiscal 2025, net sales reached $10.3 billion, marking a 6% increase compared to the previous year, primarily driven by the acquisition of Sovos Brands [28] - Organic net sales decreased by 1% year-over-year, attributed to lower volume and unfavorable mix and net price investment [28] - Adjusted EBIT increased by 2% compared to the prior year, while adjusted EPS decreased by 4% to $2.97 due to higher adjusted net interest expense [29] - Operating cash flow was strong at $1.1 billion, slightly lower than the previous year due to changes in working capital [29] Business Line Data and Key Metrics Changes - Organic net sales in the meals and beverages segment were flat, while the snacks segment saw a 3% decrease [28] - The company achieved $145 million in enterprise cost savings under a $250 million cost savings program, which has now been increased to $375 million by the end of fiscal 2028 [29] Market Data and Key Metrics Changes - The company is focused on leveraging category leadership and innovation capabilities to align with consumer trends, indicating a strategic response to market dynamics [30] Company Strategy and Development Direction - The company aims to deliver immediate results while building for the future by investing in brand innovation and improving operational efficiency [30] - The focus remains on sustainable long-term growth through effective resource management and strategic investments [30] Management's Comments on Operating Environment and Future Outlook - Management expressed confidence in the company's performance, noting results were slightly ahead of expectations despite a dynamic operating environment [28] - The company is committed to returning cash to shareholders, having paid $459 million in dividends and $62 million in share repurchases [29] Other Important Information - The company has a clear plan to offset tariff headwinds through increased cost savings and operational efficiencies [29] - Capital expenditures for fiscal 2025 were $426 million, an 18% decline from the prior year, reflecting a strategic focus on cost management [29] Q&A Session Summary - No questions were submitted during the Q&A session regarding the formal agenda items, and the meeting proceeded to voting [25][31]

Financial Data and Key Metrics Changes - Total net revenues for 2024 were $56.3 billion, exceeding initial expectations by over $2 billion [4] - Adjusted earnings per share were $10.12, which was $0.49 above the initial guidance midpoint, excluding the impact of IPR&D expense [4] - The company demonstrated a rapid return to sales growth following the loss of exclusivity for HUMIRA, with expectations to exceed previous peak revenue in 2025 [4][5] Business Line Data and Key Metrics Changes - AbbVie's growth platform delivered full-year sales growth of over 18%, allowing the company to absorb the largest loss of exclusivity in the industry and continue investing for long-term growth [5] - Adjusted R&D investment increased by $3 billion, with approximately 20 early-stage deals signed and acquisitions of ImmunoGen and Cerevil completed [5] Market Data and Key Metrics Changes - The company is well-positioned to deliver high single-digit compound revenue growth through the end of the decade [5] Company Strategy and Development Direction - AbbVie is focused on assets that can add depth to its pipeline and drive growth over the next decade, with significant investments in R&D and business development [23] - The company has expanded its immunology portfolio and entered new therapeutic areas such as obesity, which represents a potential new source of long-term growth [24] Management's Comments on Operating Environment and Future Outlook - Management expressed confidence in AbbVie's ability to rapidly return to growth despite challenges related to HUMIRA's loss of exclusivity [21] - The company plans to invest over $10 billion in U.S. manufacturing capacity to support volume growth and expansion into new areas [29] Other Important Information - The board of directors opposed a shareholder proposal for a simple majority vote, stating that even if it passed, it would not eliminate the supermajority voting requirement [18] Q&A Session Summary Question: Will AbbVie continue to raise the dividend in coming years? - AbbVie generates substantial free cash flow, allowing it to support a strong and growing dividend, which was increased by 5.8% in Q1 2025 [21][22] Question: Is AbbVie considering additional M&A deals to support long-term growth? - AbbVie is focused on acquiring assets that can enhance its pipeline, including recent acquisitions in immunology and oncology [23][24] Question: Why did AbbVie decide to combine the CEO and Chair roles again? - The board believes that a combined leadership structure has proven effective and ensures appropriate oversight and independence [25] Question: How will sectoral tariffs on pharmaceuticals impact AbbVie? - It is premature to speculate on the impact of sectoral tariffs, but AbbVie plans to mitigate any potential effects through inventory management and cost efficiency initiatives [27][28] Question: How has the pipeline progressed in the past year? - AbbVie achieved several regulatory approvals and is advancing multiple pipeline programs that could be significant sources of long-term growth [32][33]