Abbott Laboratories (ABT - Free Report) is an Illinois-based company focused on bringing a diverse line of healthcare products to the market.
Abbott Labs reports its diversified business in four segments – namely Established Pharmaceuticals Division (EPD), Medical Devices, Diagnostics and Nutrition.
The company has reshaped its portfolio through strategic acquisitions/divestitures in recent times. It has also been taking strategic steps to expand its footprint in the growing geographies and investing in R&D, which has resulted in numerous new product launches across its businesses.
In Feb 2015, Abbott completed the sale of its branded generics pharmaceuticals business in developed markets. Realignment of the EPD division through acquisitions in Latin America and Russia, along with business divestitures in developed markets, has positioned the company well for the coming quarters. However, unfavorable movement in foreign currency rates is affecting the top line adversely.
Abbott Labs has an impressive track record as the company beat estimates in the last four trailing quarters with an average positive earnings surprise of 3.11%.
Currently, Abbott Labs has a Zacks Rank #4 (Sell), but that could definitely change following the company’s earnings report which was just released. We have highlighted some of the key stats from this just-revealed announcement below:
Earnings: Our consensus called for EPS of 58 cents per share, while the company reported EPS of 59 cents (from continuing operations excluding one-time items).
Revenue: Abbott Labs posted revenues of $5.3 billion, in line with our expectations.
Key Stats: The recent launches of FreeStyle Libre and MitraClip have boosted the performance. Foreign currency exchange rate movements negatively impacted sales by 1.1%. The company expects 2016 earnings per share in the range of $2.19 per share to $2.21 per share (excluding specified items).
Check back later for our full write up on this Abbott Labs earnings report later!
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