The drug company AbbVie beat Wall Street earnings estimates for the second quarter in results issued Friday morning, but issued guidance for the full year that fell below analyst expectations.
AbbVie (ticker: ABBV) reported earnings for the quarter of $2.34 per share, beating the S&P Capital IQ Consensus estimate of $2.20 per share. The company reported revenues for the quarter of $10.4 billion, which solidly beat the S&P Capital IQ Consensus estimate of $10.1 billion.
But it also said it expects adjusted diluted earnings per share of between $10.35 and $10.45 for the full year, below the $10.51 per share called for by the S&P Capital IQ Consensus.
The stock was falling on Friday morning by 1.8%, at $94.32. The
is down 0.4%. The company closed a major acquisition in the second quarter, completing the controversial purchase of Allergan.
“We believe these results should be well-received as the company continues to deliver in the face of the Covid-19 pandemic and the impact of the Allergan acquisition is starting to shine through,” Mizuho analyst Vamil Divan wrote in a note out Friday morning.
AbbVie reported $4.8 billion in sales of its aging blockbuster drug Humira for the quarter. Sales of Humira actually rose in the U.S. since the same quarter last year by 4.8%, but fell internationally by 19.9% on a reported basis. Humira sales beat the FactSet consensus estimate of $4.7 billion.
In a statement, AbbVie CEO Richard Gonzalez said that the adverse impact of Covid-19 on AbbVie’s business was less than expected. He said that new patient starts have begun to recover. “The integration of Allergan is going well, with a strong recovery in the aesthetics portfolio and accretion ahead of expectations,” he said.
Sales of Botox, an Allergan product, were down 43.1% compared with the same quarter last year due to the pandemic.
“Generally strong commercial performance despite CoV-19,” Piper Sandler analyst Christopher Raymond wrote in a note early Friday.
Shares of AbbVie are up 7% so far this year. The stock trades at 8.4 times earnings, well below its five-year average of 10.9 times earnings, according to FactSet. Of the 16 analysts who cover AbbVie, 12 rate it a Buy or Overweight, while four rate it a hold.
Corrections & Amplifications
AbbVie reported adjusted diluted earnings for the second quarter of $2.34 per share. An earlier version of this article incorrectly said it had reported adjusted diluted EPS of $2.24.
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