01—Abstract
Summary
Summary of the 10-K filed February 14, 2025. Cited figures are marked; the original filing is the authoritative source.
AbbVie Inc. reported robust net revenues of $56.3 billiona for the fiscal year 2024, marking a 3.7% increase driven by strong performance in its immunology, oncology, and neuroscience portfolios.
Key growth drivers included significant revenue increases for Skyrizi (+51%b) and Rinvoq (+50%), demonstrating strong market adoption and therapeutic differentiation. Despite the continued impact of Humira biosimilar competition, which saw a 37.6% revenue decline, AbbVie's diversified product base and strategic acquisitions, notably Cerevel Therapeutics and ImmunoGen, have positioned the company for continued growth.
The company's financial results reflect substantial investments in research and development, a key strategic objective to fuel future innovation. AbbVie also continued to return capital to shareholders through increased dividends and share repurchases, underscoring its commitment to shareholder value.
02—Key points
Key Highlights
- AbbVie reported total net revenues of $56.3 billion for 2024, a 3.7% increase compared to 2023, driven by strong growth in its key therapeutic areas.
- Skyrizi and Rinvoq demonstrated significant growth, with net revenues increasing by 51% and 50% respectively, highlighting their strong market performance.
- Humira experienced a substantial revenue decline of 37.6% due to ongoing biosimilar competition in the United States and internationally.
- The company completed two significant acquisitions in 2024: Cerevel Therapeutics for $8.7 billion to bolster its neuroscience pipeline and ImmunoGen for $9.8 billion to enhance its oncology portfolio, particularly in antibody-drug conjugates (ADCs).
- Research and Development (R&D) expenses increased significantly by 67% to $12.8 billion, reflecting substantial investments in pipeline advancement and new drug development.
- AbbVie's diluted earnings per share (EPS) was $2.39, which was impacted by significant non-cash charges including amortization of intangibles, impairment charges, and changes in fair value of contingent consideration liabilities.
- The company announced an increase in its quarterly dividend by 5.8% to $1.64 per share, demonstrating continued commitment to returning capital to shareholders.
03—One dollar
Follow one dollar
Of each $1.00 of revenue in FY2024, AbbVie Inc. kept $0.08.
- Revenue$56.33B100.0%
- Cost of revenue−$16.90B30.0%
- Gross profit$39.43B70.0%
- Operating costs−$30.29B53.8%
- Operating income$9.14B16.2%
- Interest, other & tax−$4.86B8.6%
- Net income$4.28B7.6%
Where FY2024 revenue went
$56.33B- Cost of revenue: $16.90B, 30% of revenue
- Other operating costs: $15.54B, 28% of revenue
- SG&A: $14.75B, 26% of revenue
- Net income: $4.28B, 7.6% of revenue
- Interest, other & tax: $4.86B, 8.6% of revenue
Kept 7.6% as net income
Full revenue history →04—Financials
Financial Highlights
Figures from 10-KFY2024filed February 14, 2025Financial Statements
FY2024 against FY2023
| Line item | FY2024FY2023 | Change |
|---|---|---|
| Revenue | $56.33B$54.32B | +3.7% |
| Cost of Revenue | $16.90B$20.41B | −17.2% |
| Gross Profit | $39.43B$33.90B | +16.3% |
| SG&A Expenses | $14.75B$12.87B | +14.6% |
| Operating Expenses | $47.20B$41.56B | +13.6% |
| Operating Income | $9.14B$12.76B | −28.4% |
| Interest Expense | $2.81B$2.22B | +26.3% |
| Net Income | $4.28B$4.86B | −12.0% |
| EPS (Basic) | $2.40$2.73 | −12.1% |
| EPS (Diluted) | $2.39$2.72 | −12.1% |
| Shares Outstanding (Basic) | 1.77B1.77B | +0.1% |
| Shares Outstanding (Diluted) | 1.77B1.77B | 0.0% |
05—Questions
Frequently Asked Questions
What was AbbVie's overall financial performance in 2024?
AbbVie reported total net revenues of $56.3 billion in 2024, a 3.7% increase year-over-year. While facing headwinds from Humira biosimilar competition, growth was driven by strong performance from Skyrizi and Rinvoq, alongside contributions from recent acquisitions in neuroscience and oncology.
How are AbbVie's key growth products performing, and what is the outlook for Humira?
Skyrizi and Rinvoq are performing exceptionally well, with revenue growth rates of 51% and 50%, respectively, indicating strong market penetration and patient uptake. Humira's revenue declined by 37.6% due to biosimilar competition, a trend that is expected to continue impacting its sales.
What were the significant strategic moves AbbVie made in 2024?
In 2024, AbbVie made two major strategic acquisitions: Cerevel Therapeutics for $8.7 billion to expand its neuroscience portfolio and ImmunoGen for $9.8 billion to strengthen its oncology business, particularly in the promising area of antibody-drug conjugates (ADCs).
How is AbbVie investing in future growth?
AbbVie significantly increased its R&D spending by 67% to $12.8 billion in 2024, reflecting a strong commitment to advancing its pipeline of new therapies across key areas like immunology, oncology, neuroscience, and eye care.
06—Continue