Summary
AbbVie Inc. reported solid financial results for the nine months ended September 29, 2022, with net revenues reaching $42.9 billion, a 3.9% increase on a reported basis and 5.6% on a constant currency basis. Diluted earnings per share (EPS) stood at $5.24 for the same period. The company demonstrated robust operational cash flow of $17.5 billion, underscoring its financial strength. The key growth drivers for AbbVie were its immunology portfolio, particularly Skyrizi and Rinvoq, which saw significant revenue increases of 78% and 59% respectively (on a constant currency basis) driven by expanded indications and strong market uptake. While Humira sales showed modest growth in the U.S., international performance was impacted by biosimilar competition. The Aesthetics segment, led by Botox Cosmetic, also performed well with a 26% revenue increase (constant currency), while Imbruvica experienced a revenue decline. Despite a substantial increase in Selling, General, and Administrative (SG&A) expenses, largely due to litigation reserves and product launch costs, and a significant intangible asset impairment charge, AbbVie maintained a strong financial position. The company continued to return cash to shareholders through dividends, increasing its quarterly dividend, and actively repurchased shares. AbbVie's diversified product portfolio and ongoing investment in its pipeline position it for continued growth, though investors should remain mindful of ongoing litigation and competitive pressures.
Financial Highlights
55 data points| Revenue | $14.81B |
| Cost of Revenue | $5.02B |
| Gross Profit | $9.79B |
| SG&A Expenses | $3.30B |
| Operating Expenses | $10.21B |
| Operating Income | $4.60B |
| Interest Expense | $560.00M |
| Net Income | $3.95B |
| EPS (Basic) | $2.22 |
| EPS (Diluted) | $2.21 |
| Shares Outstanding (Basic) | 1.77B |
| Shares Outstanding (Diluted) | 1.78B |
Key Highlights
- 1AbbVie reported total net revenues of $42.9 billion for the first nine months of 2022, a 3.9% increase (5.6% constant currency) year-over-year.
- 2The Immunology portfolio, including Skyrizi and Rinvoq, showed substantial growth with revenues up 75.6% and 54.5% respectively (constant currency), driven by new approvals and expanded indications.
- 3Humira's U.S. sales grew 6.5%, but international sales declined 20.9% (constant currency) due to biosimilar competition.
- 4The Aesthetics segment, particularly Botox Cosmetic, saw strong performance with a 26% revenue increase (constant currency).
- 5Diluted EPS was $5.24 for the nine months ended September 30, 2022. The period was impacted by significant non-cash charges including $4.8 billion for amortization of intangibles, $2.0 billion for litigation reserves, and $604 million for intangible asset impairment.
- 6Operating cash flow remained strong at $17.5 billion for the nine months ended September 30, 2022.
- 7AbbVie announced an increase in its quarterly cash dividend to $1.48 per share, reflecting continued commitment to returning capital to shareholders.