8-KEarnings & ResultsExhibits & Filings

AbbVie Inc. 8-K Report, Financial Results (Apr 5, 2023)

Filed April 5, 2023For Securities:ABBV

Summary

AbbVie Inc. (ABBV) has filed an 8-K report on April 5, 2023, to provide updated financial guidance for the first quarter and full year of 2023. The company anticipates a pre-tax charge of $150 million related to acquired In-Process Research & Development (IPR&D) and milestone expenses in the first quarter of 2023. This expense is expected to negatively impact both GAAP and non-GAAP diluted earnings per share (EPS) by approximately $0.08. Despite this one-time expense, AbbVie has reaffirmed its full-year 2023 adjusted diluted EPS guidance range of $10.62 - $11.02, now inclusive of the first quarter IPR&D charges. The company also provided an updated first quarter 2023 adjusted diluted EPS guidance range of $2.31 - $2.41, also factoring in these expenses. Investors should note that these are preliminary estimates and subject to final financial closing procedures.

Key Highlights

  • 1AbbVie anticipates a $150 million pre-tax charge in Q1 2023 for acquired IPR&D and milestones.
  • 2This expense is projected to reduce both GAAP and adjusted non-GAAP EPS by approximately $0.08 in Q1 2023.
  • 3Full-year 2023 adjusted diluted EPS guidance remains $10.62 - $11.02, now incorporating Q1 expenses.
  • 4Updated Q1 2023 adjusted diluted EPS guidance is now $2.31 - $2.41.
  • 5The company emphasizes that Q1 results are preliminary and subject to finalization.
  • 6Guidance update includes the impact of acquired IPR&D and milestone expenses previously not forecasted.
  • 7Exhibit 99.1 contains further details on the guidance, including the Q1 IPR&D expense impact.

Frequently Asked Questions

The primary reason for the updated guidance is the recognition of a $150 million pre-tax charge related to acquired In-Process Research & Development (IPR&D) and milestone expenses incurred during the first quarter of 2023.

This expense is expected to reduce both GAAP and adjusted non-GAAP diluted earnings per share by approximately $0.08 in the first quarter of 2023. While this impacts Q1 results, the full-year guidance remains unchanged.

No, AbbVie's full-year 2023 adjusted diluted earnings per share guidance range has been reaffirmed at $10.62 - $11.02. This range now incorporates the estimated impact of the acquired IPR&D and milestones expense from the first quarter, which was not previously forecasted.

No, the results for the quarter ended March 31, 2023, have not been finalized and are subject to the company's financial statement closing procedures. There is a possibility that the final results could differ from these preliminary estimates.