Summary
AbbVie Inc. (ABBV) has filed a Current Report on Form 8-K on July 3, 2025, to provide an update on its financial outlook for the second quarter and full year of 2025. The report highlights a significant pre-tax expense of $823 million related to acquired in-process research and development (IPR&D) and milestones in the second quarter. This expense is expected to have an unfavorable impact of $0.42 per share on both GAAP and adjusted non-GAAP diluted earnings per share for the quarter. While the company's full-year 2025 adjusted diluted earnings per share guidance has been updated to a range of $11.67 - $11.87 to incorporate this expense, investors should note that this IPR&D and milestones expense is inherently unpredictable and was not included in prior guidance beyond the first quarter of 2025. The company is reiterating its second quarter 2025 adjusted diluted earnings per share guidance range as $2.84 - $2.88, inclusive of this newly disclosed expense. Investors are reminded that these are preliminary estimates and final results may differ.
Key Highlights
- 1AbbVie disclosed $823 million in pre-tax acquired IPR&D and milestones expense for Q2 2025.
- 2This expense is projected to reduce Q2 2025 GAAP and adjusted EPS by $0.42 per share.
- 3Full-year 2025 adjusted diluted EPS guidance is now projected between $11.67 and $11.87.
- 4Q2 2025 adjusted diluted EPS guidance is set at $2.84 - $2.88, incorporating the IPR&D and milestones impact.
- 5The company cautions that Q2 results are preliminary and subject to closing procedures.
- 6Acquired IPR&D and milestones expenses are not typically forecasted due to their uncertain nature.
- 7Exhibit 99.1 contains detailed guidance including the impact of acquired IPR&D and milestones expense.