Abbott Laboratories Earnings: Profit Drop Bothers Investors
Abbott Laboratories (NYSE:ABT) generated a profit and topped Wall Street’s expectations, AND beat the revenue expectation. The revenue beat is a positive sign to shareholders seeking high growth out of the company. Shares are down 0.43%.
Abbott Laboratories Earnings Cheat Sheet
Results: Net income decreased -35.13% to $1.05 billion (66 cents per diluted share) in the quarter versus a net gain of $1.62 billion in the year-earlier quarter.
Revenue: Rose 4.07% to $10.8 billion from the year-earlier quarter.
Actual vs. Wall St. Expectations: Abbott Laboratories reported adjusted net income of $1.51 per share. By that measure, the company beat the mean analyst estimate of $1.5. It beat the average revenue estimate of $10.58 billion.
Quoting Management: “In 2012, we achieved a significant milestone in Abbott’s 125-year history with the creation of AbbVie while delivering another year of strong results,” said Miles D. White, chairman and chief executive officer, Abbott…
…Abbott’s mix of diversified healthcare businesses and pipeline is favorably aligned with key healthcare and emerging market trends, and well positioned to deliver top-tier growth in 2013.”
Revenue increased 10.51% from $9.77 billion in the previous quarter. Net income decreased 45.95% from $1.94 billion in the previous quarter.
Looking Forward: Analysts have a more negative outlook for the company’s next-quarter performance. Over the past three months, the average estimate for next quarter’s earnings has fallen from a profit of $1.12 to a profit $0.47. For the current year, the average estimate has moved down from a profit of $5.07 to a profit of $5.06 over the last ninety days.
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(Company fundamentals provided by Xignite Financials.)