Abbott Laboratories Fourth Quarter Earnings Sneak Peek

S&P 500 (NYSE:SPY) component Abbott Laboratories (NYSE:ABT) will unveil its latest earnings tomorrow, Wednesday, January 23, 2013. Abbott Laboratories is a pharmaceuticals health care company, whose main line of business is in the discovery, development, manufacture, and sale of a broad range of health care products. Its customers include wholesalers, hospitals and commercial laboratories.

Abbott Laboratories Earnings Preview Cheat Sheet

Wall St. Earnings Expectations: The average estimate of analysts is for net income of $1.50 per share, a rise of 3.4% from the company’s actual earnings for the same quarter a year ago. During the past three months, the average estimate has moved down from $1.51. Between one and three months ago, the average estimate moved down. It has been unchanged at $1.50 during the last month. Analysts are projecting profit to rise by 8.4% compared to last year’s $5.06.

Past Earnings Performance: The company has beaten estimates the last four quarters and is coming off a quarter where it topped forecasts by 2 cents, reporting profit of $1.30 per share against a mean estimate of net income of $1.28 per share.

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A Look Back: In the third quarter, profit rose more than sixfold to $1.94 billion ($1.21 a share) from $303.2 million (19 cents a share) the year earlier, exceeding analyst expectations. Revenue fell 0.4% to $9.77 billion from $9.82 billion.

Here’s how Abbott Laboratories traded following its last earnings report 3 months ago and leading up to its upcoming earnings report this week:


Analyst Ratings: There are mostly holds on the stock with 10 of 18 analysts surveyed giving that rating.

Wall St. Revenue Expectations: Analysts are projecting a rise of 1.9% in revenue from the year-earlier quarter to $10.58 billion.

Key Stats:

On the top line, the company is looking to get back on the right track after last quarter’s drop snapped a string of revenue increases. Revenue rose 4.1% in the fourth quarter of the last fiscal year, 4.6% in the first quarter and 2%in the second quarter before dropping in the third quarter.

The company enters this earnings announcement with steady profits recently. Net income has risen year-over-year average of more than twofold for the last four quarters.

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(Company fundamentals by Xignite Financials. Earnings estimates provided by Zacks)