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AbbVie (ABBV) Beats Q2 Earnings and Revenues, Shares Up

Zacks Equity Research

North Chicago, IL-based AbbVie Inc. ABBV is best known for its autoimmune disease drug, Humira. AbbVie’s flagship product Humira is approved for several indications like rheumatoid arthritis (moderate to severe), moderately to severely active polyarticular juvenile idiopathic arthritis, active psoriatic arthritis, active ankylosing spondylitis, Crohn’s disease (moderate to severe), ulcerative colitis (moderate to severe), axial spondyloarthritis, pediatric Crohn’s disease, chronic plaque psoriasis (moderate to severe), and hidradenitis suppurativa (moderate to severe. Other key products include Imbruvica (cancer) and Mavyret (hepatitis C virus (HCV) treatment).

Performance of other drugs, namely Duodopa and Creon, are also encouraging. Leukemia drug, Venclexta, has also shown rapid growth

Humira, is a major contributor to AbbVie’s top line. While Humira will remain the key growth driver at AbbVie, Imbruvica and Mavyret are fast becoming important revenue generators.

AbbVie’s performance has been mixed, with the pharmaceuticals company delivering positive surprises in three of the past four quarter and missing estimates in one. The average earnings beat over the last four quarters is 2.58%.

Currently, AbbVie has a Zacks Rank #2 (Buy), but that could definitely change following the company’s earnings report which was just released. We have highlighted some of the key stats from this just-revealed announcement below:

Earnings: AbbVie's second-quarter earnings came in at $2.26 per share, beating the Zacks Consensus Estimate of $2.21.

Revenues: AbbVie posted revenues of $8.26 billion, which also beats the Zacks Consensus Estimate of $8.1 billion.

Key Stats: Humira sales came in at $4.9 billion, a decline of 4.8% year over year excluding currency impact. While U.S. sales increased 7.7%, sales in international markets declined 35.2% due to biosimilar impact in international market. Second-quarter Imbruvica net revenues were $1.1 billion, up 29.3% year over year. However, HCV sales declined 17.1% year-over year to $784 million.

2019 Outlook: AbbVie raised its outlook for 2019. The company expects its adjusted EPS in the range of $8.82 to $8.92 (previously $8.73 to $8.83). The Zacks Consensus Estimate is currently pegged at $8.82 per share.

Share Price Impact: Shares fell more than 2% in pre-market trading.

Check back later for our full write up on this AbbVie earnings report.

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