AbbVie Revenue Decreases in Q4, But Beats Expectations
AbbVie, a leading drugmaker, reported a decrease in revenue for the fourth quarter, primarily due to a decline in sales of its flagship drug Humira. However, the company managed to surpass analyst expectations, thanks to the growth of other medications in its immunology portfolio.
Financial Performance
In Q4, AbbVie recorded a profit of $822 million, or 46 cents per share. This is notably lower than the $2.47 billion, or $1.38 per share, it earned during the same period in the previous year. Adjusted earnings, excluding one-time items, amounted to $2.79 per share, slightly below the projected $2.80 per share.
Revenue for the quarter stood at $14.3 billion, a decrease from the previous year's $15.12 billion. Nevertheless, this figure still exceeded analyst forecasts of $14.02 billion.
Humira Faces Biosimilar Competition
The revenue decline can be attributed to the 41% drop in sales of Humira, AbbVie's immune-disease therapy, which is facing competition from biosimilars. Despite this setback, Skyrizi and Rinvoq, AbbVie's arthritis drugs, saw impressive growth rates of 52% and 63%, respectively.
Promising Outlook
Looking ahead, AbbVie projects adjusted earnings between $11.05 and $11.25 for 2024. This forecast includes a dilutive impact of 32 cents per share from the planned acquisitions of ImmunoGen and Cerevel Therapeutics. These acquisitions are expected to be finalized in the middle of this year.
Moreover, AbbVie has revised its long-term outlook for Skyrizi and Rinvoq, raising the revenue projection from these drugs to $27 billion in 2027. This represents an increase from the previously projected $21 billion.
AbbVie, headquartered in North Chicago, Illinois, is optimistic about the future and the potential growth of its immunology portfolio.
All Rights Reserved © 2024
Post a comment