Drug maker AbbVie on Thursday reported second-quarter profit and sales that fell from a year earlier but topped expectations. AbbVie stock climbed on the news.
AbbVie earnings for the June quarter, including in-process research and development that reduced profits, came in at $2.91 per share, down 13% from a year earlier. Revenue fell 5% to $13.86 billion.
But analysts called for profits of $2.83 per share on revenue of $13.54 billion. A year earlier, AbbVie earned $3.37 per share on sales of $14.58 billion.
For full-year 2023, AbbVie raised its adjusted earnings forecast to a range of $10.90 to $11.10, up from its previous prediction of $10.57 to $10.97.
On the stock market today, AbbVie stock jumped 4.9% to close at 148.85.
AbbVie Stock Retreats In 2023
Heading into the earnings report, AbbVie stock had retreated 12% in 2023.
The company is dealing with falling sales of Humira amid the rise of more affordable biosimilar competitors. Humira treats various autoimmune conditions and inflammatory diseases. Amgen has launched biosimilar Amjevita at a deep discount to Humira.
AbbVie's newer immunology drugs Rinvoq and Skyrizi are expected to drive growth.
"Ex-Humira immunology, Rinvoq and Skyrizi combined revenues continued strong growth with sales of $2.8 billion in Q2 versus $2.7 billion consensus," Truist analyst Robyn Karnauskas said in a note to clients.
Bright Spots For AbbVie
Sales of Vraylar, a treatment for schizophrenia in adults and adolescents, have been a bright spot for AbbVie stock. And sales in China are rebounding, the company has stated.
AbbVie also sells anti-wrinkle treatment Botox as well as cancer drugs, Imbruvica and Venclexta. AbbVie purchased Botox-maker Allergan in 2020.
One wild card for investors in AbbVie stock is when longtime Chief Executive Rick Gonzalez will step down. That could happen as soon as 2024, analysts say.
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