Abbott Reports Third-Quarter 2024 Results and Raises Midpoint of Full-Year EPS Guidance Range

Core Insights - Abbott reported third-quarter sales of $10.635 billion, reflecting a growth of 4.9$10.143 billion in the same quarter of 2023, with organic sales growth of 8.2% driven by strong performance in Medical Devices [1][26][30] - The company maintains its full-year 2024 organic sales growth guidance of 9.5% to 10.0%, excluding COVID-19 testing-related sales [2][22] - Abbott's diluted earnings per share (EPS) for the third quarter was $0.94, with adjusted diluted EPS of$1.21, marking a 14.6% increase from the previous year [2][30] Financial Performance - Total reported sales for the first nine months of 2024 reached $30.976 billion, a 3.7$29.868 billion in the same period of 2023 [32] - The company’s net earnings for the third quarter were $1.646 billion, up 14.6$1.436 billion in the prior year [30] - Abbott's operating earnings for the third quarter increased by 12.8% to $1.859 billion compared to$1.647 billion in the same quarter of 2023 [30] Business Segments - Medical Devices sales increased by 11.7% on a reported basis and 13.3% on an organic basis, with significant contributions from Diabetes Care and Structural Heart products [20] - Nutrition sales decreased by 0.3% on a reported basis but increased by 3.4% on an organic basis, driven by growth in Adult Nutrition [9][10] - Diagnostics sales were impacted by a decline in COVID-19 testing-related sales, with total diagnostics sales at $2.412 billion, down from$2.449 billion in the previous year [13][28] Strategic Initiatives - Abbott announced a new share repurchase program of up to $7 billion, reflecting confidence in its financial position [2] - The company launched Lingo™, a continuous glucose monitoring system available without a prescription, aimed at enhancing health and wellness [2] - Abbott's partnership with Medtronic aims to integrate its continuous glucose monitoring system with Medtronic's insulin delivery devices, enhancing product offerings in diabetes management [2] Market Outlook - Abbott's diversified business model positions it well for future growth, with expectations to achieve the upper end of its guidance ranges for the year [3] - The company continues to strengthen its portfolio through new product approvals and partnerships, indicating a proactive approach to market demands [1][2]