Abbott reports in-line Q4 earnings, shares dip on revenue miss

Published 01/22/2025, 07:07 AM
© Reuters.

Investing.com -- Abbott reported fourth-quarter earnings that met analyst expectations, but shares fell as revenue came in slightly below estimates.

The healthcare products company posted adjusted earnings per share of $1.34, in line with the consensus forecast. Revenue for the quarter rose 7.2% year-over-year to $10.97 billion, just shy of the $11.03 billion analysts were expecting.

Abbott's stock dropped 2.4% following the release.

For the full year 2024, Abbott achieved $42.0 billion in sales, up 4.6% on a reported basis. Organic sales growth for the underlying base business, excluding COVID-19 testing, increased 9.6%.

"We finished the year with very strong momentum. Sales growth and earnings per share growth in the fourth quarter were the highest of the year," said Robert B. Ford (NYSE:F), chairman and CEO of Abbott.

Looking ahead, Abbott projects full-year 2025 organic sales growth of 7.5% to 8.5%. The company expects adjusted earnings per share of $5.05 to $5.25 for 2025, compared to analyst estimates of $5.16.

Abbott's Medical (TASE:PMCN) Devices segment was a bright spot, with sales rising 13.7% to $5.05 billion in Q4. The Diabetes Care unit within Medical Devices saw 20.1% growth, driven by strong demand for the FreeStyle Libre continuous glucose monitoring system.

The company's board declared a quarterly dividend of $0.59 per share, marking Abbott's 404th consecutive quarterly dividend payment.

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