Abbott beats Street on strong medical device, generics sales
Abbott Laboratories` profit and sales topped analysts` estimates on robust sales of medical devices and generic drugs, leading it to raise the high-end of its adjusted earnings forecast for the year.
Abbott had a string of medical device approvals in the quarter that will spur future growth at its largest unit, which saw sales rise 6.5 percent to $2.60 billion. The company also benefited from the recent St. Jude Medical acquisition.
"Strength in medical devices pulled this quarter ... recent product approvals puts Abbott in a good position," Raj Denhoy from Jefferies told Reuters.
Sales at the diversified healthcare company`s established generics unit, which surged 16 percent, also helped the quarter.
Abbott forecast full-year adjusted 2017 profit from continuing operations of $2.48-$2.50 per share. It had earlier expected earnings per share of $2.43-$2.53.
The company`s shares were trading marginally up at $55.45 before the bell on Wednesday.
Several devices received U.S. Food and Drug Administration approvals in the quarter, including Abbott`s FreeStyle Libre glucose monitoring system and two of its heart devices - HeartMate 3 and Ellipse.
Excluding items, profit was 66 cents per share. Net sales rose to $6.83 billion from $5.30 billion.
Analysts on average expected earnings of 65 cents per share, on revenue of $6.72 billion, according to Thomson Reuters I/B/E/S.
Net earnings rose to $603 million, or 34 cents per share, in the third quarter ended Sept. 30, from a loss of $329 million, or 22 cents per share, a year earlier, when it recorded a charge.
(This article has not been edited by Zeebiz editorial team and is auto-generated from an agency feed.)
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