Abbott profit beats estimates on higher sales of generics
Abbott Laboratories Inc reported a slightly better-than-expected quarterly profit, helped by higher sales of its branded generics.
Sales at Abbott’s three largest businesses – nutritional products, diagnostic products and pharmaceutical products – rose in the second quarter, helping the company reaffirm its full-year profit forecast.
The acquisition of Chile’s CFR Pharmaceuticals S.A. in September helped Abbott’s branded generics business, which was the biggest boost to revenue in the three months ended June 30.
Sales in the company’s established pharmaceutical products business, which includes branded generics, rose 31.3 percent to $977 million, excluding the impact of currency.
The unit accounted for 19 percent of Abbott’s total quarterly revenue of $5.17 billion, which was up about 2 percent from a year earlier.
The drugmaker’s net income rose to $786 million, or 52 cents per share, from $466 million, or 30 cents per share.
The results included a $207 million pre-tax gain from the sale of Mylan NV shares, which it got when it sold a part of its branded pharmaceutical products portfolio to Mylan a year ago.
Analysts on average were expecting a profit of 50 cents per share and revenue of $5.15 billion, according to Thomson Reuters I/B/E/S.
(Reporting by Vidya L Nathan in Bengaluru; Editing by Sriraj Kalluvila and Savio D’Souza)