Abbott beats profit estimates as medical device sales rebound

  • 7/22/2021
  • 00:00
  • 10
  • 0
  • 0
news-picture

July 22 (Reuters) - Abbott Laboratories (ABT.N) beat quarterly profit estimates on Thursday, driven by a rebound in its non-COVID-19 testing business and sales of its medical devices as vaccinations encouraged Americans to resume non-urgent procedures. The strong results saw the company join rival Quest Diagnostics (DGX.N) in signaling a recovery in their mainstay businesses, after a year in which they had to depend on coronavirus testing to bring in sales. Abbott said its second-quarter sales, excluding COVID testing, rose more than 11% on an organic basis from the pre-pandemic levels recorded in 2019. Its worldwide diagnostics revenue, excluding coronavirus testing, increased 42.5% from a year earlier, while medical devices sales rose 51.3% on the back of growth in its heart devices business. But the rise in vaccinations pulled down its COVID-19 testing-related sales to $1.3 billion, from $2.2 billion in the previous quarter. The company reiterated its 2021 adjusted earnings forecast of $4.30 to $4.50 per share from continuing operations. The robust quarterly performance is a positive sign for the continued recovery in the medical device industry, J.P.Morgan analyst Robbie Marcus said in a note. Marcus added that the company"s outlook "leaves room at both ends to continue to adjust to the evolving COVID landscape." Excluding items, Abbott earned $1.17 per share, beating analysts" estimates of $1.02 per share, according to Refinitiv IBES data.

مشاركة :