Abbott Laboratories shares jumped 12% following the healthcare company's robust second-quarter results. According to reports from The Economic Times, the company reported second-quarter sales rose 13% on a reported basis and 4.8% on a comparable basis. The company achieved GAAP diluted earnings per share of $0.53, while adjusted diluted earnings per share came in at $1.31, excluding specified items. This strong performance encouraged investor confidence in the company's growth trajectory, with the results beating Wall Street's revenue expectations by 1.1% and non-GAAP profit of $1.31 per share beating analysts' consensus estimates by 2.6%. The stock traded up 3.3% to $93.25 immediately following the results, with shares currently trading at $99.82 on the New York Stock Exchange, gaining 11.92% in the latest session. The stock opened at $95.29 and touched an intraday high of $101.87, with the stock having traded between $81.97 and $137.49 over the past 12 months.
The company significantly raised its full-year 2026 adjusted diluted EPS guidance to a range of $5.45 to $5.60, up from its earlier guidance of $5.38 to $5.58. As reported by The Economic Times, Abbott also reaffirmed its full-year comparable sales growth guidance of 6.5% to 7.5%. Robert B. Ford, chairman and chief executive officer, stated that "Our second-quarter results reflect the momentum we are building. We expect this momentum to continue and drive accelerating sales and earnings growth in the second half of the year." For the third quarter, the company expects adjusted EPS of $1.38 to $1.46. Management indicated that 80% of the second-half growth acceleration is expected to come from four key areas: nutrition, electrophysiology, core laboratory diagnostics and cancer diagnostics. Ford said the company entered the second half of the year with "momentum building across the portfolio" and "clear line of sight" to the drivers behind expected sales growth acceleration.
According to The Economic Times, adjusted gross margin improved to 58.0% of sales, up 100 basis points from a year earlier, supporting the company's confidence in raising full-year guidance. Chief Financial Officer Phil Boudreau attributed the improvement to favorable business mix within Abbott's legacy portfolio, the addition of Exact Sciences, operational improvements and disciplined execution of margin expansion initiatives. Adjusted research and development expense was 6.9% of sales, while adjusted selling, general and administrative expense was 28.6% of sales. Foreign exchange had a favorable 0.8% year-over-year impact on second-quarter sales, slightly better than Abbott expected in April. Based on current rates, Boudreau said the company expects foreign exchange to have a positive impact of about 1% on full-year sales, including an expected negative impact of about 1% in the third quarter.
According to The Economic Times, Abbott highlighted significant progress across its medical device and diagnostics pipeline. In April, the company completed enrolment in its TECTONIC US pivotal trial evaluating its investigational Coronary Intravascular Lithotripsy system for treating severe calcium build-up in coronary arteries. At the Heart Rhythm Society conference in April, Abbott presented late-breaking data from four clinical trials showing strong clinical outcomes across its pulsed field ablation and conduction system pacing portfolios. The company also completed enrolment in its TECTONIC US pivotal trial evaluating its investigational Coronary Intravascular Lithotripsy system for treating severe calcium build-up in coronary arteries. Libre Duo, a dual glucose-ketone sensor, has received a CE mark and is set for international rollout in the fall, while Volt 2.0, a next-generation electrophysiology catheter, is moving to full U.S. market release in the third quarter. Additionally, Amulet 360, a next-generation left atrial appendage device, has been submitted to the FDA.
As reported by The Economic Times, in May, Abbott secured CE Mark approval for Libre Duo, described as the world's first dual glucose-ketone biowearable sensor. The device provides real-time visibility into both glucose and ketone levels, helping people with diabetes detect rising ketone levels that may lead to diabetic ketoacidosis. Additionally, Abbott completed its submission to the US Food and Drug Administration seeking approval for its Amulet 360 left atrial appendage device, demonstrating continued innovation in cardiovascular medical devices. The company also completed its submission to the US Food and Drug Administration seeking approval for its Amulet 360 left atrial appendage device.
