ABBOTT PARK, Ill. (
reported more or less in line results on Wednesday morning, beating the Street by a penny with earnings per share of $1.01 and hitting over $8.8 billion in revenue, right in line with the consensus. There wasn't the expectation of much margin for error in the Abbott earnings, with the estimates of 16 Street analysts only ranging from 99 cents to $1.02.
The $1.01 in second quarter earnings exceeded Abbott's previous guidance by a penny, and represented 13.5% earnings growth.
The Abbott earnings and outlook was not much to get excited about. Net income was flat, at just under $1.3 billion. Previously issued 2010 earnings guidance from Abbott was reaffirmed, with earnings per share expectations of $4.13 to $4.18. The Street consensus for the full year is in the middle of the Abbott range, at $4.15.
Abbott shares were up 1% in the pre-market on Wednesday morning.
The biggest negatives in the Abbott results were higher expenses and the decline in sales of its HIV drug Kaletra, which reported reduced sales in all of Abbott's major markets versus the second quarter 2009. Sales of Kaletra dropped 14% globally to $294 million.
Overall, Abbott's drug sales increased 24.5%, with primary drivers being international sales of arthritis drug Humira, and vascular device sales, with international growing by 50%.
Abbott's spending was up by more than one-third from the previous second quarter, and R&D expenses were up by 28%. The drug company said the SG&A and R&D increases reflected growth plans, investment in its major drug lines, and costs associated with the recent Solvay Pharmaceuticals acquisition.
-- Written by Eric Rosenbaum from New York.
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