Abbott Laboratories (ABT)

[DewDiligence]

ABT reports 3Q22 results—raises 2022 EPS guidance:

https://abbott.mediaroom.com/2022-10-19-Abbott-Reports-Third-Quarter-2022-Results-and-Raises-Full-Year-EPS-Guidance

The stock is trading down this morning because 3Q22 sales were hit by three factors: 1) The recall of infant formula produced at the Sturgis, MI plant; 2) declining COVID diagnostics ($1.7B in 3Q22 vs $2.3B in 2Q22); and 3) the strong US dollar. Despite all this ABT now expects full-year 2022 non-GAAP EPS of $5.17-5.23 (up from the [lowball] prior guidance of $4.90B+).

4Q22 COVID-diagnostics sales are expected to be $500M, assuming no new spike in the pandemic.

3Q22 Freestyle Libre sales were $1.0B, +40% YoY in the US, but down YoY ex-US due to timing considerations (i.e. a changeover from Libre 2 to Libre 3 in major EU markets).