AbbVie Q1 Results Beat Estimates On Strong Humira Sales, Backs FY View - Update

(RTTNews) - Research-based biopharmaceutical company AbbVie Inc. (ABBV) Friday reported a higher first-quarter profit, as sales grew driven mainly by continued strength of arthritis drug Humira. Adjusted earnings, as well as revenues beat analysts' expectations. The company also confirmed its outlook for full year 2014.

For the first quarter, the company's net earnings increased to $980 million or $0.61 per share from $968 million or $0.60 per share in the previous year. Excluding specified items, adjusted earnings were $0.71, while the company posted $0.68 per share in the prior-year quarter.

On average, 10 analysts polled by Thomson Reuters expected the company to report earnings of $0.68 per share for the quarter. Analysts' estimates typically exclude special items.

Net sales for the quarter grew 5.4 percent to $4.56 billion from $4.33 billion in the same quarter last year, and came above analysts' estimate of $4.33 billion.

On an operational basis, sales increased 6.7 percent, excluding a 1.3 percent unfavorable impact from foreign exchange rate fluctuations. Excluding sales from the company's lipid franchise due to the loss of exclusivity, sales increased 13.5 percent on an operational basis in the recent quarter.

Humira sales increased 17.5 percent, or 18.4 percent on an operational basis. Total company sales growth was also driven by double-digit growth from key products including Synthroid, Creon and Duodopa.

For full year 2014, the firm still expects earnings range of $2.63 to $2.73, while on an adjusted basis, sees earnings per share of $3.00 to $3.10. The company said its 2014 adjusted earnings-per-share guidance excludes $0.37 per share of intangible asset amortization expense and other specified items, mainly associated with certain separation-related costs and ongoing restructuring activities.

The company continues to expect annual revenue of about $19 billion, excluding any potential revenue from the expected 2014 U.S. launch of its HCV therapy. Street is currently looking for fiscal year 2014 earnings of $3.11 per share, on annual revenues of $19.16 billion.

Richard Gonzalez, chairman and chief executive officer of the company said, "As we look ahead to the remainder of 2014, we continue to expect a significant amount of progress from our pipeline. This includes key data presentations, phase transitions, regulatory submissions, and U.S. approval of our interferon-free HCV combination in 2014."

ABBV closed Thursday's regular trading at $49.32 on the NYSE. In the pre-market activity, the shares are up 0.22 percent.