Abbott’s revenue increases 3.2% in second quarter
For the second quarter of fiscal year 2016, Abbott’s sales increased 3.2 percent to $5.33 billion, while its net earnings decreased 21.5 percent compared with the same period of 2015.
Sales in Abbott’s medical devices division grew 6.4 percent during the quarter to $1.37 billion, including $782 million in the vascular line (up 8.3 percent), $283 million in the diabetes care line (up 1.7 percent) and $307 million in the medical optics line (up 6.2 percent).
Within the vascular product line, sales of coronary devices increased 2.1 percent to $569 million and sales of endovascular devices increased 9.4 percent to $145 million.
Abbott’s coronary devices include its drug-eluting stents, bioresorbable vascular scaffold system, structural heart, guidewires, balloon catheters and other coronary products. The company’s endovascular devices include vessel closure, carotid stents and other peripheral products.
Sales Abbott’s MitraClip delivery system increased by double digits during the quarter, according to the company. The FDA approved the MitraClip in October 2013 to treat patients with degenerative mitral regurgitation. In February, Abbott voluntarily recalled the MitraClip, although it did not remove products from distribution.
Abbott’s upcoming earnings reports could be affected positively by two recent news items. On April 28, Abbott agreed to acquire St. Jude Medical in a cash and stock transaction valued at approximately $25 billion. The deal is expected to close by the end of 2016.
In July, the FDA approved Abbott’s Absorb bioresorbable drug-eluting stent for patients with coronary artery disease.
Abbott also released earnings guidance when it announced its second quarter results. For the full year, the company projects earnings per share from continuing operations of $2.14 to $2.24, which is unchanged from its previous estimate.
Executive Editor
Tim Casey joined TriMed Media Group in 2015 as Executive Editor. For the previous four years, he worked as an editor and writer for HMP Communications, primarily focused on covering managed care issues and reporting from medical and health care conferences. He was also a staff reporter at the Sacramento Bee for more than four years covering professional, college and high school sports. He earned his undergraduate degree in psychology from the University of Notre Dame and his MBA degree from Georgetown University.