Abbott Laboratories missed sales estimates last quarter as nutrition revenue fell, sending shares down 10%.
Sales were up 4.4% year-over-year to US$11.46 billion, below Zacks estimates of $11.78 billion. Earnings per share were $1.50, growing 12% and in line with estimates.
“In 2025, we expanded margins and achieved double-digit earnings per share growth, our new product pipeline was highly productive, and we took important strategic steps to shape the company for the future,” said Abbott CEO Robert B. Ford.
“We're well positioned for accelerating growth in 2026.”
Sales for its nutrition segment dropped by 8.9% to $1.94 billion, including a 13.2% fall in the United States. This was due to lower sales volumes and price adjustments intended to raise future volume growth, the company said.
Its medical devices division reported the best sales performance, with 12.3% growth to $5.68 billion. Diagnostics sales were down 2.5% to $2.46 billion amid a drop in Covid-19 test sales, and established pharmaceuticals sales rose 9% to $1.38 billion.
Total U.S. sales climbed 0.9% to $4.38 billion, while international sales rose 6.7% to $7.08 billion.
Operating earnings were up 17.8% to $2.25 billion. Abbott’s operating expenses grew 1.6% to $9.21 billion.
It expects earnings per share of $1.12-1.18 for 2026’s first quarter, and $5.55-5.80 across 2026.
Abbott (NYSE: ABT) shares dropped 10% to close at $108.61, but rose 0.5% after-hours. Its market capitalisation is $188.86 billion.
