Abbott touts portfolio balance in downturn
This article was originally published in The Tan Sheet
Executive Summary
The Abbott Park, Ill.-based health firm expects to overcome a slight drop in first quarter revenue, from $6.8 billion to $6.7 billion, with a "well-balanced, highly diverse portfolio," CEO Miles White said during an April 15 earnings call. The company's global nutritionals business sold $1.2 billion in the January-March period, a 6.4 percent jump from the year-ago period, including the negative effects of foreign exchange. John Thomas, VP of investor relations, said Glucerna and Ensure drove a 6.2 percent increase in U.S. adult nutritional sales, to $288 million. U.S. pediatric nutritionals fell 3.2 percent to $295 million. Thomas added Abbott expects mid- to high-single digit domestic nutritionals growth in its second quarter, and flat sales overseas. Overall, net earnings reached $1.4 billion for the quarter, up 53.4 percent. The firm confirmed its earnings per share guidance of $3.65 to $3.70 for fiscal 2009