Pharmaceutical giant AbbVie has raised its full-year profit forecast, citing strong sales of its newer immunology drugs. The company’s updated 2025 forecast ranges between $12.09 and $12.29 per share, a 10-cent increase from the previous estimate.
AbbVie’s shares have fallen over the past month due to concerns about a probe into pharmaceutical imports that could lead to U.S. levies on the sector. However, the company said its updated forecast does not reflect any trade policy shifts, including potential sector tariffs.
Analysts expect AbbVie to incur significant costs from tariffs, with some predicting a hit in the range of low hundreds of millions of dollars. The company’s CEO, Robert Michael, stated that it may consider alternative sources for ingredients and implement cost efficiencies to mitigate tariff impacts.
AbbVie has a robust U.S. manufacturing network, employing over 6,000 American workers across 11 sites. The company plans to build four new manufacturing plants in the U.S., investing $10 billion in capital over the next decade.
The firm’s flagship arthritis drug Humira faced competition from cheaper biosimilars, resulting in a 50.6% drop in global sales for the first quarter. However, AbbVie’s newer immunology drugs Skyrizi and Rinvoq beat estimates for quarterly sales, with combined expected revenue of over $31 billion by 2027.
AbbVie shares rose 3% to $185.82 in midday trading, following the announcement.
Source: https://finance.yahoo.com/news/abbvie-lifts-profit-forecast-strong-114737608.html