Abbott Delivers Strong Q2 2025 Results with High Single-Digit Sales Growth
Abbott, a global healthcare leader, has reported strong results for its second quarter of 2025. According to the company's earnings conference call transcript, Abbott achieved high single-digit sales growth, exceeding 100 basis points of margin expansion in both gross margin and operating margin.
Speaking during the conference call, Robert Ford, Chairman and Chief Executive Officer, highlighted that the company is on track with its key priorities and objectives. In the first half of the year, Abbott delivered double-digit earnings per share growth, 7.5% sales growth (excluding COVID testing sales) in the second quarter, and 8% in the first half of the year.
Adjusted earnings per share came in at $1.26 for the second quarter, exceeding consensus estimates and reflecting 11% growth versus the prior year and 16% growth on a sequential basis compared to the first quarter. The company's Nutrition business saw sales increase by 3.5% in the quarter, driven by strong demand for its Ensure and Glucerna brands in markets around the world.
Abbott's Diagnostics business experienced a decline of 1.5% in the quarter due to a year-over-year decrease in COVID testing sales and the impact of volume-based procurement programs in China. However, Core Lab Diagnostics grew 8%, reflecting strong underlying demand in global markets.
The company's EPD (Established Pharmaceuticals Division) business saw sales increase nearly 8% in the quarter, driven by strong performance in its key 15 markets, which surpassed $1 billion in quarterly sales for the first time. These markets represent the most attractive areas of growth for branded generic medicines and are supported by favorable long-term healthcare economic and demographic trends.
Robert Ford emphasized that Abbott's focus on innovation and advancing key programs in its new product pipeline has yielded important milestones, demonstrating the company's commitment to delivering value to its customers, employees, and shareholders. As the company continues to execute its strategy, investors can expect continued growth and expansion into emerging markets.
