Abbott Q2 sales up 7.4% YoY, organic sales up 6.9% YoY.

• Abbott Q2 sales up 7.4% to $9.3 bln • Organic sales growth 6.9% • COVID-19 testing sales excluded • GAAP EPS $1.01, adjusted $1.26 • Gross margin 52.7% • Adjusted gross margin 57.0% • Operating margin 18.4% • Adjusted operating margin 22.9%

Abbott Laboratories (ABT) has reported its Q2 2025 financial results, showing a 7.4% increase in sales to $9.3 billion, with organic sales growth of 6.9%. The company's gross margin stood at 52.7%, while the adjusted gross margin was 57.0%. The operating margin was 18.4%, with the adjusted operating margin at 22.9%. Notably, the company's GAAP EPS was $1.01, while the adjusted EPS was $1.26 [1].

The company's COVID-19 testing sales were excluded from the organic sales growth calculation. Abbott's CEO, Robert Ford, stated during the earnings call that the company continues to see strong demand for its diagnostic and medical devices, attributing the growth to increased adoption of digital health solutions and the company's focus on innovation.

The company also announced a series of strategic initiatives, including a partnership with a leading biotechnology company to develop new diagnostic tools. Additionally, Abbott has expanded its digital health services, further integrating its products with telemedicine platforms.

In terms of financial performance, Abbott's adjusted EPS was $1.26, a significant improvement over the prior year's $1.15. The company's gross margin improved by 1.3 percentage points to 57.0%, reflecting the company's ability to manage costs and increase efficiency. The operating margin also improved by 4.5 percentage points to 22.9%, indicating a strong performance in the company's core operations.

The company's stock price has been relatively stable in the wake of the earnings report, with analysts largely positive on the company's prospects. Wells Fargo has upgraded Abbott to an overweight rating, with a price target of $300, reflecting the company's strong financial performance and growth prospects [2].

References:

[1] https://seekingalpha.com/news/4468202-hansa-biopharma-gaap-eps-of-sek-253-revenue-of-sek-491m
[2] https://www.marketscreener.com/quote/stock/SYNOVUS-FINANCIAL-CORP-16537950/news/Synovus-Financial-Q2-Adjusted-Earnings-Revenue-Increase-50528785/