Abbott quarterly sales miss estimates on lower COVID-19 test volumes
Reuters
Published Apr 20, 2021 07:41AM ET
Updated Apr 20, 2021 08:55AM ET
(Reuters) -Abbott Laboratories fell short of first-quarter revenue estimates on Tuesday, suggesting that the medical device maker may be facing slowing sales of its COVID-19 test kits as vaccinations gain steam.
In the quarter, COVID-19 test kits generated sales of $2.2 billion and accounted for more than half of the diagnostic unit's revenue. But that compared with $2.4 billion in the prior quarter.
Abbott's shares fell 3% to $120.67 in trading before the bell.
Rival Quest Diagnostics (NYSE:DGX), which is set to report its quarterly results on April 22, said in February that it was expecting demand for its COVID-19 tests to shrink in the year as vaccination efforts ramp up.
Abbott, Quest and Becton Dickinson (NYSE:BDX) and Co benefited from heightened COVID-19 testing during the early phase of the crisis, a revenue stream that helped blunt the blow from lower demand for medical devices.
Net sales at Abbott increased to $10.5 billion, but fell short of estimates of $10.7 billion, according to IBES data from Refinitiv.
The company reiterated its 2021 adjusted diluted earnings per share outlook of at least $5.00.
Excluding items, the company earned $1.32 per share, above the average analyst estimate of $1.27.
Get The News You Want
Written By: Reuters
Trading in financial instruments and/or cryptocurrencies involves high risks including the risk of losing some, or all, of your investment amount, and may not be suitable for all investors. Prices of cryptocurrencies are extremely volatile and may be affected by external factors such as financial, regulatory or political events. Trading on margin increases the financial risks.
Before deciding to trade in financial instrument or cryptocurrencies you should be fully informed of the risks and costs associated with trading the financial markets, carefully consider your investment objectives, level of experience, and risk appetite, and seek professional advice where needed.
Fusion Media would like to remind you that the data contained in this website is not necessarily real-time nor accurate. The data and prices on the website are not necessarily provided by any market or exchange, but may be provided by market makers, and so prices may not be accurate and may differ from the actual price at any given market, meaning prices are indicative and not appropriate for trading purposes. Fusion Media and any provider of the data contained in this website will not accept liability for any loss or damage as a result of your trading, or your reliance on the information contained within this website.
It is prohibited to use, store, reproduce, display, modify, transmit or distribute the data contained in this website without the explicit prior written permission of Fusion Media and/or the data provider. All intellectual property rights are reserved by the providers and/or the exchange providing the data contained in this website.
Fusion Media may be compensated by the advertisers that appear on the website, based on your interaction with the advertisements or advertisers.