Abbott Laboratories Reports 11 Percent Ongoing Earnings-Per-Share Growth in Second Quarter; Raises 2011 EPS Guidance Range

ABBOTT PARK, Ill., July 20, 2011 /PRNewswire/ -- Abbott (NYSE: ABT) today announced financial results for the second quarter ended June 30, 2011.

• Diluted earnings per share, excluding specified items, were $1.12, at the high end of Abbott's previous guidance range and reflecting 10.9 percent growth. Diluted earnings per share under Generally Accepted Accounting Principles (GAAP) were $1.23, reflecting growth of 48.2 percent, including specified items.
• Worldwide sales increased 9 percent to $9.6 billion, including a favorable 4.6 percent effect of foreign exchange. Sales were led by a 13 percent increase in Proprietary Pharmaceuticals sales. Durable Growth Business sales increased 7.5 percent, driven by double-digit growth in International Nutritionals, Point of Care Diagnostics and Established Pharmaceuticals. Innovation-Driven Device Business sales increased 3.1 percent, including double-digit growth in Molecular Diagnostics.
• Emerging markets sales were nearly $2.6 billion, up 23.2 percent from the prior year, with strong growth across all of Abbott's operating divisions.
• The gross margin ratio was 60.2 percent in the second quarter, driven by favorable product mix.
• Abbott is raising its previous ongoing earnings-per-share guidance range for the full-year 2011 to $4.58 to $4.68, confirming its outlook for double-digit growth over 2010 at the midpoint of the range. The previously issued guidance range was $4.54 to $4.64.

"Abbott is well-positioned for a strong second half of the year as we remain on track for double-digit EPS growth in 2011," said Miles D. White, chairman and chief executive officer, Abbott. "We're also pleased with our growth in emerging markets, as well as the progress of our broad-based pipeline, including several new product approvals, regulatory submissions and clinical trial initiations."