On Tuesday, 10 June 2025, AbbVie Inc. (NYSE:ABBV) presented at the Goldman Sachs 46th Annual Global Healthcare Conference, providing insights into its robust financial performance and strategic initiatives. The company highlighted its strong Q1 results and optimistic future outlook, while also addressing potential challenges such as drug pricing pressures and PBM reform.
Key Takeaways
- AbbVie exceeded Q1 revenue guidance by $550 million and EPS guidance by $0.10.
- The company increased its full-year revenue guidance to $59.7 billion.
- SKYRIZI and RINVOQ are capturing significant market share in immunology.
- AbbVie is focusing on early-stage business development opportunities in key therapeutic areas.
- The company anticipates substantial growth in the obesity market with the Gubra asset.
Financial Results
AbbVie reported a strong Q1 2024 performance, with revenue surpassing guidance by $550 million and earnings per share exceeding expectations by $0.10. The ex-HUMIRA business grew approximately 23% operationally year-over-year, demonstrating the company’s resilience post-HUMIRA’s U.S. loss of exclusivity.
For 2024, AbbVie has increased its revenue guidance by $700 million, now projecting $59.7 billion. Guidance for SKYRIZI and RINVOQ has been raised by $900 million, while neuroscience and oncology have seen increases of $200 million each. Despite economic headwinds, aesthetics guidance decreased by $200 million. Ex-HUMIRA sales are expected to rise by approximately 15% for the full year, with an operating margin guidance of 46.5%, including a 0.5% IPR&D charge.
Operational Updates
Immunology:
- SKYRIZI and RINVOQ are leading in Crohn’s and ulcerative colitis markets.
- Access remains stable despite the introduction of Stellara biosimilars.
- Phase III data for RINVOQ in hidradenitis suppurativa (HS) is anticipated next year.
- Neuroscience:
- AbbVie aims to surpass Roche as the leading neuroscience business next year.
- Vylev is performing well internationally, with U.S. Medicare reimbursement expected in late 2025.
- Tirvapadone submission is planned for this year, with a launch expected next year.
Oncology:
- Development of an ADC pipeline in ovarian, colon, and lung cancer is underway.
- The BCMA bispecific (entantamig) is in Phase III trials, with potential for simplified outpatient use.
Aesthetics:
- The toxin market is stabilizing, with market share recovery underway.
- The filler market is experiencing a decline due to consumer sentiment.
- Trinobot E, a fast-acting off-toxin, was submitted in April, with approval expected early next year.
Future Outlook
AbbVie is focusing on early-stage business development opportunities in immunology, oncology, and neuroscience to drive growth beyond the next eight years. The company is building around the Gubra asset in obesity, targeting a $100-150 billion market by the mid-2030s. While anticipating some price erosion, AbbVie believes its differentiated products will maintain value. Additionally, the aesthetics business positions AbbVie uniquely in the cash-pay market.
Q&A Highlights
During the Q&A session, AbbVie expressed confidence in competing effectively despite PBM reform, citing product differentiation and broader formulary access. The company does not expect drug pricing risks to spill over from government channels into the commercial segment, drawing on past experiences with the Inflation Reduction Act. AbbVie is encouraged by the administration’s focus on affordability and innovation.
For more detailed insights, readers are invited to refer to the full transcript below.
