AbbVie (ABBV) Q4 2025 earnings summary

Executive summary

• Achieved record net sales of $61.2 billion for 2025, up 8.6% year-over-year, exceeding initial guidance by over $2 billion and demonstrating portfolio strength after U.S. Humira loss of exclusivity.

• Full-year adjusted EPS reached $10.00, $0.54 above initial guidance midpoint, but down 1.2% year-over-year due to $2.76 per share in acquired IPR&D and milestones expense.

• Advanced pipeline with 90 clinical programs, secured multiple new product and indication approvals, and regulatory submissions for Rinvoq in vitiligo and Aquipta in migraine.

• Invested over $5 billion in business development, acquiring innovative platforms and assets across immunology, neuroscience, and oncology, including Capstan Therapeutics and RemeGen.

• Entered 2026 with strong momentum, projecting robust growth across all major franchises.

Financial highlights

• Q4 adjusted EPS was $2.71, $0.08 above guidance midpoint, with a $0.71 per share impact from acquired IPR&D and milestones expense.

• Q4 net revenues were $16.62 billion, up 10% year-over-year, with ex-Humira growth platform up 14.5%.

• Adjusted gross margin was 83.6%, adjusted R&D expense 15.4% of sales, and adjusted SG&A 22.3%.

• Adjusted operating margin was 38.3%, with a 7.6% IPR&D expense impact.

• Net interest expense was $655 million; adjusted tax rate was 18.3% in Q4.

Outlook and guidance

• 2026 full-year adjusted EPS guidance is $14.37–$14.57, excluding future IPR&D expense.

• 2026 net revenues expected at $67 billion, up 9.5% year-over-year, with a 0.8% FX tailwind.

• Immunology sales forecast at $34.5 billion, neuroscience at $12.5 billion, oncology at $6.5 billion, and aesthetics at $5 billion.

• Q1 2026 net revenues projected at $14.7 billion, with adjusted EPS of $2.97–$3.01.

• Free cash flow for 2026 expected at $18.5 billion, supporting dividend growth and business development.