AbbVie got a shot in the arm from newer drug sales and lifted profit view

Tiger Newspress2021-10-29

U.S. drugmaker AbbVie Inc(ABBV.N)on Friday raised its 2021 adjusted profit forecast for the third time this year after a stellar performance by its newer drugs helped it beat Wall Street estimates for quarterly revenue.

The company has been focusing on gaining expanded approvals and driving growth for Skyrizi and Rinvoq, launched in 2019, as it prepares for competition for its blockbuster rheumatoid arthritis drug, Humira.

Humira is the world's highest selling medicine, accounting for nearly 40% of AbbVie's total sales. The company's newer drugs, Skyrizi and Rinvoq, are approved to treat the same conditions as Humira.

Humira sales, which rose 5.6% to $5.43 billion in the third quarter, are expected to be squeezed when generic rivals enter the U.S. market in 2023.

Rinvoq sales could take a near-term hit, analysts have said, after the U.S. drug regulator asked the company and others to present information about the risks of death and serious conditions from the use of their drugs that belong to a class of treatments known as JAK inhibitors.

Meanwhile, Rinvoq sales more than doubled to $453 million in the quarter ended Sept. 30, beating the average analyst estimate of $436.8 million, according to Refinitiv IBES estimates.

Sales of Skyrizi jumped 83.3% to $796 million, also above estimates of $765 million.

Revenue from Botox, used as an anti-wrinkle injection and for other cosmetic purposes, also beat estimates.

Total sales for AbbVie rose 11.2% to $14.34 billion, narrowly beating estimates of $14.32 billion.

AbbVie now expects full-year adjusted profit of $12.63 to $12.67 per share, compared with prior expectation of $12.52 to $12.62.

Its shares jumped over 1% in premarket trading.

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