Third Quarter 2026
Filed Oct 21, 2026Abbott Reports Third-Quarter 2026 Results and Reaffirms Full-Year EPS Guidance
Third-quarter reported sales increased 14.5 percent and comparable sales growth was 7.0 percent, while adjusted diluted EPS increased 9.2 percent to $1.42. GAAP operating earnings, net earnings, and diluted EPS declined because of acquisition-related costs, legal settlements, intangible amortization, restructuring actions, and other specified items.
Key metrics
shortened, hover for the filing’s print| Metric | Value | q/q | y/y |
|---|---|---|---|
| Third-quarter net salesGAAP | $13.01B | – | 14.5% |
| Third-quarter U.S. salesother | $5.50B | – | 28.0% |
| Third-quarter international salesother | $7.51B | – | 6.2% |
| Third-quarter comparable sales growthnon-GAAP | 7.0% | – | 7.0% |
| Third-quarter cost of products sold, excluding amortization expenseGAAP | $5.63B | – | 10.9% |
| Third-quarter amortization of intangible assetsGAAP | $841M | – | n/m |
| Third-quarter GAAP gross marginGAAP | $6.54B | – | – |
| Third-quarter adjusted gross marginnon-GAAP | $7.45B | – | – |
| Third-quarter research and developmentGAAP | $920M | – | 20.1% |
| Third-quarter selling, general, and administrativeGAAP | $4.27B | – | 39.8% |
| Third-quarter total operating cost and expensesGAAP | $11.65B | – | 25.2% |
| Third-quarter operating earningsGAAP | $1.36B | – | (34.0%) |
| Third-quarter interest expense, netGAAP | $297M | – | n/m |
| Third-quarter earnings before taxesGAAP | $1.23B | – | (43.5%) |
| Third-quarter taxes on earningsGAAP | $311M | – | (42.0%) |
| Third-quarter GAAP tax rateGAAP | 25.3 % | – | – |
| Third-quarter adjusted tax ratenon-GAAP | 15.2 % | – | – |
| Third-quarter net earningsGAAP | $920M | – | (44.1%) |
| Third-quarter net earnings excluding specified itemsnon-GAAP | $2.48B | – | 8.7% |
| Third-quarter diluted earnings per common shareGAAP | $0.53 | – | (43.6%) |
| Third-quarter diluted earnings per common share, excluding specified itemsnon-GAAP | $1.42 | – | 9.2% |
| Third-quarter average number of common shares outstanding plus dilutive common stock optionsGAAP | 1,738 | – | – |
| First nine months net salesGAAP | $36.77B | – | 11.9% |
| First nine months comparable sales growthnon-GAAP | 5.2% | – | 5.2% |
| First nine months GAAP gross marginGAAP | $19.01B | – | – |
| First nine months adjusted gross marginnon-GAAP | $21.04B | – | – |
| First nine months operating earningsGAAP | $4.40B | – | (24.2%) |
| First nine months net earningsGAAP | $2.92B | – | (38.4%) |
| First nine months net earnings excluding specified itemsnon-GAAP | $6.79B | – | 5.9% |
| First nine months diluted earnings per common shareGAAP | $1.67 | – | (38.1%) |
| First nine months diluted earnings per common share, excluding specified itemsnon-GAAP | $3.88 | – | 6.3% |
| First nine months GAAP tax rateGAAP | 30.4 % | – | – |
| First nine months adjusted tax ratenon-GAAP | 15.2 % | – | – |
Segments
| Segment | Revenue | q/q | y/y |
|---|---|---|---|
| Nutrition, third quarter 2026Worldwide Nutrition results were driven by broad-based growth across the portfolio, including sales growth of nearly 9.0 percent in Worldwide Pediatric. | $2.26B | $118 million | 5.1% reported |
| Pediatric Nutrition, third quarter 2026Worldwide Pediatric sales growth was nearly 9.0 percent. | $1.06B | – | 8.8% reported |
| Adult Nutrition, third quarter 2026Not separately discussed. | $1.20B | – | 2.0% reported |
| Diagnostics, third quarter 2026Comparable sales growth was 6.4 percent. Reported growth reflects the acquisition of Exact Sciences. | $3.31B | – | 46.7% reported |
| Core Laboratory Diagnostics, third quarter 2026Results were driven by balanced growth across major geographic regions including the U.S., Europe, Japan, and Latin America. | $1.44B | – | 5.4% reported |
| Cancer Diagnostics, third quarter 2026Comparable sales growth was 13.8 percent, driven by growth of Cologuard® and contributions from the precision oncology and international businesses. | $968M | – | – |
| Rapid and Molecular Diagnostics, third quarter 2026Comparable sales growth was 0.9 percent. | $899M | – | 1.1% reported |
| Established Pharmaceuticals, third quarter 2026Comparable sales growth was 8.4 percent. | $1.61B | – | 6.8% reported |
| Key Emerging Markets, third quarter 2026Comparable sales growth was 10.9 percent, led by double-digit growth in India and several markets across the Latin America and Asia Pacific regions. | $1.20B | – | 9.0% reported |
| Other Established Pharmaceuticals, third quarter 2026Comparable sales growth was 1.6 percent. | $419M | – | 1.1% reported |
| Medical Devices, third quarter 2026Comparable sales growth was 7.8 percent. Growth was led by double-digit growth in Electrophysiology and Rhythm Management. | $5.83B | – | 6.9% reported |
| Rhythm Management, third quarter 2026Comparable sales growth was 10.0 percent. | $752M | – | 9.7% reported |
| Electrophysiology, third quarter 2026Comparable sales growth was 15.5 percent. | $873M | – | 15.0% reported |
| Heart Failure, third quarter 2026Comparable sales growth was 6.0 percent. | $387M | – | 5.8% reported |
| Vascular, third quarter 2026Comparable sales growth was 5.7 percent. | $786M | – | 5.4% reported |
| Structural Heart, third quarter 2026Comparable sales growth was 6.9 percent. The final compensation payment under a multi-year agreement with a competitor was recognized in the first quarter of 2026. | $592M | – | 1.9% reported |
| Neuromodulation, third quarter 2026Comparable sales growth was (1.1) percent. | $251M | – | (1.2%) reported |
| Diabetes Care, third quarter 2026Comparable sales growth was 6.7 percent. Sales of continuous glucose monitors grew 7.3 percent on a reported basis and 7.7 percent on a comparable basis. | $2.19B | – | 6.2% reported |
| Nutrition, first nine months 2026Comparable sales growth was (2.1) percent. | $6.42B | – | (1.3%) reported |
| Diagnostics, first nine months 2026Comparable sales growth was 3.8 percent. | $8.58B | – | 32.4% reported |
| Established Pharmaceuticals, first nine months 2026Comparable sales growth was 8.7 percent. | $4.54B | – | 9.3% reported |
| Medical Devices, first nine months 2026Comparable sales growth was 8.2 percent. | $17.22B | – | 9.6% reported |
Amounts quoted below without a unit are in millions, as in the filing’s tables. Per-share figures are as printed.
Full-year 2026 and fourth-quarter 2026 outlook
- RevenueFull-year 2026 comparable sales growth of approximately 6.0%
- NoteFull-year 2026 adjusted diluted earnings per share of $5.50 to $5.55.
- NoteFourth-quarter 2026 adjusted diluted earnings per share of $1.62 to $1.67.
Capital returns
- Quarterly dividend of $0.63 per share, payable Nov. 16, 2026, to shareholders of record at the close of business on Oct. 15, 2026.
- Abbott has increased its dividend payout for 54 consecutive years.
- Abbott declared its 411th consecutive quarterly dividend.
What drove it
- Total-company third-quarter sales increased 14.5 percent on a reported basis and 7.0 percent on a comparable basis.
- The Exact Sciences acquisition, completed on March 23, 2026, contributed to reported Diagnostics growth. Comparable sales growth includes prior- and current-year Exact Sciences sales.
- Medical Devices comparable sales growth was 7.8 percent, led by double-digit Electrophysiology and Rhythm Management growth.
- Established Pharmaceuticals Key Emerging Markets comparable sales growth was 10.9 percent, led by double-digit growth in India and several Latin America and Asia Pacific markets.
- Abbott announced FDA approval for Libre® Duo, TactiFlex™ Duo Ablation Catheter, Sensor Enabled™, and SimpleScreen™ CRC, and received CE Mark for Amulet 360™ Left Atrial Appendage Occluder.
Concerns
- Third-quarter GAAP operating earnings declined (34.0%) to $1,358, while GAAP net earnings declined (44.1%) to $920 and GAAP diluted EPS declined (43.6%) to $0.53.
- Third-quarter specified items included intangible amortization expense of $841 million, legal settlements of approximately $670 million, and other net expenses of $178 million associated with acquisitions, restructuring actions, and other net expenses.
- Third-quarter GAAP tax rate was 25.3 %, compared with 24.6 % in 3Q25. Taxes on earnings included approximately $35 million of net tax expense related primarily to the resolution of various tax positions and approximately $100 million in adjustments related to a significant non-cash deferred tax benefit.
- Nutrition first-nine-month sales declined (1.3%) on a reported basis and (2.1%) on a comparable basis.
- Third-quarter Neuromodulation sales declined (1.2%) on a reported basis and (1.1%) on a comparable basis.
What to watch
- Execution toward full-year 2026 comparable sales growth of approximately 6.0%.
- Delivery against fourth-quarter 2026 adjusted diluted EPS guidance of $1.62 to $1.67.
- Diagnostics comparable growth following the March 23, 2026 Exact Sciences acquisition.
- The pace of growth in Medical Devices, particularly Electrophysiology, Rhythm Management, and Diabetes Care.
- The impact of legal settlements, acquisition-related expenses, intangible amortization, restructuring actions, and tax adjustments on GAAP earnings.
Analysis
Abbott reported third-quarter net sales of $13,013, up 14.5% from $11,369, with 7.0% comparable sales growth. U.S. sales increased 28.0% to $5,504 and international sales increased 6.2% to $7,509. The difference between reported and comparable growth reflects the Exact Sciences acquisition, which closed on March 23, 2026, as well as foreign exchange and the Structural Heart multi-year agreement adjustment used in Abbott's comparable-sales methodology.
Portfolio growth was broad across the core operating businesses. Medical Devices generated $5,826 of sales, up 6.9% reported and 7.8% comparable, with double-digit comparable growth in Electrophysiology and Rhythm Management. Diagnostics generated $3,305 of sales, up 46.7% reported but 6.4% comparable, with Core Laboratory growth across major regions and Cancer Diagnostics comparable growth of 13.8%. Established Pharmaceuticals grew 8.4% on a comparable basis, supported by 10.9% comparable growth in Key Emerging Markets. Nutrition grew 4.9% on a comparable basis, with Pediatric sales up 8.7% on that basis.
Adjusted profitability improved despite substantial GAAP charges. Net earnings excluding specified items increased 8.7% to $2,477 and adjusted diluted EPS increased 9.2% to $1.42. In contrast, GAAP net earnings fell 44.1% to $920 and GAAP diluted EPS fell 43.6% to $0.53. Third-quarter specified items included $841 million of intangible amortization, approximately $670 million of legal settlements, and $178 million of other net expenses. GAAP operating earnings fell 34.0% to $1,358 as total operating cost and expenses increased 25.2% to $11,655.
The first nine months show a similar contrast between reported acquisition-supported growth and underlying comparable growth. Net sales increased 11.9% to $36,770, while comparable sales growth was 5.2%. Adjusted diluted EPS increased 6.3% to $3.88, whereas GAAP diluted EPS declined 38.1% to $1.67. Nutrition remained the principal weaker operating area over the nine-month period, with sales down 1.3% reported and 2.1% comparable, while Medical Devices delivered 8.2% comparable growth.
Abbott reaffirmed the midpoint of its prior full-year adjusted EPS outlook and tightened the range to $5.50 to $5.55. The company continues to project full-year comparable sales growth of approximately 6.0% and provided fourth-quarter adjusted diluted EPS guidance of $1.62 to $1.67. The filing does not provide forward-looking GAAP measures because Abbott said it cannot predict with reasonable certainty the timing and impact of items including restructuring, cost reductions, intangible impairments, acquisition-related expenses, and foreign exchange.
Management, verbatim
Abbott delivered strong third-quarter results, reflecting balanced growth across our portfolio.
Robert B. Ford, chairman and chief executive officer, Abbott
With strong performance across multiple businesses and a robust pipeline of innovation, we are well-positioned to deliver sustainable growth in the years ahead.
Robert B. Ford, chairman and chief executive officer, Abbott
Not in the filing
stated, not guessed- Cash balance
- Debt balance
- Operating cash flow
- Free cash flow
- Share repurchases
- Balance sheet metrics
- GAAP full-year 2026 EPS guidance
- GAAP fourth-quarter 2026 EPS guidance
- Prior outlook section for comparison with prior guidance
- Third-quarter GAAP gross margin percentage
- Third-quarter adjusted gross margin percentage
- Third-quarter adjusted operating income
- Third-quarter segment operating income or segment margins
Written by an AI language model from the company’s SEC earnings filing (Form 8-K Item 2.02, or Form 6-K for a foreign private issuer). Every figure was checked against the filing text, and a metric whose value, prior period and change do not add up is dropped from the metrics. The model can still misread a table, in the metrics or in the text, so check a number in the filing before you rely on it. Consensus estimates, price targets and share-price reactions are not shown because they are not in the filing. AI-generated research, not investment advice.