10-Q · May 8, 2026
AbbVie reported Q1 2026 revenues of $15.0 billion, a 12.4% increase year-over-year, with slightly lower diluted EPS at $2.65 compared to estimates of $2.66. Notably, the Immunology segment exhibited robust growth, with…
Earnings analysis · 10-Q
ABBV earnings analysis
Filed August 3, 2026 · Our reading of the company's report
The latest report
AbbVie delivered strong Q2 top-line growth, with revenue of $16.990B rising 10.2% year over year and gross margin expanding to 75%, led by Skyrizi and Rinvoq. EPS of $3.65 recovered sharply from Q1 but missed the $3.77…
Read full summary
AbbVie delivered strong Q2 top-line growth, with revenue of $16.990B rising 10.2% year over year and gross margin expanding to 75%, led by Skyrizi and Rinvoq. EPS of $3.65 recovered sharply from Q1 but missed the $3.77 consensus estimate, while biosimilar-driven Humira erosion and continuing declines in Imbruvica remain material offsets. First-half cash generation improved to $7.265B of operating cash flow, though the proposed Apogee financing and Medicare pricing exposure for Botox add medium-term execution and capital-allocation considerations.
Gross and operating margin
How much of each revenue dollar the business keeps.
One point per quarterly or annual filing. Both margins are shares of that report's revenue.
How we read each report
Our analysis across the last few reports.
Our model's reading of each filing, not the share price or the market's reaction. Annual and quarterly reports each occupy one position.
Reported figures
- Earnings per share
- $3.65
- Gross margin
- 75%
- Segment
- AbbVie reports one global business segment. Key Q2 product revenues: Skyrizi $5.505B (+24.4% YoY), Rinvoq $2.525B (+24.5%), Humira $756M (-35.9%), Vraylar $1.071B (+18.9%), Botox Therapeutic $1.042B (+12.2%), and Imbruvica $532M (-29.4%).
What stood out
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Revenue growth accelerated sequentially
Q2 net revenue was $16.990B, up 10.2% reported (9.5% constant currency) from $15.423B a year earlier and 13.3% from $15.0B in Q1 2026. U.S. revenue grew 9.3% to $12.861B and international revenue grew 12.8% to $4.129B.
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Gross margin expanded 300 bps YoY
Gross margin rose to $12.699B, or 75% of revenue, from $11.077B and 72% a year ago—a 300-basis-point expansion. Management attributed the increase primarily to higher revenue against lower fixed costs, including decreased intangible-asset amortization.
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Skyrizi and Rinvoq remained core growth engines
Skyrizi generated $5.505B of Q2 revenue, up 24.4% year over year, while Rinvoq generated $2.525B, up 24.5%. Management cited continued market-share uptake and market growth across indications for both products.
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EPS rebounded but missed consensus
Diluted EPS was $3.65, versus $0.39 in Q1 2026 and $0.52 in Q2 2025. The Q2 result was below the $3.77 consensus estimate despite revenue exceeding the $16.760B estimate by 1.37%.
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Operating cash flow and free cash flow increased
Six-month operating cash flow increased to $7.265B from $6.788B, while capital expenditures were $587M versus $504M. Implied six-month free cash flow was $6.678B, and capex represented 8.1% of operating cash flow.
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Liquidity and credit profile strengthened
Liquidity remained supported by $8.0B of senior-note issuance during the first six months, no commercial paper outstanding at June 30, and undrawn $5.0B and $3.0B revolving facilities. Moody's upgraded the long-term rating to A2 in February and S&P revised its outlook to positive in June.
What to watch
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Humira erosion remains substantial
Humira Q2 revenue declined 35.9% year over year to $756M, including a 47.0% decline in U.S. sales to $425M, due primarily to direct biosimilar competition following loss of exclusivity.
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Legacy oncology and HCV products are contracting
Imbruvica revenue fell 29.4% to $532M in Q2, driven by unfavorable U.S. pricing, lower U.S. demand and lower collaboration revenue. Other legacy products also declined, including Mavyret (-21.2% to $295M).
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Pricing and aesthetics-demand pressure
Botox was selected as one of 15 medicines subject to government-set Medicare Parts B and D prices beginning in 2028. Separately, Q2 Juvederm Collection revenue declined 6.0% to $245M due to decreased consumer demand and unfavorable pricing.
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Apogee financing adds acquisition leverage risk
AbbVie entered a $10.0B 364-day unsecured term-loan facility after quarter-end for the proposed Apogee acquisition; no amounts had been drawn at filing. The company also issued $8.0B of senior notes in the first six months, increasing financing exposure if the transaction proceeds.
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Boey U.S. approval delayed by manufacturing CRL
The FDA issued a Complete Response Letter for Boey in April requesting additional manufacturing-process information. Although the letter did not cite safety or efficacy concerns or request new clinical studies, it creates U.S. launch timing uncertainty.
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No new formal risk-factor amendments disclosed
No material risk-factor update versus the 2025 Form 10-K was presented in this 10-Q; the filing instead refers investors to the 2025 Form 10-K risk factors. Management continues to identify intellectual-property challenges, competition, R&D execution, litigation, regulation, tariffs and global uncertainty as risks.
Management's outlook
The 10-Q provides no explicit quantitative revenue or EPS outlook. Management says it anticipates several regulatory submissions, approvals and clinical-trial data readouts over the next 12 months and expects multiple mid-stage programs to transition to late-stage development in that period.
Earlier filings 4
10-K · February 20, 2026
AbbVie describes itself as a single global, research-based biopharmaceutical company with leadership positions across immunology, neuroscience, oncology and aesthetics. The company delivered revenue growth in 2025 while…
10-Q · November 4, 2025
AbbVie reported Q3 2025 net revenues of $15,776 million, up $1,316 million (+9.1%) versus Q3 2024, but operating earnings fell to $1,904 million from $3,831 million a year ago and diluted EPS declined to $0.10 from…
10-Q · August 4, 2025
AbbVie reported Q2 net revenues of $15,423 million, up $961 million versus Q2 2024, with operating earnings rising to $4,894 million. Diluted EPS fell to $0.52 from $0.77 a year ago, driven by a large increase in other…
This is our reading of a public filing, not the filing itself. Analysis can contain errors; check the source document for full context.