Abbott (ABT) Q2 2026: Strong Sales Growth and EPS Guidance Raise — Positive Outlook

Abbott reported a robust second quarter for 2026, with reported sales growth of $1.5 billion or +13.0% year-over-year. This growth reflects a solid performance across its business segments, particularly in diagnostics and medical devices, despite some challenges in nutrition.

Key Financial Metrics:

• Reported Sales: $12.3 billion, up $1.5 billion or +13.0% YoY
• Comparable Sales Growth: 4.8%
• GAAP Diluted EPS: $0.53
• Adjusted Diluted EPS: $1.31, up 4.0% from $1.26 in Q2 2025
• Shareholder Returns: $2.1 billion returned through dividends and share repurchases

Analyst View:

This quarter is a positive outcome for shareholders, showcasing Abbott's ability to drive growth in a competitive market. The increase in adjusted diluted EPS and the reaffirmation of full-year guidance indicate strong operational momentum. The company’s strategic initiatives, including the acquisition of Exact Sciences, are beginning to pay off, particularly in the cancer diagnostics segment, which saw significant growth.

Segment Performance:

• Nutrition: Sales decreased 3.1% on a reported basis, reflecting lower volumes and strategic pricing actions. However, sequentially, nutrition sales improved by $127 million compared to Q1 2026.
• Diagnostics: Sales surged 42.3% on a reported basis, driven by strong growth in core laboratory diagnostics and cancer diagnostics, particularly Cologuard, which benefited from a growing user base.
• Medical Devices: Sales increased 9.0% on a reported basis, led by low-teens growth in electrophysiology and high-single-digit growth in diabetes care.

Dividend and Guidance Changes:

Abbott declared its 410th consecutive quarterly dividend of $0.63 per share, payable on August 17, 2026. The company also raised its full-year 2026 adjusted diluted EPS guidance to a range of $5.45 to $5.60, up from the previous range of $5.38 to $5.58. This upward revision reflects confidence in continued sales momentum and operational efficiency.

Forward Catalysts:

Investors should watch for the outcomes of Abbott's ongoing clinical trials, particularly the TECTONIC trial for its investigational Coronary Intravascular Lithotripsy System, as well as the anticipated FDA approval for the Amulet™ 360 left atrial appendage device. Additionally, the company’s performance in the third quarter will be critical, especially as it projects adjusted diluted EPS of $1.38 to $1.46.

In summary, Abbott's second-quarter results demonstrate a strong trajectory for growth and profitability, positioning the company favorably for the remainder of 2026.

Note: The amounts in the following tables are in millions.

Condensed Consolidated Statement of Earnings

(in millions, except per share data)

	2Q26	2Q25	% Change
Net Sales	$12,...	$11,1...	13.0
Cost of products sold	5,325	4,854	9.7
Amortization of intangible assets	658	420	56.8
Research and development	892	725	22.9
Selling and administrative	4,025	3,091	30.3
Total Operating Costs and Expenses	10,900	9,090	19.9
Operating Income	1,693	2,052	-17.5
Interest expense	299	50	n/m
Net Earnings for continuing operations	4	-11	n/m
Other expense, net	-134	-137	-2.5
Earnings before tax	1,524	2,150	-29.1
Taxes on earnings	596	371	60.8
Net Earnings	$928	$1,779	-47.8
Net Earnings excluding Specified Items	$2,2...	$2,213	3.5
Diluted Earnings per Share	$0.53	$1.01	n/m
Diluted Earnings per Share excluding Specified Items	$1.31	$1.26	4.0
Average Number of Diluted Common Shares Outstanding	1,743	1,751

Condensed Consolidated Balance Sheet

(in millions)

	1H26	1H25
Total Current Assets	$XX	$XX
Total Assets	$XX	$XX
Total Current Liabilities	$XX	$XX
Long-term financing receivables	$XX	$XX
Total Long-term Liabilities	$XX	$XX
Total Stockholders' Equity	$XX	$XX
Total Liabilities and Stockholders' Equity	$XX	$XX

Notes:

1. The placeholders $XX in the Balance Sheet indicate that the specific amounts were not provided in the text. You may replace them with the actual values if they are available in the press release text.
2. The extracted tables keep the original headings as requested.

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