Abbott Laboratories Q3 Earnings Preview: What to Expect

Abbott Stock

Abbott Laboratories (NYSE:ABT) is scheduled to announce its third-quarter 2023 financial results on October 18, before the market opens. In the previous quarter, the company exceeded expectations by posting adjusted earnings per share (EPS) of $1.08, surpassing the Zacks Consensus Estimate by 3.85%. Over the last four quarters, Abbott consistently outperformed the Zacks Consensus Estimate, with an average earnings beat of 12.44%.

Let’s take a closer look at the factors that may influence Abbott’s performance in the upcoming earnings report:

Established Pharmaceuticals 

The Established Pharmaceuticals division is expected to contribute positively to Abbott’s overall organic sales growth in the third quarter, excluding COVID testing sales. This segment is likely to benefit from the effective execution of strategies and continued growth in emerging markets, thanks to favorable demographic and socioeconomic trends. Key markets such as India and China, along with therapeutic areas like gastroenterology, women’s health, and central nervous system pain management, are expected to perform well. Our model predicts revenues of $1.21 billion for this segment in Q3 2023, compared to $1.33 billion in the same period last year.


Abbott’s Diagnostics business is likely to witness organic sales growth, driven by the Core Lab Diagnostics division. This segment has been performing strongly in the United States, Europe, and China due to increased demand for routine diagnostic testing worldwide. However, a decline in demand for rapid diagnostic tests for COVID-19 is expected to affect the third-quarter top-line results. Our model forecasts Diagnostics business revenues of $2.89 billion in Q3, representing a 21.3% decline compared to the previous year.

Medical Devices

The Medical Devices segment is expected to achieve double-digit growth both in the United States and internationally in Q3 2023. The continuous development of FreeStyle Libre, Abbott’s continuous glucose monitoring system, is likely to boost sales in the Diabetes Care business. Additionally, Abbott’s agreement to acquire Bigfoot Biomedical is expected to further enhance the segment’s performance. Cardiovascular device sales are also expected to experience robust growth, driven by electrophysiology and structural heart products. Rhythm Management products, including the recently launched Aveir leadless pacemaker, and Neuromodulation are anticipated to contribute positively to the segment’s growth. Our model predicts Medical Devices segment revenues of $3.77 billion in the third quarter, reflecting a 4.2% year-over-year growth.


Sales of pediatric nutritional products are expected to drive growth in the United States in Q3 2023. International markets are also likely to contribute to the company’s total sales in the Nutrition segment, both in the pediatric and adult nutrition businesses. Our model anticipates Nutrition business revenues of $1.85 billion in the upcoming quarter, showing a 3.2% growth year-over-year.

However, it’s important to note that the demand for COVID-19 tests remains uncertain, which could impact Abbott’s third-quarter results. Additionally, macroeconomic factors such as fluctuations in the U.S. dollar, inflationary pressures, and labor shortages may have unfavorable effects on the company’s operations.

Q3 Estimates

Investors and analysts will be closely watching Abbott Laboratories’ earnings report to gain insights into how the company has navigated these challenging dynamics and what lies ahead for its various business segments.

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