On Oct. 18, Abbott Laboratories (NYSE:ABT) released third-quarter earnings for the period ended Sept. 30.

  • Abbott exceeded revenue guidance and matched earnings-per-share expectations of $0.58 if one-time charges primarily related to the acquisition of Guidance are excluded. On a pure GAAP basis, third-quarter EPS were $0.46 in 2006 and $.044 in 2005.

  • Gross margins improved in comparison with last year, primarily because of the discontinuation of sales from the Boehringer Ingelheim distribution deal. Operating margins include stock compensation expense of $40 million, which was not present on the income statement in 2005.

  • Humira sales increased 51.8% versus last year's third quarter on a continued sales ramp-up and additional treatment indications approved by the FDA in the past 12 months.

  • Abbott also announced a $2.5 billion share-repurchase authorization. At current prices, this represents approximately 3.4% of shares outstanding.

(Figures in millions, except per-share data)

Income Statement Highlights

Avg. Est.

Q3 2006

Q3 2005







Net Profit










Diluted Shares




Get back to basics with a look at the income statement.

Margin Checkup

Q3 2006

Q3 2005


Gross Margin




Operating Margin




Net Margin




*Expressed in percentage points.

Margins are the earnings engine. See how they work.

Balance Sheet Highlights
The company didn't provide these numbers.

Learn the ways of the balance sheet.

Cash Flow Highlights
The company didn't provide these numbers, either.

Find out why Fools always follow the money.

Related Companies:

  • Johnson & Johnson (NYSE:JNJ)
  • BostonScientific (NYSE:BSX)
  • Novartis (NYSE:NVS)
  • Pfizer (NYSE:PFE)
  • AstraZeneca (NYSE:AZN)

Related Foolishness:

Fool by Numbers is designed to give you the raw earnings information in a timely fashion, putting all the numbers you need in one easy-to-read place. But at The Motley Fool, we believe numbers tell only part of the story, so checkFool.com for more of our in-depth discussion of what the numbers mean.

Pfizer is aMotley Fool Inside Value selection. Johnson & Johnson is aMotley Fool Income Investor pick. Try out any of our newsletter services free for 30 days.

At the time of publication,Nathan Parmelee held shares of Johnson & Johnson but had no positions in any of the other companies mentioned. Fool rules are here.