Release Date: April 17, 2024
For the complete transcript of the earnings call, please refer to the full earnings call transcript.
Q & A Highlights
Q: What gave you the confidence to raise the midpoint of the guidance this early on in the year?
A: (Robert B. Ford, Chairman and CEO) - The decision was based on the strong performance across Abbott's businesses, with five consecutive quarters of double-digit growth. The company's businesses, including EPD, Nutrition, Diagnostics, and Medical Devices, have shown strong performance and momentum, which provided the confidence to raise guidance.
Q: Can you address the ongoing litigation concerning NEC related to infant nutrition?
A: (Robert B. Ford, Chairman and CEO) - Ford emphasized the importance of Abbott's products in providing critical nutrition to premature infants when mother's milk is not available. He stated that the medical community considers these products essential and that clinical studies have repeatedly established their safety. Abbott is prepared to defend its products based on science and data in upcoming court cases.
Q: What drove the growth in the Electrophysiology (EP) business in the first quarter?
A: (Robert B. Ford, Chairman and CEO) - The growth was broad-based across major geographic regions and product categories, including ablation catheters and cardiac mapping. The introduction of PFA technology in the U.S. has been well received, and Abbott's EnSite system has been instrumental in mapping these cases.
Q: What are the international payment or coverage decisions for Libre we should be aware of, and what is the share gain opportunity in the U.S.?
A: (Robert B. Ford, Chairman and CEO) - Internationally, coverage decisions are expected to build globally as clinical and economic benefits are demonstrated. In the U.S., Abbott aims to maintain its leadership in the basal insulin segment while also gaining share in the integrated pump segment of the CGM market.
Q: Can you discuss the go-to-market strategy for the concussion testing product and its financial impact?
A: (Robert B. Ford, Chairman and CEO) - The strategy involves market conversion from traditional CT scans to the rapid test, which fits well with existing emergency room protocols. There is also a market expansion opportunity as the product is developed for broader use, potentially including schools and sports facilities.
Q: How do you view the sustainability of growth in the med tech business, and are there areas within med tech that Abbott might enter?
A: (Robert B. Ford, Chairman and CEO) - Abbott is focused on maintaining strong organic growth and is open to exploring acquisitions that add value. The company is particularly interested in areas within medical devices and diagnostics that align with its long-term strategy.
For the complete transcript of the earnings call, please refer to the full earnings call transcript.
