AbbVie Inc. (NYSE:ABBV) Q3 2019 Earnings Conference Call - Final Transcript

Nov 01, 2019 • 09:00 am ET


AbbVie Inc. (NYSE:ABBV) Q3 2019 Earnings Conference Call - Final Transcript


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Good morning and thank you for standing by. Welcome to the AbbVie Third Quarter 2019 Earnings Conference Call. All participants will be able to listen only until the question-and-answer portion. [Operator Instructions]

I would now like to introduce Ms. Liz Shea, Vice President of Investor Relations.

Elizabeth Shea

Good morning and thanks for joining us. Also on the call with me today are Rick Gonzalez, Chairman of the Board and Chief Executive Officer; Michael Severino, Vice Chairman and President and Rob Michael, Executive Vice President and Chief Financial Officer. Joining us for the Q&A portion of the call is Laura Schumacher, Vice Chairman, External Affairs, Chief Legal Officer and Corporate Secretary .

Before we get started, I will remind you that some statements we make today may be considered forward-looking statements for purposes of the Private Securities Litigation Reform Act of 1995. AbbVie cautions that these forward-looking statements are subject to risks and uncertainties that may cause actual results to differ materially from those indicated in the forward-looking statements. Additional information about these risks and uncertainties is included in our 2018 Annual Report on Form 10-K and in our other SEC filings. AbbVie undertakes no obligation to update these forward-looking statements except as required by law. On today's conference call, as in the past, non-GAAP financial measures will be used to help investors understand AbbVie's ongoing business performance. These non-GAAP financial measures are reconciled with comparable GAAP financial measures and our earnings release and regulatory filings from today, which can be found on our website. Following our prepared remarks, we'll take your questions.

So with that, I'll now turn the call over to Rick.

Richard A. Gonzalez

Thank you, Liz. Good morning everyone and thank you for joining us today. I'll discuss our third quarter performance and highlights as well as our full year guidance, which we are raising again this quarter. Mike will then provide an update on recent advancements across the R&D programs and Rob will discuss the quarter in more detail. Following our remarks, we'll take your questions.

AbbVie delivered another outstanding quarter with adjusted earnings per share of $2.33, representing growth of nearly 9% versus last year and exceeding the midpoint of our guidance by $0.04. Total revenue of $8.4 billion was also ahead of our expectations for the quarter, driven by continued strong performance in hematological oncology and immunology.

I'll start with our HemOnc, business which delivered operational sales growth of 38.5% in the quarter. IMBRUVICA continues to perform exceptionally well with global revenue of more than $1.2 billion in the quarter, an increase of nearly 30% versus last year. IMBRUVICA has a strong position across multiple indications and remains the clear market share leader across all lines of therapy in CLL. We're especially pleased with the recent inflection in the frontline setting, driven by an IMBRUVICA's growing body of clinical evidence, label augmentation and update to treatment guidelines. We're also seeing a substantial contribution from VENCLEXTA with total revenue of more than $200 million in the quarter. VENCLEXTA continues to