Abbvie Inc (NYSE:ABBV) shares surged after the company posted a positive financial report for the fourth quarter, with sales growth of newer drugs offsetting a steep decline in Humira revenue.
Earnings per share of $2.16 topped estimates of $2.13, but marked a decline from $2.79 in the year-ago quarter.
Revenue was $15.1 billion, marking a nearly 6% increase year-over-year and surpassing the consensus estimate of $14.8 billion.
Growth was driven by robust sales of its newer drugs, Skyrizi and Rinvoq, which are used to treat inflammatory conditions. Sales for Skyrizi soared 58% to $3.78 billion, while Rinvoq's sales rose 46% to $1.83 billion.
Humira sales fell 49.1% year-over-year to $1.68 billion. US Humira revenue decreased by 54.4% to $1.25 billion.
AbbVie lost US patent protection for Humira, a medication used to treat various inflammatory conditions, in January 2023, allowing biosimilars to enter the market and impact its market share.
AbbVie also raised its long-term revenue outlook for Skyrizi and Rinvoq, now projecting combined sales exceeding $31 billion by 2027, an increase from the previous forecast of over $27 billion.
"2024 was a year of significant progress for AbbVie. Our growth platform delivered outstanding results, we advanced our pipeline with key regulatory approvals and promising data, and we strengthened our business through strategic transactions," AbbVie CEO Robert Michael said in a statement.
"We are entering 2025 with significant momentum and expect net revenues to exceed their previous peak in just the second full year following the US Humira loss of exclusivity."
Shares of AbbVie added 6.9% just shy of $188 late morning on Friday.