AbbVie Shares Dip Despite Record Annual Performance and Raised Guidance

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The pharmaceutical giant AbbVie closed its previous fiscal year with historic revenue, surpassing analyst forecasts for both profit and sales. However, the market's reaction was muted, with the stock coming under pressure following the announcement. The central question for investors is whether the robust performance of the company's newer flagship products can fully offset the revenue gap created by the patent expiration of its former blockbuster drug, Humira.

For the full year 2025, AbbVie posted a record annual revenue of $61.2 billion. The fourth quarter alone saw worldwide net sales reach $16.62 billion, marking a 10.0% increase. Adjusted earnings per share (EPS) for Q4 came in at $2.71, beating the consensus estimate of $2.65.

Despite these strong results and an upward revision to its 2026 outlook, investor sentiment appeared cautious. The subdued trading highlights ongoing market scrutiny over the company's long-term growth trajectory in the post-Humira era.

Immunology Portfolio Drives Growth, Diversification Continues

A significant portion of AbbVie's success is anchored in its immunology division, which remains the primary growth engine. This portfolio saw Q4 revenue surge over 18% to approximately $8.6 billion. The drug Skyrizi was a standout performer, with its quarterly sales climbing 32.5% to $5.01 billion. Rinvoq also demonstrated solid momentum.

This robust growth in immunology is critical as AbbVie continues to navigate increased biosimilar competition for Humira. Beyond this core area, the company is actively diversifying its revenue streams, with strategic focuses in neuroscience and oncology. AbbVie is also preparing to enter new therapeutic markets; for instance, it has already submitted regulatory applications for Rinvoq as a treatment for vitiligo.

Future Outlook and Strategic Pipeline

Looking ahead, AbbVie's management has expressed optimism for the current fiscal year. The company issued an adjusted EPS guidance range of $14.37 to $14.57 for 2026.

A potentially exciting future avenue is the obesity drug market. Here, AbbVie is developing an amylin analog (ABBV295), with initial data from a Phase I study expected later this year. Success in this highly attractive segment could provide the company with substantial long-term growth opportunities.

Investors will be closely monitoring whether the strong momentum of Skyrizi and Rinvoq can be sustained and how the oncology pipeline progresses. The next detailed update on business performance is scheduled for April 23 or 24, when AbbVie will release its first-quarter 2026 report.