Abbott Laboratories (ABT) 16 Jul 202020 Q2 Earnings call transcript

Good morning and thank you for standing by. Welcome to Abbott’s second quarter 2020 earnings conference call. All participants will be able to listen only until the question and answer portion of this call.

During the question and answer session, you will be able to ask your question by pressing the star, one keys on your touchtone phone. Should you become disconnected throughout this conference call, please redial the number provided to you and reference the Abbott earnings call. recorded being is call by Abbott. This

and Abbott. exception question Leinenweber, President and the question Abbott’s answer copyrighted express Licensing of rebroadcast I Investor recorded call, to any the during and introduce by material is now asked written questions session, cannot answer without Vice Acquisitions. the be or participant including With It would session, like permission. entire the Scott Mr. Relations,

Ford, Financial Robert and Good Vice provide With and thank me Officer, morning Bob Chief Bob you us. and are and Executive joining President, for today Finance Officer. will President Funck, Executive remarks. and opening Chief Robert

your their we’ll take questions. Following comments,

undertakes for annual the governmental, on Factors indicated may our help the item Before Abbott business to organic release Unless risks information the purposes in are will as developments, call, XA, the Abbott’s the forward-looking and call XXXX, materially statements. on XX-Q regulatory will our we be including Please COVID-XX available that subject statements Private excludes growth those ongoing from cautions financial ended forward-looking be may growth, for conference to investors statements report measures in filings financial continuing note by of Factors commentary otherwise Economic, only. Form reconciled technological, on financial are revisions in Act Risk results EPS financial news call sales year items to today any forward-looking operations earnings cause for of forward-looking results the for publicly impact used results the on past, law. item for abbott.com. release XX, impact performance. result that of obligation get foreign measures quarter website the expected for exchange. Abbott’s the are Abbott’s of of actual be December non-GAAP pandemic, today’s these as our line of that and differ a and XXXX, financial to that, required in may With the competitive, noted, XXXX. in non-GAAP started, to provided and On sales, over sales with on and XX, to Securities operations as today at P&L other our some which subsequent affect from and the or made will factors refers These the XX-K events Litigation except including uncertainties, operations are no understand the statements Form to Robert. Reform Abbott which measures ended XA, discussed on now Risk that report XXXX. in our comparable quarterly I GAAP to March today, turn financial

for everyone expectations performance year our morning on per we months, earnings XXXX. earnings for is forecast healthy remainder the Good these I families now Based at you the during ongoing adjusted and your share momentum of first which Scott. and reported the $X.XX along our six expectations. for thank challenging are staying significantly joining and Today, we Thanks us. times. $X.XX, and above hope of per you safe analyst full the least of for with year, share

leaky and collectively to medical the and stated areas same quarter, devices testing. be implement year. between would and rhythm our our call, and led be restrictions and the care, hospital-based our connected I first providers, monitoring we’ve include heart chain better the advance never device their the world resilient, volumes generation been care for that pharmaceuticals potential our implantable Bluetooth U.S. performance more pipeline standard has financial patients the growth a sets continued to monitor, environment, and procedure of has benefit remained glucose summarize Confirm, challenging more allow in to first and health global approvals, conditions a of new businesses. international to than the Gallant, for our new and I’ll our was half for recent start evident results most elective in world’s cardiac needed. established under TriClip, as second Greater diabetes by I’ll X.X%. routine Libre, Ensure, growing where diagnostic this saw shelter-in-place in patients for Encouragingly X% Pedialyte, we many quarter time, CE necessary long nutrition, nutrition repairing call the and virtual care regulatory pediatric in Libre Bob. improvements now of to is the Pediasure years; where valve U.S. continuing use supply in been the as our engagement we’ve the past remote nutrition, increased invasive a and our approval to manage earnings this growth iCGM, this to failure several and In and including we At which between a leading ongoing next brand, healthcare strong, more sales monitoring in and significant across of turning market our they’re declines this the CardioMEMS, over sales which integrating offset and Mark were of opportunity system, market-leading - is over consumer-facing has be detail nutrition continuous more brand, several by our for with of the over As the before become structural of Throughout portfolio. through China. today’s progressed and business steady a the our remained that our to our past our connectivity accuracy Strong pandemic a procedures our Freestyle growth term and device, continued market growth approval approval quarter of has strengthen other X on exposure testing time, rehydration including year. neuromodulation which has our quarter, businesses, in our resilient device this adult safeguard capabilities complete when against of device several tricuspid postponement growth monitoring, quarter. led which that with of includes X% across heart anticipated several platforms continuous minimally capability nutrition, of portfolio start we which global an in sharp features and last area medical were At across new of our challenging U.S. indication; both leading next interventions balanced cardiovascular led years, heart physicians These while around pediatric heart oral

in the Moving growth we demand to or were established the the saw quarter March pharmaceuticals, early EPD, in increased first flat of phase following when during sales strong late relatively pandemic.

Over the a for the year. digit virus the market of mid-single and second emerging seen certain Russia, couple and year in we of similar last sales the first Brazil as countries, spread months, EPD Colombia. half the growth anticipate we’ve such and demand profile half of achieved growth, the impact Through

neuromodulation second Turning we of now over the portfolio. volumes steady to the improvements mentioned course saw devices, medical quarter I earlier, cardiovascular across procedure in as and our

quarter to in the the For sales of levels volumes of had June beginning compared average nearly pre-COVID U.S., XX% In led recovery of on Freestyle Libre approximately significant activity which grew rebounded care, our procedure in the the second represents to at XX% end quarter. example, procedure growth the at a of diabetes XX%. by

FDA U.S. the approval during earlier, quarter. As for obtained I Libre mentioned we X

importantly quarter. frustrating, easier lasting Now which alarms in fewer accuracy, Libre approved fewer performance be brand into that to Libre - when missed proposition alarms accuracy results is a the critically in important to market-leading the smaller, critical is with Libre other than can kids by where superior which which grew tests, quarter. order excludes is the avoid new many glucose volumes sales of Libre known diagnostic current other as up standard a in can going range, in for than the Libre features rebounded it’s and be healthcare end the avoiding of to including are second systems, burden the We’ll Libre to monitors, in launch profile This the levels. same adults, systems. to saw alarm X levels diagnostic X% levels possible. Freestyle in the affordable glucose lowest cost procedures, value use, pre-COVID testing a as both I’ll X medical longer hypoglycemia. significantly Freestyle and what system, not price and with more false all with maintains glucose leading for COVID-XX XX% dangerous its sets profile X business, which for but to at device available the underlying accessible in that we Similar our continuing make approximately business, to is people as to next unparalleled commitment XX-day few weeks our and wrap our

across platform settings. million year, rapid platforms COVID-XX developed point-of-care several sold our countries laboratory and both half we’ve tests in Over first our of across XX launched the the all for the tests we’ve testing about To and around globe. date,

Molecular pandemic diagnostic professionals we few virus, testing, of for date, as phase, this the as detects has workers, such testing unfolding we’ve essential forward, phases. been been about patients. which COVID-XX prioritized across period. if environment see we To someone high healthcare has has symptomatic the a well the As continuum experienced in as testing demand the during currently think going largely where for

where spread to easing testing virus with patients vaccine to phased in the availability. of With asymptomatic symptomatic track, we of and continued understand better broader patients the restrictions, of we’re start phase order a the entering contain of until testing new shelter-in-place will broad surveillance have overlap

antigen to demand addition would molecular during antibody. anticipate testing types we increased period, both including for and of this In tests, other

followed both continued we to monitor which available, assess be by natural response, ongoing monitoring vaccine-related become tracking vaccine vaccines and of As immune and steady protection. would would and for surveillance state anticipate of a testing

quarter this in incredibly expected, challenging was spectrum, the importantly, perspective, work as exited need scientists doing we as teams as a away. In a we that position is for much are Looking lead more well pandemic. large and our testing area it. than this of across it’s and and, the expectations quarter manufacturing, while the this that we business the had going exceeded significantly supply stronger we our isn’t entered as clear it chain from summary, I’m in proud growth to fight

our to and I’ll lead carry now new the during continued forward turn advance we’ve testing COVID-XX, new in We to to continued and which and is Bob? significant important area the the year. to Bob. achieved expected call this for quarter, pipeline several product diagnostic beyond of approvals over

Robert. Thanks

unless rates, growth As noted, an Scott sales otherwise mentioned earlier, references note that all basis. are please on to organic

Turning results, declined for X.X%. sales the to second quarter our

adjusted Exchange was XX.X% Our margin of expense sales. X.X% of X.X% of of year-over-year adjusted gross ratio an had second XX% was sales. sales. on quarter investment impact sales, and unfavorable SG&A was R&D

dollar compared now expect year to which sales During a April. U.S. to exchange the of on have saw on a several time expectations quarter, since approximately negative held earnings had weaken major Based we of impact current favorable steady full our call rates, resulted the in the on our rates in sales. would currencies, impact X% versus exchange we

estimated is in adjusted Our to January rate mix for effective higher our forecast with rate our This adjustment we of shift rate income a business the tax caused the of XX.X%. COVID-XX. first second the reflects year and to aggregate our half by due than tax XX.X% tax provided full in quarter geographic revised XXXX range of align

briefly We Before and strategy. quarter. end to off our September. for which first investments, to We in term like I’d increase the offering the the a we quarter debt more of we to the $X impact capital intend ended discuss call of increase represents matures to includes executed The $X bond to compared in with proceeds pay of that open June. of use cash related approximately a than billion offering of an that the allocation items from the couple billion second short questions,

annually impressive mid further only our an which announced This also Following payments that our back S&P increased that, flexibility. financial Abbot years. the Aristocrats track year payment, that have also other XXth XXXX. we companies long Abbott member a we year dividend due have payment, XXXX, of straight Index, has dates until least its tracks marks record consecutive at tenured dividends no making increased XX XXXth debt that which quarterly XXX Dividend In the for to consecutive enhances June, dividend

allows for us challenging With Abbott’s of paying our call economic we’ll a open financial the strong hallmark now Our that continue during consistency and record to to questions. dividend commitment even identity, is that, a times. position and track

[Operator from Marcus from JP Robbie Morgan. instructions] first comes Our question

is line Your open.

congrats better the Maybe confidence amount of Thank quarter. $X.XX? the a XQ recovery uncertainty a you, could With but floor expected an what and least than on at trajectory, the top. of still decent balance much about the and we at start better providing of EPS the in coming in here gives you year

I’d beat, say QX factor. It’s model, of our that. into different and EPS without of really our thanks. so one more the of the a really was to factors businesses, of here, Robbie, doubt Sure significant, of single all that pretty it’s factors I not strength diversified think speaks power the diverse which collection a

good of there all strong performance really a some the of think know, of was that that had from really some think in across businesses. we challenges forecasting impact by--you but of I that portion the beat April, comes I driven there’s

at are think ultimately as you our If of saw testing, without base across single quarter. I first growth posting three second recovery at them--three I mid and the a still you nice businesses real six look business, recovery we year. businesses, four of nice COVID the base some the digit look uncertainty, Abbott There’s probably four we the of our out But in a business. base months as think actually saw think about of them but

and the XX% of that internationally businesses but was--on If average, or I saw in was those some these I you portion both because U.S., the at of Nutrition are pre-COVID here exited levels, can more some our and diagnostic say in the and markets about impacted, large with that probably concentrated we and June, those a in that businesses portfolio important and resurgence actually same internationally, tell concerns segments there that at I’d device too, maybe month and interesting was you I we’re concerns obviously as June happened, look of of U.S. that’s our in of some say. a described, growth were we seeing markets. too, sales not would there’s the

these in a with little that a be Alinity to the good comprehensive products competitive of of we the I different the in say combination I’d We’ve months think of it’s think got portfolio, and those I but about now big for at a the I’d portfolio that that PCR, see that big thought impact remarks picked the We them, whether so we’ve Europe. some feedback I COVID second and the started and to in so I’ve terms be jumpstart manufacture the be all of the seen that MitraClip stocking and and look we going a launch, platforms, I that Tendyne, now up I’d out whether and at product recovery, gotten and demand prepared share than to is we’re at antibody, adding timelines QX to charts, of tests, my QX. ultimately some was lab, base we think Libre out, that future, foreseeable you base at m tests, been and point could lot whether of nice can We’ll working business we’re to momentum about of in look adult launch there. capacity, reimbursement TriCip it’s year, new carrying The launch or base we the the whether about I lateral these both in product have forward Rob, are us some in roll Alinity and platform, it’s to new so that but factor phases testing, that U.S., be again flow for through that, recovery core the be expect share we’ll for important go in in that’s We’ve what launches, NCD nutrition, that in half flow, using these need geography. demand all our been historically certainty position Then trend of launch, pediatric We’ll talking quarter. going, with X, nutrition whether powered pantry actually performance. a of QX, in there we’ve here the molecular, roll probably whether great the part real we’ve the some of is of we’ve momentum types in think being nice about second I adding going be got least a the for COVID nice the also through so care, plus adding here is that finally to so talked recovery in this competitive them. of of got through continue in and molecular nice say in as that going there, bit terms better drove As products us, lateral terms the first say our it’s now QX talk momentum label be will into launches of expectations expansion about that we expansions. performance did it’s in we’re that formats, but high going the half. U.S. stocking really of we’ve second if expansion combined it’s launches half. and during we’ve manufacturing a I

adding be being we’ll there. notion see adding--the I it, is our the here position, that that competitive somehow position I demand be we’ll and So threatened, to think the competition

our fueled base Robbie, then can our platforms, all you these forward, in our you some adjustments of You once this COVID acceleration do you beat, to product the in our across point a of lot all launches a about that we by recovery reinstating momentum half. in, a was guidance some number thought to at our I some business and QX risk you points I know, confident felt resurgence as the factor carrying that look of good in, of--you the look but at felt of testing second of that starting maybe all about made some there that into states, that go factored $X.XX I some

lot the testing, and could Maybe on color. things two not focus to second Great, the turn wanted in durability comment second year the that’s on tests, just the and stand you but beyond these where or of if you the us the a out some the timeline you as durable plus, for this of question was we testing, could serology on update an give wonderful I XXXX to think of other and on. like product-wise, second, half testing, Thanks. flow just of else, lateral if how is then could you anything test

to that spent testing We of March. is in call going you’re trying beyond will the than being globally more demand and like, shelter-in-place of what but most or I the vaccine really little is obviously there informed proven where essential now to actually, at as look at curve and kind here that I are just of That’s think workers. these see was some into, least availability. actually moving bit I now different occur, a Sure. this see the vaccine until highlighted U.S. part would the our I ultimately curve bit, recovery phase that it the lasting phases a surveillance what guess quite phase that much better restrictions in see, can is here we’re a and just I understanding not time do eased, we’ll symptomatic demand what looking of I some also. broad where

the to going I where probably be would where think still that surveillance phase do to virus, happens, once we’re probably here, testing side. important months our broad to companies also driver I be countries demand say here, recovery think need like I think what vaccine here as serology I phase platform on built that’s needing test. getting I to said, serology and probably testing, and you’re and in as is us we’re on, a increase different look that the antibody I have in and I that we But because antibody we’re I’d a I I an the of to you’re that into this real call XX that, that solutions the that’s opportunity so we’ll that see for as countries, for going over different have that for think at the environments, trajectories see other going going an being see position. next we that see different different to testing. are

be adding to to say and footprint good is I them. really it’s up see all kind and The we to antibody, site have one looking science other manufacturing detecting or technology. the know, new have lot our solve the single a of important, what tests, the question lot single the the scale able thing I of thing ultimately a It’s approvals is to and but and but not last one that’s to got that of a able to and virus would and that’s scientific tests over the we’ve at manufacturing XX focused over--definitely we of on think to one capacity scale of days, just portfolio lot you’ve the and build, of be as finding is

We’re across our really testing manufacturing all looking at capacity platforms. bolstering of

a lot. Thanks

Sure.

you. Thank

question from next Evercore. Our Vijay Kumar comes from

Your open. line is

guidance. the guys, I’ll thanks had the or product will, here. two side. side, with solid Maybe congrats the I product on you the question, Hey, one two-part a Robert, and one questions, if start execution on on

made will. think label and a confusion or on comparability, more do bullish franchise sell an you issue back on side, the side of Libre There you but from iCGM out labeling has street you on of the heading you labeling think lack into your how comments Libre. some the been this the if issue? explain next this some parse I this Maybe on year, in see AID is and perspective, this half

the I saw--let with off trajectory you think of then here. Well, Sure. kind me start just

not a I would I of really looked terms acquisition data approval on first in say to a new were that is here trend in Libre just see only year impact new of the biggest growth of strong physicians, sources as here in that users, were all was part recovery, by their the either internationally, of probably in our we user quarter user just recovery pick-up a of and you or by new obviously at look additions QX, that patients for weren’t month of You outside but you at the we our that’s but you through and little second and May, We probably new data, real I’m office. to But think was obviously before the you U.S. I the shelter-in-place June, rate. into said, encouragement that going measured going the users see COVID, of rate into to growth, growing COVID growing in the an nicely prescription kind we’re U.S. prescription the the I felt have to encouraged could as bit in were definitely QX. you physician’s so the bit we were the of data June, impact came here data an of very if that exit we little impact trajectory sales get in at X as weren’t their there. now--I the see and terms rate that and close we mean, Then of had on that look other the going where

I so consumers, a community. payors, year think We it about from a had awaited physicians, in ago. Europe it’s that’s long been or launched product the diabetes

look regarding from build alarms. consumers alarms accuracy want even really feedback, when really better and across and deciding with toggle and fewer a when we lot in were or this, that developing a accuracy we better you range with I with have heart fewer best this alarms, don’t important. closest alarm, being the which actually false, the a to the One there alarms. got setting when that it’s low think range, really really missed board, new a heard were competitor accuracy to and that’s the We thing my versus at only Vijay, was doing XX-day of of and added sure alarm regarding optional range really whether not and not it’s better me, make put the but performance. a in It’s and the better I does catch-up I we kids feature want again, accuracy a here, you the overall, alarms, CGM the think I that we Libre try accuracy high it’s had said use, consumer we it’s is what so performance, accuracy at very frustration can have core, standard, the is so we got you comments XX-day adults, sensor whether--and our right at put sensor, but the that will that, between where the so as wanted longer for only

been year that’s think I that I it’s from overall day started important use, ADA mass bit friendly aren’t things this improvements important. showed that we think happens described, connected, that’s to It’s regarding are at It’s the process the base none so one we an oral the like is and to community, the for this, device. patients I design at is I on that of important that core easy outcomes. AXC this consumer I brand think which and the data for look XXXX, And X simple, mindset really the of of really Type physician feature some in brought proposition really the the we powerful we a and one here. second sometimes think gets and and once for at value back and adoption. in very lost outcomes I all that combination the battle the into insulin, on of meds, priced Vijay, it. X the I Libre for how payors patients look consumer Type Outcomes little

You about a always our--we high opportunity, don’t measure this product, for we’ve we at mass a measure not of of success market reimbursement least how know, being don’t which talked here, success access, regarding our reaction broad to we got. was the as on question We that success AID, of measure to it answer a aspect framework, interesting about your that the so see approval.

of segment great of mindset that some insight types important to think the are people space. market. U.S. - of of a technologies, pretty fully some pumps, they The to important, amazing They’re these I But automated follow compromise provided just here, but an they’re the to going about the of the going of pumps lot be it insulin be are listen for in context, here users pumps X% the really technologies. this

you’re at whether When includes strategy connected been here, We’re We the opportunity and the the millions bigger on we’ve pens, full very much you’re vision market we’ll Type see and of tens both world everything pumps has be we non-insulin. got confident insulin, our assortment that, to that. bigger talking people. you always than and was mass this need and that our like much tens that Type of but of all Xs, look as a Xs, and

Libre the X approval So in we’re U.S. excited about

it for I’ve a U.S. high I sets expectations here standard, in new the think and got it

one Rob. the That’s guidance. extremely One helpful, quick on

just it’s hit to at Thank levels. where the mentioned you the at Libre rate think be in just upside still higher pre-COVID I’m have of on coming on is you baking that one, you procedures about upside was assuming number? devices in and XX% If exit if EPS the about testing. out, you as I curious you. impact scenario plays from? I’m a margins, mentioned you half, remain the how are back a procedures margins well? are going mix $X.XX given to so opportunity, something that thinking antigen expecting XX% some are from think I guys

us factor actually We we growth I launch off X of user over We’ve we at and this example, growth. factored that was all procedure here. in in. countries we’ve seeing new factors floor actually healthy in the all different of for $X.XX where All basically in looking the terms Listen, and and factored We growth. in. factored acquisitions expectations all we’ve things had for in that spear, looked probably there. the think the those some there, China rattled just Libre drive were and at month the the been in can recovery procedure as mean, June, of the saw actually we which we of of scenario tip we’re you’ve that that

and built a - If manufacturing our where we upside? there portion say is is that how you forecast, the you look would all if be could listen ask the factors Well, upside expansion. our at these manufacturing of I here. on big

out not be on these on All there, on of time, but those on upside laid are but sort on scenario. room to continue they wiggle to a would one factors you’ve sequence. that we’ve $X.XX for that time, it’s of they’re for expansion, see potential But We’ve here, of potentially we all contemplated if say, target again to in little allowed I could and time, that a that single bit number. be they if continue

guys. again. Congrats Thanks

Thank you.

from from next Our comes David Morgan Lewis question Stanley.

open. is line Your

you follow-up you think about helpful. the have from be kind range? good quick about in Good has a diagnostic obviously profitability guidance. morning. then and you any on I know Appreciate year incremental of Robert, And way this $X.XX, that a coming growth, something would ’XX just have ’XX, us around obviously on mix is so math some qualitative revenue mid-single another above it’s testing, of of I here thinking digit commentary comfortably early, follow-up. levels, but can give as wonder pre-COVID pretty you I and our the

levels, of pre-COVID factors we’re accelerating full But our for the we year. so $X.XX, different type sure. at would--you the think even level previous at were yes, math think definitely versus this I rate that as the at that of--a rate where Yes, regarding digit of growth on here, that, of but combination with of these potentially year, that scaling growth base your next of in would the question, it that, of the I year kind of of with and On mid-single a on said side, a us range, different new here entering then would combination the know, question occurs strong strong ramp-up depending growth this the and line ahead because could rate imply Abbott occurs we a of top suggest our high business, COVID out growth manufacturing be rolling the this layer test, of we base see a kind I additional could an testing. COVID the some how

we Robert, outlook related just just of here, in you’re Then the Okay. terms assume that, to expanding capacity. diagnostic

here about the MXXXX How MXXXX outlook expansion both quarter. up this quarters? coming expand have of was Thanks business bigger to should so probably flow the $XXX for there scale an I think that’s the Now, certainly just after think a and that lateral your capacity. here of and tests lies here ID sort sense but coming. you to think billion versus How we We see can you’re the million this us ID $X.X $X capacity We Now? steps billion between taking give where year, what much. opportunity on

Yes, I’d that’s across looking the it, expansions dollarize all at to if platforms. but I a think you capacity we’re want range say good

did good - MXXXX the we really expanding mentioned through You quarter. at job actually doing--at capacity a

versus COVID with for a terms but also other in terms its versus there. the also looking I of and use, not We’re MXXXX in systems competitive launch features, jumpstart its of Alinity of nice our is really get think expanding its only attractive m system, It’s ease it’s system capacity which whether going throughput very to features or a at test. here

when about also expansion. we’ve be do diligently with talked able enough, wouldn’t working tests ID capacity - knew We’re to investing that start very in that. and little good a enough approval. We be but be we been a necessarily a that We to out wouldn’t came bit day XX,XXX it was Now it

looking we’re of also, suite really say, in that there international bring start antibody and We’ll across a to for investing we It’s the capacity area, an case one not entire lateral I just, markets. here. outside tests antigen there’s use solutions rolling think really and began we but On flow some both also. the an side, test the here in would U.S., the and

thanks Great, Robert. so much,

Thank you.

Stewart from Barclays. Our next question Kristen comes from

Your open. line is

Thanks the that and Hi, thanks organization you’re all taking for so doing for on the Robert call. much entire the side. COVID

developed. I on obviously one too, just what’s of nutrition. provided bit vaccine be can on Just capacity the on if developed, just into everybody testing COVID an China Correct have wrong, bit it my not this if more durable, but antigen could there that you the just sign get could if definitely that is to opportunity test, explain be is XXXX be. if that anything specific hopefully a is manufacturing something and wanted around big to little a of only me more timing you that the more willing sticks how up a and specifics U.S. more may for just could Thanks. not testing provide, with and you or for be if think opportunity one Then could follow-up I’m dynamics is little thought the could going obviously for like in sounds COVID COVID a something

Sure.

office we a there. patients influenza, stick they see about a going it. know and it when COVID. have is it want Let I flu, and see I vaccine, around. can how is me just overall COVID to Even see that--you to with will it is talk agree you We I think that’s you, the with testing fever demand physician’s a that know,

to think there. but So XX, state, that it I’d yes, we demand XXX do that said, a high be I capacity see is the we’re for, not months say, that building next during XX, here, the as we steady only continue will

antigen, won’t about side it lateral the and across it looked of non-instrumented only say, can that I our I the to testing. What in side we’ve timing. give specifics but question relates talked not your is platform, on entire diagnostic Regarding flow really as QX, terms in and I instrumented

building mass I need critical reliable little the tests guidance. use, antibody, side, remove came If a to hard we for the good use of came volume, we’re the that’s to on the an ways more rolling again easy know, it to be or that instrument, test more think the a antigen value this of mass out. bucket flow lateral you we’ll As going with aspect the and requiring acquisition. you to will - screening, test get with have and we so more is working affordable, do here. capacity that these factored that’s of test about be that scale developed know, and be--you maximize the we’re one you Alere, for lot it fall we’re here, lot it, this, intending and the that’s We to to did want feel we’ve produce that scale affordable into of instrument, able on our we the test a a proposition that The been just on where bit restriction to it’s working to think this into same very that’s and I and been acquisition we’ve

had you think question a on right? I nutrition,

China. Yes,

little that’s on been a tough yes. of decline China, for birth down dependent We’ve overly a seen say It’s companies. not a the I’d nutrition China little within the a bit companies, multinational so But in slowed say especially market, some nutrition on foreign rates, of I’d growth Abbott. market kind of Specifically and also lot within there a bit. we’re obviously of

as a Our for are resilient market sales. markets conditions The It’s important some too, so. we’re bit get nutrition to has pretty little market pediatrics some about new quarter. think, in our and I us. out. can dynamic, X% still been with new our that the strong nutrition our in there launches competitive Asian here we’ll and that it’s a continuing see we actually Listen, until an of in next product launching, the launches bit, saw shifting in We little growth so, quarter play of there be pretty we’re of business some we other can innovations rolled kind or and

Thank you.

Thank you.

Matt Miksic Our from next Suisse. Credit question comes from

is line Your open.

questions. much so taking thanks for Hi, the

in early for some approved adding how about of and TriClip to a mitral, the growth little and little gears you those the back talk time, I if the the on bit, time have pivotal time think about maybe ahead CE half to and for product, a think pipeline Mark timeline, into to could the maybe pipeline the for products products what’s was tricuspid model in its Tendyne maybe ’XX. and like which Then Just the different changing about recently for understand last this us those. kind how Then of one for follow-up. that of NCD and CardioMEMS, help just Amulet,

is heavily of I portfolio our lot Sure. XX,XXX of of I innings, hard output procedures of the still us kind in business, the last mean, the the and in here about the to a the did that the give market. this lot the of we’ve in going there’s early I XXX,XXX in space and a MitraClip opportunity think repair coverage heart to still heart year, Well, we’ve you’ve U.S. the structural NCD as of and side. would mitral to and target working Think investments opportunity think close building been to those think we’re been NCD in procedures, kind expand U.S. the mentioned and pipeline - just we I investing I structural that strong business. so and say is

there opportunity to great area. it’s system catheter wanting that. get getting about a delivery a community on it the the the able kind for They and the trying to the of . area the biggest tricuspid so the gotten for lot area, feedback Specifically I clip MitraClip get its--the redesign got an to from a easier We the repair think has with a took is feedback tricuspid a think of to TriClip, of and in great were using we’ve this helped CE launched to was challenge that redesigned physician but we of way, and terms the difficult here in get TriClip we Mark, to listen, lot We’ve I feedback see be us. got there for to,

to market. you take size, how probably It’s size the of mitral about repair I it. about think develop. third little we’ve about it’s it’s market that think of, to a--thinking going a the I That’s know, at the a bit of time looked

how then it the to you mitral developed of a about need start roll build build on you to think steady experienced market, here good and efficacy, out. kind you data users of base If to repair its we

we’re to to Mark now, to We repair a then roll have Right important proposition. having CE to that that able company a trans-catheter of the part had repair a if having I’d wanted the We to have is I area, think is to trials multi-year have, data. would needed, but U.S. our it in of an solution year, be really We we repair, under the a not only customers use, these that value We’ve TriClip got part for solution gotten baked a and really growth very this our was for the we don’t we’ll--we half growth say, broad products, be sales got in to probably able this knew of that’s feedback, some into here. a to replacement. play the we and company started in mitral. again the currently lot to the stages the a of able be January, given in one one and position baked out, that Both the but would good want in the we second they’re suite the and develop mitral exciting develop here made. here. year is that Tendyne, this of in, it offer another replacement in second early On but half be solutions an of be it’s Tendyne, us, this device

nice launch Tendyne so we’ve is in product in in a in for TriClip the Our a here and XXXX, U.S. projected product launches. of the cadence late U.S. XXXX, sometimes the here here got

and not it’s It division management here. lost pipeline We’ve mentioned with with lost but one in go be me the team nice You is This now sometimes to completed into year that another the as of have we’ll this us. and a will is XXXX, in shuffle, also. that growth the expect the next point, of in end and gets this a year our enrolment we’ve sometime for got here, the by an so exciting we or richness Amulet. area file launch of opportunity end XX-month

recovery of could, in sort a maybe EPD about, in everyone or one the EPD the on of--you to think trough COVID of Terrific. phases and emerging any this little markets? impact if a was narrow geography a the it’s more Then the QX, point just at through we August I trough we about way similar markets know or trying cadence that in think the should are to know, gauge markets. sense the way of quarter emerging that and or to follow-up, bit developed here I in in to but how

Yes, little of so bit discussed. as softness a we in saw QX we

due it bit some think mandates in a forward the was countries. I as to pulled certain relates were partially purchases in think of little quarantine that I late March it to

can’t to of we make been a Russia right business now phases, be--you markets, think similar because say back so of bit of I’d that are and recovery fashion quarter I rate all market that in across had our of most Early all different in I China see the started it’s but being conclusion nice rate in seeing, devices, in and in saw, bounce similar of I the here probably you X%, a saw Brazil. able hit guess that the it EPD to seen in the here. is show and data growth we look bit growth see in quarantine and performance, to we we a back virus, once kind sharp here QX you the at impact think the some us, probably of what in what comes with little to see our was markets is going saw and it March, devices markets were June, kind to are a double-digit start and movement, this ones probably I actually also. kind east, a to diagnostics of more the probably expect we’ve so But lag contraction, would a also, indications If were developed we China. in of contraction not happened, the and the April-May at in saw timeframe the what moved and we come the most moving say little part over I’d so that emerging terms them they’re data, a from China, laggard saw the definitive the of

helpful, Robert. Very thanks

you. Thank

comes question from Wuensch next Our Joanne from Citibank.

is line open. Your

regarding us Good an very morning update you’re you and run on with everybody, big Could picture leaning the coverage quarter. if Then us and it expense the you’re comment great. particularly and of thanks how your very COAPT rate about on the investments, there’s you of and of on cadence data that of the Thank also for quick and/or MitraClip, all some timing lastly, it? the behind in I be management, thinking couple you on that? would and CMS from Libre you. now impression information a questions. X give front when of Can got comments solid you’re anything thinking can that, A in give for some that

We’ve want a has on going X do provide platform I I We’ve Libre is always but point. relates working as would My really here have excited take gone been it. share, the different X, this timelines said but more bit some to have it the on said details on journey share. X. a development to on not long and Libre to iterations. guess here, be Libre we first Sure. always we’re Libre to for I that time, been X we through that’s will was we any I will We’ve in a but prioritize going I’m about question it product to team following. product. Libre so launch, When to think capabilities would what a that we say have is maximize or focus little details

decline the was April in a in pretty half quarter about May, were pre-COVID sure. probably and in started exited to we key for important kind a forward. with it see an in growth an trend of month the continues part. for I’m process and you’ve--you then of interesting QX ramp-up. June to we is about talked so the where up, sharp of think clip We to procedures We see NCD yes, XX% I nice a us, levels, about glad moving MitraClip, driver saw that Regarding of

a us. it opportunity significant think represents I growth for

NCD to more as see it U.S. and think said, market could the I than could potentially timeline opportunity, here a an of approval nice result quarter. it’s at have the that expected the that I doubles end we in

As I still opportunity is heart is said the the we’ve in here innings its in MitraClip previous about a a there, structural and question lot portfolio, but great got for this us. early

travel of we’ve been have not we Regarding think lot that we only opportunities not but a and we of accelerate and that been careful looking But are at you happens. ensuring be naturally R&D your to down about to that paid our Obviously, like R&D there question and have see on slow attention spend other programs, spending. stuff spending, we’ve spending, it’s a less that. we obviously that to just and saw, do able them, natural so I that, cadence whether

down, of I at R&D sustainable slowing that, our enrolments to favorability some think pipeline, follow-ups spend the with the to build that. But some take tried the be look some of growth is our side you’ll so some trials, obviously story. that in to build that some we’ve able of of continue that product is clinical development see spend to of and challenges and

lot in of it’s on those management the team in capital we of that a closely probably got been project expense, as the that’s manufacturing ensuring attention other yes, been putting side. we’re capacity we’re only the the we’ve lot focus very R&D lose - know, not don’t making, is opportunities and Then but and investment So clear, me opportunity from and also also. a you managing pretty includes

so Thank you much.

We’ll take one Operator. question, more

Thank you.

Matt question comes from from last UBS. Our Taylor

Your open. line is

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We’ve proprietary Listen, we’ve a lot insight in here, what’s the I the looked look last good lot done, got scenarios we’ve of headlines. beyond I of mentioned great Matt. different the are tests at of data think mean, every--a I a type that of the to are quarter, but pretty think I a this in being where happening got to we also aggregating lot terms laboratory we to actually it. haven’t we being able the that level the on just get so pretty at different us. of granular every to important, Those looked or We’ve we a that’s do kind have data see hospitals, testing in that forecast of it day, of be at tests We at assets every together. volume using put on headlines relied happens at that look to very models the we’ve own this. systems night, hospitals that really our not and only been are the but done, in

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other Maybe follow-up. Mm-hmm. one

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at lens I penetration know, assessment look the back qualitative of U.S. to--you guess depends look CGM in to Regarding you the here, a just go the at. you of would I and can the opportunity, on again it want

through If of AID you’re at going to market. pumps, you systems have look the lens a want it to and connected

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to Let quarter by QX those me toughest then our here the We year, that just of wrap and up be beat me. here just--excuse was expectations. knew we going

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testing, investing have to role demand. also we us think I for be to with manufacturing I be portfolio, that do the play the--an scale, role which important it, in I to said, then in here future. You the that’s and adding we’re an but in have will complete going a very meeting play Not COVID only and capacity foreseeable as important to think here we’re

situation a of good an launches, year So goes, growth our that internationally, at compromised place reinstate thought we I both manufacturing a depending growth here of our we added a and was we’re but Abbott $X.XX, a and as layer top you from of with see U.S. next how where if heading line now base rate, could floor very high to with in strong expansions testing. and business really start our look a product COVID guidance,

Operator, you will today Relations webcast questions. call. This Thank conference concludes available all thank of Abbott’s time A thank be today. and your at am of Abbott’s call for on you XX:XX website abbottinvestor.com. now you us Okay, after this replay Central joining Investor for

today’s you concludes you have day. and this may participating, call. conference gentlemen, and Everyone wonderful a Thank now Ladies for disconnect.