Revenue growth accelerated to 10.2% YoY in 2026Q2, with gross margin expanding to 74.7% and operating margin reaching 37.9%, reflecting a favorable mix shift toward higher-margin newer drugs.
AbbVie Inc. (ABBV) annual income statement — 16-year revenue, gross profit & net income history
| Metric | TTM | Dec'25 | Dec'24 | Dec'23 | Dec'22 | Dec'21 | Dec'20 | Dec'19 | Dec'18 | Dec'17 | Dec'16 | Dec'15 | Dec'14 | Dec'13 | Dec'12 | Dec'11 | Dec'10 |
|---|
| Sales/Revenue | 64.39B | 61.16B | 56.33B | 54.32B | 58.05B | 56.2B | 45.8B | 33.27B | 32.75B | 28.22B | 25.64B | 22.86B | 19.96B | 18.79B | 18.38B | 17.44B | 15.64B |
| Revenue Growth % | 10.39% | 8.57% | 3.71% | -6.44% | 3.3% | 22.69% | 37.69% | 1.57% | 16.08% | 10.06% | 12.16% | 14.52% | 6.23% | 2.23% | 5.37% | 11.55% | - |
| Cost of Goods Sold | 18.36B | 18.2B | 16.9B | 20.41B | 17.41B | 17.45B | 15.39B | 7.44B | 7.72B | 7.04B | 5.83B | 4.5B | 4.43B | 4.58B | 4.51B | 4.64B | 4.29B |
| COGS % of Revenue | - | 29.76% | 30.01% | 37.58% | 30% | 31.04% | 33.59% | 22.36% | 23.56% | 24.95% | 22.75% | 19.69% | 22.17% | 24.38% | 24.53% | 26.59% | 27.45% |
| Gross Profit | 46.02B | 42.96B | 39.43B | 33.9B | 40.64B | 38.75B | 30.42B | 25.83B | 25.04B | 21.18B | 19.8B | 18.36B | 15.53B | 14.21B | 13.87B | 12.8B | 11.35B |
| Gross Margin % | 71.48% | 70.24% | 69.99% | 62.42% | 70% | 68.96% | 66.41% | 77.64% | 76.44% | 75.05% | 77.25% | 80.31% | 77.83% | 75.62% | 75.47% | 73.41% | 72.55% |
| Gross Profit Growth % | - | 8.94% | 16.3% | -16.58% | 4.87% | 27.4% | 17.77% | 3.16% | 18.22% | 6.92% | 7.88% | 18.19% | 9.33% | 2.43% | 8.33% | 12.87% | - |
| Operating Expenses | 27.14B | 22.86B | 30.29B | 21.15B | 22.52B | 20.83B | 19.05B | 12.84B | 18.65B | 11.63B | 10.47B | 10.82B | 12.12B | 8.54B | 8.05B | 9.19B | 6.63B |
| OpEx % of Revenue | - | 37.39% | 53.77% | 38.93% | 38.8% | 37.06% | 41.6% | 38.61% | 56.95% | 41.21% | 40.82% | 47.34% | 60.74% | 45.48% | 43.82% | 52.65% | 42.38% |
| Selling, General & Admin | 14.67B | 14.01B | 14.75B | 12.87B | 15.26B | 12.35B | 11.3B | 6.94B | 7.4B | 6.29B | 5.88B | 6.39B | 7.72B | 5.35B | 4.99B | 5.89B | 3.82B |
| SG&A % of Revenue | - | 22.91% | 26.19% | 23.7% | 26.29% | 21.97% | 24.67% | 20.87% | 22.59% | 22.31% | 22.94% | 27.94% | 38.7% | 28.48% | 27.14% | 33.79% | 24.43% |
| Research & Development | 9.71B | 9.1B | 12.79B | 7.67B | 6.51B | 8.05B | 7.75B | 6.79B | 10.75B | 5.33B | 4.58B | 4.43B | 3.65B | 3.19B | 3.07B | 3.29B | 2.81B |
| R&D % of Revenue | - | 14.87% | 22.71% | 14.13% | 11.21% | 14.32% | 16.93% | 20.42% | 32.83% | 18.9% | 17.88% | 19.4% | 18.28% | 16.99% | 16.68% | 18.87% | 17.96% |
| Other Operating Expenses | 1000K | -241M | 2.75B | 599M | 753M | 432M | 0 | -890M | 500M | 0 | 0 | 0 | 750M | 0 | 0 | 0 | 0 |
| Operating Income | 18.88B | 20.09B | 9.14B | 12.76B | 18.12B | 17.92B | 11.36B | 12.98B | 6.38B | 9.54B | 9.34B | 7.54B | 3.41B | 5.66B | 5.82B | 3.62B | 4.72B |
| Operating Margin % | 29.32% | 32.85% | 16.22% | 23.49% | 31.21% | 31.89% | 24.81% | 39.03% | 19.49% | 33.83% | 36.43% | 32.97% | 17.09% | 30.14% | 31.65% | 20.75% | 30.16% |
| Operating Income Growth % | - | 119.89% | -28.38% | -29.59% | 1.08% | 57.74% | -12.48% | 103.4% | -33.13% | 2.19% | 23.92% | 120.96% | -39.78% | -2.63% | 60.69% | -23.26% | - |
| EBITDA | 26.8B | 28.23B | 17.52B | 21.45B | 26.58B | 26.45B | 17.83B | 15B | 8.15B | 11.05B | 10.53B | 8.37B | 4.2B | 6.56B | 6.97B | 4.89B | 5.9B |
| EBITDA Margin % | 41.63% | 46.16% | 31.11% | 39.5% | 45.79% | 47.06% | 38.94% | 45.09% | 24.88% | 39.15% | 41.07% | 36.63% | 21.03% | 34.92% | 37.91% | 28.04% | 37.73% |
| EBITDA Growth % | 39.31% | 61.1% | -18.33% | -19.29% | 0.53% | 48.28% | 18.89% | 84.09% | -26.24% | 4.91% | 25.75% | 99.5% | -36.03% | -5.83% | 42.42% | -17.1% | - |
| D&A (Non-Cash Add-back) | 7.92B | 8.14B | 8.39B | 8.7B | 8.47B | 8.52B | 6.47B | 2.02B | 1.76B | 1.5B | 1.19B | 836M | 786M | 897M | 1.15B | 1.27B | 1.18B |
| EBIT | 13.31B | 9.49B | 6.52B | 8.47B | 15.71B | 15.41B | 5.85B | 10.21B | 6.54B | 8.88B | 8.93B | 7.36B | 2.8B | 5.63B | 5.83B | 3.67B | 4.84B |
| Net Interest Income | -2.65B | -2.63B | -2.16B | -1.68B | -2.04B | -2.38B | -2.28B | -1.51B | -1.14B | -1B | -965M | -686M | -391M | -278M | -84M | 20M | 28M |
| Interest Income | 270M | 266M | 648M | 540M | 186M | 39M | 174M | 275M | 204M | 146M | 82M | 33M | 38M | 21M | 20M | 20M | 28M |
| Interest Expense | 2.92B | 2.89B | 2.81B | 2.22B | 2.23B | 2.42B | 2.45B | 1.78B | 1.35B | 1.15B | 1.05B | 719M | 429M | 299M | 104M | 0 | 0 |
| Other Income/Expense | -10.18B | -13.49B | -5.42B | -6.51B | -4.64B | -4.93B | -7.96B | -4.56B | -1.19B | -1.82B | -1.46B | -892M | -1.04B | -332M | -92M | 48M | 119M |
| Pretax Income | 8.7B | 6.6B | 3.72B | 6.25B | 13.48B | 12.99B | 3.4B | 8.43B | 5.2B | 7.73B | 7.88B | 6.64B | 2.37B | 5.33B | 5.72B | 3.67B | 4.84B |
| Pretax Margin % | 13.51% | 10.79% | 6.6% | 11.51% | 23.21% | 23.11% | 7.42% | 25.33% | 15.87% | 27.39% | 30.75% | 29.07% | 11.87% | 28.38% | 31.15% | 21.03% | 30.92% |
| Income Tax | 2.38B | 2.36B | -570M | 1.38B | 1.63B | 1.44B | -1.22B | 544M | -490M | 2.42B | 1.93B | 1.5B | 595M | 1.2B | 450M | 235M | 658M |
| Effective Tax Rate % | 27.39% | 35.83% | -15.34% | 22.03% | 12.11% | 11.09% | -36.02% | 6.46% | -9.43% | 31.29% | 24.49% | 22.59% | 25.12% | 22.58% | 7.86% | 6.41% | 13.61% |
| Net Income | 6.31B | 4.23B | 4.28B | 4.86B | 11.84B | 11.54B | 4.62B | 7.88B | 5.69B | 5.31B | 5.95B | 5.14B | 1.77B | 4.13B | 5.28B | 3.43B | 4.18B |
| Net Margin % | 9.81% | 6.91% | 7.59% | 8.95% | 20.39% | 20.54% | 10.08% | 23.69% | 17.36% | 18.82% | 23.22% | 22.5% | 8.89% | 21.97% | 28.7% | 19.68% | 26.72% |
| Net Income Growth % | 67.79% | -1.22% | -12.03% | -58.91% | 2.55% | 150.04% | -41.44% | 38.6% | 7.12% | -10.82% | 15.73% | 189.97% | -57.03% | -21.74% | 53.66% | -17.83% | - |
| Net Income (Continuing) | 6.32B | 4.23B | 4.29B | 4.87B | 11.85B | 11.55B | 4.62B | 7.88B | 5.69B | 5.31B | 5.95B | 5.14B | 1.77B | 4.13B | 5.28B | 3.43B | 4.18B |
| Discontinued Operations | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 |
| Minority Interest | 47M | 42M | 39M | 37M | 33M | 28M | 21M | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 |
| EPS (Diluted) | 3.57 | 2.37 | 2.39 | 2.72 | 6.63 | 6.45 | 2.72 | 5.28 | 3.68 | 3.30 | 3.63 | 3.13 | 1.10 | 2.56 | 3.35 | 2.11 | 2.57 |
| EPS Growth % | 68.06% | -0.84% | -12.13% | -58.97% | 2.79% | 137.13% | -48.48% | 43.48% | 11.52% | -9.09% | 15.97% | 184.55% | -57.03% | -23.58% | 58.77% | -17.9% | - |
| EPS (Basic) | - | 2.37 | 2.40 | 2.73 | 6.65 | 6.48 | 2.73 | 5.30 | 3.69 | 3.31 | 3.65 | 3.15 | 1.11 | 2.58 | 3.35 | 2.12 | 2.59 |
| Diluted Shares Outstanding | 1.77B | 1.77B | 1.77B | 1.77B | 1.78B | 1.78B | 1.67B | 1.48B | 1.55B | 1.6B | 1.63B | 1.64B | 1.61B | 1.6B | 1.58B | 1.63B | 1.63B |
| Basic Shares Outstanding | 1.77B | 1.78B | 1.77B | 1.77B | 1.77B | 1.77B | 1.67B | 1.48B | 1.54B | 1.6B | 1.62B | 1.63B | 1.59B | 1.59B | 1.58B | 1.62B | 1.62B |
| Dividend Payout Ratio | - | 275.84% | 257.71% | 216.72% | 84.85% | 80.24% | 167.16% | 80.77% | 98.12% | 77.36% | 62.44% | 64.04% | 150% | 61.89% | - | - | - |
Quick answers to the most common questions about buying ABBV stock.
For fiscal year 2025, AbbVie Inc. (ABBV) reported total revenue of $61.16B. This represents a 291.1% increase compared to $15.64B in 2010.
AbbVie Inc. (ABBV) is profitable, generating $4.23B in net income for the fiscal year ending 2025 with a net profit margin of 6.9%.
AbbVie Inc. (ABBV) reported an operating income of $20.09B, resulting in an operating profit margin of 32.8%. This margin reflects the operational efficiency of the business before interest and taxes.
AbbVie Inc. (ABBV) generated $42.96B in gross profit for the year, representing a gross profit margin of 70.2%. This demonstrates the company's core pricing power and production efficiency.
Key Metrics
Top Statement Risk
IRA price negotiation exposure
Metrics are mathematically derived from official filings.
Skyrizi Momentum Offsets Humira Erosion
Revenue growth accelerated to 10.2% YoY in 2026Q2, reaching $17.0B, driven by Skyrizi and Rinvoq uptake, according to the latest quarterly report.
The 10-quarter trend shows a clear inflection from sub-1% growth in early 2024 to double-digit growth by mid-2026, indicating that the immunology portfolio transition is gaining traction. The sequential acceleration from 8.4% in 2025Q1 to 10.2% in 2026Q2 suggests that new drug launches are more than offsetting Humira's decline, though the sustainability of this pace depends on continued bio-naive patient capture and formulary access.
Gross Margin Expansion Reflects Mix Shift
Gross margin improved to 74.7% in 2026Q2, up from 66.7% in 2024Q1, as reported in financial statements, suggesting a favorable product mix toward higher-margin newer drugs.
The 800 basis point expansion in gross margin over the period indicates that Skyrizi and Rinvoq, despite rebate pressures, are contributing at higher net margins than Humira's later-stage lifecycle. However, the volatility in 2025Q3 (66.4%) highlights sensitivity to one-time items or channel dynamics, and investors should monitor whether this level is sustainable as IRA negotiations may compress net pricing.
Operating Leverage Emerges as R&D Stabilizes
Operating margin expanded to 37.9% in 2026Q2 from 22.7% in 2024Q1, as SG&A grew only modestly while revenue scaled, per the income statement data.
The operating income growth outpaced revenue growth in recent quarters, with SG&A as a percentage of revenue declining from roughly 27% in early 2024 to 21% in 2026Q2. This suggests that the company is leveraging its existing sales force and infrastructure, though the spike in R&D in 2024Q4 (to $6.8B) indicates that pipeline investments can disrupt this trend, as seen in the operating loss that quarter.
GAAP Earnings Distorted by Non-Cash Charges
Net margin swung from 21.3% in 2026Q2 to 4.7% in 2026Q1, reflecting volatile non-cash items, as reported in the quarterly data, obscuring underlying profitability.
The wide fluctuation in net income, including a near-zero margin in 2025Q3, appears driven by amortization of intangibles and IPR&D impairments from M&A, not operational deterioration. Adjusted earnings likely present a more stable picture, but the elevated ROE (6214.7%) flagged in recent context suggests accounting distortions that warrant careful adjustment when assessing dividend coverage.
R&D and SG&A Discipline Supports Margins
R&D and SG&A combined fell to 34.7% of revenue in 2026Q2 from 42.3% in 2024Q1, based on reported figures, indicating improved cost control.
While R&D spending has remained relatively flat in absolute terms (around $2.1-2.5B per quarter), the 2024Q4 outlier of $6.8B suggests acquisition-related charges. SG&A has been well-controlled, growing slower than revenue, which supports operating leverage. However, the company's reliance on M&A to fill pipeline gaps may lead to future cost spikes, as seen in the Cerevel and ImmunoGen deals.
IRA and Rebate Pressures Could Compress Margins
Despite strong growth, the risk of IRA price negotiations on key drugs like Imbruvica and potential rebate escalation for Skyrizi could erode net revenue, per recent regulatory context.
The gross-to-net spread remains opaque, and if AbbVie is increasing rebates to maintain formulary access, the reported gross margin may overstate true profitability. Additionally, the IRA's negotiation list includes drugs that may impact the immunology portfolio, and the company's high U.S. revenue concentration (75%) amplifies this risk. Short-sellers might argue that the current margin expansion is unsustainable as payer pressure intensifies.