Abbott Labs 2Q15 Earnings Call Notes

Macroeconomic events continue to be a major theme in 2015

“As you know, macroeconomic events continue to be a major theme in 2015. Looking back to the beginning of the year, most companies, including Abbott, were dealing with the challenge of setting 2015 guidance in the context of the strengthening U.S. dollar against almost every currency that occurred late in 2014. We set our growth target high with a forecast for double-digit EPS growth, excluding exchange, and 9% absolute growth.”

Guidance of $2.10-$2.20

“our outlook for the full year 2015. As Miles indicated, our adjusted earnings per share guidance range of $2.10 to $2.20 from continuing operations remains unchanged and continues to reflect strong double-digit underlying growth.”

Sometimes you have to listen to your competitors to know how you’re doing

“A lot of times, you don’t know how you’re really doing until you see reports of your own competitors to give you context about what others are experiencing in a market”

this is the biggest currency impact I’ve ever seen

” I think the impact on us from currency this quarter is probably as great as anything I’ve seen. It’s everything that everybody wrung their hands about back in December and January, as companies struggled to give guidance, and we wrung our hands too.”

I’m waiting for the day the dollar weakens

“like every other CEO of a multinational, I’m waiting for the day that the U.S. dollar weakens.”

I definitely do not think congress is going to give a tax holiday for foreign earnings

“The image that comes to mind is Charlie Brown holding a football for Lucy. Do I think Congress is actually going to do anything with tax policy before the end of the year? I give you a resounding no. So I would tell you, not for one minute would I hold back our M&A interest based on thinking that Congress is actually going to do something in some comprehensive and constructive fashion here about tax policy in the United States.’