Abbott Laboratories (ABT) shares jumped more than 12% on Thursday after the healthcare giant delivered a second-quarter earnings beat and raised its full-year outlook. The message from management? Don't worry about procedure volumes — Abbott's business is built on chronic care, not elective whims.

Adjusted earnings came in at $1.31 per share, topping the analyst consensus estimate of $1.28. Revenue increased 13% year over year to $12.59 billion, ahead of expectations of $12.50 billion. On a comparable basis, sales rose 4.8%.

Medical Devices Drive Growth

Medical Devices remained Abbott's largest growth engine, with sales rising 9% on a reported basis to $5.85 billion, or 8.4% on a comparable basis. Electrophysiology posted low-teens growth, while Rhythm Management, Diabetes Care and Heart Failure each delivered high-single-digit gains. Continuous glucose monitor sales increased 11% on a reported basis and 9.5% on a comparable basis.

Established Pharmaceuticals sales climbed 8.4%, while Diagnostics revenue surged 42.3% on a reported basis, reflecting the acquisition of Exact Sciences. On a comparable basis, Diagnostics sales increased 2.9%. Nutrition sales declined 3.1% as lower volumes offset pricing actions and new product launches.

“Our second-quarter results reflect the momentum we are building,” Chairman and CEO Robert B. Ford said. “We expect this momentum to continue and drive accelerating sales and earnings growth in the second half of the year.”

Abbott Lifts Full-Year Guidance

Abbott raised its full-year 2026 adjusted earnings guidance to a range of $5.45 to $5.60 per share from its prior forecast of $5.38 to $5.58. The updated range brackets the analyst consensus estimate of $5.49 per share. The company reaffirmed its expectation for comparable sales growth of 6.5% to 7.5% for the year.

For the third quarter, Abbott forecast adjusted earnings of $1.38 to $1.46 per share, compared with the Wall Street estimate of $1.42 per share.

Ford told investors on the conference call that Abbott does not expect any downside from a potential slowdown in procedure volumes, particularly in the United States. That's a notable stance given the recent jitters in the med-tech space.

Investors have been watching medical technology companies closely after hospital operator HCA Healthcare warned of softer surgical volumes and rising uninsured rates. Those trends have raised concerns that fewer Americans covered by Affordable Care Act plans, following the expiration of pandemic-era subsidies, could reduce demand for elective procedures.

Ford dismissed those concerns, calling it a “flawed assumption” that lower ACA enrollment would materially affect the medical technology and diagnostics industry. He said Abbott's business is heavily exposed to chronic conditions such as diabetes, cardiovascular disease and cancer, where patients are “less likely to forego insurance.”

In other words, people with chronic conditions tend to stay insured and keep getting treatment, regardless of ACA enrollment fluctuations. That's a different risk profile from companies that rely on elective procedures, which patients might postpone or skip if they lose coverage.

ABT Stock Price Activity: Abbott Laboratories shares were up 12.11% at $100.08 at the time of publication on Thursday.