Abbott Laboratories released its quarterly earnings report Wednesday morning, exceeding industry expectations in several metrics and raising its earnings outlook.

The company reported sales of $10.1 billion during Q3 2023, down 2.6% year-over-year due to a decline in demand for COVID-19 testing sales. However, the company had 13.8% organic sales growth excluding COVID tests, attesting to the strength of its underlying business.

The main drivers of Abbott’s baseline sales growth during the quarter was its nutrition segment, which was up 15.5% compared to Q3 2022, along with its medical devices division, which was up 16.6% over the same period. Though diagnostics slid 32% overall, it had 10.1% sales growth excluding COVID tests. The pharmaceuticals division also notched 11% sales growth.

Of note, Abbott’s glucose monitoring system FreeStyle Libre sales increased 29%, totaling $1.4 billion. During the quarter, Abbott and WeightWatchers teamed to launch an app for people living with diabetes and enrolled in the WW Diabetes-Tailored Plan. Patients can now access Abbott’s FreeStyle Libre 2 through the company’s app. 

Abbott posted an earnings per share (EPS) of $0.82 and an adjusted EPS of $1.14, both of which were flat year-over-year but exceeded expectations from Wall Street analysts.

Looking forward, Abbott narrowed its full-year EPS guidance range, projecting a full-year EPS of $3.14 to $3.18 along with an adjusted EPS of $4.42 to $4.46. These numbers mark an increase at the midpoint of the guidance range.

Similarly, Abbott maintained its expectations of full-year organic sales growth, excluding COVID-19 testing-related sales, in the low double-digits.

“The investments we made during the pandemic continue to drive broad-based growth across our underlying base business,” Abbott CEO Robert B. Ford said in a statement. “We’re on track to deliver on the financial commitments we set at the beginning of the year, and the momentum we’re building across the portfolio positions us well as we head into 2024.”

One of Abbott’s most significant moves during the quarter was its acquisition of Bigfoot Biomedical, a California-based medtech startup, to bolster its diabetes offerings. Financial terms of the deal were not disclosed.