AI interpretation based on checked source excerpts. Issuer assertions and evidence limitations remain explicit.
Policy quality-scores-2: six equally weighted categories. The overall score requires full coverage. Missing inputs are not zero. Qualitative grades are sourced interpretations, not probabilities. 6/6 · 18/10/2026
Moat63
Equal-weight average of four evidence-backed rubric grades (0–4), scaled to 100.
structural advantage · 3/4 · Instrument-consumables arrangements and substantial minimum purchase obligations demonstrate a current contractual advantage. Patent ownership and established-device demand add support without requiring inference from margins.
durability · 2/4 · Multiyear obligations and several years of device growth support persistence, but termination options and unquantified product-level exclusivity prevent a strong long-term conclusion.
customer dependency · 3/4 · Minimum consumables purchases and services tied to existing equipment or implanted devices demonstrate dependency in parts of the portfolio. This is contractual and indirect operating evidence, not a measured companywide retention rate.
erosion resilience · 2/4 · Continued device growth offsets weakness elsewhere, but nutrition sales and earnings declined in the first half of 2026 and respiratory diagnostics demand fell. These are actual uneven outcomes; generic technology risks are not treated as realized displacement.
Pricing power50
Equal-weight average of four evidence-backed rubric grades (0–4), scaled to 100.
realized pricing · 2/4 · Nutrition achieved price increases in 2024–2025, including alongside adult-nutrition growth. Historical vascular average selling-price declines and pediatric volume weakness show mixed outcomes. The evidence does not establish broad current pricing strength.
retention · 3/4 · Minimum purchase contracts, ongoing Alinity test sales and continued CGM growth support recurring demand and customer attachment. Operating growth is indirect evidence and cannot distinguish retained customers from new customers; no retention percentage is inferred.
margin resilience · 2/4 · Nutrition margins recovered through 2025 and device earnings grew in 2026, but nutrition earnings subsequently declined and consolidated operating earnings fell despite higher sales. Higher costs, foreign exchange and acquisition accounting complicate attribution to pricing.
contractual freedom · 1/4 · Price controls, competition and rebates significantly affect net prices. In 2025, 44% of gross revenues were subject to rebates and allowances, with rebate amounts usually linked to contractual or statutory prices. These demonstrate constrained freedom; detailed reset rights are absent.
Predictability93
Five consecutive annual periods. Equal weights: nondeclining revenue frequency; revenue-growth volatility (5–40pp); positive FCF frequency; FCF-margin volatility (3–20pp). Stability indicator, not a growth forecast.
- Nondeclining revenue years (%)
- 75.00
- Revenue growth volatility (pp)
- 5.43
- Positive FCF years (%)
- 100.00
- FCF margin volatility (pp)
- 2.52
Financial strength86
Equal-weight grades: debt/FCF (1–8x), net debt/earnings before interest and tax (0–5x), interest service (1–12x), current ratio (0.75–2x). Earnings use reported operating income, or reported pretax profit plus reported interest expense when operating income is unavailable. Interest service uses earnings/interest expense; if unavailable, it uses reported operating cash flow/cash interest paid, without relabeling cash paid as accrued expense. Nonpositive cash flow/earnings score 0 for their service component; reported zero interest with a positive numerator scores 100. Net cash scores 100 for net leverage. Missing disclosures remain unavailable. General nonfinancial-company rubric, not a credit rating; exceptional and nonoperating gains are not normalized out. IFRS finance-cost and cash-flow classifications retain their reported scope.
- debtFcfGrade
- 89.31
- netDebtEbitGrade
- 89.06
- interestCoverageGrade
- 100.00
- currentRatioGrade
- 66.07
- Debt / FCF (x)
- 1.75
- Net debt / operating income (x)
- 0.55
- Interest coverage (x)
- 16.33
- Current ratio (x)
- 1.58
Capital allocation82
Three-year equal-weight indicators: pretax return on average invested capital (0–25%; equity + debt − cash, each year and its prior year), share-count growth (0–5%, lower better), share-based cost/revenue (2–20%, lower better), consolidated FCF/net income (0–1x). Return uses reported operating income or, if unavailable, EBIT calculated from reported pretax profit plus reported interest expense; exceptional/nonoperating gains are not normalized out. Share-based cost uses the reported cash-flow add-back or, if absent, separately reported recognized compensation expense; the latter never becomes an FCF adjustment. Nonpositive net income scores 0 for cash conversion; absent income/FCF stays unavailable. Nonpositive invested capital has no defined return and remains unavailable. Does not establish acquisition quality or buyback timing.
- 3-year pre-tax operating return (%)
- 14.09
- 3-year average dilution (%)
- -0.23
- 3-year average SBC / revenue (%)
- 1.57
- cashConversionGrade
- 73.32
Management56
Equal-weight average of four evidence-backed rubric grades (0–4), scaled to 100.
capital discipline · 2/4 · First-half 2026 operating cash flow of $3.803 billion exceeded capital expenditure of $896 million. However, approximately $20 billion of acquisition spending, major debt issuance and continuing buybacks and dividends increased financial commitments. Acquired earnings are not yet material, so satisfactory acquisition returns remain unproven.
incentive alignment · 2/4 · Actual option and performance-share grants, documented performance-conditioned vesting, and ownership and recoupment policies support alignment. A discretionary increase from a preliminary 90% award adjustment to 110% despite mixed performance weakens mechanical discipline. Individual ownership holdings are missing.
execution · 2/4 · Existing medical-device products delivered broad growth, while diagnostics growth depended on the acquisition and nutrition weakened. This assessment uses indirect operating outcomes rather than management's characterization of execution; integration returns remain too early to judge.
governance · 3/4 · Independent key committees and a lead independent director with authority over executive sessions, CEO evaluation and shareholder engagement demonstrate substantial oversight structures. Combined chairman and CEO roles temper the assessment, and disclosed processes do not establish exceptional oversight effectiveness.
Evidence
Future minimum lease payments under non-cancellable operating leases as of December 31, 2025, were as follows: (in millions) 2026 $ 316 2027 254 2028 197 2029 151 2030 111 Thereafter 362 Total future minimum lease payments – undiscounted 1,391 Less: imputed interest (184) Present value of lease liabilities $ 1,207 The following table summarizes the amounts and location of operating lease ROU assets and lease liabilities: (in millions) December 31, 2025 December 31, 2024 Balance Sheet Caption Operating Lease - ROU Asset $ 1,126 $ 1,075 Deferred income taxes and other assets Operating Lease Liability: Current $ 276 $ 254 Other accrued liabilities Non-current 931 896 Post-employment obligations and other long-term liabilities Total Liability $ 1,207 $ 1,150 60 Table of Contents Abbott Laboratories and Subsidiaries Notes to Consolidated Financial Statements (Continued) Note 11 — Leases (Continued) Leases where Abbott is the Lessor Certain assets, primarily diagnostic instruments, are leased to customers under contractual arrangements that typically include an operating or sales-type lease as well as performance obligations for reagents and other consumables.
Note 11 — Leases; diagnostic instrument leases and consumables obligations · Filed 20/02/2026
As of December 31, 2025, the estimated revenue expected to be recognized in the future related to performance obligations that are unsatisfied (or partially unsatisfied) was $6.1 billion in the Diagnostic Products segment and $444 million in the Medical Devices segment.
Note 3 — Revenue; December 2025 remaining performance obligations · Filed 20/02/2026
Abbott expects to recognize revenue on approximately 52 percent of these remaining performance obligations over the next 24 months, approximately 17 percent over the subsequent 12 months and the remainder thereafter.
Note 3 — Revenue; expected recognition timing · Filed 20/02/2026
These performance obligations primarily reflect the future sale of reagents/consumables in contracts with minimum purchase obligations, extended warranty or service obligations related to previously sold equipment, and remote monitoring services related to previously implanted devices.
Note 3 — Revenue; minimum purchases, equipment services and implanted-device monitoring · Filed 20/02/2026
These performance obligations primarily reflect the future sale of products in contracts with minimum purchase obligations, extended warranty or service obligations related to previously sold equipment, and remote monitoring services related to previously implanted devices.
Revenue disclosures; June 2026 remaining performance obligation composition · Filed 28/07/2026
In Core Laboratory, sales increased 3.3 percent in the first three months of 2026, excluding the impact of foreign exchange, reflecting continued growth of diagnostic test sales on the Alinity® platform across the U.S., Europe, and Latin America, partially offset by lower sales in China due to continued challenging market conditions.
MD&A — Core Laboratory; first-quarter 2026 Alinity test sales · Filed 29/04/2026
Contract terms vary by customer and may include options to terminate the contract or options to extend the contract.
Note 11 — Leases; termination and extension options · Filed 20/02/2026
In Rapid and Molecular Diagnostics, sales decreased 8.8 percent in the first six months of 2026, excluding the impact of foreign exchange, primarily reflecting lower demand for respiratory virus tests due to a weaker respiratory virus season compared to the prior year.
MD&A — Rapid and Molecular Diagnostics; first-half 2026 demand decline · Filed 28/07/2026
Patent protection and licenses, technological and performance features, and inclusion of Abbott’s products under a contract most significantly impact which products are sold; price controls, competition, and rebates most significantly impact the net selling prices of products; and foreign currency translation impacts the measurement of net sales and costs.
MD&A — Financial Review; sales selection and net pricing factors · Filed 28/07/2026
Abbott owns or has licenses under a substantial number of patents and patent applications.
Business — Patents and trademarks; ownership and licenses · Filed 20/02/2026
These, and various patents that expire during the period from 2026 to 2046, in the aggregate, are believed to be of material importance in the operation of Abbott’s business.
Business — Patents and trademarks; expiration range and issuer assessment of materiality · Filed 20/02/2026
Int’l Total U.S. Int’l Total U.S. Int’l Total Established Pharmaceutical Products — Key Emerging Markets $ — $ 4,167 $ 4,167 $ — $ 3,858 $ 3,858 $ — $ 3,807 $ 3,807 Other — 1,369 1,369 — 1,336 1,336 — 1,259 1,259 Total — 5,536 5,536 — 5,194 5,194 — 5,066 5,066 Nutritional Products — Pediatric Nutritionals 2,158 1,816 3,974 2,208 1,815 4,023 1,977 1,957 3,934 Adult Nutritionals 1,448 3,029 4,477 1,481 2,909 4,390 1,436 2,784 4,220 Total 3,606 4,845 8,451 3,689 4,724 8,413 3,413 4,741 8,154 Diagnostic Products — Core Laboratory 1,425 3,935 5,360 1,332 3,903 5,235 1,243 3,916 5,159 Molecular 150 367 517 150 371 521 172 402 574 Point of Care 422 184 606 408 180 588 396 169 565 Rapid Diagnostics 1,538 916 2,454 1,940 1,057 2,997 2,518 1,172 3,690 Total 3,535 5,402 8,937 3,830 5,511 9,341 4,329 5,659 9,988 Medical Devices — Rhythm Management 1,334 1,315 2,649 1,154 1,236 2,390 1,085 1,170 2,255 Electrophysiology 1,283 1,481 2,764 1,141 1,326 2,467 1,008 1,187 2,195 Heart Failure 1,107 341 1,448 986 293 1,279 888 273 1,161 Vascular 1,118 1,877 2,995 1,056 1,781 2,837 978 1,703 2,681 Structural Heart 1,172 1,351 2,523 1,051 1,195 2,246 883 1,061 1,944 Neuromodulation 773 237 1,010 767 195 962 725 165 890 Diabetes Care 3,181 4,817 7,998 2,633 4,172 6,805 2,129 3,632 5,761 Total 9,968 11,419 21,387 8,788 10,198 18,986 7,696 9,191 16,887 Other 17 — 17 16 — 16 14 — 14 Total $ 17,126 $ 27,202 $ 44,328 $ 16,323 $ 25,627 $ 41,950 $ 15,452 $ 24,657 $ 40,109 Products sold by the Diagnostics segment include various types of diagnostic tests to detect COVID-19.
Note 3 — Revenue; 2023–2025 product-category sales · Filed 20/02/2026
Excluding the impact of foreign exchange, total Medical Devices sales increased 8.0 percent in the first six months of 2026, led by double‑digit growth in Electrophysiology, Rhythm Management, and Heart Failure.
MD&A — Medical Devices; first-half 2026 growth excluding foreign exchange · Filed 28/07/2026
and internationally. CGM systems sales totaled $4.1 billion and $3.6 billion in the first six months of 2026 and 2025, respectively, and increased 8.6 percent excluding the impact of foreign exchange.
MD&A — Diabetes Care; first-half 2026 CGM sales · Filed 28/07/2026
In Rhythm Management, sales increased 10.9 percent in the first six months of 2026, excluding the impact of foreign exchange, primarily due to growth in Aveir® leadless pacemakers.
MD&A — Rhythm Management; leadless pacemaker growth · Filed 28/07/2026
To the extent Abbott’s intellectual property is successfully challenged, invalidated, or circumvented or to the extent it does not allow Abbott to compete effectively, Abbott’s businesses could suffer.
Risk Factors — Intellectual property; challenge, invalidation and circumvention · Filed 20/02/2026
Competitors’ products may be safer, more effective, more effectively marketed or sold, or have lower prices or superior performance features than Abbott’s products.
Risk Factors — Competition; potential competing product advantages · Filed 20/02/2026
infant formula business following the voluntary recall of certain products in 2022, and the favorable impact of price increases.
MD&A — Nutrition; 2022 recall and subsequent price increases · Filed 20/02/2026
Net Sales to External Customers Cost of Products Sold Research and Development Selling, General, and Administrative Operating Earnings Three Months Ended June 30, Three Months Ended June 30, Three Months Ended June 30, Three Months Ended June 30, Three Months Ended June 30, (in millions) 2026 2025 2026 2025 2026 2025 2026 2025 2026 2025 Established Pharmaceuticals $ 1,499 $ 1,383 $ (650) $ (631) $ (48) $ (43) $ (419) $ (363) $ 382 $ 346 Nutritional Products 2,144 2,212 (1,148) (1,155) (54) (54) (574) (585) 368 418 Diagnostic Products 3,092 2,173 (1,532) (1,224) (268) (154) (793) (423) 499 372 Medical Devices 5,853 5,369 (1,925) (1,758) (470) (430) (1,489) (1,385) 1,969 1,796 Total $ 12,588 $ 11,137 $ (5,255) $ (4,768) $ (840) $ (681) $ (3,275) $ (2,756) $ 3,218 $ 2,932 Other 5 5 Net sales $ 12,593 $ 11,142 Corporate functions and plan benefit costs (45) (65) Net interest expense (299) (50) Share-based compensation (a) (168) (142) Amortization of intangible assets (658) (420) Other, net (b) (524) (105) Earnings before Taxes $ 1,524 $ 2,150 23 Table of Contents Abbott Laboratories and Subsidiaries Notes to the Condensed Consolidated Financial Statements June 30, 2026 (Unaudited) Note 15 — Segment Information (Continued) Net Sales to External Customers Cost of Products Sold Research and Development Selling, General, and Administrative Operating Earnings Six Months Ended June 30, Six Months Ended June 30, Six Months Ended June 30, Six Months Ended June 30, Six Months Ended June 30, (in millions) 2026 2025 2026 2025 2026 2025 2026 2025 2026 2025 Established Pharmaceuticals $ 2,925 $ 2,643 $ (1,294) $ (1,200) $ (89) $ (85) $ (795) $ (714) $ 747 $ 644 Nutritional Products 4,161 4,358 (2,237) (2,279) (108) (106) (1,137) (1,161) 679 812 Diagnostic Products 5,272 4,227 (2,774) (2,376) (423) (305) (1,241) (815) 834 731 Medical Devices 11,392 10,264 (3,739) (3,356) (914) (831) (2,877) (2,672) 3,862 3,405 Total $ 23,750 $ 21,492 $ (10,044) $ (9,211) $ (1,534) $ (1,327) $ (6,050) $ (5,362) $ 6,122 $ 5,592 Other 7 8 Net sales $ 23,757 $ 21,500 Corporate functions and plan benefit costs (110) (93) Net interest expense (367) (99) Share-based compensation (a) (806) (431) Amortization of intangible assets (1,080) (840) Other, net (b) (786) (201) Earnings before Taxes $ 2,973 $ 3,928 ___________________________________ (a) Approximately 45 percent of the annual net cost of share-based awards will typically be recognized in the first quarter due to the timing of the granting of share-based awards.
Note 15 — Segment Information; 2026 and 2025 sales, earnings and reconciliation · Filed 28/07/2026
In Abbott’s Nutritional Products segment, total pediatric nutrition sales, excluding the impact of foreign exchange, decreased 0.7 percent in 2025, reflecting lower sales volumes in the U.S., partially offset by higher international sales and price increases.
MD&A — Pediatric Nutrition; 2025 volume weakness and price increases · Filed 20/02/2026
Excluding the impact of foreign exchange, total adult nutrition sales increased 2.7 percent in 2025 and 8.0 percent in 2024, reflecting growth in international markets and favorable impact of price increases.
MD&A — Adult Nutrition; 2024–2025 growth and realized price increases · Filed 20/02/2026
In 2022, Vascular sales decreased 1.0 percent, excluding the impact of foreign exchange, as higher endovascular sales were offset by the negative effect of lower average selling prices globally on traditional drug eluting stents (DES) and other coronary products and a lower recovery of percutaneous coronary intervention (PCI) procedures which impacted the coronary business.
MD&A — Vascular; 2022 lower average selling prices · Filed 16/02/2024
Sales Rebates — In 2025, 44 percent of Abbott’s consolidated gross revenues were subject to various forms of rebates and allowances that Abbott recorded as reductions of revenues at the time of sale.
Critical Accounting Policies — Sales Rebates; gross revenue exposure · Filed 20/02/2026
Rebate amounts are usually based upon the volume of purchases using contractual or statutory prices for a product.
Critical Accounting Policies — Sales Rebates; contractual and statutory prices · Filed 20/02/2026
Exhibits 34 Signature 35 2 Table of Contents Abbott Laboratories and Subsidiaries Condensed Consolidated Statement of Earnings (Unaudited) (dollars in millions except per share data; shares in thousands) Three Months Ended Six Months Ended June 30 June 30 2026 2025 2026 2025 Net sales $ 12,593 $ 11,142 $ 23,757 $ 21,500 Cost of products sold, excluding amortization of intangible assets 5,325 4,854 10,215 9,322 Amortization of intangible assets 658 420 1,080 840 Research and development 892 725 1,659 1,441 Selling, general, and administrative 4,025 3,091 7,765 6,152 Total operating cost and expenses 10,900 9,090 20,719 17,755 Operating earnings 1,693 2,052 3,038 3,745 Interest expense 351 121 525 252 Interest (income) (52) (71) (158) (153) Net foreign exchange (gain) loss 4 (11) (9) (18) Other (income) expense, net (134) (137) (293) (264) Earnings before taxes 1,524 2,150 2,973 3,928 Taxes on earnings 596 371 968 824 Net Earnings $ 928 $ 1,779 $ 2,005 $ 3,104 Basic Earnings Per Common Share $ 0.53 $ 1.02 $ 1.15 $ 1.78 Diluted Earnings Per Common Share $ 0.53 $ 1.01 $ 1.14 $ 1.77 Average Number of Common Shares Outstanding Used for Basic Earnings Per Common Share 1,740,420 1,743,437 1,741,438 1,741,348 Dilutive Common Stock Options 2,561 7,398 3,576 7,706 Average Number of Common Shares Outstanding Plus Dilutive Common Stock Options 1,742,981 1,750,835 1,745,014 1,749,054 Outstanding Common Stock Options Having No Dilutive Effect 11,873 1,442 9,900 1,431 The accompanying notes to the condensed consolidated financial statements are an integral part of this statement.
Condensed Consolidated Statement of Earnings; first-half 2026 revenue, expenses and earnings · Filed 28/07/2026
7 Table of Contents Abbott Laboratories and Subsidiaries Condensed Consolidated Statement of Cash Flows (Unaudited) (dollars in millions) Six Months Ended June 30 2026 2025 Cash Flow From (Used in) Operating Activities: Net earnings $ 2,005 $ 3,104 Adjustments to reconcile net earnings to net cash from operating activities — Depreciation 783 693 Amortization of intangible assets 1,080 840 Share-based compensation 485 431 Trade receivables (428) (672) Inventories (721) (252) Other, net 599 (680) Net Cash From Operating Activities 3,803 3,464 Cash Flow From (Used in) Investing Activities: Acquisitions of property and equipment (896) (986) Acquisitions of businesses and technologies, net of cash acquired (19,962) (30) Sales (purchases) of other investment securities, net (187) (44) Other 48 8 Net Cash From (Used in) Investing Activities (20,997) (1,052) Cash Flow From (Used in) Financing Activities: Net borrowings (repayments) of short-term debt and other 95 (52) Proceeds from issuance of long-term debt 19,827 3 Repayments of long-term debt (2,821) (1,002) Purchases of common shares (1,225) (286) Proceeds from stock options exercised 119 322 Dividends paid (2,200) (2,055) Other — (82) Net Cash From (Used in) Financing Activities 13,795 (3,152) Effect of exchange rate changes on cash and cash equivalents (19) 75 Net Increase (Decrease) in Cash and Cash Equivalents (3,418) (665) Cash and Cash Equivalents, Beginning of Year 8,522 7,616 Cash and Cash Equivalents, End of Period $ 5,104 $ 6,951 The accompanying notes to the condensed consolidated financial statements are an integral part of this statement.
Condensed Consolidated Statement of Cash Flows; spending, financing and shareholder distributions · Filed 28/07/2026
Note 6 — Business Acquisition On March 23, 2026, Abbott completed the acquisition of Exact Sciences for approximately $20.6 billion.
Note 6 — Business Acquisition; Exact Sciences completion and purchase price · Filed 28/07/2026
The acquisition was funded primarily through the issuance of $20.0 billion of long-term debt in March 2026, with the remainder funded by cash on hand.
Note 6 — Business Acquisition; debt funding · Filed 28/07/2026
Earnings of Exact Sciences included in Abbott's condensed consolidated financial statements since the acquisition date are not material to Abbott's consolidated net earnings.
Note 6 — Business Acquisition; acquired earnings contribution · Filed 28/07/2026
Diagnostic Products sales increased as a result of the acquisition of Exact Sciences, while sales in Medical Devices and Established Pharmaceutical Products were driven by higher sales of existing products.
MD&A — Sales; acquisition-driven diagnostics growth versus existing-product growth · Filed 28/07/2026
To recognize the continued growth focus of Abbott and to directly align the interests of executive officers with the interests of our shareholders, the Compensation Committee grants long-term incentive awards in the form of 50% stock options and 50% performance restricted shares.
Compensation discussion and analysis; actual long-term incentive award mix · Filed 13/03/2026
In 2025, Abbott reached its minimum return on equity target and one-third of each of the awards granted on February 25, 2025 vested on February 27, 2026.
Grants of plan-based awards; actual performance achievement and February 2026 vesting · Filed 13/03/2026
Annual incentive plan goals are set to exceed market growth in relevant markets and business segments 29 - 31 Double-Trigger Change in Control Provide change in control benefits under double-trigger circumstances only 67-69 Recoupment Policies Compensation Committee can seek recoupment of incentive compensation, forfeit existing awards or reduce future awards 52 Robust Share Ownership Guidelines Require significant share ownership for officers and directors and retention requirements until guidelines are met 25 and 51 Capped Incentive Awards Incentive award payments are capped 30 and 54 Independent Compensation Committee Consultant Committee consultant performs no other work for Abbott 20 Tax Gross Ups No tax gross ups under our executive officer pay program 50 - 51 Guaranteed Bonuses No guaranteed bonuses 29 - 30 Employment Contracts No employment contracts 67 Excessive Risk Taking No highly leveraged incentive plans that encourage excessive risk taking 53-54 Hedging and Pledging of Company Shares No hedging or pledging of Abbott shares is allowed 52 and 54 Discounted Stock Options No discounted stock options are allowed or granted 53 Details of the compensation decisions made for our named executive officers are outlined on pages 38 to 49.
Executive compensation; existing ownership, recoupment and compensation policies · Filed 13/03/2026
Additional calculation details are as follows: LTI award guideline LTI adjustment Award allocation Award value $4,071,000 110% 50% Stock Options(1) $2,239,050 50% Performance Restricted Shares(2) $2,239,050 $4,478,100 Individual LTI performance assessment Metric 2022 2023 2024 Overall Sales and Market Share Growth Contribution Did Not Meet (-1) Did Not Meet (-1) Did Not Meet (-1) -3 Margin Contribution Did Not Meet (-1) Exceeded (+1) Exceeded (+1) +1 Strategic Metrics Did Not Meet (-1) Exceeded (+1) Exceeded (+1) +1 Total -1 Preliminary Adjustment 90% Impact + LTI Adjustment 110% LTI adjustment legend PRELIMINARY ADJUSTMENT Impact Total Result Impact On Business Priorities Score Result +4 or More 125% High Impact ++ +25% or More +1 to +3 110% Medium/High Impact + Up to +25% 0 100% Medium Impact = 0% -1 or -2 90% Medium/Low Impact - Up to -25% -3 or Less 75% Low Impact -- -25% or More (1)Stock options realize value only through share price appreciation.
Executive compensation — Salvadori; performance assessment and discretionary award adjustment · Filed 13/03/2026
All members of the Audit Committee, Compensation Committee, Nominations and Governance Committee, and Public Policy Committee are independent.
Board committees; committee independence · Filed 13/03/2026
16 Key functions and responsibilities of the Lead Independent Director include: •Preside at regularly conducted executive sessions of the independent directors and provide feedback to the Chairman and CEO and other senior management, as appropriate •Preside at all meetings of the Board at which the Chairman is not present •Facilitate communication with the Board and serve as liaison between the Chairman and the independent directors •Authority to call meetings of independent directors •Review and communicate with the Chairman regarding appropriate agenda topics and schedule sufficiency •Lead the Board’s annual evaluation of the Chairman of the Board and Chief Executive Officer •Lead the annual performance review process •Consult with management on corporate governance issues and developments •Confer with the Nominations and Governance Committee and the Chairman of the Board and Chief Executive Officer regarding senior management succession planning •Engage directly with major shareholders as appropriate Throughout the year, the Board and its Committees conduct a thorough review of Abbott’s corporate governance structures, taking into account the results of the annual shareholders meeting and shareholder feedback; the results of annual Board, Committee, and director assessments; regulatory developments; and advancements in the areas of corporate governance, compensation, and sustainability.
Leadership structure; lead independent director authority and annual evaluations · Filed 13/03/2026
FORD Robert B. Ford Chairman of the Board and Chief Executive Officer Date: February 20, 2026 Pursuant to the requirements of the Securities Exchange Act of 1934, this report has been signed below by the following persons on behalf of Abbott Laboratories on February 20, 2026 in the capacities indicated below.
Signatures; combined chairman and chief executive officer roles · Filed 20/02/2026
Driven/ Consumer- Facing Abbott Business Segment(s)/ Characteristics Represented 3M Company $ 24.9 $ 85.0 Consumer Becton Dickinson $ 21.8 $ 55.4 Diagnostics, Medical Devices Boeing $ 89.5 $ 170.0 Diagnostics, Medical Devices Boston Scientific $ 20.1 $ 141.4 Medical Devices Bristol-Myers Squibb $ 48.0 $ 109.8 Established Pharmaceuticals Cisco $ 57.7 $ 304.4 Diagnostics, Medical Devices The Coca-Cola Company $ 47.0 $ 300.7 Consumer Danaher Corporation $ 24.6 $ 161.7 Diagnostics Honeywell International $ 37.4 $ 123.9 Diagnostics, Medical Devices Johnson & Johnson $ 94.2 $ 498.6 Diagnostics, Established Pharmaceuticals, Medical Devices Medtronic $ 34.8 $ 123.2 Medical Devices Merck $ 64.8 $ 261.3 Established Pharmaceuticals Nike $ 46.5 $ 94.3 Consumer PepsiCo $ 93.4 $ 196.2 Consumer Pfizer $ 61.9 $ 141.6 Established Pharmaceuticals Procter & Gamble $ 85.3 $ 334.9 Consumer Reckitt Benckiser(2) $ 18.9 $ 40.4 Nutrition Stryker Corporation $ 25.1 $ 134.4 Medical Devices Thermo Fisher Scientific $ 44.6 $ 217.7 Diagnostics Peer Group Median $ 46.5 $ 151.7 Abbott $ 44.3 $ 217.9 Abbott Percentile Rank 42nd 71st (1)Data source: Nasdaq IR Insight database reflects most recently disclosed (as of January 31, 2026) trailing 12-month sales/revenue.
Compensation discussion; benchmarking peer group and represented business characteristics · Filed 13/03/2026
The decrease in the first three months of 2026 reflects the unfavorable impact of higher costs and foreign exchange, partially offset by the impact of margin improvement initiatives.
MD&A — Gross profit margin; higher costs, foreign exchange and improvement initiatives · Filed 29/04/2026
Operating margin profile for this segment increased from 16.4 percent in 2023 to 17.9 percent in 2024 and to 18.4 percent in 2025.
MD&A — Nutrition; 2023–2025 segment margin recovery · Filed 20/02/2026
