⚠ A Pipeline of 90 With a Record of Write-OffsModerate threat
AbbVie (ABBV) — threat to the moat
AbbVie wrote off $8.7 billion of intangible assets in 2023 and 2024, while its next replacement has to come from a pipeline that takes up to twelve years.
AbbVie's pipeline is large and its recent record of write-offs is too. Impairment of intangible assets was $4,229 million in 2023 and $4,476 million in 20241. The largest charges were on Imbruvica after its Medicare selection and on emraclidine after it failed in trials23.
A pipeline of about 90 programmes4 will always produce failures. The question is whether its successes are large enough to replace Skyrizi and Rinvoq, which together were about 42% of revenue in 20255.
Drug development from discovery through launch typically takes 8 to 12 years6, so the drugs that must replace Skyrizi after 2033 are already in development or being bought now.
Research spending itself has swung. Research and development expense was $7,675 million in 2023, $12,791 million in 2024 including the $4.5 billion emraclidine impairment, and $9,096 million in 20257. The swings are acquisitions and write-offs passing through, not changes in the underlying programme.
Approvals of drugs with multi-billion-dollar potential before 2030 are the evidence to wait for. Without them, the 2033 cliff will be met with purchases rather than products.
- ReportedImpairment of intangible assets was $4,229 million in 2023 and $4,476 million in 2024.AbbVie Form 10-K for fiscal 2025 - financial statements and notes: earnings, cash flow, balance sheet, acquisitions and contingent consideration. — FY2025 · publ. 20 February 2026 · source ↗
- ReportedThe largest charges were on Imbruvica after its Medicare selection and on emraclidine after it failed in trials.AbbVie Form 10-K for fiscal 2025 - Item 1A risk factors, patents and exclusivity, government pricing and legal proceedings. — FY2025 · publ. 20 February 2026 · source ↗
- ReportedThe largest charges were on Imbruvica after its Medicare selection and on emraclidine after it failed in trials.AbbVie Form 10-K for fiscal 2024 - product revenue for 2022-2024, product concentration, the CEO succession and the emraclidine impairment. — FY2024 · publ. February 2025 · source ↗
- ReportedA pipeline of about 90 programmes will always produce failures.AbbVie Form 10-K for fiscal 2025 - Item 1 business: products, customers, competition and research. — FY2025 · publ. 20 February 2026 · source ↗
- ReportedThe question is whether its successes are large enough to replace Skyrizi and Rinvoq, which together were about 42% of revenue in 2025.AbbVie Form 10-K for fiscal 2025 - Item 7 MD&A: net revenues by product and region, and rebates. — FY2025 · publ. 20 February 2026 · source ↗
- ReportedDrug development from discovery through launch typically takes 8 to 12 years, so the drugs that must replace Skyrizi after 2033 are already in development or being bought now.AbbVie Form 10-K for fiscal 2025 - Item 1A risk factors, patents and exclusivity, government pricing and legal proceedings. — FY2025 · publ. 20 February 2026 · source ↗
- ReportedResearch and development expense was $7,675 million in 2023, $12,791 million in 2024 including the $4.5 billion emraclidine impairment, and $9,096 million in 2025.AbbVie Form 10-K for fiscal 2025 - financial statements and notes: earnings, cash flow, balance sheet, acquisitions and contingent consideration. — FY2025 · publ. 20 February 2026 · source ↗