Abbott Laboratories has posted a solid set of financials for the second quarter but pharmaceutical sales suffered from the effects of unfavourable currency and generic competition.

Net income slipped 2.6% to $1.29 billion, due in part to charges associated with acquisitions and Abbott’s cost-reduction initiatives, while total sales were up 2.5% to $7.50 billion. Adjusting for the negative effect of foreign exchange, the increase would have been 10.5%.

Worldwide pharmaceutical sales were down 4.3% to $3.95 billion, though the anti-inflammatory blockbuster Humira (adalimumab), which is approved for indications covering rheumatoid arthritis, Crohn’s disease and psoriasis, were up 20.4% to $1.31 billion. As for the company’s lipids franchise, TriCor (fenofibrate) and the recently-approved TriLipix (fenofibric acid) contributed $336 million, up 9.1%, while Niaspan (niacin) brought in $208 million, a rise of 6.9%. Sales of the prostate cancer therapy Lupron (leuprolide) increased 28.3% to $197 million.

Of the firm’s other products, sales of Depakote (divalproex sodium) for manic episodes, migraines and several types of epileptic disorders, were battered by generic competition and fell 75.3% to $102 million. Revenues from the HIV drug Kaletra (lopinavir/ritonavir) were down 3.5% to $343 million.

Abbott chief executive Miles White said the results came in “at the high end of our previous expectations, helped by “our diverse mix of market-leading products”. Sales at the company’s nutritional unit were up 4.0% to $1.28 billion, while diagnostics were down 6.2% to $878 million.

On a conference call, chief financial officer Thomas Freyman reiterated that Abbott is interested in small- to medium-sized acquisitions, not mega-mergers, and ruled out a bid for the pharmaceutical division, or products therein, of Solvay. The Belgian firm and Abbott are co-marketing partners on Tricor but the CFO said that “we have no interest in expanding our participation in the fenofibrate market”.

The response from Wall Street was pretty positive and Michael Weinstein, an analyst at JPMorgan, issued a note saying that “aside from the greater-than-expected foreign exchange hit, most segments came in roughly in line with our forecast”. He added that Humira sales were slightly ahead of estimates.