J&J beats earnings estimates; Middle East conflict weighs on medical device sales
JNJ•Johnson & Johnson reported third-quarter revenue of $25.4 billion and adjusted earnings of $2.59 per share, both above estimates. It raised its full-year sales and adjusted earnings forecasts, while medical technology sales rose 2.5%.
1. Quarterly results
Third-quarter revenue rose to $25.4 billion, above analysts’ average estimate of $25.28 billion, while adjusted earnings of $2.59 per share topped expectations of $2.54. Pharmaceutical sales increased 7.7% to $16.76 billion, while medical technology sales rose 2.5% to $8.6 billion; sales outside the United States in that division were basically flat.
2. Sales and outlook
CFO Joe Wolk said the Middle East conflict, European austerity measures and pricing pressures in China weighed on international medical device sales. Tremfya sales climbed 68% to $2.4 billion, while Stelara sales fell 54% to $716 million. The company raised its full-year reported sales forecast to a midpoint of about $101.2 billion and its adjusted earnings forecast midpoint to $11.10 per share.
