J&J lowers 2026 profit forecast on deal costs, sees further hit in 2027
JNJ•Revenue outlook unchanged
The maker of drugs and medical devices kept its annual revenue expectations intact at $100.8 billion to $101.4 billion.
J&J cuts 2026 adjusted profit forecast
July 29 (Reuters) - Johnson & Johnson cut its 2026 profit forecast on Wednesday, citing the combined financial impact of its newly completed acquisition of Firefly Bio and a strategic partnership with Sail Biomedicines.
The healthcare giant expects full-year adjusted earnings per share of $10.96 to $11.11, compared with its previous forecast of $11.60 to $11.75. Its shares were down 1.4% in extended trading.
Deal costs to weigh on 2026 and 2027 earnings
The two transactions are expected to reduce the company's 2026 adjusted earnings by about $0.64 per share, with the Firefly acquisition contributing $0.46 and the Sail Biomedicines agreement $0.18.
Johnson & Johnson also said the Sail and Firefly deals were expected to impact 2027 adjusted earnings by $1.36 per share, comprising $0.08 from Firefly and $1.28 from Sail, contingent on the achievement of specified development milestones and the exercise of its contractual options.
