Johnson & Johnson (JNJ) - Get Report posted solid third quarter earnings Tuesday, and boosted its full-year profit guidance, thanks in part to a stronger-than-expected performance for key cancer treatments that offset fading sales for Remicade, its blockbuster arthritis drug.
Johonson & Johnson said un-adjusted earnings for the three months ending in September came in at $2.05 per share, topping the Street forecast of $2.03 and rising just under 7% from the same period last year. Group sales rose 2% to $20.3 billion, the company said, again topping the consensus estimate thanks to better-than-expected sales for cancer drugs Zytiga and Darzalex. The group sees adjusted 2018 earnings per share to be in the range of $8.13 and $8.18 per share, a few cents higher -- at the lower end -- from the previous forecasts.
"We are pleased with our strong third-quarter performance, which reflects continued above-market growth in our Pharmaceutical business, accelerating sales momentum in our Consumer business and consistent progress in our Medical Devices business," said CEO Alex Gorsky. "I'm confident that with our collaborative and inspired J&J colleagues around the world, unique broad-based business model and strategic investments in innovation, we are well positioned for success today and into the future."
Johnson & Johnson shares, which have lagged both the Dow Jones Industrials and the S&P 500 Heathcare sub indexes this year, rose 2.8% on Tuesday.
The company said worldwide pharmaceutical sales rose 6.7% to $10.3 billion, offsetting a 0.3% decline in medical device sales, which came in at $6.6 billion. Global consumer sales rose 4.9% to $3.415 billion.