Johnson & Johnson (NYSE:JNJ) raised guidance after a strong third quarter which saw earnings beat expectations and its product pipeline advance.
The New Brunswick, New Jersey-based pharmaceutical giant said in the third quarter sales rose 6.8% to $21.35 billion from $20.00 billion the year before and ahead of the FactSet consensus of $21.04 billion.
Net income was flat at $4.31 billion for the period but diluted earnings per share (EPS) rose 4.3% to $1.69 from $1.62. On an adjusted basis EPS jumped 19.3% to $2.66 from $2.23, ahead of the FactSet consensus of $2.52.
“Johnson & Johnson delivered strong results and significant pipeline advances in the third quarter, providing a solid foundation for future sustained growth,” said Joaquin Duato, chairman and chief executive.
“With a sharpened focus on Innovative Medicine and MedTech solutions, Johnson & Johnson is innovating across the spectrum of healthcare and is poised to deliver the medical breakthroughs of tomorrow,” he added.
US sales rose 11.1% to $12.00 billion from $10.79 billion while worldwide sales climbed 6.8% to $21.35 billion from $20.00 billion.
Innovative Medicine sales increased 5.1% to $13.89 billion and MedTech sales rose 10% to $7.46 billion.
J&J raised guidance for the full year and now expects adjusted operational sales growth between 7.2% to 7.7% with a mid-point of 7.5%, up from August’s guidance of 6.2% to 7.2%, with a mid-point of 6.7%.
Reported sales are seen between $84.4–$84.8 billion, up from $83.6– $84.4 billion and adjusted EPS is now forecast between $10.02–$10.08, up from $9.90 – $10.00.
Shares in J&J are up 0.3% in pre-market trading.