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The Markets
by Proactive
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The Markets
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Proactive UK has moved.
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Medical technology & services

J&J advances after results beat expectations

Sales and earnings guidance has now been upgraded.

Johnson & Johnson (NYSE:JNJ) gained around 1.5%, US$1.90 per share, in Tuesday’s early deals after it revealed that its second quarter performance had beaten expectations.

The consumer products firm made a US$1.74 per share quarterly profit due to strong sales in the United States, particularly in the pharmaceutical division where new products had success.

Sales amounted to US$18.5bn for the three months, up 3.9% compared to the same period of 2015.

Johnson & Johnson upgraded sales guidance for the full year, up to US$72.2bn from US$71.5bn, and the projection for full year earnings rose to range from US$6.63 to US$6.73 per share.

Alex Gorsky, Johnson & Johnson chief executive, in a statement said: “We continue to see good momentum through the first half of 2016, delivering solid results in the second quarter, supported by strong underlying growth across our enterprise."

“We saw notable strength in our Pharmaceuticals business due to the continued success of new products, and also achieved significant clinical milestones, advancing our robust pipeline.

“In our Consumer business, we are executing strategic portfolio decisions to expand our market leadership in key segments, and in Medical Devices, we are continuing to accelerate our growth driven by new product launches and transforming our commercial models."

NYSE listed Johnson & Johnson shares rose 1.5% to change hands at around US$125 each.

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