From CNBC: 2024-04-16 07:36:46

Johnson & Johnson reported first-quarter adjusted earnings that beat expectations as sales from its medical devices business surged. The total revenue for the period was in line with estimates. J&J’s medtech division provides devices for surgeries, orthopedics, and vision, benefiting from a rebound in nonurgent surgeries among older adults.

Earnings per share were $2.71 adjusted versus $2.64 expected, with revenue at $21.38 billion versus $21.4 billion expected. Total sales for the first quarter of 2024 were over 2% higher than the same quarter last year. J&J also raised its full-year guidance for sales and earnings.

J&J acquired heart device firm Shockwave Medical for $13.1 billion to expand into the cardiovascular space. The medical devices business generated sales of $7.82 billion in the first quarter, up over 4%. The growth came from acquisitions like Abiomed, along with products for orthopedic trauma and contact lenses.

The pharmaceutical division reported around 1% growth in sales, excluding the Covid vaccine revenue. Sales were driven by biologic treatments for multiple myeloma and prostate cancer. Stelara sales were flat due to the entry of biosimilar competitors. J&J has signed agreements with Amgen to delay the launch of Stelara copycats to 2025.

J&J faces investor concerns over lawsuits alleging talc-based products caused cancer. The company will assume all talc-related liabilities in the U.S. and Canada. In January, J&J reached a tentative settlement with more than 40 states for $700 million to resolve claims of misleading patients about the safety of its talc products.



Read more at CNBC:: Johnson & Johnson (JNJ) earnings Q1 2024