AP Well being Author (AP) — Johnson & Johnson rode rising gross sales of the most cancers remedy Darzalex and different key medication to a better-than-expected second quarter, however overseas trade charges once more minimize into the well being care big’s 2022 forecast.
After trimming its forecast in April citing trade charges, the corporate did so once more Tuesday to a variety that’s beneath analyst expectations. Johnson & Johnson, which brings in practically half of its gross sales from outdoors the US, now expects earnings of $10 to $10.10 per share, down from the $10.15 to $10.35 it forecast within the spring.
Wall Avenue had been anticipating earnings of $10.19 per share, in keeping with FactSet.
The sturdy U.S. greenback is nearing parity with the euro for the primary time in a long time, and that may have an effect on gross sales for firms that do loads of worldwide enterprise. A stronger greenback makes U.S.-made merchandise dearer in abroad markets, whereas giving overseas merchandise a worth edge in the US.
J&J drew greater than $6 billion in gross sales from Europe within the second quarter and $12 billion from the U.S.
Within the quarter for J&J, gross sales of the blood most cancers remedy Darzalex jumped 39% to almost $2 billion. Income from Stelara, which is used for psoriasis and different inflammatory problems, climbed 14% to $2.6 billion.
Gross sales of J&J’s one-shot COVID-19 vaccine, which debuted final yr, totaled $544 million, with solely $45 million coming from the US.
U.S. regulators in Might strictly restricted who can obtain Johnson & Johnson’s COVID-19 vaccine because of the ongoing danger of uncommon however severe blood clots. That got here a month after J&J mentioned it was suspending gross sales projections for the vaccine, from which it doesn’t intend to revenue.
Outdoors prescribed drugs, which make up J&J’s largest enterprise, gross sales slipped for the corporate’s medical machine and shopper well being segments however grew barely when not counting trade charges.
J&J mentioned final fall it can break up off its shopper well being enterprise, which sells Band Aids and sweetness merchandise, right into a separate, publicly traded firm. That may permit the world’s largest maker of well being care merchandise to deal with prescribed drugs and medical units.
J&J’s quarterly revenue plunged 23% to $4.81 billion in contrast with final yr, when earnings jumped as hospitals and the remainder of the well being care trade recovered from the preliminary influence of the pandemic.
Adjusted earnings per share totaled $2.59 and gross sales grew 3% to $24.02 billion.
Trade analysts anticipated earnings of $2.54 per share on $23.77 billion in income.
Shares of the New Brunswick, New Jersey, firm edged up lower than 1% to $175.63 earlier than the opening bell.
The inventory has climbed about 2% up to now this yr whereas the Dow Jones industrial common, of which J&J is a member, has dropped about 14%.
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