Johnson & Johnson Q2 Earnings Beat Expectations; Raises FY21 Outlook, Sees $2.5B Sales From COVID Vaccine

Johnson & Johnson JNJ reported Q2 adjusted earnings of $2.48 per share, almost 50% higher than the $1.67 posted a year ago and better than the consensus of $2.27. Net sales increased 27% Y/Y to $23.3 billion, and ahead of the $22.1 billion consensus.

• Pharmaceutical contributed $12.6 billion in sales, +14%, due to Stelara (ustekinumab), Dazalex (daratumumab), Tremfya (guselkumab), Erleada (apalutamide), Imbruvica (ibrutinib), and paliperidone palmitate. 
• This growth was partially offset by biosimilar and generic competition, with declines primarily in Remicade (infliximab).
• Medical Devices grew 58.7% to $6.9 billion, primarily driven by the benefit of market recovery from COVID-19 impacts and the associated deferral of medical procedures. 
• Consumer health segment sales increased 10% Y/Y to $3.7 billion, primarily driven by skin health/beauty growth. 
• Outlook: JNJ raised FY21 guidance and now expects overall sales of $92.5 billion - $93.3 billion, including $2.5 billion - $3 billion from COVID-19 Vaccine sales. In April, it guided for sales of $89.3 billion - $90.3 billion.
• It expects adjusted EPS of $9.60 - $9.70, as against the earlier outlook of $9.42 - $9.57, higher than the consensus of $9.52.
• Price Action: JNJ shares are up 1.07% at $170.25 during the premarket session on the last check Wednesday.
• Photo by Rafi muhammed from Pixabay