J&J (NYSE:JNJ) surpasses Wall Street forecasts with robust pharmaceutical sales

Johnson & Johnson (NYSE:JNJ) has surpassed Wall Street expectations for its second-quarter profit and revenue, thanks to robust sales of its pharmaceutical products, including the cancer treatment Darzalex and the blockbuster psoriasis drug Stelara. 

The New Jersey-based healthcare giant reported revenue of $22.4 billion, exceeding the consensus estimate of $22.3 billion, according to data from LSEG.

The company's adjusted earnings per share (EPS) came in at $2.82, beating analysts' expectations of $2.70 per share.

Stelara, a leading psoriasis medication, saw its sales increase by 3.1% to $2.89 billion, surpassing the anticipated $2.77 billion.

Additionally, Darzalex, a prominent cancer treatment, experienced an impressive 18.4% sales growth, reaching $2.88 billion, aligning closely with the average analyst estimate of $2.86 billion.

Following these strong results, Johnson & Johnson has revised its total 2024 sales forecast upwards to a range of $89.2 billion to $89.6 billion, compared to its previous projection of $88.7 billion to $89.1 billion. 

Unfortunately, the company has adjusted its annual per-share forecast downward to a range of $10 to $10.10, from the earlier estimate of $10.60 to $10.75.

This adjustment accounts for a 5-cent increase from improved performance and a 68-cent decrease due to costs associated with mergers and acquisitions, including the $13 billion acquisition of cardiac medical device company Shockwave.

The lowered annual per-share forecast reflects Johnson & Johnson's strategic acquisition activities this year.

Notably, in May, the company acquired experimental skin disorder drugs through two deals valued at $2.1 billion.

These acquisitions are part of J&J's broader strategy to enhance its pharmaceutical portfolio and drive future growth.