Johnson & Johnson Reports Better-than-Expected Earnings

Johnson & Johnson Reports Better-than-Expected Earnings

Johnson & Johnson (NYSE: JNJ) released its second-quarter financial results on Wednesday, with earnings and revenue surpassing Wall Street expectations. The company now anticipates to sell USD2.5 Billion of it’s Covid-19 vaccine within 2021, despite the ongoing backlash regarding the shot’s effectiveness against the delta variant. Shares were up almost 1% in premarket trading upon the news.

The pharmaceutical reported earning of USD2.48 per share, compared to the anticipated USD2.27 a share. Furthermore, revenue totaled USD23.31 Billion, higher than analysts expected USD22.21 Billion. According to the company, vaccine sales reached USD164 Million, a 64% rise in comparison to the first quarter.

“Our second-quarter results showcase Johnson & Johnson’s diversified portfolio, driven by strong sales and earnings growth across our Medical Device, Consumer Health and Pharmaceutical businesses,” said CEO Alex Gorsky. “I’m so proud of our 136,000 colleagues who remain focused on delivering our medicines and products to patients and consumers around the world, in addition to advancing our pipeline with new product launches and regulatory submissions.”

J&J’s consumer division, which produces products like Neutrogena face wash and Listerine, made USD3.7 Billion in revenue and its medical device unit generated USD6.9 Billion.

The company raised its earning and revenue guidance for 2021 and now expects a full-year profit of USD9.50 to USD9.60 per share. Additionally, it anticipates revenue to amount anywhere between USD92.5 Billion and USD93.3 Billion.

The financial results come a day after a new study warned that the J&J vaccine is not as effective against the delta and lambda variants, which are now dominant in the U.S. Researchers have suggested that a booster shot could be required for J&J recipients.

“I think it’s probably best for everyone to refer to health officials who have not yet recommended a booster, even for some less duration vaccines out there,” said J&J Chief Financial Officer Joseph Wolk.

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