J&J reports 11.9 percent fall in quarterly profit

Johnson & Johnson reported a higher-than-expected quarterly profit in addition to also also raised its full-year forecast as the company gained via strong sales of its brand new cancer drugs.

Shares of J&J, part of the Dow Jones industrial average, were up 1.3 percent in premarket trading on Tuesday.

Higher demand for its blood cancer drugs, Darzalex in addition to also also Imbruvica, in addition to also also the addition of high-margin treatments for rare diseases via its $30 billion acquisition of Actelion are anticipated to boost the company’s earnings within the coming quarters.

The company’s pharmaceutical business posted a 15.4 percent rise in sales within the third quarter.

“We are convinced which the pharma pipeline remains robust in addition to also also more meaningful contributions will kick in beyond 2017,” Joshua Jennings via Cowen & Co. wrote in a client note.

However, sales of J&J’s rheumatoid arthritis drug, Remicade, slipped within the latest quarter as the company faces rising threats via copycat versions of the blockbuster drug.

The company, which makes everything via Band-Aids to Neutrogena beauty products, said its results included the impact of the first full quarter of the acquisition of Actelion, which added 7.9 percent to worldwide operational sales growth.

J&J raised its 2017 profit forecast to a range of $7.25 to $7.30 per share via a range of $7.12 to $7.22 per share estimated previously. Revenue forecast is actually anticipated to range between $76.1 billion in addition to also also $76.5 billion, compared with its earlier outlook of $75.8 billion of $76.1 billion.

Total revenue rose 10.3 percent to $19.65 billion.

However, the company’s net earnings fell to $3.76 billion, or $1.37 per share, within the quarter via $4.27 billion, or $1.53 per share, a year earlier.

Excluding special items, J&J earned $1.0 per share.

Analysts on average were expecting an adjusted profit of $1.80 per share on revenue of $19.28 billion for the latest quarter, according to Thomson Reuters I/B/E/S.

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