Johnson & Johnson Boosts Outlook as Q3 Earnings Beat Estimates

Share This Article
October 18, 2016 7:10am NYSE:JNJ

JNJ logoHealth care giant Johnson & Johnson (NYSE:JNJ) early today posted better-than-expected third quarter earnings results and lifted its full-year guidance.


The New Brunswick, NJ-based company reported adjusted Q3 EPS of $1.68, beating out Wall Street’s expectations of $1.66. Revenue rose 4.2% from last year to $17.82 billion, also eclipsing analysts’ view of $17.74 billion.

Looking ahead, JNJ lifted its full-year earnings forecast. The company now expects 2016 EPS of $6.68-6.73, up from a prior outlook of $6.63-6.73. Analysts are currently looking for $6.69 per share for the year. Johnson & Johnson expects full-year revenue to range from $71.5-72.2 billion, versus analysts’ view of $72.14 billion.

Other interesting notes from the report included:

  • Operational sales rose 4.3%, with Domestic sales gaining 6.7% and International sales rising 1.5%.
  • Worldwide Pharmaceutical sales gained 9.2% to $8.4 billion.
  • Worldwide Consumer sales fell 1.6% to $3.3 billion, hurt by currency effects. When excluding forex, consumer sales would have risen 0.1%.
  • Worldwide Medical Devices sales rose 1.1% to $6.2 billion.

From the press release:

“Our third-quarter results reflect the success of our new product launches and the strength of our core businesses, driven by strong growth in our Pharmaceuticals business. With a number of regulatory approvals, several new drug application submissions and new breakthrough therapy designations from the FDA, we are increasingly confident in our pipeline expectation of filing 10 new pharmaceutical products between 2015 and 2019, each with revenue potential over $1 billion,” said Alex Gorsky, Chairman and Chief Executive Officer. “Our broad-based business model, strategic investments and talented colleagues position us well for continued leadership in health care.”

JNJ-2016-10-18

JNJ shares rose $1.10 (+0.93%) to $119.59 in premarket trading Tuesday. Prior to today’s report, JNJ stock had gained 15.35%, easily eclipsing the 4.16% return of the benchmark S&P 500 during the same period.


9 "Must Own" Growth Stocks For 2019

Read Next



Get Free Updates

Join over 50,000 investors who get the latest news from ETFDailyNews.com!

Most Popular



Explore More from ETFDailyNews.com

Free Daily Newsletter

Get daily ETF insights from our market experts. Never miss another important market development again!

ETFDailyNews.com respects your privacy.

Best ETFs

We've rated and ranked nearly 2,000 ETFs and ETNs using our proprietary SMART Grade system.

View Top Rated ETFs

Best Categories

We've ranked dozens of ETF categories based on relative performance.

Best ETF Categories