J&J boosted by pharma revenue in Q2 results
pharmafile | July 20, 2016 | News story | Research and Development | 2016, Johnson and Johnson, Q2, results
Shares at Johnson and Johnson have reached a record high of over $125 after pharma revenues helped to raise full year sales and earnings forecasts in their Q2 results.
Sales in their pharmaceutical arm, Janssen, rose 8.9% to $8.7 billion in the second quarter. This increase of sales was driven by higher demand for cancer drug Imbruvica (ibrutinib), blood thinner Xarelto (rivaroxaban) and autoimmune drug Remicade (infliximab).
Aided by this pharma growth, J&J has raised its 2016 sales forecasts to between $71.5 billion and $72.2 billion, which is up from previous estimates of $71.2 billion to $71.9 billion.
Other positive pharma news in this quarter came from the regulators. In the US, the company received a new indication for Invokamet (canaglizlozin/metformin) in type-2 diabetes and a label expansion for Imbruvica in chronic lymphocytic leukaemia. In the EU, Darzalex (daratumumab) received conditional approval in multiple myeloma while Simponi (golimumab) received an approval for treatment of polyarticular juvenile idiopathic arthritis.
Overall, total revenue at J&J rose 3.9% to $18.5 billion. Excluding special items, the company earned $1.74 per share.
CEO Alex Gorsky says: “We continue to see good momentum through the first half of 2016, delivering solid results in the second quarter, supported by strong underlying growth across our enterprise. We saw notable strength in our pharmaceuticals business due to the continued success of new products, and also achieved significant clinical milestones, advancing our robust pipeline.”
Sean Murray
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