Covid and Johnson & Johnson JNJ Revenue Q3 2021


Johnson & Johnson said it sold $ 502 million of its Covid-19 vaccine in the third quarter in its earnings report on Tuesday, which beat Wall Street earnings expectations.

According to Refinitiv’s average estimates, J&J has fared compared to Wall Street expectations as follows:

  • Adjusted earnings per share: $ 2.60 per share versus expected $ 2.35.
  • Revenue: $ 23.34 billion versus $ 23.72 billion expected.

J&J increased its earnings guidance for the full year to $ 9.77 per share and $ 9.82 per share, from previous estimates of $ 9.60 to $ 9.70 per share. Revenue is expected to be between $ 94.1 billion and $ 94.6 billion, compared to the previous forecast of $ 93.8 billion to $ 94.6 billion.

At the same time, the company kept its Covid vaccine sales outlook for the year at $ 2.5 billion.

J & J’s shares rose more than 1% in early trading.

The company’s better-than-expected profit was supported by higher sales in the Consumer Health, Pharmaceuticals and Medical Devices businesses.

The consumer division, which makes products like Neutrogena Face Wash and Listerine, had sales of $ 3.7 billion, up 5.3% from last year.

J & J’s pharmaceutical business, which developed the single-shot Covid vaccine, had sales of $ 12.9 billion, up 13.8% year over year.

The medical device business generated $ 6.6 billion, an increase of 8%. That unit was hit hard last year when the pandemic forced hospitals to postpone elective surgeries and Americans stayed at home.

Joseph Wolk, J & J’s chief financial officer, told CNBC that the revenue shortfall was due to the Covid vaccines and medical device division.

The company has kept its vaccine sales outlook for the year and plans to ship as much as possible for the rest of the year, he said on Squawk Box. J&J also experienced “fluctuations in voting procedures with the delta variant”.

J & J’s report was overshadowed by criticism over how it dealt with the opioid crisis and the development of a comparatively less effective Covid vaccine under outgoing CEO Alex Gorsky.

In a press release, Gorsky said the financial results “show solid performance from Johnson & Johnson, driven by robust outperformance in pharmaceuticals, continued recovery in medical devices and strong growth in consumer health.”

Earlier this month, the company asked the Food and Drug Administration to approve a booster dose of its Covid single-shot vaccine.

An influential FDA advisory committee said Friday the agency should authorize J & J’s vaccine to be boostered for more than 15 million Americans who have already received the starting dose. A final decision from the FDA is expected in a few days.

Correction: This story has been updated to reflect that J&J missed sales estimates.