By Shares of Johnson & Johnson (JNJ, +0.43%) experienced a significant surge of 0.8% in premarket trading on Tuesday. This comes after the renowned drug maker and medical technology company reported impressive third-quarter profit and sales figures that surpassed expectations. The outstanding performance was mainly driven by the robust growth in its MedTech business.
Stellar Financial Results
In terms of net earnings from continuing operations, Johnson & Johnson recorded $4.31 billion, equivalent to $1.69 per share, compared to $4.31 billion or $1.62 per share for the same period last year. It is worth noting that these figures exclude nonrecurring items. Consequently, adjusted earnings per share, clocking in at $2.66, demonstrated a substantial 19.3% increase, surpassing the FactSet consensus of $2.52.
Impressive Sales Growth
In addition to extraordinary profit figures, Johnson & Johnson witnessed a commendable growth in sales as well. Total sales for the quarter reached an impressive $21.35 billion, exceeding the FactSet consensus of $21.04 billion. The Innovative Medicine division experienced a 5.1% surge in sales, amounting to $13.89 billion, while the MedTech division recorded an extraordinary 10.0% increase, resulting in sales of $7.46 billion.
Positive Outlook for 2023
Highlighting their optimistic outlook, Johnson & Johnson raised their guidance ranges for adjusted EPS in 2023. The new range stands at $10.07 to $10.13, up from the previously announced range of $10.00 to $10.10. Similarly, their sales expectations for 2023 have been revised to $83.6 billion to $84.0 billion, surpassing the previous range of $83.2 billion to $84.0 billion.
Market Performance
While Johnson & Johnson’s stock has experienced a slight decline of 1.0% over the past three months leading up to Monday, it is essential to note that the Dow Jones Industrial Average (DJIA, +0.93%) has also witnessed a dip of 1.7% during the same period.
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