Johnson & Johnson Surpasses Expectations with Strong Drug Sales, Raises Annual Forecast

Johnson & Johnson reported better-than-expected earnings for the first quarter, driven by strong sales of cancer medication Darzalex and psoriasis treatment Tremfya, despite a decline in Stelara sales. The company raised its full-year revenue and earnings forecasts, maintaining a leading position in the pharmaceutical market.

Johnson & Johnson exceeded Wall Street's expectations with their first-quarter earnings report. The pharmaceutical giant credited strong sales of their cancer drug, Darzalex, and the psoriasis treatment, Tremfya, for the positive results, despite a significant decline in sales of their blockbuster autoimmune medication, Stelara.

The firm's first-quarter revenue reached $24.1 billion, marking a nearly 10% increase from the previous year, surpassing analysts' predictions of $23.6 billion according to LSEG data. Adjusted earnings per share came in at $2.70, above the anticipated $2.66.

As Stelara faces biosimilar competition after losing its patent, its sales plunged by around 60% to $656 million. However, Tremfya and Darzalex significantly offset this decline, with the latter's sales exceeding expectations. Additionally, Johnson & Johnson raised its annual revenue forecast, signaling strong financial health amidst challenging market conditions.

(With inputs from agencies.)