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(Sharecast News) - American healthcare and consumer products giant Johnson & Johnson hiked its annual guidance after a strong start to the year, with the company beating estimates on both the top and bottom lines.
The company is now pointing to full-year sales of $91.0-91.8bn, compared with January's guidance of $89.2-90bn and the $90.3bn current consensus forecast.
Adjusted earnings per share are forecast to come in at $10.50-10.70, in line with the target given in January but ahead of the $10.46 pencilled in by analysts.
Sales over the first quarter totalled $21.9bn, up 2.4% over last year, with strong growth in the US division - up 5.9% at $12.3bn - offsetting a 1.8% drop in international sales to $9.6bn. Excluding currency movements, group sales growth would have been 4.2%.
Sales from the Innovative Medicine division rose 2.3% to $13.9bn, while MedTech sales were 2.5% higher at $8.0bn.
"The power of Johnson & Johnson's uniquely diversified portfolio was on full display this quarter, with strong operational sales growth reinforcing our confidence in 2025 guidance," said chair and chief executive Joaquin Duato.
"During the quarter, we fortified our position as an innovation powerhouse with major advancements across our pipeline, including TREMFYA in IBD, RYBREVANT plus LAZCLUZE in non-small-cell lung cancer, and OTTAVA, our soft tissue surgical robotic system, and further enhanced our leading neuroscience portfolio with the completion of the Intra-Cellular Therapies acquisition."
The company raised its quarterly dividend by 4.8% to $1.30 per share.
Despite the improved outlook, shares were down nearly 1% at $152.93 by 1041 ET.
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