Johnson & Johnson (JNJ) shares gain as Q4 earnings and guidance beats

Shares of Johnson & Johnson (NYSE: JNJ) rose in pre-open trading Tuesday after the pharmaceutical giant reported better-than-expected fourth-quarter earnings results and earnings guidance.

Fourth quarter sales declined 4.4% to $23.7 billion on unfavorable foreign exchange and reduced COVID-19 vaccine sales. This was below the Wall Street consensus of $23.9 billion.

For the year, sales rose by 1.3% to $94.9 billion primarily driven by strong commercial execution partially offset by unfavorable foreign exchange.

On the bottom line, adjusted EPS rose by 10.3% to $2.35, beating the Wall Street consensus of $2.24.

“Our full year 2022 results reflect the continued strength and stability of our three business segments, despite macroeconomic challenges,” said CEO Joaquin Duato. “I am inspired by our employees who make a difference in the health and lives of people around the world every day. As we look ahead to 2023, Johnson & Johnson is well-positioned to drive near-term growth, while also investing strategically to deliver long-term value.”

Looking ahead, the company sees FY 2023 EPS growth of 3.5%, or $10.50. This is above the current Wall Street consensus of $10.33. The company sees 2023 adjusted operational sales growth of 4%, excluding COVID-19 vaccine sales.

Shares of JNJ last traded at $172.57, up 2.5%.

By StreetInsider.com Staff

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