Latest News Johnson & Johnson Reports Strong First Quarter as Medical Devices Segment Sees ‘Continued Recovery’ By Staff Wednesday, April 21, 2021 12:18 AM NEW BRUNSWICK, N.J.—Johnson & Johnson (NYSE: JNJ) reported Tuesday that its first-quarter sales increased 7.9 percent to $22.3 billion, with operational sales growth of 5.5 percent. The company cited the strong results of its pharmaceutical sector for driving the sales growth in the period. (Medical devices—which includes the company's contact lens portfolio—showed a "continued recovery," J&J noted in its announcement.) Net earnings totaled $6.2 billion in the period, an increase of 6.9 percent compared with $5.8 billion in the year-ago period. In addition, Johnson & Johnson said its Covid-19 vaccine contributed $100 million to the company’s sales growth in the quarter, however, the expectations for future sales is uncertain due to pauses in vaccinations while health authorities in several countries investigate safety concerns related to the one-shot vaccine.Following the announcement, J&J also raised its sales guidance for 2021 to a range of 8.7 percent to 9.9 percent. The previous guidance, issued in January, forecasted sales growth of 8.0 percent to 9.5 percent in 2021. Adjusted earnings per-share guidance was raised to 16.8 percent at the midpoint.“Johnson & Johnson delivered a strong first-quarter performance led by the above market growth of our pharmaceutical business and continued recovery in medical devices,” J&J chairman and chief executive officer Alex Gorsky said in the announcement. He added, “The ability to deliver these results while simultaneously advancing our robust pipeline of life-enhancing medicines, products and solutions during these times is a testament to the strength and resilience of our business and the dedication of the 135,000 employees of Johnson & Johnson who strive every day to profoundly change the trajectory of health for humanity and make healthier communities for everyone, everywhere.” In the medical devices segment, which includes the Acuvue contacts lens portfolio, overall sales grew 8.8 percent worldwide, excluding the net impact of acquisitions and divestitures, and “reflects the benefit of market recovery from COVID-19 impacts in the prior year,” the announcement noted. Contributors to growth were electrophysiology products, worldwide biosurgery and energy products, and contact lenses and surgery in the vision business and trauma products in orthopaedics. Within the U.S. vision segment, total sales rose 7.4 percent to $472 million from $439 million in the year-ago period. Contact lens sales in the U.S. market increased 7.2 percent to $371 million from $356 million in the year-ago period, according to the announcement. Pharmaceutical worldwide operational sales, excluding the net impact of acquisitions and divestitures, grew 7.4 percent, driven by treatments for multiple myeloma, treatments for immune-mediated inflammatory diseases and a next-generation androgen receptor inhibitor for the treatment of patients with prostate cancer. In the consumer health segment, worldwide operational sales, excluding the net impact of acquisitions and divestitures, declined 2.9 percent, primarily driven by negative prior year comparisons related to the COVID-19 pantry loading in Q1 2020, the announcement noted. Pharmaceutical worldwide operational sales, excluding the net impact of acquisitions and divestitures, grew 7.4 percent, driven by treatments for multiple myeloma, treatments for immune-mediated inflammatory diseases and a next-generation androgen receptor inhibitor for the treatment of patients with prostate cancer.