(Reuters) -Johnson & Johnson on Tuesday raised its 2023 profit forecast, helped by resilient demand for its top-selling drug Stelara and recorded a $21 billion gain from the spin off of its consumer health unit.
The company’s shares were up about 2% in premarket trading.
Investors are focused on how Johnson & Johnson, now a standalone pharmaceutical and medical devices company, will reach its goal of $57 billion in drug sales by 2025. The company is facing a potential slowdown in sales of its arthritis drug Stelara after the launch of biosimilars.
J&J finalized the biggest shake-up in its 137-year history in August through an exchange of its shares with former consumer health unit Kenvue.
Johnson & Johnson reported third-quarter total sales of $21.35 billion, compared with analysts’ estimates of $21.04 billion, according to LSEG data.
Stelara, J&J’s top-selling anti-inflammatory drug, brought in sales of $2.86 billion, above estimates of $2.61 billion, according to LSEG data.
The company’s innovative medicine unit reported quarterly sales of $13.89 billion, of which Stelara accounted for more than 20%.
Excluding its consumer health unit, J&J now expects 2023 adjusted profit of $10.07 to $10.13 per share, compared with its previous outlook of $10.00 to $10.10 per share.
The company posted a third-quarter profit of $1.69 per share, compared with $1.62 per share a year earlier.
Excluding items, J&J reported a profit of $2.66 per share, compared with $2.23 per share a year earlier.
(Reporting by Bhanvi Satija and Sriparna Roy in Bengaluru; Editing by Shounak Dasgupta)
