Johnson & Johnson (NYSE:JNJ) released its financial results and updated goals on Wednesday after the completion of the process of splitting Kenvue, its former personal products unit, which owns brands such as Band-Aid and Listerine.
The American pharmaceutical company expects a growth in sales this year between 7% and 8%, which could reach US$ 84 billion, compared to the previous high target of 6.5% to 7.5%, up to US$ 99.8 billion .
Adjusted earnings per share are expected to rise between 12% and 13% this year, compared to 2022, up to $10.10. Already in the previous target, the growth was estimated between 5.5% and 6.5% in the year, up to US$ 10.80.
Removing Kenvue results, Johnson & Johnson posted sales of $42.4 billion in the first six months of 2023, up 5.9% on the year. Net income between January and June was US$ 4.88 billion, down 44.7%.
“The division of Kenvue places Johnson & Johnson in a unique position for growth in the pharmaceutical and medical technology businesses”, says Joaquin Duato, CEO of Johnson & Johnson, in a note.
The company was able to generate $13.2 billion in cash from the Kenvue spinoff.
They say they intend to sell the remaining 9.5% stake in the company next year.