Latest news with #Tremfya
Yahoo
a day ago
- Business
- Yahoo
J&J accelerates past Stelara's fall with better-than-expected portfolio growth
This story was originally published on PharmaVoice. To receive daily news and insights, subscribe to our free daily PharmaVoice newsletter. Johnson & Johnson came out of the gates with a strong showing in second-quarter earnings yesterday despite a major headwind from the loss of exclusivity for immunology blockbuster Stelara. How did the pharma giant stay on the upswing? By pumping up newer meds and leaning on strengths in oncology and neuroscience. All in all, the company's pharmaceutical quarterly sales rose 4.9% worldwide to more than $15 billion. J&J CEO Joaquin Duato said on the company's earnings call that executive vice president and worldwide chairman of J&J Innovative Medicine Jennifer Taubert deserved a shoutout for raking in record pharma sales while Stelara's revenue fell like a stone. 'Credit to [Taubert] and her team achieving the first $15 billion quarter despite $1.2 billion of year-on-year erosion in the quarter from Stelara. I don't think any other company can do that.' Joaquin Duato CEO, J&J Here's what executives said about the challenges and opportunities in J&J's top three therapeutic areas, and how the company weathered the storm of a major patent cliff — pointing to ways its Big Pharma brethren can overcome their own headwinds in the years to come. Saving immunology Stelara has been a breadwinner for J&J for more than a decade, bringing in peak sales of almost $11 billion in 2023. Then the biosimilars started to arrive, first in Europe in 2024, and then in the U.S. this year. That brought about a $1.2 billion sales drop in the second quarter of 2025 from the same period the year before. But the company is riding a wave of newer immunology drugs that, while not yet making up for all of Stelara's losses, have kept the therapeutic area poised for future growth. 'It's hard to pick one particular product that gives us reason for our enthusiasm in the back half … but if I had to point … I would say Tremfya.' Joseph Wolk CFO, J&J Tremfya's sales have been growing steadily and recently expanded into inflammatory bowel disease, which contributed to 30% growth in the quarter, along with indications in Crohn's disease and ulcerative colitis. CFO Joe Wolk said Stelara had 70% of prescriptions filled with IBD, making that indication a particularly enticing chunk of the market. On the call, Duato pointed to a peak sales estimate of $10 billion annually for Tremfya, which would bring it in line with Stelara's performance at the end of its exclusive lifecycle. Add that to the double-digit growth of marketed immunology products Remicade and the Simponi franchise, as well as a pipeline shaping up to make a splash in years to come, and the overall 16% decline in sales for immunology looks like it will become a short-lived slump in the long run. No.1 in oncology? Duato made big promises for J&J's growing prowess in oncology beyond what analysts have predicted. 'With more than 10 products in market across 26 approved indications and over 25 treatments in late-stage development, we expect to become the No. 1 oncology company by 2030 with sales of more than $50 billion.' Joaquin Duato CEO, J&J The company saw 22% growth in oncology overall in the second quarter, with particular contributions from the multiple myeloma drug Darzalex and the prostate cancer treatment Erleada. Also performing well was the CAR-T cell therapy Carvykti, overcoming obstacles in the space with $439 million in sales for the quarter. Taubert also said the bladder cancer pipeline candidate TAR-200 is undervalued by analysts and has been designed to fit into urologists' routine clinical practice in a way that could make its 2028 numbers reach 'at least three times higher' than what industry watchers have estimated. '[TAR-200] is probably the asset that has the biggest disconnect between our internal forecasts and what the Street expects.' Jennifer Taubert EVP, worldwide chairman, J&J Innovative Medicine Neuroscience on the rise The ketamine-based depression drug Spravato has turned out to be a winner for J&J with more than 50% growth on the market to $414 million in sales in the first quarter. While execs celebrated the win, they're also looking forward to what schizophrenia and bipolar depression newcomer Caplyta has in store. J&J picked up Caplyta in the acquisition of Intra-Cellular Therapies that closed earlier this year for $14.6 billion. 'Caplyta adds to J&J's robust lineup of therapies with $5 billion-plus potential in peak year sales, and further solidifies sales growth above analyst expectations through the rest of the decade.' Joaquin Duato CEO, J&J Overall, neuroscience grew almost 15% for J&J, bringing in more than $2 billion in the second quarter. Recommended Reading J&J's 2024 strategy will focus on newer meds to offset Stelara's patent cliff Error in retrieving data Sign in to access your portfolio Error in retrieving data Error in retrieving data Error in retrieving data Error in retrieving data
Yahoo
3 days ago
- Business
- Yahoo
JNJ Begins Drug Sector Q2 Earnings With a Beat & Guidance Raise
Johnson & Johnson's JNJ second-quarter 2025 earnings came in at $2.77 per share, which beat the Zacks Consensus Estimate of $2.66. Earnings, however, declined 1.8% from the year-ago period. Adjusted earnings exclude intangible amortization expense and special items. Including these items, reported earnings were $2.29 per share, up 18.7% year over year. Sales of this drug and medical devices giant came in at $23.74 billion, which also beat the Zacks Consensus Estimate of $22.80 billion. (Find the latest earnings estimates and surprises on Zacks Earnings Calendar.) Sales rose 5.8% from the year-ago quarter, reflecting an operational increase of 4.6% and a positive currency impact of 1.2%. Organically, excluding the impact of acquisitions/divestitures and currency, sales rose 3.0% on an operational basis. Second-quarter sales in the domestic market rose 7.8% to $13.54 billion. Excluding the impact of all acquisitions and divestitures on an adjusted operational basis, domestic sales rose 5.0% in the quarter. International sales rose 3.2% on a reported basis to $10.2 billion, reflecting an operational increase of 0.6% and a positive currency impact of 2.6%. Excluding the impact of all acquisitions and divestitures on an adjusted operational basis, international sales rose 0.4% in the quarter. J&J's Innovative Medicines Unit Outperforms, MedTech Misses With the complete separation of the Consumer Health segment into a newly listed company called Kenvue KVUE in 2023, J&J has now become a two-sector company focused on the Pharmaceutical and MedTech fields. KVUE will report its second-quarter results in early August. J&J's Innovative Medicines segment sales rose 4.9% year over year to $15.2 billion, reflecting a 3.8% operational increase and a positive currency impact of 1.1%. Excluding the impact of all acquisitions and divestitures and currency on an adjusted operational basis, worldwide sales rose 2.4%. Innovative Medicines sales beat the Zacks Consensus Estimate of $14.55 billion as well as our model estimate of $14.50 billion. Higher sales of key products such as Darzalex, Tremfya and Erleada due to strong market growth and share gains drove the segment's growth. Xarelto and Simponi/Simponi Aria sales also rose in the quarter. New drugs like Carvykti, Tecvayli, Talvey, Rybrevant and Spravato contributed significantly to growth. The sales growth was partially dampened by lower sales of Imbruvica and generic/biosimilar competition to drugs like Stelara and Zytiga. JNJ's Oncology Drugs' Performance Sales of blockbuster multiple myeloma medicine Darzalex rose 23.0% year over year to $3.54 billion in the quarter. Sales beat the Zacks Consensus Estimate of $3.45 billion and our model estimate of $3.44 billion. Imbruvica sales declined 4.5% to $735.0 million. Rising competitive pressure in the United States due to new oral competition has been hurting Imbruvica's sales for the past few quarters. Imbruvica sales were, however, better than the Zacks Consensus Estimate of $697.0 million and our estimate of $694.8 million. Erleada generated sales of $908.0 million in the quarter, up 23.4% year over year. Erleada sales beat the Zacks Consensus Estimate of $853.0 million as well as our model estimate of $903.9 million. New drug Carvykti recorded sales of $439.0 million compared with $369 million in the previous new drug, Tecvayli, recorded sales of $166.0 million in the quarter, up 23.1% year over year, Sales of Talvey were $106 million, up 55.0% year over year. Rybrevant/Lazcluze sales were $179 million compared with $69 million in the year-ago quarter. Zytiga sales declined 11.6% to $145.0 million in the quarter due to generic competition. JNJ's Immunology Drugs' Performance Sales of the blockbuster psoriasis drug, Stelara, declined 42.7% to $1.65 billion in the quarterdue to the impact of biosimilar competition and Part D redesign. While U.S. sales of Stelara declined 41.9%, international sales declined 44.2% in the quarter. Stelara sales missed the Zacks Consensus Estimate as well as our model estimates of $1.88 billion. Several biosimilar versions of J&J's multi-billion-dollar immunology drug, Stelara, have been launched in the United States in 2025. According to patent settlements and license agreements, Amgen AMGN, Teva Pharmaceutical Industries TEVA, Samsung Bioepis/Sandoz and some other companies have already launched Stelara biosimilars this year. Tremfya recorded sales of $1.19 billion in the quarter, up 31.0% year over year. Tremfya sales beat the Zacks Consensus Estimate of $1.08 billion as well as our model estimate of $1.09 billion. Simponi/Simponi Aria sales rose 28.6% to $690.0 million. Sales of Remicade rose 15.9% in the quarter to $455.0 million. JNJ's Neuroscience, PAH and Other Drugs' Performance In neuroscience, Spravato recorded sales of $414.0 million, up 53.3% year over year. Caplyta, added from the Apil acquisition of Intra-Cellular Therapies, recorded sales of $211 million in the quarter. Invega Sustenna/Xeplion/Invega Trinza/Trevicta sales declined 5.9% to $992.0 million in the quarter. Pulmonary arterial hypertension (PAH) drug Uptravi recorded sales of $476.0 million, up 11.7% year over year. Another PAH drug, Opsumit, recorded sales of $582.0 million, up 6.4% year over year. Xarelto sales rose 5.6% in the quarter to $621.0 million. Prezista sales declined 9.4% to $396.0 million. How Did JNJ's MedTech Segment Perform in Q2? MedTech segment sales came in at $8.54 billion, up 7.3% from the year-ago period, including an operational increase of 6.1% and a positive currency impact of 1.2%. MedTech segment sales beat the Zacks Consensus Estimate of $8.25 billion as well as our model estimate of $8.31 billion. Excluding the impact of all acquisitions and divestitures, and currency, on an adjusted operational basis, worldwide sales rose 4.1%. In the MedTech segment, over the past couple of quarters, gains from recent acquisitions of Shockwave and Abiomed, as well as continued uptake of new products, have been offset by continued headwinds in Asia Pacific, specifically in China and increased competitive pressure in U.S. electrophysiology for PFA ablation catheter. Sales in China are being hurt by the impact of the volume-based procurement (VBP) program. VBP is a government-driven cost containment effort in China. JNJ Ups 2025 Sales and EPS Guidance Range The company raised its sales expectations for 2025 by around $2.0 billion to reflect a strong operational performance coupled with currency tailwinds. The sales guidance was raised from a range of $91.0 billion-$91.8 billion to $93.2 billion-$93.4 billion. The sales range indicates growth in the range of 5.1%-5.6% versus the prior expectation of 2.6%-3.6%. Operational sales growth is expected in the range of 4.5%-5.0% (previously 3.3%-4.3%). Adjusted operational sales (excluding currency impact, acquisitions/divestitures) growth is expected in the range of 3.2%-3.7% (previously 2.0%-3.0%). The revenue figures exclude revenues from COVID-19 vaccine sales. The adjusted earnings per share guidance was raised from a range of $10.50-$10.70 to $10.80-$10.90. On an operational, constant-currency basis, adjusted earnings per share are expected to increase in the range of 8.2%-9.2% (previously 5.2% to 7.2%). Our Take on JNJ's Q2 Results J&J kicked off the earnings season for the drug and biotech sector with earnings and sales beats. Despite the loss of exclusivity ('LOE') of Stelara, its Innovative Medicines unit once again outperformed expectations, with sales of all key drugs Darzalex, Erleada and Tremfya beating estimates. The new drugs also contributed significantly to sales. Stelara LOE hurt revenue growth by 1170 basis points in the second quarter. MedTech unit's sales also beat estimates. J&J raised its sales and EPS guidance for the year. J&J's shares rose more than 2% in pre-market trading on Wednesday in response to the earnings beat and guidance raise. So far this year, J&J's stock has risen 9.1% compared with an increase of 1.9% for the industry. Image Source: Zacks Investment Research J&J's Innovative Medicine unit is showing a growth trend. In 2025, J&J expects growth in the Innovative Medicine segment in the face of Stelara biosimilar entrants to be driven by its key products such as Darzalex, Tremfya, Spravato and Erleada, as well as new drugs like Carvykti, Tecvayli and Talvey, and new indications for Tremfya and Rybrevant. J&J considers 2025 to be a 'catalyst year,' positioning the company for growth in the second half of the decade. J&J expects operational sales growth in both the Innovative Medicine and MedTech segments to be higher in the second half of the year than in the first. While newly launched products should drive growth in the Innovative Medicines segment in the second half, the MedTech segment may benefit from new products and easier comps. J&J is also making rapid progress with its pipeline and has been on an acquisition spree lately, which has strengthened its pipeline. However, the softness in the MedTech unit, the Stelara patent cliff and the potential impact of Part D redesign will be significant headwinds in 2025. It remains to be seen how the company navigates them. The legal battle surrounding its talc lawsuits is a persistent headwind. J&J's Zacks Rank J&J currently has a Zacks Rank #2 (Buy). You can see the complete list of today's Zacks #1 Rank (Strong Buy) stocks here. Johnson & Johnson Price, Consensus and EPS Surprise Johnson & Johnson price-consensus-eps-surprise-chart | Johnson & Johnson Quote Want the latest recommendations from Zacks Investment Research? Today, you can download 7 Best Stocks for the Next 30 Days. Click to get this free report Johnson & Johnson (JNJ) : Free Stock Analysis Report Amgen Inc. (AMGN) : Free Stock Analysis Report Teva Pharmaceutical Industries Ltd. (TEVA) : Free Stock Analysis Report Kenvue Inc. (KVUE) : Free Stock Analysis Report This article originally published on Zacks Investment Research ( Zacks Investment Research
Yahoo
4 days ago
- Business
- Yahoo
Wolfe Research Affirms Outperform Rating on Johnson & Johnson (JNJ) on Improving Fundamentals
Johnson & Johnson (NYSE:JNJ) is one of Goldman Sachs' top healthcare stock picks. On July 10, analysts at Wolfe Research reiterated an 'Outperform' rating on the stock and a $175 price target. The bullish stance underscores the company's strong performance year to date amid soaring regulatory concerns. Gil C/ The stock is up by more than 8% year-to-date, outperforming the S&P 500, which is up by approximately 6%. The research firm expects the stock to continue its impressive run, especially with the settling of the talc litigation in the third quarter. An update on the litigation should alleviate concerns and mitigate the long-term impact on the stock. In addition, Wolfe Research is bullish on Johnson & Johnson, as the estimated $400 million tariff impact is poised to be reduced by half. The company is on course to deliver $22.8 billion in revenues in the second quarter, in line with consensus estimates. Full-year revenues are expected at $91.9 billion, slightly above consensus estimates of $91.4 billion. Strong performance in Tremfya and Darzalex is expected to continue offsetting the slowdown in Stelara's sales growth. Johnson & Johnson (NYSE:JNJ) is a healthcare company focused on developing and producing pharmaceutical products and medical devices. It develops and delivers innovative medicines to treat a range of diseases, including oncology, immunology, neuroscience, and cardiopulmonary conditions. While we acknowledge the potential of JNJ as an investment, we believe certain AI stocks offer greater upside potential and carry less downside risk. If you're looking for an extremely undervalued AI stock that also stands to benefit significantly from Trump-era tariffs and the onshoring trend, see our free report on the best short-term AI stock. READ NEXT: 11 Best Green Energy Penny Stocks to Buy Right Now and 10 Most Popular AI Penny Stocks to Buy According to Billionaires. Disclosure: None. This article is originally published at Insider Monkey. Error in retrieving data Sign in to access your portfolio Error in retrieving data Error in retrieving data Error in retrieving data Error in retrieving data
Business Insider
5 days ago
- Business
- Business Insider
Is Johnson & Johnson (JNJ) a Good Stock to Buy before Earnings?
Johnson & Johnson (JNJ) is set to report its second-quarter earnings on July 16, and analysts are expecting the healthcare giant to post steady results. Indeed, Wall Street is forecasting earnings of $2.68 per share on revenue of $22.87 billion, which would represent modest growth of around 1.9% compared to last year. The company's full-year earnings estimates have also been slightly raised by analysts to a range of $10.62 to $11.00 per share. JNJ's Pharmaceutical segment remains its primary growth driver, as pictured below. Elevate Your Investing Strategy: Take advantage of TipRanks Premium at 50% off! Unlock powerful investing tools, advanced data, and expert analyst insights to help you invest with confidence. Make smarter investment decisions with TipRanks' Smart Investor Picks, delivered to your inbox every week. In fact, this unit grew by about 4.2% in Q1 and continues to benefit from strong sales of cancer treatment Darzalex as well as Tremfya, which grew by 20%. In addition, new filings with the FDA, including pediatric use for Stelara and additional CNS therapies, indicate that the firm has a healthy pipeline going forward. Meanwhile, the MedTech division, which includes devices and surgical technology, grew by 4.1%. It is worth noting that this unit has faced pricing pressure in China, but recent acquisitions like Abiomed and Shockwave could help revive sales in 2025. As investors look ahead to the report, key things to watch include the company's full-year guidance to see whether J&J will reaffirm its revenue outlook of around $91–91.8 billion and EPS range of $10.50–$10.70. Investors should also focus on how the company is managing costs, especially with MedTech facing about $400 million in tariff exposure and the upcoming biosimilar competition for top drugs like Stelara. Lastly, any updates on drug approvals, product launches, or how J&J plans to integrate new biotech acquisitions could offer insights into long-term growth. Options Traders Anticipate a Large Move Using TipRanks' Options tool, we can see what options traders are expecting from the stock immediately after its earnings report. The expected earnings move is determined by calculating the at-the-money straddle of the options closest to expiration after the earnings announcement. If this sounds complicated, don't worry, the Options tool does this for you. Indeed, it currently says that options traders are expecting a 2.6% move in either direction. Is JNJ Stock a Good Buy? Turning to Wall Street, analysts have a Moderate Buy consensus rating on JNJ stock based on seven Buys, nine Holds, and zero Sells assigned in the past three months, as indicated by the graphic below. Furthermore, the average JNJ price target of $173.47 per share implies 10.6% upside potential.
Khaleej Times
03-07-2025
- Health
- Khaleej Times
Abu Dhabi becomes first outside US to offer groundbreaking IBD medication
In a groundbreaking healthcare milestone, Abu Dhabi has become the first region outside the United States to offer Tremfya, a next-generation biologic medication for patients with inflammatory bowel disease (IBD). This comes following a strategic partnership between the Department of Health – Abu Dhabi (DoH), Johnson & Johnson, and Sheikh Shakhbout Medical City (SSMC). The collaboration was announced on the sidelines of Abu Dhabi's participation at the BIO International Convention in Boston, marking a significant step forward in the emirate's position as a pioneering destination for healthcare innovation. Following recent FDA approval for ulcerative colitis and Crohn's disease in the United States, and the European Commission's approval for Crohn's disease, the DoH accelerated efforts to bring this treatment to local patients. The results have been remarkable – SSMC has already begun treating 15 patients within two months of the treatment's launch. Dr Mohammed Nabil Quraishi, Consultant Gastroenterologist and Director of the IBD Service at Sheikh Shakhbout Medical City, emphasized the immediate impact: "Being the first in the country to administer this novel therapy was a vital first step, but to have already started treatment for 15 patients in under two months of its launch demonstrates the tangible, widespread benefit we can deliver." The first patient in Abu Dhabi to receive Tremfya experienced notable improvement, with symptoms significantly declining despite having longstanding treatment-resistant Crohn's disease.
