FX.co ★ J&J's 9-month net profit up 24%

Pharmaceutical companies are thriving in today's environment. Profits in the sector are rising on the back of strong demand amid the pandemic. One of the industry leaders, US company Johnson & Johnson, has reported record revenue.

According to the company's official reports, in the first nine months of the year, net profit rose 24% year-on-year to $16bn, or $6.04 per share, compared with $4.86 in the first nine months of 2020. Coronavirus vaccine revenues, which tripled in the third quarter compared to the second quarter and reached $502 million, were the driving force of the growth. All in all, the company has recorded $766 million in revenue generated by its coronavirus jab in nine months.

The company maintained its revenue and earnings-per-share outlook for 2021 due to the strong financial results. J&J management expects sales, including the coronavirus vaccine, to range from $93.8 billion to $94.6 billion in 2021. Excluding revenues from the COVID-19 vaccine, the base business is expected to generate revenues in the range of $91.3 billion to $92.1 billion. Thus, the company expects to make $2.5 billion from sales of the medicine. Adjusted earnings per share are expected in the range of $9.60-$9.70.