Investing.com - Health care conglomerate Johnson & Johnson (NYSE:JNJ) reported better-than-expected first quarter earnings, but provided weak guidance for the year ahead, reflecting further negative foreign currency movements.
J&J said earnings per share came in at $1.56 in the first quarter ended March 31, beating expectations for earnings of $1.54 per share.
The company’s first quarter revenue totaled $17.37 billion, above expectations for revenue of $17.31 billion.
Operational results increased 3.1% and the negative impact of currency was 7.2%.
Domestic sales increased 5.9%, while international sales decreased 12.4%, reflecting operational growth of 0.8% and a negative currency impact of 13.2%.
Excluding the net impact of acquisitions and divestitures, on an operational basis, worldwide sales increased 5.7%, domestic sales increased 9.1% and international sales increased 3.0%.
"The company delivered strong underlying growth in the first quarter driven by new products and the strength of the core business. Of note is the continued robust growth of the Pharmaceutical business and the solid performance of our Consumer brands," said Alex Gorsky, Chairman and Chief Executive Officer.
The firm now sees full year adjusted earnings per share in a range between $6.04 and $6.19, down from a previous estimate for adjusted earnings between $6.12 and $6.27 per share.
Immediately after the earnings announcement, Johnson & Johnson shares eased up 0.2% in trading prior to the opening bell.
Meanwhile, the outlook for U.S. equity markets was downbeat. The Dow futures pointed to a drop of 0.15%, the S&P 500 futures shed 0.15%, while the Nasdaq 100 futures slumped 0.15%.