Johnson & Johnson Tops Profit Estimates, But Sales Fall Short

Johnson & Johnson shares rose 0.6% premarket after the company beat profit estimates for its second quarter, but fell short on sales. The consumer goods company said it had net income of $3.8 billion, or $1.40 a share, in the second quarter, down from $3.9 billion, or $1.43 a share, in the year-earlier period. Excluding one-time charges, per-share earnings came to $1.83, ahead of the FactSet consensus of $1.79. Sales rose to $18.8 billion from $18.5 billion, below the FactSet consensus of $18.9 billion. The company raised its guidance for the full year and now expects sales of $75.8 billion to $76.1 billion. The current FactSet consensus is for full-year sales of $75.7 billion. The company set EPS guidance for the year of $7.12 to $7.22 a share, compared with a FactSet consensus of $7.11. The stock is up 15% in 2017, while the Dow Jones Industrial Average has gained 9.5% and the S&P 500 has gained 10%.