Johnson & Johnson’s stock fell 1.4% early Tuesday, after the healthcare company posted better-than-expected profit for the first quarter but sales that fell slightly short of expectations.
The New Brunswick, N.J.-based company had net income of $5.354 billion, or $2.20 a share, for the quarter, after a loss of $491 million, or 19 cents a share, in the year-earlier period. Adjusted per-share earnings came to $2.71, ahead of the $2.64 FactSet consensus.
Sales rose 2.3% to $21.383 billion from $20.894 billion a year ago, just below the $21.390 billion FactSet consensus.
By division, sales at the innovative medicine segment rose 1.1% to $13.562 billion, while sales at the medtech division rose 4.5% to $7.821 billion and worldwide sales.
The company, which spun out its consumer-healthcare business last year into a separate company called Kenvue Inc., tweaked its full-year guidance to raise the midpoint for adjusted EPS.
It is now expecting full-year sales to range from $88.0 billion to $88.4 billion, compared with guidance offered in January of $87.8 billion to$88.6 billion, for a midpoint that’s unchanged at $88.2 billion.
It expects adjusted EPS of $10.60 to $10.75, compared with earlier guidance of $10.55 to $10.75, raising the midpoint to $10.68 from $10.65.
Separately, the company said it’s raising its quarterly dividend by 4.2% to $1.24 a share. The new dividend is payable June 4 to shareholders of record as of May 21.
The stock has fallen 5.8% in the year to date, while the S&P 500 has gained 6%.