Johnson & Johnson has today raised its annual adjusted profit forecast, but stuck to its Covid-19 vaccine sales target of $2.5 billion as it works through production challenges that have resulted in delays.
The drugmaker had earlier this year faced quality problems at a Baltimore manufacturing facility that produces the single-dose vaccine, resulting in wastage of millions of doses.
The vaccine has the lowest uptake in the US at a time when rivals Moderna and Pfizer are signing up supply deals for booster doses in 2022 and beyond.
The J&J shot, once touted an as important tool for vaccinating hard-to-reach areas, is behind its schedule for deliveries in the US and Europe.
Meanwhile, a decision by the US Food and Drug Administration on booster doses of the vaccine is pending.
The company said it missed Wall Street estimates for third-quarter sales, setting the tone for results from other pharma companies and medical devices makers.
Sales in its medical devices unit rose 8% to $6.64 billion in the third quarter, as a restart of hip and knee surgeries and other non-urgent procedures helped offset weak demand for medical devices used in sports and spine procedures.
But the unit missed the analyst estimates of $6.87 billion.
Excluding items, J&J earned $2.60 per share, beating expectations of $2.35 per share, according to Refinitv data.
J&J lifted its 2021 forecast for adjusted earnings per share to between $9.77 and $9.82, from its prior estimates of $9.60 to $9.70.
Overall sales of $23.34 billion missed expectations of $23.72 billion.
