J&J posts higher 2Q net income despite recalls

July 20, 2010 5:50:21 AM PDT
Healthcare giant Johnson & Johnson posts a 7.5 percent increase in second-quarter income despite ongoing recalls of popular nonprescription medicines which keep sales flat.

Johnson & Johnson, which has recalled tens of millions of containers of Tylenol other products, says its net income for the quarter was $3.45 billion, or $1.23 per share. That's up from $3.21 billion, or $1.15 per share, a year earlier.

Excluding a one-time charge, earnings per share were $1.21.

The maker of Band-Aids, birth control and biotech drugs just matched analysts' forecast for earnings per share. But with revenue of $15.33 billion, the company came in $300 million below analysts' forecasts.

J&J also reduced its profit forecast for the year by 15 cents a share.