Johnson & Johnson reported its fourth-quarter and full-year earnings report for 2022 on Thursday. The company reported sales of $23.7 billion, a 4.4% year-over-year decrease. The decrease was mainly attributed to unfavorable foreign exchange and decreased sales of Covid-19 vaccines.
The company's earnings per share (EPS) outlook was seen to be above estimates, however, the company cautioned investors to expect sales and earnings to be relatively flat in the first half of 2023. This is due to the decreased demand for Covid-19 vaccines and the uncertainty of the current health crisis.
Despite the decrease in sales, Johnson & Johnson was able to post a net income of $7.8 billion, up from $7.2 billion in the same quarter of 2021. This increase was mainly attributed to strong performance in its consumer and pharmaceutical segments.
On the stock front, Johnson & Johnson's shares have been trading higher premarket after the company reported strong fourth-quarter results and an EPS outlook seen above estimates. The company's stock is currently trading at around $165.
Yahoo Finance's Anjalee Khemlani joined the Live show to discuss fourth-quarter earnings for Johnson & Johnson. She noted that investors were encouraged by the company's performance, despite a decrease in sales. She also noted that investors should continue to watch for any news or updates related to the Covid-19 pandemic, as this could have a significant effect on the company's sales.
The CNBC Investing Club gives investors a behind-the-scenes look at how Jim Cramer manages an investment portfolio so you can manage your own investment better. Jim Cramer noted that Johnson & Johnson is a "great long-term play" for investor portfolios, and a stock to watch in the near future.
In conclusion, Johnson & Johnson reported a 4.4% decrease in sales in its fourth-quarter and full-year earnings report for 2022. Despite this, the company was able to post a net income of $7.8 billion, up from $7.2 billion in the same quarter of 2021. The company's stock continues to be attractive to investors due to its strong performance in its consumer and pharmaceutical segments.