Here are some of the numbers from the earnings release:
- Profit is up 1.1% to $3.35bn ($1.20 per share) from $3.31 ($1.17) last year. Cost cutting, which includes 900 jobs lost, helped.
- Forecast for annual earnings is also raised to between $4.54 and $4.59 from $4.45 to $4.55 a share.
- Revenue declined by 5.3% to $15.08 billion, with 2.5 percentage points of the decline coming from currency effects. Sales from the US were lower by 8.1% while those from outside lost 2.5%.
- Drug sales were hurt by competition from generic drugs, proving the cutback on spending by consumers. Sales fell 14% to $5.3bn and that includes almost 20% drop in JNJ’s antypsychotic drug Risperdal and Topamax for migraine.
- The decline in drug sales was offset by an increase in sales of medical device, whose revenue rose 2.3% to $5.8bn. Excluding currency effects, they’re at a lower rate of 4.1%.
CEO William Weldon comments:
“We continue to successfully manage our broad base of businesses and deliver solid earnings despite the impact of patent expirations and the challenges posed by the current economic environment.”
He further notes:
“We completed multiple acquisitions and strategic collaborations and received several new product approvals in the quarter that will benefit patients worldwide and drive future growth.”
Intel probably reports after the bell and before the opening bells tomorrow is JP Morgan’s turn.