The worse news from J&J is that the company cut its full-year adjusted EPS forecast from a range of $5.07 to $5.17 to one of $5.00 to $5.07. The revised guidance “reflects the negative impact of recent currency movements, partially offset by the positive contribution from the Synthes acquisition.” J&J’s $19.7 billion purchase of orthopedic device maker Synthes closed in the second quarter.
The effect of a stronger dollar hit J&J hard, costing the company’s consumer division 5.2% of revenue, and international sales a negative impact of 8%. Currency impacts also hit the medical devices and diagnostics group, lowering global sales by 3.5% and international sales by 6.2%.
J&J shares are up about 0.3% in pre-market trading at $68.67 in a 52-week range of $59.08 to $68.74.
Paul Ausick
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