Johnson & Johnson 4Q profit rises 14 percent

NEW YORK -- Health care products maker Johnson & Johnson's fourth-quarter profit rose 14 percent, topping Wall Street forecasts, but the company expects weaker results in 2009.

New Brunswick, N.J.-based J&J earned $2.71 billion, or 97 cents per share, up from $2.37 billion, or 82 cents per share, during the same period a year prior. Revenue fell 4.9 percent to $15.18 billion from $15.96 billion.

Excluding charges and gains, the company said it earned 94 cents per share. Analysts polled by Thomson Reuters expected profit of 92 cents per share on revenue of $15.93 billion. The one-time items included a $225 million after-tax gain from litigation settlements.

Looking ahead, J&J said it expects 2009 profit between $4.45 to $4.55 per share. Analysts expect profit of about $4.61 per share.

However, Johnson & Johnson noted that the analysts estimate excludes the impact of acquiring cosmetic product and breast implant maker Mentor Corp., a deal expected to close in January that will dilute earnings by 3 cents to 5 cents. Johnson & Johnson included that impact in its forecasts.

The revenue drop, a rarity for J&J, was led by an 11 percent plunge in pharmaceutical sales to $5.7 billion. That decline was partly a result of a 66.5 percent drop in sales of the antipsychotic Risperdal, which now has generic competition.

Medical-device sales fell by 2 percent, to $5.6 billion. Consumer products eked out a 1.2 percent increase in sales to $3.9 billion, helped by the launch of allergy treatment Zyrtec as an over-the-counter medicine.

For the full year, net income jumped 22 percent, to $12.95 billion, while revenue rose 4.3 percent, to $63.75 billion.

Johnson & Johnson shares fell slightly, down 39 cents to $57.05.