Johnson & Johnson Pharmaceutical Pipeline Review

Dow component Johnson & Johnson Inc. (NYSE: JNJ) recently reported 4Q07 earnings of $0.88 and FY07 EPS of $4.15, a 10% increase from 2006 and $0.02 above analysts estimates (see conference call transcript). I will take this time to provide you with an overview of the company's pharmaceutical portfolio and its outlook for FY08.

In 2007, pharmaceutical sales increased 4% overall (6% ex-US).

Existing Drugs

1) Topamax - Strong 2007 performer, approval for epilepsy treatment in 2007, boost from usage as migraine prevention, mostly US, generic competition in 2009?

2) Levaquin - Strong 2007 performer, growth in international sales buoyed 2007 revenues, increased competition in the US

3) Risperdal (Consta and Invega) - Strong 2007 performer, but older version hurt by generic competition in international markets, patent being challenged by generics in US.

4) Remicade - Strong 2007 performer, increased competition
from other biologics, strong international growth

5) Aciphex - Strong 2007 performer, patent being challenged by generics

6) Concerta - Strong 2007 performer, possible generic in the wings as JNJ asks FDA for clinical trials

7) Velcade - Strong 2007 performer, pending EU approval for use on multiple myeloma

8) Eprex/Procrit - 12% decline in revenue, safety concerns, competition (Amgen/Aranesp), competition in Europe (Roche/Mircera), Medicare restrictions

9) Duragesic - generic competition started in 2007

10) Ultracet - generic competition started in 2007

11) Sporanox - generic competition started in 2007

12) Ortho Tri-Cyclen - huge competition for oral contraceptives, patent being challenged by generics

13) Razadyne - patent being challenged by generics

Drug Pipeline

1) Doribax - approved in October 2007 for UTIs, pending for pneumonia, and on all accounts in EU

2) Intelence - HIV/AIDS drug approved this month

3) A schizophrenia drug coming online possible Fall 2008

4) Depoxetene in Europe for premature ejaculation, possible 2008 market date

5) Cefpobritole for complicated skin infections and pneumonia, possible 2008 market date

6) A drug for plaque psoriasis, possible 2008 market date

7) Tapentadol filing for approval in 2008

8) Rivaroxaban for knee and hip replacement patients filing in 2008

9) A drug to treat RA , filing for approval in 2008

10) Telaprevir for hep C, filing for approval in 2010

11) An oral factor Xa inhibitor strong Phase III results

Feel free to post updates or corrections.

Comments

[mazhar:]

I wanted to know more about the early stage pipeline (Phase 1 & 2) for J&J, any information regarding that would be highly appreciated...thanks

2008 Mar 12 05:15 PM