Friday, July 31, 2015

J&J to report earnings Tuesday morning

Some analysts are projecting better returns this quarter, but it will be interesting what company officials say about legal setbacks in state Medicaid Risperdal cases.

J&J to report earnings Tuesday morning

0 comments

Johnson & Johnson will report first quarter earnings Tuesday morning before the stock market opens in New York and then host a conference call with Wall Street analysts, and it will be interesting to see if company officials are questioned about legal losses in Risperdal litigation.

Dominic Caruso, the J&J chief financial officer, and Louise Mehrotra, the vice president of investor relations, will host the call.

Invited analysts can ask questions. Media can listen but can't ask questions.

Some pre-announcement prognostication suggested J&J will do better financially than it did in the fourth quarter of 2011.

J&J suffered a legal defeat in Arkansas last week, when a judge whacked the company with a penalty of $1.2 billion for illegal marketing of the antipsychotic drug Risperdal through that state's Medicaid program. That was the third loss in state cases, though appeals are pending. The company also paid $158 million to settle the case in Texas, which originated with a whistleblower lawsuit by former Pennsylvania state investigator Allen Jones.

Anne Mulcahy, the former Xerox CEO and current J&J board member, tried to play down the impact in an appearance the other morning on CNBC's Squawk Box. She dismissed it by suggesting it would be reduced on appeal. The judge in the case said, according to reports from Arkansas, that the amount could not be reduced through the appeal process.

Regardless, the judge's decision might spur the federal government to push harder in its ongoing litigation with J&J over Risperdal.

The U.S. Attorney in Boston asked a judge to compel incoming CEO Alex Gorsky to give a deposition in the case since Gorsky was in charge of the Janssen subsidiary that marketed Risperdal.

0 comments
We encourage respectful comments but reserve the right to delete anything that doesn't contribute to an engaging dialogue.
Help us moderate this thread by flagging comments that violate our guidelines.

Comment policy:

Philly.com comments are intended to be civil, friendly conversations. Please treat other participants with respect and in a way that you would want to be treated. You are responsible for what you say. And please, stay on topic. If you see an objectionable post, please report it to us using the "Report Abuse" option.

Please note that comments are monitored by Philly.com staff. We reserve the right at all times to remove any information or materials that are unlawful, threatening, abusive, libelous, defamatory, obscene, vulgar, pornographic, profane, indecent or otherwise objectionable. Personal attacks, especially on other participants, are not permitted. We reserve the right to permanently block any user who violates these terms and conditions.

Additionally comments that are long, have multiple paragraph breaks, include code, or include hyperlinks may not be posted.

Read 0 comments
 
comments powered by Disqus
About this blog
David Sell blogs about the region's pharmaceutical industry. Follow him on Facebook.

For Inquirer.com. Portions of this blog may also be found in the Inquirer's Sunday Health Section.

Reach David at dsell@phillynews.com.

David Sell
Also on Philly.com:
letter icon Newsletter