Earnings per share of Johnson & Johnson in 2007 has shown some steady growth in the fourth quarter. The company has done good business worldwide in 2007 and expanded its market. As a result of this huge rise in the sale, the company also done well in the stock markets too.
Johnson & Johnson has a number of products for baby care, wound care, skin care, nutritional products etc. Apart from all these, the company has its pharmaceutical segment that is responsible for offering products in the therapeutic field. The company is also involved in a number of activities that are related to the development of all these products.
For the purpose of introducing new medicines and modifying the existing products, the company carries out extensive research. These activities are very helpful in the expansion of business and at the same time, they are also responsible for the growth of the earnings per share of Johnson & Johnson. According to the 2007 fourth quarter financial results of Johnson & Johnson, the company recorded a 16.6% growth in the sales in comparison to the fourth quarter sales in 2006.
At the same time, the company has also increased its operational growth by nearly 11.9% and the currency contribution was 4.7%.
On the other hand, the domestic sales of Johnson & Johnson as well as the international sales of the company have also increased and it was around 9.1% for the domestic and 25.8% in the international markets. The diluted earnings per share of Johnson & Johnson in the fourth quarter was $0.82 and there was an increase of 10.8% in comparison to the same period in 2006. Further, if the special items are excluded, the company earned $2.5 billion and provided $0.88 as earnings per share.
Although the fourth quarter of 2007 was very good for the company, the transaction reports for the whole year shows some downfall in the income. The net income for the company in the whole year was nearly 10.6 billion dollars and the earnings per share of Johnson and Johnson in 2007 was about $3.63. Both these were lower than 2006 by 4.3% and 2.7% respectively.