J&J sees device growth via new products, emerging markets
By Bill Berkrot
(Reuters) - Johnson & Johnson (JNJ.N: Quote) said on Thursday it would file for approvals of more than 30 major products by the end of 2016 as it looks to restore growth to a medical device division that has been overshadowed by its drugs business.
The diversified healthcare company said it was positioned for growth through new products and would place significant focus on fast-growing emerging markets, particularly China and Russia.
"We are capitalizing on our established footprint to grow and expand our overall business (in China)," Chief Financial Officer Dominic Caruso said during a device business review for analysts and investors at its New Jersey headquarters.
J&J said it signed an exclusive agreement with Nova Biomedical Corp to sell blood glucose testing systems to hospitals in China, which account for about 60 percent of diabetes care in the country.
The company also said there is a large need for minimally invasive surgical products for lung cancer surgeries in China that it believes it can address.
Michel Orsinger, head of global orthopedics, said 40 percent of projected future growth from his division will come from emerging markets.
In Russia, building the vision care business will be a priority, the company said.
J&J is hoping to jumpstart growth in the device and diagnostics business that saw flat first-quarter sales of $7.06 billion. Its pharmaceuticals division by comparison grew nearly 11 percent in the first quarter. Continued...