Pharmaceutical company Johnson & Johnson (NYSE:JNJ) is set to report its fourth-quarter results on Wednesday, facing one of the most important transitions in its modern history, as investors focus on whether the company can replace revenue from its former immunology powerhouse, Stelara.
J&J Faces Patent Cliff
For years, Stelara ranked among J&J’s largest products, generating close to $10 billion annually at its peak. That dominance is now fading as biosimilar versions enter the U.S. market following the loss of exclusivity.
During its recent third-quarter results, the company reported a 42% year-over-year decline in sales, which it attributed to “the impact of biosimilar competition,” while pointing to a collection of newer therapies, which it said can help offset this erosion.
Management highlighted that its Oncology drug Darzalex has become …