J&J's 4th-qtr 2008 profit jumps 14% as cost cutting helps offset drop in drug sales

Johnson & Johnson's fourth-quarter 2008 profit jumped 14% year-on-year to $2.71 billion, or $0.97 a share, thanks to savings achieved from job  cuts and rising turnover of consumer products, which helped offset a  fall in drug sales.

However, the New Jersey, USA-based health care giant's full-year 2008  results were below analyst expectations, with net income of $4.45 to  $4.55 a share.

J&J's full-year 2008 sales totaled $63.7 billion, an increase of 4.3%,  as profit reached $12.9 billion, or $4.57 per share. Net earnings  included special items related to in-process R&D charges of $181.0  million with no tax benefit and an after-tax gain of $229.0 million  representing the net impact of litigation settlements in the fourth  quarter.