Fueled by a 20 per cent sales jump in its prescription drugs business, Johnson & Johnson posted a 3 per cent increase in second-quarter profit.

Still, the world's biggest maker of health care products trimmed its forecast for 2018.

J&J's prescription medicine business, which had lagged its medical device business until a couple years ago, accounted for half its US$20.83 billion in total revenue.

That business has prospered from wider use of its cancer and immune disorder medicines and its US$30 billion acquisition of Swiss drugmaker Actelion last year. That deal brought J&J Opsumit and other drugs for high blood pressure in the lungs, a business that could hit US$2.5 billion in sales this year.

The New Brunswick, New Jersey, company on Tuesday reported net income of US$3.95 billion, or US$1.45 per share, up from US$3.83 billion, or US$1.40 per share, a year ago.

Adjusted for one-time gains and costs, earnings came to US$2.10 per share, or 4 cents better than Wall Street had expected, according to a survey by Zacks Investment Research.

The US$20.83 billion in revenue, up from US$18.84 billion in the year-ago quarter, also topped analyst expectations for US$20.21 billion.

The results come on the heels of a US$4.69 billion jury verdict against J&J last Thursday in a 22-plaintiff lawsuit alleging its iconic Johnson's baby powder contained asbestos and caused their ovarian cancer. J&J plans to appeal that verdict and is fighting about 9,100 lawsuits alleging that talc in its baby powder and Shower to Shower caused ovarian cancer or mesothelioma, despite significant evidence that talc, an inert element, is safe.

Prescription drug revenue totalled US$10.35 billion, while medical devices and diagnostics products brought in US$6.97 billion, up 3.7 per cent. That segment is now entering the third year of a restructuring program that's included several divestitures.

Sales of the immune disorder drug Stelara, used to treat psoriasis and Crohn's disease, jumped 36 per cent, to US$1.34 billion. That made it J&J's top earner, toppling longtime bestseller Remicade, for rheumatoid arthritis and five other immune disorders. Remicade's revenue dropped nearly 14 per cent, to US$1.32 billion, as cheaper "biosimilar" near-copies of the expensive injected biologic drug increasingly erode its sales.

Meanwhile, three of J&J's cancer drugs -- Darzalex and Velcade for multiple myeloma, and Zytiga for prostate cancer -- saw sales skyrocket, each rising between 37 per cent and 71 per cent. Fueled by approvals for additional uses or patient groups, J&J's oncology medicines are now on pace to bring in nearly US$10 billion this year.

However, J&J's diabetes drug Invokana posted a 27 per cent revenue plunge, to US$216 million, amid pressure from insurers for lower prices in that fiercely competitive category.

Consumer health products such as Band-Aids and Neutrogena skin care products saw sales edge up 0.7 per cent, to US$3.5 billion. Sales rose 6 per cent to US$1.07 billion for nonprescription drugs such as Tylenol pain reliever and Benadryl allergy pills, but sales of baby care items such as No More Tears shampoo dropped nearly 8 per cent to US$494 million. J&J is launching a new promotional campaign for that business.

Johnson & Johnson said it now expects full-year earnings between US$8.07 and US$8.17 per share, down a bit from its April forecast for US$8 to US$8.20 per share. It now anticipates revenue between US$80.5 billion and US$81.3 billion, down from its prior forecast of US$81 billion to US$81.8 billion.

Analysts are expecting US$81.2 billion in sales and earnings per share of US$8.10, on average.

In premarket trading, shares rose slightly.