WASHINGTON, April 17 (UPI) -- Johnson and Johnson's first quarter earnings soundly beat Wall Street's expectations, but analysts expressed concern about the company going forward due to the safety issues revolving around anemia and stent products.

Bank of America analyst Glenn Novarro called the performance "a statement quarter" that reflects the company's broad portfolio.

However, Novarro questioned J&J's failure to update its 2007 earnings guidance.

"We note that investors will be paying particular attention to this update, given the recent concerns over Procrit, the relatively slow launch of Invega and lingering concerns over the contracting drug-eluting stent market," Novarro stated in a research report.

J&J said Tuesday its earnings per share for the first quarter came in at $1.16, an increase of 17 percent and significantly above Wall Street's consensus estimate of $1.05.

Top-line sales totaled $15 billion, also more than the consensus forecast of $14.4 billion. Global pharma sales rose 11 percent to $6.2 billion, with $4 billion of that coming in the United States.

Global sales of Procrit/Eprex rose only 4 percent to $817 million, while U.S. sales saw a 1 percent increase to $530 million.

Sales of medical devices and diagnostics rose 6 percent to $5.32 billion, but Cordis, which makes the Cypher stent, had disappointing sales in the United States. Cordis sales were down 14 percent to $928 million, including a 20 percent dip in U.S. sales to $424 million. J&J did not break out Cypher sales individually.

Consumer sales shot up 49 percent to $3.5 billion, primarily due to acquisition of Pfizer's consumer division.

"Our solid first-quarter results demonstrate the strength of our broadly based businesses, especially the strong performance of our pharmaceutical business," said William Weldon, J&J's chairman and CEO.

"Our strategy of being broadly based continues to serve us well and is one of the keys to our consistent long-term performance," Weldon added.

The company said in a statement, "Sales growth reflects the strong performance of Topamax, an anti-epileptic and a treatment for the prevention of migraine headaches; Levaquin, an anti-infective, and our anti-psychotic franchise, which includes Risperdal, Risperdal Consta and Invega."

Topamax had worldwide sales that spiked 30 percent to $610 million, including $501 million in the United States.

Global Levaquin sales rose 18 percent to $475 million, including a 50- percent increase outside of the United States to $15 million.

The combined global sales of the company's anti-psychotic products climbed 16 percent to $1.18 billion. This included a 21-percent spike in U.S. sales to $710 million.

J&J also emphasized the European Commission granted Prezista, a protease inhibitor for HIV infection, conditional marketing authorization during the quarter. In addition, both Levaquin and Risperdal were granted 6 months of pediatric exclusivity by the FDA.

On the consumer side, the company said sales growth reflected strong performances of several products, including reformulated Tylenol over-the-counter upper respiratory products, Listerine, the Benadryl line of allergy products, Rogaine and Visine eye care products.

The company's ulcer drug Aciphex is still facing a patent challenge from Teva and Dr. Reddy's. A trial in which the generic challenges allege inequitable conduct committed by J&J's marketing partner Eisai recently concluded, but a decision has not yet been issued.

Credit Suisse analyst Catherine Arnold, who anticipates a decision in the trial by May 15, expects J&J/Eisai to prevail.

"Following discussion with outside patent counsel, our counter-consensus view is that the facts and law support Eisai's position that the patent for the ulcer drug Aciphex (rabeprazole) was not obtained by inequitable conduct," Arnold stated in a research report.

She forecasts Aciphex will generate $1.3 billion in Aciphex sales this year. Aciphex/Pariet sales for the first quarter were up 10 percent to $336 million.

However, Arnold rated J&J "underperform" overall due to concerns "that schizophrenia, anemia and stent revenues will disappoint in 2007 leading to down-revisions to 2008-2011 EPS."

J&J shares closed Tuesday, up 2.4 percent, at $64.55.