Johnson & Johnson beat analysts’ expectations for both first-quarter revenue and profit. The better-than-expected period was driven by solid performances by the company’s pharma products, while baby care continued to be a drag on its numbers. (CNBC)

In a blockbuster study for Merck, lung cancer patients’ odds of survival were greatly improved when they took Keytruda in addition to standard chemotherapy. Compared with a group that only received chemotherapy, patients in the combo group were 51% more likely to be alive after one year. (STAT)

Amazon has scrapped its plan to distribute pharmaceutical products to hospitals, choosing to concentrate on selling medical supplies. The decision underscores the industry’s complexity: Amazon was reportedly unable to convince hospitals to change their buying practices. Shares of drug suppliers were up on the news. (CNBC)

The FDA is working to develop regulatory approval processes for AI software and algorithms used to treat disease, FDA Commissioner Scott Gottlieb said in a tweet. The agency is already working with sponsors, researchers, providers, and consumers to address questions about safety and efficacy. (Twitter)

General Electric has launched manufacturing units for producing virus-based medicine. The company said it expects its gene and cell therapy division to generate $1 billion a year by 2025. (Reuters)