Johnson & Johnson Reports Q2 2022 Results

Rhea-AI Summary

Johnson & Johnson (NYSE: JNJ) reported a 3.0% increase in total sales to $24.0 billion for Q2 2022, with operational growth of 8.0%. Adjusted earnings per share (EPS) rose 4.4% to $2.59, despite a 23.4% drop in diluted EPS to $1.80. The company maintains its 2022 guidance, reflecting resilience amid economic challenges. Regional growth was driven by Pharmaceutical sales, which surged 12.4%, while Consumer Health and MedTech faced declines. Currency fluctuations impacted reported results.

Positive

• Total sales increased 3.0% to $24.0 billion.
• Adjusted EPS rose 4.4% to $2.59.
• Pharmaceutical segment sales grew 12.4%, driven by key products.

Negative

• Diluted EPS decreased 23.4% to $1.80.
• Consumer Health segment sales fell 1.3%.
• MedTech segment experienced a 1.1% decline.

• Total sales growth of 3.0% to $24.0 Billion with operational growth of 8.0%* and adjusted operational growth of 8.1%*
• Earnings per share of $1.80 decreasing 23.4% and adjusted earnings per share of $2.59 increasing 4.4%*
• Company maintaining 2022 full-year guidance at midpoints for adjusted operational sales and adjusted operational earnings per share; strengthening U.S. dollar impacting estimate for reported results

NEW BRUNSWICK, N.J.--(BUSINESS WIRE)-- Johnson & Johnson (NYSE: JNJ) today announced results for second-quarter 2022. “Our solid second quarter results across Johnson & Johnson reflect the strength and resilience of our Company’s market leadership in the midst of macroeconomic challenges,” said Joaquin Duato, Chief Executive Officer. “I am continually energized by the focus and passion of my Johnson & Johnson colleagues and their dedication toward delivering transformative healthcare solutions to patients and consumers around the world.”

OVERALL FINANCIAL RESULTS

	Q2
($ in Millions, except EPS)	2022		2021		% Change
Reported Sales	$24,020		$23,312		3.0%
Net Earnings	4,814		6,278		(23.3)%
EPS (diluted)	$1.80		$2.35		(23.4)%
	Q2
Non-GAAP* ($ in Millions, except EPS)	2022		2021		% Change
Operational Sales1,2					8.0%
Adjusted Operational Sales1,3					8.1%
Adjusted Net Earnings1,4	6,912		6,625		4.3%
Adjusted EPS (diluted)1,4	$2.59		$2.48		4.4%

¹ Non-GAAP financial measure; refer to reconciliations of non-GAAP financial measures included in accompanying schedules
² Excludes the impact of translational currency
³ Excludes the net impact of acquisitions and divestitures and translational currency
⁴ Excludes intangible amortization expense and special items
Note: values may have been rounded

REGIONAL SALES RESULTS

Q2						% Change
($ in Millions)		2022		2021		Reported		Operational1,2		Currency		Adjusted Operational1,3
U.S.		$12,197		$11,919		2.3%		2.3		-		2.4
International		11,823		11,393		3.8		13.9		(10.1)		14.2
Worldwide		$24,020		$23,312		3.0%		8.0		(5.0)		8.1

¹ Non-GAAP financial measure; refer to reconciliations of non-GAAP financial measures included in accompanying schedules
² Excludes the impact of translational currency
³ Excludes the net impact of acquisitions and divestitures and translational currency
Note: Values may have been rounded

SEGMENT SALES RESULTS

Q2						% Change
($ in Millions)		2022		2021		Reported		Operational1,2		Currency		Adjusted Operational1,3
Consumer Health4		$ 3,805		$ 3,854		(1.3)%		2.3		(3.6)		2.9
Pharmaceutical4		13,317		12,480		6.7		12.3		(5.6)		12.4
MedTech		6,898		6,978		(1.1)		3.4		(4.5)		3.4
Worldwide		$ 24,020		$ 23,312		3.0%		8.0		(5.0)		8.1

¹ Non-GAAP financial measure; refer to reconciliations of non-GAAP financial measures included in accompanying schedules
² Excludes the impact of translational currency
³ Excludes the net impact of acquisitions and divestitures and translational currency
⁴ Certain international OTC products, primarily in China, were reclassified from the Pharmaceutical segment to the Consumer Health segment based on operational changes
Note: Values may have been rounded

SECOND QUARTER 2022 SEGMENT COMMENTARY:

Adjusted operational sales* reflected below excludes the net impact of acquisitions and divestitures and translational currency.

Consumer Health

Consumer Health worldwide adjusted operational sales increased 2.9%*. Major contributors to growth include upper respiratory and analgesic products in the international market of our over-the-counter franchise as well as IMODIUM in digestive health products and NEUTROGENA in international Skin Health/Beauty.

Pharmaceutical

Pharmaceutical worldwide adjusted operational sales grew 12.4%*, driven by DARZALEX (daratumumab), a biologic for the treatment of multiple myeloma, STELARA (ustekinumab), a biologic for the treatment of a number of immune-mediated inflammatory diseases, ERLEADA (apalutamide), a next-generation androgen receptor inhibitor for the treatment of patients with prostate cancer, TREMFYA (guselkumab), a biologic for the treatment of adults living with moderate to severe plaque psoriasis, and for adults with active psoriatic arthritis, and INVEGA SUSTENNA/XEPLION and INVEGA TRINZA/TREVICTA (paliperidone palmitate), long-acting, injectable atypical antipsychotics for the treatment of schizophrenia in adults. Also contributing to growth were sales of the Janssen COVID-19 Vaccine (Ad26.COV2.S) for the prevention of the SARS-CoV-2 virus. This growth was partially offset by declines in sales of REMICADE (infliximab), a biologic approved for the treatment of several immune-mediated inflammatory diseases and IMBRUVICA (ibrutinib), an oral, once daily therapy approved for use in treating certain B-cell malignancies, a type of blood or lymph node cancer.

MedTech

MedTech worldwide adjusted operational sales grew 3.4%*, driven primarily by contact lenses and surgical vision products in our Vision franchise, and electrophysiology products in our Interventional Solutions business. Growth was partially offset by COVID-19 related mobility restrictions in certain regions.

NOTABLE NEW ANNOUCEMENTS IN THE QUARTER:

The information contained in this section should be read in conjunction with Johnson & Johnson’s other disclosures filed with the Securities and Exchange Commission, including its Current Reports on Form 8-K, Quarterly Reports on Form 10-Q and Annual Reports on Form 10-K. Copies of these filings are available online at www.sec.gov, www.jnj.com or on request from Johnson & Johnson. The reader is also encouraged to review all other news releases and information available in the Investors section of the company’s website at news releases, as well as www.factsabouttalc.com, www.factsaboutourprescriptionopioids.com, and www.LTLManagementInformation.com.

Regulatory Decisions	European Commission Grants Conditional Approval of CARVYKTI (ciltacabtagene autoleucel), Janssen’s First Cell Therapy, for the Treatment of Patients with Relapsed and Refractory Multiple Myeloma	(Press Release)
	Janssen Announces U.S. FDA Breakthrough Therapy Designation Granted for Talquetamab for the Treatment of Relapsed or Refractory Multiple Myeloma	(Press Release)
	Janssen Receives Positive CHMP Opinion for IMBRUVICA (ibrutinib) in a Fixed-Duration Combination Regimen for Adult Patients with Previously Untreated Chronic Lymphocytic Leukemia (CLL)	(Press Release)
Other	Johnson & Johnson Appoints Thibaut Mongon as CEO Designate of Planned New Consumer Health Company	(Press Release)
	ETHICON Launches Next Generation ECHELON 3000 Stapler Designed for Exceptional Access and Control	(Press Release)
	Johnson & Johnson Releases 2021 Health for Humanity Report Highlighting Performance on ESG Priorities and Progress Against Public Commitments	(Press Release)
	New Data Show TREMFYA (guselkumab) Binds to Both Inflammatory Cells and Interleukin (IL)-23, Supporting a Hypothesis for a Differentiated Mechanism from Risankizumab	(Press Release)
	Janssen to Highlight Science, Innovation and Advances in Robust Oncology Portfolio and Pipeline Through More Than 60 Data Presentations at ASCO and EHA	(Press Release)

FULL-YEAR 2022 GUIDANCE:

Johnson & Johnson does not provide GAAP financial measures on a forward-looking basis because the company is unable to predict with reasonable certainty the ultimate outcome of legal proceedings, unusual gains and losses, acquisition-related expenses and purchase accounting fair value adjustments without unreasonable effort. These items are uncertain, depend on various factors, and could be material to Johnson & Johnson's results computed in accordance with GAAP.

($ in Billions, except EPS)	July 2022	April 2022
Adjusted Operational Sales1,2,5 Change vs. Prior Year	6.5% – 7.5%	6.5% – 7.5%
Operational Sales2,5 Change vs. Prior Year	$97.3B – $98.3B 6.5% – 7.5%	$97.3B – $98.3B 6.5% – 7.5%
Estimated Reported Sales3,5 Change vs. Prior Year	$93.3B – $94.3B 2.1% – 3.1%	$94.8B - $95.8B 3.8% – 4.8%
Adjusted Operational EPS (Diluted)2,4 Change vs. Prior Year	$10.65 - $10.75 8.7% – 9.7%	$10.60 - $10.80 8.2% – 10.2%
Adjusted EPS (Diluted)3,4 Change vs. Prior Year	$10.00 - $10.10 2.1% – 3.1%	$10.15 - $10.35 3.6% – 5.6%

¹ Non-GAAP financial measure; excludes the net impact of acquisitions and divestitures
² Non-GAAP financial measure; excludes the impact of translational currency
³ Calculated using Euro Average Rate: April 2022 = $1.09 and July 2022 = $1.05 (Illustrative purposes only)
⁴ Non-GAAP financial measure; excludes intangible amortization expense and special items
⁵ Excludes COVID-19 Vaccine
Note: percentages may have been rounded

Other modeling considerations will be provided on the webcast.

WEBCAST INFORMATION:

Johnson & Johnson will conduct a conference call with investors to discuss this earnings release today at 8:30 a.m., Eastern Time. A simultaneous webcast of the call for investors and other interested parties may be accessed by visiting the Johnson & Johnson website. A replay and podcast will be available approximately two hours after the live webcast in the Investors section of the company's website at events-and-presentations.

ABOUT JOHNSON & JOHNSON:

At Johnson & Johnson, we believe good health is the foundation of vibrant lives, thriving communities and forward progress. That’s why for more than 130 years, we have aimed to keep people well at every age and every stage of life. Today, as the world’s largest and most broadly-based health care company, we are committed to using our reach and size for good. We strive to improve access and affordability, create healthier communities, and put a healthy mind, body and environment within reach of everyone, everywhere. We are blending our heart, science and ingenuity to profoundly change the trajectory of health for humanity.

NON-GAAP FINANCIAL MEASURES:

* “Operational sales growth” excluding the impact of translational currency, “adjusted operational sales growth” excluding the net impact of acquisitions and divestitures and translational currency, as well as “adjusted net earnings”, “adjusted diluted earnings per share” and “adjusted operational diluted earnings per share” excluding after-tax intangible amortization expense and special items, are non-GAAP financial measures and should not be considered replacements for, and should be read together with, the most comparable GAAP financial measures. Except for guidance measures, reconciliations of these non-GAAP financial measures to the most directly comparable GAAP financial measures can be found in the accompanying financial schedules of the earnings release and the Investors section of the company's website at quarterly results.

Copies of the financial schedules accompanying this earnings release are available on the company’s website at quarterly results. These schedules include supplementary sales data, a condensed consolidated statement of earnings, reconciliations of non-GAAP financial measures, and sales of key products/franchises. Additional information on Johnson & Johnson, including adjusted income before tax by segment, a pharmaceutical pipeline of selected compounds in late stage development and a copy of today’s earnings call presentation can also be found in the Investors section of the company's website at quarterly results.

NOTE TO INVESTORS CONCERNING FORWARD-LOOKING STATEMENTS:

This press release contains “forward-looking statements” as defined in the Private Securities Litigation Reform Act of 1995 regarding, among other things: future operating and financial performance, product development, market position and business strategy, and the anticipated separation of the Company’s Consumer Health business. The reader is cautioned not to rely on these forward-looking statements. These statements are based on current expectations of future events. If underlying assumptions prove inaccurate or known or unknown risks or uncertainties materialize, actual results could vary materially from the expectations and projections of Johnson & Johnson. Risks and uncertainties include, but are not limited to: economic factors, such as interest rate and currency exchange rate fluctuations; competition, including technological advances, new products and patents attained by competitors; challenges inherent in new product research and development, including uncertainty of clinical success and obtaining regulatory approvals; uncertainty of commercial success for new and existing products; challenges to patents; the impact of patent expirations; the ability of the company to successfully execute strategic plans; the impact of business combinations and divestitures; manufacturing difficulties or delays, internally or within the supply chain; product efficacy or safety concerns resulting in product recalls or regulatory action; significant adverse litigation or government action, including related to product liability claims; changes to applicable laws and regulations, including tax laws and global health care reforms; trends toward health care cost containment; changes in behavior and spending patterns of purchasers of health care products and services; financial instability of international economies and legal systems and sovereign risk; increased scrutiny of the health care industry by government agencies; the Company’s ability to satisfy the necessary conditions to consummate the separation of the Company’s Consumer Health business on a timely basis or at all; the Company’s ability to successfully separate the Company’s Consumer Health business and realize the anticipated benefits from the separation; the New Consumer Health Company’s ability to succeed as a standalone publicly traded company; and risks related to the impact of the COVID-19 global pandemic, such as the scope and duration of the outbreak, government actions and restrictive measures implemented in response, material delays and cancellations of medical procedures, supply chain disruptions and other impacts to the business, or on the company’s ability to execute business continuity plans, as a result of the COVID-19 pandemic. A further list and descriptions of these risks, uncertainties and other factors can be found in Johnson & Johnson’s Annual Report on Form 10-K for the fiscal year ended January 2, 2022, including in the sections captioned “Cautionary Note Regarding Forward-Looking Statements” and “Item 1A. Risk Factors,” and in Johnson & Johnson’s subsequent Quarterly Reports on Form 10-Q and other filings with the Securities and Exchange Commission. Copies of these filings are available online at www.sec.gov, www.jnj.com or on request from Johnson & Johnson. Any forward-looking statement made in this release speaks only as of the date of this release. Johnson & Johnson does not undertake to update any forward-looking statement as a result of new information or future events or developments.

Johnson & Johnson and Subsidiaries
Supplementary Sales Data
(Unaudited; Dollars in Millions)	SECOND QUARTER														SIX MONTHS
						Percent Change														Percent Change
		2022		2021		Total			Operations			Currency				2022		2021		Total			Operations			Currency
Sales to customers by
segment of business
Consumer Health (1)
U.S.	$	1,687		1,751		(3.6	)	%	(3.6	)		-			$	3,244		3,362		(3.5	)	%	(3.5	)		-
International		2,118		2,103		0.6			7.3			(6.7	)			4,147		4,133		0.3			5.7			(5.4	)
		3,805		3,854		(1.3	)		2.3			(3.6	)			7,391		7,495		(1.4	)		1.6			(3.0	)
Pharmaceutical (1)
U.S.		7,159		6,869		4.2			4.2			-				13,791		13,315		3.6			3.6			-
International		6,158		5,611		9.8			22.1			(12.3	)			12,395		11,266		10.0			19.4			(9.4	)
		13,317		12,480		6.7			12.3			(5.6	)			26,186		24,581		6.5			10.8			(4.3	)
Pharmaceutical excluding COVID-19 Vaccine (1,3)
U.S.		7,114		6,818		4.3			4.3			-				13,671		13,164		3.9			3.9			-
International		5,659		5,498		2.9			13.9			(11.0	)			11,514		11,153		3.2			11.9			(8.7	)
		12,773		12,316		3.7			8.6			(4.9	)			25,185		24,317		3.6			7.5			(3.9	)
MedTech (2)
U.S.		3,351		3,299		1.6			1.6			-				6,576		6,353		3.5			3.5			-
International		3,547		3,679		(3.6	)		5.1			(8.7	)			7,293		7,204		1.2			8.0			(6.8	)
		6,898		6,978		(1.1	)		3.4			(4.5	)			13,869		13,557		2.3			5.9			(3.6	)
U.S.		12,197		11,919		2.3			2.3			-				23,611		23,030		2.5			2.5			-
International		11,823		11,393		3.8			13.9			(10.1	)			23,835		22,603		5.5			13.3			(7.8	)
Worldwide		24,020		23,312		3.0			8.0			(5.0	)			47,446		45,633		4.0			7.8			(3.8	)
U.S.		12,152		11,868		2.4			2.4			-				23,491		22,879		2.7			2.7			-
International		11,324		11,280		0.4			9.8			(9.4	)			22,954		22,490		2.1			9.5			(7.4	)
Worldwide excluding COVID-19 Vaccine (3)	$	23,476		23,148		1.4		%	6.0			(4.6	)		$	46,445		45,369		2.4		%	6.1			(3.7	)

Note: Percentages have been calculated using actual, non-rounded figures and, therefore, may not recalculate precisely.

(1) Certain international OTC products, primarily in China, were reclassified from the Pharmaceutical segment to the Consumer Health segment based on operational changes

(2) Previously referred to as Medical Devices

(3) Refer to supplemental sales reconciliation schedule

Johnson & Johnson and Subsidiaries
Supplementary Sales Data
(Unaudited; Dollars in Millions)	SECOND QUARTER													SIX MONTHS
						Percent Change													Percent Change
		2022		2021		Total			Operations		Currency				2022		2021		Total			Operations		Currency
Sales to customers by
geographic area
U.S.	$	12,197		11,919		2.3		%	2.3		-			$	23,611		23,030		2.5		%	2.5		-
Europe		6,085		5,668		7.3			20.7		(13.4	)			12,109		11,082		9.3			20.1		(10.8	)
Western Hemisphere excluding U.S.		1,536		1,367		12.4			14.9		(2.5	)			3,018		2,791		8.1			9.9		(1.8	)
Asia-Pacific, Africa		4,202		4,358		(3.6	)		4.7		(8.3	)			8,708		8,730		(0.2	)		5.6		(5.8	)
International		11,823		11,393		3.8			13.9		(10.1	)			23,835		22,603		5.5			13.3		(7.8	)
Worldwide	$	24,020		23,312		3.0		%	8.0		(5.0	)		$	47,446		45,633		4.0		%	7.8		(3.8	)

Note: Percentages have been calculated using actual, non-rounded figures and, therefore, may not recalculate precisely.

Johnson & Johnson and Subsidiaries
Condensed Consolidated Statement of Earnings
(Unaudited; in Millions Except Per Share Figures)	SECOND QUARTER
	2022							2021							Percent
					Percent							Percent			Increase
	Amount				to Sales			Amount				to Sales			(Decrease)
Sales to customers	$	24,020			100.0			$	23,312			100.0			3.0
Cost of products sold		7,919			33.0				7,587			32.5			4.4
Gross Profit		16,101			67.0				15,725			67.5			2.4
Selling, marketing and administrative expenses		6,226			25.9				6,073			26.1			2.5
Research and development expense		3,703			15.4				3,394			14.6			9.1
Interest (income) expense, net		(26	)		(0.1	)			28			0.1
Other (income) expense, net		273			1.1				(488	)		(2.1	)
Restructuring		85			0.4				56			0.2
Earnings before provision for taxes on income		5,840			24.3				6,662			28.6			(12.3	)
Provision for taxes on income		1,026			4.3				384			1.7			167.2
Net earnings	$	4,814			20.0			$	6,278			26.9			(23.3	)
Net earnings per share (Diluted)	$	1.80						$	2.35						(23.4	)
Average shares outstanding (Diluted)		2,667.9							2,671.6
Effective tax rate		17.6		%					5.8		%
Adjusted earnings before provision for taxes and net earnings (1)
Earnings before provision for taxes on income	$	8,171			34.0			$	7,776			33.4			5.1
Net earnings	$	6,912			28.8			$	6,625			28.4			4.3
Net earnings per share (Diluted)	$	2.59						$	2.48						4.4
Effective tax rate		15.4		%					14.8		%
(1) See Reconciliation of Non-GAAP Financial Measures.

Johnson & Johnson and Subsidiaries
Condensed Consolidated Statement of Earnings
(Unaudited; in Millions Except Per Share Figures)	SIX MONTHS
	2022							2021							Percent
					Percent							Percent			Increase
	Amount				to Sales			Amount				to Sales			(Decrease)
Sales to customers	$	47,446			100.0			$	45,633			100.0			4.0
Cost of products sold		15,517			32.7				14,650			32.1			5.9
Gross Profit		31,929			67.3				30,983			67.9			3.1
Selling, marketing and administrative expenses		12,164			25.6				11,505			25.2			5.7
Research and development expense		7,165			15.1				6,572			14.4			9.0
In-process research and development		610			1.3				-			-
Interest (income) expense, net		(38	)		(0.1	)			76			0.2
Other (income) expense, net		171			0.4				(1,370	)		(3.0	)
Restructuring		155			0.3				109			0.2
Earnings before provision for taxes on income		11,702			24.7				14,091			30.9			(17.0	)
Provision for taxes on income		1,739			3.7				1,616			3.6			7.6
Net earnings	$	9,963			21.0			$	12,475			27.3			(20.1	)
Net earnings per share (Diluted)	$	3.73						$	4.67						(20.1	)
Average shares outstanding (Diluted)		2,669.2							2,674.0
Effective tax rate		14.9		%					11.5		%
Adjusted earnings before provision for taxes and net earnings (1)
Earnings before provision for taxes on income	$	16,389			34.5			$	16,067			35.2			2.0
Net earnings	$	14,041			29.6			$	13,549			29.7			3.6
Net earnings per share (Diluted)	$	5.26						$	5.07						3.7
Effective tax rate		14.3		%					15.7		%
(1) See Reconciliation of Non-GAAP Financial Measures.

Johnson & Johnson and Subsidiaries
Reconciliation of Non-GAAP Financial Measures
	Second Quarter				Six Months Ended
(Dollars in Millions Except Per Share Data)	2022		2021		2022		2021
Net Earnings, after tax- as reported	$4,814		$6,278		$9,963		$12,475
Pre-tax Adjustments
Intangible Asset Amortization expense	1,095		1,202		2,203		2,417
Litigation related	385		(23)		385		(23)
IPR&D	-		-		610		-
Restructuring related	128		108		200		212
Acquisition, integration and divestiture related ¹	-		14		-		(524)
(Gains)/losses on securities	109		(243)		520		(208)
Medical Device Regulation 2	70		56		130		102
COVID-19 Vaccine related costs 3	276		-		276		-
Consumer Health separation costs	268		-		370		-
Other	-		-		(7)		-
Tax Adjustments
Tax impact on special item adjustments 4	(313)		(135)		(706)		(248)
Consumer Health separation tax related costs	2		-		98		-
Tax legislation and other tax related	78		(632)		(1)		(654)
Adjusted Net Earnings, after tax	$6,912		$6,625		$14,041		$13,549
Average shares outstanding (Diluted)	2,667.9		2,671.6		2,669.2		2,674.0
Adjusted net earnings per share (Diluted)	$2.59		$2.48		$5.26		$5.07
Operational adjusted net earnings per share (Diluted)	$2.75				$5.50

		Notes:
1		Acquisition, integration and divestiture related for the six months of 2021 primarily includes the gain on the divestiture of two Pharmaceutical brands outside of the U.S.
2		European Medical Device Regulation (MDR) costs represent one-time compliance costs for the Company’s previously registered products. MDR is a replacement of the existing European Medical Devices Directive regulatory framework, and manufacturers of currently marketed medical devices were required to comply with EU MDR beginning in May 2021. The Company considers the adoption of EU MDR to be a significant one-time regulatory change and is not indicative of on-going operations. The Company has excluded only external third-party regulatory and consulting costs from its MedTech operating segments' measures of profit and loss used for making operating decisions and assessing performance which is expected to be completed by the end of 2023.
3		COVID-19 Vaccine related costs include remaining commitments and obligations, including external manufacturing network exit costs and required clinical trial expenses, associated with the Company's modification of its COVID-19 vaccine research program and manufacturing capacity to levels that meet all customer contractual requirements.
4		The tax impact related to special item adjustments reflects the current and deferred income taxes associated with the above pre-tax special items in arriving at adjusted earnings.

Johnson & Johnson and Subsidiaries
Reconciliation of Non-GAAP Financial Measure
Adjusted Operational Sales Growth
SECOND QUARTER 2022 ACTUAL vs. 2021 ACTUAL
Segments
		Consumer Health		Pharmaceutical		MedTech		Total
WW As Reported		(1.3)%		6.7%		(1.1)%		3.0%
U.S.		(3.6)%		4.2%		1.6%		2.3%
International		0.6%		9.8%		(3.6)%		3.8%
WW Currency		(3.6)		(5.6)		(4.5)		(5.0)
U.S.		-		-		-		-
International		(6.7)		(12.3)		(8.7)		(10.1)
WW Operational		2.3%		12.3%		3.4%		8.0%
U.S.		(3.6)%		4.2%		1.6%		2.3%
International		7.3%		22.1%		5.1%		13.9%
All Other Acquisitions and Divestitures		0.6		0.1		0.0		0.1
U.S.		0.2		0.2		(0.2)		0.1
International		0.8		0.1		0.2		0.3
WW Adjusted Operational		2.9%		12.4%		3.4%		8.1%
U.S.		(3.4)%		4.4%		1.4%		2.4%
International		8.1%		22.2%		5.3%		14.2%

Note: Percentages are based on actual, non-rounded figures and may not sum

Johnson & Johnson and Subsidiaries
Reconciliation of Non-GAAP Financial Measure
Adjusted Operational Sales Growth
SIX MONTHS 2022 ACTUAL vs. 2021 ACTUAL
Segments
		Consumer Health		Pharmaceutical		MedTech		Total
WW As Reported		(1.4)%		6.5%		2.3%		4.0%
U.S.		(3.5)%		3.6%		3.5%		2.5%
International		0.3%		10.0%		1.2%		5.5%
WW Currency		(3.0)		(4.3)		(3.6)		(3.8)
U.S.		-		-		-		-
International		(5.4)		(9.4)		(6.8)		(7.8)
WW Operational		1.6%		10.8%		5.9%		7.8%
U.S.		(3.5)%		3.6%		3.5%		2.5%
International		5.7%		19.4%		8.0%		13.3%
Skin Health / Beauty
Dr. Ci Labo - Sedona		0.5						0.1
U.S.		0.0						0.0
International		0.9						0.2
All Other Acquisitions and Divestitures		0.1		0.1		0.1		0.1
U.S.		0.2		0.1		(0.1)		0.1
International		0.1		0.0		0.2		0.1
WW Adjusted Operational		2.2%		10.9%		6.0%		8.0%
U.S.		(3.3)%		3.7%		3.4%		2.6%
International		6.7%		19.4%		8.2%		13.6%

Note: Percentages are based on actual, non-rounded figures and may not sum

		REPORTED SALES vs. PRIOR PERIOD ($MM)															REPORTED SALES vs. PRIOR PERIOD ($MM)
		SECOND QUARTER															SIX MONTHS
							% Change															% Change
		2022			2021		Reported			Operational (1)			Currency				2022			2021		Reported			Operational (1)			Currency
CONSUMER HEALTH SEGMENT (2,3)
OTC
US		$	663		675		-1.8	%		-1.8	%		-				$	1,333		1,274		4.6	%		4.6	%		-
Intl			818		752		8.8	%		15.9	%		-7.1	%				1,609		1,425		12.9	%		18.6	%		-5.7	%
WW			1,482		1,426		3.8	%		7.5	%		-3.7	%				2,943		2,699		9.0	%		12.0	%		-3.0	%
SKIN HEALTH / BEAUTY
US			629		659		-4.5	%		-4.5	%		-					1,173		1,293		-9.2	%		-9.2	%		-
Intl			497		511		-2.8	%		5.1	%		-7.9	%				965		1,040		-7.2	%		-1.1	%		-6.1	%
WW			1,126		1,170		-3.7	%		-0.3	%		-3.4	%				2,138		2,333		-8.3	%		-5.6	%		-2.7	%
ORAL CARE
US			170		165		3.4	%		3.4	%		-					313		328		-4.6	%		-4.6	%		-
Intl			224		260		-14.1	%		-8.7	%		-5.4	%				447		514		-13.0	%		-8.6	%		-4.4	%
WW			394		426		-7.3	%		-4.0	%		-3.3	%				760		843		-9.7	%		-7.1	%		-2.6	%
BABY CARE
US			88		97		-9.1	%		-9.1	%		-					173		193		-10.3	%		-10.3	%		-
Intl			287		290		-1.0	%		3.7	%		-4.7	%				557		583		-4.4	%		-0.6	%		-3.8	%
WW			375		387		-3.1	%		0.5	%		-3.6	%				730		776		-5.9	%		-3.0	%		-2.9	%
WOMEN'S HEALTH
US			3		3		8.9	%		8.9	%		-					7		6		8.1	%		8.1	%		-
Intl			228		227		0.1	%		7.2	%		-7.1	%				452		446		1.3	%		7.7	%		-6.4	%
WW			230		230		0.2	%		7.2	%		-7.0	%				458		452		1.4	%		7.7	%		-6.3	%
WOUND CARE / OTHER
US			133		153		-12.7	%		-12.7	%		-					245		268		-8.6	%		-8.6	%		-
Intl			65		64		1.7	%		5.2	%		-3.5	%				117		125		-6.6	%		-4.5	%		-2.1	%
WW			197		216		-8.4	%		-7.4	%		-1.0	%				361		393		-8.0	%		-7.3	%		-0.7	%
TOTAL CONSUMER HEALTH
US			1,687		1,751		-3.6	%		-3.6	%		-					3,244		3,362		-3.5	%		-3.5	%		-
Intl			2,118		2,103		0.6	%		7.3	%		-6.7	%				4,147		4,133		0.3	%		5.7	%		-5.4	%
WW		$	3,805		3,854		-1.3	%		2.3	%		-3.6	%			$	7,391		7,495		-1.4	%		1.6	%		-3.0	%
See footnotes at end of schedule

		REPORTED SALES vs. PRIOR PERIOD ($MM)															REPORTED SALES vs. PRIOR PERIOD ($MM)
		SECOND QUARTER															SIX MONTHS
							% Change																% Change
PHARMACEUTICAL SEGMENT (2,3)		2022			2021		Reported			Operational (1)			Currency				2022				2021		Reported			Operational (1)			Currency
IMMUNOLOGY
US		$	2,853		2,748		3.8	%		3.8	%		-				$	5,354			5,161		3.7	%		3.7	%		-
Intl			1,559		1,483		5.1	%		16.2	%		-11.1	%				3,176			2,984		6.4	%		14.9	%		-8.5	%
WW			4,411		4,231		4.3	%		8.1	%		-3.8	%				8,530			8,145		4.7	%		7.8	%		-3.1	%
REMICADE
US			391		540		-27.4	%		-27.4	%		-					749			1,029		-27.1	%		-27.1	%		-
US Exports (4)			44		93		-53.0	%		-53.0	%		-					124			150		-17.5	%		-17.5	%		-
Intl			212		255		-17.2	%		-12.0	%		-5.2	%				437			487		-10.3	%		-6.7	%		-3.6	%
WW			647		888		-27.2	%		-25.6	%		-1.6	%				1,310			1,665		-21.4	%		-20.3	%		-1.1	%
SIMPONI / SIMPONI ARIA
US			301		290		3.8	%		3.8	%		-					588			545		7.9	%		7.9	%		-
Intl			266		294		-9.7	%		0.3	%		-10.0	%				549			601		-8.6	%		-0.8	%		-7.8	%
WW			566		584		-3.0	%		2.0	%		-5.0	%				1,137			1,146		-0.8	%		3.3	%		-4.1	%
STELARA
US			1,731		1,496		15.7	%		15.7	%		-					3,110			2,827		10.0	%		10.0	%		-
Intl			868		778		11.6	%		24.0	%		-12.4	%				1,777			1,595		11.4	%		20.8	%		-9.4	%
WW			2,599		2,274		14.3	%		18.6	%		-4.3	%				4,887			4,422		10.5	%		13.9	%		-3.4	%
TREMFYA
US			382		325		17.7	%		17.7	%		-					773			599		29.1	%		29.1	%		-
Intl			214		155		38.3	%		54.6	%		-16.3	%				413			298		38.6	%		51.4	%		-12.8	%
WW			597		479		24.4	%		29.7	%		-5.3	%				1,187			897		32.3	%		36.6	%		-4.3	%
OTHER IMMUNOLOGY
US			3		5		-50.1	%		-50.1	%		-					9			12		-24.8	%		-24.8	%		-
Intl			0		1		*			*			*					0			3		*			*			*
WW			3		7		-59.2	%		-59.2	%		0.0	%				9			15		-39.0	%		-39.0	%		0.0	%
INFECTIOUS DISEASES
US			415		444		-6.4	%		-6.4	%		-					876			956		-8.3	%		-8.3	%		-
Intl			901		575		56.8	%		79.3	%		-22.5	%				1,737			1,060		63.9	%		79.0	%		-15.1	%
WW			1,316		1,018		29.3	%		42.0	%		-12.7	%				2,613			2,016		29.6	%		37.6	%		-8.0	%
COVID-19 VACCINE
US			45		51		-11.5	%		-11.5	%		-					120			151		-20.4	%		-20.4	%		-
Intl			499		113		*			*			*					881			113		*			*			*
WW			544		164		*			*			*					1,001			264		*			*			*
EDURANT / rilpivirine
US			9		9		-1.7	%		-1.7	%		-					18			19		-7.4	%		-7.4	%		-
Intl			215		253		-14.7	%		-5.4	%		-9.3	%				454			486		-6.5	%		2.2	%		-8.7	%
WW			225		262		-14.3	%		-5.3	%		-9.0	%				473			505		-6.5	%		1.9	%		-8.4	%
PREZISTA / PREZCOBIX / REZOLSTA / SYMTUZA
US			355		368		-3.4	%		-3.4	%		-					724			748		-3.2	%		-3.2	%		-
Intl			110		137		-20.2	%		-10.4	%		-9.8	%				242			303		-20.3	%		-13.4	%		-6.9	%
WW			464		505		-7.9	%		-5.3	%		-2.6	%				965			1,051		-8.1	%		-6.1	%		-2.0	%
OTHER INFECTIOUS DISEASES
US			6		16		-62.5	%		-62.5	%		-					14			37		-62.5	%		-62.5	%		-
Intl			77		71		7.4	%		10.9	%		-3.5	%				160			158		1.3	%		5.8	%		-4.5	%
WW			83		88		-5.4	%		-2.6	%		-2.8	%				174			196		-10.9	%		-7.2	%		-3.7	%

		REPORTED SALES vs. PRIOR PERIOD ($MM)											REPORTED SALES vs. PRIOR PERIOD ($MM)
		SECOND QUARTER											SIX MONTHS
						% Change											% Change
		2022		2021		Reported		Operational (1)		Currency			2022		2021		Reported		Operational (1)		Currency
NEUROSCIENCE
US		896		842		6.5%		6.5%		-			1,739		1,613		7.9%		7.9%		-
Intl		837		963		-13.0%		-4.8%		-8.2%			1,735		1,906		-8.9%		-1.7%		-7.2%
WW		1,734		1,804		-3.9%		0.5%		-4.4%			3,475		3,519		-1.2%		2.7%		-3.9%
CONCERTA / Methylphenidate
US		38		35		9.4%		9.4%		-			73		82		-11.3%		-11.3%		-
Intl		123		127		-2.2%		8.0%		-10.2%			245		250		-1.7%		5.8%		-7.5%
WW		161		161		0.3%		8.3%		-8.0%			318		332		-4.1%		1.5%		-5.6%
INVEGA SUSTENNA / XEPLION / INVEGA TRINZA / TREVICTA
US		691		645		7.3%		7.3%		-			1,352		1,234		9.6%		9.6%		-
Intl		362		380		-4.6%		6.3%		-10.9%			749		756		-0.8%		8.1%		-8.9%
WW		1,054		1,024		2.9%		6.9%		-4.0%			2,102		1,989		5.7%		9.0%		-3.3%
RISPERDAL CONSTA
US		65		72		-8.9%		-8.9%		-			128		139		-7.7%		-7.7%		-
Intl		60		84		-28.0%		-19.0%		-9.0%			126		173		-27.1%		-19.3%		-7.8%
WW		125		155		-19.3%		-14.4%		-4.9%			254		312		-18.4%		-14.1%		-4.3%
OTHER NEUROSCIENCE
US		102		91		11.8%		11.8%		-			186		158		17.6%		17.6%		-
Intl		292		373		-21.8%		-17.2%		-4.6%			615		728		-15.5%		-10.2%		-5.3%
WW		393		464		-15.2%		-11.6%		-3.6%			800		886		-9.6%		-5.2%		-4.4%
ONCOLOGY
US		1,679		1,462		14.9%		14.9%		-			3,261		2,839		14.9%		14.9%		-
Intl		2,362		2,073		14.0%		26.9%		-12.9%			4,731		4,266		10.9%		20.8%		-9.9%
WW		4,042		3,535		14.3%		21.9%		-7.6%			7,992		7,105		12.5%		18.4%		-5.9%
DARZALEX
US		1,021		770		32.6%		32.6%		-			1,974		1,461		35.1%		35.1%		-
Intl		965		663		45.5%		61.9%		-16.4%			1,868		1,337		39.7%		52.2%		-12.5%
WW		1,986		1,433		38.6%		46.1%		-7.5%			3,842		2,798		37.3%		43.3%		-6.0%
ERLEADA
US		233		193		20.6%		20.6%		-			439		364		20.4%		20.4%		-
Intl		218		109		*		*		*			412		199		*		*		*
WW		450		302		49.5%		56.9%		-7.4%			850		563		51.1%		57.2%		-6.1%
IMBRUVICA
US		349		454		-23.1%		-23.1%		-			719		898		-19.9%		-19.9%		-
Intl		620		662		-6.3%		3.6%		-9.9%			1,288		1,342		-4.0%		4.1%		-8.1%
WW		970		1,116		-13.1%		-7.2%		-5.9%			2,008		2,241		-10.4%		-5.6%		-4.8%
ZYTIGA / abiraterone acetate
US		19		21		-12.2%		-12.2%		-			38		71		-47.0%		-47.0%		-
Intl		486		542		-10.2%		1.5%		-11.7%			1,006		1,130		-11.0%		-2.3%		-8.7%
WW		505		563		-10.3%		0.9%		-11.2%			1,044		1,201		-13.1%		-4.9%		-8.2%
OTHER ONCOLOGY
US		57		23		*		*		-			91		44		*		*		-
Intl		72		97		-25.7%		-17.3%		-8.4%			156		258		-39.4%		-34.3%		-5.1%
WW		130		120		7.5%		14.4%		-6.9%			248		302		-18.0%		-13.7%		-4.3%

		REPORTED SALES vs. PRIOR PERIOD ($MM)															REPORTED SALES vs. PRIOR PERIOD ($MM)
		SECOND QUARTER															SIX MONTHS
							% Change															% Change
		2022			2021		Reported			Operational (1)			Currency				2022			2021		Reported			Operational (1)			Currency
PULMONARY HYPERTENSION
US			560		595		-5.8	%		-5.8	%		-					1,132		1,168		-3.1	%		-3.1	%		-
Intl			284		275		2.8	%		15.3	%		-12.5	%				563		563		-0.1	%		9.6	%		-9.7	%
WW			843		870		-3.1	%		0.9	%		-4.0	%				1,695		1,731		-2.1	%		1.1	%		-3.2	%
OPSUMIT
US			265		290		-8.7	%		-8.7	%		-					538		562		-4.3	%		-4.3	%		-
Intl			173		172		0.5	%		13.1	%		-12.6	%				343		351		-2.2	%		7.4	%		-9.6	%
WW			438		463		-5.3	%		-0.6	%		-4.7	%				881		913		-3.5	%		0.2	%		-3.7	%
UPTRAVI
US			272		268		1.4	%		1.4	%		-					541		527		2.6	%		2.6	%		-
Intl			56		45		26.2	%		38.3	%		-12.1	%				112		91		23.5	%		33.4	%		-9.9	%
WW			328		313		4.9	%		6.6	%		-1.7	%				653		618		5.7	%		7.1	%		-1.4	%
OTHER PULMONARY HYPERTENSION
US			23		36		-36.2	%		-36.2	%		-					53		78		-32.3	%		-32.3	%		-
Intl			55		59		-8.1	%		4.8	%		-12.9	%				108		122		-11.7	%		-2.0	%		-9.7	%
WW			78		95		-18.7	%		-10.7	%		-8.0	%				161		200		-19.8	%		-13.9	%		-5.9	%
CARDIOVASCULAR / METABOLISM / OTHER
US			757		780		-3.0	%		-3.0	%		-					1,429		1,579		-9.5	%		-9.5	%		-
Intl			215		241		-10.9	%		-3.4	%		-7.5	%				453		486		-6.9	%		-1.2	%		-5.7	%
WW			972		1,021		-4.8	%		-3.1	%		-1.7	%				1,882		2,065		-8.9	%		-7.5	%		-1.4	%
XARELTO
US			609		569		7.1	%		7.1	%		-					1,117		1,158		-3.5	%		-3.5	%		-
Intl			-		-		-			-			-					-		-		-			-			-
WW			609		569		7.1	%		7.1	%		-					1,117		1,158		-3.5	%		-3.5	%		-
INVOKANA / INVOKAMET
US			55		96		-42.9	%		-42.9	%		-					115		183		-37.1	%		-37.1	%		-
Intl			65		64		2.4	%		10.2	%		-7.8	%				133		127		4.9	%		10.6	%		-5.7	%
WW			120		160		-24.9	%		-21.8	%		-3.1	%				248		310		-19.9	%		-17.6	%		-2.3	%
OTHER
US			93		116		-19.5	%		-19.5	%		-					197		238		-17.2	%		-17.2	%		-
Intl			150		178		-15.6	%		-8.3	%		-7.3	%				320		360		-11.1	%		-5.4	%		-5.7	%
WW			243		293		-17.2	%		-12.7	%		-4.5	%				517		598		-13.5	%		-10.1	%		-3.4	%
TOTAL PHARMACEUTICAL
US			7,159		6,869		4.2	%		4.2	%		-					13,791		13,315		3.6	%		3.6	%		-
Intl			6,158		5,611		9.8	%		22.1	%		-12.3	%				12,395		11,266		10.0	%		19.4	%		-9.4	%
WW		$	13,317		12,480		6.7	%		12.3	%		-5.6	%			$	26,186		24,581		6.5	%		10.8	%		-4.3	%
See footnotes at end of schedule

		REPORTED SALES vs. PRIOR PERIOD ($MM)															REPORTED SALES vs. PRIOR PERIOD ($MM)
		SECOND QUARTER															SIX MONTHS
							% Change														% Change
MEDTECH SEGMENT (2,3,5)		2022			2021		Reported			Operational (1)			Currency				2022		2021		Reported			Operational (1)			Currency
INTERVENTIONAL SOLUTIONS
US		$	525		475		10.5	%		10.5	%		-				1,019		909		12.1	%		12.1	%		-
Intl			525		572		-8.1	%		1.0	%		-9.1	%			1,123		1,086		3.4	%		10.2	%		-6.8	%
WW			1,049		1,046		0.3	%		5.3	%		-5.0	%			2,141		1,995		7.4	%		11.1	%		-3.7	%
ORTHOPAEDICS
US			1,338		1,323		1.1	%		1.1	%		-				2,627		2,572		2.1	%		2.1	%		-
Intl			820		904		-9.3	%		-0.6	%		-8.7	%			1,719		1,768		-2.8	%		4.2	%		-7.0	%
WW			2,157		2,227		-3.1	%		0.5	%		-3.6	%			4,345		4,340		0.1	%		3.0	%		-2.9	%
HIPS
US			240		233		3.4	%		3.4	%		-				465		442		5.2	%		5.2	%		-
Intl			148		159		-6.6	%		1.7	%		-8.3	%			312		305		2.4	%		9.0	%		-6.6	%
WW			388		391		-0.7	%		2.7	%		-3.4	%			777		747		4.1	%		6.8	%		-2.7	%
KNEES
US			216		210		2.9	%		2.9	%		-				417		395		5.6	%		5.6	%		-
Intl			133		140		-4.6	%		3.9	%		-8.5	%			271		272		-0.4	%		6.4	%		-6.8	%
WW			349		350		-0.1	%		3.3	%		-3.4	%			688		667		3.1	%		5.9	%		-2.8	%
TRAUMA
US			464		447		3.9	%		3.9	%		-				939		897		4.7	%		4.7	%		-
Intl			232		263		-11.8	%		-1.7	%		-10.1	%			505		545		-7.4	%		0.3	%		-7.7	%
WW			696		710		-1.9	%		1.8	%		-3.7	%			1,444		1,443		0.1	%		3.0	%		-2.9	%
SPINE, SPORTS & OTHER
US			418		434		-3.7	%		-3.7	%		-				805		838		-3.9	%		-3.9	%		-
Intl			306		343		-10.6	%		-2.5	%		-8.1	%			630		646		-2.4	%		4.2	%		-6.6	%
WW			724		777		-6.8	%		-3.2	%		-3.6	%			1,436		1,484		-3.2	%		-0.4	%		-2.8	%

		REPORTED SALES vs. PRIOR PERIOD ($MM)															REPORTED SALES vs. PRIOR PERIOD ($MM)
		SECOND QUARTER															SIX MONTHS
							% Change															% Change
		2022			2021		Reported			Operational (1)			Currency				2022			2021		Reported			Operational (1)			Currency
SURGERY
US			992		1,035		-4.1	%		-4.1	%		-					1,913		1,933		-1.0	%		-1.0	%		-
Intl			1,458		1,487		-2.0	%		5.9	%		-7.9	%				2,971		2,961		0.3	%		6.2	%		-5.9	%
WW			2,450		2,522		-2.8	%		1.8	%		-4.6	%				4,884		4,894		-0.2	%		3.4	%		-3.6	%
ADVANCED
US			454		459		-1.1	%		-1.1	%		-					871		864		0.8	%		0.8	%		-
Intl			702		708		-0.9	%		6.6	%		-7.5	%				1,431		1,421		0.7	%		6.0	%		-5.3	%
WW			1,156		1,168		-1.0	%		3.6	%		-4.6	%				2,302		2,286		0.7	%		4.0	%		-3.3	%
GENERAL
US			538		576		-6.4	%		-6.4	%		-					1,042		1,069		-2.5	%		-2.5	%		-
Intl			756		779		-3.0	%		5.3	%		-8.3	%				1,540		1,540		0.0	%		6.5	%		-6.5	%
WW			1,294		1,354		-4.5	%		0.3	%		-4.8	%				2,582		2,608		-1.0	%		2.8	%		-3.8	%
VISION
US			496		467		6.2	%		6.2	%		-					1,017		939		8.3	%		8.3	%		-
Intl			745		716		4.0	%		13.9	%		-9.9	%				1,481		1,389		6.6	%		15.1	%		-8.5	%
WW			1,241		1,183		4.9	%		10.9	%		-6.0	%				2,498		2,328		7.3	%		12.4	%		-5.1	%
CONTACT LENSES / OTHER
US			374		352		6.6	%		6.6	%		-					774		723		7.2	%		7.2	%		-
Intl			519		517		0.4	%		11.0	%		-10.6	%				1,030		1,003		2.7	%		11.9	%		-9.2	%
WW			894		868		2.9	%		9.2	%		-6.3	%				1,804		1,725		4.5	%		9.9	%		-5.4	%
SURGICAL
US			122		115		5.1	%		5.1	%		-					243		216		12.1	%		12.1	%		-
Intl			225		199		13.6	%		21.5	%		-7.9	%				451		386		17.0	%		23.5	%		-6.5	%
WW			347		314		10.5	%		15.5	%		-5.0	%				694		602		15.2	%		19.4	%		-4.2	%
TOTAL MEDTECH
US			3,351		3,299		1.6	%		1.6	%		-					6,576		6,353		3.5	%		3.5	%		-
Intl			3,547		3,679		-3.6	%		5.1	%		-8.7	%				7,293		7,204		1.2	%		8.0	%		-6.8	%
WW		$	6,898		6,978		-1.1	%		3.4	%		-4.5	%			$	13,869		13,557		2.3	%		5.9	%		-3.6	%

Note: Columns and rows within tables may not add due to rounding. Percentages have been calculated using actual, non-rounded figures and, therefore, may not recalculate precisely

* Percentage greater than 100% or not meaningful

(1) Operational growth excludes the effect of translational currency

(2) Unaudited

(3) Certain prior year amounts have been reclassified to conform to current year product disclosures

(4) Reported as U.S. sales

(5) Previously referred to as Medical Devices

Supplemental Sales Reconciliation (Unaudited)
(Dollars in Millions)
			SECOND QUARTER														SIX MONTHS
								Percent Change														Percent Change
				2022		2021		Total			Operations			Currency				2022		2021		Total			Operations			Currency
	Pharmaceutical
	U.S.		$	7,159		6,869		4.2		%	4.2			-			$	13,791		13,315		3.6		%	3.6			-
	International			6,158		5,611		9.8			22.1			(12.3	)			12,395		11,266		10.0			19.4			(9.4	)
	Worldwide			13,317		12,480		6.7			12.3			(5.6	)			26,186		24,581		6.5			10.8			(4.3	)
	COVID-19 Vaccine
	U.S.			45		51		(11.5	)		(11.5	)		-				120		151		(20.4	)		(20.4	)		-
	International			499		113		*			*			*				881		113		*		-	*			*
	Worldwide			544		164		*			*			*				1,001		264		*		-	*			*
	Pharmaceutical excluding COVID-19 Vaccine
	U.S.			7,114		6,818		4.3			4.3			-				13,671		13,164		3.9			3.9			-
	International			5,659		5,498		2.9			13.9			(11.0	)			11,514		11,153		3.2			11.9			(8.7	)
	Worldwide			12,773		12,316		3.7			8.6			(4.9	)			25,185		24,317		3.6			7.5			(3.9	)
	Worldwide
	U.S.			12,197		11,919		2.3			2.3			-				23,611		23,030		2.5			2.5			-
	International			11,823		11,393		3.8			13.9			(10.1	)			23,835		22,603		5.5			13.3			(7.8	)
	Worldwide			24,020		23,312		3.0			8.0			(5.0	)			47,446		45,633		4.0			7.8			(3.8	)
	COVID-19 Vaccine
	U.S.			45		51		(11.5	)		(11.5	)		-				120		151		(20.4	)		(20.4	)		-
	International			499		113		*			*			*				881		113		*			*			*
	Worldwide			544		164		*			*			*				1,001		264		*			*			*
	Worldwide
	U.S.			12,152		11,868		2.4			2.4			-				23,491		22,879		2.7			2.7			-
	International			11,324		11,280		0.4			9.8			(9.4	)			22,954		22,490		2.1			9.5			(7.4	)
	Worldwide excluding COVID-19 Vaccine		$	23,476		23,148		1.4		%	6.0			(4.6	)		$	46,445		45,369		2.4		%	6.1			(3.7	)
	Note: Columns and rows within tables may not add due to rounding
	* Percentage greater than 100% or not meaningful

Johnson & Johnson and Subsidiaries
Reconciliation of Non-GAAP Financial Measures
Q2 QTD - Income Before Tax by Segment*
Dollars in Millions
																			Consumer Health Separation Costs
			Consumer Health1				Pharmaceutical1				MedTech				Unallocated								Worldwide Total
			2022		2021		2022		2021		2022		2021		2022		2021		2022		2021		2022		2021
Reported Income Before Tax by Segment		$	784		866		4,420		4,294		1,141		1,746		(237)		(244)		(268)		-		5,840		6,662
% to Sales			20.6%		22.5%		33.2%		34.4%		16.5%		25.0%		-1.0%		-1.0%		-1.1%		0.0%		24.3%		28.6%
Intangible asset amortization expense			100		105		736		842		259		255		-		-		-		-		1,095		1,202
In-process research and development			-		-		-		-		-		-		-		-		-		-		-		-
Litigation related			78		122		36		(81)		271		(64)		-		-		-		-		385		(23)
Loss/(gain) on securities			-		(18)		102		(151)		7		(74)		-		-		-		-		109		(243)
Restructuring related			25		27		23		17		80		64		-		-		-		-		128		108
Acquisition, integration and divestiture related			-		-		-		-		-		14		-		-		-		-		-		14
Medical Device Regulation			-		-		-		-		70		56		-		-		-		-		70		56
COVID-19 Vaccine related costs			-		-		276		-		-		-		-		-		-		-		276		-
Consumer Health separation costs			-		-		-		-		-		-		-		-		268		-		268		-
Other			-		-		-		-		-		-		-		-		-		-		-		-
Adjusted Income Before Tax by Segment		$	987		1,102		5,593		4,921		1,828		1,997		(237)		(244)		-		-		8,171		7,776
% to Sales			25.9%		28.6%		42.0%		39.4%		26.5%		28.6%		-1.0%		-1.0%		0.0%		0.0%		34.0%		33.4%

1 Prior year income before tax has been reclassified as Certain international OTC products, primarily in China, were reclassified from the Pharmaceutical segment to the Consumer Health segment based on operational changes

*Estimated as of 7/19/2022

Johnson & Johnson and Subsidiaries
Reconciliation of Non-GAAP Financial Measures
Q2 YTD - Income Before Tax by Segment*
Dollars in Millions
																			Consumer Health Separation Costs
			Consumer Health1				Pharmaceutical1				MedTech				Unallocated								Worldwide Total
			2022		2021		2022		2021		2022		2021		2022		2021		2022		2021		2022		2021
Reported Income Before Tax by Segment		$	1,470		1,708		8,344		9,463		2,618		3,375		(360)		(455)		(370)		-		11,702		14,091
% to Sales			19.9%		22.8%		31.9%		38.5%		18.9%		24.9%		-0.8%		-1.0%		-0.8%		0.0%		24.7%		30.9%
Intangible asset amortization expense			194		211		1,496		1,698		513		508		-		-		-		-		2,203		2,417
In-process research and development			-		-		610		-		-		-		-		-		-		-		610		-
Litigation related			78		122		36		(81)		271		(64)		-		-		-		-		385		(23)
Loss/(gain) on securities			0		(20)		496		(114)		24		(74)		-		-		-		-		520		(208)
Restructuring related			39		55		9		37		152		120		-		-		-		-		200		212
Acquisition, integration and divestiture related			-		-		-		(570)		-		46		-		-		-		-		-		(524)
Medical Device Regulation			-		-		-		-		130		102		-		-		-		-		130		102
COVID-19 Vaccine related costs			-		-		276		-		-		-		-		-		-		-		276		-
Consumer Health separation costs			-		-		-		-		-		-		-		-		370		-		370		-
Other			-		-		-		-		-		-		(7)		-		-		-		(7)		-
Adjusted Income Before Tax by Segment		$	1,781		2,076		11,267		10,433		3,708		4,013		(367)		(455)		-		-		16,389		16,067
% to Sales			24.1%		27.7%		43.0%		42.4%		26.7%		29.6%		-0.8%		-1.0%		0.0%		0.0%		34.5%		35.2%

1 Prior year income before tax has been reclassified as Certain international OTC products, primarily in China, were reclassified from the Pharmaceutical segment to the Consumer Health segment based on operational changes

*Estimated as of 7/19/2022

Johnson & Johnson and Subsidiaries
GAAP to Non-GAAP Reconciliation
$ in Millions
Quarter to Date
																																	Consumer Health separation tax related costs
												In-process research and development						Acquisition, integration and divestiture related			(Loss)/gain on securities						COVID-19 Vaccine Related Costs			Consumer Health separation costs						Tax legislation and other tax related						Second Quarter July 3, 2022 Non-GAAP
	Second Quarter July 3, 2022 GAAP					Intangible asset amortization			Litigation related						Restructuring related									Medical Device Regulation															Other
Cost of products sold	$	7,919				(1,083	)								(17	)								(25	)		(194	)		-			-			-			-			6,600
Selling, marketing and admin expenses		6,226																						(6	)																	6,220
Research and development expense		3,703																-						(39	)		(110	)														3,554
Other (Income) / Expense		273				(12	)		(385	)					(26	)		-			(109	)					28			(268	)		-						-			(499	)
In-process research and development		-										-																														-
Restructuring		85													(85	)																										-
Provision for taxes on income		1,026				170			(29	)		-			25			-			25			13			65			44			(2	)		(78	)		-			1,259
Net Earnings		4,814				925			414			-			103			-			84			57			211			224			2			78			-			6,912
																																	Consumer Health separation tax related costs
	Second Quarter July 4, 2021 GAAP											In-process research and development						Acquisition, integration and divestiture related			(Loss)/gain on securities						COVID-19 Vaccine Related Costs			Consumer Health separation costs						Tax legislation and other tax related						Second Quarter July 4, 2021 Non-GAAP
						Intangible asset amortization			Litigation related						Restructuring related									Medical Device Regulation															Other
Cost of products sold	$	7,587				(1,202	)								(20	)								(20	)																	6,345
Selling, marketing and admin expenses		6,073																						(6	)																	6,067
Research and development expense		3,394																-						(30	)																	3,364
Other (Income) / Expense		(488	)			-			23						(32	)		(14	)		243						-			-			-						-			(268	)
In-process research and development		-										-																														-
Restructuring		56													(56	)																										-
Provision for taxes on income		384				163			(1	)		-			17			3			(57	)		10			-			-			-			632			-			1,151
Net Earnings		6,278				1,039			(22	)		-			91			11			(186	)		46			-			-			-			(632	)		-			6,625
Year to Date
																																	Consumer Health separation tax related costs
	Six Months July 3, 2022 GAAP											In-process research and development						Acquisition, integration and divestiture related			(Loss)/gain on securities						COVID-19 Vaccine Related Costs			Consumer Health separation costs						Tax legislation and other tax related						Six Months July 3, 2022 Non-GAAP
						Intangible asset amortization			Litigation related						Restructuring related									Medical Device Regulation															Other
Cost of products sold	$	15,517				(2,191	)								(33	)								(47	)		(194	)														13,052
Selling, marketing and admin expenses		12,164																						(12	)																	12,152
Research and development expense		7,165																-						(71	)		(110	)														6,984
Other (Income) / Expense		171				(12	)		(385	)					(12	)		-			(520	)					28			(370	)		-						7			(1,093	)
In-process research and development		610										(610	)																													-
Restructuring		155													(155	)																										-
Provision for taxes on income		1,739				338			(82	)		138			37			-			121			24			65			67			(98	)		1			(2	)		2,348
Net Earnings		9,963				1,865			467			472			163			-			399			106			211			303			98			(1	)		(5	)		14,041
																																	Consumer Health separation tax related costs
	Six Months July 4, 2021 GAAP											In-process research and development						Acquisition, integration and divestiture related (1)			(Loss)/gain on securities						COVID-19 Vaccine Related Costs			Consumer Health separation costs						Tax legislation and other tax related						Six Months July 4, 2021 Non-GAAP
						Intangible asset amortization			Litigation related						Restructuring related									Medical Device Regulation															Other
Cost of products sold	$	14,650				(2,417	)								(47	)								(37	)																	12,149
Selling, marketing and admin expenses		11,505																						(11	)																	11,494
Research and development expense		6,572																-						(54	)																	6,518
Other (Income) / Expense		(1,370	)			-			23						(56	)		524			208						-			-			-						-			(671	)
In-process research and development		-										-																														-
Restructuring		109													(109	)																										-
Provision for taxes on income		1,616				340			(1	)		-			37			(98	)		(49	)		19			-			-			-			654			-			2,518
Net Earnings		12,475				2,077			(22	)		-			175			(426	)		(159	)		83			-			-			-			(654	)		-			13,549
(1) 2021 primarily includes gains on the divestitures of two Pharmaceutical brands outside of the United States.

 

View source version on businesswire.com: https://www.businesswire.com/news/home/20220719005311/en/

Press Contacts:

Jake Sargent

(732) 524-1090

Investor Contacts:

Jessica Moore

(732) 524-2955

Raychel Kruper

(732) 524-6164

Source: Johnson & Johnson

FAQ

What were Johnson & Johnson's Q2 2022 total sales figures?

Johnson & Johnson reported total sales of $24.0 billion for Q2 2022.

How did Johnson & Johnson's earnings per share change in Q2 2022?

Diluted earnings per share decreased 23.4% to $1.80, while adjusted EPS increased 4.4% to $2.59.

What factors contributed to Johnson & Johnson's sales growth in Q2 2022?

Sales growth was primarily driven by a 12.4% increase in the Pharmaceutical segment.

How did currency fluctuations affect Johnson & Johnson's reported results?

The strengthening U.S. dollar impacted the estimates for reported results.

What is Johnson & Johnson's full-year guidance for 2022?

Johnson & Johnson is maintaining its full-year guidance at midpoints for adjusted operational sales and EPS.