Johnson & Johnson Reports Q3 2021 Results

Rhea-AI Summary

Johnson & Johnson (NYSE: JNJ) reported Q3 2021 results, showcasing a 10.7% increase in reported sales to $23.3 billion and a 3.2% rise in net earnings to $3.67 billion. Adjusted EPS surged 18.2% to $2.60. Pharmaceutical sales grew 13.8%, led by drugs like DARZALEX and STELARA. Medical Devices operations rose 7.6%, while Consumer Health increased 5.7%. CEO Alex Gorsky announced his transition to Joaquin Duato effective January 2022, underscoring ongoing investment in innovation amidst dynamic market conditions.

Positive

• Q3 2021 reported sales rose by 10.7% to $23.3 billion.
• Net earnings increased by 3.2% to $3.67 billion.
• Adjusted EPS grew by 18.2% to $2.60, showing strong financial performance.
• Pharmaceutical segment sales rose 13.8%, driven by key products.
• Medical Devices sales increased by 7.6%, indicating sector recovery.

Negative

• U.S. sales of REMICADE and INVOKANA faced declines.

NEW BRUNSWICK, N.J., Oct. 19, 2021 /PRNewswire/ -- Johnson & Johnson (NYSE: JNJ) today announced results for third-quarter 2021. "Our third-quarter results demonstrate solid performance across Johnson & Johnson, driven by robust above-market results in Pharmaceuticals, ongoing recovery in Medical Devices, and strong growth in Consumer Health," said Alex Gorsky, Chairman and Chief Executive Officer. "In the face of evolving marketplace dynamics resulting from the effects of COVID-19 and other global trends, we have continued to demonstrate the responsiveness and agility required to meet the needs of our stakeholders, while also successfully investing in a pipeline of innovation and key commercial platforms to drive our future growth. I am incredibly proud of our Company's transformative growth over the last decade. As I prepare to transition the role of CEO to Joaquin Duato in January, I want to extend my deepest gratitude to our colleagues around the globe who work tirelessly to deliver solutions to address the world's most urgent and unmet healthcare challenges."

OVERALL FINANCIAL RESULTS
Q3
($ in Millions, except EPS)	2021	2020	%  Change
Reported Sales	$       23,338	$       21,082	10.7%
Net Earnings	3,667	3,554	3.2%
EPS (diluted)	$           1.37	$           1.33	3.0%
Q3
Non-GAAP*($ in Millions, except EPS)	2021	2020	%  Change
Operational Sales1,2			9.9%
Adjusted Operational Sales1,3			10.6%
Adjusted Net Earnings1,4	6,968	5,868	18.7%
Adjusted EPS (diluted)1,4	$           2.60	$           2.20	18.2%

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

 

REGIONAL SALES RESULTS
Q3			%  Change
($ in Millions)	2021	2020	Reported	Operational1,2	Currency	Adjusted Operational1,3
U.S.	$      11,963	$      11,086	7.9%	7.9	-	8.0
International	11,375	9,996	13.8%	12.1	1.7	13.5
Worldwide	$      23,338	$      21,082	10.7%	9.9	0.8	10.6

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
Q3			%  Change
($ in Millions)	2021	2020	Reported	Operational1,2	Currency	Adjusted Operational1,3
Consumer Health	$         3,700	$         3,514	5.3%	4.1	1.2	5.7
Pharmaceutical	12,994	11,418	13.8%	13.2	0.6	13.8
Medical Devices	6,644	6,150	8.0%	7.0	1.0	7.6
Worldwide	$       23,338	$      21,082	10.7%	9.9	0.8	10.6

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

THIRD QUARTER 2021 SEGMENT COMMENTARY:

Consumer Health
Consumer Health worldwide operational sales, excluding the net impact of acquisitions and divestitures, increased 5.7%* primarily driven by over-the-counter (OTC) products. Major contributors to growth were TYLENOL and MOTRIN analgesics, upper respiratory products, and digestive health in OTC, and AVEENO in Skin Health / Beauty.

Pharmaceutical
Pharmaceutical worldwide operational sales, excluding the net impact of acquisitions and divestitures, grew 13.8%* driven by DARZALEX (daratumumab), for the treatment of multiple myeloma, STELARA (ustekinumab), a biologic for the treatment of a number of immune-mediated inflammatory diseases, TREMFYA (guselkumab), a biologic for the treatment of adults living with moderate to severe plaque psoriasis, and for adults with active psoriatic arthritis, ERLEADA (apalutamide), a next-generation androgen receptor inhibitor for the treatment of patients with prostate cancer, INVEGA SUSTENNA/XEPLION/INVEGA TRINZA/TREVICTA (paliperidone palmitate), long-acting, injectable atypical antipsychotics for the treatment of schizophrenia in adults, and OPSUMIT (macitentan) an oral endothelin receptor antagonist indicated for the treatment of pulmonary arterial hypertension to delay disease progression. Also contributing to growth was sales of the not-for-profit COVID-19 Vaccine (Ad26.COV2.S) for the treatment of the SARS-CoV-2 virus. This growth was partially offset by declines in U.S. sales of REMICADE (infliximab), a biologic approved for the treatment of a number of immune-mediated inflammatory diseases, and INVOKANA (canagliflozin) for the treatment of adults with type 2 diabetes.

Medical Devices
Medical Devices worldwide operational sales, excluding the net impact of acquisitions and divestitures, grew 7.6%*, driven by electrophysiology products in Interventional Solutions, wound closure products in General Surgery, surgical vision products and contact lenses in Vision, trauma, hips, and knees in Orthopaedics, and energy, endocutters, and biosurgicals in Advanced Surgery. Growth was partially offset by Spine, Sports & Other.

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 available online in the Investors section of the company's website at news releases.

Regulatory Decisions	INVEGA HAFYERA (paliperidone palmitate) Receives FDA Approval For First and Only Twice-Yearly Treatment for Adults with Schizophrenia	(press release)
	XARELTO (rivaroxaban) Plus Aspirin Receives FDA Approval For Expanded Peripheral Artery Disease (PAD) Indication to Include Patients After Lower-Extremity Revascularization (LER)	(press release)
	UPTRAVI (selexipag) Receives FDA Approval For Intravenous Use in Adult Patients with Pulmonary Arterial Hypertension (PAH)	(press release)
Regulatory Submissions	Johnson & Johnson Announces Submission of Emergency Use Authorization Amendment to the U.S. FDA to Support Booster of its Single-Shot COVID-19 Vaccine 1	(press release)
	Janssen Submits Application Seeking U.S. FDA Approval of STELARA (ustekinumab) for the Treatment of Pediatric Patients With Juvenile Psoriatic Arthritis 1	(press release)
Other	Alex Gorsky to Transition Role of Chief Executive Officer of Johnson & Johnson to Joaquin Duato, Effective January 3, 2022	(press release)
	Dr. Paul Stoffels, Vice Chairman of the Executive Committee and Chief Scientific Officer of Johnson & Johnson to Retire, Effective December 31, 2021 1	(press release)
	Johnson & Johnson Announces Real-World Evidence and Phase 3 Data Confirming Strong and Long-Lasting Protection of Single-Shot COVID-19 Vaccine in the U.S.	(press release)
	Johnson & Johnson Issues Statement on Nationwide Opioid Settlement Agreement	(press release)
	DePuy Synthes Announces Introduction of the INHANCE Shoulder System, a First-to-Market, Fully Integrated Shoulder Arthroplasty System	(press release)
	Janssen Announces Start of Phase 3 Trial for Investigational Respiratory Syncytial Virus (RSV) Vaccine in Older Adults	(press release)
	Janssen Receives Positive CHMP Opinion for BYANNLI (six-monthly paliperidone palmitate) for the Maintenance Treatment of Schizophrenia in Adults	(press release)
	Ethicon Announces ECHELON CIRCULAR Powered Stapler Associated with Major Reduction in Serious Complications Following Colorectal Surgery	(press release)
	Johnson & Johnson Takes Steps to Equitably Resolve All Current and Future Talc Claims 1	(press release)
	Janssen Receives Positive CHMP Opinion for RYBREVANT (amivantamab) for the Treatment of Patients with Advanced Non-Small Cell Lung Cancer with EGFR Exon 20 Insertion Mutations After Failure of Platinum-Based Therapy 1	(press release)
	Johnson & Johnson COVID-19 Vaccine Booster Shot Unanimously Recommended for Emergency Use Authorization by U.S. FDA Advisory Committee 1	(press release)

1Subsequent to the quarter

FULL-YEAR 2021 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)	October 2021 (Base Business)	October 2021 (incl. COVID Vx)	July 2021 (Base Business)	July 2021 (incl. COVID Vx)
Adjusted Operational Sales1,2 Change vs. Prior Year	9.9% - 10.5%	12.9% - 13.5%	9.5% - 10.5%	12.5% - 13.5%
Operational Sales2 Change vs. Prior Year	$90.3B – 90.8B 9.4% – 10.0%	$92.8 - $93.3B 12.4% – 13.0%	$90.0B - $90.8B 9.0% – 10.0%	$92.5B - $93.3B 12.0% – 13.0%
Estimated Reported Sales3 Change vs. Prior Year	$91.6B - $92.1B 10.9% – 11.5%	$94.1B - $94.6B 13.9% – 14.5%	$91.3B - $92.1B 10.5% – 11.5%	$93.8B - $94.6B 13.5% – 14.5%
Adjusted Operational EPS (Diluted)2,4 Change vs. Prior Year		$9.65 - $9.70 20.2% - 20.8%		$9.50 - $9.60 18.4% - 19.6%
Adjusted EPS (Diluted)3,4 Change vs. Prior Year		$9.77 - $9.82 21.7% - 22.3%		$9.60 - $9.70 19.6% - 20.8%

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: July 2021 = $1.19 and October = $1.19 (Illustrative purposes only)
4	Non-GAAP financial measure; excludes intangible amortization expense and special items
	Note: % 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. 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: 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, 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. 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 3, 2021 including in the sections captioned "Cautionary Note Regarding Forward-Looking Statements" and "Item 1A. Risk Factors," in the Company's most recently filed Quarterly Report on Form 10-Q and the Company's subsequent 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)	THIRD QUARTER										NINE MONTHS
					Percent Change										Percent Change
	2021		2020		Total		Operations		Currency		2021		2020		Total		Operations		Currency
Sales to customers by
segment of business
Consumer Health
U.S.	$   1,625		1,556		4.5	%	4.5		-		$   4,987		4,853		2.8	%	2.8		-
International	2,075		1,958		5.9		3.7		2.2		5,991		5,582		7.3		3.5		3.8
	3,700		3,514		5.3		4.1		1.2		10,978		10,435		5.2		3.1		2.1
Pharmaceutical
U.S.	7,221		6,438		12.2		12.2		-		20,536		18,619		10.3		10.3		-
International	5,773		4,980		15.9		14.6		1.3		17,256		14,685		17.5		12.5		5.0
	12,994		11,418		13.8		13.2		0.6		37,792		33,304		13.5		11.3		2.2
Medical Devices
U.S.	3,117		3,092		0.8		0.8		-		9,470		7,852		20.6		20.6		-
International	3,527		3,058		15.4		13.3		2.1		10,731		8,518		26.0		20.5		5.5
	6,644		6,150		8.0		7.0		1.0		20,201		16,370		23.4		20.5		2.9
U.S.	11,963		11,086		7.9		7.9		-		34,993		31,324		11.7		11.7		-
International	11,375		9,996		13.8		12.1		1.7		33,978		28,785		18.0		13.1		4.9
Worldwide	$ 23,338		21,082		10.7	%	9.9		0.8		$ 68,971		60,109		14.7	%	12.4		2.3
Note: Percentages have been calculated using actual, non-rounded figures and, therefore, may not recalculate precisely.

 

Johnson & Johnson and Subsidiaries
Supplementary Sales Data
(Unaudited; Dollars in Millions)	THIRD QUARTER										NINE MONTHS
					Percent Change										Percent Change
	2021		2020		Total		Operations		Currency		2021		2020		Total		Operations		Currency
Sales to customers by
geographic area
U.S.	$ 11,963		11,086		7.9	%	7.9		-		$ 34,993		31,324		11.7	%	11.7		-
Europe	5,587		4,819		15.9		14.6		1.3		16,669		13,709		21.6		15.3		6.3
Western Hemisphere excluding U.S.	1,500		1,296		15.7		13.4		2.3		4,291		3,931		9.2		8.1		1.1
Asia-Pacific, Africa	4,288		3,881		10.5		8.5		2.0		13,018		11,145		16.8		12.3		4.5
International	11,375		9,996		13.8		12.1		1.7		33,978		28,785		18.0		13.1		4.9
Worldwide	$ 23,338		21,082		10.7	%	9.9		0.8		$ 68,971		60,109		14.7	%	12.4		2.3
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)	THIRD QUARTER
	2021				2020				Percent
			Percent				Percent		Increase
	Amount		to Sales		Amount		to Sales		(Decrease)
Sales to customers	$ 23,338		100.0		$ 21,082		100.0		10.7
Cost of products sold	7,250		31.1		6,972		33.1		4.0
Gross Profit	16,088		68.9		14,110		66.9		14.0
Selling, marketing and administrative expenses	6,000		25.7		5,431		25.8		10.5
Research and development expense	3,422		14.7		2,840		13.5		20.5
In-process research and development	900		3.9		138		0.6
Interest (income) expense, net	7		0.0		32		0.1
Other (income) expense, net	1,850		7.9		1,200		5.7
Restructuring	60		0.2		68		0.3
Earnings before provision for taxes on income	3,849		16.5		4,401		20.9		(12.5)
Provision for taxes on income	182		0.8		847		4.0		(78.5)
Net earnings	$   3,667		15.7		$   3,554		16.9		3.2
Net earnings per share (Diluted)	$     1.37				$     1.33				3.0
Average shares outstanding (Diluted)	2,674.9				2,669.3
Effective tax rate	4.7	%			19.2	%
Adjusted earnings before provision for taxes and net earnings (1)
Earnings before provision for taxes on income	$   8,058		34.5		$   7,246		34.4		11.2
Net earnings	$   6,968		29.9		$   5,868		27.8		18.7
Net earnings per share (Diluted)	$     2.60				$     2.20				18.2
Effective tax rate	13.5	%			19.0	%
(1)See Reconciliation of Non-GAAP Financial Measures.

 

Johnson & Johnson and Subsidiaries
Condensed Consolidated Statement of Earnings
(Unaudited; in Millions Except Per Share Figures)	NINE MONTHS
	2021				2020				Percent
			Percent				Percent		Increase
	Amount		to Sales		Amount		to Sales		(Decrease)
Sales to customers	$ 68,971		100.0		$ 60,109		100.0		14.7
Cost of products sold	21,900		31.8		20,613		34.3		6.2
Gross Profit	47,071		68.2		39,496		65.7		19.2
Selling, marketing and administrative expenses	17,505		25.4		15,627		26.0		12.0
Research and development expense	9,994		14.5		8,127		13.5		23.0
In-process research and development	900		1.3		144		0.3
Interest (income) expense, net	83		0.1		16		0.0
Other (income) expense, net	480		0.7		545		0.9
Restructuring	169		0.2		187		0.3
Earnings before provision for taxes on income	17,940		26.0		14,850		24.7		20.8
Provision for taxes on income	1,798		2.6		1,874		3.1		(4.1)
Net earnings	$ 16,142		23.4		$ 12,976		21.6		24.4
Net earnings per share (Diluted)	$     6.04				$     4.86				24.3
Average shares outstanding (Diluted)	2,674.6				2,670.8
Effective tax rate	10.0	%			12.6	%
Adjusted earnings before provision for taxes and net earnings (1)
Earnings before provision for taxes on income	$ 24,125		35.0		$ 19,827		33.0		21.7
Net earnings	$ 20,517		29.7		$ 16,468		27.4		24.6
Net earnings per share (Diluted)	$     7.67				$     6.17				24.3
Effective tax rate	15.0	%			16.9	%
(1)See Reconciliation of Non-GAAP Financial Measures.

 

Johnson & Johnson and Subsidiaries
Reconciliation of Non-GAAP Financial Measures
		Third Quarter				Nine Months Ended
	(Dollars in Millions Except Per Share Data)	2021		2020		2021		2020
	Net Earnings, after tax- as reported	$3,667		$3,554		$16,142		$12,976
	Pre-tax Adjustments
	Intangible Asset Amortization expense	1,159		1,181		3,576		3,426
	Litigation expense, net	2,077		1,477		2,054		2,210
	IPR&D	900		138		900		144
	Restructuring related	121		130		333		363
	Acquisition, integration and divestiture related ¹	20		(154)		(504)		(1,087)
	(Gains)/losses on securities	(127)		32		(335)		(174)
	Medical Device Regulation	59		38		161		89
	Other	-		3		-		6
	Tax Adjustments
	Tax impact on special item adjustments 2	(849)		(482)		(1,097)		(1,002)
	Tax legislation and related impacts	(59)		(49)		(713)		(483)
	Adjusted Net Earnings, after tax	$6,968		$5,868		$20,517		$16,468
	Average shares outstanding (Diluted)	2,674.9		2,669.3		2,674.6		2,670.8
	Adjusted net earnings per share (Diluted)	$2.60		$2.20		$7.67		$6.17
	Operational adjusted net earnings per share (Diluted)	$2.56				$7.47
	Notes:
1	Acquisition, integration and divestiture related for the nine months of 2021 primarily includes the gain on the divestiture of two Pharmaceutical brands outside of the U.S.  Acquisition, integration and divestiture related for 2020 primarily includes a Contingent Consideration reversal ($165M in third quarter and $1,148M in nine months) related to the timing of certain developmental milestones associated with the Auris Health acquisition.
2	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
THIRD QUARTER 2021 ACTUAL vs. 2020 ACTUAL
Segments
		Consumer Health		Pharmaceutical		Medical Devices		Total
WW As Reported		5.3%		13.8%		8.0%		10.7%
U.S.		4.5%		12.2%		0.8%		7.9%
International		5.9%		15.9%		15.4%		13.8%
WW Currency		1.2		0.6		1.0		0.8
U.S.		-		-		-		-
International		2.2		1.3		2.1		1.7
WW Operational		4.1%		13.2%		7.0%		9.9%
U.S.		4.5%		12.2%		0.8%		7.9%
International		3.7%		14.6%		13.3%		12.1%
General Surgery
Advanced Sterilization Products						0.4		0.1
U.S.						0.0		0.0
International						0.8		0.2
Skin Health / Beauty
Dr. Ci Labo - Sedona		1.1						0.2
U.S.		0.0						0.0
International		2.0						0.4
All Other Acquisitions and Divestitures		0.5		0.6		0.2		0.4
U.S.		0.6		0.0		0.3		0.1
International		0.3		1.4		0.0		0.8
WW Adjusted Operational		5.7%		13.8%		7.6%		10.6%
U.S.		5.1%		12.2%		1.1%		8.0%
International		6.1%		16.0%		14.1%		13.5%
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
NINE MONTHS 2021 ACTUAL vs. 2020 ACTUAL
Segments
		Consumer Health		Pharmaceutical		Medical Devices		Total
WW As Reported		5.2%		13.5%		23.4%		14.7%
U.S.		2.8%		10.3%		20.6%		11.7%
International		7.3%		17.5%		26.0%		18.0%
WW Currency		2.1		2.2		2.9		2.3
U.S.		-		-		-		-
International		3.8		5.0		5.5		4.9
WW Operational		3.1%		11.3%		20.5%		12.4%
U.S.		2.8%		10.3%		20.6%		11.7%
International		3.5%		12.5%		20.5%		13.1%
General Surgery
Advanced Sterilization Products						0.6		0.2
U.S.						0.0		0.0
International						1.2		0.3
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		0.5		0.5		0.2		0.4
U.S.		0.5		(0.1)		0.4		0.1
International		0.3		1.3		0.0		0.7
WW Adjusted Operational		4.1%		11.8%		21.4%		13.1%
U.S.		3.3%		10.2%		21.0%		11.8%
International		4.7%		13.8%		21.7%		14.4%
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)
	THIRD QUARTER								NINE MONTHS
					% Change								% Change
		2021		2020	Reported	Operational (1)	Currency			2021		2020	Reported	Operational (1)	Currency
CONSUMER HEALTH SEGMENT (2)
OTC
US		$             686		601	14.0%	14.0%	-			$          1,960		1,917	2.2%	2.2%	-
Intl		686		541	26.9%	22.8%	4.1%			1,894		1,722	10.0%	3.9%	6.1%
WW		1,372		1,142	20.1%	18.2%	1.9%			3,854		3,639	5.9%	3.0%	2.9%
SKIN HEALTH / BEAUTY
US		569		572	-0.5%	-0.5%	-			1,862		1,767	5.4%	5.4%	-
Intl		555		577	-3.8%	-5.5%	1.7%			1,595		1,506	5.9%	2.1%	3.8%
WW		1,124		1,149	-2.2%	-3.0%	0.8%			3,457		3,273	5.6%	3.9%	1.7%
ORAL CARE
US		150		164	-8.4%	-8.4%	-			478		510	-6.2%	-6.2%	-
Intl		248		248	0.1%	-1.8%	1.9%			762		694	9.9%	5.9%	4.0%
WW		398		412	-3.3%	-4.5%	1.2%			1,240		1,204	3.0%	0.8%	2.2%
BABY CARE
US		95		91	5.2%	5.2%	-			288		279	3.3%	3.3%	-
Intl		296		302	-2.0%	-3.1%	1.1%			879		831	5.8%	4.6%	1.2%
WW		391		393	-0.3%	-1.2%	0.9%			1,167		1,110	5.2%	4.3%	0.9%
WOMEN'S HEALTH
US		3		3	20.1%	20.1%	-			9		10	-5.7%	-5.7%	-
Intl		229		227	0.5%	0.6%	-0.1%			675		654	3.1%	2.3%	0.8%
WW		232		230	0.8%	0.8%	0.0%			684		664	3.0%	2.1%	0.9%
WOUND CARE / OTHER
US		122		125	-2.6%	-2.6%	-			390		370	5.3%	5.3%	-
Intl		61		64	-5.2%	-9.0%	3.8%			186		175	5.8%	0.0%	5.8%
WW		182		189	-3.5%	-4.8%	1.3%			575		545	5.4%	3.6%	1.8%
TOTAL CONSUMER HEALTH
US		1,625		1,556	4.5%	4.5%	-			4,987		4,853	2.8%	2.8%	-
Intl		2,075		1,958	5.9%	3.7%	2.2%			5,991		5,582	7.3%	3.5%	3.8%
WW		$          3,700		3,514	5.3%	4.1%	1.2%			$        10,978		10,435	5.2%	3.1%	2.1%
See footnotes at end of schedule

 

	REPORTED SALES vs. PRIOR PERIOD ($MM)								REPORTED SALES vs. PRIOR PERIOD ($MM)
	THIRD QUARTER								NINE MONTHS
					% Change								% Change
PHARMACEUTICAL SEGMENT (2,3)		2021		2020	Reported	Operational (1)	Currency			2021		2020	Reported	Operational (1)	Currency
IMMUNOLOGY
US		$          2,771		2,558	8.3%	8.3%	-			$          7,932		7,330	8.2%	8.2%	-
Intl		1,480		1,230	20.3%	18.8%	1.5%			4,464		3,619	23.3%	17.6%	5.7%
WW		4,250		3,789	12.2%	11.7%	0.5%			12,395		10,950	13.2%	11.3%	1.9%
REMICADE
US		480		634	-24.3%	-24.3%	-			1,508		1,852	-18.6%	-18.6%	-
US Exports (4)		47		78	-40.2%	-40.2%	-			197		321	-38.7%	-38.7%	-
Intl		234		209	12.2%	8.1%	4.1%			721		673	7.1%	1.4%	5.7%
WW		761		921	-17.4%	-18.3%	0.9%			2,426		2,846	-14.8%	-16.1%	1.3%
SIMPONI / SIMPONI ARIA
US		295		312	-5.3%	-5.3%	-			840		840	0.0%	0.0%	-
Intl		276		280	-1.1%	-0.7%	-0.4%			877		827	6.1%	2.8%	3.3%
WW		571		592	-3.3%	-3.1%	-0.2%			1,717		1,667	3.0%	1.4%	1.6%
STELARA
US		1,569		1,313	19.5%	19.5%	-			4,396		3,668	19.9%	19.9%	-
Intl		809		634	27.7%	26.3%	1.4%			2,404		1,795	33.9%	27.5%	6.4%
WW		2,378		1,947	22.2%	21.7%	0.5%			6,800		5,463	24.5%	22.4%	2.1%
TREMFYA
US		376		222	69.7%	69.7%	-			975		650	50.1%	50.1%	-
Intl		161		105	52.5%	50.5%	2.0%			459		316	45.4%	38.0%	7.4%
WW		537		327	64.1%	63.5%	0.6%			1,434		965	48.5%	46.1%	2.4%
OTHER IMMUNOLOGY
US		3		-	*	*	-			15		-	*	*	-
Intl		0		3	*	*	*			3		9	-68.6%	-70.8%	2.2%
WW		3		3	-26.4%	-27.5%	1.1%			18		9	91.6%	89.5%	2.1%
INFECTIOUS DISEASES
US		679		413	64.3%	64.3%	-			1,635		1,265	29.2%	29.2%	-
Intl		709		451	57.2%	55.6%	1.6%			1,788		1,397	28.0%	23.2%	4.8%
WW		1,389		864	60.6%	59.8%	0.8%			3,424		2,662	28.6%	26.1%	2.5%
COVID-19 VACCINE
US		270		-	*	*	-			421		-	*	*	-
Intl		233		-	*	*	-			346		-	*	*	-
WW		502		-	*	*	-			766		-	*	*	-
EDURANT / rilpivirine
US		12		11	8.4%	8.4%	-			31		33	-4.8%	-4.8%	-
Intl		247		226	9.7%	8.7%	1.0%			733		684	7.2%	1.7%	5.5%
WW		259		236	9.6%	8.6%	1.0%			764		716	6.7%	1.4%	5.3%
PREZISTA / PREZCOBIX / REZOLSTA / SYMTUZA
US		380		379	0.4%	0.4%	-			1,128		1,154	-2.2%	-2.2%	-
Intl		137		147	-7.1%	-8.8%	1.7%			440		461	-4.6%	-8.6%	4.0%
WW		517		526	-1.7%	-2.2%	0.5%			1,568		1,615	-2.9%	-4.1%	1.2%
OTHER INFECTIOUS DISEASES
US		18		24	-26.0%	-26.0%	-			55		79	-29.6%	-29.6%	-
Intl		93		78	18.3%	15.2%	3.1%			270		252	6.9%	2.6%	4.3%
WW		110		102	7.8%	5.4%	2.4%			325		331	-1.8%	-5.0%	3.2%

 

	REPORTED SALES vs. PRIOR PERIOD ($MM)								REPORTED SALES vs. PRIOR PERIOD ($MM)
	THIRD QUARTER								NINE MONTHS
					% Change								% Change
		2021		2020	Reported	Operational (1)	Currency			2021		2020	Reported	Operational (1)	Currency
NEUROSCIENCE
US		835		759	10.2%	10.2%	-			2,448		2,285	7.2%	7.2%	-
Intl		854		846	0.8%	-0.5%	1.3%			2,770		2,565	8.0%	4.1%	3.9%
WW		1,689		1,605	5.3%	4.6%	0.7%			5,218		4,850	7.6%	5.5%	2.1%
CONCERTA / Methylphenidate
US		35		43	-19.5%	-19.5%	-			117		150	-22.1%	-22.1%	-
Intl		122		107	14.2%	12.5%	1.7%			372		319	16.4%	11.6%	4.8%
WW		157		149	4.5%	3.3%	1.2%			489		469	4.1%	0.8%	3.3%
INVEGA SUSTENNA / XEPLION / INVEGA TRINZA / TREVICTA
US		648		585	11.0%	11.0%	-			1,882		1,704	10.4%	10.4%	-
Intl		355		341	4.3%	3.2%	1.1%			1,111		983	13.0%	7.6%	5.4%
WW		1,004		926	8.5%	8.1%	0.4%			2,994		2,688	11.4%	9.4%	2.0%
RISPERDAL CONSTA
US		71		70	1.3%	1.3%	-			210		220	-4.7%	-4.7%	-
Intl		69		81	-16.7%	-16.0%	-0.7%			242		254	-5.1%	-8.3%	3.2%
WW		140		152	-8.4%	-8.0%	-0.4%			452		475	-4.9%	-6.6%	1.7%
OTHER NEUROSCIENCE
US		81		60	34.7%	34.7%	-			239		210	13.9%	13.9%	-
Intl		307		317	-2.9%	-4.8%	1.9%			1,045		1,008	3.7%	1.5%	2.2%
WW		388		377	3.1%	1.5%	1.6%			1,284		1,218	5.5%	3.6%	1.9%
ONCOLOGY
US		1,525		1,267	20.3%	20.3%	-			4,364		3,623	20.4%	20.4%	-
Intl		2,140		1,862	14.9%	13.8%	1.1%			6,406		5,310	20.6%	15.3%	5.3%
WW		3,665		3,129	17.1%	16.5%	0.6%			10,770		8,933	20.6%	17.4%	3.2%
DARZALEX
US		841		585	43.7%	43.7%	-			2,302		1,540	49.5%	49.5%	-
Intl		739		514	43.7%	42.0%	1.7%			2,076		1,397	48.6%	42.2%	6.4%
WW		1,580		1,099	43.7%	42.9%	0.8%			4,378		2,937	49.1%	46.0%	3.1%
ERLEADA
US		214		152	40.5%	40.5%	-			578		407	41.8%	41.8%	-
Intl		130		55	*	*	*			329		112	*	*	*
WW		344		206	66.7%	65.8%	0.9%			907		519	74.7%	72.2%	2.5%
IMBRUVICA
US		413		450	-8.3%	-8.3%	-			1,311		1,329	-1.3%	-1.3%	-
Intl		654		581	12.6%	10.9%	1.7%			1,996		1,682	18.7%	13.1%	5.6%
WW		1,066		1,031	3.5%	2.5%	1.0%			3,307		3,011	9.9%	6.7%	3.2%
ZYTIGA / abiraterone acetate
US		25		58	-57.0%	-57.0%	-			96		284	-66.2%	-66.2%	-
Intl		523		532	-1.8%	-2.1%	0.3%			1,653		1,564	5.7%	0.9%	4.8%
WW		548		590	-7.2%	-7.5%	0.3%			1,749		1,848	-5.4%	-9.4%	4.0%
OTHER ONCOLOGY
US		32		21	49.6%	49.6%	-			76		63	21.0%	21.0%	-
Intl		94		181	-48.0%	-47.2%	-0.8%			352		556	-36.6%	-38.5%	1.9%
WW		126		203	-37.6%	-36.9%	-0.7%			428		619	-30.7%	-32.4%	1.7%

 

	REPORTED SALES vs. PRIOR PERIOD ($MM)								REPORTED SALES vs. PRIOR PERIOD ($MM)
	THIRD QUARTER								NINE MONTHS
					% Change								% Change
		2021		2020	Reported	Operational (1)	Currency			2021		2020	Reported	Operational (1)	Currency
PULMONARY HYPERTENSION
US		610		510	19.7%	19.7%	-			1,778		1,541	15.4%	15.4%	-
Intl		258		239	7.9%	8.4%	-0.5%			821		742	10.7%	7.3%	3.4%
WW		868		749	15.9%	16.1%	-0.2%			2,599		2,283	13.9%	12.7%	1.2%
OPSUMIT
US		299		244	22.8%	22.8%	-			861		729	18.2%	18.2%	-
Intl		159		148	7.4%	7.8%	-0.4%			510		458	11.3%	7.7%	3.6%
WW		458		392	17.0%	17.1%	-0.1%			1,371		1,187	15.5%	14.1%	1.4%
UPTRAVI
US		265		226	17.3%	17.3%	-			792		692	14.6%	14.6%	-
Intl		44		34	30.4%	28.8%	1.6%			135		100	34.6%	27.9%	6.7%
WW		309		260	19.0%	18.8%	0.2%			927		792	17.1%	16.2%	0.9%
OTHER PULMONARY HYPERTENSION
US		47		40	14.4%	14.4%	-			125		121	2.8%	2.8%	-
Intl		54		57	-4.4%	-2.1%	-2.3%			176		183	-3.7%	-5.0%	1.3%
WW		101		97	3.4%	4.8%	-1.4%			301		304	-1.1%	-1.9%	0.8%
CARDIOVASCULAR / METABOLISM / OTHER
US		800		931	-14.0%	-14.0%	-			2,379		2,574	-7.6%	-7.6%	-
Intl		333		351	-5.1%	-8.2%	3.1%			1,007		1,052	-4.2%	-9.3%	5.1%
WW		1,133		1,281	-11.5%	-12.4%	0.9%			3,386		3,625	-6.6%	-8.1%	1.5%
XARELTO
US		636		630	0.8%	0.8%	-			1,794		1,716	4.5%	4.5%	-
Intl		-		-	-	-	-			-		-	-	-	-
WW		636		630	0.8%	0.8%	-			1,794		1,716	4.5%	4.5%	-
INVOKANA / INVOKAMET
US		66		156	-57.4%	-57.4%	-			249		405	-38.4%	-38.4%	-
Intl		67		68	-1.0%	-4.3%	3.3%			194		173	11.9%	5.8%	6.1%
WW		133		224	-40.3%	-41.3%	1.0%			443		578	-23.4%	-25.2%	1.8%
PROCRIT / EPREX
US		47		69	-30.9%	-30.9%	-			168		215	-21.7%	-21.7%	-
Intl		65		63	3.1%	0.5%	2.6%			198		208	-4.7%	-9.7%	5.0%
WW		112		132	-14.6%	-15.8%	1.2%			366		423	-13.4%	-15.8%	2.4%
OTHER
US		51		75	-32.6%	-32.6%	-			168		238	-29.3%	-29.3%	-
Intl		200		219	-8.7%	-11.9%	3.2%			615		670	-8.3%	-13.1%	4.8%
WW		251		294	-14.8%	-17.2%	2.4%			783		908	-13.8%	-17.3%	3.5%
TOTAL PHARMACEUTICAL
US		7,221		6,438	12.2%	12.2%	-			20,536		18,619	10.3%	10.3%	-
Intl		5,773		4,980	15.9%	14.6%	1.3%			17,256		14,685	17.5%	12.5%	5.0%
WW		$        12,994		11,418	13.8%	13.2%	0.6%			$        37,792		33,304	13.5%	11.3%	2.2%

 

	REPORTED SALES vs. PRIOR PERIOD ($MM)								REPORTED SALES vs. PRIOR PERIOD ($MM)
	THIRD QUARTER								NINE MONTHS
					% Change								% Change
MEDICAL DEVICES SEGMENT (2)		2021		2020	Reported	Operational (1)	Currency			2021		2020	Reported	Operational (1)	Currency
INTERVENTIONAL SOLUTIONS
US		$             444		399	11.1%	11.1%	-			1,353		1,019	32.7%	32.7%	-
Intl		513		437	17.7%	15.1%	2.6%			1,599		1,134	41.1%	34.3%	6.8%
WW		957		836	14.5%	13.2%	1.3%			2,952		2,153	37.1%	33.6%	3.5%
ORTHOPAEDICS
US		1,249		1,308	-4.5%	-4.5%	-			3,821		3,427	11.5%	11.5%	-
Intl		843		774	8.8%	6.8%	2.0%			2,611		2,145	21.7%	15.4%	6.3%
WW		2,093		2,083	0.5%	-0.3%	0.8%			6,433		5,572	15.4%	13.0%	2.4%
HIPS
US		210		221	-5.3%	-5.3%	-			654		564	15.9%	15.9%	-
Intl		146		124	18.8%	16.0%	2.8%			451		344	31.3%	24.1%	7.2%
WW		356		345	3.3%	2.3%	1.0%			1,105		908	21.8%	19.0%	2.8%
KNEES
US		184		205	-9.8%	-9.8%	-			579		527	10.0%	10.0%	-
Intl		131		102	28.1%	25.9%	2.2%			403		298	35.4%	28.2%	7.2%
WW		316		308	2.8%	2.1%	0.7%			983		825	19.2%	16.6%	2.6%
TRAUMA
US		455		433	5.3%	5.3%	-			1,352		1,194	13.3%	13.3%	-
Intl		260		253	2.4%	0.9%	1.5%			805		698	15.2%	9.5%	5.7%
WW		715		685	4.2%	3.7%	0.5%			2,157		1,892	14.0%	11.9%	2.1%
SPINE, SPORTS & OTHER
US		400		449	-11.1%	-11.1%	-			1,236		1,142	8.2%	8.2%	-
Intl		306		295	3.5%	1.5%	2.0%			952		805	18.2%	12.0%	6.2%
WW		705		745	-5.3%	-6.1%	0.8%			2,187		1,947	12.3%	9.7%	2.6%

 

	REPORTED SALES vs. PRIOR PERIOD ($MM)								REPORTED SALES vs. PRIOR PERIOD ($MM)
	THIRD QUARTER								NINE MONTHS
					% Change								% Change
		2021		2020	Reported	Operational (1)	Currency			2021		2020	Reported	Operational (1)	Currency
SURGERY
US		948		913	3.9%	3.9%	-			2,881		2,247	28.2%	28.2%	-
Intl		1,457		1,239	17.6%	14.8%	2.8%			4,418		3,556	24.2%	18.4%	5.8%
WW		2,405		2,152	11.8%	10.2%	1.6%			7,299		5,803	25.8%	22.2%	3.6%
ADVANCED
US		440		421	4.6%	4.6%	-			1,304		1,079	20.9%	20.9%	-
Intl		705		579	21.8%	18.4%	3.4%			2,126		1,644	29.3%	23.1%	6.2%
WW		1,144		1,000	14.6%	12.6%	2.0%			3,430		2,723	26.0%	22.2%	3.8%
GENERAL
US		508		492	3.3%	3.3%	-			1,577		1,168	35.0%	35.0%	-
Intl		752		660	13.9%	11.7%	2.2%			2,292		1,912	19.9%	14.5%	5.4%
WW		1,261		1,152	9.4%	8.1%	1.3%			3,869		3,080	25.6%	22.3%	3.3%
VISION
US		475		473	0.6%	0.6%	-			1,414		1,160	21.9%	21.9%	-
Intl		714		608	17.4%	17.4%	0.0%			2,103		1,683	25.0%	22.0%	3.0%
WW		1,189		1,081	10.1%	10.0%	0.1%			3,517		2,843	23.7%	22.0%	1.7%
CONTACT LENSES / OTHER
US		359		375	-4.3%	-4.3%	-			1,082		924	17.0%	17.0%	-
Intl		522		455	14.9%	15.2%	-0.3%			1,525		1,274	19.8%	17.3%	2.5%
WW		882		830	6.2%	6.4%	-0.2%			2,607		2,198	18.6%	17.2%	1.4%
SURGICAL
US		117		98	19.6%	19.6%	-			333		236	41.1%	41.1%	-
Intl		191		153	24.7%	23.7%	1.0%			577		409	41.1%	36.7%	4.4%
WW		308		251	22.7%	22.1%	0.6%			910		645	41.1%	38.3%	2.8%
TOTAL MEDICAL DEVICES
US		3,117		3,092	0.8%	0.8%	-			9,470		7,852	20.6%	20.6%	-
Intl		3,527		3,058	15.4%	13.3%	2.1%			10,731		8,518	26.0%	20.5%	5.5%
WW		$          6,644		6,150	8.0%	7.0%	1.0%			$        20,201		16,370	23.4%	20.5%	2.9%
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

 

 

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SOURCE Johnson & Johnson

FAQ

What were Johnson & Johnson's Q3 2021 sales figures?

Johnson & Johnson reported Q3 2021 sales of $23.3 billion, a 10.7% increase from the previous year.

How did Johnson & Johnson's earnings compare in Q3 2021?

Net earnings for Q3 2021 rose to $3.67 billion, up 3.2% from Q3 2020.

What is the adjusted EPS for JNJ in Q3 2021?

The adjusted EPS for Johnson & Johnson in Q3 2021 is $2.60, an increase of 18.2%.

What contributed to Johnson & Johnson's pharmaceutical sales growth in Q3 2021?

Pharmaceutical sales grew 13.8%, driven by drugs like DARZALEX and STELARA.

Who will succeed Alex Gorsky as CEO of Johnson & Johnson?

Joaquin Duato will take over as CEO from Alex Gorsky effective January 3, 2022.