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UNITED STATES
SECURITIES AND EXCHANGE COMMISSION
WASHINGTON, DC 20549

FORM 8-K

CURRENT REPORT
Pursuant to Section 13 or 15(d) of The
Securities Exchange Act of 1934
 
Date of report (Date of earliest event reported): 
July 19, 2022
Johnson & Johnson
 (Exact name of registrant as specified in its charter)
  
New Jersey1-321522-1024240
(State or Other Jurisdiction of Incorporation)(Commission File Number)(IRS Employer Identification No.)

One Johnson & Johnson Plaza, New Brunswick, New Jersey  08933 
(Address of Principal Executive Offices)
 (Zip Code) 
Registrant's telephone number, including area code:
732-524-0400
 
Check the appropriate box below if the Form 8-K filing is intended to simultaneously satisfy the filing obligation of the registrant under any of the following provisions:
 
            Written communications pursuant to Rule 425 under the Securities Act (17 CFR 230.425) 
            Soliciting material pursuant to Rule 14a-12 under the Exchange Act (17 CFR 240.14a-12) 
            Pre-commencement communications pursuant to Rule 14d-2(b) under the Exchange Act (17
               CFR 240.14d-2(b)) 
            Pre-commencement communications pursuant to Rule 13e-4(c) under the Exchange Act (17
               CFR 240.13e-4(c))

Indicate by check mark whether the registrant is an emerging growth company as defined in Rule 405 of the Securities Act of 1933 (§230.405 of this chapter) or Rule 12b-2 of the Securities Exchange Act of 1934 (§240.12b-2 of this chapter).
    Emerging growth company  

If an emerging growth company, indicate by check mark if the registrant has elected not to use the extended transition period for complying with any new or revised financial accounting standards provided pursuant to Section 13(a) of the Exchange Act. 

Securities registered pursuant to Section 12(b) of the Act:
Title of each classTrading Symbol(s)Name of each exchange on which registered
Common Stock, Par Value $1.00JNJNew York Stock Exchange
0.650% Notes Due May 2024JNJ24CNew York Stock Exchange
5.50% Notes Due November 2024JNJ24BPNew York Stock Exchange
1.150% Notes Due November 2028JNJ28New York Stock Exchange
1.650% Notes Due May 2035JNJ35New York Stock Exchange
 
 




 
Item 2.02     Results of Operations and Financial Condition
 
On July 19, 2022, Johnson & Johnson issued the attached press release announcing its sales and earnings for the second quarter ended July 3, 2022.
 
Item 9.01    Financial Statements and Exhibits

(d)     Exhibits. 
 
Exhibit No.
 
Description of Exhibit
 
104The cover page from this Current Report on Form 8-K, formatted in Inline XBRL.




 
 
 


 

SIGNATURES
 
Pursuant to the requirements of the Securities Exchange Act of 1934, the registrant has duly caused this report to be signed on its behalf by the undersigned hereunto duly authorized.
 
 Johnson & Johnson 
   (Registrant)
 
 
 
 
Date: July 19, 2022By:/s/ Robert J. Decker, Jr. 
  Robert J. Decker, Jr.
Controller
(Principal Accounting Officer)
 

Document

Exhibit 99.1

JOHNSON & JOHNSON REPORTS 2022 SECOND-QUARTER RESULTS:
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. (July 19, 2022) – 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:
https://cdn.kscope.io/b04cd4dab22526baacf3386ceb83c833-a2q22overallfinancialresul.jpg
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:

https://cdn.kscope.io/b04cd4dab22526baacf3386ceb83c833-a2q22regionalfinancialresu.jpg

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:
https://cdn.kscope.io/b04cd4dab22526baacf3386ceb83c833-a2q22salesbysegment003002a.jpg

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 ANNOUNCEMENTS 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, as well as
www.factsabouttalc.com, www.factsaboutourprescriptionopioids.com, and www.LTLManagementInformation.com.

Regulatory DecisionsEuropean 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)
OtherJohnson & 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 2022April 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.


Press Contacts:Investor Contacts:
Jake Sargent Jessica MooreRaychel Kruper
(202) 569-5986(732) 524-2955(732) 524-6064

Document

Exhibit 99.2


Johnson & Johnson and Subsidiaries
Supplementary Sales Data
(Unaudited; Dollars in Millions)
SECOND QUARTER
Percent Change
20222021TotalOperationsCurrency
Sales to customers by
geographic area
U.S. $12,197  11,919  2.3 % 2.3 — 
Europe 6,085  5,668 7.3  20.7  (13.4)
Western Hemisphere excluding U.S. 1,536  1,367  12.4 14.9  (2.5)
Asia-Pacific, Africa 4,202  4,358  (3.6) 4.7  (8.3)
International 11,823  11,393  3.8  13.9  (10.1)
      
Worldwide$24,020  23,312  3.0 % 8.0  (5.0)
        
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)
SIX MONTHS
Percent Change
20222021TotalOperationsCurrency
Sales to customers by
geographic area
U.S.$23,611  23,030 2.5 %2.5 — 
Europe 12,109  11,082  9.3  20.1  (10.8)
Western Hemisphere excluding U.S. 3,018  2,791  8.1  9.9  (1.8)
Asia-Pacific, Africa 8,708  8,730  (0.2) 5.6  (5.8)
International 23,835  22,603  5.5  13.3  (7.8)
      
Worldwide$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
Supplementary Sales Data
(Unaudited; Dollars in Millions)
SECOND QUARTER
 Percent Change
20222021TotalOperationsCurrency
Sales to customers by
segment of business
Consumer Health (1)
    U.S.$1,687 1,751 (3.6)%(3.6)— 
    International2,118 2,103 0.67.3 (6.7)
3,805    3,854 (1.3)2.3 (3.6)
Pharmaceutical (1)
    U.S.7,159 6,869 4.2 4.2— 
    International6,158 5,611 9.8 22.1(12.3)
13,317    12,480 6.7 12.3(5.6)
Pharmaceutical excluding COVID-19 Vaccine (1,3)
     U.S.7,114 6,818 4.3 4.3— 
     International5,659 5,498 2.9 13.9(11.0)
12,773 12,316 3.7 8.6(4.9)
MedTech (2)
    U.S.3,351    3,299 1.6 1.6 — 
    International3,547 3,679 (3.6)5.1 (8.7)
 6,898    6,978 (1.1)3.4 (4.5)
U.S.12,197 11,919 2.3 2.3 — 
International11,823 11,393 3.8 13.9 (10.1)
Worldwide24,020 23,312 3.0 8.0 (5.0)
   
U.S.12,152 11,868 2.4 2.4 — 
International11,324 11,280 0.4 9.8 (9.4)
Worldwide excluding COVID-19 Vaccine (3)
$23,476 23,148 1.4 %6.0 (4.6)
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)
SIX MONTHS
 Percent Change
20222021TotalOperationsCurrency
Sales to customers by
segment of business
Consumer Health (1)
    U.S.$3,244 3,362 (3.5)%(3.5)— 
    International4,147 4,133 0.35.7 (5.4)
7,391    7,495 (1.4)1.6 (3.0)
Pharmaceutical (1)
    U.S.13,791 13,315 3.6 3.6— 
    International12,395 11,266 10.0 19.4(9.4)
26,186    24,581 6.5 10.8(4.3)
Pharmaceutical excluding COVID-19 Vaccine (1,3)
     U.S.13,671 13,164 3.9 3.9— 
     International11,514 11,153 3.2 11.9(8.7)
25,185 24,317 3.6 7.5(3.9)
MedTech (2)
    U.S.6,576    6,353 3.5 3.5 — 
    International7,293 7,204 1.2 8.0 (6.8)
 13,869    13,557 2.3 5.9 (3.6)
U.S.23,611 23,030 2.5 2.5 — 
International23,835 22,603 5.5 13.3 (7.8)
Worldwide47,446 45,633 4.0 7.8 (3.8)
   
U.S.23,491 22,879 2.7 2.7 — 
International22,954 22,490 2.1 9.5 (7.4)
Worldwide excluding COVID-19 Vaccine (3)
$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 
Condensed Consolidated Statement of Earnings  
(Unaudited; in Millions Except Per Share Figures)
SECOND QUARTER
20222021Percent
PercentPercentIncrease
Amountto SalesAmountto Sales(Decrease)
Sales to customers$24,020 100.0$23,312 100.03.0 
Cost of products sold7,919 33.07,587 32.54.4 
Gross Profit16,101 67.015,725 67.52.4 
Selling, marketing and administrative expenses6,226 25.96,073 26.12.5 
Research and development expense3,703 15.43,394 14.69.1 
Interest (income) expense, net(26)(0.1)28 0.1 
Other (income) expense, net273 1.1 (488)(2.1) 
Restructuring85 0.456 0.2 
Earnings before provision for taxes on income5,840 24.36,662 28.6(12.3)
Provision for taxes on income1,026 4.3384 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 rate17.6 %5.8 %
Adjusted earnings before provision for taxes and net earnings (1) (A)
Earnings before provision for taxes on income$8,171 34.0$7,776 33.45.1 
Net earnings$6,912 28.8$6,625 28.44.3 
Net earnings per share (Diluted)$2.59 $2.48 4.4 
Effective tax rate15.4 %14.8 %
(1) See Reconciliation of Non-GAAP Financial Measures.
(A) NON-GAAP FINANCIAL MEASURES "Adjusted earnings before provision for taxes on income," "adjusted net earnings," "adjusted net earnings per share (diluted)," and "adjusted effective tax rate" are non-GAAP financial measures and should not be considered replacements for GAAP results. The Company provides earnings before provision for taxes on income, net earnings, net earnings per share (diluted), and effective tax rate on an adjusted basis because management believes that these measures provide useful information to investors. Among other things, these measures may assist investors in evaluating the Company's results of operations period over period. In various periods, these measures may exclude such items as intangible asset amortization expense, significant gains from divestitures, significant costs associated with acquisitions, restructuring, litigation, and changes in applicable laws and regulations (including significant accounting or tax matters). Special items may be highly variable, difficult to predict, and of a size that sometimes has substantial impact on the Company's reported results of operations for a period. Management uses these measures internally for planning, forecasting and evaluating the performances of the Company's businesses, including allocating resources and evaluating results relative to employee performance compensation targets. Unlike earnings before provision for taxes on income, net earnings, net earnings per share (diluted), and effective tax rate prepared in accordance with GAAP, adjusted earnings before provision for taxes on income, adjusted net earnings, adjusted net earnings per share (diluted), and adjusted effective tax rate may not be comparable with the calculation of similar measures for other companies. The limitations of using these non-GAAP financial measures as performance measures are that they provide a view of the Company's results of operations without including all events during a period, such as intangible asset amortization expense, significant gains from divestitures, the effects of an acquisition, restructuring, litigation, and changes in applicable laws and regulations (including significant accounting or tax matters) and do not provide a comparable view of the Company's performance to other companies in the health care industry. Investors should consider non-GAAP financial measures in addition to, and not as replacements for, or superior to, measures of financial performance prepared in accordance with GAAP.




Johnson & Johnson and Subsidiaries 
Condensed Consolidated Statement of Earnings  
(Unaudited; in Millions Except Per Share Figures)
SIX MONTHS
20222021Percent
PercentPercentIncrease
Amountto SalesAmountto Sales(Decrease)
Sales to customers$47,446 100.0$45,633 100.04.0 
Cost of products sold15,517 32.714,650 32.15.9 
Gross Profit31,929 67.330,983 67.93.1 
Selling, marketing and administrative expenses12,164 25.611,505 25.25.7 
Research and development expense7,165 15.16,572 14.49.0 
In-process research and development6101.3  
Interest (income) expense, net(38)(0.1)76 0.2 
Other (income) expense, net171 0.4 (1,370)(3.0) 
Restructuring155 0.3109 0.2 
Earnings before provision for taxes on income11,702 24.714,091 30.9(17.0)
Provision for taxes on income1,739 3.71,616 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 rate14.9 %11.5 %
Adjusted earnings before provision for taxes and net earnings (1) (A)
Earnings before provision for taxes on income$16,389 34.5$16,067 35.22.0 
Net earnings$14,041 29.6$13,549 29.73.6 
Net earnings per share (Diluted)$5.26 $5.07 3.7 
Effective tax rate14.3 %15.7 %
(1) See Reconciliation of Non-GAAP Financial Measures.
(A) NON-GAAP FINANCIAL MEASURES "Adjusted earnings before provision for taxes on income," "adjusted net earnings," "adjusted net earnings per share (diluted)," and "adjusted effective tax rate" are non-GAAP financial measures and should not be considered replacements for GAAP results. The Company provides earnings before provision for taxes on income, net earnings, net earnings per share (diluted), and effective tax rate on an adjusted basis because management believes that these measures provide useful information to investors. Among other things, these measures may assist investors in evaluating the Company's results of operations period over period. In various periods, these measures may exclude such items as intangible asset amortization expense, significant gains from divestitures, significant costs associated with acquisitions, restructuring, litigation, and changes in applicable laws and regulations (including significant accounting or tax matters). Special items may be highly variable, difficult to predict, and of a size that sometimes has substantial impact on the Company's reported results of operations for a period. Management uses these measures internally for planning, forecasting and evaluating the performances of the Company's businesses, including allocating resources and evaluating results relative to employee performance compensation targets. Unlike earnings before provision for taxes on income, net earnings, net earnings per share (diluted), and effective tax rate prepared in accordance with GAAP, adjusted earnings before provision for taxes on income, adjusted net earnings, adjusted net earnings per share (diluted), and adjusted effective tax rate may not be comparable with the calculation of similar measures for other companies. The limitations of using these non-GAAP financial measures as performance measures are that they provide a view of the Company's results of operations without including all events during a period, such as intangible asset amortization expense, significant gains from divestitures, the effects of an acquisition, restructuring, litigation, and changes in applicable laws and regulations (including significant accounting or tax matters) and do not provide a comparable view of the Company's performance to other companies in the health care industry. Investors should consider non-GAAP financial measures in addition to, and not as replacements for, or superior to, measures of financial performance prepared in accordance with GAAP.



Johnson & Johnson and Subsidiaries
Reconciliation of Non-GAAP Financial Measures
Second Quarter
(Dollars in Millions Except Per Share Data)20222021
Net Earnings, after tax- as reported$4,814$6,278
Pre-tax Adjustments
Intangible Asset Amortization expense1,095 1,202
Litigation related385(23)
Restructuring related128 108
Acquisition, integration and divestiture related - 14
(Gains)/losses on securities 109 (243)
Medical Device Regulation 1
70  56
COVID-19 Vaccine related costs 2
276  -
Consumer Health separation costs268-
Tax Adjustments
Tax impact on special item adjustments 3
(313)(135)
Consumer Health separation tax related costs2  -
Tax legislation and other tax related78  (632)
Adjusted Net Earnings, after tax$6,912$6,625
Average shares outstanding (Diluted)2,667.9 2671.6
Adjusted net earnings per share (Diluted)2.592.48
Operational adjusted net earnings per share (Diluted)2.75 
Notes:
1
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.
2
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.
3
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 Measures
Six Months Ended
(Dollars in Millions Except Per Share Data)20222021
Net Earnings, after tax- as reported$9,663$12,475
Pre-tax Adjustments
Intangible Asset Amortization expense2,203 2,417
Litigation related385(23)
IPR&D 610  -
Restructuring related200 212
Acquisition, integration and divestiture related ¹ - (524)
(Gains)/losses on securities520 (208)
Medical Device Regulation 2
130  102
COVID-19 Vaccine related costs 3
276  -
Consumer Health separation costs370-
Other(7)-
Tax Adjustments
Tax impact on special item adjustments 4
(706)(248)
Consumer Health separation tax related costs98  -
Tax legislation and other tax related(1) (654)
Adjusted Net Earnings, after tax$14,041$13,549
Average shares outstanding (Diluted)2,669.2 2674.0
Adjusted net earnings per share (Diluted)5.265.07
Operational adjusted net earnings per share (Diluted)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 (A)
 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 Divestitures0.60.10.00.1
 U.S. 0.20.2(0.2)0.1
 International 0.80.10.20.3
WW Adjusted Operational2.9 %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
(A) NON-GAAP FINANCIAL MEASURE “Adjusted operational sales growth" excludes acquisitions, divestitures and translational currency and is a non-GAAP financial measure. Investors should consider non-GAAP financial measures in addition to, and not as replacements for, or superior to, measures of financial performance prepared in accordance with GAAP. Due to the variable nature of acquisitions and divestitures, and the impact they may have on the analysis of underlying business performance and trends, management believes that providing this measure enhances an investor’s understanding of the Company’s performance and may assist in the evaluation of ongoing business operations period over period. This non-GAAP financial measure is presented to permit investors to more fully understand how management assesses the performance of the Company, including for internal evaluation of the performance of the Company's businesses and planning and forecasting for future periods. The use of this non-GAAP financial measure as a performance measure is limited in that it provides a view of the Company's results of operations without including all events during a period and may not provide a comparable view of the Company's performance to that of other companies in the health care industry.




Johnson & Johnson and Subsidiaries
Reconciliation of Non-GAAP Financial Measure
Adjusted Operational Sales Growth (A)
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 - Sedona0.50.1
U.S.0.00.0
International0.90.2
All Other Acquisitions and Divestitures0.10.10.10.1
 U.S. 0.20.1(0.1)0.1
 International 0.10.00.20.1
WW Adjusted Operational2.2 %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
(A) NON-GAAP FINANCIAL MEASURE “Adjusted operational sales growth" excludes acquisitions, divestitures and translational currency and is a non-GAAP financial measure. Investors should consider non-GAAP financial measures in addition to, and not as replacements for, or superior to, measures of financial performance prepared in accordance with GAAP. Due to the variable nature of acquisitions and divestitures, and the impact they may have on the analysis of underlying business performance and trends, management believes that providing this measure enhances an investor’s understanding of the Company’s performance and may assist in the evaluation of ongoing business operations period over period. This non-GAAP financial measure is presented to permit investors to more fully understand how management assesses the performance of the Company, including for internal evaluation of the performance of the Company's businesses and planning and forecasting for future periods. The use of this non-GAAP financial measure as a performance measure is limited in that it provides a view of the Company's results of operations without including all events during a period and may not provide a comparable view of the Company's performance to that of other companies in the health care industry.




Johnson & Johnson
Segment Sales
(Dollars in Millions)
SECOND QUARTER
% Change
20222021Reported
Operational (1)
Currency
CONSUMER HEALTH SEGMENT (2) (3)
OTC
US$663675(1.8)%(1.8)%— %
Intl8187528.8 15.9 (7.1)
WW1,4821,4263.8 7.5 (3.7)
SKIN HEALTH / BEAUTY
US629659(4.5)(4.5)— 
Intl497511(2.8)5.1 (7.9)
WW1,126 1,170(3.7)(0.3)(3.4)
ORAL CARE
US1701653.4 3.4 — 
Intl224260(14.1)(8.7)(5.4)
WW394 426 (7.3)(4.0)(3.3)
BABY CARE
US8897(9.1)(9.1)— 
Intl287290(1.0)3.7 (4.7)
WW375 387 (3.1)0.5 (3.6)
WOMEN'S HEALTH
US338.9 8.9 — 
Intl2282270.1 7.2 (7.1)
WW2302300.2 7.2 (7.0)
WOUND CARE / OTHER
US133153(12.7)(12.7)— 
Intl65641.7 5.2 (3.5)
WW197216(8.4)(7.4)(1.0)
TOTAL CONSUMER HEALTH
US1,687 1,751 (3.6)(3.6) 
Intl2,118 2,103 0.6 7.3 (6.7)
WW$3,805 3,854 (1.3)%2.3 %(3.6)%
See footnotes at end of schedule






Johnson & Johnson
Segment Sales
(Dollars in Millions)
SECOND QUARTER
% Change
20222021Reported
Operational (1)
Currency
PHARMACEUTICAL SEGMENT (2) (3)
IMMUNOLOGY
US$2,8532,7483.8 %3.8 %— %
Intl1,5591,4835.1 16.2 (11.1)
WW4,4114,2314.3 8.1 (3.8)
     REMICADE
     US391540(27.4)(27.4)— 
     US Exports (4)
4493(53.0)(53.0)— 
     Intl212255(17.2)(12.0)(5.2)
     WW647888(27.2)(25.6)(1.6)
     SIMPONI / SIMPONI ARIA
     US3012903.8 3.8 — 
     Intl266294(9.7)0.3 (10.0)
     WW566584(3.0)2.0 (5.0)
     STELARA
     US1,7311,49615.7 15.7 — 
     Intl86877811.6 24.0 (12.4)
     WW2,5992,27414.3 18.6 (4.3)
     TREMFYA
     US382 325 17.7 17.7 — 
     Intl214 155 38.3 54.6 (16.3)
     WW597 479 24.4 29.7 (5.3)
     OTHER IMMUNOLOGY
     US3 5 (50.1)(50.1)— 
     Intl0 1 **  *
     WW3 7 (59.2)(59.2)0.0
INFECTIOUS DISEASES
US415444(6.4)(6.4)— 
Intl90157556.879.3(22.5)
WW1,3161,01829.342.0(12.7)
     COVID-19 VACCINE
     US4551(11.5)(11.5)— 
     Intl499113**  *
     WW544164**  *
     EDURANT / rilpivirine
     US9 9 (1.7)(1.7)— 
     Intl215 253 (14.7)(5.4)(9.3)
     WW225 262 (14.3)(5.3)(9.0)
     PREZISTA / PREZCOBIX / REZOLSTA / SYMTUZA
     US355368(3.4)(3.4)— 
     Intl110137(20.2)(10.4)(9.8)
     WW464505(7.9)(5.3)(2.6)
     OTHER INFECTIOUS DISEASES
     US616(62.5)(62.5)— 
     Intl77717.410.9(3.5)
     WW8388(5.4)(2.6)(2.8)
See footnotes at end of schedule





Johnson & Johnson
Segment Sales
(Dollars in Millions)
SECOND QUARTER
% Change
20222021Reported
Operational (1)
Currency
PHARMACEUTICAL SEGMENT (2) (3) (Continued)
NEUROSCIENCE
US$8968426.5%6.5%—%
Intl837963(13.0)(4.8)(8.2)
WW1,7341,804(3.9)0.5(4.4)
     CONCERTA / methylphenidate
     US38359.49.4
     Intl123127(2.2)8.0(10.2)
     WW1611610.38.3(8.0)
     INVEGA SUSTENNA / XEPLION / INVEGA
     TRINZA / TREVICTA
     US6916457.37.3
     Intl362380(4.6)6.3(10.9)
     WW1,0541,0242.96.9(4.0)
     RISPERDAL CONSTA
     US6572(8.9)(8.9)
     Intl6084(28.0)(19.0)(9.0)
     WW125155(19.3)(14.4)(4.9)
     OTHER NEUROSCIENCE
     US1029111.811.8
     Intl292373(21.8)(17.2)(4.6)
     WW393464(15.2)(11.6)(3.6)
ONCOLOGY
US1,6791,46214.914.9
Intl2,3622,07314.026.9(12.9)
WW4,0423,53514.321.9(7.6)
     DARZALEX
     US1,021 770 32.632.6
     Intl965 663 45.561.9(16.4)
     WW1,986 1,433 38.646.1(7.5)
     ERLEADA
     US233 193 20.620.6
     Intl218 109  *  *    *
     WW450 302 49.556.9(7.4)
     IMBRUVICA
     US349 454 (23.1)(23.1)
     Intl620 662 (6.3)3.6(9.9)
     WW970 1,116 (13.1)(7.2)(5.9)
     ZYTIGA / abiraterone acetate
     US1921 (12.2)(12.2)
     Intl486542(10.2)1.5(11.7)
     WW505563(10.3)0.9(11.2)
     OTHER ONCOLOGY
     US57 23 **
     Intl7297(25.7)(17.3)(8.4)
     WW1301207.514.4(6.9)
See footnotes at end of schedule



Johnson & Johnson
Segment Sales
(Dollars in Millions)
SECOND QUARTER
% Change
20222021Reported
Operational (1)
Currency
PHARMACEUTICAL SEGMENT (2) (3) (Continued)
PULMONARY HYPERTENSION
US$560 595 (5.8)%(5.8)%— %
Intl284 275 2.8 15.3 (12.5)
WW843 870 (3.1)0.9 (4.0)
     OPSUMIT
     US265 290 (8.7)(8.7)— 
     Intl173 172 0.5 13.1 (12.6)
     WW438 463 (5.3)(0.6)(4.7)
     UPTRAVI
     US272 268 1.4 1.4 — 
     Intl56 45 26.2 38.3 (12.1)
     WW328 313 4.9 6.6 (1.7)
     OTHER PULMONARY HYPERTENSION
     US23 36 (36.2)(36.2)— 
     Intl55 59 (8.1)4.8 (12.9)
     WW78 95 (18.7)(10.7)(8.0)
CARDIOVASCULAR / METABOLISM / OTHER
US757780(3.0)(3.0)— 
Intl215241(10.9)(3.4)(7.5)
WW9721,021(4.8)(3.1)(1.7)
     XARELTO
     US609 569 7.1 7.1 — 
     Intl  — — — 
     WW609 569 7.1 7.1 — 
     INVOKANA / INVOKAMET
     US55 96 (42.9)(42.9)— 
     Intl65 64 2.4 10.2 (7.8)
     WW120 160 (24.9)(21.8)(3.1)
     OTHER
     US93 116 (19.5)(19.5)— 
     Intl150 178 (15.6)(8.3)(7.3)
     WW243 293 (17.2)(12.7)(4.5)
TOTAL PHARMACEUTICAL
US7,1596,8694.2 4.2  
Intl6,1585,6119.8 22.1 (12.3)
WW$13,31712,4806.7 %12.3 %(5.6)%
See footnotes at end of schedule




Johnson & Johnson
Segment Sales
(Dollars in Millions)
SECOND QUARTER
% Change
20222021Reported
Operational (1)
Currency
MEDTECH SEGMENT (2) (3) (5)
INTERVENTIONAL SOLUTIONS
US$525 475 10.5 %10.5 %— %
Intl525 572(8.1)1.0 (9.1)
WW1,049 1,0460.3 5.3 (5.0)
ORTHOPAEDICS
US1,338 1,323 1.1 1.1 — 
Intl820 904 (9.3)(0.6)(8.7)
WW2,157 2,227 (3.1)0.5 (3.6)
     HIPS
     US240 233 3.4 3.4 — 
     Intl148 159 (6.6)1.7 (8.3)
     WW388 391 (0.7)2.7 (3.4)
     KNEES
     US216 210 2.9 2.9 — 
     Intl133 140 (4.6)3.9 (8.5)
     WW349 350 (0.1)3.3 (3.4)
     TRAUMA
     US464 447 3.9 3.9 — 
     Intl232 263 (11.8)(1.7)(10.1)
     WW696 710 (1.9)1.8 (3.7)
     SPINE, SPORTS & OTHER
     US418 434 (3.7)(3.7)— 
     Intl306 343 (10.6)(2.5)(8.1)
     WW724 777 (6.8)(3.2)(3.6)
See footnotes at end of schedule




Johnson & Johnson
Segment Sales
(Dollars in Millions)
SECOND QUARTER
% Change
20222021Reported
Operational (1)
Currency
MEDTECH SEGMENT (2) (3) (5) (Continued)
SURGERY
US$992 1,035 (4.1)(4.1)— %
Intl1,458 1,487 (2.0)5.9 (7.9)
WW2,450 2,522 (2.8)1.8 (4.6)
     ADVANCED
US454 459 (1.1)(1.1) 
Intl702 708 (0.9)6.6 (7.5)
WW1,156 1,168 (1.0)3.6 (4.6)
     GENERAL
US538 576 (6.4)(6.4) 
Intl756 779 (3.0)5.3 (8.3)
WW1,294 1,354 (4.5)0.3 (4.8)
VISION
US496 467 6.2 6.2  
Intl745 716 4.0 13.9 (9.9)
WW1,241 1,183 4.9 10.9 (6.0)
     CONTACT LENSES / OTHER
US374 352 6.6 6.6  
Intl519 517 0.4 11.0 (10.6)
WW894 868 2.9 9.2 (6.3)
     SURGICAL
US122 115 5.15.1— 
Intl225 199 13.621.5 (7.9)
WW347 314 10.515.5(5.0)
TOTAL MEDTECH
US3,351 3,299 1.6 1.6  
Intl3,547 3,679 (3.6)5.1 (8.7)
WW$6,898 6,978 (1.1)%3.4 %(4.5)%
See footnotes at end of schedule









Johnson & Johnson
Segment Sales
(Dollars in Millions)
SIX MONTHS
% Change
20222021Reported
Operational (1)
Currency
CONSUMER HEALTH SEGMENT (2) (3)
OTC
US$1,3331,2744.6 %4.6 %— %
Intl1,6091,42512.9 18.6 (5.7)
WW2,9432,6999.0 12.0 (3.0)
SKIN HEALTH / BEAUTY
US1,1731,293(9.2)(9.2)— 
Intl9651,040(7.2)(1.1)(6.1)
WW2,138 2,333(8.3)(5.6)(2.7)
ORAL CARE
US313328(4.6)(4.6)— 
Intl447514(13.0)(8.6)(4.4)
WW760 843 (9.7)(7.1)(2.6)
BABY CARE
US173193(10.3)(10.3)— 
Intl557583(4.4)(0.6)(3.8)
WW730 776 (5.9)(3.0)(2.9)
WOMEN'S HEALTH
US768.1 8.1 — 
Intl4524461.3 7.7 (6.4)
WW4584521.4 7.7 (6.3)
WOUND CARE / OTHER
US245268(8.6)(8.6)— 
Intl117125(6.6)(4.5)(2.1)
WW361393(8.0)(7.3)(0.7)
TOTAL CONSUMER HEALTH
US3,244 3,362 (3.5)(3.5) 
Intl4,147 4,133 0.3 5.7 (5.4)
WW$7,391 7,495 (1.4)%1.6 %(3.0)%
See footnotes at end of schedule



Johnson & Johnson
Segment Sales
(Dollars in Millions)
SIX MONTHS
% Change
20222021Reported
Operational (1)
Currency
PHARMACEUTICAL SEGMENT (2) (3)
IMMUNOLOGY
US$5,3545,1613.7 %3.7 %— %
Intl3,1762,9846.4 14.9 (8.5)
WW8,5308,1454.7 7.8 (3.1)
     REMICADE
     US7491,029(27.1)(27.1)— 
     US Exports (4)
124150(17.5)(17.5)— 
     Intl437487(10.3)