jnj-20240416

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):

April 16, 2024

Johnson & Johnson

(Exact name of registrant as specified in its charter)


New Jersey	1-3215	22-1024240
(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 class	Trading Symbol(s)	Name of each exchange on which registered
Common Stock, Par Value $1.00	JNJ	New York Stock Exchange
0.650% Notes Due May 2024	JNJ24C	New York Stock Exchange
5.50% Notes Due November 2024	JNJ24BP	New York Stock Exchange
1.150% Notes Due November 2028	JNJ28	New York Stock Exchange
1.650% Notes Due May 2035	JNJ35	New York Stock Exchange

Item 2.02 Results of Operations and Financial Condition

On April 16, 2024, Johnson & Johnson issued the attached press release (Exhibit 99.1) announcing its sales and earnings for the first quarter ended March 31, 2024.

Item 8.01 Other Events

On April 16, 2024, Johnson & Johnson issued the attached press release (Exhibit 99.3) announcing that its Board of Directors declared a 4.2% increase in the quarterly dividend rate, from $1.19 to $1.24 per share, marking the 62nd year of

consecutive increases. At the new rate, the indicated dividend on an annual basis is $4.96 per share compared to the previous rate of $4.76 per share. The next quarterly dividend is payable on June 4, 2024 to shareholders of record as of the close of business on May 21, 2024. The ex-dividend date is May 20, 2024.

Item 9.01 Financial Statements and Exhibits

(d) Exhibits.


Exhibit No.			Description of Exhibit
99.1			Press Release dated April 16 , 2024 for the period ended March 31, 202 4
99.2			Unaudited Comparative Supplementary Sales Data and Condensed Consolidated Statement of Earnings for the fiscal f i rst quarter
99.3			Press Release dated April 16, 2024
104			The 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:

April 16, 2024

By:

/s/ Robert J. Decker, Jr.

Robert J. Decker, Jr.
Controller
(Principal Accounting Officer)

Exhibit 99.1


Media contact: Tesia Williams [email protected]						Investor contact: Jessica Moore [email protected]

Johnson & Johnson Reports Q1 2024 Results

•2024 First-Quarter reported sales growth of 2.3% to $21.4 Billion with operational growth of 3.9%* and adjusted operational growth of 4.0%*

◦Adjusted operational growth excluding COVID-19 Vaccine of 7.7%*

•2024 First-Quarter Earnings per share (EPS) increased to $2.20 and adjusted EPS increased to $2.71 or 12.4%*

•Company increasing the midpoint for Full-Year 2024 operational sales5 and adjusted operational EPS guidance

New Brunswick, N.J. (April 16, 2024) – Johnson & Johnson (NYSE: JNJ) today announced results for first-quarter 2024. “Johnson & Johnson’s solid first quarter performance reflects our sharpened focus and the progress in our portfolio and pipeline,” said Joaquin Duato, Chairman and Chief Executive Officer. “Our impact across the full spectrum of healthcare is unique in our industry, and the milestones achieved this quarter reinforce our position as an innovation powerhouse.”

Unless otherwise noted, the financial results and earnings guidance included below reflect the continuing operations of Johnson & Johnson.

Overall Financial Results

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

5 Excludes COVID-19 Vaccine

6 Basic shares are used to calculate loss per share in the first quarter of 2023 as use of diluted shares when in a loss position would be anti-dilutive

Note: values may have been rounded

Regional Sales Results

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

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

First Quarter 2024 Segment Commentary:

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

Innovative Medicine

Innovative Medicine worldwide operational sales, excluding the COVID-19 Vaccine, grew 8.3%*. Growth was driven by DARZALEX (daratumumab), ERLEADA (apalutamide), CARVYKTI (ciltacabtagene autoleucel), TECVAYLI (teclistamab-cqyv) and Other Oncology in Oncology, UPTRAVI (selexipag) and OPSUMIT (macitentan) in Pulmonary Hypertension, TREMFYA (guselkumab) in Immunology, and SPRAVATO (esketamine) in Neuroscience. Including the COVID-19 Vaccine, Innovative Medicine worldwide operational sales grew 2.5%*.

MedTech

MedTech worldwide operational sales grew 6.3%* driven primarily by electrophysiology products and Abiomed in Cardiovascular, previously referred to as Interventional Solutions, and wound closure products in General Surgery.

Notable New Announcements in the Quarter:

The information contained in this section should be read together 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 Investor Relations section of the company’s website at News Releases, as well as Innovative Medicine News Center, MedTech News & Events, www.factsabouttalc.com, and www.LLTManagementInformation.com.


Regulatory	CARVYKTI is the First and Only BCMA-Targeted Treatment Approved by the U.S. FDA for Patients with Relapsed or Refractory Multiple Myeloma Who Have Received At Least One Prior Line of Therapy1	Press Release
	Johnson & Johnson’s nipocalimab granted U.S. FDA Fast Track designation to reduce the risk of fetal neonatal alloimmune thrombocytopenia (FNAIT) in alloimmunized pregnant adults	Press Release
	Biosense Webster Submits Application to U.S. FDA Seeking Approval of the VARIPULSE Platform for the Treatment of Paroxysmal Atrial Fibrillation	Press Release
	U.S. FDA Approves OPSYNVI (macitentan and tadalafil) as the First and Only Once-Daily Single-Tablet Combination Therapy for Patients with Pulmonary Arterial Hypertension (PAH)	Press Release
	U.S. FDA Oncologic Drugs Advisory Committee recommends CARVYKTI (ciltacabtagene autoleucel) for the earlier treatment of patients with relapsed or refractory multiple myeloma	Press Release
	Johnson & Johnson submits supplemental Biologics License Application to U.S. FDA seeking approval of TREMFYA (guselkumab) for the treatment of adults with moderately to severely active ulcerative colitis	Press Release
	Johnson & Johnson submits application to the European Medicines Agency for DARZALEX (daratumumab)-based quadruplet therapy for the treatment of patients with transplant-eligible, newly diagnosed multiple myeloma	Press Release
	RYBREVANT (amivantamab-vmjw) in Combination With Chemotherapy Is the First FDA Approved Therapy for First-line Treatment of Patients With Non-Small Cell Lung Cancer with EGFR Exon 20 Insertion Mutations	Press Release
	Janssen Receives Positive CHMP Opinion for CARVYKTI (ciltacabtagene autoleucel; cilta-cel) for Treatment in Earlier Lines of Relapsed and Refractory Multiple Myeloma	Press Release
	TECVAYLI (teclistamab-cqyv) biweekly dosing approved by the U.S. FDA for the treatment of patients with relapsed or refractory multiple myeloma	Press Release
	Johnson & Johnson’s nipocalimab granted U.S. FDA Breakthrough Therapy Designation for the treatment of individuals at high risk for severe hemolytic disease of the fetus and newborn (HDFN)	Press Release
	Johnson & Johnson submits supplemental Biologics License Application to U.S. FDA seeking approval of DARZALEX FASPRO (daratumumab and hyaluronidase-fihj) based regimen for the treatment of patients with transplant-eligible, newly diagnosed multiple myeloma	Press Release
Data Release	Unique molecular properties of nipocalimab enabling differentiated potential in treating generalized myasthenia gravis to be presented at American Academy of Neurology’s 2024 Annual Meeting1	Press Release
	Johnson & Johnson to Showcase its Broad Scientific Leadership and Latest Innovations to Combat Cardiovascular Disease at ACC.241	Press Release
	RYBREVANT (amivantamab-vmjw) data at ELCC advance Johnson & Johnson’s ambition to transform the standard of care for patients with EGFR-mutated non-small cell lung cancer	Press Release
	New data shows JNJ-2113, the first and only investigational targeted oral peptide, maintained skin clearance in moderate-to-severe plaque psoriasis through one year	Press Release
	Investigational targeted oral peptide JNJ-2113 demonstrated positive results in moderate-to-severe plaque psoriasis in Phase 2b study published in New England Journal of Medicine	Press Release
	Johnson & Johnson reports positive topline results for Nipocalimab from a Phase 3 pivotal study in generalized myasthenia gravis (gMG) and a Phase 2 study in Sjögren’s Disease (SjD)	Press Release
	Johnson & Johnson Highlights Ambition to Transform the Treatment of Prostate Cancer and Bladder Cancer through Data Presentations at ASCO GU	Press Release
Product Launch	Biosense Webster Announces CE Mark approval in Europe for VARIPULSE Pulsed Field Ablation (PFA) Platform	Press Release
Other	Johnson & Johnson to Acquire Shockwave Medical1	Press Release
	Johnson & Johnson Completes Acquisition of Ambrx	Press Release

1 Subsequent to the quarter

Full-Year 2024 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)	April 2024	January 2024
Adjusted Operational Sales1,2,5 Change vs. Prior Year / Mid-point	5.5% – 6.0% / 5.8%	5.0% – 6.0% / 5.5%
Operational Sales2,5/ Mid-point Change vs. Prior Year / Mid-point	$88.7B – $89.1B / $88.0B 5.5% – 6.0% / 5.8%	$88.2B – $89.0B / $88.6B 5.0% – 6.0% / 5.5%
Estimated Reported Sales3,5/ Mid-point Change vs. Prior Year / Mid-point	$88.0B – $88.4B / $88.2B 4.7% – 5.2% / 5.0%	$87.8B – $88.6B / $88.2B 4.5% – 5.5% / 5.0%

Adjusted Operational EPS (Diluted)2,4/ Mid-point Change vs. Prior Year / Mid-point	$10.60 – $10.75 / $10.68 6.9% – 8.4% / 7.7%	$10.55 – $10.75 / $10.65 6.4% – 8.4% / 7.4%
Adjusted EPS (Diluted)3,4 / Mid-point Change vs. Prior Year / Mid-point	$10.57 – $10.72 / $10.65 6.6% – 8.1% / 7.4%	$10.55 – $10.75 / $10.65 6.4% – 8.4% / 7.4%

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 2024 = $1.08 and January 2024 = $1.09 (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 Investor Relations section of the company's website at events-and-presentations.

About Johnson & Johnson:

At Johnson & Johnson, we believe health is everything. Our strength in healthcare innovation empowers us to build a world where complex diseases are prevented, treated, and cured, where treatments are smarter and less invasive, and solutions are personal. Through our expertise in Innovative Medicine and MedTech, we are uniquely positioned to innovate across the full spectrum of healthcare solutions today to deliver the breakthroughs of tomorrow, and profoundly impact health for humanity. Learn more at https://www.jnj.com/.

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 Investor Relations 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, an Innovative Medicine pipeline of selected compounds in late stage development and a copy of today’s earnings call presentation can also be found in the Investor Relations 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, and 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: 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, including restructuring 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 realize the anticipated benefits from the separation of Kenvue Inc; and Kenvue’s ability to succeed as a standalone publicly traded company. 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 December 31, 2023, 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.

Exhibit 99.2


Johnson & Johnson and Subsidiaries
Supplementary Sales Data

(Unaudited; Dollars in Millions)	FIRST QUARTER
				Percent Change
	2024		2023	Total		Operations	Currency
Sales to customers by
geographic area

U.S.	$	11,620	10,782	7.8	%	7.8	—

Europe	5,163		5,590	(7.6)		(7.7)	0.1
Western Hemisphere excluding U.S.	1,194		1,076	11.0		21.3	(10.3)
Asia-Pacific, Africa	3,406		3,446	(1.1)		5.0	(6.1)
International	9,763		10,112	(3.4)		(0.3)	(3.1)

Worldwide	$	21,383	20,894	2.3	%	3.9	(1.6)




Johnson & Johnson and Subsidiaries
Supplementary Sales Data

(Unaudited; Dollars in Millions)	FIRST QUARTER
				Percent Change
	2024		2023	Total		Operations	Currency
Sales to customers by
geographic area (ex. COVID-19 Vaccine)

U.S.*	$	11,620	10,782	7.8	%	7.8	—

Europe(1)	5,138		4,843	6.1		6.0	0.1
Western Hemisphere excluding U.S.*	1,194		1,076	11.0		21.3	(10.3)
Asia-Pacific, Africa*	3,406		3,446	(1.1)		5.0	(6.1)
International	9,738		9,365	4.0		7.4	(3.4)

Worldwide	$	21,358	20,147	6.0	%	7.6	(1.6)

Note: Percentages have been calculated using actual, non-rounded figures and, therefore, may not recalculate precisely.
(1) Refer to supplemental sales information schedules
*No COVID-19 Vaccine sales


Johnson & Johnson and Subsidiaries
Supplementary Sales Data

(Unaudited; Dollars in Millions)	FIRST QUARTER
				Percent Change
	2024		2023	Total		Operations	Currency
Sales to customers by
segment of business

Innovative Medicine (1)
U.S.	$	7,612	7,023	8.4	%	8.4	—
International	5,950		6,390	(6.9)		(4.0)	(2.9)
	13,562		13,413	1.1		2.5	(1.4)

Innovative Medicine excluding COVID-19 Vaccine (1)
U.S.	7,612		7,023	8.4		8.4	—
International	5,925		5,643	5.0		8.3	(3.3)
	13,537		12,666	6.9		8.3	(1.4)

MedTech
U.S.	4,008		3,759	6.6		6.6	—
International	3,813		3,722	2.4		6.1	(3.7)
	7,821		7,481	4.5		6.3	(1.8)

U.S.	11,620		10,782	7.8		7.8	—
International	9,763		10,112	(3.4)		(0.3)	(3.1)
Worldwide	21,383		20,894	2.3		3.9	(1.6)

U.S.	11,620		10,782	7.8		7.8	—
International	9,738		9,365	4.0		7.4	(3.4)
Worldwide excluding COVID-19 Vaccine (1)	$	21,358	20,147	6.0	%	7.6	(1.6)

Note: Percentages have been calculated using actual, non-rounded figures and, therefore, may not recalculate precisely.
(1) Refer to supplemental sales information schedules.


Johnson & Johnson and Subsidiaries
Condensed Consolidated Statement of Earnings

(Unaudited; in Millions Except Per Share Figures)	FIRST QUARTER

	2024				2023				Percent
				Percent				Percent	Increase
	Amount			to Sales	Amount			to Sales	(Decrease)
Sales to customers	$	21,383		100.0	$	20,894		100.0	2.3
Cost of products sold	6,511			30.4	6,687			32.0	(2.6)
Gross Profit	14,872			69.6	14,207			68.0	4.7
Selling, marketing and administrative expenses	5,257			24.6	4,906			23.5	7.2
Research and development expense	3,542			16.6	3,455			16.6	2.5
In-process research and development impairments	—			—	49			0.2
Interest (income) expense, net	(209)			(1.0)	14			0.1
Other (income) expense, net	(322)			(1.5)	6,940			33.2
Restructuring	164			0.8	130			0.6
Earnings/(loss) before provision for taxes on income	6,440			30.1	(1,287)			(6.2)
Provision for/(Benefit from) taxes on income	1,086			5.1	(796)			(3.9)
Net earnings/(loss) from Continuing Operations	$	5,354		25.0	$	(491)		(2.3)
Net earnings from Discontinued Operations, net of tax	—				423
Net earnings/(loss)	$	5,354			$	(68)

Net earnings (loss) per share (Diluted/Basic) from Continuing Operations	$	2.20			$	(0.19)
Net earnings per share (Diluted) from Discontinued Operations	$	—			$	0.16

Average shares outstanding (Diluted/Basic)	2,430.1				2,605.5		*

Effective tax rate from Continuing Operations	16.9		%		61.8		%

Adjusted earnings from Continuing Operations before provision for taxes and net earnings (1) (A)
Earnings before provision for taxes on income from Continuing Operations	$	7,877		36.8	$	7,536		36.1	4.5
Net earnings from Continuing Operations	$	6,580		30.8	$	6,340		30.3	3.8
Net earnings per share (Diluted) from Continuing Operations	$	2.71			$	2.41			12.4
Average shares outstanding (Diluted)	2,430.1				2,634.3
Effective tax rate from Continuing Operations	16.5		%		15.9		%

*Basic shares are used to calculate loss per share in the first quarter of 2023 as use of diluted shares when in a loss position would be anti-dilutive
(1) See Reconciliation of Non-GAAP Financial Measures.

(A) NON-GAAP FINANCIAL MEASURES "Adjusted earnings from continuing operations before provision for taxes on income," "adjusted net earnings from continuing operations," "adjusted net earnings per share (diluted) from continuing operations," and "adjusted effective tax rate from continuing operations" are non-GAAP financial measures and should not be considered replacements for GAAP results. The Company provides earnings from continuing operations before provision for taxes on income, net earnings from continuing operations, net earnings per share (diluted) from continuing operations, and effective tax rate from continuing operations 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 from continuing operations before provision for taxes on income, net earnings from continuing operations, net earnings per share (diluted) from continuing operations, and effective tax rate from continuing operations prepared in accordance with GAAP, adjusted earnings from continuing operations before provision for taxes on income, adjusted net earnings from continuing operations, adjusted net earnings per share (diluted) from continuing operations, and adjusted effective tax rate from continuing operations 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

		First Quarter
	(Dollars in Millions Except Per Share Data)	2024		2023
	Net Earnings from Continuing Operations, after tax- as reported	$	5,354	$	(491)

	Pre-tax Adjustments
	Litigation related	—		6,900
	Intangible Asset Amortization expense	1,078		1,122
	COVID-19 Vaccine related costs 1	9		444
	Restructuring related 2	171		130
	Medical Device Regulation 3	51		64
	Acquisition, integration and divestiture related	148		42
	(Gains)/losses on securities	(20)		72
	IPR&D impairments	—		49

	Tax Adjustments
	Tax impact on special item adjustments 4	(229)		(1,980)
	Tax legislation and other tax related	18		(12)
	Adjusted Net Earnings from Continuing Operations, after tax	$	6,580	$	6,340
	Average shares outstanding (Diluted)	2,430.1		2,634.3
	Adjusted net earnings per share from Continuing Operations (Diluted)	$	2.71	$	2.41
	Operational adjusted net earnings per share from Continuing Operations (Diluted)	$	2.72

	Notes:
1	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 completion of its COVID-19 vaccine contractual commitments.
2	In fiscal 2023, the company completed a prioritization of its research and development (R&D) investment within the Innovative Medicine segment to focus on the most promising medicines with the greatest benefit to patients. This resulted in the exit of certain programs within therapeutic areas. The R&D program exits are primarily in infectious diseases and vaccines including the discontinuation of its respiratory syncytial virus (RSV) adult vaccine program, hepatitis and HIV development. The restructuring expenses of $144 million in the fiscal first quarter of 2024 and $130 million in the fiscal first quarter of 2023 include the termination of partnered and non-partnered program costs and asset impairments. In fiscal 2023, the company initiated a restructuring program of its Orthopaedics franchise within the MedTech segment to streamline operations by exiting certain markets, product lines and distribution network arrangements. The restructuring expenses of $27 million in the fiscal first quarter of 2024 primarily includes costs related to market and product exits.
3	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 will be completed during 2024.
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)
FIRST QUARTER 2024 ACTUAL vs. 2023 ACTUAL

Segments
	Innovative Medicine		MedTech		Total
WW As Reported	1.1	%	4.5	%	2.3	%
U.S.	8.4	%	6.6	%	7.8	%
International	(6.9)	%	2.4	%	(3.4)	%

WW Currency	(1.4)		(1.8)		(1.6)
U.S.	—		—		—
International	(2.9)		(3.7)		(3.1)

WW Operational	2.5	%	6.3	%	3.9	%
U.S.	8.4	%	6.6	%	7.8	%
International	(4.0)	%	6.1	%	(0.3)	%

All Other Acquisitions and Divestitures (A&D)	0.0		0.2		0.1
U.S.	0.0		0.2		0.1
International	0.0		0.1		0.0

WW Adjusted Operational Ex A&D	2.5	%	6.5	%	4.0	%
U.S.	8.4	%	6.8	%	7.9	%
International	(4.0)	%	6.2	%	(0.3)	%

COVID-19 Vaccine	5.8				3.7
U.S.	0.0				0.0
International	12.3				7.7

WW Adjusted Operational Ex A&D & COVID-19 Vaccine	8.3	%	6.5	%	7.7	%
U.S.	8.4	%	6.8	%	7.9	%
International	8.3	%	6.2	%	7.4	%

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)

		FIRST QUARTER
				% Change
		2024	2023	Reported		Operational (1)		Currency
INNOVATIVE MEDICINE SEGMENT (2)

IMMUNOLOGY
US	$	2,453	2,448	0.2	%	0.2	%	—	%
Intl		1,794	1,664	7.9		11.0		(3.1)
WW		4,247	4,112	3.3		4.6		(1.3)
REMICADE
US		266	276	(3.9)		(3.9)		—
US Exports (3)		27	41	(32.7)		(32.7)		—
Intl		141	170	(17.2)		(14.2)		(3.0)
WW		434	487	(10.9)		(9.9)		(1.0)
SIMPONI / SIMPONI ARIA
US		254	271	(6.2)		(6.2)		—
Intl		299	266	12.4		20.0		(7.6)
WW		554	537	3.0		6.8		(3.8)
STELARA
US		1,396	1,451	(3.8)		(3.8)		—
Intl		1,055	993	6.2		8.2		(2.0)
WW		2,451	2,444	0.3		1.1		(0.8)
TREMFYA
US		509	406	25.4		25.4		—
Intl		299	234	27.9		31.5		(3.6)
WW		808	640	26.3		27.6		(1.3)
OTHER IMMUNOLOGY
US		0	3	*		*		—
Intl		0	0	—		—		—
WW		0	3	*		*		—

INFECTIOUS DISEASES
US		324	392	(17.4)		(17.4)		—
Intl		497	1,193	(58.4)		(58.5)		0.1
WW		821	1,586	(48.3)		(48.3)		0.0
COVID-19 VACCINE
US		0	0	—		—		—
Intl		25	747	(96.6)		(96.7)		0.1
WW		25	747	(96.6)		(96.7)		0.1
EDURANT / rilpivirine
US		8	9	(10.9)		(10.9)		—
Intl		315	271	16.6		15.7		0.9
WW		323	280	15.7		14.8		0.9
PREZISTA / PREZCOBIX / REZOLSTA / SYMTUZA
US		314	378	(16.9)		(16.9)		—
Intl		104	99	5.5		5.5		0.0
WW		418	477	(12.3)		(12.3)		0.0
OTHER INFECTIOUS DISEASES
US		2	5	(68.8)		(68.8)		—
Intl		52	77	(32.8)		(30.6)		(2.2)
WW		53	82	(35.1)		(33.1)		(2.0)

See footnotes at end of schedule


Johnson & Johnson
Segment Sales
(Dollars in Millions)
		FIRST QUARTER
				% Change
		2024	2023	Reported	Operational (1)	Currency
INNOVATIVE MEDICINE SEGMENT (2)(Continued)

NEUROSCIENCE
US	$	1,054	978	7.8%	7.8%	—%
Intl		749	826	(9.3)	(4.4)	(4.9)
WW		1,803	1,804	0.0	2.2	(2.2)
CONCERTA / methylphenidate
US		41	70	(41.2)	(41.2)	—
Intl		136	136	(0.1)	4.5	(4.6)
WW		177	206	(14.1)	(11.1)	(3.0)
INVEGA SUSTENNA / XEPLION / INVEGA
TRINZA / TREVICTA
US		765	713	7.2	7.2	—
Intl		292	331	(11.8)	(8.7)	(3.1)
WW		1,056	1,044	1.2	2.2	(1.0)
SPRAVATO
US		191	111	71.5	71.5	—
Intl		34	20	76.1	74.8	1.3
WW		225	131	72.2	72.0	0.2
OTHER NEUROSCIENCE
US		58	84	(31.1)	(31.1)	—
Intl		287	339	(15.5)	(8.4)	(7.1)
WW		345	423	(18.5)	(12.9)	(5.6)
ONCOLOGY
US		2,383	1,889	26.2	26.2	—
Intl		2,430	2,223	9.3	12.6	(3.3)
WW		4,814	4,112	17.1	18.8	(1.7)
CARVYKTI
US		140	70	99.8	99.8	—
Intl		16	2	*	*	*
WW		157	72	*	*	*
DARZALEX
US		1,464	1,191	22.9	22.9	—
Intl		1,228	1,072	14.5	19.0	(4.5)
WW		2,692	2,264	18.9	21.0	(2.1)
ERLEADA
US		285	249	14.1	14.1	—
Intl		404	293	38.0	40.6	(2.6)
WW		689	542	27.0	28.4	(1.4)
IMBRUVICA
US		265	270	(1.5)	(1.5)	—
Intl		518	557	(7.0)	(5.6)	(1.4)
WW		784	827	(5.2)	(4.3)	(0.9)
TECVAYLI(4)
US		101	57	76.7	76.7	—
Intl		33	6	*	*	*
WW		133	63	*	*	*
ZYTIGA / abiraterone acetate
US		9	16	(41.3)	(41.3)	—
Intl		172	229	(24.8)	(20.7)	(4.1)
WW		181	245	(25.9)	(22.1)	(3.8)
OTHER ONCOLOGY(4)
US		119	35	*	*	—
Intl		60	64	(6.1)	(5.6)	(0.5)
WW		178	99	80.2	80.5	(0.3)
See footnotes at end of schedule


Johnson & Johnson
Segment Sales
(Dollars in Millions)


		FIRST QUARTER
				% Change
		2024	2023	Reported		Operational (1)		Currency
INNOVATIVE MEDICINE SEGMENT (2)(Continued)

PULMONARY HYPERTENSION
US	$	766	600	27.5	%	27.5	%	—	%
Intl		283	272	4.1		10.9		(6.8)
WW		1,049	872	20.2		22.4		(2.2)
OPSUMIT
US		356	273	30.4		30.4		—
Intl		169	167	0.8		4.6		(3.8)
WW		524	440	19.1		20.6		(1.5)
UPTRAVI
US		392	304	29.0		29.0		—
Intl		76	58	30.7		38.6		(7.9)
WW		468	362	29.2		30.5		(1.3)
OTHER PULMONARY HYPERTENSION
US		18	23	(24.6)		(24.6)		—
Intl		39	47	(16.9)		(1.0)		(15.9)
WW		56	70	(19.5)		(8.9)		(10.6)

CARDIOVASCULAR / METABOLISM / OTHER
US		631	715	(11.7)		(11.7)		—
Intl		197	212	(7.0)		(6.8)		(0.2)
WW		829	927	(10.6)		(10.5)		(0.1)
XARELTO
US		518	578	(10.4)		(10.4)		—
Intl		—	—	—		—		—
WW		518	578	(10.4)		(10.4)		—








OTHER
US		114	137	(17.1)		(17.1)		—
Intl		197	212	(7.0)		(6.8)		(0.2)
WW		311	349	(11.0)		(10.9)		(0.1)

TOTAL INNOVATIVE MEDICINE
US		7,612	7,023	8.4		8.4		—
Intl		5,950	6,390	(6.9)		(4.0)		(2.9)
WW	$	13,562	13,413	1.1	%	2.5	%	(1.4)	%

See footnotes at end of schedule


Johnson & Johnson
Segment Sales
(Dollars in Millions)

		FIRST QUARTER
				% Change
		2024	2023	Reported	Operational (1)	Currency
MEDTECH SEGMENT (2)

CARDIOVASCULAR (5)
US	$	1,025	863	18.8	18.8	—
Intl		781	640	22.1	27.6	(5.5)
WW		1,806	1,503	20.2	22.5	(2.3)

ELECTROPHYSIOLOGY
US		692	571	21.3	21.3	—
Intl		652	522	24.9	30.9	(6.0)
WW		1,344	1,092	23.0	25.9	(2.9)

ABIOMED
US		303	264	15.0	15.0	—
Intl		67	60	12.4	14.7	(2.3)
WW		371	324	14.5	15.0	(0.5)

OTHER CARDIOVASCULAR (5)
US		30	28	3.3	3.3	—
Intl		62	58	6.9	11.5	(4.6)
WW		92	87	5.7	8.8	(3.1)

ORTHOPAEDICS
US		1,448	1,363	6.2	6.2	—
Intl		892	881	1.3	2.7	(1.4)
WW		2,340	2,245	4.3	4.8	(0.5)

HIPS
US		270	241	12.1	12.1	—
Intl		152	149	1.7	3.3	(1.6)
WW		422	390	8.1	8.7	(0.6)

KNEES
US		242	226	6.9	6.9	—
Intl		160	142	12.3	13.1	(0.8)
WW		401	368	9.0	9.3	(0.3)

TRAUMA
US		504	491	2.8	2.8	—
Intl		261	267	(2.3)	(1.1)	(1.2)
WW		765	757	1.0	1.4	(0.4)

SPINE, SPORTS & OTHER
US		432	406	6.5	6.5	—
Intl		320	323	(0.9)	0.9	(1.8)
WW		752	729	3.2	4.0	(0.8)

See footnotes at end of schedule


Johnson & Johnson
Segment Sales
(Dollars in Millions)

		FIRST QUARTER
				% Change
		2024	2023	Reported		Operational (1)		Currency
MEDTECH SEGMENT (2)(Continued)

SURGERY
US	$	987	975	1.2	%	1.2	%	—	%
Intl		1,429	1,459	(2.0)		2.3		(4.3)
WW		2,416	2,434	(0.7)		1.9		(2.6)

ADVANCED
US		446	444	0.2		0.2		—
Intl		641	673	(4.7)		(0.7)		(4.0)
WW		1,087	1,118	(2.8)		(0.3)		(2.5)

GENERAL
US		542	531	2.1		2.1		—
Intl		788	785	0.3		4.8		(4.5)
WW		1,330	1,316	1.0		3.7		(2.7)

VISION
US		547	558	(1.8)		(1.8)		—
Intl		710	743	(4.4)		(1.1)		(3.3)
WW		1,258	1,300	(3.3)		(1.4)		(1.9)

CONTACT LENSES / OTHER
US		438	444	(1.4)		(1.4)		—
Intl		472	509	(7.4)		(3.1)		(4.3)
WW		910	953	(4.6)		(2.3)		(2.3)
SURGICAL
US		110	114	(3.7)		(3.7)		—
Intl		238	233	2.2		3.4		(1.2)
WW		348	347	0.3		1.1		(0.8)

TOTAL MEDTECH
US		4,008	3,759	6.6		6.6		—
Intl		3,813	3,722	2.4		6.1		(3.7)
WW	$	7,821	7,481	4.5	%	6.3	%	(1.8)	%

Note: Column 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) Reported as U.S. sales
(4) See Supplemental Sales Information Schedule
(5) Previously referred to as Interventional Solutions


Supplemental Sales Information (Unaudited)
(Dollars in Millions)

	Schedule 1	FIRST QUARTER
					% Change
		2024		2023	Total		Operations	Currency

	Innovative Medicine
	U.S.	$	7,612	7,023	8.4	%	8.4	-
	International	5,950		6,390	(6.9)		(4.0)	(2.9)
	Worldwide	13,562		13,413	1.1		2.5	(1.4)

	COVID-19 Vaccine
	U.S.	-		-	-		-	-
	International	25		747	(96.6)		(96.7)	0.1
	Worldwide	25		747	(96.6)		(96.7)	0.1

	Innovative Medicine excluding COVID-19 Vaccine
	U.S.	7,612		7,023	8.4		8.4	-
	International	5,925		5,643	5.0		8.3	(3.3)
	Worldwide	13,537		12,666	6.9		8.3	(1.4)

	Worldwide
	U.S.	11,620		10,782	7.8		7.8	-
	International	9,763		10,112	(3.4)		(0.3)	(3.1)
	Worldwide	21,383		20,894	2.3		3.9	(1.6)

	COVID-19 Vaccine
	U.S.	-		-	-		-	-
	International	25		747	(96.6)		(96.7)	0.1
	Worldwide	25		747	(96.6)		(96.7)	0.1

	Worldwide
	U.S.	11,620		10,782	7.8		7.8	-
	International	9,738		9,365	4.0		7.4	(3.4)
	Worldwide excluding COVID-19 Vaccine	$	21,358	20,147	6.0	%	7.6	(1.6)

	Europe	$	5,163	5,590	(7.6)	%	(7.7)	0.1
	Europe COVID-19 Vaccine Sales	25		747	(96.6)		(96.7)	0.1
	Europe excluding COVID-19 Vaccine	$	5,138	4,843	6.1	%	6.0	0.1

	Schedule 2	2022		2023					2023
		Full Year		Q1	Q2		Q3	Q4	Full Year
	INNOVATIVE MEDICINE SEGMENT (1)
	ONCOLOGY
	TECVAYLI
	US	$	12	57	82		93	102	334
	INTL	3		6	12		19	24	61
	WW	15		63	94		112	126	395

	OTHER ONCOLOGY
	US	144		35	40		50	90	215
	INTL	280		64	80		67	58	269
	WW	$	423	99	120		117	148	484
	Note: Columns and rows within tables may not add due to rounding.
	(1) Unaudited