EX-99.2 3 a2023q1exhibit992.htm EX-99.2 Document

Exhibit 99.2


Johnson & Johnson and Subsidiaries
Supplementary Sales Data
(Unaudited; Dollars in Millions)
FIRST QUARTER
Percent Change
20232022TotalOperationsCurrency
Sales to customers by
geographic area
U.S.$12,517  11,414  9.7 % 9.7 — 
Europe 6,332  6,024 5.1  10.0  (4.9)
Western Hemisphere excluding U.S. 1,587  1,482  7.1  14.3  (7.2)
Asia-Pacific, Africa 4,310  4,506  (4.3) 4.1  (8.4)
International 12,229  12,012  1.8  8.3  (6.5)
      
Worldwide$24,746  23,426  5.6 % 9.0  (3.4)
        
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)
FIRST QUARTER
 Percent Change
20232022TotalOperationsCurrency
Sales to customers by
segment of business
Consumer Health
    U.S.$1,735 1,557 11.4 %11.4 — 
    International2,117 2,029 4.4 11.3 (6.9)
3,852    3,586 7.4 11.3 (3.9)
Pharmaceutical (1)
    U.S.7,023 6,632 5.9 5.9 — 
    International6,390 6,237 2.4 8.6 (6.2)
13,413    12,869 4.2 7.2 (3.0)
Pharmaceutical excluding COVID-19 Vaccine (1)
     U.S.7,023 6,557 7.1 7.1— 
     International5,643 5,855 (3.6)2.4(6.0)
12,666 12,412 2.0 4.9(2.9)
MedTech (1)
    U.S.3,759    3,225 16.6 16.6 — 
    International3,722 3,746 (0.6)6.2 (6.8)
 7,481    6,971 7.3 11.0 (3.7)
U.S.12,517 11,414 9.7 9.7 — 
International12,229 12,012 1.8 8.3 (6.5)
Worldwide24,746 23,426 5.6 9.0 (3.4)
   
U.S.12,517 11,339 10.4 10.4 — 
International11,482 11,630 (1.3)5.2 (6.5)
Worldwide excluding COVID-19 Vaccine (1)
$23,999 22,969 4.5 %7.7 (3.2)
Note: Percentages have been calculated using actual, non-rounded figures and, therefore, may not recalculate precisely.
(1) Refer to supplemental sales reconciliation schedule.





Johnson & Johnson and Subsidiaries 
Condensed Consolidated Statement of Earnings  
(Unaudited; in Millions Except Per Share Figures)
FIRST QUARTER
20232022Percent
PercentPercentIncrease
Amountto SalesAmountto Sales(Decrease)
Sales to customers$24,746 100.0 $23,426 100.0 5.6 
Cost of products sold8,395 33.9 7,598 32.4 10.5 
Gross Profit16,351 66.1 15,828 67.6 3.3 
Selling, marketing and administrative expenses6,138 24.8 5,938 25.4 3.4 
Research and development expense3,563 14.4 3,462 14.8 2.9 
In-process research and development49 0.2 6102.6 
Interest (income) expense, net(20)(0.1)(12)(0.1)
Other (income) expense, net7,228 29.2 (102)(0.4)
Restructuring130 0.6 70 0.3 
Earnings/(Loss) before provision for taxes on income(737)(3.0)5,862 25.0 (112.6)
Provision for/(Benefit from) taxes on income(669)(2.7)713 3.0 (193.8)
Net earnings/(Loss)$(68)(0.3)$5,149 22.0 (101.3)
Net earnings/(Loss) per share (Basic/Diluted)*$(0.03)$1.93 (101.6)
Average shares outstanding (Basic/Diluted)*2,605.5 2,666.5 
Effective tax rate90.8 %12.2 %
Adjusted earnings before provision for taxes and net earnings (1) (A)
Earnings before provision for taxes on income$8,468 34.2$8,218 35.13.0 
Net earnings$7,068 28.6$7,129 30.4(0.9)
Net earnings per share (Diluted)$2.68 $2.67 0.4 
Average shares outstanding (Diluted)**2,634.3 2,666.5 
Effective tax rate16.5 %13.3 %
* Basic shares are used to calculate loss per share as use of diluted shares when in a loss position would be anti-dilutive.
** Difference of 28.8 shares due to anti-dilutive impact on net loss position.
(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
First Quarter
(Dollars in Millions Except Per Share Data)20232022
Net Earnings/(Loss), after tax- as reported$(68)$5,149 
Pre-tax Adjustments
Litigation expense6,900 -
Intangible Asset Amortization expense1,204 1,108
COVID-19 Vaccine related costs1
 444 -
Consumer Health separation costs300 102
Restructuring related2
 130 72
(Gains)/losses on securities 72 411
Medical Device Regulation3
64  60
IPR&D49 610
Acquisition, integration and divestiture related42 -
Other-(7)
Tax Adjustments
Tax impact on special item adjustments 4
(2,057)(393)
Consumer Health separation tax related costs11  96
Tax legislation and other tax related(23) (79)
Adjusted Net Earnings, after tax$7,068 $7,129 
Average shares outstanding (Diluted)2,634.3 2,666.5 
Adjusted net earnings per share (Diluted)$2.68 $2.67 
Operational adjusted net earnings per share (Diluted)$2.75  
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 the first quarter of 2023, the company completed a prioritization of its research and development (R&D) investment within the Pharmaceutical segment to focus on the most promising medicines with the greatest benefit to patients. This resulted in the exit of certain programs including the discontinuation of its respiratory syncytial virus (RSV) adult vaccine program, HIV and hepatitis. The restructuring expenses of $130 million in the quarter include the termination of partnered and non-partnered program costs and asset impairments.
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 is expected to 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 2023 ACTUAL vs. 2022 ACTUAL
 Segments
Consumer Health Pharmaceutical  MedTech  Total
 WW As Reported 7.4 %4.2 %7.3 %5.6 %
 U.S. 11.4 %5.9 %16.6 %9.7 %
 International 4.4 %2.4 %(0.6)%1.8 %
 WW Currency (3.9)(3.0)(3.7)(3.4)
 U.S.
 International (6.9)(6.2)(6.8)(6.5)
 WW Operational 11.3 %7.2 %11.0 %9.0 %
 U.S. 11.4 %5.9 %16.6 %9.7 %
International11.3 %8.6 %6.2 %8.3 %
Abiomed (4.6)(1.4)
U.S.(8.2)(2.3)
International(1.6)(0.5)
All Other Acquisitions and Divestitures0.00.00.00.0
 U.S. 0.00.00.00.0
 International 0.00.20.00.1
WW Adjusted Operational11.3 %7.2 %6.4 %7.6 %
 U.S. 11.4 %5.9 %8.4 %7.4 %
 International 11.3 %8.8 %4.6 %7.9 %
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
20232022Reported
Operational (1)
Currency
CONSUMER HEALTH SEGMENT (2)
OTC
US$74567011.0 %11.0 %— %
Intl89779113.5 19.8 (6.3)
WW1,6421,46112.4 15.8 (3.4)
SKIN HEALTH / BEAUTY
US61754413.4 13.4 — 
Intl4934685.3 12.6 (7.3)
WW1,110 1,0129.7 13.1 (3.4)
ORAL CARE
US15914311.6 11.6 — 
Intl202223(9.6)(4.0)(5.6)
WW361 366 (1.3)2.1 (3.4)
BABY CARE
US968513.0 13.0 — 
Intl263270(2.8)4.5 (7.3)
WW359 355 1.0 6.5 (5.5)
WOMEN'S HEALTH
US331.8 1.8 — 
Intl214224(4.9)4.1 (9.0)
WW217228(4.8)4.1 (8.9)
WOUND CARE / OTHER
US1151122.6 2.6 — 
Intl4952(6.0)2.3 (8.3)
WW164164(0.1)2.5 (2.6)
TOTAL CONSUMER HEALTH
US1,735 1,557 11.4 11.4  
Intl2,117 2,029 4.4 11.3 (6.9)
WW$3,852 3,586 7.4 %11.3 %(3.9)%
See footnotes at end of schedule






Johnson & Johnson
Segment Sales
(Dollars in Millions)
FIRST QUARTER
% Change
20232022Reported
Operational (1)
Currency
PHARMACEUTICAL SEGMENT (2) (3)
IMMUNOLOGY
US$2,4482,501(2.1)%(2.1)%— %
Intl1,6641,6172.9 9.7 (6.8)
WW4,1124,119(0.2)2.5 (2.7)
     REMICADE
     US276358(22.8)(22.8)— 
     US Exports (4)
4180(48.8)(48.8)— 
     Intl170225(24.4)(20.0)(4.4)
     WW487663(26.5)(25.0)(1.5)
     SIMPONI / SIMPONI ARIA
     US271287(5.6)(5.6)— 
     Intl266283(6.1)1.8 (7.9)
     WW537571(5.8)(1.9)(3.9)
     STELARA
     US1,4511,3795.2 5.2 — 
     Intl9939099.3 16.2 (6.9)
     WW2,4442,2886.8 9.6 (2.8)
     TREMFYA
     US406 391 3.9 3.9 — 
     Intl234 199 17.3 24.9 (7.6)
     WW640 590 8.4 11.0 (2.6)
     OTHER IMMUNOLOGY
     US3 6 (51.2)(51.2)— 
     Intl0 0 
     WW3 6 (51.3)(51.3)0.0
INFECTIOUS DISEASES
US392461(14.9)(14.9)— 
Intl1,19383642.849.2(6.4)
WW1,5861,29722.326.4(4.1)
     COVID-19 VACCINE
     US075**— 
     Intl74738295.6*(8.9)
     WW74745763.470.8(7.4)
     EDURANT / rilpivirine
     US9 9 (1.4)(1.4)— 
     Intl271 239 13.418.7(5.3)
     WW280 248 12.818.0(5.2)
     PREZISTA / PREZCOBIX / REZOLSTA / SYMTUZA
     US3783692.52.5— 
     Intl99132(25.2)(21.2)(4.0)
     WW477501(4.8)(3.7)(1.1)
     OTHER INFECTIOUS DISEASES
     US58(33.1)(33.1)— 
     Intl7783(7.6)(5.6)(2.0)
     WW8291(9.8)(8.0)(1.8)
See footnotes at end of schedule



Johnson & Johnson
Segment Sales
(Dollars in Millions)
FIRST QUARTER
% Change
20232022Reported
Operational (1)
Currency
PHARMACEUTICAL SEGMENT (2) (3) (Continued)
NEUROSCIENCE
US$97884316.0%16.0%—%
Intl826898(8.1)(3.1)(5.0)
WW1,8041,7413.66.1(2.5)
     CONCERTA / methylphenidate
     US7035**
     Intl13612211.420.2(8.8)
     WW20615731.438.2(6.8)
     INVEGA SUSTENNA / XEPLION / INVEGA
     TRINZA / TREVICTA
     US7136617.97.9
     Intl331387(14.6)(8.9)(5.7)
     WW1,0441,048(0.4)1.7(2.1)
     SPRAVATO
     US1116182.482.4
     Intl209***
     WW1317086.988.0(1.1)
     OTHER NEUROSCIENCE
     US8486(3.5)(3.5)
     Intl339380(10.7)(7.6)(3.1)
     WW423467(9.4)(6.9)(2.5)
ONCOLOGY
US1,8891,58219.419.4
Intl2,2232,369(6.1)(0.1)(6.0)
WW4,1123,9504.17.7(3.6)
     CARVYKTI
US70  **
Intl2  **
WW72  **
     DARZALEX
     US1,191 953 25.025.0
     Intl1,072 903 18.826.4(7.6)
     WW2,264 1,856 22.025.7(3.7)
     ERLEADA
     US249 206 21.221.2
     Intl293 194 50.960.7(9.8)
     WW542 400 35.640.3(4.7)
     IMBRUVICA
     US270 370 (27.1)(27.1)
     Intl557 668 (16.6)(11.7)(4.9)
     WW827 1,038 (20.3)(17.2)(3.1)
     ZYTIGA / abiraterone acetate
     US1619 (14.0)(14.0)
     Intl229520(56.0)(52.2)(3.8)
     WW245539(54.5)(50.9)(3.6)
     OTHER ONCOLOGY
     US92 34 **
     Intl7084(17.2)(12.1)(5.1)
     WW16211837.441.0(3.6)
See footnotes at end of schedule



Johnson & Johnson
Segment Sales
(Dollars in Millions)
FIRST QUARTER
% Change
20232022Reported
Operational (1)
Currency
PHARMACEUTICAL SEGMENT (2) (3) (Continued)
PULMONARY HYPERTENSION
US$600 572 4.9 %4.9 %— %
Intl272 279 (2.7)5.3 (8.0)
WW872 852 2.4 5.0 (2.6)
     OPSUMIT
     US273 273 (0.1)(0.1)— 
     Intl167 170 (1.6)6.1 (7.7)
     WW440 443 (0.7)2.3 (3.0)
     UPTRAVI
     US304 269 13.1 13.1 — 
     Intl58 56 3.3 9.4 (6.1)
     WW362 325 11.4 12.4 (1.0)
     OTHER PULMONARY HYPERTENSION
     US23 30 (22.4)(22.4)— 
     Intl47 53 (12.6)(1.8)(10.8)
     WW70 83 (16.1)(9.3)(6.8)
CARDIOVASCULAR / METABOLISM / OTHER
US7156726.3 6.3 — 
Intl212238(10.8)(6.3)(4.5)
WW9279101.8 3.0 (1.2)
     XARELTO
     US578 508 13.7 13.7 — 
     Intl  — — — 
     WW578 508 13.7 13.7 — 
     OTHER
     US137 164 (16.7)(16.7)— 
     Intl212 238 (10.8)(6.3)(4.5)
     WW349 402 (13.2)(10.5)(2.7)
TOTAL PHARMACEUTICAL
US7,0236,6325.9 5.9  
Intl6,3906,2372.4 8.6 (6.2)
WW$13,41312,8694.2 %7.2 %(3.0)%
See footnotes at end of schedule




Johnson & Johnson
Segment Sales
(Dollars in Millions)
FIRST QUARTER
% Change
20232022Reported
Operational (1)
Currency
MEDTECH SEGMENT (2) (3)
INTERVENTIONAL SOLUTIONS
US$863 494 74.5 %74.5 %— %
Intl640 5977.1 14.9 (7.8)
WW1,503 1,09237.6 41.9 (4.3)
ELECTROPHYSIOLOGY
US571 470 21.4 21.4 — 
Intl522 532(1.8)6.1 (7.9)
WW1,092 1,0029.1 13.3 (4.2)
ABIOMED
US264  **— 
Intl60 **— 
WW324 **— 
OTHER INTERVENTIONAL SOLUTIONS
US28 24 17.4 17.4 — 
Intl58 65(11.7)(5.0)(6.7)
WW87 90(3.9)1.1 (5.0)
ORTHOPAEDICS
US1,363 1,289 5.8 5.8 — 
Intl881 899 (2.0)4.0 (6.0)
WW2,245 2,188 2.6 5.1 (2.5)
     HIPS
     US241 225 7.3 7.3 — 
     Intl149 164 (9.0)(3.6)(5.4)
     WW390 389 0.4 2.7 (2.3)
     KNEES
     US226 201 12.4 12.4 — 
     Intl142 138 3.4 9.6 (6.2)
     WW368 339 8.7 11.3 (2.6)
     TRAUMA
     US491 475 3.2 3.2 — 
     Intl267 273 (2.4)3.6 (6.0)
     WW757 748 1.2 3.4 (2.2)
     SPINE, SPORTS & OTHER
     US406 387 4.7 4.7 — 
     Intl323 324 (0.3)5.9 (6.2)
     WW729 712 2.4 5.2 (2.8)
See footnotes at end of schedule




Johnson & Johnson
Segment Sales
(Dollars in Millions)
FIRST QUARTER
% Change
20232022Reported
Operational (1)
Currency
MEDTECH SEGMENT (2) (3) (Continued)
SURGERY
US$975 921 5.9 %5.9 %— %
Intl1,459 1,513 (3.6)3.1 (6.7)
WW2,434 2,434 0.0 4.1 (4.1)
     ADVANCED
US444 417 6.5 6.5  
Intl673 729 (7.6)(1.1)(6.5)
WW1,118 1,146 (2.5)1.6 (4.1)
     GENERAL
US531 504 5.4 5.4  
Intl785 784 0.2 7.0 (6.8)
WW1,316 1,288 2.2 6.4 (4.2)
VISION
US558 521 7.1 7.1  
Intl743 736 0.8 8.0 (7.2)
WW1,300 1,257 3.4 7.6 (4.2)
     CONTACT LENSES / OTHER
US444 400 11.1 11.1  
Intl509 511 (0.3)7.9 (8.2)
WW953 910 4.7 9.3 (4.6)
     SURGICAL
US114 121 (6.0)(6.0)— 
Intl233 226 3.38.0 (4.7)
WW347 347 0.13.1(3.0)
TOTAL MEDTECH
US3,759 3,225 16.6 16.6  
Intl3,722 3,746 (0.6)6.2 (6.8)
WW$7,481 6,971 7.3 %11.0 %(3.7)%
See footnotes at end of schedule
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) Certain prior year amounts have been reclassified to conform to current year product disclosures; refer to supplemental sales schedules
(4) Reported as U.S. sales





Supplemental Sales Reconciliation (Unaudited)
(Dollars in Millions)
FIRST QUARTER
Percent Change
20232022TotalOperationsCurrency
Pharmaceutical
U.S.$7,023  6,632  5.9 % 5.9  -
International 6,390  6,237  2.4  8.6  (6.2)
Worldwide 13,413  12,869  4.2  7.2  (3.0)
COVID-19 Vaccine
U.S. 0  75  *  *  -
International 747  382  95.6  *  (8.9)
Worldwide 747  457  63.4  70.8  (7.4)
Pharmaceutical excluding COVID-19 Vaccine
U.S. 7,023  6,557  7.1  7.1  -
International 5,643  5,855  (3.6) 2.4  (6.0)
Worldwide 12,666  12,412  2.0  4.9  (2.9)
Worldwide
U.S. 12,517  11,414  9.7  9.7  -
International 12,229  12,012  1.8  8.3  (6.5)
Worldwide 24,746  23,426  5.6  9.0  (3.4)
COVID-19 Vaccine
U.S. 0  75  *  *  -
International 747  382  95.6  *  (8.9)
Worldwide 747  457  63.4  70.8  (7.4)
Worldwide
U.S. 12,517  11,339  10.4  10.4  -
International 11,482  11,630  (1.3) 5.2  (6.5)
Worldwide excluding COVID-19 Vaccine$23,999  22,969  4.5 % 7.7  (3.2)
Note: Columns and rows within tables may not add due to rounding
* Percentage greater than 100% or not meaningful












Johnson & Johnson
Supplemental Sales Information
(Dollars in Millions)
Certain prior year amounts have been reclassified to
conform to current year product disclosures
202120222022
Full YearQ1Q2Q3Q4Full Year
PHARMACEUTICAL SEGMENT (1)
NEUROSCIENCE (2)
SPRAVATO
US$198 61 74 88 105 328 
INTL26 9 11 12 14 46 
WW224 70 85 100 119 374 
OTHER NEUROSCIENCE (2)
US427 86 93 106 91 376 
Intl1,647 380 341 286 351 1,358 
WW2,074 467 433 393 442 1,734 
ONCOLOGY
CARVYKTI
US  24 55 54 133 
INTL      
WW  24 55 54 133 
OTHER ONCOLOGY
US110 34 33 37 52 156 
INTL458 84 72 64 63 283 
WW568 118 106 100 114 438 
CARDIOVASCULAR / METABOLISM / OTHER
OTHER (3)
US754 164 148 147 110 569 
INTL927 238 215 198 194 845 
WW1,682 402 363 345 304 1,414 
MEDTECH SEGMENT (1)
INTERVENTIONAL SOLUTIONS
ELECTROPHYSIOLOGY1,730 470 499 520 547 2,036 
US1,893 532 469 453 447 1,901 
INTL3,623 1,002 968 973 994 3,937 
WW
ABIOMED (4)
US    31 31 
INTL      
WW    31 31 
OTHER INTERVENTIONAL SOLUTIONS
US106 24 26 27 25 102 
Intl242 65 56 60 48 230 
WW$348 90 81 87 73 332 
Note: Columns and rows within tables may not add due to rounding.
(1) Unaudited
(2) Other Neuroscience is inclusive of RISPERDAL CONSTA, which was previously disclosed separately
(3) Other is inclusive of INVOKANA, which was previously disclosed separately
(4) Acquired on December 22, 2022