J&J(JNJ) - 2025 Q4 - Annual Results

Worldwide Sales Performance - Worldwide sales increased by 5.3% to $22,520 million in Q4 2024 compared to $21,395 million in Q4 2023, driven by a 10.0% growth in U.S. sales[1] - Worldwide sales excluding COVID-19 vaccine increased by 5.5% to $22,520 million in Q4 2024 compared to $21,351 million in Q4 2023[2] - Worldwide sales for the twelve months increased by 4.3% to $88,821 million in 2024 compared to $85,159 million in 2023[4] - Worldwide sales excluding COVID-19 vaccine for the twelve months increased by 5.5% to $88,623 million in 2024 compared to $84,042 million in 2023[5] - Sales to customers increased by 4.3% to $88,821 million in 2024 compared to $85,159 million in 2023[13] - Worldwide sales excluding COVID-19 Vaccine grew by 5.5% to $88,623 million, with operational growth of 7.0%[42] U.S. Sales Performance - U.S. sales grew by 10.0% to $13,204 million in Q4 2024, while Europe sales declined by 0.8% to $4,921 million[1] - Innovative Medicine segment sales grew by 4.4% to $14,332 million in Q4 2024, with U.S. sales increasing by 11.1% to $8,977 million[7] - MedTech segment sales increased by 6.7% to $8,188 million in Q4 2024, driven by a 7.6% growth in U.S. sales to $4,227 million[7] - Adjusted operational sales growth for the Innovative Medicine segment was 6.1% worldwide in Q4 2024, with U.S. growth of 11.1%[23] - MedTech segment's adjusted operational sales growth was 7.6% worldwide in Q4 2024, driven by 7.6% growth in both U.S. and international markets[23] - Innovative Medicine segment reported a 4.0% growth worldwide, with U.S. growth at 9.0% and International decline at (2.5)%[25] - MedTech segment showed a 4.8% growth worldwide, with U.S. growth at 6.9% and International growth at 2.6%[25] - Oncology segment sales grew by 19.0% worldwide, driven by a 32.2% increase in U.S. sales[30] - DARZALEX sales increased by 20.9% worldwide, with U.S. sales up 28.9% and International sales up 11.3%[30] - SPRAVATO sales surged by 44.6% worldwide, with U.S. sales up 50.1%[30] - CARVYKTI sales showed significant growth, with U.S. sales at $304 million and International sales at $31 million[30] - Innovative Medicine segment worldwide sales increased by 4.4% to $14,332 million, with US sales growing 11.1% to $8,977 million and international sales declining 5.1% to $5,355 million[31] - Pulmonary Hypertension products worldwide sales grew 7.4% to $1,092 million, driven by 11.6% growth in US sales to $819 million[31] - Xarelto worldwide sales surged 28.5% to $676 million, entirely from US market growth[31] - MedTech segment worldwide sales increased 6.7% to $8,188 million, with US sales up 7.6% to $4,227 million and international sales growing 5.8% to $3,961 million[33] - Cardiovascular products within MedTech segment saw 23.6% worldwide sales growth to $2,062 million, with US sales jumping 25.8% to $1,221 million[32] - Contact Lenses/Other products worldwide sales rose 6.3% to $937 million, with US sales up 6.0% to $396 million[33] - Innovative Medicine segment total worldwide sales increased by 4.0% to $56,964 million in 2024, with US sales growing 9.0% to $33,970 million and international sales declining 2.5% to $22,994 million[38] - US sales of CARVYKTI surged 85.2% to $869 million, contributing to overall Oncology segment growth in the US market[37] - SPRAVATO US sales increased 57.8% to $929 million, driving Neuroscience segment growth in the US market[37] - XARELTO sales remained stable worldwide at $2,373 million, with US sales growing slightly by 0.3%[38] - US MedTech sales grew by 6.9% to $16,332 million, contributing significantly to overall segment performance[40] International Sales Performance - International sales decreased by 0.7% to $9,316 million in Q4 2024, with Western Hemisphere excluding U.S. sales dropping by 2.7% to $1,135 million[1] - Innovative Medicine segment worldwide sales increased by 4.4% to $14,332 million, with US sales growing 11.1% to $8,977 million and international sales declining 5.1% to $5,355 million[31] - MedTech segment worldwide sales increased 6.7% to $8,188 million, with US sales up 7.6% to $4,227 million and international sales growing 5.8% to $3,961 million[33] - Vision products worldwide sales increased 7.9% to $1,303 million, with international sales growing 10.2% to $794 million[33] - Surgical products worldwide sales increased 12.4% to $365 million, driven by 19.3% growth in international sales to $252 million[33] - Innovative Medicine segment total worldwide sales increased by 4.0% to $56,964 million in 2024, with US sales growing 9.0% to $33,970 million and international sales declining 2.5% to $22,994 million[38] - International sales of TREMFYA grew 22.8% to $1,227 million, outperforming the overall Immunology segment's international performance[35] - International MedTech sales increased by 2.6% to $15,525 million, with operational growth of 5.4%[40] Segment Performance - Innovative Medicine segment sales grew by 4.4% to $14,332 million in Q4 2024, with U.S. sales increasing by 11.1% to $8,977 million[7] - MedTech segment sales increased by 6.7% to $8,188 million in Q4 2024, driven by a 7.6% growth in U.S. sales to $4,227 million[7] - Adjusted operational sales growth for the Innovative Medicine segment was 6.1% worldwide in Q4 2024, with U.S. growth of 11.1%[23] - MedTech segment's adjusted operational sales growth was 7.6% worldwide in Q4 2024, driven by 7.6% growth in both U.S. and international markets[23] - Innovative Medicine segment reported a 4.0% growth worldwide, with U.S. growth at 9.0% and International decline at (2.5)%[25] - MedTech segment showed a 4.8% growth worldwide, with U.S. growth at 6.9% and International growth at 2.6%[25] - Immunology segment sales declined by 7.8% worldwide, with U.S. sales down 5.9% and International sales down 11.5%[28] - Oncology segment sales grew by 19.0% worldwide, driven by a 32.2% increase in U.S. sales[30] - DARZALEX sales increased by 20.9% worldwide, with U.S. sales up 28.9% and International sales up 11.3%[30] - SPRAVATO sales surged by 44.6% worldwide, with U.S. sales up 50.1%[30] - CARVYKTI sales showed significant growth, with U.S. sales at $304 million and International sales at $31 million[30] - Adjusted operational sales growth excluding acquisitions, divestitures, and COVID-19 vaccine was 7.6% for Innovative Medicine and 4.7% for MedTech[25] - Innovative Medicine segment worldwide sales increased by 4.4% to $14,332 million, with US sales growing 11.1% to $8,977 million and international sales declining 5.1% to $5,355 million[31] - Pulmonary Hypertension products worldwide sales grew 7.4% to $1,092 million, driven by 11.6% growth in US sales to $819 million[31] - Xarelto worldwide sales surged 28.5% to $676 million, entirely from US market growth[31] - MedTech segment worldwide sales increased 6.7% to $8,188 million, with US sales up 7.6% to $4,227 million and international sales growing 5.8% to $3,961 million[33] - Cardiovascular products within MedTech segment saw 23.6% worldwide sales growth to $2,062 million, with US sales jumping 25.8% to $1,221 million[32] - Vision products worldwide sales increased 7.9% to $1,303 million, with international sales growing 10.2% to $794 million[33] - Contact Lenses/Other products worldwide sales rose 6.3% to $937 million, with US sales up 6.0% to $396 million[33] - Orthopaedics worldwide sales grew 2.1% to $2,315 million, with Hips products increasing 5.2% to $418 million worldwide[32] - Surgical products worldwide sales increased 12.4% to $365 million, driven by 19.3% growth in international sales to $252 million[33] - Abiomed products worldwide sales grew 12.9% to $384 million, with US sales increasing 11.3% to $308 million[32] - Innovative Medicine segment total worldwide sales increased by 4.0% to $56,964 million in 2024, with US sales growing 9.0% to $33,970 million and international sales declining 2.5% to $22,994 million[38] - Oncology segment sales grew 17.7% worldwide to $20,781 million, driven by strong performance of CARVYKTI (92.7% growth to $963 million) and DARZALEX (19.8% growth to $11,670 million)[37] - Immunology segment sales declined 1.2% worldwide to $17,828 million, with TREMFYA showing strong growth of 16.6% to $3,670 million while STELARA declined 4.6% to $10,361 million[35] - Neuroscience segment sales remained flat worldwide at $7,115 million, with SPRAVATO showing significant growth of 56.4% to $1,077 million[37] - Pulmonary Hypertension segment sales increased 12.3% worldwide to $4,282 million, led by OPSUMIT (10.7% growth to $2,184 million) and UPTRAVI (14.9% growth to $1,817 million)[38] - MedTech segment worldwide sales increased by 4.8% to $31,857 million, with operational growth of 6.2%[40] - Cardiovascular segment worldwide sales grew by 21.4% to $7,707 million, driven by strong US growth of 24.2%[39] - Orthopaedics segment worldwide sales rose by 2.4% to $9,158 million, with US sales increasing by 3.0%[39] - Vision segment worldwide sales increased by 1.5% to $5,146 million, with US sales growing by 2.0%[40] - Innovative Medicine worldwide sales grew by 4.4% to $14,332 million, with US sales up 11.1%[41] Financial Performance - Net earnings from Continuing Operations decreased by 17.0% to $3,431 million in Q4 2024 compared to $4,132 million in Q4 2023[11] - Research and development expenses increased by 18.3% to $5,298 million in Q4 2024, representing 23.5% of sales[11] - Gross profit rose by 4.7% to $61,350 million in 2024, with a gross margin of 69.1%[13] - Research and development expense increased by 14.2% to $17,232 million in 2024, representing 19.4% of sales[13] - Net earnings from Continuing Operations grew by 5.6% to $14,066 million in 2024, with a diluted EPS increase of 11.3% to $5.79[13] - Adjusted net earnings from Continuing Operations decreased by 4.6% to $24,242 million in 2024, with a diluted EPS of $9.98[13] - The company incurred $167 million in restructuring costs in 2024 related to the Orthopaedics franchise streamlining[17] - COVID-19 vaccine-related costs totaled $100 million in 2024, primarily for external manufacturing network exit and clinical trial expenses[18] - European Medical Device Regulation (MDR) compliance costs amounted to $204 million in 2024, with implementation substantially completed by Q4 2024[18] COVID-19 Vaccine Impact - Worldwide sales excluding COVID-19 vaccine increased by 5.5% to $22,520 million in Q4 2024 compared to $21,351 million in Q4 2023[2] - Worldwide sales excluding COVID-19 vaccine for the twelve months increased by 5.5% to $88,623 million in 2024 compared to $84,042 million in 2023[5] - COVID-19 vaccine contributed 1.8% to Innovative Medicine's growth, with International impact at 4.2%[25] - COVID-19 vaccine sales plummeted 82.4% worldwide to $198 million in 2024[35] - COVID-19 Vaccine sales declined by 82.4% worldwide to $198 million, reflecting reduced demand[42] Europe Sales Performance - Europe sales excluding COVID-19 Vaccine increased by 3.7% to $20,014 million, driven by operational growth of 4.1%[42]