Summary
Johnson & Johnson (JNJ) reported strong performance for the first quarter of 2021, with total sales reaching $22.3 billion, a 7.9% increase year-over-year. This growth was driven by a 5.5% operational increase and a favorable currency impact of 2.4%. The Pharmaceutical segment was a key driver, showing a 9.6% increase in sales to $12.2 billion, fueled by strong performance in Oncology, Immunology, and Pulmonary Hypertension therapeutic areas. The Medical Devices segment also demonstrated robust growth, with sales up 10.9% to $6.6 billion, largely due to recovery in surgical procedures and strong performance in Interventional Solutions. While the Consumer Health segment experienced a slight decline of 2.3% in sales to $3.5 billion, this was attributed to comparisons with prior year COVID-19 related pantry loading and a weaker cough, cold, and flu season. Net earnings for the quarter were $6.2 billion, or $2.32 per diluted share, up from $5.8 billion, or $2.17 per diluted share, in the prior year. The company maintained a healthy cash flow from operations of $4.1 billion, supporting dividend payments and share repurchases, while also managing significant legal and restructuring reserves.
Financial Highlights
53 data points| Revenue | $22.32B |
| Cost of Revenue | $7.06B |
| Gross Profit | $15.26B |
| SG&A Expenses | $5.43B |
| Interest Expense | $63.00M |
| Net Income | $6.20B |
| EPS (Basic) | $2.35 |
| EPS (Diluted) | $2.32 |
| Shares Outstanding (Basic) | 2.63B |
| Shares Outstanding (Diluted) | 2.67B |
Key Highlights
- 1Total sales increased by 7.9% to $22.3 billion, driven by operational growth of 5.5% and a positive currency impact of 2.4%.
- 2Pharmaceutical segment sales grew 9.6% to $12.2 billion, with key drivers including strong performance in Oncology (DARZALEX®, ERLEADA®, IMBRUVICA®) and Immunology (STELARA®, TREMFYA®).
- 3Medical Devices segment sales surged by 10.9% to $6.6 billion, reflecting market recovery and growth in Surgery and Interventional Solutions.
- 4Consumer Health segment sales saw a slight decrease of 2.3% to $3.5 billion, primarily due to challenging year-over-year comparisons and a less severe flu season.
- 5Net earnings increased to $6.2 billion ($2.32 per diluted share) from $5.8 billion ($2.17 per diluted share) in the prior year's quarter.
- 6Operating cash flow remained strong at $4.1 billion, providing ample liquidity for operations, dividends, and share repurchases.
- 7The company continues to manage significant litigation reserves, particularly related to talc and opioid claims, which remain a key area of focus.