Q3 FY2026
Filed Oct 13, 2026Johnson & Johnson reports Q3 2026 results, raises 2026 guidance
Reported sales grew 5.9% to $25,399 million and both operating segments grew, while reported net earnings fell 95.9% to $210 million and adjusted diluted EPS declined 7.5% to $2.59. The company raised full-year estimated reported sales and adjusted EPS guidance.
Actuals vs. the company’s prior outlook
from its previous release| Metric | Guided | Reported | Verdict |
|---|---|---|---|
| Full-year 2026 adjusted operational sales growth midpoint | 6.2% – 6.8% / 6.5% | 6.4% – 6.8% / 6.6% | above |
| Full-year 2026 operational sales midpoint | $100.3B – $100.9B / $100.6B | $100.5B – $100.9B / $100.7B | above |
| Full-year 2026 estimated reported sales midpoint | $100.8B – $101.4B / $101.1B | $101.0B – $101.4B / $101.2B | above |
| Full-year 2026 adjusted operational EPS (diluted) midpoint | $10.86 – $11.01 / $10.94 | $10.95 – $11.05 / $11.00 | above |
| Full-year 2026 adjusted EPS (diluted) midpoint | $10.96 – $11.11 / $11.04 | $11.05 – $11.15 / $11.10 | above |
Key metrics
shortened, hover for the filing’s print| Metric | Value | q/q | y/y |
|---|---|---|---|
| Q3 reported salesGAAP | $25.40B | – | 5.9 % |
| Q3 operational sales growthnon-GAAP | 6.0 % | – | 6.0 % |
| Q3 adjusted operational sales growthnon-GAAP | 6.1 % | – | 6.1 % |
| Q3 net earningsGAAP | $210M | – | (95.9) % |
| Q3 EPS (diluted)GAAP | $0.09 | – | (95.8) % |
| Q3 adjusted net earningsnon-GAAP | $6.34B | – | (6.8) % |
| Q3 adjusted EPS (diluted)non-GAAP | $2.59 | – | (7.5) % |
| Third-quarter YTD 2026 free cash flownon-GAAP | ~$15,100 | – | – |
| Q3 U.S. salesGAAP | $14.96B | – | 9.1 % |
| Q3 U.S. operational sales growthnon-GAAP | 9.1 | – | 9.1 |
| Q3 U.S. currency impactother | — | – | — |
| Q3 U.S. adjusted operational sales growthnon-GAAP | 9.1 | – | 9.1 |
| Q3 international salesGAAP | 10,440 | – | 1.5 |
| Q3 international operational sales growthnon-GAAP | 1.8 | – | 1.8 |
| Q3 international currency impactother | (0.3) | – | (0.3) |
| Q3 international adjusted operational sales growthnon-GAAP | 1.9 | – | 1.9 |
Segments
| Segment | Revenue | q/q | y/y |
|---|---|---|---|
| Innovative MedicineOperational sales growth was primarily driven by TREMFYA and new products within Other in Immunology; DARZALEX, CARVYKTI, TECVAYLI, RYBREVANT/LAZCLUZE, and ERLEADA in Oncology; and SPRAVATO and CAPLYTA in Neuroscience. Growth was partially offset by STELARA, SIMPONI/SIMPONI ARIA, REMICADE, OPSUMIT/OPSYNVI, and IMBRUVICA. | $16.76B | – | 7.7 % |
| MedTechGrowth was primarily driven by electrophysiology products and Shockwave in Cardiovascular, contact lenses in Vision, and trauma in Orthopaedics. | 8.64B | – | 2.5 |
Amounts quoted below without a unit are in millions, as in the filing’s tables. Per-share figures are as printed.
Full-year 2026 guidance outlook
- RevenueEstimated Reported Sales: $101.0B – $101.4B / $101.2B; Change vs. Prior Year / Mid-point: 7.2% – 7.6% / 7.4%
- NoteAdjusted Operational Sales Change vs. Prior Year / Mid-point: 6.4% – 6.8% / 6.6%
- NoteOperational Sales / Mid-point: $100.5B – $100.9B / $100.7B; Change vs. Prior Year / Mid-point: 6.7% – 7.1% / 6.9%
- NoteAdjusted Operational EPS (Diluted) / Mid-point: $10.95 – $11.05 / $11.00; Change vs. Prior Year / Mid-point: 1.5% – 2.4% / 2.0%
- NoteAdjusted EPS (Diluted) / Mid-point: $11.05 – $11.15 / $11.10; Change vs. Prior Year / Mid-point: 2.4% – 3.3% / 2.9%
What drove it
- Worldwide reported sales increased 5.9 %, while operational sales increased 6.0 % and adjusted operational sales increased 6.1 %.
- Innovative Medicine worldwide operational sales grew 7.9%, with divestitures negatively impacting growth by 10 basis points.
- STELARA had an approximate 690 basis points impact on Innovative Medicine growth.
- MedTech worldwide operational sales grew 2.5%.
Concerns
- Q3 reported net earnings were $210, down (95.9) % from $5,152.
- Q3 diluted EPS was $0.09, down (95.8) % from $2.12.
- Q3 adjusted net earnings were $6,339, down (6.8) % from $6,801.
- Q3 adjusted diluted EPS was $2.59, down (7.5) % from $2.80.
- The release states that EPS reflected a one-time special charge for the proposed talc litigation resolution, the acquisition of Firefly Bio, Inc., and the strategic collaboration with Sail Biomedicines.
- Innovative Medicine growth was partially offset by STELARA, SIMPONI/SIMPONI ARIA, REMICADE, OPSUMIT/OPSYNVI, and IMBRUVICA.
What to watch
- Execution against full-year estimated reported sales guidance of $101.0B – $101.4B and adjusted EPS guidance of $11.05 – $11.15.
- The contribution from TREMFYA, newer Immunology products, DARZALEX, CARVYKTI, TECVAYLI, RYBREVANT/LAZCLUZE, ERLEADA, SPRAVATO, and CAPLYTA.
- The continuing impact of STELARA and other products cited as offsets to Innovative Medicine growth.
- MedTech demand in electrophysiology, Shockwave, contact lenses, and trauma.
- Progress in commercialization and regulatory activity for OTTAVA, IMAAVY, and RYBREVANT FASPRO.
Balance sheet and cash flow
- Third-quarter YTD 2026 free cash flow: ~$15,100, compared with $14,226 in the prior-year period.
- Free cash flow is defined as cash flow from operating activities, less additions to property, plant and equipment.
Analysis
Johnson & Johnson reported Q3 sales of $25,399 million, up 5.9 % from $23,993 million. Operational sales growth was 6.0 % and adjusted operational sales growth was 6.1 %, indicating that currency had a (0.1) impact on worldwide growth and acquisitions and divestitures had a further limited effect. U.S. sales grew 9.1 %, while international sales rose 1.5 % reported, with a (0.3) currency impact.
Innovative Medicine was the principal growth contributor, with sales of $16,757 and reported growth of 7.7 %. Its 7.9% operational growth was driven by Immunology, Oncology, and Neuroscience products including TREMFYA, DARZALEX, CARVYKTI, TECVAYLI, RYBREVANT/LAZCLUZE, ERLEADA, SPRAVATO, and CAPLYTA. The release identifies STELARA as an approximate 690 basis points drag on Innovative Medicine growth, alongside other named Immunology, Pulmonary Hypertension, and Oncology products. MedTech sales were 8,642 and grew 2.5%, supported by electrophysiology, Shockwave, contact lenses, and trauma.
Profitability was materially affected by special items and transaction activity. Reported net earnings were $210 and diluted EPS was $0.09, versus $5,152 and $2.12, respectively, in Q3 2025. The company attributed the reported EPS outcome to a one-time special charge for the proposed talc litigation resolution, the Firefly Bio, Inc. acquisition, and the Sail Biomedicines strategic collaboration. Adjusted net earnings declined to $6,339 from $6,801 and adjusted diluted EPS declined to $2.59 from $2.80, showing that adjusted earnings also declined despite sales growth.
Cash generation was positive on the measure disclosed, with third-quarter YTD 2026 free cash flow estimated at ~$15,100, compared with $14,226 in the prior-year period. The filing did not report dividends, share repurchases, cash balances, debt, cash flow from operations, capital expenditures, gross margin, operating income, operating expenses, or tax rate.
Management raised full-year 2026 outlook. Estimated reported sales are now $101.0B – $101.4B, with a $101.2B midpoint and 7.4% midpoint growth, compared with the prior $101.1B midpoint and 7.3% midpoint growth. Adjusted diluted EPS guidance increased to $11.05 – $11.15, with an $11.10 midpoint and 2.9% midpoint growth, compared with the prior $11.04 midpoint and 2.3% midpoint growth. The guide therefore places attention on continued Innovative Medicine momentum, the size of the STELARA drag, MedTech growth, and the financial effect of the disclosed litigation and M&A-related items.
Management, verbatim
Johnson & Johnson’s strong third-quarter performance and increased sequential growth reflect the accelerating momentum of our focused portfolio.
Joaquin Duato, Chairman and Chief Executive Officer
In the third quarter, we advanced breakthroughs that will redefine care for patients, from delivering one of our most transformative MedTech innovations with OTTAVA to reporting positive Phase 3 results in multiple myeloma.
Joaquin Duato, Chairman and Chief Executive Officer
This progress, together with strategic investments in high-growth areas, gives us clearer line of sight to double-digit growth by the end of the decade.
Joaquin Duato, Chairman and Chief Executive Officer
Not in the filing
stated, not guessed- Period-end date
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- Operating cash flow reconciliation to free cash flow
AlphAI analysis generated from the company’s SEC earnings filing (Form 8-K Item 2.02, or Form 6-K for a foreign private issuer). Every figure was cross-checked against the filing text; consensus estimates, price targets and share-price reactions are not shown because they are not in the filing. AI-generated research, not investment advice.