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Johnson & Johnson (JNJ) investor relations material

Johnson & Johnson Q3 2025 earnings summary

Complete event summary combining all related documents: earnings call transcript, report, and slide presentation.
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Q3 2025 earnings summary14 Oct, 2025

Executive summary

  • Q3 2025 sales reached $24.0B, up 6.8% year-over-year, with operational growth of 5.4% and strong performance in both Innovative Medicine and MedTech segments.

  • Net earnings surged 91.2% year-over-year to $5.2B, with diluted EPS at $2.12 and adjusted EPS at $2.80, up 15.7%.

  • Growth was driven by Oncology, Neuroscience, and Cardiovascular, with significant contributions from new and established products.

  • Announced planned separation of the Orthopaedics business within 18–24 months to sharpen focus on high-growth, high-margin areas.

  • Major product launches and regulatory milestones achieved, including INLEXZO approval and strong pipeline progress.

Financial highlights

  • Q3 2025 worldwide sales were $24.0B, up 6.8% year-over-year; net earnings were $5.2B, and adjusted net earnings were $6.8B, up 15.7%.

  • Gross margin for Q3 was 69.6%; effective tax rate increased to 31.2% due to a one-time $1B deferred tax remeasurement.

  • Free cash flow for Q3 was ~$14B; net debt position at quarter-end was ~$27B.

  • U.S. sales grew 6.2%, Europe 10.7%, and international sales 7.6% year-over-year.

  • Dividend per share was $1.30 for Q3, with continued quarterly dividends expected.

Outlook and guidance

  • Raised full-year 2025 sales guidance to $93.7B at the midpoint, representing 5.7% growth; adjusted EPS guidance reaffirmed at $10.85.

  • Adjusted operational sales growth expected at 4.0%–5.3% for 2025.

  • Projected 2026 revenue growth to exceed 5%, with upside to current consensus EPS.

  • Ongoing restructuring in MedTech and Orthopaedics expected to be substantially completed by end of 2026 and 2025, respectively.

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Frequently asked questions

Johnson & Johnson, a healthcare conglomerate and manufacturer of consumer products was founded in 1886 by brothers Robert Wood and Johnson Johnson. Today, the company operates in three segments – Consumer Health, Pharmaceutical and Medical Devices. The company sells its products to general public and retail outlets as well as distribute directly to wholesalers, hospitals, healthcare professionals for prescription use.

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