Johnson & Johnson Reports Q3 Revenue Growth Amid MedTech Weakness and Future Earnings Dilution Risks
Johnson & Johnson (JNJ) reported third-quarter revenue of $25.4 billion, representing 5.9% growth. The results were primarily driven by the Innovative Medicine segment, which saw 7.9% operational growth. Notably, TREMFYA's performance helped offset declines in STELARA, with TREMFYA generating $2.4 billion in quarterly sales following positive Phase 3 FUZION data. Despite the revenue beat and raised 2026 guidance, the MedTech segment lagged with only 2.5% growth, facing headwinds in Surgery, Abiomed, and international markets. Looking further ahead, management faces potential earnings pressure in 2027 due to expected adjusted EPS dilution of up to $1.36 per share stemming from Firefly Bio and Sail Biomedicines milestones.