Johnson & Johnson reported first‑quarter 2026 revenue of $24.06 billion, up 6.4% from $22.6 billion in the same period last year, and adjusted earnings per share of $2.70, a $0.02 beat over the consensus estimate of $2.68. The earnings beat was driven by strong performance in the Innovative Medicine and MedTech segments, which together generated $23.9 billion in operating sales, up 6.4% year‑over‑year. The company’s oncology and immunology products offset a 920‑basis‑point drag from the loss of exclusivity for Stelara, which saw a 61.7% decline in sales compared with the prior year.
The Innovative Medicine segment posted $15.4 billion in sales, a 7.4% increase, while MedTech generated $8.6 billion, up 4.6%. The loss of exclusivity for Stelara, a key immunology product, contributed a 920‑basis‑point drag, but the company’s oncology portfolio—highlighted by Darzalex, Carvykti, and Erleada—continued to grow, supporting the overall operating sales momentum.
Management raised its full‑year 2026 guidance, now projecting adjusted EPS of $11.45 to $11.65 and revenue of $100.3 billion to $101.3 billion, up from the prior guidance of $11.20 to $11.40 and $99.0 billion to $100.0 billion. The upward revision signals confidence in the company’s pipeline, including the FDA approval of ICOTYDE on March 17, 2026, and the European launch of VARIPULSE Pro, as well as ongoing portfolio transformation that insulates the business from patent cliffs.
"Johnson & Johnson had a strong start to 2026 and is delivering on its promise for a year of accelerated growth and impact," said Chairman and CEO Joaquin Duato. "The depth and strength of our portfolio and pipeline is unrivaled and our relentless focus on innovation delivered multiple game‑changing approvals this quarter, including ICOTYDE in the U.S. for moderate to severe plaque psoriasis and VARIPULSE Pro in Europe."
Despite the earnings beat, the company’s stock slipped 0.5% in pre‑market trading, reflecting investor concern about the magnitude of Stelara’s decline and the sustainability of growth momentum from newer products. Analysts noted that while the company’s guidance is upbeat, the headwind from biosimilar competition for Stelara remains a key risk.
The company also continues to face an ongoing legal overhang related to talcum powder lawsuits, a factor that investors monitor closely as it could impact future earnings and cash flow.
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