Johnson & Johnson (JNJ) 8-K Johnson & Johnson Announces Updated Financials and 2023 Guidance Following Completion of the Kenvue Separation

Exhibit 99.2

Johnson & Johnson and Subsidiaries
Supplementary Sales Data
(Unaudited; Dollars in Millions)	FIRST QUARTER
				Percent Change
	2023		2022	Total		Operations	Currency
Sales to customers by geographic area
U.S.	$	10,782	9,857	9.4	%	9.4	—
Europe	5,590		5,341	4.7		9.4	(4.7)
Western Hemisphere excluding U.S.	1,076		998	7.8		15.5	(7.7)
Asia-Pacific, Africa	3,446		3,644	(5.4)		3.1	(8.5)
International	10,112		9,983	1.3		7.7	(6.4)
Worldwide	$	20,894	19,840	5.3	%	8.5	(3.2)
(Unaudited; Dollars in Millions)	SECOND QUARTER
				Percent Change
	2023		2022	Total		Operations	Currency
Sales to customers by geographic area
U.S.	$	11,657	10,510	10.9	%	10.9	—
Europe	5,131		5,355	(4.2)		(5.2)	1.0
Western Hemisphere excluding U.S.	1,136		1,027	10.7		16.8	(6.2)
Asia-Pacific, Africa	3,595		3,323	8.2		14.3	(6.1)
International	9,862		9,705	1.6		3.8	(2.2)
Worldwide	$	21,519	20,215	6.5	%	7.5	(1.0)
(Unaudited; Dollars in Millions)	SIX MONTHS
				Percent Change
	2023		2022	Total		Operations	Currency
Sales to customers by geographic area
U.S.	$	22,439	20,367	10.2	%	10.2	—
Europe	10,721		10,696	0.2		2.1	(1.9)
Western Hemisphere excluding U.S.	2,212		2,025	9.3		16.2	(6.9)
Asia-Pacific, Africa	7,041		6,967	1.1		8.5	(7.4)
International	19,974		19,688	1.5		5.8	(4.3)
Worldwide	$	42,413	40,055	5.9	%	8.0	(2.1)
Note: Percentages have been calculated using actual, non-rounded figures and, therefore, may not recalculate precisely.

Johnson & Johnson and Subsidiaries
Supplementary Sales Data
(Unaudited; Dollars in Millions)	FIRST QUARTER
				Percent Change
	2022		2021	Total		Operations	Currency
Sales to customers by geographic area
U.S.	$	9,857	9,500	3.8	%	3.8	—
Europe	5,341		4,727	13.0		21.2	(8.2)
Western Hemisphere excluding U.S.	998		968	3.0		4.2	(1.2)
Asia-Pacific, Africa	3,644		3,485	4.6		8.3	(3.7)
International	9,983		9,180	8.7		14.5	(5.8)
Worldwide	$	19,840	18,680	6.2	%	9.1	(2.9)
(Unaudited; Dollars in Millions)	SECOND QUARTER
				Percent Change
	2022		2021	Total		Operations	Currency
Sales to customers by geographic area
U.S.	$	10,510	10,168	3.4	%	3.4	—
Europe	5,355		4,936	8.5		22.1	(13.6)
Western Hemisphere excluding U.S.	1,027		933	10.2		13.2	(3.0)
Asia-Pacific, Africa	3,323		3,421	(2.9)		6.2	(9.1)
International	9,705		9,290	4.5		15.4	(10.9)
Worldwide	$	20,215	19,458	3.9	%	9.1	(5.2)
(Unaudited; Dollars in Millions)	THIRD QUARTER
				Percent Change
	2022		2021	Total		Operations	Currency
Sales to customers by geographic area
U.S.	$	10,794	10,338	4.4	%	4.4	—
Europe	4,844		4,833	0.2		16.1	(15.9)
Western Hemisphere excluding U.S.	1,059		1,019	3.9		9.1	(5.2)
Asia-Pacific, Africa	3,299		3,336	(1.1)		11.4	(12.5)
International	9,202		9,188	0.1		13.6	(13.5)
Worldwide	$	19,996	19,526	2.4	%	8.7	(6.3)
Note: Percentages have been calculated using actual, non-rounded figures and, therefore, may not recalculate precisely.

Johnson & Johnson and Subsidiaries
Supplementary Sales Data
(Unaudited; Dollars in Millions)	FOURTH QUARTER
				Percent Change
	2022		2021	Total		Operations	Currency
Sales to customers by geographic area
U.S.	$	10,820	10,634	1.7	%	1.7	—
Europe	5,124		6,099	(16.0)		(6.3)	(9.7)
Western Hemisphere excluding U.S.	1,024		1,007	1.7		8.3	(6.6)
Asia-Pacific, Africa	2,971		3,336	(10.9)		3.0	(13.9)
International	9,119		10,442	(12.7)		(1.9)	(10.8)
Worldwide	$	19,939	21,076	(5.4)	%	(0.1)	(5.3)
(Unaudited; Dollars in Millions)	TWELVE MONTHS
				Percent Change
	2022		2021	Total		Operations	Currency
Sales to customers by geographic area
U.S.	$	41,981	40,640	3.3	%	3.3	—
Europe	20,664		20,595	0.3		12.1	(11.8)
Western Hemisphere excluding U.S.	4,108		3,927	4.6		8.7	(4.1)
Asia-Pacific, Africa	13,237		13,578	(2.5)		7.2	(9.7)
International	38,009		38,100	(0.2)		10.0	(10.2)
Worldwide	$	79,990	78,740	1.6	%	6.5	(4.9)
Note: Percentages have been calculated using actual, non-rounded figures and, therefore, may not recalculate precisely.

Johnson & Johnson and Subsidiaries
Condensed Consolidated Statement of Earnings
(Unaudited; in Millions Except Per Share Figures)	2023
	Q1					Q2					SIX MONTHS
				Percent					Percent					Percent
	Amount			to Sales		Amount			to Sales		Amount			to Sales
Sales to customers	$	20,894		100.0	%	$	21,519		100.0	%	$	42,413		100.0	%
Cost of products sold	6,687			32.0		6,462			30.0		13,149			31.0
Gross Profit	14,207			68.0		15,057			70.0		29,264			69.0
Selling, marketing and administrative expenses	4,906			23.5		5,396			25.1		10,302			24.3
Research and development expense	3,455			16.6		3,703			17.2		7,158			16.9
In-process research and development Impairments	49			0.2		—			—		49			0.1
Interest income	(198)			(0.9)		(326)			(1.5)		(524)			(1.2)
Interest expense, net of portion capitalized	212			1.0		217			1.0		429			1.0
Other (income) expense, net	6,940			33.2		(384)			(1.8)		6,556			15.5
Restructuring	130			0.6		145			0.7		275			0.6
Earnings/(loss) before provision for taxes on income	(1,287)			(6.2)		6,306			29.3		5,019			11.8
Provision for/(Benefit from) taxes on income	(796)			(3.9)		930			4.3		134			0.3
Net earnings/(loss) from Continuing Operations	$	(491)		(2.3)	%	$	5,376		25.0	%	$	4,885		11.5	%
Net earnings/(loss) from Discontinued Operations, net of tax	423					(232)					191
Net earnings/(loss)	$	(68)				$	5,144				$	5,076
Net Earnings (loss) per Share (Diluted) from Continuing Operations	$	(0.19)				$	2.05				$	1.86
Net Earnings (loss) per Share (Diluted) from Discontinued Operations	$	0.16				$	(0.09)				$	0.07
Average shares outstanding (Diluted)	2,605.5		*			2,625.7					2,630.7
*Basic Shares used as in an overall loss position
Effective tax rate from Continuing Operations	61.8		%			14.7		%			2.7		%
Adjusted earnings from continuing operations before provision for taxes and net earnings (1) (A)
Earnings before provision for taxes on income from continuing operations	$	7,536		36.1		$	8,005		37.2		$	15,541		36.6
Net earnings from continuing operations	$	6,340		30.3		$	6,730		31.3		$	13,070		30.8
Net earnings per share (Diluted) from continuing operations	$	2.41				$	2.56				$	4.97
Average shares outstanding (Diluted)	2,634.3					2,625.7					2,630.7
Effective tax rate from continuing operations	15.9		%			15.9		%			15.9		%
(1) See Reconciliation of Non-GAAP Financial Measures.
(A) NON-GAAP FINANCIAL MEASURES "Adjusted earnings from continuing operations before provision for taxes on income," "adjusted net earnings from continuing operations," "adjusted net earnings per share (diluted) from continuing operations," and "adjusted effective tax rate from continuing operations" are non-GAAP financial measures and should not be considered replacements for GAAP results. The Company provides earnings from continuing operations before provision for taxes on income, net earnings from continuing operations, net earnings per share (diluted) from continuing operations, and effective tax rate from continuing operations on an adjusted basis because management believes that these measures provide useful information to investors. Among other things, these measures may assist investors in evaluating the Company's results of operations period over period. In various periods, these measures may exclude such items as intangible asset amortization expense, significant gains from divestitures, significant costs associated with acquisitions, restructuring, litigation, and changes in applicable laws and regulations (including significant accounting or tax matters). Special items may be highly variable, difficult to predict, and of a size that sometimes has substantial impact on the Company's reported results of operations for a period. Management uses these measures internally for planning, forecasting and evaluating the performances of the Company's businesses, including allocating resources and evaluating results relative to employee performance compensation targets. Unlike earnings from continuing operations before provision for taxes on income, net earnings from continuing operations, net earnings per share (diluted) from continuing operations, and effective tax rate from continuing operations prepared in accordance with GAAP, adjusted earnings from continuing operations before provision for taxes on income, adjusted net earnings from continuing operations, adjusted net earnings per share (diluted) from continuing operations, and adjusted effective tax rate from continuing operations may not be comparable with the calculation of similar measures for other companies. The limitations of using these non-GAAP financial measures as performance measures are that they provide a view of the Company's results of operations without including all events during a period, such as intangible asset amortization expense, significant gains from divestitures, the effects of an acquisition, restructuring, litigation, and changes in applicable laws and regulations (including significant accounting or tax matters) and do not provide a comparable view of the Company's performance to other companies in the health care industry. Investors should consider non-GAAP financial measures in addition to, and not as replacements for, or superior to, measures of financial performance prepared in accordance with GAAP.

Johnson & Johnson and Subsidiaries
Condensed Consolidated Statement of Earnings
(Unaudited; in Millions Except Per Share Figures)	2022
	Q1					Q2					SIX MONTHS
				Percent					Percent					Percent
	Amount			to Sales		Amount			to Sales		Amount			to Sales
Sales to customers	$	19,840		100.0	%	$	20,215		100.0	%	$	40,055		100.0	%
Cost of products sold	6,018			30.3		6,322			31.3		12,340			30.8
Gross Profit	13,822			69.7		13,893			68.7		27,715			69.2
Selling, marketing and administrative expenses	4,812			24.3		5,120			25.3		9,932			24.8
Research and development expense	3,355			16.9		3,585			17.7		6,940			17.3
In-process research and development Impairments	610			3.1		—			—		610			1.5
Interest income	(22)			(0.1)		(64)			(0.3)		(86)			(0.2)
Interest expense, net of portion capitalized	10			0.1		38			0.2		48			0.1
Other (income) expense, net	(210)			(1.1)		(1)			0.0		(211)			(0.5)
Restructuring	64			0.3		71			0.4		135			0.4
Earnings before provision for taxes on income	5,203			26.2		5,144			25.4		10,347			25.8
Provision for taxes on income	632			3.2		882			4.3		1,514			3.7
Net earnings from Continuing Operations	$	4,571		23.0	%	$	4,262		21.1	%	$	8,833		22.1	%
Net earnings from Discontinued Operations, net of tax	578					552					1,130
Net earnings	$	5,149				$	4,814				$	9,963
Net Earnings per Share (Diluted) from Continuing Operations	$	1.71				$	1.60				$	3.31
Net Earnings per Share (Diluted) from Discontinued Operations	$	0.22				$	0.20				$	0.42
Average shares outstanding (Diluted)	2,666.5					2,667.9					2,669.2
Effective tax rate from Continuing Operations	12.1		%			17.1		%			14.6		%
Adjusted earnings from continuing operations before provision for taxes and net earnings (1) (A)
Earnings before provision for taxes on income from continuing operations	$	7,349		37.0		$	7,082		35.0		$	14,431		36.0
Net earnings from continuing operations	$	6,388		32.2		$	6,038		29.9		$	12,426		31.0
Net earnings per share (Diluted) from continuing operations	$	2.40				$	2.26				$	4.66
Average shares outstanding (Diluted)	2,666.5					2,667.9					2,669.2
Effective tax rate from continuing operations	13.1		%			14.7		%			13.9		%
(1) See Reconciliation of Non-GAAP Financial Measures.
(A) NON-GAAP FINANCIAL MEASURES "Adjusted earnings from continuing operations before provision for taxes on income," "adjusted net earnings from continuing operations," "adjusted net earnings per share (diluted) from continuing operations," and "adjusted effective tax rate from continuing operations" are non-GAAP financial measures and should not be considered replacements for GAAP results. The Company provides earnings from continuing operations before provision for taxes on income, net earnings from continuing operations, net earnings per share (diluted) from continuing operations, and effective tax rate from continuing operations on an adjusted basis because management believes that these measures provide useful information to investors. Among other things, these measures may assist investors in evaluating the Company's results of operations period over period. In various periods, these measures may exclude such items as intangible asset amortization expense, significant gains from divestitures, significant costs associated with acquisitions, restructuring, litigation, and changes in applicable laws and regulations (including significant accounting or tax matters). Special items may be highly variable, difficult to predict, and of a size that sometimes has substantial impact on the Company's reported results of operations for a period. Management uses these measures internally for planning, forecasting and evaluating the performances of the Company's businesses, including allocating resources and evaluating results relative to employee performance compensation targets. Unlike earnings from continuing operations before provision for taxes on income, net earnings from continuing operations, net earnings per share (diluted) from continuing operations, and effective tax rate from continuing operations prepared in accordance with GAAP, adjusted earnings from continuing operations before provision for taxes on income, adjusted net earnings from continuing operations, adjusted net earnings per share (diluted) from continuing operations, and adjusted effective tax rate from continuing operations may not be comparable with the calculation of similar measures for other companies. The limitations of using these non-GAAP financial measures as performance measures are that they provide a view of the Company's results of operations without including all events during a period, such as intangible asset amortization expense, significant gains from divestitures, the effects of an acquisition, restructuring, litigation, and changes in applicable laws and regulations (including significant accounting or tax matters) and do not provide a comparable view of the Company's performance to other companies in the health care industry. Investors should consider non-GAAP financial measures in addition to, and not as replacements for, or superior to, measures of financial performance prepared in accordance with GAAP.

Johnson & Johnson and Subsidiaries
Condensed Consolidated Statement of Earnings
(Unaudited; in Millions Except Per Share Figures)	2022
	Q3					Q4					FULL YEAR
				Percent					Percent					Percent
	Amount			to Sales		Amount			to Sales		Amount			to Sales
Sales to customers	$	19,996		100.0	%	$	19,939		100.0	%	$	79,990		100.0	%
Cost of products sold	6,172			30.9		6,084			30.5		24,596			30.7
Gross Profit	13,824			69.1		13,855			69.5		55,394			69.3
Selling, marketing and administrative expenses	4,975			24.9		5,339			26.8		20,246			25.3
Research and development expense	3,485			17.4		3,710			18.6		14,135			17.7
In-process research and development Impairments	—			—		173			0.8		783			1.0
Interest income	(150)			(0.8)		(254)			(1.3)		(490)			(0.6)
Interest expense, net of portion capitalized	51			0.3		177			0.9		276			0.3
Other (income) expense, net	226			1.1		795			4.0		810			1.0
Restructuring	65			0.3		75			0.4		275			0.4
Earnings before provision for taxes on income	5,172			25.9		3,840			19.3		19,359			24.2
Provision for taxes on income	862			4.3		613			3.1		2,989			3.7
Net earnings from Continuing Operations	$	4,310		21.6	%	$	3,227		16.2	%	$	16,370		20.5	%
Net earnings from Discontinued Operations, net of tax	148					293					1,571
Net earnings	$	4,458				$	3,520				$	17,941
Net Earnings per Share (Diluted) from Continuing Operations	$	1.62				$	1.22				$	6.14
Net Earnings per Share (Diluted) from Discontinued Operations	$	0.06				$	0.11				$	0.59
Average shares outstanding (Diluted)	2,661.3					2,650.1					2,663.9
Effective tax rate from Continuing Operations	16.7		%			16.0		%			15.4		%
Adjusted earnings from continuing operations before provision for taxes and net earnings (1) (A)
Earnings before provision for taxes on income from continuing operations	$	7,060		35.3		$	6,482		32.5		$	27,973		35.0
Net earnings from continuing operations	$	5,938		29.7		$	5,432		27.2		$	23,796		29.7
Net earnings per share (Diluted) from continuing operations	$	2.23				$	2.05				$	8.93
Average shares outstanding (Diluted)	2,661.3					2,650.1					2,663.9
Effective tax rate from continuing operations	15.9		%			16.2		%			14.9		%
(1) See Reconciliation of Non-GAAP Financial Measures.
(A) NON-GAAP FINANCIAL MEASURES "Adjusted earnings from continuing operations before provision for taxes on income," "adjusted net earnings from continuing operations," "adjusted net earnings per share (diluted) from continuing operations," and "adjusted effective tax rate from continuing operations" are non-GAAP financial measures and should not be considered replacements for GAAP results. The Company provides earnings from continuing operations before provision for taxes on income, net earnings from continuing operations, net earnings per share (diluted) from continuing operations, and effective tax rate from continuing operations on an adjusted basis because management believes that these measures provide useful information to investors. Among other things, these measures may assist investors in evaluating the Company's results of operations period over period. In various periods, these measures may exclude such items as intangible asset amortization expense, significant gains from divestitures, significant costs associated with acquisitions, restructuring, litigation, and changes in applicable laws and regulations (including significant accounting or tax matters). Special items may be highly variable, difficult to predict, and of a size that sometimes has substantial impact on the Company's reported results of operations for a period. Management uses these measures internally for planning, forecasting and evaluating the performances of the Company's businesses, including allocating resources and evaluating results relative to employee performance compensation targets. Unlike earnings from continuing operations before provision for taxes on income, net earnings from continuing operations, net earnings per share (diluted) from continuing operations, and effective tax rate from continuing operations prepared in accordance with GAAP, adjusted earnings from continuing operations before provision for taxes on income, adjusted net earnings from continuing operations, adjusted net earnings per share (diluted) from continuing operations, and adjusted effective tax rate from continuing operations may not be comparable with the calculation of similar measures for other companies. The limitations of using these non-GAAP financial measures as performance measures are that they provide a view of the Company's results of operations without including all events during a period, such as intangible asset amortization expense, significant gains from divestitures, the effects of an acquisition, restructuring, litigation, and changes in applicable laws and regulations (including significant accounting or tax matters) and do not provide a comparable view of the Company's performance to other companies in the health care industry. Investors should consider non-GAAP financial measures in addition to, and not as replacements for, or superior to, measures of financial performance prepared in accordance with GAAP.

Johnson & Johnson and Subsidiaries
Reconciliation of Non-GAAP Financial Measures
		2023
	(Dollars in Millions Except Per Share Data)	Q1		Q2	SIX MONTHS
	Net Earnings/(loss) from Continuing Operations, after tax - as reported	$	(491)	5,376	4,885
	Pre-tax Adjustments
	Intangible Asset Amortization expense	1,122		1,130	2,252
	Litigation related	6,900		137	7,037
	IPR&D impairments	49		0	49
	Restructuring related	130		145	275
	Acquisition, integration and divestiture related	42		38	80
	(Gains)/losses on securities	72		(1)	71
	Medical Device Regulation	64		85	149
	COVID-19 Vaccine related costs	444		165	609
	Tax Adjustments
	Tax impact on special item adjustments	(1,980)		(307)	(2,287)
	Consumer Health separation tax related costs	11		(17)	(6)
	Tax legislation and other tax related	(23)		(21)	(44)
	Adjusted Net Earnings from continuing operations, after tax	$	6,340	6,730	13,070
	Average shares outstanding (Diluted)	2,634.3		2,625.7	2,630.7
	Adjusted net earnings per share from continuing operations (Diluted)	$	2.41	2.56	4.97

Johnson & Johnson and Subsidiaries
Reconciliation of Non-GAAP Financial Measures
		2022
	(Dollars in Millions Except Per Share Data)	Q1		Q2	Q3	Q4	FULL YEAR
	Net Earnings from Continuing Operations, after tax - as reported	$	4,571	4,262	4,310	3,227	16,370
	Pre-tax Adjustments
	Intangible Asset Amortization expense	1,014		995	958	977	3,944
	Litigation related	0		385	219	262	866
	IPR&D impairments	610		0	0	173	783
	Restructuring related	58		103	92	119	372
	Acquisition, integration and divestiture related	0		0	0	196	196
	(Gains)/losses on securities	411		109	164	6	690
	Medical Device Regulation	60		70	78	88	296
	COVID-19 Vaccine related costs	0		276	377	821	1,474
	Other	(7)		0	0	0	(7)
	Tax Adjustments
	Tax impact on special item adjustments	(346)		(242)	(312)	(394)	(1,294)
	Consumer Health separation tax related costs	96		2	(36)	4	66
	Tax legislation and other tax related	(79)		78	88	(47)	40
	Adjusted Net Earnings from continuing operations, after tax	$	6,388	6,038	5,938	5,432	23,796
	Average shares outstanding (Diluted)	2,666.5		2,667.9	2,661.3	2,650.1	2,663.9
	Adjusted net earnings per share from continuing operations (Diluted)	$	2.40	2.26	2.23	2.05	8.93

Johnson & Johnson and Subsidiaries
Reconciliation of Non-GAAP Financial Measure
Adjusted Operational Sales Growth (A)
2023 ACTUAL vs. 2022 ACTUAL
	Q1		Q2		SIX MONTHS
WW As Reported	5.3	%	6.5	%	5.9	%
U.S.	9.4	%	10.9	%	10.2	%
International	1.3	%	1.6	%	1.5	%
WW Currency	(3.2)		(1.0)		(2.1)
U.S.	—		—		—
International	(6.4)		(2.2)		(4.3)
WW Operational	8.5	%	7.5	%	8.0	%
U.S.	9.4	%	10.9	%	10.2	%
International	7.7	%	3.8	%	5.8	%
Abiomed	(1.6)		(1.6)		(1.6)
U.S.	(2.7)		(2.6)		(2.6)
International	(0.6)		(0.6)		(0.6)
All Other Acquisitions and Divestitures	0.0		0.1		0.0
U.S.	0.0		0.0		0.0
International	0.1		0.2		0.2
WW Adjusted Operational	6.9	%	6.0	%	6.4	%
U.S.	6.7	%	8.3	%	7.6	%
International	7.2	%	3.4	%	5.4	%
Note: Percentages are based on actual, non-rounded figures and may not sum
(A) NON-GAAP FINANCIAL MEASURE “Adjusted operational sales growth" excludes acquisitions, divestitures and translational currency and is a non-GAAP financial measure. Investors should consider non-GAAP financial measures in addition to, and not as replacements for, or superior to, measures of financial performance prepared in accordance with GAAP. Due to the variable nature of acquisitions and divestitures, and the impact they may have on the analysis of underlying business performance and trends, management believes that providing this measure enhances an investor’s understanding of the Company’s performance and may assist in the evaluation of ongoing business operations period over period. This non-GAAP financial measure is presented to permit investors to more fully understand how management assesses the performance of the Company, including for internal evaluation of the performance of the Company's businesses and planning and forecasting for future periods. The use of this non-GAAP financial measure as a performance measure is limited in that it provides a view of the Company's results of operations without including all events during a period and may not provide a comparable view of the Company's performance to that of other companies in the health care industry.

Johnson & Johnson and Subsidiaries
Reconciliation of Non-GAAP Financial Measure
Adjusted Operational Sales Growth (A)
2022 ACTUAL vs. 2021 ACTUAL
	Q1		Q2		SIX MONTHS		Q3		NINE MONTHS		Q4		TWELVE MONTHS
WW As Reported	6.2	%	3.9	%	5.0	%	2.4	%	4.1	%	(5.4)	%	1.6	%
U.S.	3.8	%	3.4	%	3.6	%	4.4	%	3.8	%	1.7	%	3.3	%
International	8.7	%	4.5	%	6.6	%	0.1	%	4.5	%	(12.7)	%	(0.2)	%
WW Currency	(2.9)		(5.2)		(4.1)		(6.3)		(4.8)		(5.3)		(4.9)
U.S.	—		—		—		—		—		—		—
International	(5.8)		(10.9)		(8.4)		(13.5)		(10.0)		(10.8)		(10.2)
WW Operational	9.1	%	9.1	%	9.1	%	8.7	%	8.9	%	(0.1)	%	6.5	%
U.S.	3.8	%	3.4	%	3.6	%	4.4	%	3.8	%	1.7	%	3.3	%
International	14.5	%	15.4	%	15.0	%	13.6	%	14.5	%	(1.9)	%	10.0	%
Abiomed											(0.1)
U.S.											(0.3)
International											0.0
All Other Acquisitions and Divestitures	0.0		0.1		0.1		0.1		0.1		0.1		0.0
U.S.	0.0		0.1		0.0		0.1		0.0		0.1		0.0
International	0.0		0.1		0.1		0.1		0.1		0.1		0.1
WW Adjusted Operational	9.1	%	9.2	%	9.2	%	8.8	%	9.0	%	(0.1)	%	6.5	%
U.S.	3.8	%	3.5	%	3.6	%	4.5	%	3.8	%	1.5	%	3.3	%
International	14.5	%	15.5	%	15.1	%	13.7	%	14.6	%	(1.8)	%	10.1	%
Note: Percentages are based on actual, non-rounded figures and may not sum
(A) NON-GAAP FINANCIAL MEASURE “Adjusted operational sales growth" excludes acquisitions, divestitures and translational currency and is a non-GAAP financial measure. Investors should consider non-GAAP financial measures in addition to, and not as replacements for, or superior to, measures of financial performance prepared in accordance with GAAP. Due to the variable nature of acquisitions and divestitures, and the impact they may have on the analysis of underlying business performance and trends, management believes that providing this measure enhances an investor’s understanding of the Company’s performance and may assist in the evaluation of ongoing business operations period over period. This non-GAAP financial measure is presented to permit investors to more fully understand how management assesses the performance of the Company, including for internal evaluation of the performance of the Company's businesses and planning and forecasting for future periods. The use of this non-GAAP financial measure as a performance measure is limited in that it provides a view of the Company's results of operations without including all events during a period and may not provide a comparable view of the Company's performance to that of other companies in the health care industry.

Johnson & Johnson and Subsidiaries
Reconciliation of Non-GAAP Financial Measures
Q1 2023 - Income Before Tax by Segment from Continuing Operations
(Dollars in Millions)	Pharmaceutical			MedTech		Unallocated		Worldwide Total
Reported Income Before Tax by Segment from Continuing Operations	$	4,402		1,409		(7,098)		(1,287)
% to Sales	32.8		%	18.8	%	(34.0)	%	(6.2)	%
Intangible asset amortization expense
	739			383		—		1,122
In-process research and development Impairments
	—			49		—		49
Litigation Related
	—			—		6,900		6,900
Loss/(gain) on securities
	38			34		—		72
Restructuring related
	130			—		—		130
Acquisition, integration and divestiture related
	—			42		—		42
Medical Device Regulation
	—			64		—		64
COVID-19 Vaccine related costs
	444			—		—		444
Adjusted Income Before Tax by Segment from Continuing Operations	$	5,753		1,981		(198)		7,536
% to Sales	42.9		%	26.5	%	(0.9)	%	36.1	%

Johnson & Johnson and Subsidiaries
Reconciliation of Non-GAAP Financial Measures
Q2 2023 QTD - Income Before Tax by Segment from Continuing Operations
(Dollars in Millions)	Pharmaceutical			MedTech		Unallocated		Worldwide Total
Reported Income Before Tax by Segment from Continuing Operations	$	4,812		1,671		(177)		6,306
% to Sales	35.0		%	21.5	%	(0.8)	%	29.3	%
Intangible asset amortization expense	748			382		—		1,130
In-process research and development Impairments	—			—		—		—
Litigation Related	(93)			60		170		137
Loss/(gain) on securities	38			(39)		—		(1)
Restructuring related	145			—		—		145
Acquisition, integration and divestiture related	—			38		—		38
Medical Device Regulation	—			85		—		85
COVID-19 Vaccine related costs	165			—		—		165
Adjusted Income Before Tax by Segment from Continuing Operations	$	5,815		2,197		(7)		8,005
% to Sales	42.3		%	28.2	%	0.0	%	37.2	%
Q2 2023 YTD - Income Before Tax by Segment from Continuing Operations
(Dollars in Millions)	Pharmaceutical			MedTech		Unallocated		Worldwide Total
Reported Income Before Tax by Segment from Continuing Operations	$	9,214		3,080		(7,275)		5,019
% to Sales	33.9		%	20.2	%	(17.2)	%	11.8	%
Intangible asset amortization expense	1,487			765		—		2,252
In-process research and development Impairments	—			49		—		49
Litigation Related	(93)			60		7,070		7,037
Loss/(gain) on securities	76			(5)		—		71
Restructuring related	275			—		—		275
Acquisition, integration and divestiture related	—			80		—		80
Medical Device Regulation	—			149		—		149
COVID-19 Vaccine related costs	609			—		—		609
Adjusted Income Before Tax by Segment from Continuing Operations	$	11,568		4,178		(205)		15,541
% to Sales	42.6		%	27.4	%	(0.5)	%	36.6	%

Johnson & Johnson and Subsidiaries
Reconciliation of Non-GAAP Financial Measures
Q1 2022 - Income Before Tax by Segment from Continuing Operations
(Dollars in Millions)	Pharmaceutical			MedTech		Unallocated		Worldwide Total
Reported Income Before Tax by Segment from Continuing Operations	$	3,873		1,441		(111)		5,203
% to Sales	30.1		%	20.7	%	(0.6)	%	26.2	%
Intangible asset amortization expense	760			254		—		1,014
In-process research and development Impairments	610			—		—		610
Loss/(gain) on securities	394			17		—		411
Restructuring related	(14)			72		—		58
Medical Device Regulation	—			60		—		60
Other	—			—		(7)		(7)
Adjusted Income Before Tax by Segment from Continuing Operations	$	5,623		1,844		(118)		7,349
% to Sales	43.7		%	26.5	%	(0.6)	%	37.0	%

Johnson & Johnson and Subsidiaries
Reconciliation of Non-GAAP Financial Measures
Q2 2022 QTD - Income Before Tax by Segment from Continuing Operations
(Dollars in Millions)	Pharmaceutical			MedTech		Unallocated		Worldwide Total
Reported Income Before Tax by Segment from Continuing Operations	$	4,365		1,110		(331)		5,144
% to Sales	32.8		%	16.1	%	(1.6)	%	25.4	%
Intangible asset amortization expense	736			259		—		995
Litigation Related	21			264		100		385
Loss/(gain) on securities	102			7		—		109
Restructuring related	23			80		—		103
Medical Device Regulation	—			70		—		70
COVID-19 Vaccine related costs	276			—		—		276
Adjusted Income Before Tax by Segment from Continuing Operations	$	5,523		1,790		(231)		7,082
% to Sales	41.5		%	25.9	%	(1.1)	%	35.0	%
Q2 2022 YTD - Income Before Tax by Segment from Continuing Operations
(Dollars in Millions)	Pharmaceutical			MedTech		Unallocated		Worldwide Total
Reported Income Before Tax by Segment from Continuing Operations	$	8,238		2,551		(442)		10,347
% to Sales	31.5		%	18.4	%	(1.1)	%	25.8	%
Intangible asset amortization expense	1,496			513		—		2,009
In-process research and development Impairments	610			—		—		610
Litigation Related	21			264		100		385
Loss/(gain) on securities	496			24		—		520
Restructuring related	9			152		—		161
Medical Device Regulation	—			130		—		130
COVID-19 Vaccine related costs	276			—		—		276
Other	—			—		(7)		(7)
Adjusted Income Before Tax by Segment from Continuing Operations	$	11,146		3,634		(349)		14,431
% to Sales	42.6		%	26.2	%	(0.9)	%	36.0	%

Johnson & Johnson and Subsidiaries
Reconciliation of Non-GAAP Financial Measures
Q3 2022 QTD - Income Before Tax by Segment from Continuing Operations
(Dollars in Millions)	Pharmaceutical			MedTech		Unallocated		Worldwide Total
Reported Income Before Tax by Segment from Continuing Operations	$	4,186		1,090		(104)		5,172
% to Sales	31.7		%	16.1	%	(0.5)	%	25.9	%
Intangible asset amortization expense	698			260		—		958
Litigation Related	7			212		—		219
Loss/(gain) on securities	177			(13)		—		164
Restructuring related	23			69		—		92
Medical Device Regulation	—			78		—		78
COVID-19 Vaccine related costs	377			—		—		377
Adjusted Income Before Tax by Segment from Continuing Operations	$	5,468		1,696		(104)		7,060
% to Sales	41.4		%	25.0	%	(0.5)	%	35.3	%
Q3 2022 YTD - Income Before Tax by Segment from Continuing Operations
(Dollars in Millions)	Pharmaceutical			MedTech		Unallocated		Worldwide Total
Reported Income Before Tax by Segment from Continuing Operations	$	12,424		3,641		(546)		15,519
% to Sales	31.5		%	17.6	%	(0.9)	%	25.8	%
Intangible asset amortization expense	2,194			773		—		2,967
In-process research and development Impairments	610			—		—		610
Litigation Related	28			476		100		604
Loss/(gain) on securities	673			11		—		684
Restructuring related	32			221		—		253
Medical Device Regulation	—			208		—		208
COVID-19 Vaccine related costs	653			—		—		653
Other	—			—		(7)		(7)
Adjusted Income Before Tax by Segment from Continuing Operations	$	16,614		5,330		(453)		21,491
% to Sales	42.2		%	25.8	%	(0.8)	%	35.8	%

Johnson & Johnson and Subsidiaries
Reconciliation of Non-GAAP Financial Measures
Q4 2022 QTD - Income Before Tax by Segment from Continuing Operations
(Dollars in Millions)	Pharmaceutical			MedTech		Unallocated		Worldwide Total
Reported Income Before Tax by Segment from Continuing Operations	$	3,223		806		(189)		3,840
% to Sales	24.5		%	11.9	%	(0.9)	%	19.3	%
Intangible asset amortization expense	717			260		—		977
In-process research and development Impairments	173			—		—		173
Litigation Related	76			136		50		262
Loss/(gain) on securities	23			(17)		—		6
Restructuring related	31			88		—		119
Acquisition, integration and divestiture related	(104)			300		—		196
Medical Device Regulation	—			88		—		88
COVID-19 Vaccine related costs	821			—		—		821
Adjusted Income Before Tax by Segment from Continuing Operations	$	4,960		1,661		(139)		6,482
% to Sales	37.7		%	24.5	%	(0.7)	%	32.5	%
Q4 2022 YTD - Income Before Tax by Segment from Continuing Operations
(Dollars in Millions)	Pharmaceutical			MedTech		Unallocated		Worldwide Total
Reported Income Before Tax by Segment from Continuing Operations	$	15,647		4,447		(735)		19,359
% to Sales	29.8		%	16.2	%	(0.9)	%	24.2	%
Intangible asset amortization expense	2,911			1,033		—		3,944
In-process research and development Impairments	783			—		—		783
Litigation Related	104			612		150		866
Loss/(gain) on securities	696			(6)		—		690
Restructuring related	63			309		—		372
Acquisition, integration and divestiture related	(104)			300		—		196
Medical Device Regulation	—			296		—		296
COVID-19 Vaccine related costs	1,474			—		—		1,474
Other	—			—		(7)		(7)
Adjusted Income Before Tax by Segment from Continuing Operations	$	21,574		6,991		(592)		27,973
% to Sales	41.0		%	25.5	%	(0.7)	%	35.0	%

Johnson & Johnson and Subsidiaries
GAAP to Non-GAAP Reconciliation
$ in Millions
First Quarter
	First Quarter April 2, 2023 GAAP		Intangible asset amortization	Litigation related	In-process research and development Impairments	Restructuring related	Acquisition, integration and divestiture related	(Loss)/gain on securities	Medical Device Regulation	COVID-19 Vaccine Related Costs	Consumer Health separation tax related costs	Tax legislation and other tax related	First Quarter April 2, 2023 Non-GAAP
Cost of products sold	$	6,687	(1,118)						(23)	(206)			5,340
Selling, marketing and admin expenses	4,906								(7)				4,899
Research and development expense	3,455						(16)		(34)	(16)			3,389
Other (Income) / Expense	6,940		(4)	(6,900)			(26)	(72)		(222)			(284)
In-process research and development Impairments	49				(49)								—
Interest (Income) / Expense	14												14
Restructuring	130					(130)							—
Provision for/(Benefit from) taxes on income	(796)		177	1,622	11	32	5	16	12	105	(11)	23	1,196
Net Earnings/(Loss) from Continuing Operations	$	(491)	945	5,278	38	98	37	56	52	339	11	(23)	6,340
Second Quarter
	Second Quarter July 2, 2023 GAAP		Intangible asset amortization	Litigation related	In-process research and development Impairments	Restructuring related	Acquisition, integration and divestiture related	(Loss)/gain on securities	Medical Device Regulation	COVID-19 Vaccine Related Costs	Consumer Health separation tax related costs	Tax legislation and other tax related	Second Quarter July 2, 2023 Non-GAAP
Cost of products sold	$	6,462	(1,130)						(34)	38		—	5,336
Selling, marketing and admin expenses	5,396								(8)				5,388
Research and development expense	3,703								(44)	(46)			3,613
Other (Income) / Expense	(384)			(137)			(38)	1		(156)			(714)
In-process research and development Impairments	—												—
Interest (Income)/Expense	(109)												(109)
Restructuring	145					(145)							—
Provision for taxes on income	930		177	29		37	12	(1)	15	38	17	21	1,275
Net Earnings from Continuing Operations	$	5,376	953	108	—	108	26	—	71	126	(17)	(21)	6,730
Six Months
	Six Months July 2, 2023 GAAP		Intangible asset amortization	Litigation related	In-process research and development Impairments	Restructuring related	Acquisition, integration and divestiture related	(Loss)/gain on securities	Medical Device Regulation	COVID-19 Vaccine Related Costs	Consumer Health separation tax related costs	Tax legislation and other tax related	Six Months  July 2, 2023 Non-GAAP
Cost of products sold	$	13,149	(2,248)						(57)	(168)			10,676
Selling, marketing and admin expenses	10,302								(15)				10,287
Research and development expense	7,158						(16)		(78)	(62)			7,002
Other (Income) / Expense	6,556		(4)	(7,037)			(64)	(71)		(378)			(998)
In-process research and development Impairments	49				(49)								—
Interest (Income)/Expense	(95)												(95)
Restructuring	275					(275)							—
Provision for taxes on income	134		354	1,651	11	69	17	15	27	143	6	44	2,471
Net Earnings from Continuing Operations	$	4,885	1,898	5,386	38	206	63	56	123	465	(6)	(44)	13,070

Johnson & Johnson and Subsidiaries
GAAP to Non-GAAP Reconciliation
$ in Millions
First Quarter
	First Quarter April 3, 2022 GAAP		Intangible asset amortization	Litigation related	In-process research and development Impairments	Restructuring related	(Loss)/gain on securities	Medical Device Regulation	COVID-19 Vaccine Related Costs	Consumer Health separation tax related costs	Tax legislation and other tax related	Other	First Quarter April 3, 2022 Non-GAAP
Cost of products sold	$	6,018	(1,014)			(14)		(22)					4,968
Selling, marketing and admin expenses	4,812							(6)					4,806
Research and development expense	3,355							(32)					3,323
Other (Income) / Expense	(210)					20	(411)					7	(594)
In-process research and development Impairments	610				(610)								—
Restructuring	64					(64)							—
Provision for taxes on income	632		148	(53)	138	8	96	11		(96)	79	(2)	961
Net Earnings from Continuing Operations	$	4,571	866	53	472	50	315	49	—	96	(79)	(5)	6,388
Second Quarter
	Second Quarter July 3, 2022 GAAP		Intangible asset amortization	Litigation related	In-process research and development Impairments	Restructuring related	(Loss)/gain on securities	Medical Device Regulation	COVID-19 Vaccine Related Costs	Consumer Health separation tax related costs	Tax legislation and other tax related	Other	Second Quarter July 3, 2022 Non-GAAP
Cost of products sold	$	6,322	(995)			(14)		(25)	(194)				5,094
Selling, marketing and admin expenses	5,120							(6)					5,114
Research and development expense	3,585							(39)	(110)				3,436
Other (Income) / Expense	(1)			(385)		(18)	(109)		28				(485)
In-process research and development Impairments	—												—
Restructuring	71					(71)							—
Provision for taxes on income	882		148	(29)		20	25	13	65	(2)	(78)		1,044
Net Earnings from Continuing Operations	$	4,262	847	414	—	83	84	57	211	2	78	—	6,038
Third Quarter
	Third Quarter Oct 2, 2022 GAAP		Intangible asset amortization	Litigation related	In-process research and development Impairments	Restructuring related	(Loss)/gain on securities	Medical Device Regulation	COVID-19 Vaccine Related Costs	Consumer Health separation tax related costs	Tax legislation and other tax related	Other	Third Quarter Oct 2, 2022 Non-GAAP
Cost of products sold	$	6,172	(958)			(9)		(29)	(102)				5,074
Selling, marketing and admin expenses	4,975							(7)					4,968
Research and development expense	3,485							(42)	(80)				3,363
Other (Income) / Expense	226			(219)		(18)	(164)		(195)				(370)
In-process research and development Impairments	—												—
Restructuring	65					(65)							—
Provision for taxes on income	862		146	(7)		19	43	15	96	36	(88)		1,122
Net Earnings from Continuing Operations	$	4,310	812	226	—	73	121	63	281	(36)	88	—	5,938

Johnson & Johnson and Subsidiaries
GAAP to Non-GAAP Reconciliation
$ in Millions
Fourth Quarter
	Fourth Quarter Jan 1, 2023 GAAP		Intangible asset amortization	Litigation related	In-process research and development Impairments	Restructuring related	Acquisition, integration and divestiture related	(Loss)/gain on securities	Medical Device Regulation	COVID-19 Vaccine Related Costs	Consumer Health separation tax related costs	Tax legislation and other tax related	Other	Fourth Quarter Jan 1, 2023 Non-GAAP
Cost of products sold	$	6,084	(977)			(25)			(33)	(160)				4,889
Selling, marketing and admin expenses	5,339								(9)					5,330
Research and development expense	3,710								(46)	(114)				3,550
Other (Income) / Expense	795			(262)		(19)	(196)	(6)		(547)				(235)
In-process research and development Impairments	173				(173)									—
Restructuring	75					(75)								—
Provision for taxes on income	613		148	(36)	40	19	5	2	17	199	(4)	47		1,050
Net Earnings from Continuing Operations	$	3,227	829	298	133	100	191	4	71	622	4	(47)	—	5,432
Twelve Months
	Twelve Months Jan 1, 2023 GAAP		Intangible asset amortization	Litigation related	In-process research and development Impairments	Restructuring related	Acquisition, integration and divestiture related	(Loss)/gain on securities	Medical Device Regulation	COVID-19 Vaccine Related Costs	Consumer Health separation tax related costs	Tax legislation and other tax related	Other	Twelve Months Jan 1, 2023 Non-GAAP
Cost of products sold	$	24,596	(3,944)			(62)			(109)	(456)				20,025
Selling, marketing and admin expenses	20,246								(28)					20,218
Research and development expense	14,135								(159)	(304)				13,672
Other (Income) / Expense	810			(866)		(35)	(196)	(690)		(714)			7	(1,684)
In-process research and development Impairments	783				(783)									—
Restructuring	275					(275)								—
Provision for taxes on income	2,989		590	(125)	178	66	5	166	56	360	(66)	(40)	(2)	4,177
Net Earnings from Continuing Operations	$	16,370	3,354	991	605	306	191	524	240	1,114	66	40	(5)	23,796