Cover Page
Cover Page - USD ($) $ in Billions | 12 Months Ended | ||
Dec. 31, 2023 | Feb. 09, 2024 | Jul. 02, 2023 | |
Document Information [Line Items] | |||
Document Type | 10-K | ||
Document Annual Report | true | ||
Document Period End Date | Dec. 31, 2023 | ||
Document Transition Report | false | ||
Entity File Number | 1-3215 | ||
Entity Registrant Name | Johnson & Johnson | ||
Entity Incorporation, State or Country Code | NJ | ||
Entity Tax Identification Number | 22-1024240 | ||
Entity Address, Address Line One | One Johnson & Johnson Plaza | ||
Entity Address, City or Town | New Brunswick | ||
Entity Address, State or Province | NJ | ||
Entity Address, Postal Zip Code | 08933 | ||
City Area Code | 732 | ||
Local Phone Number | 524-0400 | ||
Entity Well-known Seasoned Issuer | Yes | ||
Entity Voluntary Filers | No | ||
Entity Current Reporting Status | Yes | ||
Entity Interactive Data Current | Yes | ||
Entity Filer Category | Large Accelerated Filer | ||
Entity Emerging Growth Company | false | ||
Entity Small Business | false | ||
ICFR Auditor Attestation Flag | true | ||
Document Financial Statement Error Correction | false | ||
Entity Shell Company | false | ||
Entity Public Float | $ 430 | ||
Entity Common Stock, Shares Outstanding | 2,408,767,228 | ||
Documents Incorporated by Reference | DOCUMENTS INCORPORATED BY REFERENCE Part III: Portions of the registrant’s proxy statement for its 2024 annual meeting of shareholders filed within 120 days after the close of the registrant’s fiscal year (the “Proxy Statement”), are incorporated by reference to this report on Form 10-K (this “Report”). | ||
Entity Central Index Key | 0000200406 | ||
Current Fiscal Year End Date | --12-31 | ||
Document Fiscal Year Focus | 2023 | ||
Document Fiscal Period Focus | FY | ||
Amendment Flag | false | ||
Common Stock, Par Value $1.00 | |||
Document Information [Line Items] | |||
Title of 12(b) Security | Common Stock, Par Value $1.00 | ||
Trading Symbol | JNJ | ||
Security Exchange Name | NYSE | ||
0.650% Notes Due May 2024 | |||
Document Information [Line Items] | |||
Title of 12(b) Security | 0.650% Notes Due May 2024 | ||
Trading Symbol | JNJ24C | ||
Security Exchange Name | NYSE | ||
5.50% Notes Due November 2024 | |||
Document Information [Line Items] | |||
Title of 12(b) Security | 5.50% Notes Due November 2024 | ||
Trading Symbol | JNJ24BP | ||
Security Exchange Name | NYSE | ||
1.150% Notes Due November 2028 | |||
Document Information [Line Items] | |||
Title of 12(b) Security | 1.150% Notes Due November 2028 | ||
Trading Symbol | JNJ28 | ||
Security Exchange Name | NYSE | ||
1.650% Notes Due May 2035 | |||
Document Information [Line Items] | |||
Title of 12(b) Security | 1.650% Notes Due May 2035 | ||
Trading Symbol | JNJ35 | ||
Security Exchange Name | NYSE |
Audit Information
Audit Information | 12 Months Ended |
Dec. 31, 2023 | |
Auditor Information [Abstract] | |
Auditor Name | PricewaterhouseCoopers LLP |
Auditor Location | Florham Park, New Jersey |
Auditor Firm ID | 238 |
Consolidated Balance Sheets
Consolidated Balance Sheets - USD ($) $ in Millions | Dec. 31, 2023 | Jan. 01, 2023 |
Current assets: | ||
Cash and cash equivalents | $ 21,859 | $ 12,889 |
Marketable securities | 1,068 | 9,392 |
Accounts receivable trade, less allowances $166 (2022, $169) | 14,873 | 14,039 |
Inventories | 11,181 | 10,268 |
Prepaid expenses and other receivables | 4,514 | 2,876 |
Total current assets of discontinued operations | 0 | 5,830 |
Total current assets | 53,495 | 55,294 |
Property, plant and equipment, net | 19,898 | 17,982 |
Intangible assets, net | 34,175 | 38,489 |
Goodwill | 36,558 | 36,047 |
Deferred taxes on income | 9,279 | 8,947 |
Other assets | 14,153 | 9,212 |
Noncurrent assets of discontinued operations | 0 | 21,407 |
Total assets | 167,558 | 187,378 |
Current liabilities | ||
Loans and notes payable | 3,451 | 12,756 |
Accounts payable | 9,632 | 9,889 |
Accrued liabilities | 10,212 | 10,719 |
Accrued rebates, returns and promotions | 16,001 | 13,579 |
Accrued compensation and employee related obligations | 3,993 | 3,049 |
Accrued taxes on income | 2,993 | 2,220 |
Current liabilities of discontinued operations | 0 | 3,590 |
Total current liabilities | 46,282 | 55,802 |
Long-term debt | 25,881 | 26,886 |
Deferred taxes on income | 3,193 | 3,991 |
Employee related obligations | 7,149 | 6,542 |
Long-term taxes payable | 2,881 | 4,306 |
Other liabilities | 13,398 | 10,146 |
Noncurrent liabilities of discontinued operations | 0 | 2,901 |
Total liabilities | 98,784 | 110,574 |
Commitments and Contingencies | ||
Shareholders’ equity | ||
Preferred stock — without par value (authorized and unissued 2,000,000 shares) | 0 | 0 |
Common stock — par value $1.00 per share (Note 12) (authorized 4,320,000,000 shares; issued 3,119,843,000 shares) | 3,120 | 3,120 |
Accumulated other comprehensive income (loss) | (12,527) | (12,967) |
Retained earnings and Additional-paid-in-capital | 153,843 | 128,345 |
Less: common stock held in treasury, at cost (Note 12) (712,765,000 shares and 506,246,000 shares) | 75,662 | 41,694 |
Total shareholders’ equity | 68,774 | 76,804 |
Total liabilities and shareholders’ equity | $ 167,558 | $ 187,378 |
Consolidated Balance Sheets (Pa
Consolidated Balance Sheets (Parenthetical) - USD ($) $ in Millions | Dec. 31, 2023 | Jan. 01, 2023 |
Statement of Financial Position [Abstract] | ||
Allowances for doubtful accounts | $ 166 | $ 169 |
Preferred stock, shares authorized (in shares) | 2,000,000 | 2,000,000 |
Common stock, par value per share (in usd per share) | $ 1 | $ 1 |
Common stock, shares authorized (in shares) | 4,320,000,000 | 4,320,000,000 |
Common stock, shares issued (in shares) | 3,119,843,000 | 3,119,843,000 |
Treasury stock (in shares) | 712,765,000 | 506,246,000 |
Consolidated Statements of Earn
Consolidated Statements of Earnings - USD ($) shares in Millions, $ in Millions | 12 Months Ended | ||
Dec. 31, 2023 | Jan. 01, 2023 | Jan. 02, 2022 | |
Income Statement [Abstract] | |||
Sales to customers | $ 85,159 | $ 79,990 | $ 78,740 |
Cost of products sold | 26,553 | 24,596 | 23,402 |
Gross profit | 58,606 | 55,394 | 55,338 |
Selling, marketing and administrative expenses | 21,512 | 20,246 | 20,118 |
Research and development expense | 15,085 | 14,135 | 14,277 |
In-process research and development impairments | 313 | 783 | 900 |
Interest income | (1,261) | (490) | (53) |
Interest expense, net of portion capitalized | 772 | 276 | 183 |
Other (income) expense, net | 6,634 | 810 | 526 |
Restructuring | 489 | 275 | 209 |
Earnings before provision for taxes on income | 15,062 | 19,359 | 19,178 |
Provision for taxes on income | 1,736 | 2,989 | 1,377 |
Net earnings from continuing operations | 13,326 | 16,370 | 17,801 |
Net earnings from discontinued operations | 21,827 | 1,571 | 3,077 |
Net earnings | $ 35,153 | $ 17,941 | $ 20,878 |
Net earnings per share | |||
Basic net earnings per share from continuing operations (in dollars per share) | $ 5.26 | $ 6.23 | $ 6.76 |
Basic net earnings per share from discontinued operations (in dollars per share) | 8.62 | 0.60 | 1.17 |
Basic (in dollars per share) | 13.88 | 6.83 | 7.93 |
Diluted net earnings per share from continuing operations (in dollars per share) | 5.20 | 6.14 | 6.66 |
Diluted net earnings per share from discontinuing operations (in dollars per share) | 8.52 | 0.59 | 1.15 |
Diluted (in dollars per share) | $ 13.72 | $ 6.73 | $ 7.81 |
Average shares outstanding | |||
Basic (in shares) | 2,533.5 | 2,625.2 | 2,632.1 |
Diluted (in shares) | 2,560.4 | 2,663.9 | 2,674 |
Consolidated Statements of Comp
Consolidated Statements of Comprehensive Income - USD ($) $ in Millions | 12 Months Ended | ||
Dec. 31, 2023 | Jan. 01, 2023 | Jan. 02, 2022 | |
Statement of Comprehensive Income [Abstract] | |||
Net earnings | $ 35,153 | $ 17,941 | $ 20,878 |
Other comprehensive income (loss), net of tax | |||
Foreign currency translation | (3,221) | (1,796) | (1,079) |
Securities: | |||
Unrealized holding gain (loss) arising during period | 26 | (24) | (4) |
Reclassifications to earnings | 0 | 0 | 0 |
Net change | 26 | (24) | (4) |
Employee benefit plans: | |||
Prior service credit (cost), net of amortization | (149) | (160) | (169) |
Gain (loss), net of amortization | (1,183) | 1,854 | 4,318 |
Consumer settlement/ curtailment | 23 | 0 | 0 |
Effect of exchange rates | (90) | 111 | 106 |
Net change | (1,399) | 1,805 | 4,255 |
Derivatives & hedges: | |||
Unrealized gain (loss) arising during period | 422 | 454 | (199) |
Reclassifications to earnings | (569) | (348) | (789) |
Net change | (147) | 106 | (988) |
Other comprehensive income (loss) | (4,741) | 91 | 2,184 |
Comprehensive income | $ 30,412 | $ 18,032 | $ 23,062 |
Consolidated Statements of Co_2
Consolidated Statements of Comprehensive Income (Parenthetical) - USD ($) $ in Millions | 12 Months Ended | ||
Dec. 31, 2023 | Jan. 01, 2023 | Jan. 02, 2022 | |
Statement of Comprehensive Income [Abstract] | |||
Foreign currency translation | $ 797 | $ (460) | $ 346 |
Employee benefits | (289) | (461) | (1,198) |
Derivatives & hedges | $ (39) | $ (30) | $ (263) |
Consolidated Statements of Equi
Consolidated Statements of Equity - USD ($) $ in Millions | Total | Retained Earnings and Additional paid-in capital | Accumulated Other Comprehensive Income (Loss) | Common Stock Issued Amount | Treasury Stock Amount |
Beginning Balance at Jan. 03, 2021 | $ 63,278 | $ 113,890 | $ (15,242) | $ 3,120 | $ (38,490) |
Net earnings | 20,878 | 20,878 | |||
Cash dividends paid | (11,032) | (11,032) | |||
Employee compensation and stock option plans | 2,171 | (676) | 2,847 | ||
Repurchase of common stock | (3,456) | (3,456) | |||
Other comprehensive income (loss), net of tax | 2,184 | 2,184 | |||
Ending Balance at Jan. 02, 2022 | 74,023 | 123,060 | (13,058) | 3,120 | (39,099) |
Net earnings | 17,941 | 17,941 | |||
Cash dividends paid | (11,682) | (11,682) | |||
Employee compensation and stock option plans | 2,466 | (974) | 3,440 | ||
Repurchase of common stock | (6,035) | (6,035) | |||
Other comprehensive income (loss), net of tax | 91 | 91 | |||
Ending Balance at Jan. 01, 2023 | 76,804 | 128,345 | (12,967) | 3,120 | (41,694) |
Net earnings | 35,153 | 35,153 | |||
Cash dividends paid | (11,770) | (11,770) | |||
Employee compensation and stock option plans | 2,193 | (336) | 2,529 | ||
Repurchase of common stock | (5,054) | (5,054) | |||
Other | (25) | (25) | |||
Kenvue Separation /IPO | (23,786) | 2,451 | 5,181 | (31,418) | |
Other comprehensive income (loss), net of tax | (4,741) | (4,741) | |||
Ending Balance at Dec. 31, 2023 | $ 68,774 | $ 153,843 | $ (12,527) | $ 3,120 | $ (75,662) |
Consolidated Statements of Eq_2
Consolidated Statements of Equity (Parenthetical) - $ / shares | 12 Months Ended | ||
Dec. 31, 2023 | Jan. 01, 2023 | Jan. 02, 2022 | |
Statement of Stockholders' Equity [Abstract] | |||
Cash dividends paid (in dollars per share) | $ 4.70 | $ 4.45 | $ 4.19 |
Consolidated Statements of Cash
Consolidated Statements of Cash Flows - USD ($) $ in Millions | 12 Months Ended | ||
Dec. 31, 2023 | Jan. 01, 2023 | Jan. 02, 2022 | |
Cash flows from operating activities | |||
Net earnings | $ 35,153 | $ 17,941 | $ 20,878 |
Adjustments to reconcile net earnings to cash flows from operating activities: | |||
Depreciation and amortization of property and intangibles | 7,486 | 6,970 | 7,390 |
Stock based compensation | 1,162 | 1,138 | 1,135 |
Asset write-downs | 1,295 | 1,216 | 989 |
Charge for purchase of in-process research and development assets | 483 | 0 | 0 |
(Gain) on separation of Kenvue | (20,984) | 0 | 0 |
Net gain on sale of assets/businesses | (117) | (380) | (617) |
Deferred tax provision | (4,194) | (1,663) | (2,079) |
Credit losses and accounts receivable allowances | 0 | (17) | (48) |
Changes in assets and liabilities, net of effects from acquisitions and divestitures: | |||
Increase in accounts receivable | (624) | (1,290) | (2,402) |
Increase in inventories | (1,323) | (2,527) | (1,248) |
Increase in accounts payable and accrued liabilities | 2,346 | 1,098 | 2,437 |
(Increase)/Decrease in other current and non-current assets | (3,480) | 687 | (1,964) |
Increase/(Decrease) in other current and non-current liabilities | 5,588 | (1,979) | (1,061) |
Net cash flows from operating activities | 22,791 | 21,194 | 23,410 |
Cash flows from investing activities | |||
Additions to property, plant and equipment | (4,543) | (4,009) | (3,652) |
Proceeds from the disposal of assets/businesses, net | 358 | 543 | 711 |
Acquisitions, net of cash acquired | 0 | (17,652) | (60) |
Purchases of in-process research and development assets | (470) | 0 | 0 |
Purchases of investments | (10,906) | (32,384) | (30,394) |
Sales of investments | 19,390 | 41,609 | 25,006 |
Credit support agreements activity, net | (2,963) | (249) | 214 |
Other (including capitalized licenses and milestones) | 12 | (229) | (508) |
Net cash from/(used) by investing activities | 878 | (12,371) | (8,683) |
Cash flows from financing activities | |||
Dividends to shareholders | (11,770) | (11,682) | (11,032) |
Repurchase of common stock | (5,054) | (6,035) | (3,456) |
Proceeds from short-term debt | 13,743 | 16,134 | 1,997 |
Repayment of short-term debt | (22,973) | (6,550) | (1,190) |
Proceeds from long-term debt, net of issuance costs | 0 | 2 | 5 |
Repayment of long-term debt | (1,551) | (2,134) | (1,802) |
Proceeds from the exercise of stock options/employee withholding tax on stock awards, net | 1,094 | 1,329 | 1,036 |
Credit support agreements activity, net | (219) | (28) | 281 |
Proceeds of short and long-term debt, net of issuance cost, related to the debt that transferred to Kenvue at separation | 8,047 | 0 | 0 |
Proceeds from Kenvue initial public offering | 4,241 | 0 | 0 |
Cash transferred to Kenvue at separation | (1,114) | 0 | 0 |
Other | (269) | 93 | 114 |
Net cash used by financing activities | (15,825) | (8,871) | (14,047) |
Effect of exchange rate changes on cash and cash equivalents | (112) | (312) | (178) |
Increase/(Decrease) in cash and cash equivalents | 7,732 | (360) | 502 |
Cash and cash equivalents from continuing operations, beginning of period | 12,889 | 13,309 | 12,697 |
Cash and cash equivalents from discontinued operations, beginning of period | 1,238 | 1,178 | 1,288 |
Cash and cash equivalents, beginning of year | 14,127 | 14,487 | 13,985 |
Cash and cash equivalents from continuing operations, end of period | 21,859 | 12,889 | 13,309 |
Cash and cash equivalents from discontinued operations, end of period | 0 | 1,238 | 1,178 |
Cash and cash equivalents, end of year | 21,859 | 14,127 | 14,487 |
Cash paid during the year for: | |||
Interest | 1,836 | 982 | 990 |
Interest, net of amount capitalized | 1,766 | 933 | 941 |
Income taxes, inclusive of discontinued operations | 8,574 | 5,223 | 4,768 |
Supplemental schedule of non-cash investing and financing activities | |||
Treasury stock issued for employee compensation and stock option plans, net of cash proceeds/ employee withholding tax on stock awards | 1,435 | 2,114 | 1,811 |
Acquisitions | |||
Fair value of assets acquired | 0 | 18,710 | 61 |
Fair value of liabilities assumed | 0 | (1,058) | (1) |
Noncash or Part Noncash Acquisition, Net Nonmonetary Assets Acquired (Liabilities Assumed), Total | $ 0 | $ 17,652 | $ 60 |
Summary of significant accounti
Summary of significant accounting policies | 12 Months Ended |
Dec. 31, 2023 | |
Accounting Policies [Abstract] | |
Summary of significant accounting policies | Summary of significant accounting policies Principles of consolidation The consolidated financial statements include the accounts of Johnson & Johnson and its subsidiaries (the Company). Intercompany accounts and transactions are eliminated. Columns and rows within tables may not add due to rounding. Percentages have been calculated using actual, non-rounded figures. Description of the company and business segments The Company has approximately 131,900 employees worldwide engaged in the research and development, manufacture and sale of a broad range of products in the healthcare field. The Company conducts business in virtually all countries of the world and its primary focus is on products related to human health and well-being. Kenvue IPO/separation and discontinued operations On May 8, 2023, Kenvue, completed an initial public offering (the IPO) resulting in the issuance of 198,734,444 shares of its common stock, par value $0.01 per share (the “Kenvue Common Stock”), at an initial public offering of $22.00 per share for net proceeds of $4.2 billion. The excess of the net proceeds from the IPO over the net book value of the Johnson & Johnson divested interest was $2.5 billion and was recorded to additional paid-in capital. As of the closing of the IPO, Johnson & Johnson owned approximately 89.6% of the total outstanding shares of Kenvue Common Stock and at July 2, 2023, the non-controlling interest of $1.3 billion associated with Kenvue was reflected in equity attributable to non-controlling interests in the consolidated balance sheet in the fiscal second quarter of 2023. On August 23, 2023, Johnson & Johnson completed the disposition of an additional 80.1% ownership of the shares of Kenvue through an exchange offer. Following the exchange offer, the Company owns 9.5% of the shares of Kenvue which are accounted for as an equity investment carried at fair value within continuing operations. The historical results of the Consumer Health business (which previously represented the Consumer Health business segment) are reflected as discontinued operations in the Company’s Consolidated Financial Statements through the date of the exchange offer (see Note 21 for additional details). Unless otherwise indicated, the information in the notes to the Consolidated Financial Statements refer only to Johnson & Johnson’s continuing operations. Business segments Following the completion of the exchange offer, the Company is organized into two business segments: Innovative Medicine and MedTech. The Innovative Medicine segment is focused on the following therapeutic areas, including Immunology, Infectious diseases, Neuroscience, Oncology, Pulmonary Hypertension, and Cardiovascular and Metabolic diseases. Products in this segment are distributed directly to retailers, wholesalers, distributors, hospitals and healthcare professionals for prescription use. The MedTech segment includes a broad portfolio of products used in the Orthopaedic, Surgery, Interventional Solutions and Vision fields. These products are distributed to wholesalers, hospitals and retailers, and used principally in the professional fields by physicians, nurses, hospitals, eye care professionals and clinics. New accounting standards Recently adopted accounting standards ASU 2022-04: Liabilities-Supplier Finance Programs (Topic 405-50) – Disclosure of Supplier Finance Program Obligations The Company adopted the standard as of the beginning of fiscal year 2023, which requires that a buyer in a supplier finance program disclose additional information about the program for financial statement users. The Company has agreements for supplier finance programs with third-party financial institutions. These programs provide participating suppliers the ability to finance payment obligations from the Company with the third-party financial institutions. The Company is not a party to the arrangements between the suppliers and the third-party financial institutions. The Company’s obligations to its suppliers, including amounts due, and scheduled payment dates (which have general payment terms of 90 days), are not affected by a participating supplier’s decision to participate in the program. As of both December 31, 2023, and January 1, 2023, $0.7 billion were valid obligations under the program. The obligations are presented as Accounts payable Recently issued accounting standards Not adopted as of December 31, 2023 ASU 2023-07: Segment Reporting (Topic 280) – Improvements to Reportable Segment Disclosures This update requires expanded annual and interim disclosures for significant segment expenses that are regularly provided to the chief operating decision maker and included within each reported measure of segment profit or loss. This update will be effective for fiscal years beginning after December 15, 2023, and is to be applied retrospectively to all periods presented in the financial statements. Early adoption is permitted. As this accounting standard only impacts disclosures, it will not have a material impact on the Company’s Consolidated Financial Statements. ASU 2023-09: Income Taxes (Topic 740) - Improvements to Income Tax Disclosures This update standardizes categories for the effective tax rate reconciliation, requires disaggregation of income taxes and additional income tax-related disclosures. This update is required to be effective for the Company for fiscal periods beginning after December 15, 2024. As this accounting standard only impacts disclosures, it will not have a material impact on the Company’s Consolidated Financial Statements. Cash equivalents The Company classifies all highly liquid investments with stated maturities of three months or less from date of purchase as cash equivalents and all highly liquid investments with stated maturities of greater than three months from the date of purchase as current marketable securities. The Company has a policy of making investments only with commercial institutions that have at least an investment grade credit rating. The Company invests its cash primarily in government securities and obligations, corporate debt securities, money market funds and reverse repurchase agreements (RRAs). RRAs are collateralized by deposits in the form of Government Securities and Obligations for an amount not less than 102% of their value. The Company does not record an asset or liability as the Company is not permitted to sell or repledge the associated collateral. The Company has a policy that the collateral has at least an A (or equivalent) credit rating. The Company utilizes a third party custodian to manage the exchange of funds and ensure that collateral received is maintained at 102% of the value of the RRAs on a daily basis. RRAs with stated maturities of greater than three months from the date of purchase are classified as marketable securities. Investments Investments classified as held to maturity investments are reported at amortized cost and realized gains or losses are reported in earnings. Investments classified as available-for-sale debt securities are carried at estimated fair value with unrealized gains and losses recorded as a component of accumulated other comprehensive income. Available-for-sale securities available for current operations are classified as current assets; otherwise, they are classified as long term. Management determines the appropriate classification of its investment in debt and equity securities at the time of purchase and re-evaluates such determination at each balance sheet date. The Company reviews its investments for impairment and adjusts these investments to fair value through earnings, as required. Property, plant and equipment and depreciation Property, plant and equipment are stated at cost. The Company utilizes the straight-line method of depreciation over the estimated useful lives of the assets: Building and building equipment 30 years Land and leasehold improvements 10 - 20 years Machinery and equipment 2 - 13 years The Company capitalizes certain computer software and development costs, included in machinery and equipment, when incurred in connection with developing or obtaining computer software for internal use. Capitalized software costs are amortized over the estimated useful lives of the software, which generally range from 3 to 8 years. The Company reviews long-lived assets to assess recoverability using undiscounted cash flows. When certain events or changes in operating or economic conditions occur, an impairment assessment may be performed on the recoverability of the carrying value of these assets. If the asset is determined to be impaired, the loss is measured based on the difference between the asset’s fair value and its carrying value. If quoted market prices are not available, the Company will estimate fair value using a discounted value of estimated future cash flows. Revenue recognition The Company recognizes revenue from product sales when obligations under the terms of a contract with the customer are satisfied; generally, this occurs with the transfer of control of the goods to customers. The Company's global payment terms are typically between 30 to 90 days. Provisions for certain rebates, sales incentives, trade promotions, coupons, product returns, discounts to customers and governmental clawback provisions are accounted for as variable consideration and recorded as a reduction in sales. The liability is recognized within Accrued rebates, returns, and promotions on the consolidated balance sheet. Product discounts granted are based on the terms of arrangements with direct, indirect and other market participants, as well as market conditions, including consideration of competitor pricing. Rebates are estimated based on contractual terms, historical experience, patient outcomes, trend analysis and projected market conditions in the various markets served. A significant portion of the liability related to rebates is from the sale of the Company's pharmaceutical products within the U.S., primarily the Managed Care, Medicare and Medicaid programs, which amounted to $11.5 billion and $9.6 billion as of December 31, 2023 and January 1, 2023, respectively. The Company evaluates market conditions for products or groups of products primarily through the analysis of wholesaler and other third-party sell-through and market research data, as well as internally generated information. Sales returns are estimated and recorded based on historical sales and returns information. Products that exhibit unusual sales or return patterns due to dating, competition or other marketing matters are specifically investigated and analyzed as part of the accounting for sales return accruals. Sales returns allowances represent a reserve for products that may be returned due to expiration, destruction in the field, or in specific areas, product recall. The sales returns reserve is based on historical return trends by product and by market as a percent to gross sales. In accordance with the Company’s accounting policies, the Company generally issues credit to customers for returned goods. The Company’s sales returns reserves are accounted for in accordance with the U.S. GAAP guidance for revenue recognition when right of return exists. Sales returns reserves are recorded at full sales value. Sales returns in the Innovative Medicine segments are almost exclusively not resalable. Sales returns for certain franchises in the MedTech segment are typically resalable but are not material. The Company infrequently exchanges products from inventory for returned products. The sales returns reserve for the total Company has been less than 1.0% of annual net trade sales during each of the fiscal years 2023, 2022 and 2021. Promotional programs, such as product listing allowances are recorded in the same period as related sales and include volume-based sales incentive programs. Volume-based incentive programs are based on the estimated sales volumes for the incentive period and are recorded as products are sold. These arrangements are evaluated to determine the appropriate amounts to be deferred or recorded as a reduction of revenue. The Company also earns profit-share payments through collaborative arrangements of certain products, which are included in sales to customers. Profit-share payments were less than 2.0% of the total revenues in fiscal year 2023 and less than 3.0% of the total revenues in the fiscal years 2022 and 2021 and are included in sales to customers. See Note 17 to the Consolidated Financial Statements for further disaggregation of revenue. Shipping and handling Shipping and handling costs incurred were $0.9 billion, $0.8 billion and $0.8 billion in fiscal years 2023, 2022 and 2021, respectively, and are included in selling, marketing and administrative expense. The amount of revenue received for shipping and handling is less than 1.0% of sales to customers for all periods presented. Inventories Inventories are stated at the lower of cost or net realizable value determined by the first-in, first-out method. Intangible assets and goodwill The authoritative literature on U.S. GAAP requires that goodwill and intangible assets with indefinite lives be assessed annually for impairment. The Company completed its annual impairment test for 2023 in the fiscal fourth quarter. Future impairment tests will be performed annually in the fiscal fourth quarter, or sooner if warranted. Purchased in-process research and development is accounted for as an indefinite lived intangible asset until the underlying project is completed, at which point the intangible asset will be accounted for as a definite lived intangible asset. If warranted the purchased in-process research and development could be written off or partially impaired depending on the underlying program. Intangible assets that have finite useful lives continue to be amortized over their useful lives, and are reviewed for impairment when warranted by economic conditions. See Note 5 for further details on Intangible Assets and Goodwill. Financial instruments As required by U.S. GAAP, all derivative instruments are recorded on the balance sheet at fair value. Fair value is the exit The Company documents all relationships between hedged items and derivatives. The overall risk management strategy includes reasons for undertaking hedge transactions and entering into derivatives. The objectives of this strategy are: (1) minimize foreign currency exposure’s impact on the Company’s financial performance; (2) protect the Company’s cash flow from adverse movements in foreign exchange rates; (3) ensure the appropriateness of financial instruments; and (4) manage the enterprise risk associated with financial institutions. See Note 6 for additional information on Financial Instruments. Leases The Company determines whether an arrangement is a lease at contract inception by establishing if the contract conveys the right to control the use of identified property, plant, or equipment for a period of time in exchange for consideration. Right of Use (ROU) Assets and Lease Liabilities for operating leases are included in Other assets Accrued liabilities Other liabilities ROU Assets and Lease Liabilities are recognized at the lease commencement date based on the present value of all minimum lease payments over the lease term. The Company uses its incremental borrowing rate based on the information available at commencement date in determining the present value of lease payments, when the implicit rate is not readily determinable. Lease terms may include options to extend or terminate the lease. These options are included in the lease term when it is reasonably certain that the Company will exercise that option. Operating lease expense is recognized on a straight-line basis over the lease term. The Company has elected the following policy elections on adoption: use of portfolio approach on leases of assets under master service agreements, exclusion of short term leases on the balance sheet, and not separating lease and non-lease components. The Company primarily has operating lease for space, vehicles, manufacturing equipment and data processing equipment. The ROU asset pertaining to leases from continuing operation was $1.0 billion in both fiscal years 2023 and 2022. The lease liability from continuing operations was $1.1 billion in both fiscal years 2023 and 2022. The operating lease costs from continuing operations were $0.2 billion in fiscal years 2023, 2022 and 2021. Cash paid for amounts included in the measurement of lease liabilities from continuing operations were $0.2 billion in fiscal years 2023, 2022 and 2021. Product liability Accruals for product liability claims are recorded, on an undiscounted basis, when it is probable that a liability has been incurred and the amount of the liability can be reasonably estimated based on existing information and actuarially determined estimates where applicable. The accruals are adjusted periodically as additional information becomes available. The Company accrues an estimate of the legal defense costs needed to defend each matter when those costs are probable and can be reasonably estimated. To the extent adverse verdicts have been rendered against the Company, the Company does not record an accrual until a loss is determined to be probable and can be reasonably estimated. The Company has self insurance through a wholly-owned captive insurance company. In addition to accruals in the self insurance program, claims that exceed the insurance coverage are accrued when losses are probable and amounts can be reasonably estimated. Research and development Research and development expenses are expensed as incurred in accordance with ASC 730, Research and Development. Upfront and milestone payments made to third parties in connection with research and development collaborations are expensed as incurred up to the point of regulatory approval. Payments made to third parties subsequent to regulatory approval are capitalized and amortized over the remaining useful life of the related product. Amounts capitalized for such payments are included in other intangibles, net of accumulated amortization. The Company enters into collaborative arrangements, typically with other pharmaceutical or biotechnology companies, to develop and commercialize drug candidates or intellectual property. These arrangements typically involve two (or more) parties who are active participants in the collaboration and are exposed to significant risks and rewards dependent on the commercial success of the activities. These collaborations usually involve various activities by one or more parties, including research and development, marketing and selling and distribution. Often, these collaborations require upfront, milestone and royalty or profit share payments, contingent upon the occurrence of certain future events linked to the success of the asset in development. Amounts due from collaborative partners related to development activities are generally reflected as a reduction of research and development expense because the performance of contract development services is not central to the Company’s operations. In general, the income statement presentation for these collaborations is as follows: Nature/Type of Collaboration Statement of Earnings Presentation Third-party sale of product & profit share payments received Sales to customers Royalties/milestones paid to collaborative partner (post-regulatory approval)* Cost of products sold Royalties received from collaborative partner Other income (expense), net Upfront payments & milestones paid to collaborative partner (pre-regulatory approval) Research and development expense Research and development payments to collaborative partner Research and development expense Research and development payments received from collaborative partner or government entity Reduction of Research and development expense * Milestones are capitalized as intangible assets and amortized to cost of products sold over the useful life. For all years presented, there was no individual project that represented greater than 5% of the total annual consolidated research and development expense. The Company has a number of products and compounds developed in collaboration with strategic partners including XARELTO, co-developed with Bayer HealthCare AG and IMBRUVICA, developed in collaboration and co-marketed with Pharmacyclics LLC, an AbbVie company. Separately, the Company has a number of licensing arrangements for products and compounds including DARZALEX, licensed from Genmab A/S. Advertising Costs associated with advertising are expensed in the year incurred and are included in selling, marketing and administrative expenses. Advertising expenses worldwide, which comprised television, radio, print media and Internet advertising, were $0.5 billion, $0.7 billion and $1.2 billion in fiscal years 2023, 2022 and 2021, respectively. Income taxes Income taxes are recorded based on amounts refundable or payable for the current year and include the results of any difference between U.S. GAAP accounting and tax reporting, recorded as deferred tax assets or liabilities. The Company estimates deferred tax assets and liabilities based on enacted tax regulations and rates. Future changes in tax laws and rates may affect recorded deferred tax assets and liabilities in the future. The Company has unrecognized tax benefits for uncertain tax positions. The Company follows U.S. GAAP which prescribes a recognition threshold and measurement attribute for the financial statement recognition and measurement of a tax position taken or expected to be taken in a tax return. Management believes that changes in these estimates would not have a material effect on the Company's results of operations, cash flows or financial position. In 2017, the United States enacted into law new U.S. tax legislation, the U.S. Tax Cuts and Jobs Act (TCJA). This law included provisions for a comprehensive overhaul of the corporate income tax code, including a reduction of the statutory corporate tax rate from 35% to 21%, effective on January 1, 2018. The TCJA included a provision for a tax on all previously undistributed earnings of U.S. companies located in foreign jurisdictions. Undistributed earnings in the form of cash and cash equivalents were taxed at a rate of 15.5% and all other earnings were taxed at a rate of 8.0%. This tax is payable over 8 years and will not accrue interest. These payments began in 2018 and will continue through 2025. The remaining balance at the end of the 2023 was approximately $4.5 billion, of which $2.5 billion is classified as noncurrent and reflected as “Long-term taxes payable” on the Company’s balance sheet. The TCJA also includes provisions for a tax on global intangible low-taxed income (GILTI). GILTI is described as the excess of a U.S. shareholder’s total net foreign income over a deemed return on tangible assets, as provided by the TCJA. In January 2018, the FASB issued guidance that allows companies to elect as an accounting policy whether to record the tax effects of GILTI in the period the tax liability is generated (i.e., “period cost”) or provide for deferred tax assets and liabilities related to basis differences that exist and are expected to effect the amount of GILTI inclusion in future years upon reversal (i.e., “deferred method”). The Company has elected to account for GILTI under the deferred method. The deferred tax amounts recorded are based on the evaluation of temporary differences that are expected to reverse as GILTI is incurred in future periods. The Company has recorded deferred tax liabilities on all undistributed earnings prior to December 31, 2017 from its international subsidiaries. The Company has not provided deferred taxes on the undistributed earnings subsequent to January 1, 2018 from certain international subsidiaries where the earnings are considered to be indefinitely reinvested. The Company intends to continue to reinvest these earnings in those international operations. If the Company decides at a later date to repatriate these earnings to the U.S., the Company would be required to provide for the net tax effects on these amounts. The Company estimates that the tax effect of this repatriation would be approximately $0.5 billion under currently enacted tax laws and regulations and at current currency exchange rates. This amount does not include the possible benefit of U.S. foreign tax credits, which may substantially offset this cost. See Note 8 to the Consolidated Financial Statements for further information regarding income taxes. Net earnings per share Basic earnings per share is computed by dividing net earnings available to common shareholders by the weighted average number of common shares outstanding for the period. Diluted earnings per share reflects the potential dilution that could occur if securities were exercised or converted into common stock using the treasury stock method. Use of estimates The preparation of consolidated financial statements in conformity with accounting principles generally accepted in the U.S. requires management to make estimates and assumptions that affect the amounts reported. Estimates are used when accounting for sales discounts, rebates, allowances and incentives, product liabilities, income taxes, withholding taxes, depreciation, amortization, employee benefits, contingencies and intangible asset and liability valuations. Actual results may or may not differ from those estimates. The Company follows the provisions of U.S. GAAP when recording litigation related contingencies. A liability is recorded when a loss is probable and can be reasonably estimated. The best estimate of a loss within a range is accrued; however, if no estimate in the range is better than any other, the minimum amount is accrued. Annual closing date The Company follows the concept of a fiscal year, which ends on the Sunday nearest to the end of the month of December. Normally each fiscal year consists of 52 weeks, but every five or six years the fiscal year consists of 53 weeks, and therefore includes additional shipping days, as was the case in fiscal year 2020, and will be the case again in fiscal year 2026. |
Cash, cash equivalents and curr
Cash, cash equivalents and current marketable securities | 12 Months Ended |
Dec. 31, 2023 | |
Cash and Cash Equivalents [Abstract] | |
Cash, cash equivalents and current marketable securities | Cash, cash equivalents and current marketable securities At the end of the fiscal year 2023 and 2022, cash, cash equivalents and current marketable securities comprised: (Dollars in Millions) 2023 Carrying Unrecognized Estimated Cash & Cash Current Cash $3,340 — 3,340 3,340 — Non-U.S. Sovereign Securities (1) 522 — 522 174 348 U.S. Reverse repurchase agreements 4,377 — 4,377 4,377 — Corporate debt securities (1) 338 — 338 189 149 Money market funds 4,814 — 4,814 4,814 — Time deposits (1) 662 — 662 662 — Subtotal $14,053 — 14,053 13,556 497 U.S. Gov't Securities $8,562 — 8,562 8,259 303 U.S. Gov't Agencies 71 (1) 70 — 70 Other Sovereign Securities 5 — 5 1 4 Corporate and other debt securities 237 — 237 43 194 Subtotal available for sale (2) $8,875 (1) 8,874 8,303 571 Total cash, cash equivalents and current marketable securities $21,859 1,068 (Dollars in Millions) 2022 Carrying Amount Unrecognized Loss Estimated Fair Value Cash & Cash Equivalents Current Marketable Securities Cash $3,691 — 3,691 3,691 — U.S. Reverse repurchase agreements 1,419 — 1,419 1,419 — Corporate debt securities (1) 873 (1) 872 — 873 Money market funds 5,368 — 5,368 5,368 — Time deposits (1) 443 — 443 443 — Subtotal 11,794 (1) 11,793 10,921 873 U.S. Gov't Securities $9,959 (28) 9,931 1,922 8,009 U.S. Gov't Agencies 210 (5) 205 — 205 Corporate and other debt securities 352 (1) 351 46 305 Subtotal available for sale (2) $10,521 (34) 10,487 1,968 8,519 Total cash, cash equivalents and current marketable securities $12,889 9,392 (1) Held to maturity investments are reported at amortized cost and realized gains or losses are reported in earnings. (2) Available for sale debt securities are reported at fair value with unrealized gains and losses reported net of taxes in other comprehensive income. Fair value of government securities and obligations and corporate debt securities were estimated using quoted broker prices and significant other observable inputs. The contractual maturities of the available for sale debt securities at December 31, 2023 are as follows: (Dollars in Millions) Cost Basis Fair Value Due within one year $8,865 8,864 Due after one year through five years 10 10 Due after five years through ten years — — Total debt securities $8,875 8,874 The Company invests its excess cash in both deposits with major banks throughout the world and other high-quality money market instruments. The Company has a policy of making investments only with commercial institutions that have at least an investment grade credit rating. |
Inventories
Inventories | 12 Months Ended |
Dec. 31, 2023 | |
Inventory Disclosure [Abstract] | |
Inventories | Inventories At the end of fiscal years 2023 and 2022, inventories comprised: (Dollars in Millions) 2023 2022 Raw materials and supplies $2,355 1,719 Goods in process 1,952 1,577 Finished goods 6,874 6,972 Total inventories $11,181 10,268 |
Property, plant and equipment
Property, plant and equipment | 12 Months Ended |
Dec. 31, 2023 | |
Property, Plant and Equipment [Abstract] | |
Property, plant and equipment | Property, plant and equipment At the end of fiscal years 2023 and 2022, property, plant and equipment at cost and accumulated depreciation were: (Dollars in Millions) 2023 2022 Land and land improvements $795 784 Buildings and building equipment 12,375 11,470 Machinery and equipment 28,979 26,603 Construction in progress 5,627 4,677 Total property, plant and equipment, gross $47,776 43,534 Less accumulated depreciation 27,878 25,552 Total property, plant and equipment, net $19,898 17,982 The Company capitalizes interest expense as part of the cost of construction of facilities and equipment. Interest expense capitalized in fiscal years 2023, 2022 and 2021 was $70 million, $49 million and $49 million, respectively. Depreciation expense, including the amortization of capitalized interest in fiscal years 2023, 2022 and 2021 was $2.6 billion, $2.4 billion and $2.4 billion, respectively. Upon retirement or other disposal of property, plant and equipment, the costs and related amounts of accumulated depreciation or amortization are eliminated from the asset and accumulated depreciation accounts, respectively. The difference, if any, between the net asset value and the proceeds are recorded in earnings. |
Intangible assets and goodwill
Intangible assets and goodwill | 12 Months Ended |
Dec. 31, 2023 | |
Goodwill and Intangible Assets Disclosure [Abstract] | |
Intangible assets and goodwill | Intangible assets and goodwill At the end of fiscal years 2023 and 2022, the gross and net amounts of intangible assets were: (Dollars in Millions) 2023 2022 Intangible assets with definite lives: Patents and trademarks — gross $40,417 39,388 Less accumulated amortization (24,808) (20,616) Patents and trademarks — net $15,609 18,772 Customer relationships and other intangibles — gross $20,322 19,764 Less accumulated amortization (12,685) (11,363) Customer relationships and other intangibles — net (1) $7,637 8,401 Intangible assets with indefinite lives: Trademarks $1,714 1,630 Purchased in-process research and development 9,215 9,686 Total intangible assets with indefinite lives $10,929 11,316 Total intangible assets — net $34,175 38,489 (1) The majority is comprised of customer relationships Goodwill as of December 31, 2023 and January 1, 2023, as allocated by segment of business, was as follows: (Dollars in Millions) Innovative MedTech Total Goodwill at January 2, 2022 $10,580 14,856 25,436 Goodwill, related to acquisitions — 11,056 11,056 Goodwill, related to divestitures — — — Currency translation/other (396) (49) (445) Goodwill at January 1, 2023 10,184 25,863 36,047 Goodwill, related to acquisitions — — — Goodwill, related to divestitures — — — Currency translation/other 223 288 * 511 Goodwill at December 31, 2023 $10,407 26,151 36,558 *Includes purchase price allocation adjustments for Abiomed The weighted average amortization period for patents and trademarks is approximately 11 years. The weighted average amortization period for customer relationships and other intangible assets is approximately 19 years. The amortization expense of amortizable assets included in Cost of products sold was $4.5 billion, $3.9 billion and $4.2 billion before tax, for the fiscal years ended December 31, 2023, January 1, 2023 and January 2, 2022, respectively. Intangible asset write-downs are included in Other (income) expense, net. The estimated amortization expense related to intangible assets for approved products, before tax, for the five succeeding years is approximately: (Dollars in Millions) 2024 2025 2026 2027 2028 $4,300 3,500 2,900 2,300 1,600 See Note 18 to the Consolidated Financial Statements for additional details related to acquisitions and divestitures. |
Fair value measurements
Fair value measurements | 12 Months Ended |
Dec. 31, 2023 | |
Fair Value Disclosures [Abstract] | |
Fair value measurements | Fair value measurements The Company uses forward foreign exchange contracts to manage its exposure to the variability of cash flows, primarily related to the foreign exchange rate changes of future intercompany products and third-party purchases of materials denominated in a foreign currency. The Company uses cross currency interest rate swaps to manage currency risk primarily related to borrowings. Both types of derivatives are designated as cash flow hedges. Additionally, the Company primarily uses interest rate swaps as an instrument to manage interest rate risk related to fixed rate borrowings. These derivatives are designated as fair value hedges. The Company uses cross currency interest rate swaps and forward foreign exchange contracts designated as net investment hedges. Additionally, the Company uses forward foreign exchange contracts to offset its exposure to certain foreign currency assets and liabilities. These forward foreign exchange contracts are not designated as hedges and therefore, changes in the fair values of these derivatives are recognized in earnings, thereby offsetting the current earnings effect of the related foreign currency assets and liabilities. The Company does not enter into derivative financial instruments for trading or speculative purposes, or that contain credit risk related contingent features. The Company maintains credit support agreements (CSA) with certain derivative counterparties establishing collateral thresholds based on respective credit ratings and netting agreements. As of December 31, 2023 and January 1, 2023, the total amount of cash collateral paid by the Company under the CSA amounted to $4.0 billion and $0.8 billion net respectively, related to net investment and cash flow hedges. On an ongoing basis, the Company monitors counter-party credit ratings. The Company considers credit non-performance risk to be low, because the Company primarily enters into agreements with commercial institutions that have at least an investment grade credit rating. Refer to the table on significant financial assets and liabilities measured at fair value contained in this footnote for receivables and payables with these commercial institutions. As of December 31, 2023, the Company had notional amounts outstanding for forward foreign exchange contracts, cross currency interest rate swaps and interest rate swaps of $42.9 billion, $39.7 billion and $10.0 billion, respectively. As of January 1, 2023, the Company had notional amounts outstanding for forward foreign exchange contracts, cross currency interest rate swaps and interest rate swaps of $41.5 billion, $36.2 billion and $10.0 billion, respectively. All derivative instruments are recorded on the balance sheet at fair value. Changes in the fair value of derivatives are recorded each period in current earnings or other comprehensive income, depending on whether the derivative is designated as part of a hedge transaction, and if so, the type of hedge transaction. The designation as a cash flow hedge is made at the entrance date of the derivative contract. At inception, all derivatives are expected to be highly effective. Foreign exchange contracts designated as cash flow hedges are accounted for under the forward method and all gains/losses associated with these contracts will be recognized in the income statement when the hedged item impacts earnings. Changes in the fair value of these derivatives are recorded in accumulated other comprehensive income until the underlying transaction affects earnings, and are then reclassified to earnings in the same account as the hedged transaction. Gains and losses associated with interest rate swaps and changes in fair value of hedged debt attributable to changes in interest rates are recorded to interest expense in the period in which they occur. Gains and losses on net investment hedges are accounted through the currency translation account within accumulated other comprehensive income. The portion excluded from effectiveness testing is recorded through interest (income) expense using the spot method. On an ongoing basis, the Company assesses whether each derivative continues to be highly effective in offsetting changes of hedged items. If and when a derivative is no longer expected to be highly effective, hedge accounting is discontinued. The Company designated its Euro denominated notes issued in May 2016 with due dates ranging from 2022 to 2035 as a net investment hedge of the Company's investments in certain of its international subsidiaries that use the Euro as their functional currency in order to reduce the volatility caused by changes in exchange rates. As of December 31, 2023, the balance of deferred net loss on derivatives included in accumulated other comprehensive income was $377 million after-tax. For additional information, see the Consolidated Statements of Comprehensive Income and Note 13. The Company expects that substantially all of the amounts related to forward foreign exchange contracts will be reclassified into earnings over the next 12 months as a result of transactions that are expected to occur over that period. The maximum length of time over which the Company is hedging transaction exposure is 18 months, excluding interest rate contracts and net investment hedges. The amount ultimately realized in earnings may differ as foreign exchange rates change. Realized gains and losses are ultimately determined by actual exchange rates at maturity of the derivative. The following table is a summary of the activity related to derivatives and hedges for the fiscal years ended December 31, 2023 and January 1, 2023, net of tax: December 31, 2023 January 1, 2023 (Dollars in Millions) Sales Cost of Products Sold R&D Expense Interest (Income) Expense Other (Income) Expense Sales Cost of Products Sold R&D Expense Interest (Income) Expense Other (Income) Expense The effects of fair value, net investment and cash flow hedging: Gain (Loss) on fair value hedging relationship: Interest rate swaps contracts: Hedged items $— — — (930) — — — — (1,098) — Derivatives designated as hedging instruments — — — 930 — — — — 1,098 — Gain (Loss) on net investment hedging relationship: Cross currency interest rate swaps contracts: Amount of gain or (loss) recognized in income on derivative amount excluded from effectiveness testing $— — — 130 — — — — 140 — Amount of gain or (loss) recognized in AOCI — — — 130 — — — — 140 — Gain (Loss) on cash flow hedging relationship: Forward foreign exchange contracts: Amount of gain or (loss) reclassified from AOCI into income 7 186 (37) — 8 (72) (271) 149 — (23) Amount of gain or (loss) recognized in AOCI 10 447 (18) — 9 5 319 61 — (113) Cross currency interest rate swaps contracts: Amount of gain or (loss) reclassified from AOCI into income — — — 275 — — — — 425 — Amount of gain or (loss) recognized in AOCI $— — — (156) — — — — 42 — As of December 31, 2023 and January 1, 2023, the following amounts were recorded on the consolidated balance sheet related to cumulative basis adjustment for fair value hedges Line item in the Consolidated Balance Sheet in which the hedged item is included Carrying Amount of the Hedged Liability Cumulative Amount of Fair Value Hedging Adjustment Included in the Carrying Amount of the Hedged Liability (Dollars in Millions) December 31, 2023 January 1, 2023 December 31, 2023 January 1, 2023 Long-term Debt $8,862 $8,665 $(1,216) $(1,435) The following table is the effect of derivatives not designated as hedging instrument for the fiscal years ended December 31, 2023 and January 1, 2023: (Dollars in Millions) Location of Gain /(Loss) Recognized in Income on Derivative Gain/(Loss) Derivatives Not Designated as Hedging Instruments December 31, 2023 January 1, 2023 Foreign Exchange Contracts Other (income) expense $(60) 94 The following table is the effect of net investment hedges for the fiscal years ended December 31, 2023 and January 1, 2023: Gain/(Loss) Location of Gain or (Loss) Reclassified from Accumulated Other Comprehensive Income Into Income Gain/(Loss) Reclassified From (Dollars in Millions) December 31, 2023 January 1, 2023 December 31, 2023 January 1, 2023 Debt $(131) 197 Interest (income) expense — — Cross Currency interest rate swaps $642 766 Interest (income) expense — — The Company holds equity investments with readily determinable fair values and equity investments without readily determinable fair values. The Company measures equity investments that do not have readily determinable fair values at cost minus impairment, if any, plus or minus changes resulting from observable price changes in orderly transactions for the identical or a similar investment of the same issuer. The following table is a summary of the activity related to equity investments for the fiscal years ended December 31, 2023 and January 1, 2023: January 1, 2023 December 31, 2023 (Dollars in Millions) Carrying Value Changes in Fair Value Reflected in Net Income (1) Sales/ Purchases/Other (2) Carrying Value Non Current Other Assets Equity Investments with readily determinable value * $576 (368) 4,265 4,473 4,473 Equity Investments without readily determinable value $613 1 82 696 696 January 2, 2022 January 1, 2023 (Dollars in Millions) Carrying Value Changes in Fair Value Reflected in Net Income (1) Sales/ Purchases/Other (2) Carrying Value Non Current Other Assets Equity Investments with readily determinable value $1,884 (538) (770) 576 576 Equity Investments without readily determinable value $413 93 107 613 613 (1) Recorded in Other Income/Expense (2) Other includes impact of currency * Includes the 9.5% remaining stake in Kenvue and the $0.4 billion unfavorable change in fair value of the investment between separation date and the end of the fiscal year. For the fiscal years ended December 31, 2023 and January 1, 2023 for equity investments without readily determinable market values, $1 million and $51 million, respectively, of the changes in fair value reflected in net income were the result of impairments. There were offsetting impacts of $27 million and $142 million, respectively, of changes in the fair value reflected in net income due to changes in observable prices and gains on the disposal of investments. Fair value is the exit price that would be received to sell an asset or paid to transfer a liability. Fair value is a market-based measurement determined using assumptions that market participants would use in pricing an asset or liability. In accordance with ASC 820, a three-level hierarchy to prioritize the inputs used in measuring fair value. The levels within the hierarchy are described below with Level 1 having the highest priority and Level 3 having the lowest. The fair value of a derivative financial instrument (i.e., forward foreign exchange contracts, interest rate contracts) is the aggregation by currency of all future cash flows discounted to its present value at the prevailing market interest rates and subsequently converted to the U.S. Dollar at the current spot foreign exchange rate. The Company does not believe that fair values of these derivative instruments materially differ from the amounts that could be realized upon settlement or maturity, or that the changes in fair value will have a material effect on the Company’s results of operations, cash flows or financial position. The Company also holds equity investments which are classified as Level 1 and debt securities which are classified as Level 2. The Company holds acquisition related contingent liabilities based upon certain regulatory and commercial events, which are classified as Level 3, whose values are determined using discounted cash flow methodologies or similar techniques for which the determination of fair value requires significant judgment or estimations. The following three levels of inputs are used to measure fair value: Level 1 — Quoted prices in active markets for identical assets and liabilities. Level 2 — Significant other observable inputs. Level 3 — Significant unobservable inputs. The Company’s significant financial assets and liabilities measured at fair value as of the fiscal year ended December 31, 2023 and January 1, 2023 were as follows: 2023 2022 (Dollars in Millions) Level 1 Level 2 Level 3 Total Total (1) Derivatives designated as hedging instruments: Assets: Forward foreign exchange contracts $— 539 — 539 629 Interest rate contracts (2) — 988 — 988 1,534 Total $— 1,527 — 1,527 2,163 Liabilities: Forward foreign exchange contracts — 624 — 624 511 Interest rate contracts (2) — 5,338 — 5,338 2,778 Total $— 5,962 — 5,962 3,289 Derivatives not designated as hedging instruments: Assets: Forward foreign exchange contracts $— 64 — 64 38 Liabilities: Forward foreign exchange contracts — 75 — 75 68 Available For Sale Other Investments: Equity investments (3) 4,473 — — 4,473 576 Debt securities (4) — 8,874 — 8,874 10,487 Other Liabilities Contingent Consideration (5) $ 1,092 1,092 1,120 Gross to Net Derivative Reconciliation 2023 2022 (Dollars in Millions) Total Gross Assets $1,591 2,201 Credit Support Agreements (CSA) (1,575) (2,176) Total Net Asset 16 25 Total Gross Liabilities 6,037 3,357 Credit Support Agreements (CSA) (5,604) (3,023) Total Net Liabilities $433 334 Summarized information about changes in liabilities for contingent consideration is as follows: 2023 2022 2021 (Dollars in Millions) Beginning Balance $1,120 533 633 Changes in estimated fair value 29 (194) (52) Additions (6) — 792 — Payments/Other (57) (11) (48) Ending Balance (5) $1,092 1,120 533 (1) 2022 assets and liabilities are all classified as Level 2 with the exception of equity investments of $576 million, which are classified as Level 1 and contingent consideration of $1,120 million, classified as Level 3. (2) Includes cross currency interest rate swaps and interest rate swaps. (3) Classified as non-current other assets. (4) Classified as cash equivalents and current marketable securities. (5) Includes $1,092 million, $1,116 million and $520 million, classified as non-current other liabilities as of December 31, 2023, January 1, 2023 and January 2, 2022, respectively. Includes $4 million and $13 million classified as current liabilities as of January 1, 2023 and January 2, 2022, respectively. (6) In fiscal year 2022, the Company recorded $704 million of contingent consideration related to Abiomed. See Notes 2 and 7 for financial assets and liabilities held at carrying amount on the Consolidated Balance Sheet. |
Borrowings
Borrowings | 12 Months Ended |
Dec. 31, 2023 | |
Debt Disclosure [Abstract] | |
Borrowings | Borrowings The components of long-term debt are as follows: (Dollars in Millions) 2023 Effective 2022 Effective 6.73% Debentures due 2023 $— — % $250 6.73 % 3.375% Notes due 2023 — — 801 3.17 2.05% Notes due 2023 — — 500 2.09 0.650% Notes due 2024 (750MM Euro 1.1090) (2) /(750MM Euro 1.0651) (3) 831 (2) 0.68 792 (3) 0.68 5.50% Notes due 2024 (500MM 1.2756 GBP ) (2) /(500MM GBP 1.2037) (3) 637 (2) 6.75 600 (3) 6.75 2.625% Notes due 2025 750 2.63 749 2.63 0.55% Notes due 2025 950 0.57 918 0.57 2.46% Notes due 2026 1,997 2.47 1,996 2.47 2.95% Notes due 2027 900 2.96 877 2.96 0.95% Notes due 2027 1,419 0.96 1,394 0.96 1.150% Notes due 2028 (2) /(750MM Euro 1.0651) (3) 828 (2) 1.21 794 (3) 1.21 2.90% Notes due 2028 1,497 2.91 1,496 2.91 6.95% Notes due 2029 298 7.14 298 7.14 1.30% Notes due 2030 1,630 1.30 1,607 1.30 4.95% Debentures due 2033 499 4.95 498 4.95 4.375% Notes due 2033 854 4.24 854 4.24 1.650% Notes due 2035 (2) /(1.5B Euro 1.0651) (3) 1,652 (2) 1.68 1,591 (3) 1.68 3.587% Notes due 2036 864 3.59 842 3.59 5.95% Notes due 2037 994 5.99 993 5.99 3.625% Notes due 2037 1,357 3.64 1,336 3.64 5.85% Debentures due 2038 697 5.85 697 5.85 3.400% Notes due 2038 993 3.42 992 3.42 4.50% Debentures due 2040 541 4.63 540 4.63 2.10% Notes due 2040 849 2.14 828 2.14 4.85% Notes due 2041 297 4.89 297 4.89 4.50% Notes due 2043 496 4.52 496 4.52 3.73% Notes due 2046 1,977 3.74 1,976 3.74 3.75% Notes due 2047 832 3.76 812 3.76 3.500% Notes due 2048 743 3.52 743 3.52 2.250% Notes due 2050 826 2.29 808 2.29 2.450% Notes due 2060 1,073 2.49 1,055 2.49 Other 69 — 7 — Subtotal 27,350 (4) 2.98 % (1) 28,437 (4) 3.04 % (1) Less current portion 1,469 1,551 Total long-term debt $25,881 $26,886 (1) Weighted average effective rate. (2) Translation rate at December 31, 2023. (3) Translation rate at January 1, 2023. (4) The excess of the carrying value over the fair value of debt was $1.0 billion and $1.6 billion at the end of fiscal year 2023 and fiscal year 2022, respectively. Fair value of the long-term debt was estimated using market prices, which were corroborated by quoted broker prices and significant other observable inputs. The Company has access to substantial sources of funds at numerous banks worldwide. In September 2023, the Company secured a new 364-day Credit Facility of $10 billion, which expires on September 5, 2024. The Company early terminated the additional 364-day revolving Credit Facility of $10 billion, which had an expiration of November 21, 2023. Interest charged on borrowings under the credit line agreement is based on either the Term SOFR Reference Rate or other applicable market rates as allowed under the terms of the agreement, plus applicable margins. Commitment fees under the agreements are not material. Throughout fiscal years 2023 and 2022, the Company continued to have access to liquidity through the commercial paper market. Short-term borrowings and the current portion of long-term debt amounted to approximately $3.5 billion and $12.8 billion at the end of fiscal years 2023 and 2022, respectively. The current portion of the long term debt was $1.5 billion and $1.6 billion in 2023 and 2022, respectively, and the remainder is commercial paper and local borrowing by international subsidiaries. The current debt balance as of December 31, 2023 includes $2.0 billion of commercial paper which has a weighted average interest rate of 5.37% and a weighted average maturity of approximately two months. The current debt balance as of January 1, 2023 includes $11.2 billion of commercial paper which has a weighted average interest rate of 4.23% and a weighted average maturity of approximately two months. Aggregate maturities of long-term debt obligations commencing in 2024 are: (Dollars in Millions) 2024 2025 2026 2027 2028 After 2028 $1,469 1,700 1,997 2,320 2,325 17,539 |
Income taxes
Income taxes | 12 Months Ended |
Dec. 31, 2023 | |
Income Tax Disclosure [Abstract] | |
Income taxes | Income taxes The provision for taxes on income consists of: (Dollars in Millions) 2023 2022 2021 Currently payable: U.S. taxes $2,705 2,274 1,338 International taxes 3,090 2,295 2,069 Total currently payable 5,795 4,569 3,407 Deferred: U.S. taxes (3,440) (1,990) 565 International taxes (619) 410 (2,595) Total deferred (4,059) (1,580) (2,030) Provision for taxes on income $1,736 2,989 1,377 A comparison of income tax expense at the U.S. statutory rate of 21% in fiscal years 2023, 2022 and 2021, to the Company’s effective tax rate is as follows: (Dollars in Millions) 2023 2022 2021 U.S. $(2,033) 4,606 4,275 International 17,095 14,753 14,903 Earnings before taxes on income: $15,062 19,359 19,178 Tax rates: U.S. statutory rate 21.0 % 21.0 21.0 International operations (1) (8.1) (5.0) (19.1) U.S. Tax Settlements (3.0) — — U.S. taxes on international income (2) (0.3) (1.1) 8.9 Tax benefits from loss on capital assets — — (1.6) Tax benefits on share-based compensation (0.8) (1.4) (1.2) All other 2.7 1.9 (0.8) Effective Rate 11.5 % 15.4 7.2 (1) International operations reflect the impacts of operations in jurisdictions with statutory tax rates different than the U.S., particularly Ireland, Switzerland, Belgium and Puerto Rico, which is a favorable impact on the effective tax rate as compared with the U.S. statutory rate. (2) Includes the impact of the GILTI tax, the Foreign-Derived Intangible Income deduction and other foreign income that is taxable under the U.S. tax code. The 2023 and 2022 amount includes the impact of certain provisions of the 2017 TCJA that became effective in fiscal 2022. The 2023 amount includes the impact of certain foreign subsidiaries deferred tax remeasurements for legislative elections and the 2021 amounts include the reorganization of international subsidiaries further described below. The fiscal year 2023 effective tax rate decreased 3.9% as compared to the fiscal year 2022 effective tax rate as the Company recorded certain non-recurring favorable tax items in fiscal year 2023 when compared to the prior fiscal year. In the fiscal fourth quarter of 2023, the Company settled the U.S. Internal Revenue Service audit for tax years 2013 through 2016 which resulted in a favorable impact to the rate of 3.0%. This settlement was partially offset by the Company recording a $0.4 billion decrease in expected U.S. foreign tax credits , an unfavorable effective rate impact of 2.6% , which has been reflected as a current tax expense in U.S. taxes on international income on the Company’s effective tax rate reconciliation. In the fiscal year 2023, the Company had certain non-recurring impacts as a result of legislative tax elections made in certain international subsidiaries which resulted in a change in the Company’s tax basis in certain assets resulting in deferred tax re-measurements. The net impact of these non-recurring items is a net benefit of 3.4% to the Company’s annual effective tax rate, comprised of the following items: • approximately $0.3 billion of tax benefit on local deferred tax assets to record the remeasurement of the increased tax basis, this benefit has been reflected as International operations on the Company’s effective tax rate reconciliation. This benefit was offset by approximately $0.1 billion of U.S. deferred tax expense on the GILTI deferred tax liability resulting from the remeasurement of these deferred tax assets. This has been reflected in the “U.S. tax on international income” on the Company’s effective tax rate reconciliation. • approximately $0.3 billion of U.S. deferred tax benefit on the GILTI deferred tax as a result of an international subsidiary making an election to change the treatment of a local deferred tax asset to a refundable tax credit. This has been reflected in the U.S. taxes on international income on the Company’s effective tax rate reconciliation. The Company’s 2023 and 2022 tax rates benefited from certain provisions of the Tax Cuts and Jobs Act of 2017 that became effective in fiscal 2022. The Company also had lower income in higher tax jurisdictions vs. fiscal year 2022, primarily in the U.S. where the Company recorded an approximately $7.0 billion charge related to talc matters in the United States at an effective tax rate of 21.1% (for further information see Note 19 to the Consolidated Financial Statements). The fiscal year 2022 effective tax rate increased 8.2% as compared to the fiscal year 2021 effective tax rate as the Company recorded certain non-recurring favorable tax items in fiscal year 2021 which resulted in an unfavorable impact to the Company’s fiscal 2022 effective tax rate when compared to the prior fiscal year. These items are described below. The Company’s 2022 tax rate also benefited from the impairment of bermekimab for AD IPR&D and changes in the fair value of securities in the Company’s investment portfolio, both recorded at the U.S. statutory rate. In the fiscal year 2021, the Company reorganized the ownership structure of certain wholly-owned international subsidiaries. As part of this reorganization, the Company increased the tax basis of certain assets to fair value in accordance with applicable local regulations. The net impact of this restructuring was approximately $0.6 billion net benefit or 3.2% benefit to the Company’s annual effective tax rate, comprised of the following items: • approximately $2.3 billion of local deferred tax assets to record the remeasurement of the tax basis of these assets to fair value, this benefit has been reflected as International operations on the Company’s effective tax rate reconciliation. • approximately $1.7 billion of U.S. deferred tax expense relating to the GILTI deferred tax liability resulting from the remeasurement of these deferred tax assets. This expense has been reflected as U.S. taxes on international income on the Company’s effective tax rate reconciliation. Also, in the fiscal fourth quarter of 2021, the Company recognized a loss on certain U.S. affiliates related to the previously impaired book value of certain intangibles, which reduced the 2021 effective tax rate by approximately 1.6% which is reflected as a Tax benefits from loss on capital assets on the effective tax rate reconciliation. Additionally other fiscal 2021 impacts to the rate were primarily driven by litigation and acquisition related items as follows: • the Company accrued additional legal expenses, of approximately $1.6 billion for talc at an effective tax rate of 23.5% and $0.8 billion for Risperdal Gynecomastia settlements at an effective tax rate of 16.4% (See Note 19 to the Consolidated Financial Statements for more details). • the Company recorded a partial IPR&D charge of $0.9 billion for the Ottava intangible asset (acquired with the Auris Health acquisition in 2019) at an effective rate of 22.4%. Temporary differences and carryforwards at the end of fiscal years 2023 and 2022 were as follows: 2023 Deferred Tax 2022 Deferred Tax (Dollars in Millions) Asset Liability Asset Liability Employee related obligations $586 685 Stock based compensation 686 632 Depreciation of property, plant and equipment (902) (845) Goodwill and intangibles (1,252) (1,737) R&D capitalized for tax 3,595 2,611 Reserves & liabilities 3,816 2,733 Income reported for tax purposes (1) 359 2,026 Net realizable operating loss carryforwards (2) 996 1,319 Undistributed foreign earnings 1,801 (1,695) 1,517 (1,604) Global intangible low-taxed income (2,731) (3,628) Miscellaneous international 831 861 (66) Miscellaneous U.S. (4) 452 Total deferred income taxes $12,670 (6,584) 12,836 (7,880) (1) In fiscal 2023, the Company changed the presentation of income taxes accrued on intercompany profits on inventory still owned by the Company as part of “Prepaid expenses and other” on the Consolidated Balance Sheet. (2) Net of valuation allowances of $1.1 billion and $0.8 billion in 2023 and 2022. The change in the valuation allowance from 2022 to 2023 was driven by approximately $0.1 billion from acquisition related activity and the remainder was due to normal operations during the fiscal year. The Company has wholly-owned international subsidiaries that have cumulative net losses. The Company believes that it is more likely than not that these subsidiaries will generate future taxable income sufficient to utilize these deferred tax assets. However, in certain jurisdictions, valuation allowances have been recorded against deferred tax assets for loss carryforwards that are not more likely than not to be realized. The following table summarizes the activity related to unrecognized tax benefits for continuing operations: (Dollars in Millions) 2023 2022 2021 Beginning of year $3,716 3,210 3,260 Increases related to current year tax positions 239 523 242 Increases related to prior period tax positions 244 143 23 Decreases related to prior period tax positions (781) (148) (128) Settlements (880) (1) (187) Lapse of statute of limitations (53) (11) — End of year $2,485 3,716 3,210 As of December 31, 2023 the Company had approximately $2.5 billion of unrecognized tax benefits. The Company conducts business and files tax returns in numerous countries and currently has tax audits in progress with a number of tax authorities. With respect to the United States the Internal Revenue Service has completed its audit for all tax years through 2016. In other major jurisdictions where the Company conducts business, the years that remain open to tax audits go back to the year 2008. The Company believes it is possible that some tax audits may be completed over the next twelve months by taxing authorities in some jurisdictions, including in the United States. However, the Company is not able to provide a reasonably reliable estimate of the timing of any other future tax payments or change in uncertain tax positions, if any. |
Employee related obligations
Employee related obligations | 12 Months Ended |
Dec. 31, 2023 | |
Compensation Related Costs [Abstract] | |
Employee related obligations | Employee related obligations At the end of fiscal 2023 and fiscal 2022, employee related obligations recorded on the Consolidated Balance Sheets were: (Dollars in Millions) 2023 2022 Pension benefits $3,129 2,475 Postretirement benefits 1,963 1,728 Postemployment benefits 2,527 2,832 Deferred compensation 68 100 Total employee obligations 7,687 7,135 Less current benefits payable 538 593 Employee related obligations — non-current $7,149 6,542 Prepaid employee related obligations of $4,992 million and $4,581 million for 2023 and 2022, respectively, are included in Other assets on the Consolidated Balance Sheets. |
Pensions and other benefit plan
Pensions and other benefit plans | 12 Months Ended |
Dec. 31, 2023 | |
Retirement Benefits [Abstract] | |
Pensions and other benefit plans | Pensions and other benefit plans The Company sponsors various retirement and pension plans, including defined benefit, defined contribution and termination indemnity plans, which cover most employees worldwide. The Company also provides post-retirement benefits, primarily healthcare, to all eligible U.S. retired employees and their dependents. Many international employees are covered by government-sponsored programs and the cost to the Company is not significant. In the U.S, non-union pension benefits for employees hired before January 1, 2015 are primarily based on the employee’s compensation during the last five years before retirement and the number of years of service (the Final Average Pay formula). U.S. pension benefits for employees hired after 2014, are calculated using a different formula based on employee compensation over total years of service (the Retirement Value formula). In January 2021, the Company announced that, effective on January 1, 2026, all eligible U.S. non-union employees, regardless of hire date, will earn benefits under the Retirement Value formula. This amendment does not affect the benefits accrued under the Final Average Pay formula for service before January 1, 2026. International subsidiaries have plans under which funds are deposited with trustees, annuities are purchased under group contracts, or reserves are provided. The Company does not fund retiree healthcare benefits in advance and has the right to modify these plans in the future. In 2023 and 2022 the Company used December 31, 2023 and December 31, 2022, respectively, as the measurement date for all U.S. and international retirement and other benefit plans. Net periodic benefit costs for the Company’s defined benefit retirement plans and other benefit plans for 2023, 2022 and 2021 include the following components: Retirement Plans Other Benefit Plans (Dollars in Millions) 2023 2022 2021 2023 2022 2021 Service cost $893 1,319 1,412 264 320 309 Interest cost 1,437 908 768 214 104 80 Expected return on plan assets (2,716) (2,756) (2,644) (7) (8) (7) Amortization of prior service cost (184) (184) (181) (2) (5) (31) Recognized actuarial losses (gains) (199) 650 1,251 23 122 151 Curtailments and settlements 93 1 1 (5) — — Net periodic benefit cost (credit) $(676) (62) 607 487 533 502 The service cost component of net periodic benefit cost is presented in the same line items on the Consolidated Statement of Earnings where other employee compensation costs are reported, including Cost of products sold, Research and development expense, Selling, marketing and administrative expenses, and Net earnings from discontinued operations, net of taxes if related to the separation of Kenvue. All other components of net periodic benefit cost are presented as part of Other (income) expense, net on the Consolidated Statement of Earnings, with the exception of certain amounts for curtailments and settlements, which are reported in Net earnings from discontinued operations, net of taxes if related to the separation of Kenvue (as noted above). Unrecognized gains and losses for the U.S. pension plans are amortized over the average remaining future service for each plan. For plans with no active employees, they are amortized over the average life expectancy. The amortization of gains and losses for the other U.S. benefit plans is determined by using a 10% corridor of the greater of the market value of assets or the accumulated postretirement benefit obligation. Total unamortized gains and losses in excess of the corridor are amortized over the average remaining future service. Prior service costs/benefits for the U.S. pension plans are amortized over the average remaining future service of plan participants at the time of the plan amendment. Prior service cost/benefit for the other U.S. benefit plans is amortized over the average remaining service to full eligibility age of plan participants at the time of the plan amendment. The following table represents the weighted-average actuarial assumptions: Retirement Plans Other Benefit Plans Worldwide Benefit Plans 2023 2022 2021 2023 2022 2021 Net Periodic Benefit Cost Service cost discount rate 4.85 % 2.46 2.14 5.40 2.59 2.09 Interest cost discount rate 5.25 % 2.80 2.34 5.43 2.64 2.33 Rate of increase in compensation levels 3.71 % 4.02 4.01 4.22 4.21 4.25 Expected long-term rate of return on plan assets 7.21 % 7.25 7.71 Benefit Obligation Discount rate 4.58 % 5.01 2.49 5.11 5.42 2.68 Rate of increase in compensation levels 3.69 % 4.00 4.01 4.22 4.21 4.21 The Company’s discount rates are determined by considering current yield curves representing high quality, long-term fixed income instruments. The resulting discount rates are consistent with the duration of plan liabilities. The Company's methodology in determining service and interest cost uses duration specific spot rates along that yield curve to the plans' liability cash flows. The expected rates of return on plan asset assumptions represent the Company's assessment of long-term returns on diversified investment portfolios globally. The assessment is determined using projections from external financial sources, long-term historical averages, actual returns by asset class and the various asset class allocations by market. The following table displays the assumed healthcare cost trend rates, for all individuals: Healthcare Plans 2023 2022 Healthcare cost trend rate assumed for next year 13.90 % * 5.96 % Rate to which the cost trend rate is assumed to decline (ultimate trend) 4.00 % 3.99 % Year the rate reaches the ultimate trend rate 2048 2047 *excludes ongoing negotiations regarding healthcare cost with service providers The following table sets forth information related to the benefit obligation and the fair value of plan assets at fiscal year-end 2023 and 2022 for the Company’s defined benefit retirement plans and other post-retirement plans: Retirement Plans Other Benefit Plans (Dollars in Millions) 2023 2022 2023 2022 Change in Benefit Obligation Projected benefit obligation — beginning of year $29,390 41,272 4,192 4,874 Service cost 893 1,319 264 320 Interest cost 1,437 908 214 104 Plan participant contributions 73 67 — — Amendments (6) 7 — — Actuarial (gains) losses (1) 2,068 (12,159) 469 (704) Divestitures & acquisitions (2) (352) — 1 — Curtailments, settlements & restructuring (238) (7) (332) — Benefits paid from plan (3) (2,122) (1,220) (702) (393) Effect of exchange rates 601 (797) 2 (9) Projected benefit obligation — end of year $31,744 29,390 4,108 4,192 Change in Plan Assets Plan assets at fair value — beginning of year $31,496 41,909 78 102 Actual return (loss) on plan assets 3,951 (8,663) 16 (17) Company contributions 268 261 694 386 Plan participant contributions 73 67 — — Settlements (176) (5) — — Divestitures & acquisitions (2) (509) — — — Benefits paid from plan assets (3) (2,122) (1,220) (702) (393) Effect of exchange rates 626 (853) — — Plan assets at fair value — end of year $33,607 31,496 86 78 Funded status — end of year $1,863 2,106 (4,022) (4,114) Amounts Recognized in the Company’s Balance Sheet consist of the following: Non-current assets $4,992 4,581 — — Current liabilities (119) (127) (416) (461) Non-current liabilities (3,010) (2,348) (3,606) (3,653) Total recognized in the consolidated balance sheet — end of year $1,863 2,106 (4,022) (4,114) Amounts Recognized in Accumulated Other Comprehensive Income consist of the following: Net actuarial loss $4,962 3,948 354 239 Prior service cost (credit) (1,236) (1,417) (6) (7) Unrecognized net transition obligation — — — Total before tax effects $3,726 2,531 348 232 Accumulated Benefit Obligations — end of year $30,139 27,797 (1) The actuarial (gains)/losses for retirement plans in 2023 and 2022 were primarily driven by changes in the discount rates. (2) Primarily driven by the Kenvue separation. (3) Includes approximately $800 million transferred to a group annuity contract issued by a third-party insurer for the U.S. Salaried Pension Plan. Retirement Plans Other Benefit Plans (Dollars in Millions) 2023 2022 2023 2022 Amounts Recognized in Net Periodic Benefit Cost and Other Comprehensive Income Net periodic benefit cost (credit) $(676) (62) 487 533 Net actuarial (gain) loss 711 (793) 136 (751) Amortization of net actuarial loss 199 (655) (22) (121) Prior service cost (credit) (2) 7 — — Amortization of prior service (cost) credit 185 183 2 5 Effect of exchange rates 103 (140) — (1) Total loss/(income) recognized in other comprehensive income, before tax $1,195 (1,398) 116 (868) Total recognized in net periodic benefit cost and other comprehensive income $519 (1,460) 603 (335) The Company plans to continue to fund its U.S. Qualified Plans to comply with the Pension Protection Act of 2006. International Plans are funded in accordance with local regulations. Additional discretionary contributions are made when deemed appropriate to meet the long-term obligations of the plans. For certain plans, funding is not a common practice, as funding provides no economic benefit. Consequently, the Company has several pension plans that are not funded. In 2023, the Company contributed $135 million and $133 million to its U.S. and international pension plans, respectively. The following table displays the funded status of the Company's U.S. Qualified & Non-Qualified pension plans and international funded and unfunded pension plans at December 31, 2023 and December 31, 2022, respectively: U.S. Plans International Plans Qualified Plans Non-Qualified Plans Funded Plans Unfunded Plans (Dollars in Millions) 2023 2022 2023 2022 2023 2022 2023 2022 Plan Assets $22,298 20,937 — — 11,309 10,559 — — Projected Benefit Obligation 19,152 18,394 2,037 1,937 10,431 8,982 124 77 Accumulated Benefit Obligation 18,557 17,696 1,982 1,872 9,498 8,166 102 63 Over (Under) Funded Status Projected Benefit Obligation $3,146 2,543 (2,037) (1,937) 878 1,577 (124) (77) Accumulated Benefit Obligation 3,741 3,241 (1,982) (1,872) 1,811 2,393 (102) (63) Plans with accumulated benefit obligations in excess of plan assets have an accumulated benefit obligation, projected benefit obligation and plan assets of $5.8 billion, $6.1 billion and $3.1 billion, respectively, at the end of 2023, and $2.7 billion, $2.7 billion and $0.3 billion, respectively, at the end of 2022. The following table displays the projected future benefit payments from the Company’s retirement and other benefit plans: (Dollars in Millions) 2024 2025 2026 2027 2028 2029-2033 Projected future benefit payments Retirement plans $1,481 1,473 1,549 1,647 1,745 10,133 Other benefit plans $427 438 396 411 428 2,360 The following table displays the projected future minimum contributions to the unfunded retirement plans. These amounts do not include any discretionary contributions that the Company may elect to make in the future. (Dollars in Millions) 2024 2025 2026 2027 2028 2029-2033 Projected future contributions $122 126 133 139 145 787 Each pension plan is overseen by a local committee or board that is responsible for the overall administration and investment of the pension plans. In determining investment policies, strategies and goals, each committee or board considers factors including, local pension rules and regulations; local tax regulations; availability of investment vehicles (separate accounts, commingled accounts, insurance funds, etc.); funded status of the plans; ratio of actives to retirees; duration of liabilities; and other relevant factors including: diversification, liquidity of local markets and liquidity of base currency. A majority of the Company’s pension funds are open to new entrants and are expected to be on-going plans. Permitted investments are primarily liquid and/or listed, with little reliance on illiquid and non-traditional investments such as hedge funds. The Company’s retirement plan asset allocation at the end of 2023 and 2022 and target allocations for 2024 are as follows: Percent of Target 2023 2022 2024 Worldwide Retirement Plans Equity securities 58 % 62 % 58 % Debt securities 42 38 42 Total plan assets 100 % 100 % 100 % Determination of fair value of plan assets The Plan has an established and well-documented process for determining fair values. Fair value is based upon quoted market prices, where available. If listed prices or quotes are not available, fair value is based upon models that primarily use, as inputs, market-based or independently sourced market parameters, including yield curves, interest rates, volatilities, equity or debt prices, foreign exchange rates and credit curves. While the Plan believes its valuation methods are appropriate and consistent with other market participants, the use of different methodologies or assumptions to determine the fair value of certain financial instruments could result in a different estimate of fair value at the reporting date. Valuation hierarchy The authoritative literature establishes a three-level hierarchy to prioritize the inputs used in measuring fair value. The levels within the hierarchy are described in the table below with Level 1 having the highest priority and Level 3 having the lowest. The Net Asset Value (NAV) is based on the value of the underlying assets owned by the fund, minus its liabilities, and then divided by the number of shares outstanding. A financial instrument’s categorization within the valuation hierarchy is based upon the lowest level of input that is significant to the fair value measurement. Following is a description of the valuation methodologies used for the investments measured at fair value. • Short-term investment funds — Cash and quoted short-term instruments are valued at the closing price or the amount held on deposit by the custodian bank. Other investments are through investment vehicles valued using the NAV provided by the administrator of the fund. The NAV is a quoted price in a market that is not active and classified as Level 2. • Government and agency securities — A limited number of these investments are valued at the closing price reported on the major market on which the individual securities are traded. Where quoted prices are available in an active market, the investments are classified within Level 1 of the valuation hierarchy. If quoted market prices are not available for the specific security, then fair values are estimated by using pricing models, quoted prices of securities with similar characteristics or discounted cash flows. When quoted market prices for a security are not available in an active market, they are classified as Level 2. • Debt instruments — A limited number of these investments are valued at the closing price reported on the major market on which the individual securities are traded. Where quoted prices are available in an active market, the investments are classified as Level 1. If quoted market prices are not available for the specific security, then fair values are estimated by using pricing models, quoted prices of securities with similar characteristics or discounted cash flows and are classified as Level 2. Level 3 debt instruments are priced based on unobservable inputs. • Equity securities — Equity securities are valued at the closing price reported on the major market on which the individual securities are traded. Substantially all equity securities are classified within Level 1 of the valuation hierarchy. • Commingled funds — These investment vehicles are valued using the NAV provided by the fund administrator. Assets in the Level 2 category have a quoted market price. • Other assets — Other assets are represented primarily by limited partnerships. These investment vehicles are valued using the NAV provided by the fund administrator. Other assets that are exchange listed and actively traded are classified as Level 1, while inactively traded assets are classified as Level 2. The following table sets forth the Retirement Plans' investments measured at fair value as of December 31, 2023 and December 31, 2022: Quoted Prices Significant Significant Unobservable Inputs (1) Investments Measured at Net Asset Value (Level 1) (Level 2) (Level 3) Total Assets (Dollars in Millions) 2023 2022 2023 2022 2023 2022 2023 2022 2023 2022 Short-term investment funds $12 26 829 13 — — — — 841 39 Government and agency securities — — 5,985 5,863 — — — — 5,985 5,863 Debt instruments — — 3,899 3,681 — — — — 3,899 3,681 Equity securities 7,764 8,846 — 2 — — — — 7,764 8,848 Commingled funds — — 4,967 4,362 43 56 6,672 6,096 11,682 10,514 Other assets — — 49 33 92 12 3,295 2,506 3,436 2,551 Investments at fair value $7,776 8,872 15,729 13,954 135 68 9,967 8,602 33,607 31,496 (1) The activity for the Level 3 assets is not significant for all years presented. The Company's Other Benefit Plans are unfunded except for U.S. commingled funds (Level 2) of $86 million and $78 million at December 31, 2023 and December 31, 2022, respectively. |
Savings plan
Savings plan | 12 Months Ended |
Dec. 31, 2023 | |
Savings Plan [Abstract] | |
Savings plan | Savings plan The Company has voluntary 401(k) savings plans designed to enhance the existing retirement programs covering eligible employees. The Company matches a percentage of each employee’s contributions consistent with the provisions of the plan for which the employee is eligible. Total Company matching contributions to the plans were $263 million, $257 million and $239 million in fiscal years 2023, 2022 and 2021, respectively. |
Capital and treasury stock
Capital and treasury stock | 12 Months Ended |
Dec. 31, 2023 | |
Equity [Abstract] | |
Capital and treasury stock | Capital and treasury stock Changes in treasury stock were: Treasury Stock (Amounts in Millions Except Treasury Stock Shares in Thousands) Shares Amount Balance at January 3, 2021 487,331 $38,490 Employee compensation and stock option plans (17,399) (2,847) Repurchase of common stock 20,946 3,456 Balance at January 2, 2022 490,878 39,099 Employee compensation and stock option plans (20,007) (3,440) Repurchase of common stock 35,375 6,035 Balance at January 1, 2023 506,246 41,694 Employee compensation and stock option plans (15,521) (2,529) Repurchase of common stock 31,085 5,079 Kenvue share exchange (Note 21) 190,955 31,418 Balance at December 31, 2023 712,765 $75,662 Aggregate shares of common stock issued were approximately 3,119,843,000 shares at the end of fiscal years 2023, 2022 and 2021. Cash dividends paid were $4.70 per share in fiscal year 2023, compared with dividends of $4.45 per share in fiscal year 2022, and $4.19 per share in fiscal year 2021. On January 2, 2024, the Board of Directors declared a regular cash dividend of $1.19 per share, payable on March 5, 2024 to shareholders of record as of February 20, 2024. On September 14, 2022, the Company announced that its Board of Directors approved a share repurchase program, authorizing the Company to purchase up to $5.0 billion of the Company's shares of common stock. The repurchase program was completed during the fiscal first quarter of 2023. |
Accumulated other comprehensive
Accumulated other comprehensive income (loss) | 12 Months Ended |
Dec. 31, 2023 | |
Equity [Abstract] | |
Accumulated other comprehensive income (loss) | Accumulated other comprehensive income (loss) Components of other comprehensive income (loss) consist of the following: (Dollars in Millions) Foreign Gain/ Employee Gain/ Total January 3, 2021 $(8,938) 1 (6,957) 652 (15,242) Net 2021 changes (1,079) (4) 4,255 (988) 2,184 January 2, 2022 (10,017) (3) (2,702) (336) (13,058) Net 2022 changes (1,796) (24) 1,805 106 91 January 1, 2023 (11,813) (27) (897) (230) (12,967) Net 2023 changes (3,221) 26 (1,399) (147) (4,741) Kenvue Separation/IPO 4,885 296 * 5,181 December 31, 2023 $(10,149) (1) (2,000) (377) (12,527) Amounts in accumulated other comprehensive income are presented net of the related tax impact. Foreign currency translation is not adjusted for income taxes where it relates to permanent investments in international subsidiaries. For additional details on comprehensive income see the Consolidated Statements of Comprehensive Income. Details on reclassifications out of Accumulated Other Comprehensive Income: Gain/(Loss) On Securities - reclassifications released to Other (income) expense, net. Employee Benefit Plans - reclassifications are included in net periodic benefit cost. See Note 10 for additional details. Gain/(Loss) On Derivatives & Hedges - reclassifications to earnings are recorded in the same account as the hedged transaction. See Note 6 for additional details. |
International currency translat
International currency translation | 12 Months Ended |
Dec. 31, 2023 | |
Foreign Currency Translation [Abstract] | |
International currency translation | International currency translation For translation of its subsidiaries operating in non-U.S. Dollar currencies, the Company has determined that the local currencies of its international subsidiaries are the functional currencies except those in highly inflationary economies, which are defined as those which have had compound cumulative rates of inflation of 100% or more during the past three years, or where a substantial portion of its cash flows are not in the local currency. For the majority of the Company's subsidiaries the local currency is the functional currency. In consolidating international subsidiaries, balance sheet currency effects are recorded as a component of accumulated other comprehensive income. The other current and non-current assets line within the Statement of Cash flows includes the impact of foreign currency translation. This equity account includes the results of translating certain balance sheet assets and liabilities at current exchange rates and some accounts at historical rates, except for those located in highly inflationary economies (Argentina and Venezuela). Beginning in the fiscal second quarter of 2022, the Company also accounted for operations in Turkey as highly inflationary. The translation of balance sheet accounts for highly inflationary economies are reflected in the operating results. A rollforward of the changes during fiscal years 2023, 2022 and 2021 for foreign currency translation adjustments is included in Note 13. Net currency transaction gains and losses included in Other (income) expense were losses of $366 million, $286 million and $216 million in fiscal years 2023, 2022 and 2021, respectively. |
Earnings per share
Earnings per share | 12 Months Ended |
Dec. 31, 2023 | |
Earnings Per Share [Abstract] | |
Earnings per share | Earnings per share The following is a reconciliation of basic net earnings per share to diluted net earnings per share for the fiscal years ended December 31, 2023, January 1, 2023 and January 2, 2022: (In Millions Except Per Share Amounts) 2023 2022 2021 Basic net earnings per share from continuing operations $5.26 6.23 6.76 Basic net earnings per share from discontinued operations 8.62 0.60 1.17 Total net earnings per share - basic 13.88 6.83 7.93 Average shares outstanding — basic 2,533.5 2,625.2 2,632.1 Potential shares exercisable under stock option plans 94.1 140.1 138.0 Less: shares repurchased under treasury stock method (67.2) (101.4) (96.1) Adjusted average shares outstanding — diluted 2,560.4 2,663.9 2,674.0 Diluted net earnings per share from continuing operations 5.20 6.14 6.66 Diluted net earnings per share from discontinuing operations 8.52 0.59 1.15 Total net earnings per share - diluted $13.72 6.73 7.81 The diluted net earnings per share calculation for fiscal year 2023 excluded 43 million shares related to stock options, as the exercise price of these options was greater than the average market value of the Company's stock. |
Common stock, stock option plan
Common stock, stock option plans and stock compensation agreements | 12 Months Ended |
Dec. 31, 2023 | |
Share-Based Payment Arrangement [Abstract] | |
Common stock, stock option plans and stock compensation agreements | Common stock, stock option plans and stock compensation agreements At December 31, 2023, the Company had one stock-based compensation plan. The shares outstanding are for contracts under the Company's 2012 Long-Term Incentive Plan and the 2022 Long-Term Incentive Plan. The 2012 Long-Term Incentive Plan expired on April 26, 2022. All awards (stock options, restricted shares units and performance share units) granted subsequent to that date were under the 2022 Long-Term Incentive Plan. Under the 2022 Long-Term Incentive Plan, the Company may issue up to 150 million shares of common stock, of which up to 110 million shares of common stock may be issued subject to stock options or stock appreciation rights and up to 40 million shares of common stock may be issued subject to full value awards. Awards will generally be counted on a 1-for-1 basis against the share reserve, provided that if more than 40 million full value awards are granted, each full value award in excess of 40 million will be counted on a 5-for-1 basis against the share reserve. Shares available for future grants under the 2022 Long-Term Incentive Plan were 130 million at the end of fiscal year 2023. The compensation cost that has been charged against income for these plans was $1,087 million, $1,028 million and $1,038 million for fiscal years 2023, 2022 and 2021, respectively. The total income tax benefit recognized in the income statement for share-based compensation costs was $221 million, $177 million and $199 million for fiscal years 2023, 2022 and 2021, respectively. The Company also recognized additional income tax benefits of $126 million, $267 million and $213 million for fiscal years 2023, 2022 and 2021, respectively, for which options were exercised or restricted shares were vested. The total unrecognized compensation cost was $907 million, $866 million and $775 million for fiscal years 2023, 2022 and 2021, respectively. The weighted average period for this cost to be recognized was 1.80 years, 1.80 years and 1.78 years for fiscal years 2023, 2022, and 2021, respectively. Share-based compensation costs capitalized as part of inventory were insignificant in all periods. The Company settles employee benefit equity issuances with treasury shares. Treasury shares are replenished through market purchases throughout the year for the number of shares used to settle employee benefit equity issuances. Stock options Stock options expire 10 years from the date of grant and vest over service periods that range from 6 months to 4 years. t. The fair value of each option award was estimated on the date of grant using the Black-Scholes option valuation model that uses the assumptions noted in the following table. For 2023, 2022, and 2021 grants, expected volatility represents a blended rate of 10-year weekly historical overall volatility rate, and a 5-week average implied volatility rate based on at-the-money traded Johnson & Johnson options with a life of 2 years. For all grants, historical data is used to determine the expected life of the option. The risk-free rate was based on the U.S. Treasury yield curve in effect at the time of grant. The average fair value of options granted was $27.85, $23.23 and $20.86, in fiscal years 2023, 2022 and 2021, respectively. The fair value was estimated based on the weighted average assumptions of: 2023 2022 2021 Risk-free rate 3.74 % 1.98 % 0.83 % Expected volatility 17.69 % 18.00 % 18.59 % Expected life (in years) 7.0 7.0 7.0 Expected dividend yield 2.90 % 2.70 % 2.50 % A summary of option activity under the Plan as of December 31, 2023, is presented below: (Shares in Thousands) Outstanding Weighted Aggregate Shares at January 1, 2023 118,672 $134.95 $4,949 Options granted 16,320 162.75 Options exercised (12,386) 109.48 Options canceled/forfeited* (10,368) 155.62 Shares at December 31, 2023 112,238 $139.88 $2,239 The total intrinsic value of options exercised was $729 million, $1,228 million and $919 million in fiscal years 2023, 2022 and 2021, respectively. *includes 7,689 shares of options cancelled as a result of the conversion of Johnson & Johnson stock options held by Kenvue employees into Kenvue stock options The following table summarizes stock options outstanding and exercisable at December 31, 2023: (Shares in Thousands) Outstanding Exercisable Exercise Price Range Options Average Life (1) Weighted Options Weighted $90.44 - $101.87 20,774 1.4 $99.21 20,774 $99.21 $115.67 - $129.51 19,368 3.6 122.49 19,368 122.49 $131.94 - $151.41 27,391 5.6 142.84 26,676 142.61 $162.70 - $162.75 13,928 9.1 162.75 6 162.75 $164.62 - $165.89 30,777 7.6 165.29 174 165.12 112,238 5.5 $139.88 66,998 $123.39 (1) Average contractual life remaining in years. Stock options outstanding at January 1, 2023 and January 2, 2022 were 118,672 and an average life of 5.8 years and 117,361 and an average life of 5.8 years, respectively. Stock options exercisable at January 1, 2023 and January 2, 2022 were 63,661 at an average price of $113.06 and 62,742 at an average price of $104.42, respectively. Restricted share units and performance share units The Company grants restricted share units which vest over service periods that range from 6 months to 3 years. The Company also grants performance share units, which are paid in shares of Johnson & Johnson Common Stock after the end of a three- year performance period. Performance shares were granted with two equally-weighted goals that directly align with or help drive long-term total shareholder return: adjusted operational earnings per share and relative total shareholder return. The number of shares actually earned at the end of the three-year period will vary, based only on actual performance, from 0% to 200% of the target number of performance share units granted. A summary of the restricted share units and performance share units activity under the Plans as of December 31, 2023 is presented below: (Shares in Thousands) Outstanding Outstanding Shares at January 1, 2023 13,616 2,357 Granted 5,910 828 Issued (4,329) (785) Canceled/forfeited/adjusted* (2,259) (363) Shares at December 31, 2023 12,938 2,037 *includes 1,421 shares of restricted share units and 264 shares of performance share units cancelled as a result of the conversion of Johnson & Johnson restricted share units and performance share units held by Kenvue employees into Kenvue restricted share units The average fair value of the restricted share units granted was $152.63, $153.67 and $152.62 in fiscal years 2023, 2022 and 2021, respectively, using the fair market value at the date of grant. The fair value of restricted share units was discounted for dividends, which are not paid on the restricted share units during the vesting period. The fair value of restricted share units issued was $605 million, $591 million and $611 million in 2023, 2022 and 2021, respectively. The weighted average fair value of the performance share units granted was $145.17, $170.46 and $179.35 in fiscal years 2023, 2022 and 2021, calculated using the weighted average fair market value for each of the component goals at the date of grant. The fair values for the earnings per share goals of each performance share unit were estimated on the date of grant using the fair market value of the shares at the time of the award discounted for dividends, which are not paid on the performance share units during the vesting period. The fair value for the relative total shareholder return goal of each performance share unit was estimated on the date of grant using the Monte Carlo valuation model. The fair value of performance share units issued was $140 million, $94 million and $83 million in fiscal years 2023, 2022 and 2021, respectively. |
Segments of business and geogra
Segments of business and geographic areas | 12 Months Ended |
Dec. 31, 2023 | |
Segment Reporting [Abstract] | |
Segments of business and geographic areas | Segments of business and geographic areas Following the separation of the Consumer Health business in the fiscal third quarter of 2023, the Company is now organized into two business segments: Innovative Medicine (formerly referred to as Pharmaceutical) and MedTech. The segment results have been recast for all periods to reflect the continuing operations of the Company. Sales to Customers % Change (Dollars in Millions) 2023 2022 2021 ’23 vs. ’22 ’22 vs. ’21 INNOVATIVE MEDICINE (1) Immunology U.S. $11,539 11,036 10,843 4.6 % 1.8 International 6,513 5,899 5,907 10.4 (0.1) Worldwide 18,052 16,935 16,750 6.6 1.1 REMICADE U.S. 1,143 1,417 2,019 (19.3) (29.8) U.S. Exports 147 204 236 (28.0) (13.6) International 549 722 935 (23.9) (22.8) Worldwide 1,839 2,343 3,190 (21.5) (26.6) SIMPONI / SIMPONI ARIA U.S. 1,124 1,166 1,127 (3.6) 3.5 International 1,073 1,017 1,148 5.4 (11.4) Worldwide 2,197 2,184 2,276 0.6 (4.0) STELARA U.S. 6,966 6,388 5,938 9.0 7.6 International 3,892 3,335 3,196 16.7 4.4 Worldwide 10,858 9,723 9,134 11.7 6.5 TREMFYA U.S. 2,147 1,844 1,503 16.5 22.7 International 999 824 624 21.2 32.0 Worldwide 3,147 2,668 2,127 17.9 25.4 OTHER IMMUNOLOGY U.S. 11 17 21 (33.8) (18.4) International 0 0 3 — * Worldwide 11 17 24 (33.8) (28.2) Infectious Diseases U.S. 1,500 1,680 2,249 (10.7) (25.3) International 2,918 3,769 3,576 (22.6) 5.4 Worldwide 4,418 5,449 5,825 (18.9) (6.5) COVID-19 VACCINE U.S. 0 120 634 * (81.1) International 1,117 2,059 1,751 (45.8) 17.6 Worldwide 1,117 2,179 2,385 (48.8) (8.6) Sales to Customers % Change (Dollars in Millions) 2023 2022 2021 ’23 vs. ’22 ’22 vs. ’21 EDURANT / rilpivirine U.S. 35 36 41 (3.7) (10.8) International 1,115 972 953 14.8 2.0 Worldwide 1,150 1,008 994 14.1 1.5 PREZISTA / PREZCOBIX / REZOLSTA / SYMTUZA U.S. 1,446 1,494 1,508 (3.2) (1.0) International 408 449 575 (9.2) (21.9) Worldwide 1,854 1,943 2,083 (4.6) (6.7) OTHER INFECTIOUS DISEASES U.S. 19 30 66 (34.5) (55.5) International 278 289 297 (3.8) (2.6) Worldwide 297 318 363 (6.7) (12.3) Neuroscience U.S. 4,065 3,570 3,347 13.9 6.7 International 3,076 3,323 3,641 (7.5) (8.7) Worldwide 7,140 6,893 6,988 3.6 (1.4) CONCERTA / methylphenidate U.S. 230 151 172 52.5 (12.5) International 554 493 495 12.2 (0.4) Worldwide 783 644 667 21.6 (3.5) INVEGA SUSTENNA / XEPLION / INVEGA TRINZA / TREVICTA U.S. 2,897 2,714 2,550 6.7 6.5 International 1,218 1,426 1,472 (14.6) (3.1) Worldwide 4,115 4,140 4,022 (0.6) 3.0 SPRAVATO U.S. 589 328 198 79.7 65.7 International 100 46 26 * 76.9 Worldwide 689 374 224 84.1 67.0 OTHER NEUROSCIENCE (2) U.S. 349 376 427 (7.3) (11.9) International 1,204 1,358 1,647 (11.3) (17.5) Worldwide 1,553 1,734 2,074 (10.4) (16.4) Oncology U.S. 8,462 6,930 5,958 22.1 16.3 International 9,199 9,052 8,590 1.6 5.4 Worldwide 17,661 15,983 14,548 10.5 9.9 Sales to Customers % Change (Dollars in Millions) 2023 2022 2021 ’23 vs. ’22 ’22 vs. ’21 CARVYKTI U.S. 469 133 — * * International 30 — — * * Worldwide 500 133 — * * DARZALEX U.S. 5,277 4,210 3,169 25.4 32.8 International 4,467 3,767 2,854 18.6 32.0 Worldwide 9,744 7,977 6,023 22.2 32.4 ERLEADA U.S. 1,065 968 813 10.0 19.2 International 1,322 913 478 44.8 * Worldwide 2,387 1,881 1,291 26.9 45.7 IMBRUVICA U.S. 1,051 1,390 1,747 (24.4) (20.4) International 2,214 2,394 2,622 (7.5) (8.7) Worldwide 3,264 3,784 4,369 (13.7) (13.4) ZYTIGA /abiraterone acetate U.S. 50 74 119 (32.1) (37.8) International 837 1,696 2,178 (50.7) (22.1) Worldwide 887 1,770 2,297 (49.9) (22.9) OTHER ONCOLOGY U.S. 549 156 110 * 41.8 International 330 283 458 16.9 (38.2) Worldwide 879 438 568 * (22.9) Pulmonary Hypertension U.S. 2,697 2,346 2,365 15.0 (0.8) International 1,117 1,071 1,085 4.3 (1.3) Worldwide 3,815 3,417 3,450 11.6 (1.0) OPSUMIT U.S. 1,292 1,132 1,147 14.1 (1.3) International 681 651 672 4.6 (3.2) Worldwide 1,973 1,783 1,819 10.6 (2.0) UPTRAVI U.S. 1,326 1,104 1,056 20.1 4.5 International 255 218 181 17.3 20.4 Worldwide 1,582 1,322 1,237 19.7 6.9 OTHER PULMONARY HYPERTENSION U.S. 79 110 163 (28.6) (32.3) International 182 202 232 (10.3) (12.8) Worldwide 260 313 395 (16.7) (20.8) Sales to Customers % Change (Dollars in Millions) 2023 2022 2021 ’23 vs. ’22 ’22 vs. ’21 Cardiovascular / Metabolism / Other U.S. 2,906 3,042 3,192 (4.5) (4.7) International 765 845 927 (9.4) (8.9) Worldwide 3,671 3,887 4,119 (5.5) (5.6) XARELTO U.S. 2,365 2,473 2,438 (4.4) 1.4 International — — — — — Worldwide 2,365 2,473 2,438 (4.4) 1.4 OTHER (3) U.S. 541 569 754 (5.0) (24.5) International 765 845 927 (9.4) (8.8) Worldwide 1,306 1,414 1,682 (7.6) (15.9) TOTAL INNOVATIVE MEDICINE U.S. 31,169 28,604 27,954 9.0 2.3 International 23,590 23,959 23,726 (1.5) 1.0 Worldwide 54,759 52,563 51,680 4.2 1.7 MEDTECH Interventional Solutions U.S. 3,633 2,169 1,836 67.5 18.2 International 2,717 2,131 2,135 27.5 (0.2) Worldwide 6,350 4,300 3,971 47.7 8.3 ELECTROPHYSIOLOGY U.S. 2,458 2,036 1,730 20.7 17.7 International 2,230 1,901 1,893 17.3 0.4 Worldwide 4,688 3,937 3,623 19.1 8.7 ABIOMED (4) U.S. 1,066 31 — * * International 240 — — * * Worldwide 1,306 31 — * * OTHER INTERVENTIONAL SOLUTIONS U.S. 109 102 106 6.7 (3.8) International 247 230 242 7.3 (5.0) Worldwide 356 332 348 7.1 (4.6) Orthopaedics U.S. 5,525 5,321 5,126 3.8 3.8 International 3,417 3,267 3,462 4.6 (5.6) Worldwide 8,942 8,587 8,588 4.1 0.0 HIPS U.S. 996 943 878 5.6 7.3 International 564 571 602 (1.2) (5.1) Worldwide 1,560 1,514 1,480 3.0 2.3 Sales to Customers % Change (Dollars in Millions) 2023 2022 2021 ’23 vs. ’22 ’22 vs. ’21 KNEES U.S. 896 851 787 5.3 8.2 International 559 508 538 10.2 (5.7) Worldwide 1,456 1,359 1,325 7.1 2.6 TRAUMA U.S. 1,949 1,882 1,819 3.6 3.5 International 1,030 989 1,066 4.1 (7.2) Worldwide 2,979 2,871 2,885 3.8 (0.5) SPINE, SPORTS & OTHER U.S. 1,684 1,645 1,642 2.4 0.2 International 1,263 1,198 1,256 5.4 (4.6) Worldwide 2,947 2,843 2,898 3.7 (1.9) Surgery U.S. 4,031 3,897 3,867 3.4 0.8 International 6,006 5,793 5,945 3.7 (2.6) Worldwide 10,037 9,690 9,812 3.6 (1.2) ADVANCED U.S. 1,833 1,784 1,761 2.8 1.3 International 2,837 2,785 2,861 1.9 (2.6) Worldwide 4,671 4,569 4,622 2.2 (1.1) GENERAL U.S. 2,198 2,113 2,105 4.0 0.4 International 3,168 3,008 3,085 5.3 (2.5) Worldwide 5,366 5,121 5,190 4.8 (1.3) Vision U.S. 2,086 1,990 1,857 4.8 7.2 International 2,986 2,859 2,831 4.5 1.0 Worldwide 5,072 4,849 4,688 4.6 3.4 CONTACT LENSES / OTHER U.S. 1,626 1,522 1,398 6.8 8.9 International 2,076 2,022 2,043 2.7 (1.0) Worldwide 3,702 3,543 3,440 4.5 3.0 SURGICAL U.S. 460 468 459 (1.8) 2.0 International 910 837 788 8.6 6.2 Worldwide 1,370 1,306 1,248 4.9 4.6 TOTAL MEDTECH U.S. 15,275 13,377 12,686 14.2 5.4 International 15,125 14,050 14,374 7.7 (2.3) Worldwide 30,400 27,427 27,060 10.8 1.4 Sales to Customers % Change (Dollars in Millions) 2023 2022 2021 ’23 vs. ’22 ’22 vs. ’21 WORLDWIDE U.S. 46,444 41,981 40,640 10.6 3.3 International 38,715 38,009 38,100 1.9 (0.2) Worldwide $85,159 79,990 78,740 6.5 % 1.6 *Percentage greater than 100% or not meaningful (1) Previously referred to as Pharmaceutical (2) Inclusive of RISPERDAL CONSTA which was previously disclosed separately (3) Inclusive of INVOKANA which was previously disclosed separately (4) Acquired on December 22, 2022 Income Before Tax Identifiable Assets (Dollars in Millions) 2023 (3) 2022 (4) 2021 (5) 2023 2022 Innovative Medicine $18,246 15,647 17,750 $58,324 58,436 MedTech 4,669 4,447 4,208 74,710 70,956 Total 22,915 20,094 21,958 133,034 129,392 Less: Expense not allocated to segments (1) 7,853 735 2,780 Discontinued operations — 27,237 General corporate (2) 34,524 30,749 Worldwide total $15,062 19,359 19,178 $167,558 187,378 Additions to Property, Depreciation and (Dollars in Millions) 2023 2022 2021 2023 2022 2021 Innovative Medicine $1,653 1,374 1,198 $3,847 3,687 4,029 MedTech 2,372 2,120 1,933 2,943 2,302 2,286 Segments total 4,025 3,494 3,131 6,790 5,989 6,315 Discontinued operations 162 303 314 383 641 739 General corporate 356 212 207 313 340 336 Worldwide total $4,543 4,009 3,652 $7,486 6,970 7,390 Sales to Customers Long-Lived Assets (6) (Dollars in Millions) 2023 2022 2021 2023 2022 United States $46,444 41,981 40,640 $54,832 58,750 Europe 20,410 20,664 20,595 31,616 29,878 Western Hemisphere excluding U.S. 4,549 4,108 3,927 1,491 1,289 Asia-Pacific, Africa 13,756 13,237 13,578 1,500 1,520 Segments total 85,159 79,990 78,740 89,439 91,437 Discontinued operations — 27,237 General corporate 1,192 1,081 Other non long-lived assets 76,927 67,623 Worldwide total $85,159 79,990 78,740 $167,558 187,378 See Note 1 for a description of the segments in which the Company operates. Export sales are not significant. In fiscal year 2023, the Company utilized three wholesalers distributing products for both segments that represented approximately 18.2%, 15.1% and 14.2% of the total consolidated revenues. In fiscal year 2022, the Company had three wholesalers distributing products for both segments that represented approximately 18.9%, 15.0% and 13.8% of the total consolidated revenues. In fiscal year 2021, the Company had three wholesalers distributing products for all three segments that represented approximately 16.6%, 12.6%, and 12.6% of the total consolidated revenues. (1) Amounts not allocated to segments include interest (income)/expense and general corporate (income)/expense. Fiscal 2023 includes an approximately $7 billion charge related to talc matters (See Note 19, Legal proceedings, for additional details) and $0.4 billion related to the unfavorable change in the fair value of the retained stake in Kenvue. (2) General corporate includes cash, cash equivalents and marketable securities. (3) Innovative Medicine includes: • One-time COVID-19 Vaccine manufacturing exit related costs of $0.7 billion • A restructuring related charge of $0.5 billion • Unfavorable changes in the fair value of securities of $0.4 billion • Favorable litigation related items of $0.1 billion • Loss on divestiture $0.2 billion. • An intangible asset impairment charge of approximately $0.2 billion related to market dynamics associated with a non-strategic asset (M710) acquired as part of the acquisition of Momenta Pharmaceuticals in 2020. MedTech includes: • Acquired in process research and development asset of $0.4 billion related to the Laminar acquisition in 2023 • A restructuring related charge of $0.3 billion • Acquisition and integration related costs of $0.2 billion primarily related to the acquisition of Abiomed • A Medical Device Regulation charge of $0.3 billion • Income from litigation settlements of $0.1 billion (4) Innovative Medicine includes: • One-time COVID-19 Vaccine manufacturing exit related costs of $1.5 billion • An intangible asset impairment charge of approximately $0.8 billion related to an in-process research and development asset, bermekimab (JnJ-77474462), an investigational drug for the treatment of Atopic Dermatitis (AD) and Hidradenitis Suppurativa (HS) acquired with the acquisition of XBiotech, Inc. in the fiscal year 2020. Additional information regarding efficacy of the AD and HS indications became available which led the Company to the decision to terminate the development of bermekimab for AD and HS • Litigation expense of $0.1 billion • Unfavorable changes in the fair value of securities of $0.7 billion • A restructuring related charge of $0.1 billion MedTech includes: • Litigation expense of $0.6 billion primarily for pelvic mesh related costs • A restructuring related charge of $0.3 billion • Acquisition and integration related costs of $0.3 billion primarily related to the acquisition of Abiomed • A Medical Device Regulation charge of $0.3 billion (5) Innovative Medicine includes: • Litigation expense of $0.6 billion, primarily related to Risperdal Gynecomastia • Divestiture gains of $0.6 billion • Gains of $0.5 billion related to the change in the fair value of securities • A restructuring related charge of $0.1 billion MedTech includes: • An in-process research and development expense of $0.9 billion related to Ottava • A restructuring related charge of $0.3 billion • A Medical Device Regulation charge of $0.2 billion • Litigation expense of $0.1 billion (6) Long-lived assets include property, plant and equipment, net for fiscal years 2023, and 2022 of $19,898 and $17,982, respectively, and intangible assets and goodwill, net for fiscal years 2023 and 2022 of $70,733 and $74,536, respectively. |
Acquisitions and divestitures
Acquisitions and divestitures | 12 Months Ended |
Dec. 31, 2023 | |
Business Combination and Asset Acquisition [Abstract] | |
Acquisitions and divestitures | Acquisitions and divestitures In the fiscal first quarter of 2024, the Company announced it has entered into a definitive agreement to acquire Ambrx Biopharma, Inc., or Ambrx (Nasdaq: AMAM), a clinical-stage biopharmaceutical company with a proprietary synthetic biology technology platform to design and develop next-generation antibody drug conjugates (ADCs), in an all-cash merger transaction for a total equity value of approximately $2.0 billion, or $1.9 billion net of estimated cash acquired. The Company will acquire all of the outstanding shares of Ambrx’s common stock for $28.00 per share through a merger of Ambrx with a subsidiary of the Company. The closing of the transaction is expected to occur in the first half of 2024, subject to receipt of Ambrx shareholder approval, as well as clearance under the Hart-Scott-Rodino Antitrust Improvements Act and other customary closing conditions. The Company expects that the transaction will be accounted for as a business combination and the results of operations will be included in the Innovative Medicine segment as of the acquisition date. During the fiscal year 2023, the Company did not make any acquisitions that qualified as a business combination. During the fiscal year 2023, there were asset acquisitions of in-process research and development of approximately $0.5 billion in cash, primarily consisting of the acquisition of Laminar Inc. for $0.4 billion which was closed on November 30, 2023. Laminar Inc. is a privately-held medical device company focused on eliminating the left atrial appendage (LAA) in patients with non-valvular atrial fibrillation (AFib). During the fiscal year 2022, certain businesses were acquired for $17.7 billion in cash and $1.1 billion of liabilities assumed. These acquisitions were accounted for using the acquisition method and, accordingly, results of operations have been included in the financial statements from their respective dates of acquisition. The excess of purchase price over the estimated fair value of tangible assets acquired amounted to $17.3 billion and has been assigned to identifiable intangible assets, with any residual recorded to goodwill. The fiscal year 2022 acquisitions primarily included Abiomed, Inc. (Abiomed). The remaining acquisitions were not material. On December 22, 2022, the Company completed the acquisition of Abiomed, a leading, first-to-market provider of cardiovascular medical technology with a first-in-kind portfolio for the treatment of coronary artery disease and heart failure which also has an extensive innovation pipeline of life-saving technologies. The transaction broadens the Company’s position as a growing cardiovascular innovator, advancing the standard of care in heart failure and recovery, one of healthcare’s largest areas of unmet need. The transaction was accounted for as a business combination and the results of operations were included in the MedTech segment as of the date of the acquisition. The acquisition was completed through a tender offer for all outstanding shares. The consideration paid in the acquisition consisted of an upfront payment of $380.00 per share in cash, amounting to $17.1 billion, net of cash acquired, as well as a non-tradeable contingent value right (“CVR”) entitling the holder to receive up to $35.00 per share in cash (which with respect to the CVRs total approximately $1.6 billion in the aggregate) if certain commercial and clinical milestones are achieved. The corresponding enterprise value (without taking into account the CVRs) of approximately $16.5 billion includes cash, cash equivalents and marketable securities acquired. The milestones of the CVR consist of: a. $17.50 per share, payable if net sales for Abiomed products exceeds $3.7 billion during Johnson & Johnson’s fiscal second quarter of 2027 through fiscal first quarter of 2028, or if this threshold is not met during this period and is subsequently met during any rolling four quarter period up to the end of Johnson & Johnson’s fiscal first quarter of 2029, $8.75 per share; b. $7.50 per share payable upon FDA premarket application approval of the use of Impella® products in ST-elevated myocardial infarction (STEMI) patients without cardiogenic shock by January 1, 2028; and c. $10.00 per share payable upon the first publication of a Class I recommendation for the use of Impella® products in high risk PCI or STEMI with or without cardiogenic shock within four years from their respective clinical endpoint publication dates, but in all cases no later than December 31, 2029. During the fiscal fourth quarter of 2023, the Company finalized the purchase price allocation. In the fiscal 2023, there were purchase price allocation adjustments netting to approximately $0.2 billion with an offsetting increase to goodwill. The fair value of the acquisition was allocated to assets acquired of $20.1 billion (net of $0.3 billion cash acquired), primarily to goodwill for $11.1 billion, amortizable intangible assets for $6.6 billion, IPR&D for $1.1 billion, marketable securities of $0.6 billion and liabilities assumed of $3.0 billion, which includes the fair value of the contingent consideration mentioned above for $0.7 billion and deferred taxes of $2.0 billion. The goodwill is primarily attributable to the commercial acceleration and expansion of the portfolio and is not expected to be deductible for tax purposes. The contingent consideration was recorded in Other Liabilities and adjusted to fair value through the fiscal year end 2023 on the Consolidated Balance Sheet. The amortizable intangible assets were primarily comprised of already in-market products of the Impella® platform with an average weighted life of 14 years. The IPR&D assets were valued for technology programs for unapproved products. The value of the IPR&D was calculated using probability-adjusted cash flow projections discounted for the risk inherent in such projects. The probability of success factor ranged from 52% to 70%. The discount rate applied was 9.5%. In 2023, the Company recorded acquisition related costs before tax of approximately $0.2 billion, which was primarily recorded in Other (income)/expense. In 2022, the Company recorded acquisition related costs before tax of approximately $0.3 billion, which was recorded in Other (income)/expense. During fiscal year 2021, the Company did not make any material acquisitions that qualified as a business combination. In accordance with U.S. GAAP standards related to business combinations, and goodwill and other intangible assets, supplemental pro forma information for fiscal years 2023, 2022 and 2021 is not provided, as the impact of the aforementioned acquisitions did not have a material effect on the Company’s results of operations. Divestitures During the fiscal year 2023, the Company executed divestitures resulting in approximately $0.2 billion in proceeds resulting in gains or losses that were not material. At fiscal year end 2023, the Company held assets, primarily intangibles, on its Consolidated Balance Sheet that it expects to divest of approximately $0.3 billion primarily related to Acclarent and Ponvory. During fiscal year 2022, the Company did not make any material divestitures. During fiscal year 2021, in separate transactions, the Company divested two brands outside the U.S. within the Innovative Medicine segment. The Company recognized a pre-tax gain recorded in Other (income) expense, net, of approximately $0.6 billion. |
Legal proceedings
Legal proceedings | 12 Months Ended |
Dec. 31, 2023 | |
Commitments and Contingencies Disclosure [Abstract] | |
Legal proceedings | Legal proceedings Johnson & Johnson and certain of its subsidiaries are involved in various lawsuits and claims regarding product liability; intellectual property; commercial; indemnification and other matters; governmental investigations; and other legal proceedings that arise from time to time in the ordinary course of their business. The Company records accruals for loss contingencies associated with these legal matters when it is probable that a liability In the Company’s opinion, based on its examination of these matters, its experience to date and discussions with counsel, the ultimate outcome of legal proceedings, net of liabilities accrued in the Company’s balance sheet, is not expected to have a material adverse effect on the Company’s financial position. However, the resolution of, or increase in accruals for, one or more of these matters in any reporting period may have a material adverse effect on the Company’s results of operations and cash flows for that period. Matters concerning talc A significant number of personal injury claims alleging that talc causes cancer have been asserted against Johnson & Johnson Consumer Inc., its successor LTL Management LLC (now known as LLT Management LLC) and the Company arising out of the use of body powders containing talc, primarily JOHNSON’S Baby Powder. In talc cases that previously have gone to trial, the Company has obtained a number of defense verdicts, but there also have been verdicts against the Company, many of which have been reversed on appeal. In June 2020, the Missouri Court of Appeals reversed in part and affirmed in part a July 2018 verdict of $4.7 billion in Ingham v. Johnson & Johnson, et al., No. ED 207476 (Mo. App.), reducing the overall award to $2.1 billion. An application for transfer of the case to the Missouri Supreme Court was subsequently denied and in June 2021, a petition for certiorari, seeking a review of the Ingham decision by the United States Supreme Court, was denied. In June 2021, the Company paid the award, which, including interest, totaled approximately $2.5 billion. The facts and circumstances, including the terms of the award, were unique to the Ingham decision and not representative of other claims brought against the Company. The Company continues to believe that it has strong legal grounds to contest the other talc verdicts that it has appealed. Notwithstanding the Company’s confidence in the safety of its talc products, in certain circumstances the Company has settled cases. In October 2021, Johnson & Johnson Consumer Inc. (Old JJCI) implemented a corporate restructuring (the 2021 Corporate Restructuring). As a result of that restructuring, Old JJCI ceased to exist and three new entities were created: (a) LTL Management LLC, a North Carolina limited liability company (LTL or Debtor); (b) Royalty A&M LLC, a North Carolina limited liability company and a direct subsidiary of LTL (RAM); and (c) the Debtor’s direct parent, Johnson & Johnson Consumer Inc., a New Jersey company (New JJCI). The Debtor received certain of Old JJCI’s assets and became solely responsible for the talc-related liabilities of Old JJCI, including all liabilities related in any way to injury or damage, or alleged injury or damage, sustained or incurred in the purchase or use of, or exposure to, talc, including talc contained in any product, or to the risk of, or responsibility for, any such damage or injury, except for any liabilities for which the exclusive remedy is provided under a workers’ compensation statute or act (the Talc-Related Liabilities). In October 2021, notwithstanding the Company’s confidence in the safety of its talc products, the Debtor filed a voluntary petition with the United States Bankruptcy Court for the Western District of North Carolina, Charlotte Division, seeking relief under chapter 11 of the Bankruptcy Code (the LTL Bankruptcy Case). All litigation against LTL, Old JJCI, New JJCI, the Company, other of their corporate affiliates, identified retailers, insurance companies, and certain other parties (the Protected Parties) was stayed, although LTL did agree to lift the stay on a small number of appeals where appeal bonds had been filed. The LTL Bankruptcy Case was transferred to the United States Bankruptcy Court for the District of New Jersey. Claimants filed motions to dismiss the LTL Bankruptcy Case and, following a multiple day hearing, the New Jersey Bankruptcy Court denied those motions in March 2022. The claimants subsequently filed notices of appeal as to the denial of the motions to dismiss the LTL Bankruptcy Case and the extension of the stay to the Protected Parties. On January 30, 2023, the Third Circuit reversed the Bankruptcy Court’s ruling and remanded to the Bankruptcy Court to dismiss the LTL bankruptcy. LTL filed a petition for rehearing of the Third Circuit’s decision, which was denied in March 2023. LTL subsequently filed a motion in the Third Circuit to stay the mandate directing the New Jersey Bankruptcy Court to dismiss the LTL bankruptcy pending filing and disposition of a petition for writ of certiorari to the United States Supreme Court. The Third Circuit denied the motion to stay the mandate and issued the mandate. In April 2023, the New Jersey Bankruptcy Court dismissed the LTL Bankruptcy Case, effectively lifting the stay as to all parties and returning the talc litigation to the tort system. LTL re-filed in the United States Bankruptcy Court for the District of New Jersey seeking relief under chapter 11 of the Bankruptcy Code (the LTL 2 Bankruptcy Case). As a result of the new filing, all talc claims against LTL were again automatically stayed pursuant to section 362 of the Bankruptcy Code. Additionally, the New Jersey Bankruptcy Court issued a temporary restraining order staying all litigation as to LTL, Old JJCI, New JJCI, the Company, identified retailers, and certain other parties (the New Protected Parties). Also in April 2023, the New Jersey Bankruptcy Court issued a decision that granted limited injunctive relief to the Company and the New Protected Parties (the LTL 2 Preliminary Injunction). The LTL 2 Preliminary Injunction remained in force until late August 2023, following the Bankruptcy Court’s extension of the initial LTL 2 Preliminary Injunction in June 2023. Under the LTL 2 Preliminary Injunction, except for in those cases filed in the federal court ovarian cancer multi-district litigation, discovery in all personal injury and wrongful death matters was permitted to proceed. Furthermore, in April 2023, the Talc Claimants' Committee filed a motion to dismiss the LTL 2 Bankruptcy followed by similar motions from other claimants. Hearings on the motions to dismiss occurred in June 2023. On July 28, 2023, the court dismissed the LTL 2 Bankruptcy case and, the same day, the Company stated its intent to appeal the decision and to continue its efforts to obtain a resolution of the talc claims. In September 2023, the Bankruptcy Court entered an order granting LTL leave to seek a direct appeal to the Third Circuit Court of Appeals. In October 2023, the Third Circuit granted LTL’s petition for a direct appeal. Briefing is ongoing. Following the dismissal of LTL 2, new lawsuits were filed and cases across the country that had been stayed were reactivated. The majority of the cases are pending in federal court, organized in a multi-district litigation (MDL) in the United States District Court for the District of New Jersey. In the MDL, case-specific discovery is proceeding with an expectation that a trial will occur in early 2025. Separately, discovery and pre-trial activity is underway in various individually filed and set cases around the country, with most activity for such cases centralized in New Jersey and California. In the original bankruptcy case, the Company agreed to provide funding to LTL for the payment of amounts the New Jersey Bankruptcy Court determines are owed by LTL and the establishment of a $2 billion trust in furtherance of this purpose. The Company established a reserve for approximately $2 billion in connection with the aforementioned trust. During the bankruptcy proceedings LTL had been de-consolidated by the Company. In the LTL 2 Bankruptcy Case, the Company had agreed to contribute an additional amount which, when added to the prior $2 billion, would be a total reserve of approximately $9 billion payable over 25 years (nominal value approximately $12 billion discounted at a rate of 4.41%), to resolve all the current and future talc claims. The approximate $9 billion reserve encompasses actual and contemplated settlements, of which approximately one-third is recorded as a current liability. The recorded amount remains the Company’s best estimate of probable loss after the dismissal. The parties have not yet reached a resolution of all talc matters and the Company is unable to estimate the possible loss or range of loss beyond the amount accrued. A class action advancing claims relating to industrial talc was filed against the Company and others in New Jersey state court in May 2022 (the Edley Class Action). The Edley Class Action asserts, among other things, that the Company fraudulently defended past asbestos personal injury lawsuits arising from exposure to industrial talc mined, milled, and manufactured before January 6, 1989 by the Company’s then wholly owned subsidiary, Windsor Minerals, Inc., which is currently a debtor in the Imerys Bankruptcy described hereafter. The Company removed the Edley Class Action to federal court in the District of New Jersey. In October 2022, the Company filed motions to dismiss and to deny certification of a class to pursue the Edley Class Action in the New Jersey District Court. Argument on the motions was heard in November 2023. Thereafter, the Company resolved this matter. In February 2019, the Company’s talc supplier, Imerys Talc America, Inc. and two of its affiliates, Imerys Talc Vermont, Inc. and Imerys Talc Canada, Inc. (collectively, Imerys) filed a voluntary petition for relief under chapter 11 of the United States Code (the Bankruptcy Code) in the United States Bankruptcy Court for the District of Delaware (Imerys Bankruptcy). The Imerys Bankruptcy relates to Imerys’s potential liability for personal injury from exposure to talcum powder sold by Imerys. In its bankruptcy, Imerys alleges it has claims against the Company for indemnification and rights to joint insurance proceeds. In its bankruptcy, Imerys proposed a chapter 11 plan (the Imerys Plan) that contemplated all talc-related claims against it being channeled to a trust along with its alleged indemnification rights against the Company. Following confirmation and consummation of the plan, the trust would pay talc claims pursuant to proposed trust distribution procedures (the TDP) and then seek indemnification from the Company. In February 2021, Cyprus Mines Corporation (Cyprus), which had owned certain Imerys talc mines, filed a voluntary petition for relief under chapter 11 of the Bankruptcy Code and filed its Disclosure Statement and Plan (the Cyprus Plan). The Cyprus Plan contemplates a settlement with Imerys and talc claimants where Cyprus would make a monetary contribution to a trust established under the Imerys Plan in exchange for an injunction against talc claims asserted against it and certain affiliated parties. The Imerys Plan proceeded to solicitation in early 2021. However, the Imerys Plan did not receive the requisite number of votes to be confirmed after the Bankruptcy Court ruled certain votes cast in favor of the Imerys Plan should be disregarded. Imerys subsequently canceled its confirmation hearing. Imerys, the Imerys Tort Claimants’ Committee, and the Imerys Future Claimants’ Representative, along with Cyprus, the Cyprus Tort Claimants’ Committee, and the Cyprus Future Claimants’ Representative (collectively the Mediation Parties) have been engaged in mediation since shortly after the confirmation hearing was canceled in October 2021. In September 2023, the Bankruptcy Court entered an order extending the term of the mediation among the Mediation Parties through the end of December 2023. The Bankruptcy Court also authorized Imerys and Cyprus to proceed with mediation with certain of their insurers through the end of December 2023. In September 2023, Imerys and Cyprus filed amended plans of reorganization. The amended plans contemplate a similar construct as the prior Imerys and Cyprus Plans, including all talc claims against Imerys and Cyprus (and certain other protected parties) being channeled to a trust along with Imerys’s and Cyprus’s alleged indemnification rights against the Company. In January 2024, Imerys and Cyprus filed revised TDP. In February 2024, Imerys and Cyprus filed certain motions related to their Disclosure Statement. In February 2018, a securities class action lawsuit was filed against the Company and certain named officers in the United States District Court for the District of New Jersey, alleging that the Company violated the federal securities laws by failing to disclose alleged asbestos contamination in body powders containing talc, primarily JOHNSON’S Baby Powder, and that purchasers of the Company’s shares suffered losses as a result. In April 2019, the Company moved to dismiss the complaint. In December 2019, the Court denied, in part, the motion to dismiss. In April 2021, briefing on Plaintiff’s motion for class certification was completed. The case was stayed in May 2022 pursuant to the LTL Bankruptcy Case and was reopened in May 2023. In December 2023, the Court granted Plaintiff’s motion for class certification. In January 2024, Defendants filed a petition with the Third Circuit under Federal Rule of Civil Procedure 23(f) for permission to appeal the Court’s order granting class certification. Fact discovery is proceeding. A lawsuit was brought against the Company in the Superior Court of California for the County of San Diego alleging violations of California’s Consumer Legal Remedies Act (CLRA) relating to JOHNSON’S Baby Powder. In that lawsuit, the plaintiffs allege that the Company violated the CLRA by failing to provide required Proposition 65 warnings. In July 2019, the Company filed a notice of removal to the United States District Court for the Southern District of California and plaintiffs filed a second amended complaint shortly thereafter. In October 2019, the Company moved to dismiss the second amended complaint for failure to state a claim upon which relief may be granted. In response to those motions, plaintiffs filed a third amended complaint. In December 2019, the Company moved to dismiss the third amended complaint for failure to state a claim upon which relief may be granted. In April 2020, the Court granted the motion to dismiss but granted leave to amend. In May 2020, plaintiffs filed a Fourth Amended Complaint but indicated that they would be filing a motion for leave to file a fifth amended complaint. Plaintiffs filed a Fifth Amended Complaint in August 2020. The Company moved to dismiss the Fifth Amended Complaint for failure to state a claim upon which relief may be granted. In January 2021, the Court issued an Order and opinion ruling in the Company’s favor and granting the motion to dismiss with prejudice. In February 2021, Plaintiffs filed a Notice of Appeal with the Ninth Circuit. Plaintiffs filed their opening brief in July 2021. The company filed its responsive brief in October 2021. After the Notice of Suggestion of Bankruptcy was filed with the Ninth Circuit, a stay was imposed, and the Court held the reply deadline in abeyance. In September 2023, the stay lifted. With briefing complete, the Court is expected to either schedule oral argument or issue its decision at any time. In June 2014, the Mississippi Attorney General filed a complaint in Chancery Court of The First Judicial District of Hinds County, Mississippi against the Company and Johnson & Johnson Consumer Companies, Inc. (now known as Johnson & Johnson Consumer Inc.) (collectively, JJCI). The complaint alleges that JJCI violated the Mississippi Consumer Protection Act by failing to disclose alleged health risks associated with female consumers’ use of talc contained in JOHNSON’S Baby Powder and JOHNSON’S Shower to Shower (a product divested in 2012) and seeks injunctive and monetary relief. In February 2022, the trial court set the case for trial to begin in February 2023. However, in October 2022, the LTL bankruptcy court issued an order staying the case. In March 2023, the Third Circuit issued the mandate to dismiss the LTL Bankruptcy Case and in April 2023, the New Jersey Bankruptcy Court dismissed the LTL Bankruptcy Case, effectively lifting the stay as to this matter. The State requested a new trial setting. Later in April 2023, the trial court set a new trial date for April 2024. The Company filed summary judgment and Daubert motions. The State filed a limited Daubert motion. The parties agreed to the Court's request for mediation. A pretrial conference is set for February 2024 and trial is scheduled for April 2024. However, the Company is actively engaged in resolution discussions concerning this matter. In January 2020, the State of New Mexico filed a consumer protection case alleging that the Company deceptively marketed and sold its talcum powder products by making misrepresentations about the safety of the products and the presence of carcinogens, including asbestos. In March 2022, the New Mexico court denied the Company’s motion to compel the State of New Mexico to engage in discovery of state agencies and denied the Company’s request for interlocutory appeal of that decision. The Company then filed a Petition for Writ of Superintending Control and a Request for a Stay to the New Mexico Supreme Court on the issue of the State of New Mexico’s discovery obligations. In April 2022, in view of the efforts to resolve talc-related claims in the LTL Bankruptcy Case, the Company and the State agreed to a 60-day stay of all matters except for the pending writ before the New Mexico Supreme Court, which expired in June 2022. Thereafter, the Company moved to enjoin prosecution of the case in the LTL Bankruptcy Case. In October 2022, the bankruptcy court issued an order staying the case. In December 2022, the State filed an appeal to the Third Circuit concerning the stay order. Separately, in September 2022, the New Mexico Supreme Court granted the Company's request for a stay pending further briefing on the scope of the State of New Mexico’s discovery obligations. In March 2023, the Third Circuit issued the mandate to dismiss the LTL Bankruptcy Case and in April 2023, the New Jersey Bankruptcy Court dismissed the LTL Bankruptcy Case, effectively lifting the stay as to this matter. While the State notified the New Mexico Supreme Court of the lifted stay of litigation in April 2023, the Court has not taken any action since being notified of the lifting of the stay and it remains in effect. Forty-two states and the District of Columbia (including Mississippi and New Mexico) have commenced a joint investigation into the Company’s marketing of its talcum powder products. At this time, the multi-state group has not asserted any claims against the Company. Five states have issued Civil Investigative Demands seeking documents and other information. The Company has produced documents to Arizona, North Carolina, Texas, and Washington and entered into confidentiality agreements. The Company has not received any follow up requests from those states. In March 2022, each of the forty-two states agreed to mediation of their claims in the LTL Bankruptcy Case. In July 2022, New Mexico and Mississippi indicated they would no longer voluntarily submit to further mediation in the LTL Bankruptcy and would proceed with their respective cases in state court. In March 2023, the mediation was terminated. In January 2024, the Company reached an agreement in principle with the multi-state group of state Attorneys General, subject to ongoing negotiation of non-monetary terms. The unique procedural history and status of the New Mexico and Mississippi matters specifically have been discussed above. In addition, the Company has received inquiries, subpoenas, and requests to produce documents regarding talc matters and the LTL Bankruptcy Case from various governmental authorities. The Company has produced documents and responded to inquiries, and will continue to cooperate with government inquiries. Matters concerning opioids Beginning in 2014 and continuing to the present, the Company and Janssen Pharmaceuticals, Inc. (JPI), along with other pharmaceutical companies, have been named in close to 3,500 lawsuits related to the marketing of opioids, including DURAGESIC, NUCYNTA and NUCYNTA ER. The majority of the cases have been filed by state and local governments. Similar lawsuits have also been filed by private plaintiffs and organizations, including but not limited to the following: individual plaintiffs on behalf of children born with Neonatal Abstinence Syndrome (NAS); hospitals; and health insurers/payors. To date, the Company and JPI have litigated two of the cases to judgment and have prevailed in both, either at trial or on appeal. In October 2019, the Company announced a proposed agreement in principle with a negotiating committee of state Attorneys General to settle all remaining government opioid litigation claims nationwide. Under the final national settlement agreement, which was announced in July 2021, the Company agreed to pay up to $5.0 billion to resolve all opioid lawsuits and future opioid claims by states, cities, counties, local school districts and other special districts, and tribal governments, contingent on sufficient participation by eligible government entities, and with credits back for entities that declined or were ineligible to participate. In July 2021, the Company announced that the terms of the agreement to settle the state and subdivision claims had been finalized and approximately 60% of the all-in settlement was paid by the end of fiscal 2023. The expected payment schedule provides that approximately $0.7 billion of payments are to be paid by the end of fiscal 2024. The agreement is not an admission of liability or wrongdoing, and it provides for the release of all opioid-related claims against the Company, JPI, and their affiliates (including the Company’s former subsidiaries Tasmanian Alkaloids Pty, Ltd. and Noramco, Inc.). As of January 2024, the Company and JPI have settled or otherwise resolved the opioid claims advanced by all government entity claimants except the City of Baltimore, a number of school districts and other claimants. The Company and JPI continue to defend the cases brought by the remaining government entity litigants as well as the cases brought by private litigants, including NAS claimants, hospitals, and health insurers/payors. Counting the private litigant cases, there are approximately 35 remaining opioid cases against the Company and JPI in various state courts, 430 remaining cases in the Ohio MDL, and 4 additional cases in other federal courts. Some of these cases have been dismissed and are being appealed by the plaintiffs and certain others are scheduled for trial in 2024 or 2025. In addition, the Province of British Columbia filed suit against the Company and its Canadian affiliate Janssen Inc., and many other industry members, in Canada, and is seeking to have that action certified as an opt in class action on behalf of other provincial/territorial and the federal governments in Canada. Additional proposed class actions have been filed in Canada against the Company and Janssen Inc., and many other industry members, by and on behalf of people who used opioids (for personal injuries), municipalities and First Nations bands. These actions allege a variety of claims related to opioid marketing practices, including false advertising, unfair competition, public nuisance, consumer fraud violations, deceptive acts and practices, false claims and unjust enrichment. An adverse judgment in any of these lawsuits could result in the imposition of large monetary penalties and significant damages including, punitive damages, cost of abatement, substantial fines, equitable remedies and other sanctions. From June 2017 through December 2019, the Company’s Board of Directors received a series of shareholder demand letters alleging breaches of fiduciary duties related to the marketing of opioids. The Board retained independent counsel to investigate the allegations in the demands, and in April 2020, independent counsel delivered a report to the Board recommending that the Company reject the shareholder demands and take the steps that are necessary or appropriate to secure dismissal of related derivative litigation. The Board unanimously adopted the recommendations of the independent counsel’s report. In November 2019, one of the shareholders who sent a demand filed a derivative complaint against the Company as the nominal defendant and certain current and former directors and officers as defendants in the Superior Court of New Jersey. The complaint alleges breaches of fiduciary duties related to the marketing of opioids, and that the Company has suffered damages as a result of those alleged breaches. A series of additional derivative complaints making similar allegations against the same and similar defendants were filed in New Jersey state and federal courts in 2019 and 2020. By 2022, all but two state court cases had been voluntarily dismissed. In February 2022, the state court granted the Company’s motion to dismiss one of the two cases, and the shareholder that brought the second case filed a notice of dismissal. The shareholder whose complaint was dismissed filed a motion for reconsideration. In May 2022, the state court held oral argument on the motion for reconsideration and subsequently denied the motion. The shareholder has appealed the state court’s dismissal order. Product liability The Company and certain of its subsidiaries are involved in numerous product liability claims and lawsuits involving multiple products. Claimants in these cases seek substantial compensatory and, where available, punitive damages. While the Company believes it has substantial defenses, it is not feasible to predict the ultimate outcome of litigation. From time to time, even if it has substantial defenses, the Company considers isolated settlements based on a variety of circumstances. The Company has accrued for these matters and will continue to monitor each related legal issue and adjust accruals as might be warranted based on new information and further developments in accordance with ASC 450-20-25, Contingencies. The Company accrues an estimate of the legal defense costs needed to defend each matter when those costs are probable and can be reasonably estimated. For certain of these matters, the Company has accrued additional amounts such as estimated costs associated with settlements, damages and other losses. Product liability accruals can represent projected product liability for thousands of claims around the world, each in different litigation environments and with different fact patterns. Changes to the accruals may be required in the future as additional information becomes available. The table below contains the most significant of these cases and provides the approximate number of plaintiffs in the United States with direct claims in pending lawsuits regarding injuries allegedly due to the relevant product or product category as of December 31, 2023: Product or product category Number of plaintiffs Body powders containing talc, primarily JOHNSON’S Baby Powder 59,140 DePuy ASR XL Acetabular System and DePuy ASR Hip Resurfacing System 160 PINNACLE Acetabular Cup System 920 Pelvic meshes 6,720 ETHICON PHYSIOMESH Flexible Composite Mesh 370 RISPERDAL 200 ELMIRON 2,150 The number of pending lawsuits is expected to fluctuate as certain lawsuits are settled or dismissed and additional lawsuits are filed. There may be additional claims that have not yet been filed. MedTech DePuy ASR XL Acetabular System and ASR Hip Resurfacing System In August 2010, DePuy Orthopaedics, Inc. (DePuy) announced a worldwide voluntary recall of its ASR XL Acetabular System and DePuy ASR Hip Resurfacing System (ASR Hip) used in hip replacement surgery. Claims for personal injury have been made against DePuy and the Company. Cases filed in federal courts in the United States have been organized as a multi-district litigation in the United States District Court for the Northern District of Ohio. Litigation has also been filed in countries outside of the United States, primarily in the United Kingdom, Canada, Australia, Ireland, Germany, India and Italy. In November 2013, DePuy reached an agreement with a Court-appointed committee of lawyers representing ASR Hip plaintiffs to establish a program to settle claims with eligible ASR Hip patients in the United States who had surgery to replace their ASR Hips, known as revision surgery, as of August 2013. DePuy reached additional agreements in February 2015 and March 2017, which further extended the settlement program to include ASR Hip patients who had revision surgeries after August 2013 and prior to February 15, 2017. This settlement program has resolved more than 10,000 claims, thereby bringing to resolution significant ASR Hip litigation activity in the United States. However, lawsuits in the United States remain, and the settlement program does not address litigation outside of the United States. In Australia, a class action settlement was reached that resolved the claims of the majority of ASR Hip patients in that country. In Canada, the Company has reached agreements to settle the class actions filed in that country. The Company continues to receive information with respect to potential additional costs associated with this recall on a worldwide basis. The Company has established accruals for the costs associated with the United States settlement program and ASR Hip-related product liability litigation. DePuy PINNACLE Acetabular Cup System Claims for personal injury have also been made against DePuy Orthopaedics, Inc. and the Company (collectively, DePuy) relating to the PINNACLE Acetabular Cup System used in hip replacement surgery. Product liability lawsuits continue to be filed, and the Company continues to receive information with respect to potential costs and the anticipated number of cases. Most cases filed in federal courts in the United States have been organized as a multi-district litigation in the United States District Court for the Northern District of Texas (Texas MDL). Beginning on June 1, 2022, the Judicial Panel on Multidistrict Litigation ceased transfer of new cases into the Texas MDL, and there are now cases pending in federal court outside the Texas MDL. Litigation also has been filed in state courts and in countries outside of the United States. During the first quarter of 2019, DePuy established a United States settlement program to resolve these cases. As part of the settlement program, adverse verdicts have been settled. The Company has established an accrual for product liability litigation associated with the PINNACLE Acetabular Cup System and the related settlement program. Ethicon Pelvic Mesh Claims for personal injury have been made against Ethicon, Inc. (Ethicon) and the Company arising out of Ethicon’s pelvic mesh devices used to treat stress urinary incontinence and pelvic organ prolapse. The Company continues to receive information with respect to potential costs and additional cases. Cases filed in federal courts in the United States had been organized as a multi-district litigation (MDL) in the United States District Court for the Southern District of West Virginia. In March 2021, the MDL Court entered an order closing the MDL. The MDL Court has remanded cases for trial to the jurisdictions where the case was originally filed and additional pelvic mesh lawsuits have been filed, and remain, outside of the MDL. The Company has settled or otherwise resolved the majority of the United States cases and the estimated costs associated with these settlements and the remaining cases are reflected in the Company’s accruals. In addition, class actions and individual personal injury cases or claims seeking damages for alleged injury resulting from Ethicon’s pelvic mesh devices have been commenced in various countries outside of the United States, including claims and cases in the United Kingdom, the Netherlands, Belgium, France, Ireland, Italy, Spain and Slovenia and class acti |
Restructuring
Restructuring | 12 Months Ended |
Dec. 31, 2023 | |
Restructuring and Related Activities [Abstract] | |
Restructuring | Restructuring In fiscal 2023, the Company commenced restructuring actions within its Innovative Medicine and MedTech segments. The amounts and details of the current year programs are included below. In fiscal 2023, the Company completed a prioritization of its research and development (R&D) investment within its Innovative Medicine segment to focus on the most promising medicines with the greatest benefit to patients. This resulted in the exit of certain programs within certain therapeutic areas. The R&D program exits are primarily in infectious diseases and vaccines including the discontinuation of its respiratory syncytial virus (RSV) adult vaccine program, hepatitis and HIV development. Pre- tax Restructuring expenses of $479 million in the fiscal year 2023, included the termination of partnered and non-partnered development program costs and asset impairments. The estimated costs of these total activities is between $500 million - $600 million and is expected to be completed by the end of fiscal year 2024. In fiscal 2023, the Company initiated a restructuring program of its Orthopaedics franchise within the MedTech segment to streamline operations by exiting certain markets, product lines and distribution network arrangements. The pre-tax restructuring expense of $319 million in the fiscal year 2023 primarily included inventory and instrument charges related to market and product exits. The estimated costs of the total program are between $700 million - $800 million and is expected to be completed by the end of fiscal year 2025. The following table summarizes the restructuring expenses for the fiscal year 2023: (Pre-tax Dollars in Millions) 2023 Innovative Medicine Segment (1) $479 MedTech Segment (2) 319 Total Programs $798 (1) Included $449 million in Restructuring and $30 million in Cost of products sold on the Consolidated Statement of Earnings (2) Included $40 million in Restructuring and $279 million in Cost of products sold on the Consolidated Statement of Earnings Restructuring reserves as of December 31, 2023 and January 1, 2023 were insignificant. |
Kenvue separation and discontin
Kenvue separation and discontinued operations | 12 Months Ended |
Dec. 31, 2023 | |
Discontinued Operations and Disposal Groups [Abstract] | |
Kenvue separation and discontinued operations | Kenvue separation and discontinued operations On May 8, 2023, Kenvue, completed an initial public offering (the IPO) resulting in the issuance of 198,734,444 shares of its common stock, par value $0.01 per share (the “Kenvue Common Stock”), at an initial public offering of $22.00 per share for net proceeds of $4.2 billion. The excess of the net proceeds from the IPO over the net book value of the Johnson & Johnson divested interest was $2.5 billion and was recorded to additional paid-in capital. As of the closing of the IPO, Johnson & Johnson owned approximately 89.6% of the total outstanding shares of Kenvue Common Stock and at July 2, 2023, the non-controlling interest of $1.3 billion associated with Kenvue was reflected in equity attributable to non-controlling interests in the consolidated balance sheet in the fiscal second quarter of 2023. On August 23, 2023, Johnson & Johnson completed the disposition of an additional 80.1% ownership of Kenvue Common Stock through an exchange offer, which resulted in Johnson & Johnson acquiring 190,955,436 shares of the Company’s common stock in exchange for 1,533,830,450 shares of Kenvue Common Stock. The $31.4 billion of Johnson & Johnson common stock received in the exchange offer is recorded in Treasury stock. Following the exchange offer, the Company owns 9.5% of the total outstanding shares of Kenvue Common Stock that was recorded in other assets within continuing operations at the fair market value of $4.3 billion as of August 23, 2023. Subsequent changes are reflected in other income/expense and amounted to $0.4 billion expense through December 31, 2023. Johnson & Johnson divested net assets of $11.6 billion as of August 23, 2023, and the accumulated other comprehensive loss attributable to the Consumer Health business at that date was $4.3 billion. Additionally, at the date of the exchange offer, Johnson & Johnson decreased the non-controlling interest by $1.2 billion to record the deconsolidation of Kenvue. This resulted in a non-cash gain on the exchange offer of $21.0 billion that was recorded in Net earnings from discontinued operations, net of taxes in the consolidated statements of earnings for the fiscal third quarter of 2023. This one-time gain includes a gain of $2.8 billion on the Kenvue Common Stock retained by Johnson & Johnson. The gain on the exchange offer qualifies as a tax-free transaction for U.S. federal income tax purposes. Also in connection with the separation, Johnson & Johnson and Kenvue entered into a separation agreement and also entered into various other agreements that provide for certain transactions to effect the transfer of the assets and liabilities of the Consumer Health business to Kenvue and to govern various interim and ongoing relationships between Kenvue and Johnson & Johnson following the completion of the Kenvue IPO, including transition services agreements (TSAs), transition manufacturing agreements (TMAs), trademark agreements, intellectual property agreements, an employee matters agreement, and a tax matters agreement. Under the TSAs, Johnson & Johnson will provide Kenvue various services and, similarly, Kenvue will provide Johnson & Johnson various services. The provision of services under the TSAs generally will terminate within 24 months following the Kenvue IPO. Additionally, Johnson & Johnson and Kenvue entered into TMAs pursuant to which Johnson & Johnson will manufacture and supply to Kenvue certain products and, similarly, Kenvue will manufacture and supply to Johnson & Johnson certain products. The terms of the TMAs range in initial duration from 3 months to 5 years. Amounts related to the TSAs and TMAs included in the consolidated statements of earnings were immaterial for the fiscal year 2023. Additionally, the amounts due to and from Kenvue for the above agreements was not material as of December 31, 2023. The results of the Consumer Health business (previously reported as a separate business segment), as well as the associated gain, have been reflected as discontinued operations in the Company’s consolidated statements of earnings as Net earnings from discontinued operations, net of taxes. Prior periods have been recast to reflect this presentation. As a result of the separation of Kenvue, Johnson & Johnson incurred separation costs of $986 million, $1,089 million and $67 million in the fiscal years 2023, 2022 and 2021, respectively, which are also included in Net earnings from discontinued operations, net of taxes. These costs were primarily related to external advisory, legal, accounting, contractor and other incremental costs directly related to separation activities. In the fiscal 2022, as part of the planned separation of the Company’s Consumer Health business, the Company recognized approximately $0.5 billion in net incremental tax costs. As of January 1, 2023, the assets and liabilities associated with the Consumer Health business were classified as assets and liabilities of discontinued operations in the consolidated balance sheets. Details of Net Earnings from Discontinued Operations, net of taxes are as follows: (Dollars in Millions) 2023 (1) 2022 2021 Sales to customers $10,036 14,953 15,035 Cost of products sold 4,369 6,494 6,452 Gross profit 5,667 8,459 8,583 Selling, marketing and administrative expenses 3,085 4,519 4,542 Research and development expense 258 468 437 Interest Income (117) — — Interest expense, net of portion capitalized 199 — — Other (income) expense, net 1,092 1,060 (37) (Gain) on separation of Kenvue (20,984) — — Restructuring — 46 43 Earnings from Discontinued Operations Before Provision for Taxes on Income 22,134 2,366 3,598 Provision for taxes on income 307 795 521 Net earnings from Discontinued Operations $21,827 1,571 3,077 (1) The Company ceased consolidating the results of the Consumer Health business on August 23, 2023, the date of the exchange offer, but continued to reflect any separation costs incurred as part of discontinued operations through the end of the fiscal fourth quarter. The following table presents depreciation, amortization and capital expenditures of the discontinued operations related to Kenvue: (Dollars in Millions) 2023 (1) 2022 2021 Depreciation and Amortization $383 641 739 Capital expenditures $162 303 314 Details of assets and liabilities of discontinued operations were as follows: January 1, 2023 Assets Cash and cash equivalents $1,238 Accounts receivable trade, less allowances for doubtful accounts 2,121 Inventories 2,215 Prepaid expenses and other receivables 256 Total current assets of discontinued operations 5,830 Property, plant and equipment, net 1,821 Intangible assets, net 9,836 Goodwill 9,184 Deferred taxes on income 176 Other assets 390 Total noncurrent assets of discontinued operations $21,407 Liabilities Loans and notes payable $15 Accounts payable 1,814 Accrued liabilities including accrued taxes on income 644 Accrued rebates, returns and promotions 838 Accrued compensation and employee related obligations 279 Total current liabilities of discontinued operations 3,590 Long-term debt 2 Deferred taxes on income 2,383 Employee related obligations 225 Other liabilities 291 Total noncurrent liabilities of discontinued operations $2,901 |
Selected quarterly financial da
Selected quarterly financial data (unaudited) | 12 Months Ended |
Dec. 31, 2023 | |
Selected Quarterly Financial Information [Abstract] | |
Selected quarterly financial data (unaudited) | Selected quarterly financial data (unaudited) Selected unaudited quarterly financial data has been recast for discontinued operations for the years 2023 and 2022 and is summarized below: 2023 2022 (Dollars in Millions Except Per Share Data) First Quarter (1) Second Quarter Third Quarter (2) Fourth Quarter (3) First Quarter (4) Second Quarter Third Quarter Fourth Quarter (5) Segment sales to customers Innovative Medicine $13,413 13,731 13,893 13,722 12,869 13,317 13,214 13,163 MedTech 7,481 7,788 7,458 7,673 6,971 6,898 6,782 6,776 Total sales 20,894 21,519 21,351 21,395 19,840 20,215 19,996 19,939 Gross profit 14,207 15,057 14,745 14,597 13,822 13,893 13,824 13,855 Earnings (Loss) before provision for taxes on income (1,287) 6,306 5,217 4,826 5,203 5,144 5,172 3,840 Net earnings (loss) from continuing operations (491) 5,376 4,309 4,132 4,571 4,262 4,310 3,227 Net earnings (loss) from discontinued operations, net of tax 423 (232) 21,719 (83) 578 552 148 293 Net earnings (loss) (68) 5,144 26,028 4,049 5,149 4,814 4,458 3,520 Basic net earnings(loss) per share: Basic net earnings (loss) per share from continuing operations (0.19) 2.07 1.71 1.71 1.74 1.62 1.64 1.24 Basic net earnings (loss) per share from discontinued operations 0.16 (0.09) 8.61 (0.03) 0.22 0.21 0.06 0.11 Basic net earnings (loss) per share (0.03) 1.98 10.32 1.68 1.96 1.83 1.70 1.35 Diluted net earnings (loss) per share: Diluted net earnings (loss) per share from continuing operations (0.19) 2.05 1.69 1.70 1.71 1.60 1.62 1.22 Diluted net earnings (loss) per share from discontinued operations 0.16 (0.09) 8.52 (0.03) 0.22 0.20 0.06 0.11 Diluted net earnings (loss) per share (0.03) 1.96 10.21 1.67 1.93 1.80 1.68 1.33 (1) The fiscal first quarter of 2023 includes a $6.9 billion charge related to talc matters. (2) The fiscal third quarter of 2023 includes; a non-cash gain on the exchange offer of $21.0 billion that was recorded in Net earnings from discontinued operations, net of taxes; $0.6 billion related to the unfavorable change in the fair value of the retained stake in Kenvue and $0.4 billion related to the partial impairment of Idorsia convertible debt and the change in the fair value of the Idorsia equity securities held. (3) The fourth quarter of 2023 includes favorable changes in the fair value of securities of $0.4 billion (4) In the fiscal first quarter of 2022, the Company recorded an intangible asset impairment charge of approximately $0.6 billion related to an in-process research and development asset, bermekimab (JnJ-77474462). (5) |
Pay vs Performance Disclosure
Pay vs Performance Disclosure - USD ($) $ in Millions | 3 Months Ended | 12 Months Ended | |||||||||
Dec. 31, 2023 | Oct. 01, 2023 | Jul. 02, 2023 | Apr. 02, 2023 | Jan. 01, 2023 | Oct. 02, 2022 | Jul. 03, 2022 | Apr. 03, 2022 | Dec. 31, 2023 | Jan. 01, 2023 | Jan. 02, 2022 | |
Pay vs Performance Disclosure | |||||||||||
Net earnings | $ 4,049 | $ 26,028 | $ 5,144 | $ (68) | $ 3,520 | $ 4,458 | $ 4,814 | $ 5,149 | $ 35,153 | $ 17,941 | $ 20,878 |
Insider Trading Arrangements
Insider Trading Arrangements | 3 Months Ended |
Dec. 31, 2023 | |
Trading Arrangements, by Individual | |
Rule 10b5-1 Arrangement Adopted | false |
Non-Rule 10b5-1 Arrangement Adopted | false |
Rule 10b5-1 Arrangement Terminated | false |
Non-Rule 10b5-1 Arrangement Terminated | false |
Summary of significant accoun_2
Summary of significant accounting policies (Policies) | 12 Months Ended |
Dec. 31, 2023 | |
Accounting Policies [Abstract] | |
Principles of consolidation | Principles of consolidation The consolidated financial statements include the accounts of Johnson & Johnson and its subsidiaries (the Company). Intercompany accounts and transactions are eliminated. Columns and rows within tables may not add due to rounding. Percentages have been calculated using actual, non-rounded figures. |
Business segments | Business segments |
New accounting standards and Recently issued accounting standards | New accounting standards Recently adopted accounting standards ASU 2022-04: Liabilities-Supplier Finance Programs (Topic 405-50) – Disclosure of Supplier Finance Program Obligations The Company adopted the standard as of the beginning of fiscal year 2023, which requires that a buyer in a supplier finance program disclose additional information about the program for financial statement users. The Company has agreements for supplier finance programs with third-party financial institutions. These programs provide participating suppliers the ability to finance payment obligations from the Company with the third-party financial institutions. The Company is not a party to the arrangements between the suppliers and the third-party financial institutions. The Company’s obligations to its suppliers, including amounts due, and scheduled payment dates (which have general payment terms of 90 days), are not affected by a participating supplier’s decision to participate in the program. As of both December 31, 2023, and January 1, 2023, $0.7 billion were valid obligations under the program. The obligations are presented as Accounts payable Recently issued accounting standards Not adopted as of December 31, 2023 ASU 2023-07: Segment Reporting (Topic 280) – Improvements to Reportable Segment Disclosures This update requires expanded annual and interim disclosures for significant segment expenses that are regularly provided to the chief operating decision maker and included within each reported measure of segment profit or loss. This update will be effective for fiscal years beginning after December 15, 2023, and is to be applied retrospectively to all periods presented in the financial statements. Early adoption is permitted. As this accounting standard only impacts disclosures, it will not have a material impact on the Company’s Consolidated Financial Statements. ASU 2023-09: Income Taxes (Topic 740) - Improvements to Income Tax Disclosures |
Cash equivalents | Cash equivalents The Company classifies all highly liquid investments with stated maturities of three months or less from date of purchase as cash equivalents and all highly liquid investments with stated maturities of greater than three months from the date of purchase as current marketable securities. The Company has a policy of making investments only with commercial institutions that have at least an investment grade credit rating. The Company invests its cash primarily in government securities and obligations, corporate debt securities, money market funds and reverse repurchase agreements (RRAs). RRAs are collateralized by deposits in the form of Government Securities and Obligations for an amount not less than 102% of their value. The Company does not record an asset or liability as the Company is not permitted to sell or repledge the associated collateral. The Company has a policy that the collateral has at least an A (or equivalent) credit rating. The Company utilizes a third party custodian to manage the exchange of funds and ensure that collateral received is maintained at 102% of the value of the RRAs on a daily basis. RRAs with stated maturities of greater than three months from the date of purchase are classified as marketable securities. |
Investments | Investments |
Property, plant and equipment and depreciation | Property, plant and equipment and depreciation Property, plant and equipment are stated at cost. The Company utilizes the straight-line method of depreciation over the estimated useful lives of the assets: Building and building equipment 30 years Land and leasehold improvements 10 - 20 years Machinery and equipment 2 - 13 years The Company capitalizes certain computer software and development costs, included in machinery and equipment, when incurred in connection with developing or obtaining computer software for internal use. Capitalized software costs are amortized over the estimated useful lives of the software, which generally range from 3 to 8 years. The Company reviews long-lived assets to assess recoverability using undiscounted cash flows. When certain events or changes in operating or economic conditions occur, an impairment assessment may be performed on the recoverability of the carrying value of these assets. If the asset is determined to be impaired, the loss is measured based on the difference between the asset’s fair value and its carrying value. If quoted market prices are not available, the Company will estimate fair value using a discounted value of estimated future cash flows. |
Revenue recognition | Revenue recognition The Company recognizes revenue from product sales when obligations under the terms of a contract with the customer are satisfied; generally, this occurs with the transfer of control of the goods to customers. The Company's global payment terms are typically between 30 to 90 days. Provisions for certain rebates, sales incentives, trade promotions, coupons, product returns, discounts to customers and governmental clawback provisions are accounted for as variable consideration and recorded as a reduction in sales. The liability is recognized within Accrued rebates, returns, and promotions on the consolidated balance sheet. Product discounts granted are based on the terms of arrangements with direct, indirect and other market participants, as well as market conditions, including consideration of competitor pricing. Rebates are estimated based on contractual terms, historical experience, patient outcomes, trend analysis and projected market conditions in the various markets served. A significant portion of the liability related to rebates is from the sale of the Company's pharmaceutical products within the U.S., primarily the Managed Care, Medicare and Medicaid programs, which amounted to $11.5 billion and $9.6 billion as of December 31, 2023 and January 1, 2023, respectively. The Company evaluates market conditions for products or groups of products primarily through the analysis of wholesaler and other third-party sell-through and market research data, as well as internally generated information. Sales returns are estimated and recorded based on historical sales and returns information. Products that exhibit unusual sales or return patterns due to dating, competition or other marketing matters are specifically investigated and analyzed as part of the accounting for sales return accruals. Sales returns allowances represent a reserve for products that may be returned due to expiration, destruction in the field, or in specific areas, product recall. The sales returns reserve is based on historical return trends by product and by market as a percent to gross sales. In accordance with the Company’s accounting policies, the Company generally issues credit to customers for returned goods. The Company’s sales returns reserves are accounted for in accordance with the U.S. GAAP guidance for revenue recognition when right of return exists. Sales returns reserves are recorded at full sales value. Sales returns in the Innovative Medicine segments are almost exclusively not resalable. Sales returns for certain franchises in the MedTech segment are typically resalable but are not material. The Company infrequently exchanges products from inventory for returned products. The sales returns reserve for the total Company has been less than 1.0% of annual net trade sales during each of the fiscal years 2023, 2022 and 2021. Promotional programs, such as product listing allowances are recorded in the same period as related sales and include volume-based sales incentive programs. Volume-based incentive programs are based on the estimated sales volumes for the incentive period and are recorded as products are sold. These arrangements are evaluated to determine the appropriate amounts to be deferred or recorded as a reduction of revenue. The Company also earns profit-share payments through collaborative arrangements of certain products, which are included in sales to customers. Profit-share payments were less than 2.0% of the total revenues in fiscal year 2023 and less than 3.0% of the total revenues in the fiscal years 2022 and 2021 and are included in sales to customers. See Note 17 to the Consolidated Financial Statements for further disaggregation of revenue. |
Shipping and handling | Shipping and handling Shipping and handling costs incurred were $0.9 billion, $0.8 billion and $0.8 billion in fiscal years 2023, 2022 and 2021, respectively, and are included in selling, marketing and administrative expense. The amount of revenue received for shipping and handling is less than 1.0% of sales to customers for all periods presented. |
Inventories | Inventories Inventories are stated at the lower of cost or net realizable value determined by the first-in, first-out method. |
Intangible assets and goodwill | Intangible assets and goodwill The authoritative literature on U.S. GAAP requires that goodwill and intangible assets with indefinite lives be assessed annually for impairment. The Company completed its annual impairment test for 2023 in the fiscal fourth quarter. Future impairment tests will be performed annually in the fiscal fourth quarter, or sooner if warranted. Purchased in-process research and development is accounted for as an indefinite lived intangible asset until the underlying project is completed, at which point the intangible asset will be accounted for as a definite lived intangible asset. If warranted the purchased in-process research and development could be written off or partially impaired depending on the underlying program. Intangible assets that have finite useful lives continue to be amortized over their useful lives, and are reviewed for impairment when warranted by economic conditions. See Note 5 for further details on Intangible Assets and Goodwill. |
Financial instruments | Financial instruments As required by U.S. GAAP, all derivative instruments are recorded on the balance sheet at fair value. Fair value is the exit The Company documents all relationships between hedged items and derivatives. The overall risk management strategy includes reasons for undertaking hedge transactions and entering into derivatives. The objectives of this strategy are: (1) minimize foreign currency exposure’s impact on the Company’s financial performance; (2) protect the Company’s cash flow from adverse movements in foreign exchange rates; (3) ensure the appropriateness of financial instruments; and (4) manage the enterprise risk associated with financial institutions. See Note 6 for additional information on Financial Instruments. |
Leases | Leases The Company determines whether an arrangement is a lease at contract inception by establishing if the contract conveys the right to control the use of identified property, plant, or equipment for a period of time in exchange for consideration. Right of Use (ROU) Assets and Lease Liabilities for operating leases are included in Other assets Accrued liabilities Other liabilities ROU Assets and Lease Liabilities are recognized at the lease commencement date based on the present value of all minimum lease payments over the lease term. The Company uses its incremental borrowing rate based on the information available at commencement date in determining the present value of lease payments, when the implicit rate is not readily determinable. Lease terms may include options to extend or terminate the lease. These options are included in the lease term when it is reasonably certain that the Company will exercise that option. Operating lease expense is recognized on a straight-line basis over the lease term. The Company has elected the following policy elections on adoption: use of portfolio approach on leases of assets under master service agreements, exclusion of short term leases on the balance sheet, and not separating lease and non-lease components. |
Product liability | Product liability Accruals for product liability claims are recorded, on an undiscounted basis, when it is probable that a liability has been incurred and the amount of the liability can be reasonably estimated based on existing information and actuarially determined estimates where applicable. The accruals are adjusted periodically as additional information becomes available. The Company accrues an estimate of the legal defense costs needed to defend each matter when those costs are probable and can be reasonably estimated. To the extent adverse verdicts have been rendered against the Company, the Company does not record an accrual until a loss is determined to be probable and can be reasonably estimated. |
Research and development | Research and development Research and development expenses are expensed as incurred in accordance with ASC 730, Research and Development. Upfront and milestone payments made to third parties in connection with research and development collaborations are expensed as incurred up to the point of regulatory approval. Payments made to third parties subsequent to regulatory approval are capitalized and amortized over the remaining useful life of the related product. Amounts capitalized for such payments are included in other intangibles, net of accumulated amortization. The Company enters into collaborative arrangements, typically with other pharmaceutical or biotechnology companies, to develop and commercialize drug candidates or intellectual property. These arrangements typically involve two (or more) parties who are active participants in the collaboration and are exposed to significant risks and rewards dependent on the commercial success of the activities. These collaborations usually involve various activities by one or more parties, including research and development, marketing and selling and distribution. Often, these collaborations require upfront, milestone and royalty or profit share payments, contingent upon the occurrence of certain future events linked to the success of the asset in development. Amounts due from collaborative partners related to development activities are generally reflected as a reduction of research and development expense because the performance of contract development services is not central to the Company’s operations. In general, the income statement presentation for these collaborations is as follows: Nature/Type of Collaboration Statement of Earnings Presentation Third-party sale of product & profit share payments received Sales to customers Royalties/milestones paid to collaborative partner (post-regulatory approval)* Cost of products sold Royalties received from collaborative partner Other income (expense), net Upfront payments & milestones paid to collaborative partner (pre-regulatory approval) Research and development expense Research and development payments to collaborative partner Research and development expense Research and development payments received from collaborative partner or government entity Reduction of Research and development expense * Milestones are capitalized as intangible assets and amortized to cost of products sold over the useful life. For all years presented, there was no individual project that represented greater than 5% of the total annual consolidated research and development expense. The Company has a number of products and compounds developed in collaboration with strategic partners including XARELTO, co-developed with Bayer HealthCare AG and IMBRUVICA, developed in collaboration and co-marketed with Pharmacyclics LLC, an AbbVie company. Separately, the Company has a number of licensing arrangements for products and compounds including DARZALEX, licensed from Genmab A/S. |
Advertising | Advertising Costs associated with advertising are expensed in the year incurred and are included in selling, marketing and administrative expenses. Advertising expenses worldwide, which comprised television, radio, print media and Internet advertising, were $0.5 billion, $0.7 billion and $1.2 billion in fiscal years 2023, 2022 and 2021, respectively. |
Income taxes | Income taxes Income taxes are recorded based on amounts refundable or payable for the current year and include the results of any difference between U.S. GAAP accounting and tax reporting, recorded as deferred tax assets or liabilities. The Company estimates deferred tax assets and liabilities based on enacted tax regulations and rates. Future changes in tax laws and rates may affect recorded deferred tax assets and liabilities in the future. The Company has unrecognized tax benefits for uncertain tax positions. The Company follows U.S. GAAP which prescribes a recognition threshold and measurement attribute for the financial statement recognition and measurement of a tax position taken or expected to be taken in a tax return. Management believes that changes in these estimates would not have a material effect on the Company's results of operations, cash flows or financial position. In 2017, the United States enacted into law new U.S. tax legislation, the U.S. Tax Cuts and Jobs Act (TCJA). This law included provisions for a comprehensive overhaul of the corporate income tax code, including a reduction of the statutory corporate tax rate from 35% to 21%, effective on January 1, 2018. The TCJA included a provision for a tax on all previously undistributed earnings of U.S. companies located in foreign jurisdictions. Undistributed earnings in the form of cash and cash equivalents were taxed at a rate of 15.5% and all other earnings were taxed at a rate of 8.0%. This tax is payable over 8 years and will not accrue interest. These payments began in 2018 and will continue through 2025. The remaining balance at the end of the 2023 was approximately $4.5 billion, of which $2.5 billion is classified as noncurrent and reflected as “Long-term taxes payable” on the Company’s balance sheet. The TCJA also includes provisions for a tax on global intangible low-taxed income (GILTI). GILTI is described as the excess of a U.S. shareholder’s total net foreign income over a deemed return on tangible assets, as provided by the TCJA. In January 2018, the FASB issued guidance that allows companies to elect as an accounting policy whether to record the tax effects of GILTI in the period the tax liability is generated (i.e., “period cost”) or provide for deferred tax assets and liabilities related to basis differences that exist and are expected to effect the amount of GILTI inclusion in future years upon reversal (i.e., “deferred method”). The Company has elected to account for GILTI under the deferred method. The deferred tax amounts recorded are based on the evaluation of temporary differences that are expected to reverse as GILTI is incurred in future periods. |
Net earnings per share | Net earnings per share Basic earnings per share is computed by dividing net earnings available to common shareholders by the weighted average number of common shares outstanding for the period. Diluted earnings per share reflects the potential dilution that could occur if securities were exercised or converted into common stock using the treasury stock method. |
Use of estimates | Use of estimates The preparation of consolidated financial statements in conformity with accounting principles generally accepted in the U.S. requires management to make estimates and assumptions that affect the amounts reported. Estimates are used when accounting for sales discounts, rebates, allowances and incentives, product liabilities, income taxes, withholding taxes, depreciation, amortization, employee benefits, contingencies and intangible asset and liability valuations. Actual results may or may not differ from those estimates. The Company follows the provisions of U.S. GAAP when recording litigation related contingencies. A liability is recorded when a loss is probable and can be reasonably estimated. The best estimate of a loss within a range is accrued; however, if no estimate in the range is better than any other, the minimum amount is accrued. |
Annual closing date | Annual closing date The Company follows the concept of a fiscal year, which ends on the Sunday nearest to the end of the month of December. Normally each fiscal year consists of 52 weeks, but every five or six years the fiscal year consists of 53 weeks, and therefore includes additional shipping days, as was the case in fiscal year 2020, and will be the case again in fiscal year 2026. |
Summary of significant accoun_3
Summary of significant accounting policies (Tables) | 12 Months Ended |
Dec. 31, 2023 | |
Accounting Policies [Abstract] | |
Estimated Useful Lives of Assets | Property, plant and equipment are stated at cost. The Company utilizes the straight-line method of depreciation over the estimated useful lives of the assets: Building and building equipment 30 years Land and leasehold improvements 10 - 20 years Machinery and equipment 2 - 13 years |
Cash, cash equivalents and cu_2
Cash, cash equivalents and current marketable securities (Tables) | 12 Months Ended |
Dec. 31, 2023 | |
Cash and Cash Equivalents [Abstract] | |
Cash and Cash Equivalent Composition | At the end of the fiscal year 2023 and 2022, cash, cash equivalents and current marketable securities comprised: (Dollars in Millions) 2023 Carrying Unrecognized Estimated Cash & Cash Current Cash $3,340 — 3,340 3,340 — Non-U.S. Sovereign Securities (1) 522 — 522 174 348 U.S. Reverse repurchase agreements 4,377 — 4,377 4,377 — Corporate debt securities (1) 338 — 338 189 149 Money market funds 4,814 — 4,814 4,814 — Time deposits (1) 662 — 662 662 — Subtotal $14,053 — 14,053 13,556 497 U.S. Gov't Securities $8,562 — 8,562 8,259 303 U.S. Gov't Agencies 71 (1) 70 — 70 Other Sovereign Securities 5 — 5 1 4 Corporate and other debt securities 237 — 237 43 194 Subtotal available for sale (2) $8,875 (1) 8,874 8,303 571 Total cash, cash equivalents and current marketable securities $21,859 1,068 (Dollars in Millions) 2022 Carrying Amount Unrecognized Loss Estimated Fair Value Cash & Cash Equivalents Current Marketable Securities Cash $3,691 — 3,691 3,691 — U.S. Reverse repurchase agreements 1,419 — 1,419 1,419 — Corporate debt securities (1) 873 (1) 872 — 873 Money market funds 5,368 — 5,368 5,368 — Time deposits (1) 443 — 443 443 — Subtotal 11,794 (1) 11,793 10,921 873 U.S. Gov't Securities $9,959 (28) 9,931 1,922 8,009 U.S. Gov't Agencies 210 (5) 205 — 205 Corporate and other debt securities 352 (1) 351 46 305 Subtotal available for sale (2) $10,521 (34) 10,487 1,968 8,519 Total cash, cash equivalents and current marketable securities $12,889 9,392 (1) Held to maturity investments are reported at amortized cost and realized gains or losses are reported in earnings. (2) Available for sale debt securities are reported at fair value with unrealized gains and losses reported net of taxes in other comprehensive income. |
Contractual Maturities of Available for Sale Securities | The contractual maturities of the available for sale debt securities at December 31, 2023 are as follows: (Dollars in Millions) Cost Basis Fair Value Due within one year $8,865 8,864 Due after one year through five years 10 10 Due after five years through ten years — — Total debt securities $8,875 8,874 |
Inventories (Tables)
Inventories (Tables) | 12 Months Ended |
Dec. 31, 2023 | |
Inventory Disclosure [Abstract] | |
Summary of Inventories | At the end of fiscal years 2023 and 2022, inventories comprised: (Dollars in Millions) 2023 2022 Raw materials and supplies $2,355 1,719 Goods in process 1,952 1,577 Finished goods 6,874 6,972 Total inventories $11,181 10,268 |
Property, plant and equipment (
Property, plant and equipment (Tables) | 12 Months Ended |
Dec. 31, 2023 | |
Property, Plant and Equipment [Abstract] | |
Property, Plant and Equipment at Cost and Accumulated Depreciation | At the end of fiscal years 2023 and 2022, property, plant and equipment at cost and accumulated depreciation were: (Dollars in Millions) 2023 2022 Land and land improvements $795 784 Buildings and building equipment 12,375 11,470 Machinery and equipment 28,979 26,603 Construction in progress 5,627 4,677 Total property, plant and equipment, gross $47,776 43,534 Less accumulated depreciation 27,878 25,552 Total property, plant and equipment, net $19,898 17,982 |
Intangible assets and goodwill
Intangible assets and goodwill (Tables) | 12 Months Ended |
Dec. 31, 2023 | |
Goodwill and Intangible Assets Disclosure [Abstract] | |
Schedule of Intangible Assets and Goodwill | At the end of fiscal years 2023 and 2022, the gross and net amounts of intangible assets were: (Dollars in Millions) 2023 2022 Intangible assets with definite lives: Patents and trademarks — gross $40,417 39,388 Less accumulated amortization (24,808) (20,616) Patents and trademarks — net $15,609 18,772 Customer relationships and other intangibles — gross $20,322 19,764 Less accumulated amortization (12,685) (11,363) Customer relationships and other intangibles — net (1) $7,637 8,401 Intangible assets with indefinite lives: Trademarks $1,714 1,630 Purchased in-process research and development 9,215 9,686 Total intangible assets with indefinite lives $10,929 11,316 Total intangible assets — net $34,175 38,489 (1) The majority is comprised of customer relationships |
Goodwill | Goodwill as of December 31, 2023 and January 1, 2023, as allocated by segment of business, was as follows: (Dollars in Millions) Innovative MedTech Total Goodwill at January 2, 2022 $10,580 14,856 25,436 Goodwill, related to acquisitions — 11,056 11,056 Goodwill, related to divestitures — — — Currency translation/other (396) (49) (445) Goodwill at January 1, 2023 10,184 25,863 36,047 Goodwill, related to acquisitions — — — Goodwill, related to divestitures — — — Currency translation/other 223 288 * 511 Goodwill at December 31, 2023 $10,407 26,151 36,558 |
Intangible Asset Amortization Expense | The estimated amortization expense related to intangible assets for approved products, before tax, for the five succeeding years is approximately: (Dollars in Millions) 2024 2025 2026 2027 2028 $4,300 3,500 2,900 2,300 1,600 |
Fair value measurements (Tables
Fair value measurements (Tables) | 12 Months Ended |
Dec. 31, 2023 | |
Fair Value Disclosures [Abstract] | |
Summary of Derivative Activity | The following table is a summary of the activity related to derivatives and hedges for the fiscal years ended December 31, 2023 and January 1, 2023, net of tax: December 31, 2023 January 1, 2023 (Dollars in Millions) Sales Cost of Products Sold R&D Expense Interest (Income) Expense Other (Income) Expense Sales Cost of Products Sold R&D Expense Interest (Income) Expense Other (Income) Expense The effects of fair value, net investment and cash flow hedging: Gain (Loss) on fair value hedging relationship: Interest rate swaps contracts: Hedged items $— — — (930) — — — — (1,098) — Derivatives designated as hedging instruments — — — 930 — — — — 1,098 — Gain (Loss) on net investment hedging relationship: Cross currency interest rate swaps contracts: Amount of gain or (loss) recognized in income on derivative amount excluded from effectiveness testing $— — — 130 — — — — 140 — Amount of gain or (loss) recognized in AOCI — — — 130 — — — — 140 — Gain (Loss) on cash flow hedging relationship: Forward foreign exchange contracts: Amount of gain or (loss) reclassified from AOCI into income 7 186 (37) — 8 (72) (271) 149 — (23) Amount of gain or (loss) recognized in AOCI 10 447 (18) — 9 5 319 61 — (113) Cross currency interest rate swaps contracts: Amount of gain or (loss) reclassified from AOCI into income — — — 275 — — — — 425 — Amount of gain or (loss) recognized in AOCI $— — — (156) — — — — 42 — As of December 31, 2023 and January 1, 2023, the following amounts were recorded on the consolidated balance sheet related to cumulative basis adjustment for fair value hedges Line item in the Consolidated Balance Sheet in which the hedged item is included Carrying Amount of the Hedged Liability Cumulative Amount of Fair Value Hedging Adjustment Included in the Carrying Amount of the Hedged Liability (Dollars in Millions) December 31, 2023 January 1, 2023 December 31, 2023 January 1, 2023 Long-term Debt $8,862 $8,665 $(1,216) $(1,435) |
Schedule of Effect of Derivatives not Designated as Hedging Instruments | The following table is the effect of derivatives not designated as hedging instrument for the fiscal years ended December 31, 2023 and January 1, 2023: (Dollars in Millions) Location of Gain /(Loss) Recognized in Income on Derivative Gain/(Loss) Derivatives Not Designated as Hedging Instruments December 31, 2023 January 1, 2023 Foreign Exchange Contracts Other (income) expense $(60) 94 |
Schedule of Effect of Net Investment Hedges | The following table is the effect of net investment hedges for the fiscal years ended December 31, 2023 and January 1, 2023: Gain/(Loss) Location of Gain or (Loss) Reclassified from Accumulated Other Comprehensive Income Into Income Gain/(Loss) Reclassified From (Dollars in Millions) December 31, 2023 January 1, 2023 December 31, 2023 January 1, 2023 Debt $(131) 197 Interest (income) expense — — Cross Currency interest rate swaps $642 766 Interest (income) expense — — |
Summary of Activity Related to Equity Investments | The following table is a summary of the activity related to equity investments for the fiscal years ended December 31, 2023 and January 1, 2023: January 1, 2023 December 31, 2023 (Dollars in Millions) Carrying Value Changes in Fair Value Reflected in Net Income (1) Sales/ Purchases/Other (2) Carrying Value Non Current Other Assets Equity Investments with readily determinable value * $576 (368) 4,265 4,473 4,473 Equity Investments without readily determinable value $613 1 82 696 696 January 2, 2022 January 1, 2023 (Dollars in Millions) Carrying Value Changes in Fair Value Reflected in Net Income (1) Sales/ Purchases/Other (2) Carrying Value Non Current Other Assets Equity Investments with readily determinable value $1,884 (538) (770) 576 576 Equity Investments without readily determinable value $413 93 107 613 613 (1) Recorded in Other Income/Expense (2) Other includes impact of currency * Includes the 9.5% remaining stake in Kenvue and the $0.4 billion unfavorable change in fair value of the investment between separation date and the end of the fiscal year. |
Financial Assets and Liabilities at Fair Value | The Company’s significant financial assets and liabilities measured at fair value as of the fiscal year ended December 31, 2023 and January 1, 2023 were as follows: 2023 2022 (Dollars in Millions) Level 1 Level 2 Level 3 Total Total (1) Derivatives designated as hedging instruments: Assets: Forward foreign exchange contracts $— 539 — 539 629 Interest rate contracts (2) — 988 — 988 1,534 Total $— 1,527 — 1,527 2,163 Liabilities: Forward foreign exchange contracts — 624 — 624 511 Interest rate contracts (2) — 5,338 — 5,338 2,778 Total $— 5,962 — 5,962 3,289 Derivatives not designated as hedging instruments: Assets: Forward foreign exchange contracts $— 64 — 64 38 Liabilities: Forward foreign exchange contracts — 75 — 75 68 Available For Sale Other Investments: Equity investments (3) 4,473 — — 4,473 576 Debt securities (4) — 8,874 — 8,874 10,487 Other Liabilities Contingent Consideration (5) $ 1,092 1,092 1,120 Gross to Net Derivative Reconciliation 2023 2022 (Dollars in Millions) Total Gross Assets $1,591 2,201 Credit Support Agreements (CSA) (1,575) (2,176) Total Net Asset 16 25 Total Gross Liabilities 6,037 3,357 Credit Support Agreements (CSA) (5,604) (3,023) Total Net Liabilities $433 334 Summarized information about changes in liabilities for contingent consideration is as follows: 2023 2022 2021 (Dollars in Millions) Beginning Balance $1,120 533 633 Changes in estimated fair value 29 (194) (52) Additions (6) — 792 — Payments/Other (57) (11) (48) Ending Balance (5) $1,092 1,120 533 (1) 2022 assets and liabilities are all classified as Level 2 with the exception of equity investments of $576 million, which are classified as Level 1 and contingent consideration of $1,120 million, classified as Level 3. (2) Includes cross currency interest rate swaps and interest rate swaps. (3) Classified as non-current other assets. (4) Classified as cash equivalents and current marketable securities. (5) Includes $1,092 million, $1,116 million and $520 million, classified as non-current other liabilities as of December 31, 2023, January 1, 2023 and January 2, 2022, respectively. Includes $4 million and $13 million classified as current liabilities as of January 1, 2023 and January 2, 2022, respectively. (6) In fiscal year 2022, the Company recorded $704 million of contingent consideration related to Abiomed. |
Borrowings (Tables)
Borrowings (Tables) | 12 Months Ended |
Dec. 31, 2023 | |
Debt Disclosure [Abstract] | |
Schedule of Long-term Debt Instruments | The components of long-term debt are as follows: (Dollars in Millions) 2023 Effective 2022 Effective 6.73% Debentures due 2023 $— — % $250 6.73 % 3.375% Notes due 2023 — — 801 3.17 2.05% Notes due 2023 — — 500 2.09 0.650% Notes due 2024 (750MM Euro 1.1090) (2) /(750MM Euro 1.0651) (3) 831 (2) 0.68 792 (3) 0.68 5.50% Notes due 2024 (500MM 1.2756 GBP ) (2) /(500MM GBP 1.2037) (3) 637 (2) 6.75 600 (3) 6.75 2.625% Notes due 2025 750 2.63 749 2.63 0.55% Notes due 2025 950 0.57 918 0.57 2.46% Notes due 2026 1,997 2.47 1,996 2.47 2.95% Notes due 2027 900 2.96 877 2.96 0.95% Notes due 2027 1,419 0.96 1,394 0.96 1.150% Notes due 2028 (2) /(750MM Euro 1.0651) (3) 828 (2) 1.21 794 (3) 1.21 2.90% Notes due 2028 1,497 2.91 1,496 2.91 6.95% Notes due 2029 298 7.14 298 7.14 1.30% Notes due 2030 1,630 1.30 1,607 1.30 4.95% Debentures due 2033 499 4.95 498 4.95 4.375% Notes due 2033 854 4.24 854 4.24 1.650% Notes due 2035 (2) /(1.5B Euro 1.0651) (3) 1,652 (2) 1.68 1,591 (3) 1.68 3.587% Notes due 2036 864 3.59 842 3.59 5.95% Notes due 2037 994 5.99 993 5.99 3.625% Notes due 2037 1,357 3.64 1,336 3.64 5.85% Debentures due 2038 697 5.85 697 5.85 3.400% Notes due 2038 993 3.42 992 3.42 4.50% Debentures due 2040 541 4.63 540 4.63 2.10% Notes due 2040 849 2.14 828 2.14 4.85% Notes due 2041 297 4.89 297 4.89 4.50% Notes due 2043 496 4.52 496 4.52 3.73% Notes due 2046 1,977 3.74 1,976 3.74 3.75% Notes due 2047 832 3.76 812 3.76 3.500% Notes due 2048 743 3.52 743 3.52 2.250% Notes due 2050 826 2.29 808 2.29 2.450% Notes due 2060 1,073 2.49 1,055 2.49 Other 69 — 7 — Subtotal 27,350 (4) 2.98 % (1) 28,437 (4) 3.04 % (1) Less current portion 1,469 1,551 Total long-term debt $25,881 $26,886 (1) Weighted average effective rate. (2) Translation rate at December 31, 2023. (3) Translation rate at January 1, 2023. (4) The excess of the carrying value over the fair value of debt was $1.0 billion and $1.6 billion at the end of fiscal year 2023 and fiscal year 2022, respectively. |
Aggregate Maturities of Long Term Obligations | Aggregate maturities of long-term debt obligations commencing in 2024 are: (Dollars in Millions) 2024 2025 2026 2027 2028 After 2028 $1,469 1,700 1,997 2,320 2,325 17,539 |
Income taxes (Tables)
Income taxes (Tables) | 12 Months Ended |
Dec. 31, 2023 | |
Income Tax Disclosure [Abstract] | |
Provision for Income Taxes | The provision for taxes on income consists of: (Dollars in Millions) 2023 2022 2021 Currently payable: U.S. taxes $2,705 2,274 1,338 International taxes 3,090 2,295 2,069 Total currently payable 5,795 4,569 3,407 Deferred: U.S. taxes (3,440) (1,990) 565 International taxes (619) 410 (2,595) Total deferred (4,059) (1,580) (2,030) Provision for taxes on income $1,736 2,989 1,377 |
Comparison of Income Taxes at Statutory Rate and Company's Effective Tax Rate | A comparison of income tax expense at the U.S. statutory rate of 21% in fiscal years 2023, 2022 and 2021, to the Company’s effective tax rate is as follows: (Dollars in Millions) 2023 2022 2021 U.S. $(2,033) 4,606 4,275 International 17,095 14,753 14,903 Earnings before taxes on income: $15,062 19,359 19,178 Tax rates: U.S. statutory rate 21.0 % 21.0 21.0 International operations (1) (8.1) (5.0) (19.1) U.S. Tax Settlements (3.0) — — U.S. taxes on international income (2) (0.3) (1.1) 8.9 Tax benefits from loss on capital assets — — (1.6) Tax benefits on share-based compensation (0.8) (1.4) (1.2) All other 2.7 1.9 (0.8) Effective Rate 11.5 % 15.4 7.2 (1) International operations reflect the impacts of operations in jurisdictions with statutory tax rates different than the U.S., particularly Ireland, Switzerland, Belgium and Puerto Rico, which is a favorable impact on the effective tax rate as compared with the U.S. statutory rate. (2) Includes the impact of the GILTI tax, the Foreign-Derived Intangible Income deduction and other foreign income that is taxable under the U.S. tax code. The 2023 and 2022 amount includes the impact of certain provisions of the 2017 TCJA that became effective in fiscal 2022. The 2023 amount includes the impact of certain foreign subsidiaries deferred tax remeasurements for legislative elections and the 2021 amounts include the reorganization of international subsidiaries further described below. |
Temporary Differences and Carryforwards | Temporary differences and carryforwards at the end of fiscal years 2023 and 2022 were as follows: 2023 Deferred Tax 2022 Deferred Tax (Dollars in Millions) Asset Liability Asset Liability Employee related obligations $586 685 Stock based compensation 686 632 Depreciation of property, plant and equipment (902) (845) Goodwill and intangibles (1,252) (1,737) R&D capitalized for tax 3,595 2,611 Reserves & liabilities 3,816 2,733 Income reported for tax purposes (1) 359 2,026 Net realizable operating loss carryforwards (2) 996 1,319 Undistributed foreign earnings 1,801 (1,695) 1,517 (1,604) Global intangible low-taxed income (2,731) (3,628) Miscellaneous international 831 861 (66) Miscellaneous U.S. (4) 452 Total deferred income taxes $12,670 (6,584) 12,836 (7,880) (1) In fiscal 2023, the Company changed the presentation of income taxes accrued on intercompany profits on inventory still owned by the Company as part of “Prepaid expenses and other” on the Consolidated Balance Sheet. (2) |
Summary of Activity Related to Unrecognized Tax Benefits | The following table summarizes the activity related to unrecognized tax benefits for continuing operations: (Dollars in Millions) 2023 2022 2021 Beginning of year $3,716 3,210 3,260 Increases related to current year tax positions 239 523 242 Increases related to prior period tax positions 244 143 23 Decreases related to prior period tax positions (781) (148) (128) Settlements (880) (1) (187) Lapse of statute of limitations (53) (11) — End of year $2,485 3,716 3,210 |
Employee related obligations (T
Employee related obligations (Tables) | 12 Months Ended |
Dec. 31, 2023 | |
Compensation Related Costs [Abstract] | |
Employee Related Obligations | At the end of fiscal 2023 and fiscal 2022, employee related obligations recorded on the Consolidated Balance Sheets were: (Dollars in Millions) 2023 2022 Pension benefits $3,129 2,475 Postretirement benefits 1,963 1,728 Postemployment benefits 2,527 2,832 Deferred compensation 68 100 Total employee obligations 7,687 7,135 Less current benefits payable 538 593 Employee related obligations — non-current $7,149 6,542 |
Pensions and other benefit pl_2
Pensions and other benefit plans (Tables) | 12 Months Ended |
Dec. 31, 2023 | |
Retirement Benefits [Abstract] | |
Components of Net Periodic Benefit Cost | Net periodic benefit costs for the Company’s defined benefit retirement plans and other benefit plans for 2023, 2022 and 2021 include the following components: Retirement Plans Other Benefit Plans (Dollars in Millions) 2023 2022 2021 2023 2022 2021 Service cost $893 1,319 1,412 264 320 309 Interest cost 1,437 908 768 214 104 80 Expected return on plan assets (2,716) (2,756) (2,644) (7) (8) (7) Amortization of prior service cost (184) (184) (181) (2) (5) (31) Recognized actuarial losses (gains) (199) 650 1,251 23 122 151 Curtailments and settlements 93 1 1 (5) — — Net periodic benefit cost (credit) $(676) (62) 607 487 533 502 |
Rates Used to Develop Actuarial Present Value of Projected Benefit Obligation | The following table represents the weighted-average actuarial assumptions: Retirement Plans Other Benefit Plans Worldwide Benefit Plans 2023 2022 2021 2023 2022 2021 Net Periodic Benefit Cost Service cost discount rate 4.85 % 2.46 2.14 5.40 2.59 2.09 Interest cost discount rate 5.25 % 2.80 2.34 5.43 2.64 2.33 Rate of increase in compensation levels 3.71 % 4.02 4.01 4.22 4.21 4.25 Expected long-term rate of return on plan assets 7.21 % 7.25 7.71 Benefit Obligation Discount rate 4.58 % 5.01 2.49 5.11 5.42 2.68 Rate of increase in compensation levels 3.69 % 4.00 4.01 4.22 4.21 4.21 |
Assumed Health Care Cost Trend Rates | The following table displays the assumed healthcare cost trend rates, for all individuals: Healthcare Plans 2023 2022 Healthcare cost trend rate assumed for next year 13.90 % * 5.96 % Rate to which the cost trend rate is assumed to decline (ultimate trend) 4.00 % 3.99 % Year the rate reaches the ultimate trend rate 2048 2047 *excludes ongoing negotiations regarding healthcare cost with service providers |
Schedule of Net Funded Status | The following table sets forth information related to the benefit obligation and the fair value of plan assets at fiscal year-end 2023 and 2022 for the Company’s defined benefit retirement plans and other post-retirement plans: Retirement Plans Other Benefit Plans (Dollars in Millions) 2023 2022 2023 2022 Change in Benefit Obligation Projected benefit obligation — beginning of year $29,390 41,272 4,192 4,874 Service cost 893 1,319 264 320 Interest cost 1,437 908 214 104 Plan participant contributions 73 67 — — Amendments (6) 7 — — Actuarial (gains) losses (1) 2,068 (12,159) 469 (704) Divestitures & acquisitions (2) (352) — 1 — Curtailments, settlements & restructuring (238) (7) (332) — Benefits paid from plan (3) (2,122) (1,220) (702) (393) Effect of exchange rates 601 (797) 2 (9) Projected benefit obligation — end of year $31,744 29,390 4,108 4,192 Change in Plan Assets Plan assets at fair value — beginning of year $31,496 41,909 78 102 Actual return (loss) on plan assets 3,951 (8,663) 16 (17) Company contributions 268 261 694 386 Plan participant contributions 73 67 — — Settlements (176) (5) — — Divestitures & acquisitions (2) (509) — — — Benefits paid from plan assets (3) (2,122) (1,220) (702) (393) Effect of exchange rates 626 (853) — — Plan assets at fair value — end of year $33,607 31,496 86 78 Funded status — end of year $1,863 2,106 (4,022) (4,114) Amounts Recognized in the Company’s Balance Sheet consist of the following: Non-current assets $4,992 4,581 — — Current liabilities (119) (127) (416) (461) Non-current liabilities (3,010) (2,348) (3,606) (3,653) Total recognized in the consolidated balance sheet — end of year $1,863 2,106 (4,022) (4,114) Amounts Recognized in Accumulated Other Comprehensive Income consist of the following: Net actuarial loss $4,962 3,948 354 239 Prior service cost (credit) (1,236) (1,417) (6) (7) Unrecognized net transition obligation — — — Total before tax effects $3,726 2,531 348 232 Accumulated Benefit Obligations — end of year $30,139 27,797 (1) The actuarial (gains)/losses for retirement plans in 2023 and 2022 were primarily driven by changes in the discount rates. (2) Primarily driven by the Kenvue separation. (3) Includes approximately $800 million transferred to a group annuity contract issued by a third-party insurer for the U.S. Salaried Pension Plan. Retirement Plans Other Benefit Plans (Dollars in Millions) 2023 2022 2023 2022 Amounts Recognized in Net Periodic Benefit Cost and Other Comprehensive Income Net periodic benefit cost (credit) $(676) (62) 487 533 Net actuarial (gain) loss 711 (793) 136 (751) Amortization of net actuarial loss 199 (655) (22) (121) Prior service cost (credit) (2) 7 — — Amortization of prior service (cost) credit 185 183 2 5 Effect of exchange rates 103 (140) — (1) Total loss/(income) recognized in other comprehensive income, before tax $1,195 (1,398) 116 (868) Total recognized in net periodic benefit cost and other comprehensive income $519 (1,460) 603 (335) |
Information Related to the Benefit Obligation and the Fair Value of Plan Assets | The following table displays the funded status of the Company's U.S. Qualified & Non-Qualified pension plans and international funded and unfunded pension plans at December 31, 2023 and December 31, 2022, respectively: U.S. Plans International Plans Qualified Plans Non-Qualified Plans Funded Plans Unfunded Plans (Dollars in Millions) 2023 2022 2023 2022 2023 2022 2023 2022 Plan Assets $22,298 20,937 — — 11,309 10,559 — — Projected Benefit Obligation 19,152 18,394 2,037 1,937 10,431 8,982 124 77 Accumulated Benefit Obligation 18,557 17,696 1,982 1,872 9,498 8,166 102 63 Over (Under) Funded Status Projected Benefit Obligation $3,146 2,543 (2,037) (1,937) 878 1,577 (124) (77) Accumulated Benefit Obligation 3,741 3,241 (1,982) (1,872) 1,811 2,393 (102) (63) |
Projected Future Benefit Payments from Company's Retirement and Other Benefit Plans | The following table displays the projected future benefit payments from the Company’s retirement and other benefit plans: (Dollars in Millions) 2024 2025 2026 2027 2028 2029-2033 Projected future benefit payments Retirement plans $1,481 1,473 1,549 1,647 1,745 10,133 Other benefit plans $427 438 396 411 428 2,360 |
Projected Future Minimum Contributions to the Company's U.S. and International Unfunded Retirement Plans | The following table displays the projected future minimum contributions to the unfunded retirement plans. These amounts do not include any discretionary contributions that the Company may elect to make in the future. (Dollars in Millions) 2024 2025 2026 2027 2028 2029-2033 Projected future contributions $122 126 133 139 145 787 |
Company' Retirement Plan Asset Allocation and Target Allocations | The Company’s retirement plan asset allocation at the end of 2023 and 2022 and target allocations for 2024 are as follows: Percent of Target 2023 2022 2024 Worldwide Retirement Plans Equity securities 58 % 62 % 58 % Debt securities 42 38 42 Total plan assets 100 % 100 % 100 % |
Schedule of Defined Benefit Plans Disclosures | The following table sets forth the Retirement Plans' investments measured at fair value as of December 31, 2023 and December 31, 2022: Quoted Prices Significant Significant Unobservable Inputs (1) Investments Measured at Net Asset Value (Level 1) (Level 2) (Level 3) Total Assets (Dollars in Millions) 2023 2022 2023 2022 2023 2022 2023 2022 2023 2022 Short-term investment funds $12 26 829 13 — — — — 841 39 Government and agency securities — — 5,985 5,863 — — — — 5,985 5,863 Debt instruments — — 3,899 3,681 — — — — 3,899 3,681 Equity securities 7,764 8,846 — 2 — — — — 7,764 8,848 Commingled funds — — 4,967 4,362 43 56 6,672 6,096 11,682 10,514 Other assets — — 49 33 92 12 3,295 2,506 3,436 2,551 Investments at fair value $7,776 8,872 15,729 13,954 135 68 9,967 8,602 33,607 31,496 (1) The activity for the Level 3 assets is not significant for all years presented. |
Capital and treasury stock (Tab
Capital and treasury stock (Tables) | 12 Months Ended |
Dec. 31, 2023 | |
Equity [Abstract] | |
Changes in Treasury Stock | Changes in treasury stock were: Treasury Stock (Amounts in Millions Except Treasury Stock Shares in Thousands) Shares Amount Balance at January 3, 2021 487,331 $38,490 Employee compensation and stock option plans (17,399) (2,847) Repurchase of common stock 20,946 3,456 Balance at January 2, 2022 490,878 39,099 Employee compensation and stock option plans (20,007) (3,440) Repurchase of common stock 35,375 6,035 Balance at January 1, 2023 506,246 41,694 Employee compensation and stock option plans (15,521) (2,529) Repurchase of common stock 31,085 5,079 Kenvue share exchange (Note 21) 190,955 31,418 Balance at December 31, 2023 712,765 $75,662 |
Accumulated other comprehensi_2
Accumulated other comprehensive income (loss) (Tables) | 12 Months Ended |
Dec. 31, 2023 | |
Equity [Abstract] | |
Components of Accumulated Other Comprehensive Income | Components of other comprehensive income (loss) consist of the following: (Dollars in Millions) Foreign Gain/ Employee Gain/ Total January 3, 2021 $(8,938) 1 (6,957) 652 (15,242) Net 2021 changes (1,079) (4) 4,255 (988) 2,184 January 2, 2022 (10,017) (3) (2,702) (336) (13,058) Net 2022 changes (1,796) (24) 1,805 106 91 January 1, 2023 (11,813) (27) (897) (230) (12,967) Net 2023 changes (3,221) 26 (1,399) (147) (4,741) Kenvue Separation/IPO 4,885 296 * 5,181 December 31, 2023 $(10,149) (1) (2,000) (377) (12,527) |
Earnings per share (Tables)
Earnings per share (Tables) | 12 Months Ended |
Dec. 31, 2023 | |
Earnings Per Share [Abstract] | |
Reconciliation of Basic Net Earnings per Share to Diluted Net Earnings per Share | The following is a reconciliation of basic net earnings per share to diluted net earnings per share for the fiscal years ended December 31, 2023, January 1, 2023 and January 2, 2022: (In Millions Except Per Share Amounts) 2023 2022 2021 Basic net earnings per share from continuing operations $5.26 6.23 6.76 Basic net earnings per share from discontinued operations 8.62 0.60 1.17 Total net earnings per share - basic 13.88 6.83 7.93 Average shares outstanding — basic 2,533.5 2,625.2 2,632.1 Potential shares exercisable under stock option plans 94.1 140.1 138.0 Less: shares repurchased under treasury stock method (67.2) (101.4) (96.1) Adjusted average shares outstanding — diluted 2,560.4 2,663.9 2,674.0 Diluted net earnings per share from continuing operations 5.20 6.14 6.66 Diluted net earnings per share from discontinuing operations 8.52 0.59 1.15 Total net earnings per share - diluted $13.72 6.73 7.81 |
Common stock, stock option pl_2
Common stock, stock option plans and stock compensation agreements (Tables) | 12 Months Ended |
Dec. 31, 2023 | |
Share-Based Payment Arrangement [Abstract] | |
Schedule Valuation Assumptions | The average fair value of options granted was $27.85, $23.23 and $20.86, in fiscal years 2023, 2022 and 2021, respectively. The fair value was estimated based on the weighted average assumptions of: 2023 2022 2021 Risk-free rate 3.74 % 1.98 % 0.83 % Expected volatility 17.69 % 18.00 % 18.59 % Expected life (in years) 7.0 7.0 7.0 Expected dividend yield 2.90 % 2.70 % 2.50 % |
Summary of Stock Option Activity | A summary of option activity under the Plan as of December 31, 2023, is presented below: (Shares in Thousands) Outstanding Weighted Aggregate Shares at January 1, 2023 118,672 $134.95 $4,949 Options granted 16,320 162.75 Options exercised (12,386) 109.48 Options canceled/forfeited* (10,368) 155.62 Shares at December 31, 2023 112,238 $139.88 $2,239 |
Summary of Options Outstanding | The following table summarizes stock options outstanding and exercisable at December 31, 2023: (Shares in Thousands) Outstanding Exercisable Exercise Price Range Options Average Life (1) Weighted Options Weighted $90.44 - $101.87 20,774 1.4 $99.21 20,774 $99.21 $115.67 - $129.51 19,368 3.6 122.49 19,368 122.49 $131.94 - $151.41 27,391 5.6 142.84 26,676 142.61 $162.70 - $162.75 13,928 9.1 162.75 6 162.75 $164.62 - $165.89 30,777 7.6 165.29 174 165.12 112,238 5.5 $139.88 66,998 $123.39 (1) Average contractual life remaining in years. |
Summary of Restricted Share Units | A summary of the restricted share units and performance share units activity under the Plans as of December 31, 2023 is presented below: (Shares in Thousands) Outstanding Outstanding Shares at January 1, 2023 13,616 2,357 Granted 5,910 828 Issued (4,329) (785) Canceled/forfeited/adjusted* (2,259) (363) Shares at December 31, 2023 12,938 2,037 *includes 1,421 shares of restricted share units and 264 shares of performance share units cancelled as a result of the conversion of Johnson & Johnson restricted share units and performance share units held by Kenvue employees into Kenvue restricted share units |
Segments of business and geog_2
Segments of business and geographic areas (Tables) | 12 Months Ended |
Dec. 31, 2023 | |
Segment Reporting [Abstract] | |
Schedule of Sales by Segment of Business | Sales to Customers % Change (Dollars in Millions) 2023 2022 2021 ’23 vs. ’22 ’22 vs. ’21 INNOVATIVE MEDICINE (1) Immunology U.S. $11,539 11,036 10,843 4.6 % 1.8 International 6,513 5,899 5,907 10.4 (0.1) Worldwide 18,052 16,935 16,750 6.6 1.1 REMICADE U.S. 1,143 1,417 2,019 (19.3) (29.8) U.S. Exports 147 204 236 (28.0) (13.6) International 549 722 935 (23.9) (22.8) Worldwide 1,839 2,343 3,190 (21.5) (26.6) SIMPONI / SIMPONI ARIA U.S. 1,124 1,166 1,127 (3.6) 3.5 International 1,073 1,017 1,148 5.4 (11.4) Worldwide 2,197 2,184 2,276 0.6 (4.0) STELARA U.S. 6,966 6,388 5,938 9.0 7.6 International 3,892 3,335 3,196 16.7 4.4 Worldwide 10,858 9,723 9,134 11.7 6.5 TREMFYA U.S. 2,147 1,844 1,503 16.5 22.7 International 999 824 624 21.2 32.0 Worldwide 3,147 2,668 2,127 17.9 25.4 OTHER IMMUNOLOGY U.S. 11 17 21 (33.8) (18.4) International 0 0 3 — * Worldwide 11 17 24 (33.8) (28.2) Infectious Diseases U.S. 1,500 1,680 2,249 (10.7) (25.3) International 2,918 3,769 3,576 (22.6) 5.4 Worldwide 4,418 5,449 5,825 (18.9) (6.5) COVID-19 VACCINE U.S. 0 120 634 * (81.1) International 1,117 2,059 1,751 (45.8) 17.6 Worldwide 1,117 2,179 2,385 (48.8) (8.6) Sales to Customers % Change (Dollars in Millions) 2023 2022 2021 ’23 vs. ’22 ’22 vs. ’21 EDURANT / rilpivirine U.S. 35 36 41 (3.7) (10.8) International 1,115 972 953 14.8 2.0 Worldwide 1,150 1,008 994 14.1 1.5 PREZISTA / PREZCOBIX / REZOLSTA / SYMTUZA U.S. 1,446 1,494 1,508 (3.2) (1.0) International 408 449 575 (9.2) (21.9) Worldwide 1,854 1,943 2,083 (4.6) (6.7) OTHER INFECTIOUS DISEASES U.S. 19 30 66 (34.5) (55.5) International 278 289 297 (3.8) (2.6) Worldwide 297 318 363 (6.7) (12.3) Neuroscience U.S. 4,065 3,570 3,347 13.9 6.7 International 3,076 3,323 3,641 (7.5) (8.7) Worldwide 7,140 6,893 6,988 3.6 (1.4) CONCERTA / methylphenidate U.S. 230 151 172 52.5 (12.5) International 554 493 495 12.2 (0.4) Worldwide 783 644 667 21.6 (3.5) INVEGA SUSTENNA / XEPLION / INVEGA TRINZA / TREVICTA U.S. 2,897 2,714 2,550 6.7 6.5 International 1,218 1,426 1,472 (14.6) (3.1) Worldwide 4,115 4,140 4,022 (0.6) 3.0 SPRAVATO U.S. 589 328 198 79.7 65.7 International 100 46 26 * 76.9 Worldwide 689 374 224 84.1 67.0 OTHER NEUROSCIENCE (2) U.S. 349 376 427 (7.3) (11.9) International 1,204 1,358 1,647 (11.3) (17.5) Worldwide 1,553 1,734 2,074 (10.4) (16.4) Oncology U.S. 8,462 6,930 5,958 22.1 16.3 International 9,199 9,052 8,590 1.6 5.4 Worldwide 17,661 15,983 14,548 10.5 9.9 Sales to Customers % Change (Dollars in Millions) 2023 2022 2021 ’23 vs. ’22 ’22 vs. ’21 CARVYKTI U.S. 469 133 — * * International 30 — — * * Worldwide 500 133 — * * DARZALEX U.S. 5,277 4,210 3,169 25.4 32.8 International 4,467 3,767 2,854 18.6 32.0 Worldwide 9,744 7,977 6,023 22.2 32.4 ERLEADA U.S. 1,065 968 813 10.0 19.2 International 1,322 913 478 44.8 * Worldwide 2,387 1,881 1,291 26.9 45.7 IMBRUVICA U.S. 1,051 1,390 1,747 (24.4) (20.4) International 2,214 2,394 2,622 (7.5) (8.7) Worldwide 3,264 3,784 4,369 (13.7) (13.4) ZYTIGA /abiraterone acetate U.S. 50 74 119 (32.1) (37.8) International 837 1,696 2,178 (50.7) (22.1) Worldwide 887 1,770 2,297 (49.9) (22.9) OTHER ONCOLOGY U.S. 549 156 110 * 41.8 International 330 283 458 16.9 (38.2) Worldwide 879 438 568 * (22.9) Pulmonary Hypertension U.S. 2,697 2,346 2,365 15.0 (0.8) International 1,117 1,071 1,085 4.3 (1.3) Worldwide 3,815 3,417 3,450 11.6 (1.0) OPSUMIT U.S. 1,292 1,132 1,147 14.1 (1.3) International 681 651 672 4.6 (3.2) Worldwide 1,973 1,783 1,819 10.6 (2.0) UPTRAVI U.S. 1,326 1,104 1,056 20.1 4.5 International 255 218 181 17.3 20.4 Worldwide 1,582 1,322 1,237 19.7 6.9 OTHER PULMONARY HYPERTENSION U.S. 79 110 163 (28.6) (32.3) International 182 202 232 (10.3) (12.8) Worldwide 260 313 395 (16.7) (20.8) Sales to Customers % Change (Dollars in Millions) 2023 2022 2021 ’23 vs. ’22 ’22 vs. ’21 Cardiovascular / Metabolism / Other U.S. 2,906 3,042 3,192 (4.5) (4.7) International 765 845 927 (9.4) (8.9) Worldwide 3,671 3,887 4,119 (5.5) (5.6) XARELTO U.S. 2,365 2,473 2,438 (4.4) 1.4 International — — — — — Worldwide 2,365 2,473 2,438 (4.4) 1.4 OTHER (3) U.S. 541 569 754 (5.0) (24.5) International 765 845 927 (9.4) (8.8) Worldwide 1,306 1,414 1,682 (7.6) (15.9) TOTAL INNOVATIVE MEDICINE U.S. 31,169 28,604 27,954 9.0 2.3 International 23,590 23,959 23,726 (1.5) 1.0 Worldwide 54,759 52,563 51,680 4.2 1.7 MEDTECH Interventional Solutions U.S. 3,633 2,169 1,836 67.5 18.2 International 2,717 2,131 2,135 27.5 (0.2) Worldwide 6,350 4,300 3,971 47.7 8.3 ELECTROPHYSIOLOGY U.S. 2,458 2,036 1,730 20.7 17.7 International 2,230 1,901 1,893 17.3 0.4 Worldwide 4,688 3,937 3,623 19.1 8.7 ABIOMED (4) U.S. 1,066 31 — * * International 240 — — * * Worldwide 1,306 31 — * * OTHER INTERVENTIONAL SOLUTIONS U.S. 109 102 106 6.7 (3.8) International 247 230 242 7.3 (5.0) Worldwide 356 332 348 7.1 (4.6) Orthopaedics U.S. 5,525 5,321 5,126 3.8 3.8 International 3,417 3,267 3,462 4.6 (5.6) Worldwide 8,942 8,587 8,588 4.1 0.0 HIPS U.S. 996 943 878 5.6 7.3 International 564 571 602 (1.2) (5.1) Worldwide 1,560 1,514 1,480 3.0 2.3 Sales to Customers % Change (Dollars in Millions) 2023 2022 2021 ’23 vs. ’22 ’22 vs. ’21 KNEES U.S. 896 851 787 5.3 8.2 International 559 508 538 10.2 (5.7) Worldwide 1,456 1,359 1,325 7.1 2.6 TRAUMA U.S. 1,949 1,882 1,819 3.6 3.5 International 1,030 989 1,066 4.1 (7.2) Worldwide 2,979 2,871 2,885 3.8 (0.5) SPINE, SPORTS & OTHER U.S. 1,684 1,645 1,642 2.4 0.2 International 1,263 1,198 1,256 5.4 (4.6) Worldwide 2,947 2,843 2,898 3.7 (1.9) Surgery U.S. 4,031 3,897 3,867 3.4 0.8 International 6,006 5,793 5,945 3.7 (2.6) Worldwide 10,037 9,690 9,812 3.6 (1.2) ADVANCED U.S. 1,833 1,784 1,761 2.8 1.3 International 2,837 2,785 2,861 1.9 (2.6) Worldwide 4,671 4,569 4,622 2.2 (1.1) GENERAL U.S. 2,198 2,113 2,105 4.0 0.4 International 3,168 3,008 3,085 5.3 (2.5) Worldwide 5,366 5,121 5,190 4.8 (1.3) Vision U.S. 2,086 1,990 1,857 4.8 7.2 International 2,986 2,859 2,831 4.5 1.0 Worldwide 5,072 4,849 4,688 4.6 3.4 CONTACT LENSES / OTHER U.S. 1,626 1,522 1,398 6.8 8.9 International 2,076 2,022 2,043 2.7 (1.0) Worldwide 3,702 3,543 3,440 4.5 3.0 SURGICAL U.S. 460 468 459 (1.8) 2.0 International 910 837 788 8.6 6.2 Worldwide 1,370 1,306 1,248 4.9 4.6 TOTAL MEDTECH U.S. 15,275 13,377 12,686 14.2 5.4 International 15,125 14,050 14,374 7.7 (2.3) Worldwide 30,400 27,427 27,060 10.8 1.4 Sales to Customers % Change (Dollars in Millions) 2023 2022 2021 ’23 vs. ’22 ’22 vs. ’21 WORLDWIDE U.S. 46,444 41,981 40,640 10.6 3.3 International 38,715 38,009 38,100 1.9 (0.2) Worldwide $85,159 79,990 78,740 6.5 % 1.6 *Percentage greater than 100% or not meaningful (1) Previously referred to as Pharmaceutical (2) Inclusive of RISPERDAL CONSTA which was previously disclosed separately (3) Inclusive of INVOKANA which was previously disclosed separately (4) |
Schedule of Segment Reporting Information | Income Before Tax Identifiable Assets (Dollars in Millions) 2023 (3) 2022 (4) 2021 (5) 2023 2022 Innovative Medicine $18,246 15,647 17,750 $58,324 58,436 MedTech 4,669 4,447 4,208 74,710 70,956 Total 22,915 20,094 21,958 133,034 129,392 Less: Expense not allocated to segments (1) 7,853 735 2,780 Discontinued operations — 27,237 General corporate (2) 34,524 30,749 Worldwide total $15,062 19,359 19,178 $167,558 187,378 Additions to Property, Depreciation and (Dollars in Millions) 2023 2022 2021 2023 2022 2021 Innovative Medicine $1,653 1,374 1,198 $3,847 3,687 4,029 MedTech 2,372 2,120 1,933 2,943 2,302 2,286 Segments total 4,025 3,494 3,131 6,790 5,989 6,315 Discontinued operations 162 303 314 383 641 739 General corporate 356 212 207 313 340 336 Worldwide total $4,543 4,009 3,652 $7,486 6,970 7,390 |
Schedule of Revenue from External Customers and Long-Lived Assets, by Geographical Areas | Sales to Customers Long-Lived Assets (6) (Dollars in Millions) 2023 2022 2021 2023 2022 United States $46,444 41,981 40,640 $54,832 58,750 Europe 20,410 20,664 20,595 31,616 29,878 Western Hemisphere excluding U.S. 4,549 4,108 3,927 1,491 1,289 Asia-Pacific, Africa 13,756 13,237 13,578 1,500 1,520 Segments total 85,159 79,990 78,740 89,439 91,437 Discontinued operations — 27,237 General corporate 1,192 1,081 Other non long-lived assets 76,927 67,623 Worldwide total $85,159 79,990 78,740 $167,558 187,378 See Note 1 for a description of the segments in which the Company operates. Export sales are not significant. In fiscal year 2023, the Company utilized three wholesalers distributing products for both segments that represented approximately 18.2%, 15.1% and 14.2% of the total consolidated revenues. In fiscal year 2022, the Company had three wholesalers distributing products for both segments that represented approximately 18.9%, 15.0% and 13.8% of the total consolidated revenues. In fiscal year 2021, the Company had three wholesalers distributing products for all three segments that represented approximately 16.6%, 12.6%, and 12.6% of the total consolidated revenues. (1) Amounts not allocated to segments include interest (income)/expense and general corporate (income)/expense. Fiscal 2023 includes an approximately $7 billion charge related to talc matters (See Note 19, Legal proceedings, for additional details) and $0.4 billion related to the unfavorable change in the fair value of the retained stake in Kenvue. (2) General corporate includes cash, cash equivalents and marketable securities. (3) Innovative Medicine includes: • One-time COVID-19 Vaccine manufacturing exit related costs of $0.7 billion • A restructuring related charge of $0.5 billion • Unfavorable changes in the fair value of securities of $0.4 billion • Favorable litigation related items of $0.1 billion • Loss on divestiture $0.2 billion. • An intangible asset impairment charge of approximately $0.2 billion related to market dynamics associated with a non-strategic asset (M710) acquired as part of the acquisition of Momenta Pharmaceuticals in 2020. MedTech includes: • Acquired in process research and development asset of $0.4 billion related to the Laminar acquisition in 2023 • A restructuring related charge of $0.3 billion • Acquisition and integration related costs of $0.2 billion primarily related to the acquisition of Abiomed • A Medical Device Regulation charge of $0.3 billion • Income from litigation settlements of $0.1 billion (4) Innovative Medicine includes: • One-time COVID-19 Vaccine manufacturing exit related costs of $1.5 billion • An intangible asset impairment charge of approximately $0.8 billion related to an in-process research and development asset, bermekimab (JnJ-77474462), an investigational drug for the treatment of Atopic Dermatitis (AD) and Hidradenitis Suppurativa (HS) acquired with the acquisition of XBiotech, Inc. in the fiscal year 2020. Additional information regarding efficacy of the AD and HS indications became available which led the Company to the decision to terminate the development of bermekimab for AD and HS • Litigation expense of $0.1 billion • Unfavorable changes in the fair value of securities of $0.7 billion • A restructuring related charge of $0.1 billion MedTech includes: • Litigation expense of $0.6 billion primarily for pelvic mesh related costs • A restructuring related charge of $0.3 billion • Acquisition and integration related costs of $0.3 billion primarily related to the acquisition of Abiomed • A Medical Device Regulation charge of $0.3 billion (5) Innovative Medicine includes: • Litigation expense of $0.6 billion, primarily related to Risperdal Gynecomastia • Divestiture gains of $0.6 billion • Gains of $0.5 billion related to the change in the fair value of securities • A restructuring related charge of $0.1 billion MedTech includes: • An in-process research and development expense of $0.9 billion related to Ottava • A restructuring related charge of $0.3 billion • A Medical Device Regulation charge of $0.2 billion • Litigation expense of $0.1 billion (6) Long-lived assets include property, plant and equipment, net for fiscal years 2023, and 2022 of $19,898 and $17,982, respectively, and intangible assets and goodwill, net for fiscal years 2023 and 2022 of $70,733 and $74,536, respectively. |
Legal proceedings (Tables)
Legal proceedings (Tables) | 12 Months Ended |
Dec. 31, 2023 | |
Commitments and Contingencies Disclosure [Abstract] | |
Schedule of Loss Contingencies by Contingency | The table below contains the most significant of these cases and provides the approximate number of plaintiffs in the United States with direct claims in pending lawsuits regarding injuries allegedly due to the relevant product or product category as of December 31, 2023: Product or product category Number of plaintiffs Body powders containing talc, primarily JOHNSON’S Baby Powder 59,140 DePuy ASR XL Acetabular System and DePuy ASR Hip Resurfacing System 160 PINNACLE Acetabular Cup System 920 Pelvic meshes 6,720 ETHICON PHYSIOMESH Flexible Composite Mesh 370 RISPERDAL 200 ELMIRON 2,150 |
Restructuring (Tables)
Restructuring (Tables) | 12 Months Ended |
Dec. 31, 2023 | |
Restructuring and Related Activities [Abstract] | |
Summary of Severance Charges and Associated Spending | The following table summarizes the restructuring expenses for the fiscal year 2023: (Pre-tax Dollars in Millions) 2023 Innovative Medicine Segment (1) $479 MedTech Segment (2) 319 Total Programs $798 (1) Included $449 million in Restructuring and $30 million in Cost of products sold on the Consolidated Statement of Earnings (2) Included $40 million in Restructuring and $279 million in Cost of products sold on the Consolidated Statement of Earnings |
Kenvue separation and discont_2
Kenvue separation and discontinued operations (Tables) | 12 Months Ended |
Dec. 31, 2023 | |
Discontinued Operations and Disposal Groups [Abstract] | |
Disposal Groups, Including Discontinued Operations | Details of Net Earnings from Discontinued Operations, net of taxes are as follows: (Dollars in Millions) 2023 (1) 2022 2021 Sales to customers $10,036 14,953 15,035 Cost of products sold 4,369 6,494 6,452 Gross profit 5,667 8,459 8,583 Selling, marketing and administrative expenses 3,085 4,519 4,542 Research and development expense 258 468 437 Interest Income (117) — — Interest expense, net of portion capitalized 199 — — Other (income) expense, net 1,092 1,060 (37) (Gain) on separation of Kenvue (20,984) — — Restructuring — 46 43 Earnings from Discontinued Operations Before Provision for Taxes on Income 22,134 2,366 3,598 Provision for taxes on income 307 795 521 Net earnings from Discontinued Operations $21,827 1,571 3,077 (1) The Company ceased consolidating the results of the Consumer Health business on August 23, 2023, the date of the exchange offer, but continued to reflect any separation costs incurred as part of discontinued operations through the end of the fiscal fourth quarter. The following table presents depreciation, amortization and capital expenditures of the discontinued operations related to Kenvue: (Dollars in Millions) 2023 (1) 2022 2021 Depreciation and Amortization $383 641 739 Capital expenditures $162 303 314 Details of assets and liabilities of discontinued operations were as follows: January 1, 2023 Assets Cash and cash equivalents $1,238 Accounts receivable trade, less allowances for doubtful accounts 2,121 Inventories 2,215 Prepaid expenses and other receivables 256 Total current assets of discontinued operations 5,830 Property, plant and equipment, net 1,821 Intangible assets, net 9,836 Goodwill 9,184 Deferred taxes on income 176 Other assets 390 Total noncurrent assets of discontinued operations $21,407 Liabilities Loans and notes payable $15 Accounts payable 1,814 Accrued liabilities including accrued taxes on income 644 Accrued rebates, returns and promotions 838 Accrued compensation and employee related obligations 279 Total current liabilities of discontinued operations 3,590 Long-term debt 2 Deferred taxes on income 2,383 Employee related obligations 225 Other liabilities 291 Total noncurrent liabilities of discontinued operations $2,901 |
Selected quarterly financial _2
Selected quarterly financial data (unaudited) (Tables) | 12 Months Ended |
Dec. 31, 2023 | |
Selected Quarterly Financial Information [Abstract] | |
Summary of Selected Quarterly Financial Data (unaudited) | Selected unaudited quarterly financial data has been recast for discontinued operations for the years 2023 and 2022 and is summarized below: 2023 2022 (Dollars in Millions Except Per Share Data) First Quarter (1) Second Quarter Third Quarter (2) Fourth Quarter (3) First Quarter (4) Second Quarter Third Quarter Fourth Quarter (5) Segment sales to customers Innovative Medicine $13,413 13,731 13,893 13,722 12,869 13,317 13,214 13,163 MedTech 7,481 7,788 7,458 7,673 6,971 6,898 6,782 6,776 Total sales 20,894 21,519 21,351 21,395 19,840 20,215 19,996 19,939 Gross profit 14,207 15,057 14,745 14,597 13,822 13,893 13,824 13,855 Earnings (Loss) before provision for taxes on income (1,287) 6,306 5,217 4,826 5,203 5,144 5,172 3,840 Net earnings (loss) from continuing operations (491) 5,376 4,309 4,132 4,571 4,262 4,310 3,227 Net earnings (loss) from discontinued operations, net of tax 423 (232) 21,719 (83) 578 552 148 293 Net earnings (loss) (68) 5,144 26,028 4,049 5,149 4,814 4,458 3,520 Basic net earnings(loss) per share: Basic net earnings (loss) per share from continuing operations (0.19) 2.07 1.71 1.71 1.74 1.62 1.64 1.24 Basic net earnings (loss) per share from discontinued operations 0.16 (0.09) 8.61 (0.03) 0.22 0.21 0.06 0.11 Basic net earnings (loss) per share (0.03) 1.98 10.32 1.68 1.96 1.83 1.70 1.35 Diluted net earnings (loss) per share: Diluted net earnings (loss) per share from continuing operations (0.19) 2.05 1.69 1.70 1.71 1.60 1.62 1.22 Diluted net earnings (loss) per share from discontinued operations 0.16 (0.09) 8.52 (0.03) 0.22 0.20 0.06 0.11 Diluted net earnings (loss) per share (0.03) 1.96 10.21 1.67 1.93 1.80 1.68 1.33 (1) The fiscal first quarter of 2023 includes a $6.9 billion charge related to talc matters. (2) The fiscal third quarter of 2023 includes; a non-cash gain on the exchange offer of $21.0 billion that was recorded in Net earnings from discontinued operations, net of taxes; $0.6 billion related to the unfavorable change in the fair value of the retained stake in Kenvue and $0.4 billion related to the partial impairment of Idorsia convertible debt and the change in the fair value of the Idorsia equity securities held. (3) The fourth quarter of 2023 includes favorable changes in the fair value of securities of $0.4 billion (4) In the fiscal first quarter of 2022, the Company recorded an intangible asset impairment charge of approximately $0.6 billion related to an in-process research and development asset, bermekimab (JnJ-77474462). (5) |
Summary of significant accoun_4
Summary of significant accounting policies - Narrative (Details) $ / shares in Units, $ in Millions | 12 Months Ended | |||||||
Aug. 23, 2023 | May 08, 2023 USD ($) $ / shares shares | Dec. 31, 2023 USD ($) Segment Employee $ / shares | Jan. 01, 2023 USD ($) $ / shares | Jan. 02, 2022 USD ($) | Dec. 29, 2019 | Dec. 30, 2018 | Jul. 02, 2023 USD ($) | |
Concentration of Credit Risk [Line Items] | ||||||||
Number of employees | Employee | 131,900 | |||||||
Common Stock, Par or Stated Value Per Share | $ / shares | $ 1 | $ 1 | ||||||
Proceeds from Kenvue initial public offering | $ 4,241 | $ 0 | $ 0 | |||||
Realized gain (loss) on investment | $ 2,500 | |||||||
Number of business segments | Segment | 2 | |||||||
Supplier finance program, obligation, current | $ 700 | $ 700 | ||||||
Supplier Finance Program, Obligation, Current, Statement of Financial Position [Extensible Enumeration] | Accounts Payable, Current | Accounts Payable, Current | ||||||
Minimum reverse repurchase agreement collateral (as a percent) | 102% | |||||||
Accrued rebates, returns and promotions | $ 16,001 | $ 13,579 | ||||||
Sales return reserve (as a percent) | 1% | 1% | 1% | |||||
Percentage of profit share payments (less than) | 2% | 3% | 3% | |||||
Cost of products sold | $ 26,553 | $ 24,596 | $ 23,402 | |||||
Shipping and handling costs as a percent of sales | 1% | 1% | 1% | |||||
Operating Lease, Right-of-Use Asset, Statement of Financial Position [Extensible Enumeration] | Other assets, noncurrent | Other assets, noncurrent | ||||||
Operating Lease, Liability, Current, Statement of Financial Position [Extensible Enumeration] | Accrued Liabilities, Current | Accrued Liabilities, Current | ||||||
Operating Lease, Liability, Noncurrent, Statement of Financial Position [Extensible Enumeration] | Other Liabilities, Noncurrent | Other Liabilities, Noncurrent | ||||||
Operating lease, right-of-use asset | $ 1,000 | |||||||
Operating lease liabilities | 1,100 | |||||||
Operating lease costs | 200 | $ 200 | $ 200 | |||||
Cash paid for operating leases | 200 | 200 | 200 | |||||
Advertising expense | $ 500 | $ 700 | $ 1,200 | |||||
U.S. statutory rate | 21% | 21% | 21% | 21% | 35% | |||
TCJA, undistributed foreign earnings percent related to cash and cash equivalents | 15.50% | |||||||
TCJA, undistributed foreign earnings percent related to earnings other than cash and cash equivalents | 8% | |||||||
TCJA, provisional liability | $ 4,500 | |||||||
TJCA , provisional liability, non-current | 2,500 | |||||||
Repatriation of foreign earnings amount | 500 | |||||||
Selling, marketing and administrative expenses | $ 21,512 | $ 20,246 | $ 20,118 | |||||
Kenvue Inc. | ||||||||
Concentration of Credit Risk [Line Items] | ||||||||
Split-off percentage | 80.10% | |||||||
Kenvue Inc. | ||||||||
Concentration of Credit Risk [Line Items] | ||||||||
Common Stock, Par or Stated Value Per Share | $ / shares | $ 0.01 | |||||||
Sale of stock (in USD per share) | $ / shares | $ 22 | |||||||
Johnson & Johnson | Kenvue Inc. | ||||||||
Concentration of Credit Risk [Line Items] | ||||||||
Percentage ownership after transaction | 89.60% | |||||||
Common stock, value | $ 1,300 | |||||||
Percentage ownership after transaction | 9.50% | |||||||
IPO | Kenvue Inc. | ||||||||
Concentration of Credit Risk [Line Items] | ||||||||
Sale of stock, number of shares issued in transaction (in shares) | shares | 198,734,444 | |||||||
Proceeds from Kenvue initial public offering | $ 4,200 | |||||||
Minimum | Software Development | ||||||||
Concentration of Credit Risk [Line Items] | ||||||||
Estimated useful lives of the assets | 3 years | |||||||
Maximum | Software Development | ||||||||
Concentration of Credit Risk [Line Items] | ||||||||
Estimated useful lives of the assets | 8 years | |||||||
R&D Expense | Project Concentration Risk | ||||||||
Concentration of Credit Risk [Line Items] | ||||||||
Concentration risk, threshold percentage (as a percent) | 0.05 | 0.05 | 0.05 | |||||
Shipping and Handling | ||||||||
Concentration of Credit Risk [Line Items] | ||||||||
Cost of products sold | $ 800 | $ 800 | ||||||
Selling, marketing and administrative expenses | $ 900 | |||||||
Pharmaceutical | ||||||||
Concentration of Credit Risk [Line Items] | ||||||||
Accrued rebates, returns and promotions | $ 11,500 | $ 9,600 |
Summary of significant accoun_5
Summary of significant accounting policies - Estimated Useful Lives of Assets (Details) | Dec. 31, 2023 |
Minimum | Land and leasehold improvements | |
Property, Plant and Equipment [Line Items] | |
Estimated useful lives of the assets | 10 years |
Minimum | Machinery and equipment | |
Property, Plant and Equipment [Line Items] | |
Estimated useful lives of the assets | 2 years |
Maximum | Building and building equipment | |
Property, Plant and Equipment [Line Items] | |
Estimated useful lives of the assets | 30 years |
Maximum | Land and leasehold improvements | |
Property, Plant and Equipment [Line Items] | |
Estimated useful lives of the assets | 20 years |
Maximum | Machinery and equipment | |
Property, Plant and Equipment [Line Items] | |
Estimated useful lives of the assets | 13 years |
Cash, cash equivalents and cu_3
Cash, cash equivalents and current marketable securities - Cash and Cash Equivalent Composition (Details) - USD ($) $ in Millions | Dec. 31, 2023 | Jan. 01, 2023 |
Cash, Cash Equivalents, and Short-term Investments [Abstract] | ||
Fair value, available-for-sale | $ 8,874 | $ 10,487 |
Cash & Cash Equivalents | 21,859 | 12,889 |
Current Marketable Securities | 1,068 | 9,392 |
Held-to-maturity Securities | ||
Cash, Cash Equivalents, and Short-term Investments [Abstract] | ||
Carrying Amount, held-to-maturity | 14,053 | 11,794 |
Held-to-maturity, unrecognized loss | 0 | (1) |
Fair value, held-to-maturity | 14,053 | 11,793 |
Cash & Cash Equivalents | 13,556 | 10,921 |
Current Marketable Securities | 497 | 873 |
Held-to-maturity Securities | Non-U.S. Sovereign Securities | ||
Cash, Cash Equivalents, and Short-term Investments [Abstract] | ||
Carrying Amount, held-to-maturity | 522 | |
Held-to-maturity, unrecognized loss | 0 | |
Fair value, held-to-maturity | 522 | |
Cash & Cash Equivalents | 174 | |
Current Marketable Securities | 348 | |
Held-to-maturity Securities | Cash | ||
Cash, Cash Equivalents, and Short-term Investments [Abstract] | ||
Carrying Amount, held-to-maturity | 3,340 | 3,691 |
Held-to-maturity, unrecognized loss | 0 | 0 |
Fair value, held-to-maturity | 3,340 | 3,691 |
Cash & Cash Equivalents | 3,340 | 3,691 |
Current Marketable Securities | 0 | 0 |
Held-to-maturity Securities | U.S. Reverse repurchase agreements | ||
Cash, Cash Equivalents, and Short-term Investments [Abstract] | ||
Carrying Amount, held-to-maturity | 4,377 | 1,419 |
Held-to-maturity, unrecognized loss | 0 | 0 |
Fair value, held-to-maturity | 4,377 | 1,419 |
Cash & Cash Equivalents | 4,377 | 1,419 |
Current Marketable Securities | 0 | 0 |
Held-to-maturity Securities | Corporate debt securities | ||
Cash, Cash Equivalents, and Short-term Investments [Abstract] | ||
Carrying Amount, held-to-maturity | 338 | 873 |
Held-to-maturity, unrecognized loss | 0 | (1) |
Fair value, held-to-maturity | 338 | 872 |
Cash & Cash Equivalents | 189 | 0 |
Current Marketable Securities | 149 | 873 |
Held-to-maturity Securities | Money market funds | ||
Cash, Cash Equivalents, and Short-term Investments [Abstract] | ||
Carrying Amount, held-to-maturity | 4,814 | 5,368 |
Held-to-maturity, unrecognized loss | 0 | 0 |
Fair value, held-to-maturity | 4,814 | 5,368 |
Cash & Cash Equivalents | 4,814 | 5,368 |
Current Marketable Securities | 0 | 0 |
Held-to-maturity Securities | Time deposits | ||
Cash, Cash Equivalents, and Short-term Investments [Abstract] | ||
Carrying Amount, held-to-maturity | 662 | 443 |
Held-to-maturity, unrecognized loss | 0 | 0 |
Fair value, held-to-maturity | 662 | 443 |
Cash & Cash Equivalents | 662 | 443 |
Current Marketable Securities | 0 | 0 |
Available-for-sale Securities | ||
Cash, Cash Equivalents, and Short-term Investments [Abstract] | ||
Carrying Amount, available-for-sale | 8,875 | 10,521 |
Available-for-sale, unrecognized loss | (1) | (34) |
Fair value, available-for-sale | 8,874 | 10,487 |
Cash & Cash Equivalents | 8,303 | 1,968 |
Current Marketable Securities | 571 | 8,519 |
Available-for-sale Securities | Corporate debt securities | ||
Cash, Cash Equivalents, and Short-term Investments [Abstract] | ||
Carrying Amount, available-for-sale | 237 | 352 |
Available-for-sale, unrecognized loss | 0 | (1) |
Fair value, available-for-sale | 237 | 351 |
Cash & Cash Equivalents | 43 | 46 |
Current Marketable Securities | 194 | 305 |
Available-for-sale Securities | U.S. Gov't Securities | ||
Cash, Cash Equivalents, and Short-term Investments [Abstract] | ||
Carrying Amount, available-for-sale | 8,562 | 9,959 |
Available-for-sale, unrecognized loss | 0 | (28) |
Fair value, available-for-sale | 8,562 | 9,931 |
Cash & Cash Equivalents | 8,259 | 1,922 |
Current Marketable Securities | 303 | 8,009 |
Available-for-sale Securities | U.S. Gov't Agencies | ||
Cash, Cash Equivalents, and Short-term Investments [Abstract] | ||
Carrying Amount, available-for-sale | 71 | 210 |
Available-for-sale, unrecognized loss | (1) | (5) |
Fair value, available-for-sale | 70 | 205 |
Cash & Cash Equivalents | 0 | 0 |
Current Marketable Securities | 70 | $ 205 |
Available-for-sale Securities | Other Sovereign Securities | ||
Cash, Cash Equivalents, and Short-term Investments [Abstract] | ||
Carrying Amount, available-for-sale | 5 | |
Available-for-sale, unrecognized loss | 0 | |
Fair value, available-for-sale | 5 | |
Cash & Cash Equivalents | 1 | |
Current Marketable Securities | $ 4 |
Cash, cash equivalents and cu_4
Cash, cash equivalents and current marketable securities - Contractual Maturities of Available for Sale Securities (Details) $ in Millions | Dec. 31, 2023 USD ($) |
Cost Basis | |
Due within one year | $ 8,865 |
Due after one year through five years | 10 |
Due after five years through ten years | 0 |
Total debt securities | 8,875 |
Fair Value | |
Due within one year | 8,864 |
Due after one year through five years | 10 |
Due after five years through ten years | 0 |
Total debt securities | $ 8,874 |
Inventories (Details)
Inventories (Details) - USD ($) $ in Millions | Dec. 31, 2023 | Jan. 01, 2023 |
Summary of Inventories | ||
Raw materials and supplies | $ 2,355 | $ 1,719 |
Goods in process | 1,952 | 1,577 |
Finished goods | 6,874 | 6,972 |
Total inventories | $ 11,181 | $ 10,268 |
Property, plant and equipment -
Property, plant and equipment - Property, Plant and Equipment at Cost and Accumulated Depreciation (Details) - USD ($) $ in Millions | Dec. 31, 2023 | Jan. 01, 2023 |
Property, Plant and Equipment [Line Items] | ||
Total property, plant and equipment, gross | $ 47,776 | $ 43,534 |
Less accumulated depreciation | 27,878 | 25,552 |
Total property, plant and equipment, net | 19,898 | 17,982 |
Land and leasehold improvements | ||
Property, Plant and Equipment [Line Items] | ||
Total property, plant and equipment, gross | 795 | 784 |
Building and building equipment | ||
Property, Plant and Equipment [Line Items] | ||
Total property, plant and equipment, gross | 12,375 | 11,470 |
Machinery and equipment | ||
Property, Plant and Equipment [Line Items] | ||
Total property, plant and equipment, gross | 28,979 | 26,603 |
Construction in progress | ||
Property, Plant and Equipment [Line Items] | ||
Total property, plant and equipment, gross | $ 5,627 | $ 4,677 |
Property, plant and equipment_2
Property, plant and equipment - Narrative (Details) - USD ($) $ in Millions | 12 Months Ended | ||
Dec. 31, 2023 | Jan. 01, 2023 | Jan. 02, 2022 | |
Property, Plant and Equipment [Abstract] | |||
Interest expense capitalized | $ 70 | $ 49 | $ 49 |
Depreciation expense, including the amortization of capitalized interest | $ 2,600 | $ 2,400 | $ 2,400 |
Intangible assets and goodwil -
Intangible assets and goodwil - Schedule of Intangible Assets and Goodwill (Details) - USD ($) $ in Millions | Dec. 31, 2023 | Jan. 01, 2023 |
Intangible assets with indefinite lives: | ||
Indefinite lived intangible assets | $ 10,929 | $ 11,316 |
Total intangible assets - net | 34,175 | 38,489 |
Trademarks | ||
Intangible assets with indefinite lives: | ||
Indefinite lived intangible assets | 1,714 | 1,630 |
Purchased in-process research and development | ||
Intangible assets with indefinite lives: | ||
Indefinite lived intangible assets | 9,215 | 9,686 |
Patents And Trademarks | ||
Intangible assets with definite lives: | ||
Finite lived intangible assets gross | 40,417 | 39,388 |
Less accumulated amortization | (24,808) | (20,616) |
Finite lived intangible assets net | 15,609 | 18,772 |
Customer relationships and other intangible assets | ||
Intangible assets with definite lives: | ||
Finite lived intangible assets gross | 20,322 | 19,764 |
Less accumulated amortization | (12,685) | (11,363) |
Finite lived intangible assets net | $ 7,637 | $ 8,401 |
Intangible assets and goodwil_2
Intangible assets and goodwill - Goodwill (Details) - USD ($) $ in Millions | 12 Months Ended | |
Dec. 31, 2023 | Jan. 01, 2023 | |
Goodwill [Roll Forward] | ||
Goodwill beginning of period | $ 36,047 | $ 25,436 |
Goodwill, related to acquisitions | 0 | 11,056 |
Goodwill, related to divestitures | 0 | 0 |
Currency translation/other | 511 | (445) |
Goodwill end of period | 36,558 | 36,047 |
Innovative Medicine | ||
Goodwill [Roll Forward] | ||
Goodwill beginning of period | 10,184 | 10,580 |
Goodwill, related to acquisitions | 0 | 0 |
Goodwill, related to divestitures | 0 | 0 |
Currency translation/other | 223 | (396) |
Goodwill end of period | 10,407 | 10,184 |
MedTech | ||
Goodwill [Roll Forward] | ||
Goodwill beginning of period | 25,863 | 14,856 |
Goodwill, related to acquisitions | 0 | 11,056 |
Goodwill, related to divestitures | 0 | 0 |
Currency translation/other | 288 | (49) |
Goodwill end of period | $ 26,151 | $ 25,863 |
Intangible assets and goodwil_3
Intangible assets and goodwill - Narrative (Details) - USD ($) $ in Billions | 12 Months Ended | |||
Dec. 31, 2023 | Jan. 01, 2023 | Jan. 02, 2022 | Dec. 22, 2022 | |
Finite-Lived Intangible Assets [Line Items] | ||||
Intangible assets useful life | 14 years | |||
Amortization expense of amortizable intangible assets | $ 4.5 | $ 3.9 | $ 4.2 | |
Patents And Trademarks | ||||
Finite-Lived Intangible Assets [Line Items] | ||||
Intangible assets useful life | 11 years | |||
Customer relationships and other intangible assets | ||||
Finite-Lived Intangible Assets [Line Items] | ||||
Intangible assets useful life | 19 years |
Intangible assets and goodwil_4
Intangible assets and goodwill - Estimated Amortization of Intangible Assets (Details) $ in Millions | Dec. 31, 2023 USD ($) |
Goodwill and Intangible Assets Disclosure [Abstract] | |
2024 | $ 4,300 |
2025 | 3,500 |
2026 | 2,900 |
2027 | 2,300 |
2028 | $ 1,600 |
Fair value measurements - Narra
Fair value measurements - Narrative (Details) - USD ($) $ in Millions | 12 Months Ended | |
Dec. 31, 2023 | Jan. 01, 2023 | |
Derivative [Line Items] | ||
Deferred net losses (gains) on derivatives included in accumulated other comprehensive income | $ (377) | |
Description of reclassification of cash flow hedge gain (loss) | next 12 months | |
Maximum length of time for hedging transaction exposure | 18 months | |
Foreign exchange contracts | ||
Derivative [Line Items] | ||
Collateral paid | $ 4,000 | $ 800 |
Derivative, notional amount | 42,900 | 41,500 |
Cross currency interest rate swaps | ||
Derivative [Line Items] | ||
Derivative, notional amount | 39,700 | 36,200 |
Interest Rate Swap | ||
Derivative [Line Items] | ||
Derivative, notional amount | 10,000 | 10,000 |
Equity securities | Equity Investments without readily determinable value | ||
Derivative [Line Items] | ||
Equity, fair value adjustment, impairment loss | (1) | (51) |
Equity, fair value adjustment, change in observable prices | $ 27 | $ 142 |
Fair value measurements - Summa
Fair value measurements - Summary of Derivative Activity (Details) - USD ($) $ in Millions | 12 Months Ended | ||
Dec. 31, 2023 | Jan. 01, 2023 | Jan. 02, 2022 | |
Derivative Instruments, Gain (Loss) [Line Items] | |||
Amount of gain or (loss) reclassified from AOCI into income | $ 569 | $ 348 | $ 789 |
Amount of gain or (loss) recognized in AOCI | 422 | 454 | $ (199) |
Sales | Interest Rate Swap | Fair Value Hedging | |||
Derivative Instruments, Gain (Loss) [Line Items] | |||
Amount of gain or (loss) recognized in income on derivative amount excluded from effectiveness testing | 0 | 0 | |
Amount of gain or (loss) recognized in AOCI | 0 | 0 | |
Sales | Cross currency interest rate swaps contracts: | Fair Value Hedging | |||
Derivative Instruments, Gain (Loss) [Line Items] | |||
Amount of gain or (loss) recognized in income on derivative amount excluded from effectiveness testing | 0 | 0 | |
Amount of gain or (loss) recognized in AOCI | 0 | 0 | |
Sales | Cross currency interest rate swaps contracts: | Cash Flow Hedging | |||
Derivative Instruments, Gain (Loss) [Line Items] | |||
Amount of gain or (loss) reclassified from AOCI into income | 0 | 0 | |
Amount of gain or (loss) recognized in AOCI | 0 | 0 | |
Sales | Forward foreign exchange contracts: | Cash Flow Hedging | |||
Derivative Instruments, Gain (Loss) [Line Items] | |||
Amount of gain or (loss) reclassified from AOCI into income | 7 | (72) | |
Amount of gain or (loss) recognized in AOCI | 10 | 5 | |
Cost of Products Sold | Interest Rate Swap | Fair Value Hedging | |||
Derivative Instruments, Gain (Loss) [Line Items] | |||
Amount of gain or (loss) recognized in income on derivative amount excluded from effectiveness testing | 0 | 0 | |
Amount of gain or (loss) recognized in AOCI | 0 | 0 | |
Cost of Products Sold | Cross currency interest rate swaps contracts: | Fair Value Hedging | |||
Derivative Instruments, Gain (Loss) [Line Items] | |||
Amount of gain or (loss) recognized in income on derivative amount excluded from effectiveness testing | 0 | 0 | |
Amount of gain or (loss) recognized in AOCI | 0 | 0 | |
Cost of Products Sold | Cross currency interest rate swaps contracts: | Cash Flow Hedging | |||
Derivative Instruments, Gain (Loss) [Line Items] | |||
Amount of gain or (loss) reclassified from AOCI into income | 0 | 0 | |
Amount of gain or (loss) recognized in AOCI | 0 | 0 | |
Cost of Products Sold | Forward foreign exchange contracts: | Cash Flow Hedging | |||
Derivative Instruments, Gain (Loss) [Line Items] | |||
Amount of gain or (loss) reclassified from AOCI into income | 186 | (271) | |
Amount of gain or (loss) recognized in AOCI | 447 | 319 | |
R&D Expense | Interest Rate Swap | Fair Value Hedging | |||
Derivative Instruments, Gain (Loss) [Line Items] | |||
Amount of gain or (loss) recognized in income on derivative amount excluded from effectiveness testing | 0 | 0 | |
Amount of gain or (loss) recognized in AOCI | 0 | 0 | |
R&D Expense | Cross currency interest rate swaps contracts: | Fair Value Hedging | |||
Derivative Instruments, Gain (Loss) [Line Items] | |||
Amount of gain or (loss) recognized in income on derivative amount excluded from effectiveness testing | 0 | 0 | |
Amount of gain or (loss) recognized in AOCI | 0 | 0 | |
R&D Expense | Cross currency interest rate swaps contracts: | Cash Flow Hedging | |||
Derivative Instruments, Gain (Loss) [Line Items] | |||
Amount of gain or (loss) reclassified from AOCI into income | 0 | 0 | |
Amount of gain or (loss) recognized in AOCI | 0 | 0 | |
R&D Expense | Forward foreign exchange contracts: | Cash Flow Hedging | |||
Derivative Instruments, Gain (Loss) [Line Items] | |||
Amount of gain or (loss) reclassified from AOCI into income | (37) | 149 | |
Amount of gain or (loss) recognized in AOCI | (18) | 61 | |
Interest (Income) Expense | Interest Rate Swap | Fair Value Hedging | |||
Derivative Instruments, Gain (Loss) [Line Items] | |||
Amount of gain or (loss) recognized in income on derivative amount excluded from effectiveness testing | (930) | (1,098) | |
Amount of gain or (loss) recognized in AOCI | 930 | 1,098 | |
Interest (Income) Expense | Cross currency interest rate swaps contracts: | Fair Value Hedging | |||
Derivative Instruments, Gain (Loss) [Line Items] | |||
Amount of gain or (loss) recognized in income on derivative amount excluded from effectiveness testing | 130 | 140 | |
Amount of gain or (loss) recognized in AOCI | 130 | 140 | |
Interest (Income) Expense | Cross currency interest rate swaps contracts: | Cash Flow Hedging | |||
Derivative Instruments, Gain (Loss) [Line Items] | |||
Amount of gain or (loss) reclassified from AOCI into income | 275 | 425 | |
Amount of gain or (loss) recognized in AOCI | (156) | 42 | |
Interest (Income) Expense | Forward foreign exchange contracts: | Cash Flow Hedging | |||
Derivative Instruments, Gain (Loss) [Line Items] | |||
Amount of gain or (loss) reclassified from AOCI into income | 0 | 0 | |
Amount of gain or (loss) recognized in AOCI | 0 | 0 | |
Other (Income) Expense | Interest Rate Swap | Fair Value Hedging | |||
Derivative Instruments, Gain (Loss) [Line Items] | |||
Amount of gain or (loss) recognized in income on derivative amount excluded from effectiveness testing | 0 | 0 | |
Amount of gain or (loss) recognized in AOCI | 0 | 0 | |
Other (Income) Expense | Cross currency interest rate swaps contracts: | Fair Value Hedging | |||
Derivative Instruments, Gain (Loss) [Line Items] | |||
Amount of gain or (loss) recognized in income on derivative amount excluded from effectiveness testing | 0 | 0 | |
Amount of gain or (loss) recognized in AOCI | 0 | 0 | |
Other (Income) Expense | Cross currency interest rate swaps contracts: | Cash Flow Hedging | |||
Derivative Instruments, Gain (Loss) [Line Items] | |||
Amount of gain or (loss) reclassified from AOCI into income | 0 | 0 | |
Amount of gain or (loss) recognized in AOCI | 0 | 0 | |
Other (Income) Expense | Forward foreign exchange contracts: | Cash Flow Hedging | |||
Derivative Instruments, Gain (Loss) [Line Items] | |||
Amount of gain or (loss) reclassified from AOCI into income | 8 | (23) | |
Amount of gain or (loss) recognized in AOCI | $ 9 | $ (113) |
Fair value measurements - Sched
Fair value measurements - Schedule of Derivatives Recorded in Consolidated Balance Sheets (Details) - USD ($) $ in Millions | Dec. 31, 2023 | Jan. 01, 2023 |
Derivative Instruments, Gain (Loss) [Line Items] | ||
Carrying Amount of the Hedged Liability | $ 6,037 | $ 3,357 |
Long-term Debt | Designated as Hedging Instrument | ||
Derivative Instruments, Gain (Loss) [Line Items] | ||
Carrying Amount of the Hedged Liability | 8,862 | 8,665 |
Cumulative Amount of Fair Value Hedging Adjustment Included in the Carrying Amount of the Hedged Liability | $ (1,216) | $ (1,435) |
Fair value measurements - Sch_2
Fair value measurements - Schedule of Effect of Derivatives not Designated as Hedging Instruments (Details) - USD ($) $ in Millions | 12 Months Ended | |
Dec. 31, 2023 | Jan. 01, 2023 | |
Derivative Instruments, Gain (Loss) [Line Items] | ||
Derivative, Gain (Loss), Statement of Income or Comprehensive Income [Extensible Enumeration] | Other Nonoperating Income (Expense) | Other Nonoperating Income (Expense) |
Forward foreign exchange contracts: | Not Designated as Hedging Instrument | ||
Derivative Instruments, Gain (Loss) [Line Items] | ||
Gain/(Loss) Recognized In Income on Derivative | $ (60) | $ 94 |
Fair value measurements - Sch_3
Fair value measurements - Schedule of Effect of Net Investment Hedges (Details) - USD ($) $ in Millions | 3 Months Ended | 12 Months Ended | ||
Dec. 31, 2023 | Jan. 01, 2023 | Dec. 31, 2023 | Jan. 01, 2023 | |
Derivative Instruments, Gain (Loss) [Line Items] | ||||
Gain/(Loss) Recognized In Accumulated OCI | $ (131) | $ 197 | ||
Cross currency interest rate swaps contracts: | ||||
Derivative Instruments, Gain (Loss) [Line Items] | ||||
Gain/(Loss) Recognized In Accumulated OCI | $ 642 | $ 766 | ||
Other (Income) Expense | ||||
Derivative Instruments, Gain (Loss) [Line Items] | ||||
Gain/(Loss) Reclassified From Accumulated OCI Into Income | $ 0 | $ 0 | ||
Other (Income) Expense | Cross currency interest rate swaps contracts: | ||||
Derivative Instruments, Gain (Loss) [Line Items] | ||||
Gain/(Loss) Reclassified From Accumulated OCI Into Income | $ 0 | $ 0 |
Fair value measurements - Sum_2
Fair value measurements - Summary of Activity Related to Equity Investments (Details) - USD ($) $ in Millions | 3 Months Ended | 12 Months Ended | |||
Aug. 23, 2023 | Oct. 01, 2023 | Dec. 31, 2023 | Jan. 01, 2023 | Jan. 02, 2022 | |
Equity Investment [Roll Forward] | |||||
Other assets, noncurrent | $ 14,153 | $ 9,212 | |||
Equity securities, FV-NI, gain (loss) | $ (600) | 400 | |||
Kenvue Inc. | Johnson & Johnson | |||||
Equity Investment [Roll Forward] | |||||
Percentage ownership after transaction | 9.50% | ||||
Equity securities | Equity Investments with readily determinable value | |||||
Equity Investment [Roll Forward] | |||||
Marketable securities, noncurrent | 4,473 | 576 | $ 1,884 | ||
Equity, fair value adjustment | (368) | (538) | |||
Equity investments, increase (decrease) from acquisition (sale) during period | 4,265 | (770) | |||
Other assets, noncurrent | 4,473 | 576 | |||
Equity securities | Equity Investments without readily determinable value | |||||
Equity Investment [Roll Forward] | |||||
Equity securities without readily determinable fair value, amount | 696 | 613 | $ 413 | ||
Equity, fair value adjustment | 1 | 93 | |||
Equity investments, increase (decrease) from acquisition (sale) during period | 82 | 107 | |||
Other assets, noncurrent | $ 696 | $ 613 |
Fair value measurements - Finan
Fair value measurements - Financial Assets and Liabilities at Fair Value (Details) - USD ($) $ in Millions | 12 Months Ended | ||
Dec. 31, 2023 | Jan. 01, 2023 | Jan. 02, 2022 | |
Financial assets and liabilities at fair value | |||
Derivatives designated as hedging instruments : Assets | $ 1,527 | ||
Derivatives designated as hedging instruments : Liabilities | 5,962 | ||
Equity investments | 4,473 | $ 576 | |
Debt securities | 8,874 | 10,487 | |
Contingent Consideration | 1,092 | 1,120 | |
Total Gross Assets | 1,591 | 2,201 | |
Credit Support Agreements (CSA) | $ (1,575) | $ (2,176) | |
Derivative Asset, Statement Of Financial Position, Extensible Enumeration, Not Disclosed Flag | Total Net Asset | Total Net Asset | |
Total Net Asset | $ 16 | $ 25 | |
Total Gross Liabilities | 6,037 | 3,357 | |
Credit Support Agreements (CSA) | $ (5,604) | $ (3,023) | |
Derivative Liability, Statement Of Financial Position, Extensible Enumeration, Not Disclosed Flag | Total Net Liabilities | Total Net Liabilities | |
Total Net Liabilities | $ 433 | $ 334 | |
Beginning Balance | 1,120 | 533 | $ 633 |
Changes in estimated fair value | 29 | (194) | (52) |
Additions | 0 | 792 | 0 |
Payments/Other | (57) | (11) | (48) |
Ending Balance | 1,092 | 1,120 | 533 |
Other Noncurrent Liabilities | |||
Financial assets and liabilities at fair value | |||
Contingent Consideration | 1,092 | 1,116 | 520 |
Other Current Liabilities | |||
Financial assets and liabilities at fair value | |||
Contingent Consideration | 4 | $ 13 | |
Abiomed | |||
Financial assets and liabilities at fair value | |||
Contingent Consideration | 704 | ||
Level 1 | |||
Financial assets and liabilities at fair value | |||
Derivatives designated as hedging instruments : Assets | 0 | ||
Derivatives designated as hedging instruments : Liabilities | 0 | ||
Equity investments | 4,473 | 576 | |
Debt securities | 0 | ||
Level 2 | |||
Financial assets and liabilities at fair value | |||
Derivatives designated as hedging instruments : Assets | 1,527 | 2,163 | |
Derivatives designated as hedging instruments : Liabilities | 5,962 | 3,289 | |
Equity investments | 0 | ||
Debt securities | 8,874 | ||
Level 3 | |||
Financial assets and liabilities at fair value | |||
Derivatives designated as hedging instruments : Assets | 0 | ||
Derivatives designated as hedging instruments : Liabilities | 0 | ||
Equity investments | 0 | ||
Debt securities | 0 | ||
Contingent Consideration | 1,092 | 1,120 | |
Foreign exchange contracts | |||
Financial assets and liabilities at fair value | |||
Derivatives designated as hedging instruments : Assets | 539 | ||
Derivatives designated as hedging instruments : Liabilities | 624 | ||
Derivatives not designated as hedging instruments : Assets | 64 | ||
Derivatives not designated as hedging instruments : Liabilities | 75 | ||
Foreign exchange contracts | Level 1 | |||
Financial assets and liabilities at fair value | |||
Derivatives designated as hedging instruments : Assets | 0 | ||
Derivatives designated as hedging instruments : Liabilities | 0 | ||
Derivatives not designated as hedging instruments : Assets | 0 | ||
Derivatives not designated as hedging instruments : Liabilities | 0 | ||
Foreign exchange contracts | Level 2 | |||
Financial assets and liabilities at fair value | |||
Derivatives designated as hedging instruments : Assets | 539 | 629 | |
Derivatives designated as hedging instruments : Liabilities | 624 | 511 | |
Derivatives not designated as hedging instruments : Assets | 64 | 38 | |
Derivatives not designated as hedging instruments : Liabilities | 75 | 68 | |
Foreign exchange contracts | Level 3 | |||
Financial assets and liabilities at fair value | |||
Derivatives designated as hedging instruments : Assets | 0 | ||
Derivatives designated as hedging instruments : Liabilities | 0 | ||
Derivatives not designated as hedging instruments : Assets | 0 | ||
Derivatives not designated as hedging instruments : Liabilities | 0 | ||
Interest rate swaps contracts: | |||
Financial assets and liabilities at fair value | |||
Derivatives designated as hedging instruments : Assets | 988 | ||
Derivatives designated as hedging instruments : Liabilities | 5,338 | ||
Interest rate swaps contracts: | Level 1 | |||
Financial assets and liabilities at fair value | |||
Derivatives designated as hedging instruments : Assets | 0 | ||
Derivatives designated as hedging instruments : Liabilities | 0 | ||
Interest rate swaps contracts: | Level 2 | |||
Financial assets and liabilities at fair value | |||
Derivatives designated as hedging instruments : Assets | 988 | 1,534 | |
Derivatives designated as hedging instruments : Liabilities | 5,338 | $ 2,778 | |
Interest rate swaps contracts: | Level 3 | |||
Financial assets and liabilities at fair value | |||
Derivatives designated as hedging instruments : Assets | 0 | ||
Derivatives designated as hedging instruments : Liabilities | $ 0 |
Borrowings - Schedule of Long-t
Borrowings - Schedule of Long-term Debt Instruments (Details) € in Millions, £ in Millions, $ in Millions | 12 Months Ended | |||||
Dec. 31, 2023 USD ($) | Jan. 01, 2023 USD ($) | Dec. 31, 2023 EUR (€) | Dec. 31, 2023 GBP (£) | Jan. 01, 2023 EUR (€) | Jan. 01, 2023 GBP (£) | |
Debt Instrument [Line Items] | ||||||
Long-term debt | $ 27,350 | $ 28,437 | ||||
Effective interest rate | 2.98% | 3.04% | 2.98% | 2.98% | 3.04% | 3.04% |
Less current portion | $ 1,469 | $ 1,551 | ||||
Total long-term debt | 25,881 | 26,886 | ||||
Excess of carrying value over fair value of debt | 1,000 | |||||
Excess of fair value over carrying value of debt | 1,600 | |||||
6.73% Debentures due 2023 | ||||||
Debt Instrument [Line Items] | ||||||
Long-term debt | $ 0 | $ 250 | ||||
Effective interest rate | 0% | 6.73% | 0% | 0% | 6.73% | 6.73% |
Stated interest rate (as a percent) | 6.73% | 6.73% | 6.73% | |||
3.375% Notes due 2023 | ||||||
Debt Instrument [Line Items] | ||||||
Long-term debt | $ 0 | $ 801 | ||||
Effective interest rate | 0% | 3.17% | 0% | 0% | 3.17% | 3.17% |
Stated interest rate (as a percent) | 3.375% | 3.375% | 3.375% | |||
2.05% Notes due 2023 | ||||||
Debt Instrument [Line Items] | ||||||
Long-term debt | $ 0 | $ 500 | ||||
Effective interest rate | 0% | 2.09% | 0% | 0% | 2.09% | 2.09% |
Stated interest rate (as a percent) | 2.05% | 2.05% | 2.05% | |||
0.650% Notes due 2024 (750MM Euro 1.1090)(2)/(750MM Euro 1.0651)(3) | ||||||
Debt Instrument [Line Items] | ||||||
Long-term debt | $ 831 | $ 792 | ||||
Effective interest rate | 0.68% | 0.68% | 0.68% | 0.68% | 0.68% | 0.68% |
Stated interest rate (as a percent) | 0.65% | 0.65% | 0.65% | |||
Debt instrument, face amount | € | € 750 | € 750 | ||||
Foreign currency exchange rate, translation | 1.1090 | 1.0651 | 1.1090 | 1.1090 | 1.0651 | 1.0651 |
5.50% Notes due 2024 (500MM 1.2756 GBP )(2)/(500MM GBP 1.2037)(3) | ||||||
Debt Instrument [Line Items] | ||||||
Long-term debt | $ 637 | $ 600 | ||||
Effective interest rate | 6.75% | 6.75% | 6.75% | 6.75% | 6.75% | 6.75% |
Stated interest rate (as a percent) | 5.50% | 5.50% | 5.50% | |||
Debt instrument, face amount | £ | £ 500 | £ 500 | ||||
Foreign currency exchange rate, translation | 1.2756 | 1.2037 | 1.2756 | 1.2756 | 1.2037 | 1.2037 |
2.625% Notes due 2025 | ||||||
Debt Instrument [Line Items] | ||||||
Long-term debt | $ 750 | $ 749 | ||||
Effective interest rate | 2.63% | 2.63% | 2.63% | 2.63% | 2.63% | 2.63% |
Stated interest rate (as a percent) | 2.625% | 2.625% | 2.625% | |||
0.55% Notes due 2025 | ||||||
Debt Instrument [Line Items] | ||||||
Long-term debt | $ 950 | $ 918 | ||||
Effective interest rate | 0.57% | 0.57% | 0.57% | 0.57% | 0.57% | 0.57% |
Stated interest rate (as a percent) | 0.55% | 0.55% | 0.55% | |||
2.46% Notes due 2026 | ||||||
Debt Instrument [Line Items] | ||||||
Long-term debt | $ 1,997 | $ 1,996 | ||||
Effective interest rate | 2.47% | 2.47% | 2.47% | 2.47% | 2.47% | 2.47% |
Stated interest rate (as a percent) | 2.46% | 2.46% | 2.46% | |||
2.95% Notes due 2027 | ||||||
Debt Instrument [Line Items] | ||||||
Long-term debt | $ 900 | $ 877 | ||||
Effective interest rate | 2.96% | 2.96% | 2.96% | 2.96% | 2.96% | 2.96% |
Stated interest rate (as a percent) | 2.95% | 2.95% | 2.95% | |||
0.95% Notes due 2027 | ||||||
Debt Instrument [Line Items] | ||||||
Long-term debt | $ 1,419 | $ 1,394 | ||||
Effective interest rate | 0.96% | 0.96% | 0.96% | 0.96% | 0.96% | 0.96% |
Stated interest rate (as a percent) | 0.95% | 0.95% | 0.95% | |||
1.150% Notes due 2028 (750MM Euro 1.1090)(2)/(750MM Euro 1.0651)(3) | ||||||
Debt Instrument [Line Items] | ||||||
Long-term debt | $ 828 | $ 794 | ||||
Effective interest rate | 1.21% | 1.21% | 1.21% | 1.21% | 1.21% | 1.21% |
Stated interest rate (as a percent) | 1.15% | 1.15% | 1.15% | |||
Debt instrument, face amount | € | € 750 | € 750 | ||||
Foreign currency exchange rate, translation | 1.1090 | 1.0651 | 1.1090 | 1.1090 | 1.0651 | 1.0651 |
2.90% Notes due 2028 | ||||||
Debt Instrument [Line Items] | ||||||
Long-term debt | $ 1,497 | $ 1,496 | ||||
Effective interest rate | 2.91% | 2.91% | 2.91% | 2.91% | 2.91% | 2.91% |
Stated interest rate (as a percent) | 2.90% | 2.90% | 2.90% | |||
6.95% Notes due 2029 | ||||||
Debt Instrument [Line Items] | ||||||
Long-term debt | $ 298 | $ 298 | ||||
Effective interest rate | 7.14% | 7.14% | 7.14% | 7.14% | 7.14% | 7.14% |
Stated interest rate (as a percent) | 6.95% | 6.95% | 6.95% | |||
1.30% Notes due 2030 | ||||||
Debt Instrument [Line Items] | ||||||
Long-term debt | $ 1,630 | $ 1,607 | ||||
Effective interest rate | 1.30% | 1.30% | 1.30% | 1.30% | 1.30% | 1.30% |
Stated interest rate (as a percent) | 1.30% | 1.30% | 1.30% | |||
4.95% Debentures due 2033 | ||||||
Debt Instrument [Line Items] | ||||||
Long-term debt | $ 499 | $ 498 | ||||
Effective interest rate | 4.95% | 4.95% | 4.95% | 4.95% | 4.95% | 4.95% |
Stated interest rate (as a percent) | 4.95% | 4.95% | 4.95% | |||
4.375% Notes due 2033 | ||||||
Debt Instrument [Line Items] | ||||||
Long-term debt | $ 854 | $ 854 | ||||
Effective interest rate | 4.24% | 4.24% | 4.24% | 4.24% | 4.24% | 4.24% |
Stated interest rate (as a percent) | 4.375% | 4.375% | 4.375% | |||
1.650% Notes due 2035 (1.5B Euro 1.1090)(2)/(1.5B Euro 1.0651)(3) | ||||||
Debt Instrument [Line Items] | ||||||
Long-term debt | $ 1,652 | $ 1,591 | ||||
Effective interest rate | 1.68% | 1.68% | 1.68% | 1.68% | 1.68% | 1.68% |
Stated interest rate (as a percent) | 1.65% | 1.65% | 1.65% | |||
Debt instrument, face amount | € | € 1,500 | € 1,500 | ||||
Foreign currency exchange rate, translation | 1.1090 | 1.0651 | 1.1090 | 1.1090 | 1.0651 | 1.0651 |
3.587% Notes due 2036 | ||||||
Debt Instrument [Line Items] | ||||||
Long-term debt | $ 864 | $ 842 | ||||
Effective interest rate | 3.59% | 3.59% | 3.59% | 3.59% | 3.59% | 3.59% |
Stated interest rate (as a percent) | 3.587% | 3.587% | 3.587% | |||
5.95% Notes due 2037 | ||||||
Debt Instrument [Line Items] | ||||||
Long-term debt | $ 994 | $ 993 | ||||
Effective interest rate | 5.99% | 5.99% | 5.99% | 5.99% | 5.99% | 5.99% |
Stated interest rate (as a percent) | 5.95% | 5.95% | 5.95% | |||
3.625% Notes due 2037 | ||||||
Debt Instrument [Line Items] | ||||||
Long-term debt | $ 1,357 | $ 1,336 | ||||
Effective interest rate | 3.64% | 3.64% | 3.64% | 3.64% | 3.64% | 3.64% |
Stated interest rate (as a percent) | 3.625% | 3.625% | 3.625% | |||
5.85% Debentures due 2038 | ||||||
Debt Instrument [Line Items] | ||||||
Long-term debt | $ 697 | $ 697 | ||||
Effective interest rate | 5.85% | 5.85% | 5.85% | 5.85% | 5.85% | 5.85% |
Stated interest rate (as a percent) | 5.85% | 5.85% | 5.85% | |||
3.400% Notes due 2038 | ||||||
Debt Instrument [Line Items] | ||||||
Long-term debt | $ 993 | $ 992 | ||||
Effective interest rate | 3.42% | 3.42% | 3.42% | 3.42% | 3.42% | 3.42% |
Stated interest rate (as a percent) | 3.40% | 3.40% | 3.40% | |||
4.50% Debentures due 2040 | ||||||
Debt Instrument [Line Items] | ||||||
Long-term debt | $ 541 | $ 540 | ||||
Effective interest rate | 4.63% | 4.63% | 4.63% | 4.63% | 4.63% | 4.63% |
Stated interest rate (as a percent) | 4.50% | 4.50% | 4.50% | |||
2.10% Notes due 2040 | ||||||
Debt Instrument [Line Items] | ||||||
Long-term debt | $ 849 | $ 828 | ||||
Effective interest rate | 2.14% | 2.14% | 2.14% | 2.14% | 2.14% | 2.14% |
Stated interest rate (as a percent) | 2.10% | 2.10% | 2.10% | |||
4.85% Notes due 2041 | ||||||
Debt Instrument [Line Items] | ||||||
Long-term debt | $ 297 | $ 297 | ||||
Effective interest rate | 4.89% | 4.89% | 4.89% | 4.89% | 4.89% | 4.89% |
Stated interest rate (as a percent) | 4.85% | 4.85% | 4.85% | |||
4.50% Notes due 2043 | ||||||
Debt Instrument [Line Items] | ||||||
Long-term debt | $ 496 | $ 496 | ||||
Effective interest rate | 4.52% | 4.52% | 4.52% | 4.52% | 4.52% | 4.52% |
Stated interest rate (as a percent) | 4.50% | 4.50% | 4.50% | |||
3.73% Notes due 2046 | ||||||
Debt Instrument [Line Items] | ||||||
Long-term debt | $ 1,977 | $ 1,976 | ||||
Effective interest rate | 3.74% | 3.74% | 3.74% | 3.74% | 3.74% | 3.74% |
Stated interest rate (as a percent) | 3.73% | 3.73% | 3.73% | |||
3.75% Notes due 2047 | ||||||
Debt Instrument [Line Items] | ||||||
Long-term debt | $ 832 | $ 812 | ||||
Effective interest rate | 3.76% | 3.76% | 3.76% | 3.76% | 3.76% | 3.76% |
Stated interest rate (as a percent) | 3.75% | 3.75% | 3.75% | |||
3.500% Notes due 2048 | ||||||
Debt Instrument [Line Items] | ||||||
Long-term debt | $ 743 | $ 743 | ||||
Effective interest rate | 3.52% | 3.52% | 3.52% | 3.52% | 3.52% | 3.52% |
Stated interest rate (as a percent) | 3.50% | 3.50% | 3.50% | |||
2.250% Notes due 2050 | ||||||
Debt Instrument [Line Items] | ||||||
Long-term debt | $ 826 | $ 808 | ||||
Effective interest rate | 2.29% | 2.29% | 2.29% | 2.29% | 2.29% | 2.29% |
Stated interest rate (as a percent) | 2.25% | 2.25% | 2.25% | |||
2.450% Notes due 2060 | ||||||
Debt Instrument [Line Items] | ||||||
Long-term debt | $ 1,073 | $ 1,055 | ||||
Effective interest rate | 2.49% | 2.49% | 2.49% | 2.49% | 2.49% | 2.49% |
Stated interest rate (as a percent) | 2.45% | 2.45% | 2.45% | |||
Other | ||||||
Debt Instrument [Line Items] | ||||||
Long-term debt | $ 69 | $ 7 | ||||
Effective interest rate | 0% | 0% | 0% | 0% | 0% | 0% |
Borrowings - Narrative (Details
Borrowings - Narrative (Details) - USD ($) $ in Millions | 12 Months Ended | |||
Dec. 31, 2023 | Jan. 01, 2023 | Sep. 30, 2023 | Nov. 30, 2022 | |
Short-term Debt [Line Items] | ||||
Borrowing capacity under credit facility | $ 10,000 | $ 10,000 | ||
Short-term borrowings and the current portion of long-term debt | $ 3,500 | $ 12,800 | ||
Borrowed under the commercial paper program | 1,500 | 1,600 | ||
Loans and notes payable | 3,451 | 12,756 | ||
Commercial Paper | ||||
Short-term Debt [Line Items] | ||||
Loans and notes payable | $ 2,000 | $ 11,200 | ||
Debt, weighted average interest rate | 5.37% | 4.23% | ||
Debt instrument, term | 2 months | 2 months |
Borrowings - Aggregate Maturiti
Borrowings - Aggregate Maturities of Long Term Obligations (Details) $ in Millions | Dec. 31, 2023 USD ($) |
Aggregate maturities of long-term obligations | |
2024 | $ 1,469 |
2025 | 1,700 |
2026 | 1,997 |
2027 | 2,320 |
2028 | 2,325 |
After 2028 | $ 17,539 |
Income taxes - Provision for In
Income taxes - Provision for Income Taxes (Details) - USD ($) $ in Millions | 12 Months Ended | ||
Dec. 31, 2023 | Jan. 01, 2023 | Jan. 02, 2022 | |
Currently payable: | |||
U.S. taxes | $ 2,705 | $ 2,274 | $ 1,338 |
International taxes | 3,090 | 2,295 | 2,069 |
Total currently payable | 5,795 | 4,569 | 3,407 |
Deferred: | |||
U.S. taxes | (3,440) | (1,990) | 565 |
International taxes | (619) | 410 | (2,595) |
Total deferred | (4,059) | (1,580) | (2,030) |
Provision for taxes on income | $ 1,736 | $ 2,989 | $ 1,377 |
Income taxes - Comparison of In
Income taxes - Comparison of Income Taxes at Statutory Rate and Company's Effective Tax Rate (Details) - USD ($) $ in Millions | 3 Months Ended | 12 Months Ended | |||||||||||
Dec. 31, 2023 | Oct. 01, 2023 | Jul. 02, 2023 | Apr. 02, 2023 | Jan. 01, 2023 | Oct. 02, 2022 | Jul. 03, 2022 | Apr. 03, 2022 | Dec. 31, 2023 | Jan. 01, 2023 | Jan. 02, 2022 | Dec. 29, 2019 | Dec. 30, 2018 | |
Comparison Of Income Tax Expense At Statutory Rate And Company's Tax Rate Abstract | |||||||||||||
U.S. | $ (2,033) | $ 4,606 | $ 4,275 | ||||||||||
International | 17,095 | 14,753 | 14,903 | ||||||||||
Earnings before provision for taxes on income | $ 4,826 | $ 5,217 | $ 6,306 | $ (1,287) | $ 3,840 | $ 5,172 | $ 5,144 | $ 5,203 | $ 15,062 | $ 19,359 | $ 19,178 | ||
Tax rates: | |||||||||||||
U.S. statutory rate | 21% | 21% | 21% | 21% | 35% | ||||||||
International operations | (8.10%) | (5.00%) | (19.10%) | ||||||||||
U.S. Tax Settlements | (3.00%) | 0% | 0% | ||||||||||
U.S. taxes on international income | (0.30%) | (1.10%) | 8.90% | ||||||||||
Tax benefits from loss on capital assets | (1.60%) | (1.60%) | |||||||||||
Tax benefits on share-based compensation | (0.80%) | (1.40%) | (1.20%) | ||||||||||
All other | 2.70% | 1.90% | (0.80%) | ||||||||||
Effective Rate | 11.50% | 15.40% | 7.20% |
Income taxes - Narrative (Detai
Income taxes - Narrative (Details) - USD ($) $ in Millions | 3 Months Ended | 12 Months Ended | ||||
Dec. 31, 2023 | Jan. 01, 2023 | Dec. 31, 2023 | Jan. 01, 2023 | Jan. 02, 2022 | Jan. 03, 2021 | |
Tax Credit Carryforward [Line Items] | ||||||
Effective income tax rate reconciliation, increase (decrease), percent | (3.00%) | 3.90% | (8.20%) | |||
Decrease in foreign tax credits | $ 400 | |||||
Decrease in foreign tax credits, percent | 2.60% | |||||
Deferred tax assets, tax basis increase of certain assets due to reorganization | $ 300 | $ 300 | $ 2,300 | |||
Effective income tax rate reconciliation, GILTI, amount | $ 100 | |||||
Increase (decrease) in deferred tax liabilities, global intangible low-taxed income (GILTI) | 300 | $ 1,700 | ||||
Tax benefits from loss on capital assets | 1.60% | 1.60% | ||||
Unrecognized tax benefits | $ 2,485 | $ 3,716 | 2,485 | 3,716 | $ 3,210 | $ 3,260 |
Unrecognized tax benefits, interest on income tax expense | 99 | 136 | $ 42 | |||
Unrecognized tax benefits, interest on income taxes accrued | $ 264 | 637 | $ 264 | 637 | ||
State and Local Jurisdiction | ||||||
Tax Credit Carryforward [Line Items] | ||||||
Effective tax rate reconciliation, net increase (decrease) in tax rate, percent | 3.40% | 3.20% | ||||
Deferred tax assets, net | $ 600 | |||||
Auris Health | Purchased in-process research and development(1) | ||||||
Tax Credit Carryforward [Line Items] | ||||||
Impairment of intangible assets, excluding goodwill | $ 900 | |||||
Effective income tax rate reconciliation, nondeductible expense, impairment losses, percent | 22.40% | |||||
Talc | Consumer Health | ||||||
Tax Credit Carryforward [Line Items] | ||||||
Litigation expense | $ 7,000 | $ 1,600 | ||||
Effective income tax rate reconciliation, tax settlement, percent | 21.10% | |||||
Effective income tax rate reconciliation, litigation settlement, percent | 0.235 | |||||
Risperdal | Consumer Health | ||||||
Tax Credit Carryforward [Line Items] | ||||||
Litigation expense | $ 800 | |||||
Effective income tax rate reconciliation, litigation settlement, percent | 0.164 |
Income taxes - Temporary Differ
Income taxes - Temporary Differences and Carryforwards (Details) - USD ($) $ in Millions | 12 Months Ended | |
Dec. 31, 2023 | Jan. 01, 2023 | |
Asset | ||
Employee related obligations | $ 586 | $ 685 |
Stock based compensation | 686 | 632 |
R&D capitalized for tax | 3,595 | 2,611 |
Reserves & liabilities | 3,816 | 2,733 |
Income reported for tax purposes | 359 | 2,026 |
Net realizable operating loss carryforwards | 996 | 1,319 |
Undistributed foreign earnings | 1,801 | 1,517 |
Miscellaneous international | 831 | 861 |
Miscellaneous U.S. | 452 | |
Total deferred income taxes | 12,670 | 12,836 |
Liability | ||
Depreciation of property, plant and equipment | (902) | (845) |
Goodwill and intangibles | (1,252) | (1,737) |
Undistributed foreign earnings | (1,695) | (1,604) |
Global intangible low-taxed income | (2,731) | (3,628) |
Miscellaneous international | (66) | |
Miscellaneous U.S. | (4) | |
Total deferred income taxes | (6,584) | (7,880) |
Operating loss carryforwards, valuation allowance | 1,100 | $ 800 |
Increase in valuation allowance | $ 100 |
Income taxes - Summary of Activ
Income taxes - Summary of Activity Related to Unrecognized Tax Benefits (Details) - USD ($) $ in Millions | 12 Months Ended | ||
Dec. 31, 2023 | Jan. 01, 2023 | Jan. 02, 2022 | |
Summary of unrecognized tax benefits | |||
Beginning of year | $ 3,716 | $ 3,210 | $ 3,260 |
Increases related to current year tax positions | 239 | 523 | 242 |
Increases related to prior period tax positions | 244 | 143 | 23 |
Decreases related to prior period tax positions | (781) | (148) | (128) |
Settlements | (880) | (1) | (187) |
Lapse of statute of limitations | (53) | (11) | 0 |
End of year | $ 2,485 | $ 3,716 | $ 3,210 |
Employee related obligations -
Employee related obligations - Employee Related Obligations (Details) - USD ($) $ in Millions | Dec. 31, 2023 | Jan. 01, 2023 |
Employee-related Liabilities [Abstract] | ||
Pension benefits | $ 3,129 | $ 2,475 |
Postretirement benefits | 1,963 | 1,728 |
Postemployment benefits | 2,527 | 2,832 |
Deferred compensation | 68 | 100 |
Total employee obligations | 7,687 | 7,135 |
Less current benefits payable | 538 | 593 |
Employee related obligations — non-current | $ 7,149 | $ 6,542 |
Employee related obligations _2
Employee related obligations - Narrative (Details) - USD ($) $ in Millions | Dec. 31, 2023 | Jan. 01, 2023 |
Compensation Related Costs [Abstract] | ||
Prepaid employee related obligations | $ 4,992 | $ 4,581 |
Pensions and other benefit pl_3
Pensions and other benefit plans - Narrative (Details) - USD ($) $ in Millions | 12 Months Ended | ||
Dec. 31, 2023 | Jan. 01, 2023 | Jan. 02, 2022 | |
Defined Benefit Plan Disclosure [Line Items] | |||
Percentage of corridor of greater of market value of assets | 10% | ||
Accumulated benefit obligation unfunded plans | $ 5,800 | $ 2,700 | |
Projected benefit obligation, unfunded plans | 6,100 | 2,700 | |
Plan with accumulated benefit obligation in excess of plan assets, plan assets | 3,100 | 300 | |
Fair value of company's common stock directly held in plan assets | $ 14 | $ 21 | |
Percentage of company's common stock to plan asset | 0% | 0.10% | |
Retirement Plans | |||
Defined Benefit Plan Disclosure [Line Items] | |||
Plan Assets | $ 33,607 | $ 31,496 | $ 41,909 |
Other Benefit Plans | |||
Defined Benefit Plan Disclosure [Line Items] | |||
Plan Assets | 86 | 78 | $ 102 |
U.S. Plans | |||
Defined Benefit Plan Disclosure [Line Items] | |||
Contribution to pension plans | 135 | ||
International Plans | |||
Defined Benefit Plan Disclosure [Line Items] | |||
Contribution to pension plans | 133 | ||
Commingled funds | Level 2 | Other Benefit Plans | |||
Defined Benefit Plan Disclosure [Line Items] | |||
Plan Assets | $ 86 | $ 78 | |
Maximum | Retirement Plans | |||
Defined Benefit Plan Disclosure [Line Items] | |||
Retirement plan benefits employee compensation period | 5 years |
Pensions and other benefit pl_4
Pensions and other benefit plans - Components of Net Periodic Benefit Cost (Details) - USD ($) $ in Millions | 12 Months Ended | ||
Dec. 31, 2023 | Jan. 01, 2023 | Jan. 02, 2022 | |
Retirement Plans | |||
Defined Benefit Plan Disclosure [Line Items] | |||
Service cost | $ 893 | $ 1,319 | $ 1,412 |
Interest cost | 1,437 | 908 | 768 |
Expected return on plan assets | (2,716) | (2,756) | (2,644) |
Amortization of prior service cost | (184) | (184) | (181) |
Recognized actuarial losses (gains) | (199) | 650 | 1,251 |
Curtailments and settlements | 93 | 1 | 1 |
Net periodic benefit cost (credit) | (676) | (62) | 607 |
Other Benefit Plans | |||
Defined Benefit Plan Disclosure [Line Items] | |||
Service cost | 264 | 320 | 309 |
Interest cost | 214 | 104 | 80 |
Expected return on plan assets | (7) | (8) | (7) |
Amortization of prior service cost | (2) | (5) | (31) |
Recognized actuarial losses (gains) | 23 | 122 | 151 |
Curtailments and settlements | (5) | 0 | 0 |
Net periodic benefit cost (credit) | $ 487 | $ 533 | $ 502 |
Pensions and other benefit pl_5
Pensions and other benefit plans - Rates Used to Develop Actuarial Present Value of Projected Benefit Obligation (Details) | 12 Months Ended | ||
Dec. 31, 2023 | Jan. 01, 2023 | Jan. 02, 2022 | |
Retirement Plans | |||
Net Periodic Benefit Cost | |||
Service cost discount rate | 4.85% | 2.46% | 2.14% |
Interest cost discount rate | 5.25% | 2.80% | 2.34% |
Rate of increase in compensation levels | 3.71% | 4.02% | 4.01% |
Expected long-term rate of return on plan assets | 7.21% | 7.25% | 7.71% |
Benefit Obligation | |||
Discount rate | 4.58% | 5.01% | 2.49% |
Rate of increase in compensation levels | 3.69% | 4% | 4.01% |
Other Benefit Plans | |||
Net Periodic Benefit Cost | |||
Service cost discount rate | 5.40% | 2.59% | 2.09% |
Interest cost discount rate | 5.43% | 2.64% | 2.33% |
Rate of increase in compensation levels | 4.22% | 4.21% | 4.25% |
Benefit Obligation | |||
Discount rate | 5.11% | 5.42% | 2.68% |
Rate of increase in compensation levels | 4.22% | 4.21% | 4.21% |
Pensions and other benefit pl_6
Pensions and other benefit plans - Assumed Health Care Cost Trend Rates (Details) | 12 Months Ended | |
Dec. 31, 2023 | Jan. 01, 2023 | |
Defined Benefit Plan, Assumed Health Care Cost Trend Rates [Abstract] | ||
Healthcare cost trend rate assumed for next year | 13.90% | 5.96% |
Rate to which the cost trend rate is assumed to decline (ultimate trend) | 4% | 3.99% |
Year the rate reaches the ultimate trend rate | 2048 | 2047 |
Pensions and other benefit pl_7
Pensions and other benefit plans - Schedule of Net Funded Status (Details) - USD ($) $ in Millions | 12 Months Ended | ||
Dec. 31, 2023 | Jan. 01, 2023 | Jan. 02, 2022 | |
Amounts Recognized in the Company’s Balance Sheet consist of the following: | |||
Non-current assets | $ 4,992 | $ 4,581 | |
Current liabilities | (538) | (593) | |
Non-current liabilities | (7,149) | (6,542) | |
Defined Benefit Plan, Amounts Recognized in Other Comprehensive Income (Loss) [Abstract] | |||
Transferred to group annuity contract | 800 | ||
Retirement Plans | |||
Change in Benefit Obligation | |||
Projected benefit obligation - beginning of year | 29,390 | 41,272 | |
Service cost | 893 | 1,319 | $ 1,412 |
Interest cost | 1,437 | 908 | 768 |
Plan participant contributions | 73 | 67 | |
Amendments | (6) | 7 | |
Actuarial (gains) losses | 2,068 | (12,159) | |
Divestitures & acquisitions | (352) | 0 | |
Curtailments, settlements & restructuring | (238) | (7) | |
Benefits paid from plan | (2,122) | (1,220) | |
Effect of exchange rates | 601 | (797) | |
Projected benefit obligation - end of year | 31,744 | 29,390 | 41,272 |
Defined Benefit Plan, Change in Fair Value of Plan Assets [Roll Forward] | |||
Plan assets at fair value — beginning of year | 31,496 | 41,909 | |
Actual return on plan assets | 3,951 | (8,663) | |
Company contributions | 268 | 261 | |
Plan participant contributions | 73 | 67 | |
Settlements | (176) | (5) | |
Divestitures & acquisitions | (509) | 0 | |
Benefits paid from plan assets | (2,122) | (1,220) | |
Effect of exchange rates | 626 | (853) | |
Plan assets at fair value - End of year | 33,607 | 31,496 | 41,909 |
Funded status - end of year | 1,863 | 2,106 | |
Amounts Recognized in the Company’s Balance Sheet consist of the following: | |||
Non-current assets | 4,992 | 4,581 | |
Current liabilities | (119) | (127) | |
Non-current liabilities | (3,010) | (2,348) | |
Total recognized in the consolidated balance sheet — end of year | 1,863 | 2,106 | |
Defined Benefit Plan, Amounts Recognized in Other Comprehensive Income (Loss) [Abstract] | |||
Net actuarial loss | 4,962 | 3,948 | |
Prior service cost (credit) | (1,236) | (1,417) | |
Unrecognized net transition obligation | 0 | 0 | |
Total before tax effects | 3,726 | 2,531 | |
Accumulated Benefit Obligation | 30,139 | 27,797 | |
Defined Benefit Plan, Amount Recognized in Net Periodic Benefit Cost (Credit) and Other Comprehensive (Income) Loss, before Tax [Abstract] | |||
Net periodic benefit cost (credit) | (676) | (62) | 607 |
Net actuarial (gain) loss | 711 | (793) | |
Amortization of net actuarial loss | 199 | (655) | |
Prior service cost (credit) | (2) | 7 | |
Amortization of prior service (cost) credit | 185 | 183 | |
Effect of exchange rates | 103 | (140) | |
Total loss/(income) recognized in other comprehensive income, before tax | 1,195 | (1,398) | |
Total recognized in net periodic benefit cost and other comprehensive income | 519 | (1,460) | |
Other Benefit Plans | |||
Change in Benefit Obligation | |||
Projected benefit obligation - beginning of year | 4,192 | 4,874 | |
Service cost | 264 | 320 | 309 |
Interest cost | 214 | 104 | 80 |
Plan participant contributions | 0 | 0 | |
Amendments | 0 | 0 | |
Actuarial (gains) losses | 469 | (704) | |
Divestitures & acquisitions | 1 | 0 | |
Curtailments, settlements & restructuring | (332) | 0 | |
Benefits paid from plan | (702) | (393) | |
Effect of exchange rates | 2 | (9) | |
Projected benefit obligation - end of year | 4,108 | 4,192 | 4,874 |
Defined Benefit Plan, Change in Fair Value of Plan Assets [Roll Forward] | |||
Plan assets at fair value — beginning of year | 78 | 102 | |
Actual return on plan assets | 16 | (17) | |
Company contributions | 694 | 386 | |
Plan participant contributions | 0 | 0 | |
Settlements | 0 | 0 | |
Divestitures & acquisitions | 0 | 0 | |
Benefits paid from plan assets | (702) | (393) | |
Effect of exchange rates | 0 | 0 | |
Plan assets at fair value - End of year | 86 | 78 | 102 |
Funded status - end of year | (4,022) | (4,114) | |
Amounts Recognized in the Company’s Balance Sheet consist of the following: | |||
Non-current assets | 0 | 0 | |
Current liabilities | (416) | (461) | |
Non-current liabilities | (3,606) | (3,653) | |
Total recognized in the consolidated balance sheet — end of year | (4,022) | (4,114) | |
Defined Benefit Plan, Amounts Recognized in Other Comprehensive Income (Loss) [Abstract] | |||
Net actuarial loss | 354 | 239 | |
Prior service cost (credit) | (6) | (7) | |
Unrecognized net transition obligation | 0 | ||
Total before tax effects | 348 | 232 | |
Defined Benefit Plan, Amount Recognized in Net Periodic Benefit Cost (Credit) and Other Comprehensive (Income) Loss, before Tax [Abstract] | |||
Net periodic benefit cost (credit) | 487 | 533 | $ 502 |
Net actuarial (gain) loss | 136 | (751) | |
Amortization of net actuarial loss | (22) | (121) | |
Prior service cost (credit) | 0 | 0 | |
Amortization of prior service (cost) credit | 2 | 5 | |
Effect of exchange rates | 0 | (1) | |
Total loss/(income) recognized in other comprehensive income, before tax | 116 | (868) | |
Total recognized in net periodic benefit cost and other comprehensive income | $ 603 | $ (335) |
Pensions and other benefit pl_8
Pensions and other benefit plans - Information Related to the Benefit Obligation and the Fair Value of Plan Assets (Details) - USD ($) $ in Millions | Dec. 31, 2023 | Jan. 01, 2023 |
Qualified Plans | U.S. Plans | ||
Defined Benefit Plan Disclosure [Line Items] | ||
Plan Assets | $ 22,298 | $ 20,937 |
Projected Benefit Obligation | 19,152 | 18,394 |
Accumulated Benefit Obligation | 18,557 | 17,696 |
Projected Benefit Obligation | 3,146 | 2,543 |
Accumulated Benefit Obligation | 3,741 | 3,241 |
Non-Qualified Plans | U.S. Plans | ||
Defined Benefit Plan Disclosure [Line Items] | ||
Plan Assets | 0 | 0 |
Projected Benefit Obligation | 2,037 | 1,937 |
Accumulated Benefit Obligation | 1,982 | 1,872 |
Projected Benefit Obligation | (2,037) | (1,937) |
Accumulated Benefit Obligation | (1,982) | (1,872) |
Funded Plans | International Plans | ||
Defined Benefit Plan Disclosure [Line Items] | ||
Plan Assets | 11,309 | 10,559 |
Projected Benefit Obligation | 10,431 | 8,982 |
Accumulated Benefit Obligation | 9,498 | 8,166 |
Projected Benefit Obligation | 878 | 1,577 |
Accumulated Benefit Obligation | 1,811 | 2,393 |
Unfunded Plans | International Plans | ||
Defined Benefit Plan Disclosure [Line Items] | ||
Plan Assets | 0 | 0 |
Projected Benefit Obligation | 124 | 77 |
Accumulated Benefit Obligation | 102 | 63 |
Projected Benefit Obligation | (124) | (77) |
Accumulated Benefit Obligation | $ (102) | $ (63) |
Pensions and other benefit pl_9
Pensions and other benefit plans - Projected Future Benefit Payments from Company's Retirement and Other Benefit Plans (Details) $ in Millions | Dec. 31, 2023 USD ($) |
Retirement plans | |
Defined Benefit Plan Disclosure [Line Items] | |
2024 | $ 1,481 |
2025 | 1,473 |
2026 | 1,549 |
2027 | 1,647 |
2028 | 1,745 |
2029-2033 | 10,133 |
Other benefit plans | |
Defined Benefit Plan Disclosure [Line Items] | |
2024 | 427 |
2025 | 438 |
2026 | 396 |
2027 | 411 |
2028 | 428 |
2029-2033 | $ 2,360 |
Pensions and other benefit p_10
Pensions and other benefit plans - Projected Future Minimum Contributions to the Company's U.S. and International Unfunded Retirement Plans (Details) $ in Millions | Dec. 31, 2023 USD ($) |
Retirement Benefits [Abstract] | |
2024 | $ 122 |
2025 | 126 |
2026 | 133 |
2027 | 139 |
2028 | 145 |
2029-2033 | $ 787 |
Pensions and other benefit p_11
Pensions and other benefit plans - Company' Retirement Plan Asset Allocation and Target Allocations (Details) | Dec. 31, 2023 | Jan. 01, 2023 |
Defined Benefit Plan Disclosure [Line Items] | ||
Percent of Plan Assets | 100% | 100% |
Target Allocation | 100% | |
Equity securities | ||
Defined Benefit Plan Disclosure [Line Items] | ||
Percent of Plan Assets | 58% | 62% |
Target Allocation | 58% | |
Debt securities | ||
Defined Benefit Plan Disclosure [Line Items] | ||
Percent of Plan Assets | 42% | 38% |
Target Allocation | 42% |
Pensions and other benefit p_12
Pensions and other benefit plans - Schedule of Defined Benefit Plans Disclosures (Details) - Retirement plans - USD ($) $ in Millions | Dec. 31, 2023 | Jan. 01, 2023 | Jan. 02, 2022 |
Defined Benefit Plan Disclosure [Line Items] | |||
Plan Assets | $ 33,607 | $ 31,496 | $ 41,909 |
Fair Value, Measurements, Recurring | |||
Defined Benefit Plan Disclosure [Line Items] | |||
Plan Assets | 33,607 | 31,496 | |
Investments Measured at Net Asset Value | 9,967 | 8,602 | |
Fair Value, Measurements, Recurring | Level 1 | |||
Defined Benefit Plan Disclosure [Line Items] | |||
Plan Assets | 7,776 | 8,872 | |
Fair Value, Measurements, Recurring | Level 2 | |||
Defined Benefit Plan Disclosure [Line Items] | |||
Plan Assets | 15,729 | 13,954 | |
Fair Value, Measurements, Recurring | Level 3 | |||
Defined Benefit Plan Disclosure [Line Items] | |||
Plan Assets | 135 | 68 | |
Fair Value, Measurements, Recurring | Short-term investment funds | |||
Defined Benefit Plan Disclosure [Line Items] | |||
Plan Assets | 841 | 39 | |
Fair Value, Measurements, Recurring | Short-term investment funds | Level 1 | |||
Defined Benefit Plan Disclosure [Line Items] | |||
Plan Assets | 12 | 26 | |
Fair Value, Measurements, Recurring | Short-term investment funds | Level 2 | |||
Defined Benefit Plan Disclosure [Line Items] | |||
Plan Assets | 829 | 13 | |
Fair Value, Measurements, Recurring | Short-term investment funds | Level 3 | |||
Defined Benefit Plan Disclosure [Line Items] | |||
Plan Assets | 0 | 0 | |
Fair Value, Measurements, Recurring | Government and agency securities | |||
Defined Benefit Plan Disclosure [Line Items] | |||
Plan Assets | 5,985 | 5,863 | |
Fair Value, Measurements, Recurring | Government and agency securities | Level 1 | |||
Defined Benefit Plan Disclosure [Line Items] | |||
Plan Assets | 0 | 0 | |
Fair Value, Measurements, Recurring | Government and agency securities | Level 2 | |||
Defined Benefit Plan Disclosure [Line Items] | |||
Plan Assets | 5,985 | 5,863 | |
Fair Value, Measurements, Recurring | Government and agency securities | Level 3 | |||
Defined Benefit Plan Disclosure [Line Items] | |||
Plan Assets | 0 | 0 | |
Fair Value, Measurements, Recurring | Debt instruments | |||
Defined Benefit Plan Disclosure [Line Items] | |||
Plan Assets | 3,899 | 3,681 | |
Fair Value, Measurements, Recurring | Debt instruments | Level 1 | |||
Defined Benefit Plan Disclosure [Line Items] | |||
Plan Assets | 0 | 0 | |
Fair Value, Measurements, Recurring | Debt instruments | Level 2 | |||
Defined Benefit Plan Disclosure [Line Items] | |||
Plan Assets | 3,899 | 3,681 | |
Fair Value, Measurements, Recurring | Debt instruments | Level 3 | |||
Defined Benefit Plan Disclosure [Line Items] | |||
Plan Assets | 0 | 0 | |
Fair Value, Measurements, Recurring | Equity securities | |||
Defined Benefit Plan Disclosure [Line Items] | |||
Plan Assets | 7,764 | 8,848 | |
Fair Value, Measurements, Recurring | Equity securities | Level 1 | |||
Defined Benefit Plan Disclosure [Line Items] | |||
Plan Assets | 7,764 | 8,846 | |
Fair Value, Measurements, Recurring | Equity securities | Level 2 | |||
Defined Benefit Plan Disclosure [Line Items] | |||
Plan Assets | 0 | 2 | |
Fair Value, Measurements, Recurring | Equity securities | Level 3 | |||
Defined Benefit Plan Disclosure [Line Items] | |||
Plan Assets | 0 | 0 | |
Fair Value, Measurements, Recurring | Commingled funds | |||
Defined Benefit Plan Disclosure [Line Items] | |||
Plan Assets | 11,682 | 10,514 | |
Investments Measured at Net Asset Value | 6,672 | 6,096 | |
Fair Value, Measurements, Recurring | Commingled funds | Level 1 | |||
Defined Benefit Plan Disclosure [Line Items] | |||
Plan Assets | 0 | 0 | |
Fair Value, Measurements, Recurring | Commingled funds | Level 2 | |||
Defined Benefit Plan Disclosure [Line Items] | |||
Plan Assets | 4,967 | 4,362 | |
Fair Value, Measurements, Recurring | Commingled funds | Level 3 | |||
Defined Benefit Plan Disclosure [Line Items] | |||
Plan Assets | 43 | 56 | |
Fair Value, Measurements, Recurring | Other assets | |||
Defined Benefit Plan Disclosure [Line Items] | |||
Plan Assets | 3,436 | 2,551 | |
Investments Measured at Net Asset Value | 3,295 | 2,506 | |
Fair Value, Measurements, Recurring | Other assets | Level 1 | |||
Defined Benefit Plan Disclosure [Line Items] | |||
Plan Assets | 0 | 0 | |
Fair Value, Measurements, Recurring | Other assets | Level 2 | |||
Defined Benefit Plan Disclosure [Line Items] | |||
Plan Assets | 49 | 33 | |
Fair Value, Measurements, Recurring | Other assets | Level 3 | |||
Defined Benefit Plan Disclosure [Line Items] | |||
Plan Assets | $ 92 | $ 12 |
Savings plan (Details)
Savings plan (Details) - USD ($) $ in Millions | 12 Months Ended | ||
Dec. 31, 2023 | Jan. 01, 2023 | Jan. 02, 2022 | |
Savings Plan [Abstract] | |||
Matching contributions | $ 263 | $ 257 | $ 239 |
Capital and treasury stock - Ch
Capital and treasury stock - Changes in Treasury Stock (Details) - USD ($) shares in Thousands, $ in Millions | 12 Months Ended | ||
Dec. 31, 2023 | Jan. 01, 2023 | Jan. 02, 2022 | |
Changes in Treasury Stock Shares Outstanding [Roll Forward] | |||
Treasury Stock, beginning balance (shares) | 506,246 | 490,878 | 487,331 |
Employee compensation and stock option plans (shares) | (15,521) | (20,007) | (17,399) |
Treasury Stock, ending balance (shares) | 712,765 | 506,246 | 490,878 |
Changes in treasury stock | |||
Treasury Stock, Balance | $ 41,694 | $ 39,099 | $ 38,490 |
Employee compensation and stock option plans | (2,529) | (3,440) | (2,847) |
Repurchase of common stock | 5,054 | 6,035 | 3,456 |
Treasury Stock, Ending Balance | $ 75,662 | $ 41,694 | $ 39,099 |
Treasury Stock Amount | |||
Changes in Treasury Stock Shares Outstanding [Roll Forward] | |||
Repurchase of common stock (shares) | 31,085 | 35,375 | 20,946 |
Treasury Stock, ending balance (shares) | 190,955 | ||
Changes in treasury stock | |||
Repurchase of common stock | $ 5,054 | $ 6,035 | $ 3,456 |
Repurchase of common stock | 5,079 | ||
Treasury Stock, Ending Balance | $ 31,418 |
Capital and treasury stock - Na
Capital and treasury stock - Narrative (Details) - USD ($) $ / shares in Units, shares in Thousands, $ in Billions | 12 Months Ended | ||||
Jan. 02, 2024 | Dec. 31, 2023 | Jan. 01, 2023 | Jan. 02, 2022 | Sep. 14, 2022 | |
Equity, Class of Treasury Stock [Line Items] | |||||
Common stock, shares issued (in shares) | 3,119,843 | 3,119,843 | 3,119,843 | ||
Cash dividends paid (in dollars per share) | $ 4.70 | $ 4.45 | $ 4.19 | ||
Subsequent Event | |||||
Equity, Class of Treasury Stock [Line Items] | |||||
Cash dividend (in dollars per share) | $ 1.19 | ||||
December 17, 2018 Share Repurchase Program | |||||
Equity, Class of Treasury Stock [Line Items] | |||||
Stock repurchase program, authorized amount | $ 5 |
Accumulated other comprehensi_3
Accumulated other comprehensive income (loss) (Details) - USD ($) $ in Millions | 12 Months Ended | ||
Dec. 31, 2023 | Jan. 01, 2023 | Jan. 02, 2022 | |
AOCI Including Portion Attributable to Noncontrolling Interest, Net of Tax [Roll Forward] | |||
Beginning Balance | $ 76,804 | $ 74,023 | $ 63,278 |
Net change | (4,741) | 91 | 2,184 |
Ending Balance | 68,774 | 76,804 | 74,023 |
Foreign Currency Translation | |||
AOCI Including Portion Attributable to Noncontrolling Interest, Net of Tax [Roll Forward] | |||
Beginning Balance | (11,813) | (10,017) | (8,938) |
Net change | (3,221) | (1,796) | (1,079) |
Kenvue Separation/IPO | 4,885 | ||
Ending Balance | (10,149) | (11,813) | (10,017) |
Gain/ (Loss) On Securities | |||
AOCI Including Portion Attributable to Noncontrolling Interest, Net of Tax [Roll Forward] | |||
Beginning Balance | (27) | (3) | 1 |
Net change | 26 | (24) | (4) |
Ending Balance | (1) | (27) | (3) |
Employee Benefit Plans | |||
AOCI Including Portion Attributable to Noncontrolling Interest, Net of Tax [Roll Forward] | |||
Beginning Balance | (897) | (2,702) | (6,957) |
Net change | (1,399) | 1,805 | 4,255 |
Kenvue Separation/IPO | 296 | ||
Ending Balance | (2,000) | (897) | (2,702) |
Gain/ (Loss) On Derivatives & Hedges | |||
AOCI Including Portion Attributable to Noncontrolling Interest, Net of Tax [Roll Forward] | |||
Beginning Balance | (230) | (336) | 652 |
Net change | (147) | 106 | (988) |
Ending Balance | (377) | (230) | (336) |
Accumulated Other Comprehensive Income (Loss) | |||
AOCI Including Portion Attributable to Noncontrolling Interest, Net of Tax [Roll Forward] | |||
Beginning Balance | (12,967) | (13,058) | (15,242) |
Net change | (4,741) | 91 | 2,184 |
Kenvue Separation/IPO | 5,181 | ||
Ending Balance | $ (12,527) | $ (12,967) | $ (13,058) |
International currency transl_2
International currency translation (Details) - USD ($) $ in Millions | 12 Months Ended | ||
Dec. 31, 2023 | Jan. 01, 2023 | Jan. 02, 2022 | |
Foreign Currency Translation [Abstract] | |||
Foreign currency transaction gain (loss), before tax | $ (366) | $ (286) | $ (216) |
Earnings per share - Reconcilia
Earnings per share - Reconciliation of Basic Net Earnings per Share to Diluted Net Earnings per Share (Details) - $ / shares shares in Millions | 3 Months Ended | 12 Months Ended | |||||||||
Dec. 31, 2023 | Oct. 01, 2023 | Jul. 02, 2023 | Apr. 02, 2023 | Jan. 01, 2023 | Oct. 02, 2022 | Jul. 03, 2022 | Apr. 03, 2022 | Dec. 31, 2023 | Jan. 01, 2023 | Jan. 02, 2022 | |
Reconciliation of basic net earnings per share to diluted net earnings per share | |||||||||||
Basic net earnings per share from continuing operations (in dollars per share) | $ 1.71 | $ 1.71 | $ 2.07 | $ (0.19) | $ 1.24 | $ 1.64 | $ 1.62 | $ 1.74 | $ 5.26 | $ 6.23 | $ 6.76 |
Basic net earnings per share from discontinued operations (in dollars per share) | (0.03) | 8.61 | (0.09) | 0.16 | 0.11 | 0.06 | 0.21 | 0.22 | 8.62 | 0.60 | 1.17 |
Basic net earnings per share (in dollars per share) | 1.68 | 10.32 | 1.98 | (0.03) | 1.35 | 1.70 | 1.83 | 1.96 | $ 13.88 | $ 6.83 | $ 7.93 |
Average shares outstanding — basic (in shares) | 2,533.5 | 2,625.2 | 2,632.1 | ||||||||
Potential shares exercisable under stock option plans (in shares) | 94.1 | 140.1 | 138 | ||||||||
Less: shares repurchased under treasury stock method (in shares) | (67.2) | (101.4) | (96.1) | ||||||||
Average shares outstanding - diluted (in shares) | 2,560.4 | 2,663.9 | 2,674 | ||||||||
Diluted net earnings per share from continuing operations (in dollars per share) | 1.70 | 1.69 | 2.05 | (0.19) | 1.22 | 1.62 | 1.60 | 1.71 | $ 5.20 | $ 6.14 | $ 6.66 |
Diluted net earnings per share from discontinuing operations (in dollars per share) | (0.03) | 8.52 | (0.09) | 0.16 | 0.11 | 0.06 | 0.20 | 0.22 | 8.52 | 0.59 | 1.15 |
Diluted net earnings per share (in dollars per share) | $ 1.67 | $ 10.21 | $ 1.96 | $ (0.03) | $ 1.33 | $ 1.68 | $ 1.80 | $ 1.93 | $ 13.72 | $ 6.73 | $ 7.81 |
Earnings per share - Narrative
Earnings per share - Narrative (Details) shares in Millions | 12 Months Ended |
Dec. 31, 2023 shares | |
Earnings Per Share [Abstract] | |
Antidilutive securities excluded from computation of earnings per share (in shares) | 43 |
Common stock, stock option pl_3
Common stock, stock option plans and stock compensation agreements - Narrative (Details) $ / shares in Units, $ in Millions | 12 Months Ended | ||
Dec. 31, 2023 USD ($) StockBasedCompensationPlans $ / shares shares | Jan. 01, 2023 USD ($) $ / shares shares | Jan. 02, 2022 USD ($) $ / shares shares | |
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | |||
Number of stock-based compensation plans | StockBasedCompensationPlans | 1 | ||
Compensation cost charged for Long term incentive plan | $ | $ 1,087 | $ 1,028 | $ 1,038 |
Total income tax benefit recognized | $ | 221 | 177 | 199 |
Exercise of options, tax benefit | $ | 126 | 267 | 213 |
Total compensation cost not yet recognized for option | $ | $ 907 | $ 866 | $ 775 |
Weighted average period for total compensation cost not yet recognized | 1 year 9 months 18 days | 1 year 9 months 18 days | 1 year 9 months 10 days |
Average fair value of option granted (in dollars per share) | $ / shares | $ 27.85 | $ 23.23 | $ 20.86 |
Total intrinsic value of options exercised | $ | $ 729 | $ 1,228 | $ 919 |
Options cancelled in period (in shares) | 7,689 | ||
Stock options outstanding (in shares) | 112,238,000 | 118,672,000 | 117,361,000 |
Stock option average life | 5 years 6 months | 5 years 9 months 18 days | 5 years 9 months 18 days |
Stock options exercisable (in shares) | 63,661,000 | 62,742,000 | |
Stock options average price (in dollars per share) | $ / shares | $ 113.06 | $ 104.42 | |
Employee Stock Option | |||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | |||
Stock options expiration period | 10 years | ||
Restricted Stock Units (RSUs) | |||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | |||
Average fair value of RSU's and PSU's granted (in dollars per share) | $ / shares | $ 152.63 | $ 153.67 | $ 152.62 |
Fair Value of RSU or PSU units settled | $ | $ 605 | $ 591 | $ 611 |
Performance Shares | |||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | |||
Award vesting period | 3 years | ||
Average fair value of RSU's and PSU's granted (in dollars per share) | $ / shares | $ 145.17 | $ 170.46 | $ 179.35 |
Fair Value of RSU or PSU units settled | $ | $ 140 | $ 94 | $ 83 |
Minimum | Employee Stock Option | |||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | |||
Award vesting period | 6 months | ||
Minimum | Restricted Stock Units (RSUs) | |||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | |||
Award vesting period | 6 months | ||
Minimum | Performance Shares | |||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | |||
Vesting percentage | 0% | ||
Maximum | Employee Stock Option | |||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | |||
Award vesting period | 4 years | ||
Maximum | Restricted Stock Units (RSUs) | |||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | |||
Award vesting period | 3 years | ||
Maximum | Performance Shares | |||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | |||
Vesting percentage | 200% | ||
2022 Long-Term Incentive Plan | |||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | |||
Number of shares authorized for issuance under long-term incentive plan (in shares) | 150,000,000 | ||
Shares issued subject to stock options or stock appreciation rights (in shares) | 110,000,000 | ||
Shares subject to full value awards (in shares) | 40,000,000 | ||
Shares subject to full value award, excess (in shares) | 40,000,000 | ||
Shares available for future grants under long-term incentive plan | 130,000,000 |
Common stock, stock option pl_4
Common stock, stock option plans and stock compensation agreements - Schedule Valuation Assumptions (Details) | 12 Months Ended | ||
Dec. 31, 2023 | Jan. 01, 2023 | Jan. 02, 2022 | |
Weighted average assumptions of fair value of options | |||
Risk-free rate | 3.74% | 1.98% | 0.83% |
Expected volatility | 17.69% | 18% | 18.59% |
Expected life (in years) | 7 years | 7 years | 7 years |
Expected dividend yield | 2.90% | 2.70% | 2.50% |
Common stock, stock option pl_5
Common stock, stock option plans and stock compensation agreements - Summary of Stock Option Activity (Details) - USD ($) $ / shares in Units, shares in Thousands, $ in Millions | 12 Months Ended | |
Dec. 31, 2023 | Jan. 01, 2023 | |
Outstanding Shares | ||
Options outstanding beginning of period (in shares) | 118,672 | |
Options granted (in shares) | 16,320 | |
Options exercised (in shares) | (12,386) | |
Options canceled/forfeited (in shares) | (10,368) | |
Options outstanding end of period (in shares) | 112,238 | |
Weighted Average Exercise Price | ||
Options exercise price beginning of period (in dollars per share) | $ 134.95 | |
Options granted, average exercise price (in dollars per share) | 162.75 | |
Options exercised, average exercise price (in dollars per share) | 109.48 | |
Options canceled/forfeited, average exercise price (in dollars per share) | 155.62 | |
Options exercise price end of period (in dollars per share) | $ 139.88 | |
Aggregate intrinsic value | $ 2,239 | $ 4,949 |
Common stock, stock option pl_6
Common stock, stock option plans and stock compensation agreements - Summary of Options Outstanding (Details) - $ / shares shares in Thousands | 12 Months Ended | ||
Dec. 31, 2023 | Jan. 01, 2023 | Jan. 02, 2022 | |
Stock options outstanding and exercisable | |||
Outstanding number of Options (in shares) | 112,238 | 118,672 | 117,361 |
Outstanding, Average Life | 5 years 6 months | 5 years 9 months 18 days | 5 years 9 months 18 days |
Outstanding Average Exercise Price (in dollars per share) | $ 139.88 | ||
Exercisable number of Options (in shares) | 66,998 | ||
Exercisable, Average Exercise Price (in dollars per share) | $ 123.39 | ||
$90.44 - $101.87 | |||
Stock options outstanding and exercisable | |||
Price Range, Minimum (in dollars per share) | 90.44 | ||
Price Range, Maximum (in dollars per share) | $ 101.87 | ||
Outstanding number of Options (in shares) | 20,774 | ||
Outstanding, Average Life | 1 year 4 months 24 days | ||
Outstanding Average Exercise Price (in dollars per share) | $ 99.21 | ||
Exercisable number of Options (in shares) | 20,774 | ||
Exercisable, Average Exercise Price (in dollars per share) | $ 99.21 | ||
$115.67 - $129.51 | |||
Stock options outstanding and exercisable | |||
Price Range, Minimum (in dollars per share) | 115.67 | ||
Price Range, Maximum (in dollars per share) | $ 129.51 | ||
Outstanding number of Options (in shares) | 19,368 | ||
Outstanding, Average Life | 3 years 7 months 6 days | ||
Outstanding Average Exercise Price (in dollars per share) | $ 122.49 | ||
Exercisable number of Options (in shares) | 19,368 | ||
Exercisable, Average Exercise Price (in dollars per share) | $ 122.49 | ||
$131.94 - $151.41 | |||
Stock options outstanding and exercisable | |||
Price Range, Minimum (in dollars per share) | 131.94 | ||
Price Range, Maximum (in dollars per share) | $ 151.41 | ||
Outstanding number of Options (in shares) | 27,391 | ||
Outstanding, Average Life | 5 years 7 months 6 days | ||
Outstanding Average Exercise Price (in dollars per share) | $ 142.84 | ||
Exercisable number of Options (in shares) | 26,676 | ||
Exercisable, Average Exercise Price (in dollars per share) | $ 142.61 | ||
$162.70 - $162.75 | |||
Stock options outstanding and exercisable | |||
Price Range, Minimum (in dollars per share) | 162.70 | ||
Price Range, Maximum (in dollars per share) | $ 162.75 | ||
Outstanding number of Options (in shares) | 13,928 | ||
Outstanding, Average Life | 9 years 1 month 6 days | ||
Outstanding Average Exercise Price (in dollars per share) | $ 162.75 | ||
Exercisable number of Options (in shares) | 6 | ||
Exercisable, Average Exercise Price (in dollars per share) | $ 162.75 | ||
$164.62 - $165.89 | |||
Stock options outstanding and exercisable | |||
Price Range, Minimum (in dollars per share) | 164.62 | ||
Price Range, Maximum (in dollars per share) | $ 165.89 | ||
Outstanding number of Options (in shares) | 30,777 | ||
Outstanding, Average Life | 7 years 7 months 6 days | ||
Outstanding Average Exercise Price (in dollars per share) | $ 165.29 | ||
Exercisable number of Options (in shares) | 174 | ||
Exercisable, Average Exercise Price (in dollars per share) | $ 165.12 |
Common stock, stock option pl_7
Common stock, stock option plans and stock compensation agreements - Summary of Restricted Share Units (Details) | 12 Months Ended |
Dec. 31, 2023 shares | |
Restricted Stock Units (RSUs) | |
Share-based Compensation Arrangement by Share-based Payment Award, Non-Option Equity Instruments, Outstanding [Roll Forward] | |
Beginning balance (in shares) | 13,616,000 |
Granted (in shares) | 5,910,000 |
Issued (in shares) | (4,329,000) |
Canceled/forfeited/adjusted (in shares) | (2,259,000) |
Ending balance (in shares) | 12,938,000 |
Cancelled in period (in shares) | 1,421 |
Performance Shares | |
Share-based Compensation Arrangement by Share-based Payment Award, Non-Option Equity Instruments, Outstanding [Roll Forward] | |
Beginning balance (in shares) | 2,357,000 |
Granted (in shares) | 828,000 |
Issued (in shares) | (785,000) |
Canceled/forfeited/adjusted (in shares) | (363,000) |
Ending balance (in shares) | 2,037,000 |
Cancelled in period (in shares) | 264 |
Segments of Business and Geog_3
Segments of Business and Geographic Areas - Sales by Segment of Business (Details) $ in Millions | 3 Months Ended | 12 Months Ended | |||||||||
Dec. 31, 2023 USD ($) | Oct. 01, 2023 USD ($) | Jul. 02, 2023 USD ($) | Apr. 02, 2023 USD ($) | Jan. 01, 2023 USD ($) | Oct. 02, 2022 USD ($) | Jul. 03, 2022 USD ($) | Apr. 03, 2022 USD ($) | Dec. 31, 2023 USD ($) segment | Jan. 01, 2023 USD ($) | Jan. 02, 2022 USD ($) Segment | |
Segment Reporting Information [Line Items] | |||||||||||
Number of segments | 2 | 3 | |||||||||
Sales to Customers | $ 21,395 | $ 21,351 | $ 21,519 | $ 20,894 | $ 19,939 | $ 19,996 | $ 20,215 | $ 19,840 | $ 85,159 | $ 79,990 | $ 78,740 |
% Change | 6.50% | 1.60% | |||||||||
Innovative Medicine | |||||||||||
Segment Reporting Information [Line Items] | |||||||||||
Sales to Customers | 13,722 | 13,893 | 13,731 | 13,413 | 13,163 | 13,214 | 13,317 | 12,869 | $ 54,759 | $ 52,563 | 51,680 |
% Change | 4.20% | 1.70% | |||||||||
Innovative Medicine | Immunology | |||||||||||
Segment Reporting Information [Line Items] | |||||||||||
Sales to Customers | $ 18,052 | $ 16,935 | 16,750 | ||||||||
% Change | 6.60% | 1.10% | |||||||||
Innovative Medicine | Infectious Diseases | |||||||||||
Segment Reporting Information [Line Items] | |||||||||||
Sales to Customers | $ 4,418 | $ 5,449 | 5,825 | ||||||||
% Change | (18.90%) | (6.50%) | |||||||||
Innovative Medicine | Neuroscience | |||||||||||
Segment Reporting Information [Line Items] | |||||||||||
Sales to Customers | $ 7,140 | $ 6,893 | 6,988 | ||||||||
% Change | 3.60% | (1.40%) | |||||||||
Innovative Medicine | Oncology | |||||||||||
Segment Reporting Information [Line Items] | |||||||||||
Sales to Customers | $ 17,661 | $ 15,983 | 14,548 | ||||||||
% Change | 10.50% | 9.90% | |||||||||
Innovative Medicine | Pulmonary Hypertension | |||||||||||
Segment Reporting Information [Line Items] | |||||||||||
Sales to Customers | $ 3,815 | $ 3,417 | 3,450 | ||||||||
% Change | 11.60% | (1.00%) | |||||||||
Innovative Medicine | Cardiovascular/Metabolism/Other | |||||||||||
Segment Reporting Information [Line Items] | |||||||||||
Sales to Customers | $ 3,671 | $ 3,887 | 4,119 | ||||||||
% Change | (5.50%) | (5.60%) | |||||||||
MedTech | |||||||||||
Segment Reporting Information [Line Items] | |||||||||||
Sales to Customers | $ 7,673 | $ 7,458 | $ 7,788 | $ 7,481 | $ 6,776 | $ 6,782 | $ 6,898 | $ 6,971 | $ 30,400 | $ 27,427 | 27,060 |
% Change | 10.80% | 1.40% | |||||||||
MedTech | Interventional Solutions | |||||||||||
Segment Reporting Information [Line Items] | |||||||||||
Sales to Customers | $ 6,350 | $ 4,300 | 3,971 | ||||||||
% Change | 47.70% | 8.30% | |||||||||
MedTech | Orthopaedics | |||||||||||
Segment Reporting Information [Line Items] | |||||||||||
Sales to Customers | $ 8,942 | $ 8,587 | 8,588 | ||||||||
% Change | 4.10% | 0% | |||||||||
MedTech | Surgery | |||||||||||
Segment Reporting Information [Line Items] | |||||||||||
Sales to Customers | $ 10,037 | $ 9,690 | 9,812 | ||||||||
% Change | 3.60% | (1.20%) | |||||||||
MedTech | Vision | |||||||||||
Segment Reporting Information [Line Items] | |||||||||||
Sales to Customers | $ 5,072 | $ 4,849 | 4,688 | ||||||||
% Change | 4.60% | 3.40% | |||||||||
Remicade | Innovative Medicine | Immunology | |||||||||||
Segment Reporting Information [Line Items] | |||||||||||
Sales to Customers | $ 1,839 | $ 2,343 | 3,190 | ||||||||
% Change | (21.50%) | (26.60%) | |||||||||
Simponi/Simponi Aria | Innovative Medicine | Immunology | |||||||||||
Segment Reporting Information [Line Items] | |||||||||||
Sales to Customers | $ 2,197 | $ 2,184 | 2,276 | ||||||||
% Change | 0.60% | (4.00%) | |||||||||
Stelara | Innovative Medicine | Immunology | |||||||||||
Segment Reporting Information [Line Items] | |||||||||||
Sales to Customers | $ 10,858 | $ 9,723 | 9,134 | ||||||||
% Change | 11.70% | 6.50% | |||||||||
Tremfya | Innovative Medicine | Immunology | |||||||||||
Segment Reporting Information [Line Items] | |||||||||||
Sales to Customers | $ 3,147 | $ 2,668 | 2,127 | ||||||||
% Change | 17.90% | 25.40% | |||||||||
Other Immunology | Innovative Medicine | Immunology | |||||||||||
Segment Reporting Information [Line Items] | |||||||||||
Sales to Customers | $ 11 | $ 17 | 24 | ||||||||
% Change | (33.80%) | (28.20%) | |||||||||
COVID-19 | Innovative Medicine | Infectious Diseases | |||||||||||
Segment Reporting Information [Line Items] | |||||||||||
Sales to Customers | $ 1,117 | $ 2,179 | 2,385 | ||||||||
% Change | (48.80%) | (8.60%) | |||||||||
EDURANT/rilpivirine | Innovative Medicine | Infectious Diseases | |||||||||||
Segment Reporting Information [Line Items] | |||||||||||
Sales to Customers | $ 1,150 | $ 1,008 | 994 | ||||||||
% Change | 14.10% | 1.50% | |||||||||
PREZISTA/PREZCOBIX/REZOLSTA/SYMTUZA | Innovative Medicine | Infectious Diseases | |||||||||||
Segment Reporting Information [Line Items] | |||||||||||
Sales to Customers | $ 1,854 | $ 1,943 | 2,083 | ||||||||
% Change | (4.60%) | (6.70%) | |||||||||
Other Infectious Diseases | Innovative Medicine | Infectious Diseases | |||||||||||
Segment Reporting Information [Line Items] | |||||||||||
Sales to Customers | $ 297 | $ 318 | 363 | ||||||||
% Change | (6.70%) | (12.30%) | |||||||||
CONCERTA/Methylphenidate | Innovative Medicine | Neuroscience | |||||||||||
Segment Reporting Information [Line Items] | |||||||||||
Sales to Customers | $ 783 | $ 644 | 667 | ||||||||
% Change | 21.60% | (3.50%) | |||||||||
INVEGA SUSTENNA/XEPLION/TRINZA/TREVICTA | Innovative Medicine | Neuroscience | |||||||||||
Segment Reporting Information [Line Items] | |||||||||||
Sales to Customers | $ 4,115 | $ 4,140 | 4,022 | ||||||||
% Change | (0.60%) | 3% | |||||||||
RISPERDAL CONSTA | Innovative Medicine | Neuroscience | |||||||||||
Segment Reporting Information [Line Items] | |||||||||||
Sales to Customers | $ 689 | $ 374 | 224 | ||||||||
% Change | 84.10% | 67% | |||||||||
OTHER NEUROSCIENCE | Innovative Medicine | Neuroscience | |||||||||||
Segment Reporting Information [Line Items] | |||||||||||
Sales to Customers | $ 1,553 | $ 1,734 | 2,074 | ||||||||
% Change | (10.40%) | (16.40%) | |||||||||
CARVYKTI | Innovative Medicine | Oncology | |||||||||||
Segment Reporting Information [Line Items] | |||||||||||
Sales to Customers | $ 500 | $ 133 | 0 | ||||||||
DARZALEX | Innovative Medicine | Oncology | |||||||||||
Segment Reporting Information [Line Items] | |||||||||||
Sales to Customers | $ 9,744 | $ 7,977 | 6,023 | ||||||||
% Change | 22.20% | 32.40% | |||||||||
ERLEADA | Innovative Medicine | Oncology | |||||||||||
Segment Reporting Information [Line Items] | |||||||||||
Sales to Customers | $ 2,387 | $ 1,881 | 1,291 | ||||||||
% Change | 26.90% | 45.70% | |||||||||
IMBRUVICA | Innovative Medicine | Oncology | |||||||||||
Segment Reporting Information [Line Items] | |||||||||||
Sales to Customers | $ 3,264 | $ 3,784 | 4,369 | ||||||||
% Change | (13.70%) | (13.40%) | |||||||||
ZYTIGA/abiraterone acetate | Innovative Medicine | Oncology | |||||||||||
Segment Reporting Information [Line Items] | |||||||||||
Sales to Customers | $ 887 | $ 1,770 | 2,297 | ||||||||
% Change | (49.90%) | (22.90%) | |||||||||
Other Oncology | Innovative Medicine | Oncology | |||||||||||
Segment Reporting Information [Line Items] | |||||||||||
Sales to Customers | $ 879 | $ 438 | 568 | ||||||||
% Change | (22.90%) | ||||||||||
OPSUMIT | Innovative Medicine | Pulmonary Hypertension | |||||||||||
Segment Reporting Information [Line Items] | |||||||||||
Sales to Customers | $ 1,973 | $ 1,783 | 1,819 | ||||||||
% Change | 10.60% | (2.00%) | |||||||||
UPTRAVI | Innovative Medicine | Pulmonary Hypertension | |||||||||||
Segment Reporting Information [Line Items] | |||||||||||
Sales to Customers | $ 1,582 | $ 1,322 | 1,237 | ||||||||
% Change | 19.70% | 6.90% | |||||||||
Other | Innovative Medicine | Pulmonary Hypertension | |||||||||||
Segment Reporting Information [Line Items] | |||||||||||
Sales to Customers | $ 260 | $ 313 | 395 | ||||||||
% Change | (16.70%) | (20.80%) | |||||||||
Other | Innovative Medicine | Cardiovascular/Metabolism/Other | |||||||||||
Segment Reporting Information [Line Items] | |||||||||||
Sales to Customers | $ 1,306 | $ 1,414 | 1,682 | ||||||||
% Change | (7.60%) | (15.90%) | |||||||||
XARELTO | Innovative Medicine | Cardiovascular/Metabolism/Other | |||||||||||
Segment Reporting Information [Line Items] | |||||||||||
Sales to Customers | $ 2,365 | $ 2,473 | 2,438 | ||||||||
% Change | (4.40%) | 1.40% | |||||||||
ELECTROPHYSIOLOGY | MedTech | Interventional Solutions | |||||||||||
Segment Reporting Information [Line Items] | |||||||||||
Sales to Customers | $ 4,688 | $ 3,937 | 3,623 | ||||||||
% Change | 19.10% | 8.70% | |||||||||
Abiomed | MedTech | Interventional Solutions | |||||||||||
Segment Reporting Information [Line Items] | |||||||||||
Sales to Customers | $ 1,306 | $ 31 | 0 | ||||||||
Other Interventional Solutions | MedTech | Interventional Solutions | |||||||||||
Segment Reporting Information [Line Items] | |||||||||||
Sales to Customers | $ 356 | $ 332 | 348 | ||||||||
% Change | 7.10% | (4.60%) | |||||||||
HIPS | MedTech | Orthopaedics | |||||||||||
Segment Reporting Information [Line Items] | |||||||||||
Sales to Customers | $ 1,560 | $ 1,514 | 1,480 | ||||||||
% Change | 3% | 2.30% | |||||||||
KNEES | MedTech | Orthopaedics | |||||||||||
Segment Reporting Information [Line Items] | |||||||||||
Sales to Customers | $ 1,456 | $ 1,359 | 1,325 | ||||||||
% Change | 7.10% | 2.60% | |||||||||
TRAUMA | MedTech | Orthopaedics | |||||||||||
Segment Reporting Information [Line Items] | |||||||||||
Sales to Customers | $ 2,979 | $ 2,871 | 2,885 | ||||||||
% Change | 3.80% | (0.50%) | |||||||||
SPINE,SPORTS & OTHER | MedTech | Orthopaedics | |||||||||||
Segment Reporting Information [Line Items] | |||||||||||
Sales to Customers | $ 2,947 | $ 2,843 | 2,898 | ||||||||
% Change | 3.70% | (1.90%) | |||||||||
ADVANCED | MedTech | Surgery | |||||||||||
Segment Reporting Information [Line Items] | |||||||||||
Sales to Customers | $ 4,671 | $ 4,569 | 4,622 | ||||||||
% Change | 2.20% | (1.10%) | |||||||||
GENERAL | MedTech | Surgery | |||||||||||
Segment Reporting Information [Line Items] | |||||||||||
Sales to Customers | $ 5,366 | $ 5,121 | 5,190 | ||||||||
% Change | 4.80% | (1.30%) | |||||||||
CONTACT LENSES/OTHER | MedTech | Vision | |||||||||||
Segment Reporting Information [Line Items] | |||||||||||
Sales to Customers | $ 3,702 | $ 3,543 | 3,440 | ||||||||
% Change | 4.50% | 3% | |||||||||
SURGICAL | MedTech | Vision | |||||||||||
Segment Reporting Information [Line Items] | |||||||||||
Sales to Customers | $ 1,370 | $ 1,306 | 1,248 | ||||||||
% Change | 4.90% | 4.60% | |||||||||
United States | |||||||||||
Segment Reporting Information [Line Items] | |||||||||||
Sales to Customers | $ 46,444 | $ 41,981 | 40,640 | ||||||||
% Change | 10.60% | 3.30% | |||||||||
United States | Innovative Medicine | |||||||||||
Segment Reporting Information [Line Items] | |||||||||||
Sales to Customers | $ 31,169 | $ 28,604 | 27,954 | ||||||||
% Change | 9% | 2.30% | |||||||||
United States | Innovative Medicine | Immunology | |||||||||||
Segment Reporting Information [Line Items] | |||||||||||
Sales to Customers | $ 11,539 | $ 11,036 | 10,843 | ||||||||
% Change | 4.60% | 1.80% | |||||||||
United States | Innovative Medicine | Infectious Diseases | |||||||||||
Segment Reporting Information [Line Items] | |||||||||||
Sales to Customers | $ 1,500 | $ 1,680 | 2,249 | ||||||||
% Change | (10.70%) | (25.30%) | |||||||||
United States | Innovative Medicine | Neuroscience | |||||||||||
Segment Reporting Information [Line Items] | |||||||||||
Sales to Customers | $ 4,065 | $ 3,570 | 3,347 | ||||||||
% Change | 13.90% | 6.70% | |||||||||
United States | Innovative Medicine | Oncology | |||||||||||
Segment Reporting Information [Line Items] | |||||||||||
Sales to Customers | $ 8,462 | $ 6,930 | 5,958 | ||||||||
% Change | 22.10% | 16.30% | |||||||||
United States | Innovative Medicine | Pulmonary Hypertension | |||||||||||
Segment Reporting Information [Line Items] | |||||||||||
Sales to Customers | $ 2,697 | $ 2,346 | 2,365 | ||||||||
% Change | 15% | (0.80%) | |||||||||
United States | Innovative Medicine | Cardiovascular/Metabolism/Other | |||||||||||
Segment Reporting Information [Line Items] | |||||||||||
Sales to Customers | $ 2,906 | $ 3,042 | 3,192 | ||||||||
% Change | (4.50%) | (4.70%) | |||||||||
United States | MedTech | |||||||||||
Segment Reporting Information [Line Items] | |||||||||||
Sales to Customers | $ 15,275 | $ 13,377 | 12,686 | ||||||||
% Change | 14.20% | 5.40% | |||||||||
United States | MedTech | Interventional Solutions | |||||||||||
Segment Reporting Information [Line Items] | |||||||||||
Sales to Customers | $ 3,633 | $ 2,169 | 1,836 | ||||||||
% Change | 67.50% | 18.20% | |||||||||
United States | MedTech | Orthopaedics | |||||||||||
Segment Reporting Information [Line Items] | |||||||||||
Sales to Customers | $ 5,525 | $ 5,321 | 5,126 | ||||||||
% Change | 3.80% | 3.80% | |||||||||
United States | MedTech | Surgery | |||||||||||
Segment Reporting Information [Line Items] | |||||||||||
Sales to Customers | $ 4,031 | $ 3,897 | 3,867 | ||||||||
% Change | 3.40% | 0.80% | |||||||||
United States | MedTech | Vision | |||||||||||
Segment Reporting Information [Line Items] | |||||||||||
Sales to Customers | $ 2,086 | $ 1,990 | 1,857 | ||||||||
% Change | 4.80% | 7.20% | |||||||||
United States | Remicade | Innovative Medicine | Immunology | |||||||||||
Segment Reporting Information [Line Items] | |||||||||||
Sales to Customers | $ 1,143 | $ 1,417 | 2,019 | ||||||||
% Change | (19.30%) | (29.80%) | |||||||||
United States | Simponi/Simponi Aria | Innovative Medicine | Immunology | |||||||||||
Segment Reporting Information [Line Items] | |||||||||||
Sales to Customers | $ 1,124 | $ 1,166 | 1,127 | ||||||||
% Change | (3.60%) | 3.50% | |||||||||
United States | Stelara | Innovative Medicine | Immunology | |||||||||||
Segment Reporting Information [Line Items] | |||||||||||
Sales to Customers | $ 6,966 | $ 6,388 | 5,938 | ||||||||
% Change | 9% | 7.60% | |||||||||
United States | Tremfya | Innovative Medicine | Immunology | |||||||||||
Segment Reporting Information [Line Items] | |||||||||||
Sales to Customers | $ 2,147 | $ 1,844 | 1,503 | ||||||||
% Change | 16.50% | 22.70% | |||||||||
United States | Other Immunology | Innovative Medicine | Immunology | |||||||||||
Segment Reporting Information [Line Items] | |||||||||||
Sales to Customers | $ 11 | $ 17 | 21 | ||||||||
% Change | (33.80%) | (18.40%) | |||||||||
United States | COVID-19 | Innovative Medicine | Infectious Diseases | |||||||||||
Segment Reporting Information [Line Items] | |||||||||||
Sales to Customers | $ 0 | $ 120 | 634 | ||||||||
% Change | (81.10%) | ||||||||||
United States | EDURANT/rilpivirine | Innovative Medicine | Infectious Diseases | |||||||||||
Segment Reporting Information [Line Items] | |||||||||||
Sales to Customers | $ 35 | $ 36 | 41 | ||||||||
% Change | (3.70%) | (10.80%) | |||||||||
United States | PREZISTA/PREZCOBIX/REZOLSTA/SYMTUZA | Innovative Medicine | Infectious Diseases | |||||||||||
Segment Reporting Information [Line Items] | |||||||||||
Sales to Customers | $ 1,446 | $ 1,494 | 1,508 | ||||||||
% Change | (3.20%) | (1.00%) | |||||||||
United States | Other Infectious Diseases | Innovative Medicine | Infectious Diseases | |||||||||||
Segment Reporting Information [Line Items] | |||||||||||
Sales to Customers | $ 19 | $ 30 | 66 | ||||||||
% Change | (34.50%) | (55.50%) | |||||||||
United States | CONCERTA/Methylphenidate | Innovative Medicine | Neuroscience | |||||||||||
Segment Reporting Information [Line Items] | |||||||||||
Sales to Customers | $ 230 | $ 151 | 172 | ||||||||
% Change | 52.50% | (12.50%) | |||||||||
United States | INVEGA SUSTENNA/XEPLION/TRINZA/TREVICTA | Innovative Medicine | Neuroscience | |||||||||||
Segment Reporting Information [Line Items] | |||||||||||
Sales to Customers | $ 2,897 | $ 2,714 | 2,550 | ||||||||
% Change | 6.70% | 6.50% | |||||||||
United States | RISPERDAL CONSTA | Innovative Medicine | Neuroscience | |||||||||||
Segment Reporting Information [Line Items] | |||||||||||
Sales to Customers | $ 589 | $ 328 | 198 | ||||||||
% Change | 79.70% | 65.70% | |||||||||
United States | OTHER NEUROSCIENCE | Innovative Medicine | Neuroscience | |||||||||||
Segment Reporting Information [Line Items] | |||||||||||
Sales to Customers | $ 349 | $ 376 | 427 | ||||||||
% Change | (7.30%) | (11.90%) | |||||||||
United States | CARVYKTI | Innovative Medicine | Oncology | |||||||||||
Segment Reporting Information [Line Items] | |||||||||||
Sales to Customers | $ 469 | $ 133 | 0 | ||||||||
United States | DARZALEX | Innovative Medicine | Oncology | |||||||||||
Segment Reporting Information [Line Items] | |||||||||||
Sales to Customers | $ 5,277 | $ 4,210 | 3,169 | ||||||||
% Change | 25.40% | 32.80% | |||||||||
United States | ERLEADA | Innovative Medicine | Oncology | |||||||||||
Segment Reporting Information [Line Items] | |||||||||||
Sales to Customers | $ 1,065 | $ 968 | 813 | ||||||||
% Change | 10% | 19.20% | |||||||||
United States | IMBRUVICA | Innovative Medicine | Oncology | |||||||||||
Segment Reporting Information [Line Items] | |||||||||||
Sales to Customers | $ 1,051 | $ 1,390 | 1,747 | ||||||||
% Change | (24.40%) | (20.40%) | |||||||||
United States | ZYTIGA/abiraterone acetate | Innovative Medicine | Oncology | |||||||||||
Segment Reporting Information [Line Items] | |||||||||||
Sales to Customers | $ 50 | $ 74 | 119 | ||||||||
% Change | (32.10%) | (37.80%) | |||||||||
United States | Other Oncology | Innovative Medicine | Oncology | |||||||||||
Segment Reporting Information [Line Items] | |||||||||||
Sales to Customers | $ 549 | $ 156 | 110 | ||||||||
% Change | 41.80% | ||||||||||
United States | OPSUMIT | Innovative Medicine | Pulmonary Hypertension | |||||||||||
Segment Reporting Information [Line Items] | |||||||||||
Sales to Customers | $ 1,292 | $ 1,132 | 1,147 | ||||||||
% Change | 14.10% | (1.30%) | |||||||||
United States | UPTRAVI | Innovative Medicine | Pulmonary Hypertension | |||||||||||
Segment Reporting Information [Line Items] | |||||||||||
Sales to Customers | $ 1,326 | $ 1,104 | 1,056 | ||||||||
% Change | 20.10% | 4.50% | |||||||||
United States | Other | Innovative Medicine | Pulmonary Hypertension | |||||||||||
Segment Reporting Information [Line Items] | |||||||||||
Sales to Customers | $ 79 | $ 110 | 163 | ||||||||
% Change | (28.60%) | (32.30%) | |||||||||
United States | Other | Innovative Medicine | Cardiovascular/Metabolism/Other | |||||||||||
Segment Reporting Information [Line Items] | |||||||||||
Sales to Customers | $ 541 | $ 569 | 754 | ||||||||
% Change | (5.00%) | (24.50%) | |||||||||
United States | XARELTO | Innovative Medicine | Cardiovascular/Metabolism/Other | |||||||||||
Segment Reporting Information [Line Items] | |||||||||||
Sales to Customers | $ 2,365 | $ 2,473 | 2,438 | ||||||||
% Change | (4.40%) | 1.40% | |||||||||
United States | ELECTROPHYSIOLOGY | MedTech | Interventional Solutions | |||||||||||
Segment Reporting Information [Line Items] | |||||||||||
Sales to Customers | $ 2,458 | $ 2,036 | 1,730 | ||||||||
% Change | 20.70% | 17.70% | |||||||||
United States | Abiomed | MedTech | Interventional Solutions | |||||||||||
Segment Reporting Information [Line Items] | |||||||||||
Sales to Customers | $ 1,066 | $ 31 | 0 | ||||||||
United States | Other Interventional Solutions | MedTech | Interventional Solutions | |||||||||||
Segment Reporting Information [Line Items] | |||||||||||
Sales to Customers | $ 109 | $ 102 | 106 | ||||||||
% Change | 6.70% | (3.80%) | |||||||||
United States | HIPS | MedTech | Orthopaedics | |||||||||||
Segment Reporting Information [Line Items] | |||||||||||
Sales to Customers | $ 996 | $ 943 | 878 | ||||||||
% Change | 5.60% | 7.30% | |||||||||
United States | KNEES | MedTech | Orthopaedics | |||||||||||
Segment Reporting Information [Line Items] | |||||||||||
Sales to Customers | $ 896 | $ 851 | 787 | ||||||||
% Change | 5.30% | 8.20% | |||||||||
United States | TRAUMA | MedTech | Orthopaedics | |||||||||||
Segment Reporting Information [Line Items] | |||||||||||
Sales to Customers | $ 1,949 | $ 1,882 | 1,819 | ||||||||
% Change | 3.60% | 3.50% | |||||||||
United States | SPINE,SPORTS & OTHER | MedTech | Orthopaedics | |||||||||||
Segment Reporting Information [Line Items] | |||||||||||
Sales to Customers | $ 1,684 | $ 1,645 | 1,642 | ||||||||
% Change | 2.40% | 0.20% | |||||||||
United States | ADVANCED | MedTech | Surgery | |||||||||||
Segment Reporting Information [Line Items] | |||||||||||
Sales to Customers | $ 1,833 | $ 1,784 | 1,761 | ||||||||
% Change | 2.80% | 1.30% | |||||||||
United States | GENERAL | MedTech | Surgery | |||||||||||
Segment Reporting Information [Line Items] | |||||||||||
Sales to Customers | $ 2,198 | $ 2,113 | 2,105 | ||||||||
% Change | 4% | 0.40% | |||||||||
United States | CONTACT LENSES/OTHER | MedTech | Vision | |||||||||||
Segment Reporting Information [Line Items] | |||||||||||
Sales to Customers | $ 1,626 | $ 1,522 | 1,398 | ||||||||
% Change | 6.80% | 8.90% | |||||||||
United States | SURGICAL | MedTech | Vision | |||||||||||
Segment Reporting Information [Line Items] | |||||||||||
Sales to Customers | $ 460 | $ 468 | 459 | ||||||||
% Change | (1.80%) | 2% | |||||||||
Non-US | |||||||||||
Segment Reporting Information [Line Items] | |||||||||||
Sales to Customers | $ 38,715 | $ 38,009 | 38,100 | ||||||||
% Change | 1.90% | (0.20%) | |||||||||
Non-US | Innovative Medicine | |||||||||||
Segment Reporting Information [Line Items] | |||||||||||
Sales to Customers | $ 23,590 | $ 23,959 | 23,726 | ||||||||
% Change | (1.50%) | 1% | |||||||||
Non-US | Innovative Medicine | Immunology | |||||||||||
Segment Reporting Information [Line Items] | |||||||||||
Sales to Customers | $ 6,513 | $ 5,899 | 5,907 | ||||||||
% Change | 10.40% | (0.10%) | |||||||||
Non-US | Innovative Medicine | Infectious Diseases | |||||||||||
Segment Reporting Information [Line Items] | |||||||||||
Sales to Customers | $ 2,918 | $ 3,769 | 3,576 | ||||||||
% Change | (22.60%) | 5.40% | |||||||||
Non-US | Innovative Medicine | Neuroscience | |||||||||||
Segment Reporting Information [Line Items] | |||||||||||
Sales to Customers | $ 3,076 | $ 3,323 | 3,641 | ||||||||
% Change | (7.50%) | (8.70%) | |||||||||
Non-US | Innovative Medicine | Oncology | |||||||||||
Segment Reporting Information [Line Items] | |||||||||||
Sales to Customers | $ 9,199 | $ 9,052 | 8,590 | ||||||||
% Change | 1.60% | 5.40% | |||||||||
Non-US | Innovative Medicine | Pulmonary Hypertension | |||||||||||
Segment Reporting Information [Line Items] | |||||||||||
Sales to Customers | $ 1,117 | $ 1,071 | 1,085 | ||||||||
% Change | 4.30% | (1.30%) | |||||||||
Non-US | Innovative Medicine | Cardiovascular/Metabolism/Other | |||||||||||
Segment Reporting Information [Line Items] | |||||||||||
Sales to Customers | $ 765 | $ 845 | 927 | ||||||||
% Change | (9.40%) | (8.90%) | |||||||||
Non-US | MedTech | |||||||||||
Segment Reporting Information [Line Items] | |||||||||||
Sales to Customers | $ 15,125 | $ 14,050 | 14,374 | ||||||||
% Change | 7.70% | (2.30%) | |||||||||
Non-US | MedTech | Interventional Solutions | |||||||||||
Segment Reporting Information [Line Items] | |||||||||||
Sales to Customers | $ 2,717 | $ 2,131 | 2,135 | ||||||||
% Change | 27.50% | (0.20%) | |||||||||
Non-US | MedTech | Orthopaedics | |||||||||||
Segment Reporting Information [Line Items] | |||||||||||
Sales to Customers | $ 3,417 | $ 3,267 | 3,462 | ||||||||
% Change | 4.60% | (5.60%) | |||||||||
Non-US | MedTech | Surgery | |||||||||||
Segment Reporting Information [Line Items] | |||||||||||
Sales to Customers | $ 6,006 | $ 5,793 | 5,945 | ||||||||
% Change | 3.70% | (2.60%) | |||||||||
Non-US | MedTech | Vision | |||||||||||
Segment Reporting Information [Line Items] | |||||||||||
Sales to Customers | $ 2,986 | $ 2,859 | 2,831 | ||||||||
% Change | 4.50% | 1% | |||||||||
Non-US | Remicade | Innovative Medicine | Immunology | |||||||||||
Segment Reporting Information [Line Items] | |||||||||||
Sales to Customers | $ 549 | $ 722 | 935 | ||||||||
% Change | (23.90%) | (22.80%) | |||||||||
Non-US | Simponi/Simponi Aria | Innovative Medicine | Immunology | |||||||||||
Segment Reporting Information [Line Items] | |||||||||||
Sales to Customers | $ 1,073 | $ 1,017 | 1,148 | ||||||||
% Change | 5.40% | (11.40%) | |||||||||
Non-US | Stelara | Innovative Medicine | Immunology | |||||||||||
Segment Reporting Information [Line Items] | |||||||||||
Sales to Customers | $ 3,892 | $ 3,335 | 3,196 | ||||||||
% Change | 16.70% | 4.40% | |||||||||
Non-US | Tremfya | Innovative Medicine | Immunology | |||||||||||
Segment Reporting Information [Line Items] | |||||||||||
Sales to Customers | $ 999 | $ 824 | 624 | ||||||||
% Change | 21.20% | 32% | |||||||||
Non-US | Other Immunology | Innovative Medicine | Immunology | |||||||||||
Segment Reporting Information [Line Items] | |||||||||||
Sales to Customers | $ 0 | $ 0 | 3 | ||||||||
% Change | 0% | ||||||||||
Non-US | COVID-19 | Innovative Medicine | Infectious Diseases | |||||||||||
Segment Reporting Information [Line Items] | |||||||||||
Sales to Customers | $ 1,117 | $ 2,059 | 1,751 | ||||||||
% Change | (45.80%) | 17.60% | |||||||||
Non-US | EDURANT/rilpivirine | Innovative Medicine | Infectious Diseases | |||||||||||
Segment Reporting Information [Line Items] | |||||||||||
Sales to Customers | $ 1,115 | $ 972 | 953 | ||||||||
% Change | 14.80% | 2% | |||||||||
Non-US | PREZISTA/PREZCOBIX/REZOLSTA/SYMTUZA | Innovative Medicine | Infectious Diseases | |||||||||||
Segment Reporting Information [Line Items] | |||||||||||
Sales to Customers | $ 408 | $ 449 | 575 | ||||||||
% Change | (9.20%) | (21.90%) | |||||||||
Non-US | Other Infectious Diseases | Innovative Medicine | Infectious Diseases | |||||||||||
Segment Reporting Information [Line Items] | |||||||||||
Sales to Customers | $ 278 | $ 289 | 297 | ||||||||
% Change | (3.80%) | (2.60%) | |||||||||
Non-US | CONCERTA/Methylphenidate | Innovative Medicine | Neuroscience | |||||||||||
Segment Reporting Information [Line Items] | |||||||||||
Sales to Customers | $ 554 | $ 493 | 495 | ||||||||
% Change | 12.20% | (0.40%) | |||||||||
Non-US | INVEGA SUSTENNA/XEPLION/TRINZA/TREVICTA | Innovative Medicine | Neuroscience | |||||||||||
Segment Reporting Information [Line Items] | |||||||||||
Sales to Customers | $ 1,218 | $ 1,426 | 1,472 | ||||||||
% Change | (14.60%) | (3.10%) | |||||||||
Non-US | RISPERDAL CONSTA | Innovative Medicine | Neuroscience | |||||||||||
Segment Reporting Information [Line Items] | |||||||||||
Sales to Customers | $ 100 | $ 46 | 26 | ||||||||
% Change | 76.90% | ||||||||||
Non-US | OTHER NEUROSCIENCE | Innovative Medicine | Neuroscience | |||||||||||
Segment Reporting Information [Line Items] | |||||||||||
Sales to Customers | $ 1,204 | $ 1,358 | 1,647 | ||||||||
% Change | (11.30%) | (17.50%) | |||||||||
Non-US | CARVYKTI | Innovative Medicine | Oncology | |||||||||||
Segment Reporting Information [Line Items] | |||||||||||
Sales to Customers | $ 30 | $ 0 | 0 | ||||||||
Non-US | DARZALEX | Innovative Medicine | Oncology | |||||||||||
Segment Reporting Information [Line Items] | |||||||||||
Sales to Customers | $ 4,467 | $ 3,767 | 2,854 | ||||||||
% Change | 18.60% | 32% | |||||||||
Non-US | ERLEADA | Innovative Medicine | Oncology | |||||||||||
Segment Reporting Information [Line Items] | |||||||||||
Sales to Customers | $ 1,322 | $ 913 | 478 | ||||||||
% Change | 44.80% | ||||||||||
Non-US | IMBRUVICA | Innovative Medicine | Oncology | |||||||||||
Segment Reporting Information [Line Items] | |||||||||||
Sales to Customers | $ 2,214 | $ 2,394 | 2,622 | ||||||||
% Change | (7.50%) | (8.70%) | |||||||||
Non-US | ZYTIGA/abiraterone acetate | Innovative Medicine | Oncology | |||||||||||
Segment Reporting Information [Line Items] | |||||||||||
Sales to Customers | $ 837 | $ 1,696 | 2,178 | ||||||||
% Change | (50.70%) | (22.10%) | |||||||||
Non-US | Other Oncology | Innovative Medicine | Oncology | |||||||||||
Segment Reporting Information [Line Items] | |||||||||||
Sales to Customers | $ 330 | $ 283 | 458 | ||||||||
% Change | 16.90% | (38.20%) | |||||||||
Non-US | OPSUMIT | Innovative Medicine | Pulmonary Hypertension | |||||||||||
Segment Reporting Information [Line Items] | |||||||||||
Sales to Customers | $ 681 | $ 651 | 672 | ||||||||
% Change | 4.60% | (3.20%) | |||||||||
Non-US | UPTRAVI | Innovative Medicine | Pulmonary Hypertension | |||||||||||
Segment Reporting Information [Line Items] | |||||||||||
Sales to Customers | $ 255 | $ 218 | 181 | ||||||||
% Change | 17.30% | 20.40% | |||||||||
Non-US | Other | Innovative Medicine | Pulmonary Hypertension | |||||||||||
Segment Reporting Information [Line Items] | |||||||||||
Sales to Customers | $ 182 | $ 202 | 232 | ||||||||
% Change | (10.30%) | (12.80%) | |||||||||
Non-US | Other | Innovative Medicine | Cardiovascular/Metabolism/Other | |||||||||||
Segment Reporting Information [Line Items] | |||||||||||
Sales to Customers | $ 765 | $ 845 | 927 | ||||||||
% Change | (9.40%) | (8.80%) | |||||||||
Non-US | XARELTO | Innovative Medicine | Cardiovascular/Metabolism/Other | |||||||||||
Segment Reporting Information [Line Items] | |||||||||||
Sales to Customers | $ 0 | $ 0 | 0 | ||||||||
% Change | 0% | 0% | |||||||||
Non-US | ELECTROPHYSIOLOGY | MedTech | Interventional Solutions | |||||||||||
Segment Reporting Information [Line Items] | |||||||||||
Sales to Customers | $ 2,230 | $ 1,901 | 1,893 | ||||||||
% Change | 17.30% | 0.40% | |||||||||
Non-US | Abiomed | MedTech | Interventional Solutions | |||||||||||
Segment Reporting Information [Line Items] | |||||||||||
Sales to Customers | $ 240 | $ 0 | 0 | ||||||||
Non-US | Other Interventional Solutions | MedTech | Interventional Solutions | |||||||||||
Segment Reporting Information [Line Items] | |||||||||||
Sales to Customers | $ 247 | $ 230 | 242 | ||||||||
% Change | 7.30% | (5.00%) | |||||||||
Non-US | HIPS | MedTech | Orthopaedics | |||||||||||
Segment Reporting Information [Line Items] | |||||||||||
Sales to Customers | $ 564 | $ 571 | 602 | ||||||||
% Change | (1.20%) | (5.10%) | |||||||||
Non-US | KNEES | MedTech | Orthopaedics | |||||||||||
Segment Reporting Information [Line Items] | |||||||||||
Sales to Customers | $ 559 | $ 508 | 538 | ||||||||
% Change | 10.20% | (5.70%) | |||||||||
Non-US | TRAUMA | MedTech | Orthopaedics | |||||||||||
Segment Reporting Information [Line Items] | |||||||||||
Sales to Customers | $ 1,030 | $ 989 | 1,066 | ||||||||
% Change | 4.10% | (7.20%) | |||||||||
Non-US | SPINE,SPORTS & OTHER | MedTech | Orthopaedics | |||||||||||
Segment Reporting Information [Line Items] | |||||||||||
Sales to Customers | $ 1,263 | $ 1,198 | 1,256 | ||||||||
% Change | 5.40% | (4.60%) | |||||||||
Non-US | ADVANCED | MedTech | Surgery | |||||||||||
Segment Reporting Information [Line Items] | |||||||||||
Sales to Customers | $ 2,837 | $ 2,785 | 2,861 | ||||||||
% Change | 1.90% | (2.60%) | |||||||||
Non-US | GENERAL | MedTech | Surgery | |||||||||||
Segment Reporting Information [Line Items] | |||||||||||
Sales to Customers | $ 3,168 | $ 3,008 | 3,085 | ||||||||
% Change | 5.30% | (2.50%) | |||||||||
Non-US | CONTACT LENSES/OTHER | MedTech | Vision | |||||||||||
Segment Reporting Information [Line Items] | |||||||||||
Sales to Customers | $ 2,076 | $ 2,022 | 2,043 | ||||||||
% Change | 2.70% | (1.00%) | |||||||||
Non-US | SURGICAL | MedTech | Vision | |||||||||||
Segment Reporting Information [Line Items] | |||||||||||
Sales to Customers | $ 910 | $ 837 | 788 | ||||||||
% Change | 8.60% | 6.20% | |||||||||
UNITED STATES Exports | Remicade | Innovative Medicine | Immunology | |||||||||||
Segment Reporting Information [Line Items] | |||||||||||
Sales to Customers | $ 147 | $ 204 | $ 236 | ||||||||
% Change | (28.00%) | (13.60%) |
Segments of Business and Geog_4
Segments of Business and Geographic Areas - Schedule of Segment Reporting Information (Details) - USD ($) $ in Millions | 3 Months Ended | 12 Months Ended | |||||||||
Dec. 31, 2023 | Oct. 01, 2023 | Jul. 02, 2023 | Apr. 02, 2023 | Jan. 01, 2023 | Oct. 02, 2022 | Jul. 03, 2022 | Apr. 03, 2022 | Dec. 31, 2023 | Jan. 01, 2023 | Jan. 02, 2022 | |
Segment Reporting Information [Line Items] | |||||||||||
Earnings before provision for taxes on income | $ 4,826 | $ 5,217 | $ 6,306 | $ (1,287) | $ 3,840 | $ 5,172 | $ 5,144 | $ 5,203 | $ 15,062 | $ 19,359 | $ 19,178 |
Net assets divested | 0 | 27,237 | 0 | 27,237 | |||||||
Identifiable Assets | 167,558 | 187,378 | 167,558 | 187,378 | |||||||
Additions to Property, Plant & Equipment | 4,543 | 4,009 | 3,652 | ||||||||
Depreciation and Amortization | 7,486 | 6,970 | 7,390 | ||||||||
MedTech | Laminar | |||||||||||
Segment Reporting Information [Line Items] | |||||||||||
Payments to Acquire in Process Research and Development | 400 | ||||||||||
Segments Total | |||||||||||
Segment Reporting Information [Line Items] | |||||||||||
Identifiable Assets | 133,034 | 129,392 | 133,034 | 129,392 | |||||||
Additions to Property, Plant & Equipment | 4,025 | 3,494 | 3,131 | ||||||||
Depreciation and Amortization | 6,790 | 5,989 | 6,315 | ||||||||
Consumer Health | |||||||||||
Segment Reporting Information [Line Items] | |||||||||||
Additions to Property, Plant & Equipment | 162 | 303 | 314 | ||||||||
Depreciation and Amortization | 383 | 641 | 739 | ||||||||
Operating Segments | |||||||||||
Segment Reporting Information [Line Items] | |||||||||||
Earnings before provision for taxes on income | 22,915 | 20,094 | 21,958 | ||||||||
Operating Segments | Innovative Medicine | |||||||||||
Segment Reporting Information [Line Items] | |||||||||||
Earnings before provision for taxes on income | 18,246 | 15,647 | 17,750 | ||||||||
Identifiable Assets | 58,324 | 58,436 | 58,324 | 58,436 | |||||||
Additions to Property, Plant & Equipment | 1,653 | 1,374 | 1,198 | ||||||||
Depreciation and Amortization | 3,847 | 3,687 | 4,029 | ||||||||
Operating Segments | MedTech | |||||||||||
Segment Reporting Information [Line Items] | |||||||||||
Earnings before provision for taxes on income | 4,669 | 4,447 | 4,208 | ||||||||
Identifiable Assets | 74,710 | 70,956 | 74,710 | 70,956 | |||||||
Additions to Property, Plant & Equipment | 2,372 | 2,120 | 1,933 | ||||||||
Depreciation and Amortization | 2,943 | 2,302 | 2,286 | ||||||||
Corporate, Non-Segment | |||||||||||
Segment Reporting Information [Line Items] | |||||||||||
Less: Expense not allocated to segments | 7,853 | 735 | 2,780 | ||||||||
Corporate, Non-Segment | General Corporate | |||||||||||
Segment Reporting Information [Line Items] | |||||||||||
Identifiable Assets | $ 34,524 | $ 30,749 | 34,524 | 30,749 | |||||||
Additions to Property, Plant & Equipment | 356 | 212 | 207 | ||||||||
Depreciation and Amortization | $ 313 | $ 340 | $ 336 |
Segments of Business and Geog_5
Segments of Business and Geographic Areas - Schedule of Segment Reporting By Geographic Area (Details) $ in Millions | 3 Months Ended | 12 Months Ended | |||||||||
Dec. 31, 2023 USD ($) | Oct. 01, 2023 USD ($) | Jul. 02, 2023 USD ($) | Apr. 02, 2023 USD ($) | Jan. 01, 2023 USD ($) | Oct. 02, 2022 USD ($) | Jul. 03, 2022 USD ($) | Apr. 03, 2022 USD ($) | Dec. 31, 2023 USD ($) segment | Jan. 01, 2023 USD ($) | Jan. 02, 2022 USD ($) Segment | |
Revenues from External Customers and Long-Lived Assets [Line Items] | |||||||||||
Sales to Customers | $ 21,395 | $ 21,351 | $ 21,519 | $ 20,894 | $ 19,939 | $ 19,996 | $ 20,215 | $ 19,840 | $ 85,159 | $ 79,990 | $ 78,740 |
Net assets divested | 0 | 27,237 | 0 | 27,237 | |||||||
Assets | 167,558 | 187,378 | $ 167,558 | 187,378 | |||||||
Number of segments | 2 | 3 | |||||||||
Equity securities, FV-NI, gain (loss) | 600 | $ (400) | |||||||||
Restructuring | 489 | 275 | $ 209 | ||||||||
Gain (loss) related to litigation settlement | 100 | ||||||||||
Research and development in process | 313 | 783 | $ 900 | ||||||||
Property, Plant and Equipment | |||||||||||
Revenues from External Customers and Long-Lived Assets [Line Items] | |||||||||||
Long-Lived Assets | 19,898 | 17,982 | 19,898 | 17,982 | |||||||
Other Intangible Assets | |||||||||||
Revenues from External Customers and Long-Lived Assets [Line Items] | |||||||||||
Long-Lived Assets | 70,733 | 74,536 | 70,733 | 74,536 | |||||||
bermekimab | In Process Research and Development | |||||||||||
Revenues from External Customers and Long-Lived Assets [Line Items] | |||||||||||
Impairment of intangible assets, excluding goodwill | 600 | $ 800 | |||||||||
Baby Powder | Talc | |||||||||||
Revenues from External Customers and Long-Lived Assets [Line Items] | |||||||||||
Loss contingency, loss in period | 6,900 | $ 7,000 | |||||||||
Wholesaler 1 | Sales Revenue, Net | Wholesaler Concentration Risk | |||||||||||
Revenues from External Customers and Long-Lived Assets [Line Items] | |||||||||||
Concentration risk (as a percent) | 18.20% | 18.90% | 16.60% | ||||||||
Wholesaler 2 | Sales Revenue, Net | Wholesaler Concentration Risk | |||||||||||
Revenues from External Customers and Long-Lived Assets [Line Items] | |||||||||||
Concentration risk (as a percent) | 15.10% | 15% | 12.60% | ||||||||
Wholesaler 3 | Sales Revenue, Net | Wholesaler Concentration Risk | |||||||||||
Revenues from External Customers and Long-Lived Assets [Line Items] | |||||||||||
Concentration risk (as a percent) | 14.20% | 13.80% | 12.60% | ||||||||
Innovative Medicine | |||||||||||
Revenues from External Customers and Long-Lived Assets [Line Items] | |||||||||||
Sales to Customers | 13,722 | 13,893 | 13,731 | 13,413 | 13,163 | 13,214 | 13,317 | 12,869 | $ 54,759 | $ 52,563 | $ 51,680 |
Restructuring | 100 | 100 | |||||||||
Marketable securities, realized gain (loss) | 400 | 400 | (400) | (700) | 500 | ||||||
Gain (loss) related to litigation settlement | 100 | ||||||||||
Gain (loss) on divestiture | (200) | 600 | |||||||||
Litigation expense | 100 | 600 | |||||||||
Innovative Medicine | Momenta | |||||||||||
Revenues from External Customers and Long-Lived Assets [Line Items] | |||||||||||
Impairment of intangible assets, excluding goodwill | 200 | ||||||||||
MedTech | |||||||||||
Revenues from External Customers and Long-Lived Assets [Line Items] | |||||||||||
Sales to Customers | 7,673 | $ 7,458 | $ 7,788 | $ 7,481 | 6,776 | $ 6,782 | $ 6,898 | $ 6,971 | 30,400 | 27,427 | 27,060 |
Restructuring | 300 | 300 | |||||||||
Acquisition costs, period cost | 200 | 300 | |||||||||
Regulation charge | 300 | 300 | 200 | ||||||||
Litigation expense | 600 | 100 | |||||||||
Research and development in process | 900 | ||||||||||
United States | |||||||||||
Revenues from External Customers and Long-Lived Assets [Line Items] | |||||||||||
Sales to Customers | 46,444 | 41,981 | 40,640 | ||||||||
United States | Innovative Medicine | |||||||||||
Revenues from External Customers and Long-Lived Assets [Line Items] | |||||||||||
Sales to Customers | 31,169 | 28,604 | 27,954 | ||||||||
United States | MedTech | |||||||||||
Revenues from External Customers and Long-Lived Assets [Line Items] | |||||||||||
Sales to Customers | 15,275 | 13,377 | 12,686 | ||||||||
Operating Segments | |||||||||||
Revenues from External Customers and Long-Lived Assets [Line Items] | |||||||||||
Sales to Customers | 85,159 | 79,990 | 78,740 | ||||||||
Long-Lived Assets | 89,439 | 91,437 | 89,439 | 91,437 | |||||||
Restructuring | 798 | ||||||||||
Operating Segments | Innovative Medicine | |||||||||||
Revenues from External Customers and Long-Lived Assets [Line Items] | |||||||||||
Assets | 58,324 | 58,436 | 58,324 | 58,436 | |||||||
Supplies expense | 800 | 700 | 1,500 | ||||||||
Restructuring | 479 | ||||||||||
Operating Segments | MedTech | |||||||||||
Revenues from External Customers and Long-Lived Assets [Line Items] | |||||||||||
Assets | 74,710 | 70,956 | 74,710 | 70,956 | |||||||
Restructuring | 319 | ||||||||||
Operating Segments | United States | |||||||||||
Revenues from External Customers and Long-Lived Assets [Line Items] | |||||||||||
Sales to Customers | 46,444 | 41,981 | 40,640 | ||||||||
Long-Lived Assets | 54,832 | 58,750 | 54,832 | 58,750 | |||||||
Operating Segments | Europe | |||||||||||
Revenues from External Customers and Long-Lived Assets [Line Items] | |||||||||||
Sales to Customers | 20,410 | 20,664 | 20,595 | ||||||||
Long-Lived Assets | 31,616 | 29,878 | 31,616 | 29,878 | |||||||
Operating Segments | Western Hemisphere excluding U.S. | |||||||||||
Revenues from External Customers and Long-Lived Assets [Line Items] | |||||||||||
Sales to Customers | 4,549 | 4,108 | 3,927 | ||||||||
Long-Lived Assets | 1,491 | 1,289 | 1,491 | 1,289 | |||||||
Operating Segments | Asia-Pacific, Africa | |||||||||||
Revenues from External Customers and Long-Lived Assets [Line Items] | |||||||||||
Sales to Customers | 13,756 | 13,237 | $ 13,578 | ||||||||
Long-Lived Assets | 1,500 | 1,520 | 1,500 | 1,520 | |||||||
Corporate, Non-Segment | |||||||||||
Revenues from External Customers and Long-Lived Assets [Line Items] | |||||||||||
Other non long-lived assets | 76,927 | 67,623 | 76,927 | 67,623 | |||||||
Corporate, Non-Segment | General Corporate | |||||||||||
Revenues from External Customers and Long-Lived Assets [Line Items] | |||||||||||
Long-Lived Assets | 1,192 | 1,081 | 1,192 | 1,081 | |||||||
Assets | $ 34,524 | $ 30,749 | $ 34,524 | $ 30,749 |
Acquisitions and divestitures (
Acquisitions and divestitures (Details) - USD ($) $ / shares in Units, $ in Millions | 3 Months Ended | 12 Months Ended | ||||
Dec. 22, 2022 | Dec. 31, 2023 | Dec. 31, 2023 | Jan. 01, 2023 | Jan. 02, 2022 | Jun. 30, 2024 | |
Business Acquisition [Line Items] | ||||||
Acquisitions, net of cash acquired (Note 18) | $ 0 | $ 17,652 | $ 60 | |||
Payments to acquire businesses, gross | 17,700 | |||||
Liabilities | 1,100 | |||||
Tangible assets | 17,300 | |||||
Goodwill, related to acquisitions | 0 | 11,056 | ||||
Research and development in process | 313 | 783 | 900 | |||
Contingent Consideration | $ 1,092 | 1,092 | 1,120 | |||
Intangible assets useful life | 14 years | |||||
Acquisition related costs | 300 | |||||
Proceeds from divestiture of brands | 200 | |||||
Asset Acquisition, Consideration Transferred | 500 | |||||
Asset, held-for-sale, not part of disposal group | 300 | 300 | ||||
Goodwill, Purchase Accounting Adjustments | 200 | |||||
Laminar | ||||||
Business Acquisition [Line Items] | ||||||
Asset Acquisition, Consideration Transferred | 400 | |||||
MedTech | ||||||
Business Acquisition [Line Items] | ||||||
Goodwill, related to acquisitions | 0 | 11,056 | ||||
Research and development in process | 900 | |||||
Acquisition costs, period cost | 200 | $ 300 | ||||
Evra and Doxil | ||||||
Business Acquisition [Line Items] | ||||||
Proceeds from divestiture of brands | $ 600 | |||||
Non-Tradeable Contingent Value Right | ||||||
Business Acquisition [Line Items] | ||||||
Dividends payable, amount per share (in dollars per share) | $ 8.75 | |||||
Non-Tradeable Contingent Value Right | Class I Recommendation For Impella | ||||||
Business Acquisition [Line Items] | ||||||
Dividends payable, amount per share (in dollars per share) | $ 10 | |||||
Ambrx | ||||||
Business Acquisition [Line Items] | ||||||
Equity interests issued and issuable | 2,000 | |||||
Acquisitions, net of cash acquired (Note 18) | 1,900 | |||||
Ambrx | Forecast | ||||||
Business Acquisition [Line Items] | ||||||
Acquisition price (in dollars per share) | $ 28 | |||||
Abiomed | ||||||
Business Acquisition [Line Items] | ||||||
Equity interests issued and issuable | $ 17,100 | |||||
Acquisition price (in dollars per share) | $ 380 | |||||
Liabilities | 3,000 | 3,000 | ||||
Cash and equivalents | $ 16,500 | |||||
Other assets assumed | 20,100 | 20,100 | ||||
Cash acquired from acquisition | 300 | |||||
Goodwill, related to acquisitions | 11,100 | |||||
Finite-lived intangible assets acquired | 6,600 | |||||
Research and development in process | 1,100 | |||||
Marketable securities assumed | 600 | 600 | ||||
Contingent Consideration | 704 | 704 | ||||
Deferred tax liability, acquisition | $ 2,000 | $ 2,000 | ||||
Discount rate | 9.50% | |||||
Abiomed | Minimum | ||||||
Business Acquisition [Line Items] | ||||||
Probability of success factor | 52% | |||||
Abiomed | Maximum | ||||||
Business Acquisition [Line Items] | ||||||
Probability of success factor | 70% | |||||
Abiomed | Non-Tradeable Contingent Value Right | ||||||
Business Acquisition [Line Items] | ||||||
Non-tradeable contingent value right (in dollars per share) | $ 35 | |||||
Non-tradeable contingent value right | $ 1,600 | |||||
Dividends payable, amount per share (in dollars per share) | $ 17.50 | |||||
Contingent consideration | $ 3,700 | |||||
Abiomed | Non-Tradeable Contingent Value Right | Impella | ||||||
Business Acquisition [Line Items] | ||||||
Dividends payable, amount per share (in dollars per share) | $ 7.50 |
Legal proceedings - Narrative (
Legal proceedings - Narrative (Details) $ in Millions | 1 Months Ended | 12 Months Ended | |||||||||||
Apr. 24, 2023 USD ($) | Oct. 31, 2021 USD ($) entity | Sep. 30, 2021 claimant cases | Jun. 30, 2021 USD ($) | Jun. 30, 2020 USD ($) | Jan. 31, 2020 USD ($) | Oct. 31, 2019 USD ($) | Jul. 31, 2018 USD ($) | Dec. 31, 2023 USD ($) claimant claim | Sep. 30, 2023 cases | May 31, 2023 cases | Jul. 04, 2021 USD ($) | May 31, 2021 cases claimant | |
Legal Proceeding (Textuals) | |||||||||||||
Number of new entities created | entity | 3 | ||||||||||||
Loss contingency, payment period | 25 years | ||||||||||||
Bankruptcy loss contingency, discount rate | 4.41% | ||||||||||||
Talc | |||||||||||||
Legal Proceeding (Textuals) | |||||||||||||
Product liability contingency, number of claimants | claimant | 59,140 | ||||||||||||
Opioid | |||||||||||||
Legal Proceeding (Textuals) | |||||||||||||
Product liability contingency, number of claimants | claimant | 3,500 | ||||||||||||
Amount reserved for settlement | $ 5,000 | ||||||||||||
Loss contingency accrual, payment percentage | 60% | ||||||||||||
Loss contingency accrual, payments | $ 700 | ||||||||||||
Number of pending claims | claim | 35 | ||||||||||||
Remaining pending claims | claim | 430 | ||||||||||||
Additional pending claims | claim | 4 | ||||||||||||
Physiomesh | |||||||||||||
Legal Proceeding (Textuals) | |||||||||||||
Product liability contingency, number of claimants | claimant | 370 | ||||||||||||
Judicial Ruling | |||||||||||||
Legal Proceeding (Textuals) | |||||||||||||
Damages awarded | $ 6.8 | $ 8,000 | |||||||||||
Pending Litigation | Physiomesh | |||||||||||||
Legal Proceeding (Textuals) | |||||||||||||
Product liability contingency, number of claimants | claimant | 4,300 | ||||||||||||
Number of pending claims | cases | 3,600 | ||||||||||||
Number of claims within settlement agreement | cases | 3,729 | 292 | |||||||||||
Claims dismissed | cases | 3,390 | ||||||||||||
Pending Litigation | Ethicon | |||||||||||||
Legal Proceeding (Textuals) | |||||||||||||
Product liability contingency, number of claimants | claimant | 3,584 | ||||||||||||
DePuy ASR U.S. | Settled Litigation | |||||||||||||
Legal Proceeding (Textuals) | |||||||||||||
Number of patients in settlement | claimant | 10,000 | ||||||||||||
Baby Powder | Talc | |||||||||||||
Legal Proceeding (Textuals) | |||||||||||||
Reserve established | $ 2,000 | ||||||||||||
Reserve established within trust, total | $ 9,000 | ||||||||||||
Reserve established within trust, nominal value | $ 12,000 | ||||||||||||
Reserve established within trust, liability | 33% | ||||||||||||
Ingham vs. Johnson & Johnson | |||||||||||||
Legal Proceeding (Textuals) | |||||||||||||
Damages awarded | $ 2,100 | $ 4,700 | |||||||||||
Loss contingency, damages paid, value | $ 2,500 | ||||||||||||
MDL | Pending Litigation | Physiomesh | |||||||||||||
Legal Proceeding (Textuals) | |||||||||||||
Number of pending claims | claim | 5 | ||||||||||||
MCL | Pending Litigation | Physiomesh | |||||||||||||
Legal Proceeding (Textuals) | |||||||||||||
Number of pending claims | claim | 3 |
Legal proceedings - Product Lia
Legal proceedings - Product Liabilities (Details) | Dec. 31, 2023 claimant |
Talc | |
Loss Contingencies [Line Items] | |
Product liability contingency, number of claimants | 59,140 |
ASR | |
Loss Contingencies [Line Items] | |
Product liability contingency, number of claimants | 160 |
Pinnacle Acetabular Cup System | |
Loss Contingencies [Line Items] | |
Product liability contingency, number of claimants | 920 |
Pelvic Meshes | |
Loss Contingencies [Line Items] | |
Product liability contingency, number of claimants | 6,720 |
Physiomesh | |
Loss Contingencies [Line Items] | |
Product liability contingency, number of claimants | 370 |
Risperdal | |
Loss Contingencies [Line Items] | |
Product liability contingency, number of claimants | 200 |
Elmiron | |
Loss Contingencies [Line Items] | |
Product liability contingency, number of claimants | 2,150 |
Restructuring - Narrative (Deta
Restructuring - Narrative (Details) - USD ($) $ in Millions | 12 Months Ended | ||
Dec. 31, 2023 | Jan. 01, 2023 | Jan. 02, 2022 | |
Restructuring Cost and Reserve [Line Items] | |||
Restructuring charges | $ 489 | $ 275 | $ 209 |
R&D Restructuring Plan | |||
Restructuring Cost and Reserve [Line Items] | |||
Restructuring charges | 479 | ||
R&D Restructuring Plan | Minimum | |||
Restructuring Cost and Reserve [Line Items] | |||
Pre-tax restructuring charges | 500 | ||
R&D Restructuring Plan | Maximum | |||
Restructuring Cost and Reserve [Line Items] | |||
Pre-tax restructuring charges | 600 | ||
Orthopaedics Restructuring Plan | |||
Restructuring Cost and Reserve [Line Items] | |||
Restructuring charges | 319 | ||
Orthopaedics Restructuring Plan | Minimum | |||
Restructuring Cost and Reserve [Line Items] | |||
Pre-tax restructuring charges | 700 | ||
Orthopaedics Restructuring Plan | Maximum | |||
Restructuring Cost and Reserve [Line Items] | |||
Pre-tax restructuring charges | $ 800 |
Restructuring - Schedule of Res
Restructuring - Schedule of Restructuring Reserve (Details) - USD ($) $ in Millions | 12 Months Ended | ||
Dec. 31, 2023 | Jan. 01, 2023 | Jan. 02, 2022 | |
Restructuring Reserve [Roll Forward] | |||
Restructuring charges | $ 489 | $ 275 | $ 209 |
Operating Segments | |||
Restructuring Reserve [Roll Forward] | |||
Restructuring charges | 798 | ||
Innovative Medicine | |||
Restructuring Reserve [Roll Forward] | |||
Restructuring charges | 100 | 100 | |
Innovative Medicine | Operating Segments | |||
Restructuring Reserve [Roll Forward] | |||
Restructuring charges | 479 | ||
Innovative Medicine | Restructuring Charges | |||
Restructuring Reserve [Roll Forward] | |||
Restructuring charges | 449 | ||
Innovative Medicine | Costs of Goods and Services Sold | |||
Restructuring Reserve [Roll Forward] | |||
Restructuring charges | 30 | ||
MedTech | |||
Restructuring Reserve [Roll Forward] | |||
Restructuring charges | $ 300 | $ 300 | |
MedTech | Operating Segments | |||
Restructuring Reserve [Roll Forward] | |||
Restructuring charges | 319 | ||
MedTech | Restructuring Charges | |||
Restructuring Reserve [Roll Forward] | |||
Restructuring charges | 40 | ||
MedTech | Costs of Goods and Services Sold | |||
Restructuring Reserve [Roll Forward] | |||
Restructuring charges | $ 279 |
Kenvue separation and discont_3
Kenvue separation and discontinued operations - Details (Details) - USD ($) $ / shares in Units, $ in Millions | 12 Months Ended | |||||
Aug. 23, 2023 | May 08, 2023 | Dec. 31, 2023 | Jan. 01, 2023 | Jan. 02, 2022 | Jul. 02, 2023 | |
Income Statement, Balance Sheet and Additional Disclosures by Disposal Groups, Including Discontinued Operations [Line Items] | ||||||
Common stock, par value per share (in usd per share) | $ 1 | $ 1 | ||||
Proceeds from Kenvue initial public offering | $ 4,241 | $ 0 | $ 0 | |||
Realized gain (loss) on investment | $ 2,500 | |||||
Common stock received in exchange offer | $ 31,400 | |||||
Net assets divested | 0 | 27,237 | ||||
Accumulated other comprehensive loss | 12,527 | 12,967 | ||||
Transition service agreement, term | 24 months | |||||
Separation costs incurred | 986 | 1,089 | $ 67 | |||
Incremental tax cost | $ 500 | |||||
Minimum | ||||||
Income Statement, Balance Sheet and Additional Disclosures by Disposal Groups, Including Discontinued Operations [Line Items] | ||||||
Transition manufacturing agreement, term | 3 months | |||||
Maximum | ||||||
Income Statement, Balance Sheet and Additional Disclosures by Disposal Groups, Including Discontinued Operations [Line Items] | ||||||
Transition manufacturing agreement, term | 5 years | |||||
Consumer Health Business | ||||||
Income Statement, Balance Sheet and Additional Disclosures by Disposal Groups, Including Discontinued Operations [Line Items] | ||||||
Net assets divested | $ 11,600 | |||||
Accumulated other comprehensive loss | 4,300 | |||||
Decrease in noncontrolling interest | 1,200 | |||||
Noncash gain on exchange offer | $ 21,000 | |||||
Kenvue Inc. | ||||||
Income Statement, Balance Sheet and Additional Disclosures by Disposal Groups, Including Discontinued Operations [Line Items] | ||||||
Split-off percentage | 80.10% | |||||
Kenvue Inc. | ||||||
Income Statement, Balance Sheet and Additional Disclosures by Disposal Groups, Including Discontinued Operations [Line Items] | ||||||
Stock issued in exchange offer (in shares) | 190,955,436 | |||||
Kenvue Inc. | ||||||
Income Statement, Balance Sheet and Additional Disclosures by Disposal Groups, Including Discontinued Operations [Line Items] | ||||||
Common stock, par value per share (in usd per share) | $ 0.01 | |||||
Sale of stock (in USD per share) | $ 22 | |||||
Stock issued in exchange offer (in shares) | 1,533,830,450 | |||||
Johnson & Johnson | Kenvue Inc. | ||||||
Income Statement, Balance Sheet and Additional Disclosures by Disposal Groups, Including Discontinued Operations [Line Items] | ||||||
Percentage ownership after transaction | 89.60% | |||||
Common stock, value | $ 1,300 | |||||
Percentage ownership after transaction | 9.50% | |||||
Equity securities, fair market value | $ 4,300 | $ 400 | ||||
Johnson & Johnson | Kenvue Inc. | Consumer Health Business | ||||||
Income Statement, Balance Sheet and Additional Disclosures by Disposal Groups, Including Discontinued Operations [Line Items] | ||||||
Noncash gain on exchange offer | $ 2,800 | |||||
IPO | Kenvue Inc. | ||||||
Income Statement, Balance Sheet and Additional Disclosures by Disposal Groups, Including Discontinued Operations [Line Items] | ||||||
Sale of stock, number of shares issued in transaction (in shares) | 198,734,444 | |||||
Proceeds from Kenvue initial public offering | $ 4,200 |
Kenvue separation and discont_4
Kenvue separation and discontinued operations - Net Earnings from Discontinued Operation (Details) - USD ($) $ in Millions | 12 Months Ended | ||
Dec. 31, 2023 | Jan. 01, 2023 | Jan. 02, 2022 | |
Discontinued Operations and Disposal Groups [Abstract] | |||
Sales to customers | $ 10,036 | $ 14,953 | $ 15,035 |
Cost of products sold | 4,369 | 6,494 | 6,452 |
Gross profit | 5,667 | 8,459 | 8,583 |
Selling, marketing and administrative expenses | 3,085 | 4,519 | 4,542 |
Research and development expense | 258 | 468 | 437 |
Interest Income | (117) | 0 | 0 |
Interest expense, net of portion capitalized | 199 | 0 | 0 |
Other (income) expense, net | 1,092 | 1,060 | (37) |
(Gain) on separation of Kenvue | (20,984) | 0 | 0 |
Restructuring | 0 | 46 | 43 |
Earnings from Discontinued Operations Before Provision for Taxes on Income | 22,134 | 2,366 | 3,598 |
Provision for taxes on income | 307 | 795 | 521 |
Net earnings from Discontinued Operations | $ 21,827 | $ 1,571 | $ 3,077 |
Kenvue separation and discont_5
Kenvue separation and discontinued operations - Depreciation and Amortization of Discontinued Operation (Details) - USD ($) $ in Millions | 12 Months Ended | ||
Dec. 31, 2023 | Jan. 01, 2023 | Jan. 02, 2022 | |
Discontinued Operations and Disposal Groups [Abstract] | |||
Depreciation and Amortization | $ 383 | $ 641 | $ 739 |
Capital expenditures | $ 162 | $ 303 | $ 314 |
Kenvue separation and discont_6
Kenvue separation and discontinued operations - Assets and Liabilities of Discontinued Operations (Details) - USD ($) $ in Millions | Dec. 31, 2023 | Jan. 01, 2023 |
Assets | ||
Cash and cash equivalents | $ 1,238 | |
Accounts receivable trade, less allowances for doubtful accounts | 2,121 | |
Inventories | 2,215 | |
Prepaid expenses and other receivables | 256 | |
Total current assets of discontinued operations | $ 0 | 5,830 |
Property, plant and equipment, net | 1,821 | |
Intangible assets, net | 9,836 | |
Goodwill | 9,184 | |
Deferred taxes on income | 176 | |
Other assets | 390 | |
Total noncurrent assets of discontinued operations | 0 | 21,407 |
Liabilities | ||
Loans and notes payable | 15 | |
Accounts payable | 1,814 | |
Accrued liabilities including accrued taxes on income | 644 | |
Accrued rebates, returns and promotions | 838 | |
Accrued compensation and employee related obligations | 279 | |
Total current liabilities of discontinued operations | 0 | 3,590 |
Long-term debt | 2 | |
Deferred taxes on income | 2,383 | |
Employee related obligations | 225 | |
Other liabilities | 291 | |
Total noncurrent liabilities of discontinued operations | $ 0 | $ 2,901 |
Selected quarterly financial _3
Selected quarterly financial data (unaudited) (Details) - USD ($) $ / shares in Units, $ in Millions | 3 Months Ended | 12 Months Ended | ||||||||||
Dec. 31, 2023 | Oct. 01, 2023 | Jul. 02, 2023 | Apr. 02, 2023 | Jan. 01, 2023 | Oct. 02, 2022 | Jul. 03, 2022 | Apr. 03, 2022 | Dec. 31, 2023 | Jan. 01, 2023 | Jan. 02, 2022 | Aug. 23, 2023 | |
Segment Reporting Information [Line Items] | ||||||||||||
Sales to customers | $ 21,395 | $ 21,351 | $ 21,519 | $ 20,894 | $ 19,939 | $ 19,996 | $ 20,215 | $ 19,840 | $ 85,159 | $ 79,990 | $ 78,740 | |
Gross profit | 14,597 | 14,745 | 15,057 | 14,207 | 13,855 | 13,824 | 13,893 | 13,822 | 58,606 | 55,394 | 55,338 | |
Earnings before provision for taxes on income | 4,826 | 5,217 | 6,306 | (1,287) | 3,840 | 5,172 | 5,144 | 5,203 | 15,062 | 19,359 | 19,178 | |
Net earnings from continuing operations | 4,132 | 4,309 | 5,376 | (491) | 3,227 | 4,310 | 4,262 | 4,571 | 13,326 | 16,370 | 17,801 | |
Net earnings from discontinued operations | (83) | 21,719 | (232) | 423 | 293 | 148 | 552 | 578 | 21,827 | 1,571 | 3,077 | |
Net earnings | $ 4,049 | $ 26,028 | $ 5,144 | $ (68) | $ 3,520 | $ 4,458 | $ 4,814 | $ 5,149 | $ 35,153 | $ 17,941 | $ 20,878 | |
Basic net earnings per share from continuing operations (in dollars per share) | $ 1.71 | $ 1.71 | $ 2.07 | $ (0.19) | $ 1.24 | $ 1.64 | $ 1.62 | $ 1.74 | $ 5.26 | $ 6.23 | $ 6.76 | |
Basic net earnings per share from discontinued operations (in dollars per share) | (0.03) | 8.61 | (0.09) | 0.16 | 0.11 | 0.06 | 0.21 | 0.22 | 8.62 | 0.60 | 1.17 | |
Basic net earnings per share (in dollars per share) | 1.68 | 10.32 | 1.98 | (0.03) | 1.35 | 1.70 | 1.83 | 1.96 | 13.88 | 6.83 | 7.93 | |
Diluted net earnings per share from continuing operations (in dollars per share) | 1.70 | 1.69 | 2.05 | (0.19) | 1.22 | 1.62 | 1.60 | 1.71 | 5.20 | 6.14 | 6.66 | |
Diluted net earnings per share from discontinuing operations (in dollars per share) | (0.03) | 8.52 | (0.09) | 0.16 | 0.11 | 0.06 | 0.20 | 0.22 | 8.52 | 0.59 | 1.15 | |
Diluted net earnings per share (in dollars per share) | $ 1.67 | $ 10.21 | $ 1.96 | $ (0.03) | $ 1.33 | $ 1.68 | $ 1.80 | $ 1.93 | $ 13.72 | $ 6.73 | $ 7.81 | |
Equity securities, FV-NI, gain (loss) | $ 600 | $ (400) | ||||||||||
MedTech | ||||||||||||
Segment Reporting Information [Line Items] | ||||||||||||
Sales to customers | $ 7,673 | 7,458 | $ 7,788 | $ 7,481 | $ 6,776 | $ 6,782 | $ 6,898 | $ 6,971 | 30,400 | $ 27,427 | $ 27,060 | |
Innovative Medicine | ||||||||||||
Segment Reporting Information [Line Items] | ||||||||||||
Sales to customers | 13,722 | 13,893 | $ 13,731 | $ 13,413 | 13,163 | $ 13,214 | $ 13,317 | 12,869 | 54,759 | 52,563 | 51,680 | |
Marketable securities, realized gain (loss) | $ 400 | $ 400 | (400) | (700) | 500 | |||||||
bermekimab | In Process Research and Development | ||||||||||||
Segment Reporting Information [Line Items] | ||||||||||||
Impairment of intangible assets, excluding goodwill | $ 600 | 800 | ||||||||||
Operating Segments | ||||||||||||
Segment Reporting Information [Line Items] | ||||||||||||
Sales to customers | 85,159 | 79,990 | 78,740 | |||||||||
Earnings before provision for taxes on income | 22,915 | 20,094 | 21,958 | |||||||||
Operating Segments | MedTech | ||||||||||||
Segment Reporting Information [Line Items] | ||||||||||||
Earnings before provision for taxes on income | 4,669 | 4,447 | 4,208 | |||||||||
Operating Segments | Innovative Medicine | ||||||||||||
Segment Reporting Information [Line Items] | ||||||||||||
Earnings before provision for taxes on income | 18,246 | 15,647 | $ 17,750 | |||||||||
Supplies expense | $ 800 | $ 700 | $ 1,500 | |||||||||
Consumer Health Business | ||||||||||||
Segment Reporting Information [Line Items] | ||||||||||||
Noncash gain on exchange offer | $ 21,000 |