Johnson & Johnson · NYSE:JNJ
Johnson & Johnson — Q2 2021 Earnings Presentation
20 slides from Johnson & Johnson's earnings presentation, Aug 4, 2021
Slide 1: Worldwide Consumer Health Sales
Worldwide Consumer Health Sales Consumer Health worldwide reported sales increased 13.3% or 9.2% operationally’. Primary operational drivers: ey y Aveeno. Neutrogena _O9S, Diluted Earnings Per Share Adjusted Diluted Earnings Per Share* ry Increased Increased as : oe € LISTERINE “Our second-quarter r
Slide 2: 2nd Quarter 2021 Earnings Call
nd 2 Quarter 2021 Earnings Call July 21, 2021
Slide 3: Cautionary Note on Forward-looking Statements
Cautionary Note on Forward-looking Statements This presentation contains “forward-looking statements” as defined in the Private Securities Litigation Reform Act of 1995 regarding, among other things: future operating and financial performance, product development, market position and business strate
Slide 4: Strategic Partnerships, Collaborations & Licensing Arrangements
Strategic Partnerships, Collaborations & Licensing Arrangements During the course of this morning’s presentation, we will discuss a number of products and compounds developed in collaboration with strategic partners or licensed from other companies. The following is an acknowledgement of those relat
Slide 5: Agenda
Agenda 1 Enterprise Highlights 2 Sales Performance and Earnings Review 3 Capital Allocation and Guidance 4 Q&A Jennifer Taubert Thibaut Mongon Ashley McEvoy Executive Vice President Executive Vice President Executive Vice President Worldwide Chairman, Worldwide Chairman, Worldwide Chairman, Pharmace
Slide 6: 2nd Quarter 2021 Sales
2nd Quarter 2021 Sales % CHANGE Dollars in Billions Regional Sales Results Q2 2021 Q2 2020 Reported Operational1 U.S. $11.9 $9.5 24.9% 24.9% Europe 5.7 4.1 39.5 28.6 Western Hemisphere 1.4 1.1 20.6 12.7 (ex U.S.) Asia-Pacific, Africa 4.4 3.6 21.0 14.8 International 11.4 8.8 29.5 20.9 Worldwide (WW)
Slide 7: 2nd Quarter 2021 Financial Highlights
2nd Quarter 2021 Financial Highlights Dollars in Billions, except EPS Reported %; Operational %1 Sales GAAP Earnings GAAP EPS $23.3 $6.3 $2.35 $18.3 $3.6 $1.36 Q2 2021 Q2 2020 Q2 2021 Q2 2020 Q2 2021 Q2 2020 27.1%; 23.0%1 73.1% 72.8% Adjusted Earnings2 Adjusted EPS2 $6.6 $2.48 $4.4 $1.67 Q2 2021 Q2
Slide 8: Consumer Health Highlights – 2nd Quarter 2021
Consumer Health Highlights – 2nd Quarter 2021 Strong growth across multiple franchises primarily due to market recovery Reported: WW 13.3%, U.S. 12.4%, Int’l 14.1% Key Drivers of Operational Performance1 Operational1: WW 9.2%, U.S. 12.4%, Int’l 6.3% • Growth driven by U.S. Allergy Care seasonal inci
Slide 9: Pharmaceutical Highlights – 2nd Quarter 2021
Pharmaceutical Highlights – 2nd Quarter 2021 Above-market performance driven by double-digit growth in key products Reported: WW 17.2%, U.S. 12.2%, Int’l 23.7% Key Drivers of Operational Performance1 • Growth driven by continued strong uptake of STELARA in Crohn’s Disease and Ulcerative Operational1
Slide 10: Medical Devices Highlights – 2nd Quarter 2021
Medical Devices Highlights – 2nd Quarter 2021 Growth primarily driven by COVID-19 related market recovery and innovation Reported: WW 62.7%, U.S. 77.2%, Int’l 51.6% Key Drivers of Operational Performance1 Operational1: WW 57.2%, U.S. 77.2%, Int’l 41.9% Interventional • Market recovery and success of
Slide 11: Condensed Consolidated Statement of Earnings
Condensed Consolidated Statement of Earnings 2nd Quarter 2021 2021 2020 % (Unaudited; Dollar and Shares in Millions Except Per Share Figures) Increase Amount % to Sales Amount % to Sales (Decrease) Sales to customers $23,312 100.0 $18,336 100.0 27.1 Cost of products sold 7,587 32.5 6,579 35.9 15.3 G
Slide 12: Adjusted Income Before Tax by Segment
Adjusted Income Before Tax by Segment1 2nd Quarter 2021 % to Sales 2Q 2021 2Q 2020 $7.8B Pharmaceutical 39.6% 44.1% Medical Devices 28.6% 1.2% $5.0 $5.3B Consumer Health 27.8% 24.0% Total 33.4% 29.1% $4.7 Pharmaceutical $2.0 Medical Devices Consumer Health $0.1 $1.0 $0.8 Expenses Not Allocated to Se
Slide 13: Notable New Announcements in Quarter 2021
nd Notable New Announcements in 2 Quarter 20211 Pharmaceutical • Regulatory Decisions: – RYBREVANT (amivantamab-vmjw) Receives U.S. FDA Approval as the First Targeted Treatment for Patients with Non-Small Cell Lung Cancer with EGFR Exon 20 Insertion Mutations – PONVORY (ponesimod) receives European
Slide 14: Joseph J. Wolk
Joseph J. Wolk Executive Vice President, Chief Financial Officer
Slide 15: Capital Allocation Strategy
Capital Allocation Strategy Dollars in Billions Q2 2021 Cash and Marketable Capital Allocation $25 Securities HIGHER PRIORITY Debt ($33) Organic growth business needs Net Debt ($8) Free cash flow1 Free Cash Flow2 ~$8 Note: values may have been rounded Q2 2021: Competitive dividends Investment in M&A
Slide 16: 2021 Revenue Guidance
2021 Revenue Guidance July (Base Business) April Comments Tightening of the range and strong Adjusted Operational Sales1,2 9.5% - 10.5% 8.7% - 9.9% base performance $90.0B - $90.8B $89.3B - $90.3B Operational Sales2 Midpoint of 9.5% 9.0% – 10.0% 8.2% – 9.4% $91.3B - $92.1B $90.6B - $91.6B Midpoint o
Slide 17: 2021 P&L Guidance
2021 P&L Guidance July (Incl. COVID-19 April Comments Vaccine) Tightening of range, strong base performance, Adjusted Operational Sales1,2 12.5% - 13.5% 8.7% - 9.9% and COVID-19 vaccine contribution $92.5B - $93.3B $89.3B - $90.3B Operational Sales2 12.0% – 13.0% 8.2% – 9.4% Midpoint of 12.5% $93.8B
Slide 18: 2nd Half 2021 Assumptions and Outlook
2nd Half 2021 Assumptions and Outlook Pharmaceutical Consumer Health Medical Devices • Ongoing focus on reaching patients • Expect full year competitive growth • Continued focus on execution, through transformational innovation versus the market driven by science- meaningful innovation, and market a
Slide 19: Q&A
Q&A Jennifer Taubert Thibaut Mongon Ashley McEvoy Joseph J. Wolk Executive Vice President Executive Vice President Executive Vice President Executive Vice President, Worldwide Chairman, Worldwide Chairman, Worldwide Chairman, Chief Financial Officer Pharmaceuticals Consumer Health Medical Devices
Slide 20: Goluenafoluuen
Goluenafoluuen