Johnson & Johnson Q3 2026 earnings: sales up 5.9% to $25.4 billion, talc charge cuts EPS to $0.09; guidance raised

Johnson & Johnson raised its full-year outlook on Tuesday after third-quarter sales grew 5.9% to $25.4 billion, but a one-time charge for its proposed talc litigation resolution erased nearly all of its reported profit.

Diluted EPS fell to $0.09 from $2.12 a year earlier, and net earnings dropped to $210 million from $5.15 billion. The company said the GAAP figure reflects the special charge for the proposed talc resolution, plus the acquisition of Firefly Bio and a strategic collaboration with Sail Biomedicines.

Adjusted EPS, which excludes special items and intangible amortization, was $2.59, down 7.5% from $2.80. J&J said the adjusted number also absorbs the impact of the Firefly and Sail deals.

Guidance moves up

J&J now expects 2026 adjusted EPS of $11.05 to $11.15, a midpoint of $11.10, up $0.06 from the $11.04 midpoint it gave on July 29. Estimated reported sales guidance moved to $101.0 billion to $101.4 billion, a $101.2 billion midpoint, compared with $101.1 billion previously.

"Johnson & Johnson's strong third-quarter performance and increased sequential growth reflect the accelerating momentum of our focused portfolio," Chairman and CEO Joaquin Duato said.

Medicines outpaced devices

Innovative Medicine sales rose 7.7% to $16.76 billion. Growth came from TREMFYA, DARZALEX, CARVYKTI, TECVAYLI, RYBREVANT/LAZCLUZE, ERLEADA, SPRAVATO and CAPLYTA, among others. Declining STELARA sales were the biggest drag, cutting growth by about 690 basis points.

MedTech sales grew 2.5% to $8.64 billion, led by electrophysiology, Shockwave, contact lenses and trauma products.

U.S. sales rose 9.1% to $14.96 billion, while international sales grew 1.5% to $10.44 billion.

The company also highlighted U.S. market authorization of its OTTAVA soft-tissue surgical robot and FDA approval of IMAAVY in warm autoimmune hemolytic anemia.

By the numbers

• Sales: $25.4 billion, up 5.9%
• GAAP diluted EPS: $0.09 (vs. $2.12)
• Adjusted EPS: $2.59 (vs. $2.80)
• 2026 adjusted EPS guidance midpoint: $11.10 (from $11.04)
• Innovative Medicine: $16.76 billion, up 7.7%
• MedTech: $8.64 billion, up 2.5%

Sources

1. Johnson & Johnson, Form 8-K, Exhibit 99.1, "Johnson & Johnson reports Q3 2026 results, raises 2026 guidance," filed Oct. 13, 2026 (accession 0000200406-26-000189)

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