Source: Siyu MedTech; Editor: SophiaReprint Requirements: Please indicate the source of the article at the beginning of the text, and it can be reprinted directly.Annual Medical Technology Conference
On April 17, 2024, Johnson & Johnson (NYSE: JNJ) released its Q1 financial report for the fiscal year 2024, with total revenue...$213.83 billion (approximately RMB 1,547.89 billion), year-on-yearIncreased by 2.3%,Exceeded Wall Street's previous expectations.
# Earnings Highlights
Sales in the first quarter of 2024 increased by 2.3%, reaching213.83billion US dollars, with a net profit of 5.354 billion US dollars;
Sales in the U.S. region were $11.6 billion, an increase of 7.8% year-over-year, while sales in the international region were $9.7 billion, a decrease of 3.4% year-over-year.Medical technology business revenue was US$7.821 billion, increasing by 4.5% year-on-year.Innovative Medicine revenue reached nearly $13.6 billion, increasing by 1.1%;Operational growth was 3.9%, adjusted operational growth was 4.0%; operational growth excluding COVID-19 vaccines was 7.7% year-over-year.Earnings per share (EPS) increased to $2.20 in the first quarter of 2024, with adjusted earnings per share rising to $2.71.Adjusted Revenue Expectations for FY 2024: Full-Year Sales Increase5.5%-6.0%($88.7 billion - $89.1 billion), compared to the previous January forecast of 5%-6% growth ($88.2 billion - $89.0 billion);Medical Technology Department:
Medical technology business revenue was US$7.821 billion, representing a year-on-year increase of 4.5%.
By Region:
Sales in the U.S. were $4 billion, increasing by 6.6% year-over-year; sales in international regions were $3.81 billion, growing by 2.4% year-over-year.Surgical business sales reached $2.416 billion, representing a year-on-year increase of 0.7%.
Orthopedic sales reached $2.34 billion, representing a year-over-year increase of 4.3%.
Cardiovascular business sales reached $1.806 billion, a year-on-year increase of 20.2%;
Vision business sales reached $1.258 billion, increasing by 3.3% year-on-year.
Full-year operational sales growth of 6.3%, driven primarily by electrophysiology products in the cardiovascular business, EDOF intraocular lens products in the vision business, and biosurgery products in the advanced surgery field.# Highlights of the Medical Technology Department's Operations are as follows:1. Cardiovascular DepartmentIncrease in global surgical volume;QDOT MicroSingle-use Pressure Monitoring Radiofrequency Ablation Catheter,OCTARAY TM Mapping and Diagnostic Catheter Commercialization Continues to Expand;Affected by the volume-based procurement.As the pandemic ends, the demand for non-urgent surgeries has returned to normal, driving sustained growth in the medical device business.2. Abiomed: Impella RP and other interventional cardiac pumpsThe sales volume of Impella 5.5 and Impella RP has increased, and the commercialization of the products is proceeding smoothly in all regional markets.1.1 Biosurgery~ +9%, the commercialization of the product portfolio continues to develop, including SURGIFLO absorbable hemostatic gelatin, SURGICEL Powder absorbable hemostatic powder, Evarrest absorbable fibrin sealant patch, and VISTASEAL fibrin adhesive; global surgical volumes increase;1.2 Linear Cutting Stapler Endocutters~ - 4%, strong market competitiveness, weak demand for weight loss surgery;1.3. Energy ~-7%, mainly due to intense competition, the decline in the U.S. Harmonic and VBP markets;2. General Surgery:Growth attributed to the wound closure product portfolio (Barbed & PLUS Sutures)①Buttocks:Growth is mainly driven by the increase in global surgical volume; the continuous strength of the product portfolio;②Trauma:Growth is mainly driven by the increase in global surgical volume and the recently launched advanced pin system and hollow compression headless screws.The impact of the volume-based procurement from the same period last year continues;③ Knee Joint:The growth is mainly driven by the increase in the global volume of surgeries.ATTUNE Product PortfolioThe sustained growth andVELYS Robotic-Assisted SolutionThe pull effect;④Spine,Exercise and Others：Growth was mainly driven by digital solutions, craniomaxillofacial, shoulder, and sports sectors, while the impact of last year's volume-based procurement continued.①Contact lenses/Other：Growth depends on price trends andACUVUE OASYS 1-Day Series (including the recently launched OASYS MAX 1-Day)The continued strong performance;② Surgery:Growth relies onTECNIS EYHANCE and TECNIS EYHANCE Toric Intraocular Lens ProductsThe lasting impact.# Latest Developments in the Medical Technology SectorIn March 2024, Biosense Webster, a subsidiary of Johnson & Johnson, announced that its first PFA product, Varipulse pulsed field ablation (PFA), received CE approval for market release and has already submitted an application to the U.S. FDA.In March 2024, the FDA requested that Ambiomed, a subsidiary of Johnson & Johnson, recall certain Impella series interventional heart pumps.At the same time, Johnson & Johnson announced aTHERMOCOL SMARTTOUCH SF Dual-Energy Ablation CatheterFirst Clinical Study (SmartfIRE) Results Show 100% Acute Success Rate for Dual-Energy Ablation Catheter.Acquisitions and Collaborations:In March 2024, Johnson & Johnson announced plans to collaborate with Nvidia to expand AI applications in surgical procedures. At that time, Johnson & Johnson will gain access to Nvidia’s IGX edge computing platform and Holoscan edge AI platform.The two parties will also cooperate on AI technology in medical imaging, disease diagnosis, and other areas.On April 5, 2024, U.S. time, Johnson & Johnson announced that it had agreed to acquire Shockwave Medical (Nasdaq: SWAV) for approximately $13.1 billion. Shockwave Medical is a manufacturer of intravascular lithotripsy (IVL) technology. (Review:Big Move! $94.8 Billion Heavyweight Acquisition!)February 2024, Johnson & JohnsonEthiconGroup Chairman Vladimir Makatsaria Announces Resignation.In March 2024, Johnson & Johnson China announced internally that Chen Xi, General Manager of the Cardiovascular and Specialty Solutions Division of Johnson & Johnson Medical Technology China, and Chen Min, General Manager of the Orthopaedics Division of Johnson & Johnson Medical Technology China, have submitted their resignations to the company.At the same time, Han Wei, Vice President of the Spine and PCMFT Business Unit, was appointed to replace Chen Min.In March 2023, Tulio Oliveira became the General Manager of Johnson & Johnson China's Surgical Division.On April 12, Wang Jinhe, Vice President of Johnson & Johnson China Operations and Professional Education, submitted his resignation to the company.- Johnson & Johnson expects that sales performance across all quarters will remain relatively stable in the coming year.
- The number of surgeries in 2024 will still be higher than the pre-COVID-19 level;
- Sanctions on Russia may have a certain negative impact on the company's business, but the impact will be relatively mild in the first half of 2024.
- The company expects that the volume-based procurement of surgical (Surgical IOLs) and sports products in 2024 will have an impact, with the effects of the 2023 volume-based procurement continuing.
Joe Wolk, Executive Vice President and Chief Financial Officer of Johnson & Johnson:
"Our robust performance in the first quarter of 2024 and significant progress in the R&D pipeline have further propelled Johnson & Johnson towards a future of accelerated growth."
With strong financial strength and a firm commitment to operational excellence, we continue to increase investment in R&D innovation, dedicated to providing patients with new medical solutions. We also enhance our diversified product portfolio through strategic mergers and acquisitions, thereby creating more value for shareholders.
"As everyone can see, Johnson & Johnson has increased shareholder dividends for 62 consecutive years."
Joaquin Duato, Chairman of the Board and Chief Executive Officer of Johnson & Johnson:
"The performance achieved by Johnson & Johnson in the first quarter fully demonstrates the strong strength of our more focused business and the continuous progress in our product portfolio and R&D pipeline.
"We have unparalleled comprehensive strength and extensive influence in the healthcare industry, and achieved numerous milestones this quarter, further solidifying Johnson & Johnson's position as an innovation leader."
Global Leading Medical Device Companies | Dynamic CollectionChinese Medical Device Listed Companies | Dynamic CollectionEditor-in-Chief | Zhao Qing Reviewed by | Yi He
