Johnson & Johnson (JNJ) delivered a strong finish to 2025, reporting fourth-quarter adjusted earnings of $2.46 per share on Wednesday—a 20.6% jump from the previous year that topped the analyst consensus of $2.44. More importantly for a company this size, it managed to grow sales by 9.1% to $24.56 billion, sailing past the expected $24.16 billion.
The story here is really about two engines firing simultaneously. The pharmaceutical side, which the company calls Innovative Medicine, posted sales of $15.76 billion, up 10% from last year. For the full fiscal year 2025, that division brought in $60.40 billion, reflecting 6% growth.
Cancer Drugs Lead the Charge
The oncology portfolio is where things get interesting. Cancer drug sales climbed to $6.86 billion, up nearly 25% year-over-year. The heavy lifters include Darzalex (daratumumab), Carvykti (ciltacabtagene autoleucel), Erleada (apalutamide), and Rybrevant/Lazcluze. Meanwhile, the immunology franchise took a hit, declining 8.9% to $3.86 billion, largely because Stelara continues losing ground—shaving off roughly 1,040 basis points of growth.
But Johnson & Johnson is picking up the slack elsewhere. The company's neuroscience drug Spravato (esketamine), along with immunology treatments Tremfya (guselkumab) and Simponi/Simponi Aria, contributed solid gains.
MedTech Momentum Continues
The MedTech division isn't just along for the ride. Sales increased 7.5% to $8.80 billion in the quarter, driven by electrophysiology products and Abiomed in the cardiovascular space, plus wound closure products in general surgery. Acquisitions helped too—particularly Shockwave, which the company highlighted as crossing the $1 billion annual sales threshold.
Speaking of billion-dollar franchises, Johnson & Johnson now boasts 28 platforms generating at least $1 billion in annual revenue. That's the kind of diversification that makes a healthcare giant hard to knock off course.
Looking Ahead to 2026
For fiscal 2026, the company issued adjusted earnings guidance of $11.43 to $11.63 per share, right in line with the analyst consensus of $11.45. But the revenue forecast is where Johnson & Johnson showed some ambition: $99.50 billion to $100.5 billion, compared to Wall Street's expectation of $98.89 billion.
Despite the strong results, shares dipped 0.90% to $216.24 in premarket trading Wednesday. Still, the stock is hovering near its 52-week high of $220.11, suggesting investors remain confident in the company's trajectory as it approaches that symbolic $100 billion sales milestone.
