Johnson & Johnson's Q4 2024: Conflicting Insights on MedTech Growth, STELARA Strategy, and Acquisition Plans

Revenue and Earnings Performance:
- Johnson & Johnson reported worldwide sales of $22.5 billion for Q4 2024, with an increase of 6.7%, and full-year sales of $88.8 billion, up 5.9%.
- The earnings were impacted by the loss of exclusivity of STELARA and the COVID-19 vaccine, which negatively affected growth by 290 basis points.
- The growth in innovative medicine was driven by key products like DARZALEX and ERLEADA, achieving double-digit growth.

Innovative Medicine Segment:
- Innovative Medicine sales increased by 6.5%, with oncology and neuroscience performing well.
- DARZALEX sales grew 23.5%, driven by share gains and market growth, marking Johnson & Johnson's first brand to achieve over $3 billion in a quarter.
- Immunology saw a decline in STELARA sales by 13.6% due to biosimilar competition.

MedTech Segment Growth:
- MedTech sales rose by 7.6%, with cardiovascular and electrophysiology contributing significantly.
- Abiomed grew 13.2%, despite U.S. supply shortages, driven by demand for Impella technology.
- Growth was also supported by new product introductions, including the approval of the Shockwave 150 post-field ablation platform and the expansion of FDA indications for Impella heart pumps.

Pipeline and Approvals:
- The company reported 27 major market approvals and 18 positive readouts for registrational studies in 2024.
- Notable approvals included nipocalimab for the treatment of generalized myasthenia gravis and priority review for RYBREVANT in non-small cell lung cancer.
- Strategic investments in the research and development pipeline were emphasized, with plans to submit TAR200 for treatment of non-muscle invasive bladder cancer.