NEW BRUNSWICK, N.J., Jan. 24, 2017 /PRNewswire/ -- Johnson & Johnson (NYSE: JNJ) today announced sales of $18.1 billion for the fourth quarter of 2016, an increase of 1.7% as compared to the fourth quarter of 2015. Operational sales results increased 2.3% and the negative impact of currency was 0.6%. Domestic sales increased 2.6%. International sales increased 0.6%, reflecting operational growth of 1.9% and a negative currency impact of 1.3%. As a reminder, there were additional shipping days in the fourth quarter of 2015 that negatively impacted the current quarter by 480 basis points. Excluding the net impact of acquisitions, divestitures, hepatitis C, Venezuela, and the additional shipping days in 2015, on an operational basis, worldwide sales increased 7.6%, domestic sales increased 9.5% and international sales increased 5.6%.(*)

Worldwide sales for the full-year 2016 were $71.9 billion, an increase of 2.6% versus 2015. Operational results increased 3.9% and the negative impact of currency was 1.3%. Domestic sales increased 6.0%. International sales decreased 0.9%, reflecting operational growth of 1.8% and a negative currency impact of 2.7%. The additional shipping days in 2015 negatively impacted the current year by 130 basis points. Excluding the net impact of acquisitions, divestitures, hepatitis C, Venezuela, and the additional shipping days in 2015, on an operational basis, worldwide sales increased 7.4%, domestic sales increased 8.9% and international sales increased 5.7%.(*)

Net earnings and diluted earnings per share for the fourth quarter of 2016 were $3.8 billion and $1.38, respectively. Fourth-quarter 2016 net earnings included after-tax intangible amortization expense of approximately $0.3 billion and a net charge for after-tax special items of approximately $0.3 billion. Fourth-quarter 2015 net earnings included after-tax intangible amortization expense of approximately $0.2 billion and a net charge for after-tax special items of approximately $0.6 billion. Excluding after-tax intangible amortization expense and special items, adjusted net earnings for the current quarter were $4.4 billion and adjusted diluted earnings per share were $1.58, representing increases of 7.9% and 9.7%, respectively, as compared to the same period in 2015.(*) On an operational basis, adjusted diluted earnings per share also increased 10.4%.(* )A reconciliation of non-GAAP financial measures is included as an accompanying schedule.

Net earnings and diluted earnings per share for the full-year 2016 were $16.5 billion and $5.93, respectively. Full-year net earnings included after-tax intangible amortization expense of approximately $0.9 billion and a charge for after-tax special items of approximately $1.3 billion. Full-year 2015 net earnings included after-tax intangible amortization expense of approximately $1.1 billion and a charge for after-tax special items of approximately $0.9 billion. Excluding after-tax intangible amortization expense and special items, adjusted net earnings for the full-year of 2016 were $18.8 billion and adjusted diluted earnings per share were $6.73, representing increases of 7.6% and 8.5%, respectively, as compared to the same period in 2015.(*) On an operational basis, adjusted diluted earnings per share also increased 9.4%.(* )A reconciliation of non-GAAP financial measures is included as an accompanying schedule.

"We are pleased to report that we accelerated our adjusted growth for 2016 over the prior year, and delivered a strong total shareholder return of greater than 15 percent. The strong adjusted sales and EPS growth was driven by the impressive performance of our Pharmaceutical business and continued momentum in our Medical Device business and share gains while improving profitability in our Consumer business," said Alex Gorsky, Chairman and Chief Executive Officer. "Looking forward to 2017, we expect to continue driving sustainable, long-term growth through the new products, science and innovation that our talented colleagues and partners of Johnson & Johnson are advancing to positively impact human health."

The Company announced its 2017 full-year guidance for sales of $74.1 billion to $74.8 billion reflecting expected operational growth in the range of 4.0% to 5.0%. Excluding the impact of acquisitions and divestitures, operational sales growth is expected to be in the range of 3.0% to 3.5%.(*) Additionally, the Company announced adjusted earnings guidance for full-year 2017 of $6.93 to $7.08 per share reflecting expected operational growth in the range of 4.8% to 7.0%.(*) Adjusted earnings guidance excludes the impact of after-tax intangible amortization expense and special items.

Additionally, as part of the Company's ongoing portfolio management, the Company is announcing it is engaging in a process to evaluate potential strategic options for the Johnson & Johnson Diabetes Care Companies, specifically LifeScan, Inc., Animas Corporation, and Calibra Medical, Inc. Strategic options may include the formation of operating partnerships, joint ventures or strategic alliances, a sale of the businesses, or other alternatives either separately or together. All options will be evaluated to determine the best opportunity to drive future growth and maximize shareholder value. There can be no assurance that this process will result in any transaction or other strategic alternative of any kind.

Worldwide Consumer sales of $13.3 billion for the full-year 2016 represented a decrease of 1.5% versus the prior year, consisting of an operational increase of 1.5% and a negative impact from currency of 3.0%. Domestic sales increased 3.8%; international sales decreased 4.8%, which reflected an operational increase of 0.1% and a negative currency impact of 4.9%. Excluding the net impact of acquisitions, divestitures, Venezuela, and the additional shipping days in 2015, on an operational basis, worldwide sales increased 4.3%, domestic sales increased 5.6% and international sales increased 3.4%(*).

Worldwide operational results, excluding the net impact of acquisitions and divestitures, were driven by over-the-counter products, including TYLENOL(®) analgesics, digestive health products and anti-smoking aids; NEUTROGENA(®) and AVEENO(®) beauty products and LISTERINE(®) oral care products.

Worldwide Pharmaceutical sales of $33.5 billion for the full-year 2016 represented an increase of 6.5% versus the prior year with an operational increase of 7.4% and a negative impact from currency of 0.9%. Domestic sales increased 9.8%; international sales increased 1.8%, which reflected an operational increase of 4.0% and a negative currency impact of 2.2%. Excluding the net impact of acquisitions, divestitures, hepatitis C, Venezuela, and the additional shipping days in 2015, on an operational basis, worldwide sales increased 11.5%, domestic sales increased 13.8% and international sales increased 8.3%.(*)

Worldwide operational results, excluding the net impact of acquisitions, divestitures and hepatitis C sales, were driven by new products and the strength of core products. Strong growth in new products include IMBRUVICA(®) (ibrutinib), an oral, once-daily therapy approved for use in treating certain B-cell malignancies, a type of blood or lymph node cancer; DARZALEX(® )(daratumumab), for the treatment of patients with multiple myeloma; XARELTO(®) (rivaroxaban), an oral anticoagulant and INVOKANA(®)/INVOKAMET(® )(canagliflozin), for the treatment of adults with type 2 diabetes.

Additional contributors to operational sales growth included STELARA(®) (ustekinumab), REMICADE(® )(infliximab) and SIMPONI(®)/SIMPONI ARIA(®) (golimumab), biologics approved for the treatment of a number of immune-mediated inflammatory diseases; INVEGA(® )SUSTENNA(®)/XEPLION(®)/TRINZA(®) (paliperidone palmitate), long-acting, injectable atypical antipsychotics for the treatment of schizophrenia in adults and EDURANT(®) (rilpivirine) for the treatment of HIV.

Sales results were negatively impacted by generic entrants for ORTHO TRI-CYCLEN(®) LO (norgestimate/ethinyl estradiol) oral contraceptive and INVEGA(® )(paliperidone palmitate), long-acting, injectable atypical antipsychotics for the treatment of schizophrenia in adults.

During the quarter, the U.S. Food and Drug Administration (FDA) approved DARZALEX(®) (daratumumab) in combination with lenalidomide and dexamethasone, or bortezomib and dexamethasone, for the treatment of patients with multiple myeloma who have received at least one prior therapy. The European Commission approved STELARA(®) for the treatment of adults with moderately to severely active Crohn's disease. Subsequent to the quarter, in January, the FDA approved IMBRUVICA(® )(ibrutinib) for the treatment of patients with marginal zone lymphoma who require systemic therapy and have received at least one prior anti-CD20- based therapy.

Additionally, regulatory applications for approval were submitted to the FDA and European Medicines Agency (EMA) for guselkumab for the treatment of adults living with moderate to severe plaque psoriasis. Regulatory applications for approval were also submitted to the FDA for SIMPONI ARIA(® )(golimumab) for the treatment of adults living with active psoriatic arthritis and the treatment of adults living with active ankylosing spondylitis and for STELARA(®) (ustekinumab) for the treatment of adolescents (12 to 17 years of age) with moderate to severe plaque psoriasis.

Worldwide Medical Devices sales of $25.1 billion for the full-year 2016 represented a decrease of 0.1% versus the prior year consisting of an operational increase of 0.9% and a negative currency impact of 1.0%. Domestic sales increased 1.1%; international sales decreased 1.2%, which reflected an operational increase of 0.7% and a negative currency impact of 1.9%. Excluding the net impact of acquisitions, divestitures, Venezuela and the additional shipping days in 2015, on an operational basis, worldwide sales increased 3.8%, domestic sales increased 2.9% and international sales increased 4.7%.*

Worldwide operational results, excluding the net impact of acquisitions and divestitures, were driven by electrophysiology products in the Cardiovascular business; endocutters, energy and biosurgicals in the Advanced Surgery business; ACUVUE(®) contact lenses in the Vision Care business; and joint reconstruction and trauma products in the Orthopaedics business.

During the quarter, the FDA approved OneTouch Vibe(TM) Plus Insulin Pump and Continuous Glucose Monitoring System for the treatment of patients age two and older living with diabetes.

Also during the quarter, the purchase of expandable cage technologies for spinal fusion was completed, and a development agreement was entered into, with Interventional Spine, Inc.

About Johnson & Johnson

Caring for the world, one person at a time, inspires and unites the people of Johnson & Johnson. We embrace research and science - bringing innovative ideas, products and services to advance the health and well-being of people. Our approximately 126,400 employees at more than 230 Johnson & Johnson operating companies work with partners in health care to touch the lives of over a billion people every day, throughout the world.

(*) Operational sales growth excluding the net impact of acquisitions, divestitures, hepatitis C, Venezuela and the additional shipping days in 2015, as well as adjusted net earnings, adjusted diluted earnings per share and operational adjusted diluted earnings per share excluding after-tax intangible amortization expense and special items, are non-GAAP financial measures and should not be considered replacements for, and should be read together with, the most comparable GAAP financial measures. Except for guidance measures, reconciliations of these non-GAAP financial measures to the most directly comparable GAAP financial measures can be found in the accompanying financial schedules of the earnings release and the Investor Relations section of the company's website at www.investor.jnj.com. Johnson & Johnson does not provide GAAP financial measures on a forward-looking basis because the company is unable to predict with reasonable certainty the ultimate outcome of legal proceedings, unusual gains and losses, acquisition-related expenses and purchase accounting fair value adjustments without unreasonable effort. These items are uncertain, depend on various factors, and could be material to Johnson & Johnson's results computed in accordance with GAAP.

Johnson & Johnson will conduct a conference call with investors to discuss this news release today at 8:30 a.m., Eastern Time. A simultaneous webcast of the call for investors and other interested parties may be accessed by visiting the Johnson & Johnson website at www.investor.jnj.com. A replay and podcast will be available approximately two hours after the live webcast by visiting www.investor.jnj.com.

Copies of the financial schedules accompanying this press release are available at www.investor.jnj.com/historical-sales.cfm. These schedules include supplementary sales data, a condensed consolidated statement of earnings, reconciliations of non-GAAP financial measures, and sales of key products/franchises. Additional information on Johnson & Johnson, including adjusted income before tax by segment, a pharmaceutical pipeline of selected compounds in late stage development and a copy of today's earnings call presentation can be found on the company's website at www.investor.jnj.com.

NOTE TO INVESTORS CONCERNING FORWARD-LOOKING STATEMENTS

This press release 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 strategy. The reader is cautioned not to rely on these forward-looking statements. These statements are based on current expectations of future events. If underlying assumptions prove inaccurate or known or unknown risks or uncertainties materialize, actual results could vary materially from the expectations and projections of Johnson & Johnson. Risks and uncertainties include, but are not limited to, economic factors, such as interest rate and currency exchange rate fluctuations; competition, including technological advances, new products and patents attained by competitors; challenges inherent in new product research and development, including uncertainty of clinical success and obtaining regulatory approvals; uncertainty of commercial success for new and existing products; challenges to patents; the impact of patent expirations; the ability of the company to successfully execute strategic plans, including business plans, transactions and restructuring plans; market conditions and the possibility that the on-going share repurchase program may be delayed, suspended or discontinued; the impact of business combinations and divestitures; significant adverse litigation or government action, including related to product liability claims; changes to applicable laws and regulations, including tax laws and global health care reforms; trends toward health care cost containment; changes in behavior and spending patterns or financial distress of purchasers of health care products and services; financial instability of international economies and legal systems and sovereign risk; manufacturing difficulties or delays, internally or within the supply chain; product efficacy or safety concerns resulting in product recalls or regulatory action; increased scrutiny of the health care industry by government agencies; and the potential failure to meet obligations in compliance agreements with government bodies. A further list and description of these risks, uncertainties and other factors can be found in Johnson & Johnson's Annual Report on Form 10-K for the fiscal year ended January 3, 2016, including in Exhibit 99 thereto, and the company's subsequent filings with the Securities and Exchange Commission. Copies of these filings are available online at www.sec.gov, www.investor.jnj.com, or on request from Johnson & Johnson. Any forward-looking statement made in this release speaks only as of the date of this release. Johnson & Johnson does not undertake to update any forward-looking statement as a result of new information or future events or developments.



    Johnson & Johnson and Subsidiaries
    ----------------------------------

    Supplementary Sales Data


    (Unaudited; Dollars in Millions)        FOURTH QUARTER                          TWELVE MONTHS
    -------------------------------         --------------                          -------------

                                                                         Percent Change                                                        Percent Change

                                          2016               2015 Total     Operations    Currency        2016           2015           Total                 Operations     Currency
                                          ----               ---- -----     ----------    --------        ----           ----           -----                 ----------     --------

    Sales to customers by

    segment of business


    Consumer

        U.S.                            $1,387              1,231  12.7%          12.7                 -        $5,420          5,222          3.8%                     3.8               -

        International                    2,045              2,089  (2.1)           0.2             (2.3)         7,887          8,285         (4.8)                     0.1           (4.9)

                                         3,432              3,320    3.4            4.9             (1.5)        13,307         13,507         (1.5)                     1.5           (3.0)
                                         -----              -----    ---            ---              ----         ------         ------          ----                      ---            ----


    Pharmaceutical

        U.S.                             5,002              4,910    1.9            1.9                 -        20,125         18,333           9.8                      9.8               -

        International                    3,230              3,154    2.4            3.7             (1.3)        13,339         13,097           1.8                      4.0           (2.2)

                                         8,232              8,064    2.1            2.6             (0.5)        33,464         31,430           6.5                      7.4           (0.9)
                                         -----              -----    ---            ---              ----         ------         ------           ---                      ---            ----


    Medical Devices

        U.S.                             3,148              3,152  (0.1)         (0.1)                -        12,266         12,132           1.1                      1.1               -

        International                    3,294              3,275    0.6            1.3             (0.7)        12,853         13,005         (1.2)                     0.7           (1.9)

                                         6,442              6,427    0.2            0.6             (0.4)        25,119         25,137         (0.1)                     0.9           (1.0)
                                         -----              -----    ---            ---              ----         ------         ------          ----                      ---            ----


    U.S.                                 9,537              9,293    2.6            2.6                 -        37,811         35,687           6.0                      6.0               -

    International                        8,569              8,518    0.6            1.9             (1.3)        34,079         34,387         (0.9)                     1.8           (2.7)

    Worldwide                          $18,106             17,811   1.7%           2.3             (0.6)       $71,890         70,074          2.6%                     3.9           (1.3)
    ---------                          -------             ------    ---            ---              ----        -------         ------           ---                      ---            ----



    Johnson & Johnson and Subsidiaries
    ----------------------------------

    Supplementary Sales Data


    (Unaudited; Dollars in Millions)         FOURTH QUARTER                        TWELVE MONTHS
    -------------------------------          --------------                        -------------

                                                                    Percent Change                                                                  Percent Change

                                          2016                2015 Total                         Operations      Currency        2016           2015                        Total       Operations Currency
                                          ----                ---- -----                         ----------      --------        ----           ----                        -----       ---------- --------

    Sales to customers by

    geographic area


    U.S.                                $9,537               9,293        2.6%                              2.6               -       $37,811                      35,687         6.0%                      6.0        -
    ----                                ------               -----         ---                               ---             ---       -------                      ------          ---                       ---      ---


    Europe                               4,001               4,002         0.0                               3.9           (3.9)        15,770                      15,995        (1.4)                      1.4    (2.8)

    Western Hemisphere excluding U.S.    1,465               1,442         1.6                               2.4           (0.8)         5,734                       6,045        (5.1)                      4.0    (9.1)

    Asia-Pacific, Africa                 3,103               3,074         0.9                             (0.9)            1.8         12,575                      12,347          1.8                       1.4      0.4

    International                        8,569               8,518         0.6                               1.9           (1.3)        34,079                      34,387        (0.9)                      1.8    (2.7)
    -------------                        -----               -----         ---                               ---            ----         ------                      ------         ----                       ---     ----


    Worldwide                          $18,106              17,811        1.7%                              2.3           (0.6)       $71,890                      70,074         2.6%                      3.9    (1.3)
    ---------                          -------              ------         ---                               ---            ----        -------                      ------          ---                       ---     ----

    Johnson & Johnson and Subsidiaries
    ----------------------------------

    Condensed Consolidated Statement of Earnings


    (Unaudited; in Millions Except Per Share Figures)                                FOURTH QUARTER
    ------------------------------------------------                                 --------------


                                                                                2016                          2015         Percent
                                                                                ----                          ----

                                                                                                    Percent                        Percent           Increase

                                                                      Amount                        to Sales       Amount          to Sales        (Decrease)

    Sales to customers                                                       $18,106                         100.0         $17,811           100.0            1.7
    ------------------                                                       -------                         -----         -------           -----            ---

    Cost of products sold                                                      5,534                          30.5           5,673            31.8          (2.5)

    Selling, marketing and administrative expenses                             5,309                          29.3           5,891            33.1          (9.9)

    Research and development expense                                           2,640                          14.6           2,864            16.1          (7.8)

    In-process research and development                                            -                            -            214             1.2

    Interest (income) expense, net                                                84                           0.5             107             0.6

    Other (income) expense, net                                                   20                           0.1         (1,205)          (6.8)

    Restructuring                                                                195                           1.1             509             2.9
    -------------                                                                ---                           ---             ---             ---

    Earnings before provision for taxes on income                              4,324                          23.9           3,758            21.1           15.1

    Provision for taxes on income                                                510                           2.8             543             3.0          (6.1)
                                                                                                                                                         ----

    Net earnings                                                              $3,814                          21.1          $3,215            18.1           18.6
    ------------                                                              ------                          ----          ------            ----           ----


    Net earnings per share (Diluted)                                           $1.38                                        $1.15                          20.0


    Average shares outstanding (Diluted)                                     2,764.5                                      2,803.3


    Effective tax rate                                                         11.8%                                       14.4%


    Adjusted earnings before provision for taxes and net earnings (1)

    Earnings before provision for taxes on income                             $5,103                          28.2          $4,913            27.6            3.9

    Net earnings                                                              $4,361                          24.1          $4,043            22.7            7.9

    Net earnings per share (Diluted)                                           $1.58                                        $1.44                           9.7

    Effective tax rate                                                         14.5%                                       17.7%
    ------------------                                                          ----                                         ----


    (1)See Reconciliation of Non-GAAP Financial Measures.

    Johnson & Johnson and Subsidiaries
    ----------------------------------

    Condensed Consolidated Statement of Earnings


    (Unaudited; in Millions Except Per Share Figures)                                TWELVE MONTHS
    ------------------------------------------------                                 -------------


                                                                                2016                         2015         Percent
                                                                                ----                         ----

                                                                                                   Percent                        Percent           Increase

                                                                      Amount                       to Sales       Amount          to Sales        (Decrease)

    Sales to customers                                                       $71,890                        100.0         $70,074           100.0            2.6
    ------------------                                                       -------                        -----         -------           -----            ---

    Cost of products sold                                                     21,685                         30.2          21,536            30.7            0.7

    Selling, marketing and administrative expenses                            19,945                         27.7          21,203            30.3          (5.9)

    Research and development expense                                           9,095                         12.7           9,046            12.9            0.5

    In-process research and development                                           29                          0.0             224             0.3

    Interest (income) expense, net                                               358                          0.5             424             0.6

    Other (income) expense, net                                                  484                          0.7         (2,064)          (2.9)

    Restructuring                                                                491                          0.7             509             0.7
    -------------                                                                ---                          ---

    Earnings before provision for taxes on income                             19,803                         27.5          19,196            27.4            3.2

    Provision for taxes on income                                              3,263                          4.5           3,787             5.4         (13.8)
                                                                                                                                                       -----

    Net earnings                                                             $16,540                         23.0         $15,409            22.0            7.3
    ------------                                                             -------                         ----         -------            ----            ---


    Net earnings per share (Diluted)                                           $5.93                                       $5.48                           8.2


    Average shares outstanding (Diluted)                                     2,788.9                                     2,812.9


    Effective tax rate                                                         16.5%                                      19.7%


    Adjusted earnings before provision for taxes and net earnings (1)

    Earnings before provision for taxes on income                            $22,759                         31.7         $22,003            31.4            3.4

    Net earnings                                                             $18,764                         26.1         $17,445            24.9            7.6

    Net earnings per share (Diluted)                                           $6.73                                       $6.20                           8.5

    Effective tax rate                                                         17.6%                                      20.7%
    ------------------                                                          ----                                        ----


    (1)See Reconciliation of Non-GAAP Financial Measures.



    Johnson & Johnson and Subsidiaries

    Reconciliation of Non-GAAP Financial Measures


                                                                                                                                   Fourth Quarter           % Incr. /               Twelve Months               % Incr. /
                                                                                                                                   --------------                                   -------------

    (Dollars in Millions Except Per Share Data)                                                                                     2016               2015           (Decr.)                    2016          2015       (Decr.)
    ------------------------------------------                                                                                      ----               ----            ------                    ----          ----        ------


    Earnings before provision for taxes on income - as reported                                                                   $4,324              3,758                   15.1%           $19,803        19,196               3.2%


    Intangible asset amortization expense                                                                                            344                301                                     1,271         1,570


    Restructuring/Other(1)                                                                                                           298                590                                       685           590


    Litigation expense, net                                                                                                           96                  -                                      817           141


    DePuy ASRTMHip program                                                                                                             9                  -                                        9           148


    In-process research and development                                                                                                -               214                                        29           224


    Other                                                                                                                             32                 50                                       145           134


    Earnings before provision for taxes on income - as adjusted                                                                   $5,103              4,913                    3.9%           $22,759        22,003               3.4%
                                                                                                                                  ------              -----                     ---            -------        ------                ---


    Net Earnings - as reported                                                                                                    $3,814              3,215                   18.6%           $16,540        15,409               7.3%


    Intangible asset amortization expense                                                                                            252                220                                       931         1,113


    Restructuring/Other                                                                                                              251                415                                       544           415


    Litigation expense, net                                                                                                           80                  -                                      675           118


    DePuy ASR(TM) Hip program                                                                                                          7                  -                                        7           130


    In-process research and development                                                                                                -               156                                        23           162


    Other                                                                                                                           (43)                37                                        44            98


    Net Earnings - as adjusted                                                                                                    $4,361              4,043                    7.9%           $18,764        17,445               7.6%
                                                                                                                                  ------              -----                     ---            -------        ------                ---


    Diluted Net Earnings per share - as reported                                                                                   $1.38               1.15                   20.0%             $5.93          5.48               8.2%


    Intangible asset amortization expense                                                                                           0.09               0.07                                      0.33          0.39


    Restructuring/Other                                                                                                             0.09               0.15                                      0.20          0.15


    Litigation expense, net                                                                                                         0.03                  -                                     0.24          0.04


    DePuy ASRTMHip program                                                                                                             -                 -                                        -         0.05


    In-process research and development                                                                                                -              0.06                                      0.01          0.06


    Other                                                                                                                         (0.01)              0.01                                      0.02          0.03


    Diluted Net Earnings per share - as adjusted                                                                                   $1.58               1.44                    9.7%             $6.73          6.20               8.5%
                                                                                                                                   -----               ----                     ---              -----          ----                ---


    Operational Diluted Net Earnings per share - as adjusted at 2014 foreign currency exchange rates                                            1.54                                                   6.76


    Impact of currency at 2015 foreign currency exchange rates                                                                      0.01             (0.10)                                     0.05        (0.56)


    Operational Diluted Net Earnings per share - as adjusted at 2015 foreign currency exchange rates                               $1.59               1.44                   10.4%             $6.78          6.20               9.4%
                                                                                                                                   -----               ----                    ----              -----          ----                ---



    (1) Includes $18M recorded in cost of products sold and $85M recorded in other (income) expense for the fourth quarter 2016,

         and $81M recorded in cost of products sold for the fourth quarter 2015.

         Includes $45M recorded in cost of products sold and $149M recorded in other (income) expense for twelve months YTD 2016,

         and $81M recorded in cost of products sold for twelve months YTD 2015.



    Johnson & Johnson and Subsidiaries

    Reconciliation of Non-GAAP Financial Measure


                                                                                        Operational Sales Growth Excluding Acquisitions, Divestitures,  Hepatitis C Sales(1), Venezuela and Additional 2015 Shipping Days
                                                                                        ---------------------------------------------------------------------------------------------------------------------------------

                                                                                                                                    FOURTH QUARTER 2016 ACTUAL vs. 2015 ACTUAL



                                                                                                                                                 Segments
                                                                                                                                                 --------


                                                                                                                                                      Consumer                                             Pharmaceutical         Medical Devices          Total
                                                                                                                                                      --------                                             --------------        ---------------           -----

                                                                                                                                                       Operational %(2)
                                                                                                                                                        ---------------

     WW As Reported:                                                                                                                                                  4.9%                                                 2.6%                     0.6%          2.3%
     ---------------                                                                                                                                                   ---                                                   ---                       ---            ---

     U.S.                                                                                                                                                            12.7%                                                 1.9%                   (0.1)%          2.6%

     International                                                                                                                                                    0.2%                                                 3.7%                     1.3%          1.9%


    Wound Care/Other

    SPLENDA(R)                                                                                                                                                         0.5                                                                                          0.1

     U.S.                                                                                                                                                              0.0                                                                                          0.0

     International                                                                                                                                                     0.8                                                                                          0.2


    Cardiovascular

    Cordis                                                                                                                                                                                                                                           0.0            0.0

     U.S.                                                                                                                                                                                                                                            0.1            0.0

     International                                                                                                                                                                                                                                 (0.1)           0.0


    Beauty

    Vogue                                                                                                                                                            (2.7)                                                                                       (0.5)

     U.S.                                                                                                                                                            (5.7)                                                                                       (0.8)

     International                                                                                                                                                   (1.0)                                                                                       (0.3)


    Other Neuroscience

    Controlled Substance Raw Material and API Business                                                                                                                                                                      1.2                                     0.5

     U.S.                                                                                                                                                                                                                   1.4                                     0.8

     International                                                                                                                                                                                                          0.8                                     0.3


    All Other Acquisitions and Divestitures                                                                                                                          (0.1)                                                  0.0                       0.3            0.1

     U.S.                                                                                                                                                            (0.3)                                                (0.1)                    (0.4)         (0.2)

     International                                                                                                                                                     0.1                                                   0.0                       1.0            0.4


    WW Ops excluding Acquisitions and Divestitures                                                                                                                    2.6%                                                 3.8%                     0.9%          2.5%
    ==============================================                                                                                                                     ===                                                   ===                       ===            ===

     U.S.                                                                                                                                                             6.7%                                                 3.2%                   (0.4)%          2.4%

     International                                                                                                                                                    0.1%                                                 4.5%                     2.2%          2.5%


    Hepatitis C                                                                                                                                                                                                             0.4                                     0.2

     U.S.                                                                                                                                                                                                                 (0.1)                                    0.0

     International                                                                                                                                                                                                          1.2                                     0.5


    Venezuela                                                                                                                                                          0.4                                                   0.0                       0.1            0.1

     U.S.                                                                                                                                                              0.0                                                   0.0                       0.0            0.0

     International                                                                                                                                                     0.7                                                   0.2                       0.2            0.3


    Additional 2015 Shipping Days                                                                                                                                      4.6                                                   5.7                       3.7            4.8

     U.S.                                                                                                                                                              7.0                                                   8.7                       4.9            7.1

     International                                                                                                                                                     3.3                                                   1.2                       2.6            2.3


    WW Ops excluding Acquisitions, Divestitures, Hepatitis C, Venezuela & Shipping Days                                                                               7.6%                                                 9.9%                     4.7%          7.6%
    ===================================================================================                                                                                ===                                                   ===                       ===            ===

     U.S.                                                                                                                                                            13.7%                                                11.8%                     4.5%          9.5%

     International                                                                                                                                                    4.1%                                                 7.1%                     5.0%          5.6%



    (1)Hepatitis C products include OLYSIO(R)/SOVRIAD(R)and INCIVO(R)

    (2)Operational growth excludes the effect of translational currency



    Johnson & Johnson and Subsidiaries

    Reconciliation of Non-GAAP Financial Measure


                                                                                        Operational Sales Growth Excluding Acquisitions, Divestitures,  Hepatitis C Sales(1), Venezuela and Additional 2015 Shipping Days
                                                                                        ---------------------------------------------------------------------------------------------------------------------------------

                                                                                                                                     TWELVE MONTHS 2016 ACTUAL vs. 2015 ACTUAL



                                                                                                                                                 Segments
                                                                                                                                                 --------


                                                                                                                                                      Consumer                                             Pharmaceutical         Medical Devices        Total
                                                                                                                                                      --------                                             --------------        ---------------         -----

                                                                                                                                                       Operational %(2)
                                                                                                                                                        ---------------

     WW As Reported:                                                                                                                                                  1.5%                                                 7.4%                   0.9%          3.9%
     ---------------                                                                                                                                                   ---                                                   ---                     ---            ---

     U.S.                                                                                                                                                             3.8%                                                 9.8%                   1.1%          6.0%

     International                                                                                                                                                    0.1%                                                 4.0%                   0.7%          1.8%


    Wound Care/Other

    SPLENDA(R)                                                                                                                                                         1.8                                                                                        0.3

     U.S.                                                                                                                                                              3.4                                                                                        0.5

     International                                                                                                                                                     0.8                                                                                        0.2


    Cardiovascular

    Cordis                                                                                                                                                                                                                                         1.7            0.7

     U.S.                                                                                                                                                                                                                                          0.8            0.3

     International                                                                                                                                                                                                                                 2.6            1.0


    Beauty                                                                                                                                                           (1.2)

    Vogue                                                                                                                                                            (2.8)                                                                                     (0.2)

     U.S.                                                                                                                                                            (0.3)                                                                                     (0.4)

     International                                                                                                                                                                                                                                               0.0


    Other Neuroscience

    Controlled Substance Raw Material and API Business                                                                                                                                                                      0.5                                   0.2

     U.S.                                                                                                                                                                                                                   0.7                                   0.3

     International                                                                                                                                                                                                          0.2                                   0.1


    All Other Acquisitions and Divestitures                                                                                                                          (0.1)                                                  0.1                     0.1            0.1

     U.S.                                                                                                                                                            (0.3)                                                  0.2                   (0.2)           0.0

     International                                                                                                                                                     0.1                                                   0.1                     0.3            0.1


    WW Ops excluding Acquisitions and Divestitures                                                                                                                    2.0%                                                 8.0%                   2.7%          5.0%
    ==============================================                                                                                                                     ===                                                   ===                     ===            ===

     U.S.                                                                                                                                                             4.1%                                                10.7%                   1.7%          6.7%

     International                                                                                                                                                    0.7%                                                 4.3%                   3.6%          3.2%


    Hepatitis C                                                                                                                                                                                                             1.9                                   0.8

     U.S.                                                                                                                                                                                                                   0.7                                   0.4

     International                                                                                                                                                                                                          3.4                                   1.2


    Venezuela                                                                                                                                                          1.2                                                   0.1                     0.2            0.3

     U.S.                                                                                                                                                              0.0                                                   0.0                     0.0            0.0

     International                                                                                                                                                     1.9                                                   0.3                     0.4            0.7


    Additional 2015 Shipping Days                                                                                                                                      1.1                                                   1.5                     0.9            1.3

     U.S.                                                                                                                                                              1.5                                                   2.4                     1.2            1.8

     International                                                                                                                                                     0.8                                                   0.3                     0.7            0.6


    WW Ops excluding Acquisitions, Divestitures, Hepatitis C, Venezuela & Shipping Days                                                                               4.3%                                                11.5%                   3.8%          7.4%
    ===================================================================================                                                                                ===                                                  ====                     ===            ===

     U.S.                                                                                                                                                             5.6%                                                13.8%                   2.9%          8.9%

     International                                                                                                                                                    3.4%                                                 8.3%                   4.7%          5.7%


    (1)Hepatitis C products include OLYSIO(R)/SOVRIAD(R)and INCIVO(R)

    (2)Operational growth excludes the effect of translational currency

                                                                                                                            REPORTED SALES vs. PRIOR PERIOD ($MM)
                                                                                                                             ------------------------------------

                                                                                                         FOURTH QUARTER                                                                           TWELVE MONTHS
                                                                                                         --------------                                                                           -------------

                                                                                                                                                            % Change                                                                       % Change
                                                                                                                                                            --------                                                                       --------

                                                                                                  2016           2015   Reported                          Operational (1)         Currency                         2016      2015            Reported            Operational (1)             Currency
                                                                                                  ----           ----   --------                          --------------          --------                         ----      ----            --------            --------------              --------

    CONSUMER SEGMENT (2) (3)
    -----------------------

    BABY CARE
    ---------

    US                                                                                            $123            126                -2.4%                                 -2.4%                  -                $488       514                       -5.1%                      -5.1%                   -

    Intl                                                                                           370            387                -4.4%                                 -2.2%              -2.2%               1,513     1,643                       -7.9%                      -2.0%               -5.9%
                                                                                                   ---            ---                                                                                             -----     -----

    WW                                                                                             493            513                -3.9%                                 -2.3%              -1.6%               2,001     2,157                       -7.2%                      -2.7%               -4.5%

    BEAUTY
    ------

    US                                                                                             580            442                31.2%                                 31.2%                  -               2,135     1,861                       14.7%                      14.7%                   -

    Intl                                                                                           483            461                 4.8%                                  6.7%              -1.9%               1,762     1,772                       -0.6%                       3.7%               -4.3%
                                                                                                   ---            ---                                                                                             -----     -----

    WW                                                                                           1,063            903                17.7%                                 18.7%              -1.0%               3,897     3,633                        7.3%                       9.4%               -2.1%

    ORAL CARE
    ---------

    US                                                                                             163            170                -4.1%                                 -4.1%                  -                 648       629                        3.0%                       3.0%                   -

    Intl                                                                                           234            238                -1.7%                                  0.2%              -1.9%                 920       951                       -3.3%                       1.4%               -4.7%
                                                                                                   ---            ---                                                                                               ---       ---

    WW                                                                                             397            408                -2.7%                                 -1.6%              -1.1%               1,568     1,580                       -0.8%                       2.0%               -2.8%

    OTC
    ---

    US                                                                                             418            386                 8.3%                                  8.3%                  -               1,675     1,565                        7.0%                       7.0%                   -

    Intl                                                                                           621            632                -1.7%                                  1.5%              -3.2%               2,302     2,330                       -1.2%                       3.4%               -4.6%
                                                                                                   ---            ---                                                                                             -----     -----

    WW                                                                                           1,039          1,018                 2.1%                                  4.1%              -2.0%               3,977     3,895                        2.1%                       4.8%               -2.7%

    WOMEN'S HEALTH
    --------------

    US                                                                                               3              7               -57.1%                                -57.1%                  -                  19        26                      -26.9%                     -26.9%                   -

    Intl                                                                                           261            276                -5.4%                                 -3.1%              -2.3%               1,048     1,174                      -10.7%                      -4.6%               -6.1%
                                                                                                   ---            ---                                                                                             -----     -----

    WW                                                                                             264            283                -6.7%                                 -4.4%              -2.3%               1,067     1,200                      -11.1%                      -5.1%               -6.0%

    WOUND CARE / OTHER
    ------------------

    US                                                                                             100            100                 0.0%                                  0.0%                  -                 455       627                      -27.4%                     -27.4%                   -

    Intl                                                                                            76             95               -20.0%                                -19.6%              -0.4%                 342       415                      -17.6%                     -14.7%               -2.9%
                                                                                                   ---            ---                                                                                               ---       ---

    WW                                                                                             176            195                -9.7%                                 -9.5%              -0.2%                 797     1,042                      -23.5%                     -22.3%               -1.2%


    TOTAL CONSUMER
    --------------

    US                                                                                           1,387          1,231                12.7%                                 12.7%                  -               5,420     5,222                        3.8%                       3.8%                   -

    Intl                                                                                         2,045          2,089                -2.1%                                  0.2%              -2.3%               7,887     8,285                       -4.8%                       0.1%               -4.9%
                                                                                                 -----          -----                                                                                             -----     -----

    WW                                                                                          $3,432          3,320                 3.4%                                  4.9%              -1.5%             $13,307    13,507                       -1.5%                       1.5%               -3.0%
                                                                                                ======          =====                                                                                           =======    ======



                                                                                                                        REPORTED SALES vs. PRIOR PERIOD ($MM)
                                                                                                                         ------------------------------------

                                                                                                       FOURTH QUARTER                                                                      TWELVE MONTHS
                                                                                                       --------------                                                                      -------------

                                                                                                                                                         % Change                                                                    % Change
                                                                                                                                                         --------                                                                    --------

                                                                                                  2016           2015   Reported                          Operational (1)         Currency                         2016      2015            Reported            Operational (1)             Currency
                                                                                                  ----           ----   --------                          --------------          --------                         ----      ----            --------            --------------              --------

    PHARMACEUTICAL SEGMENT (2) (3)
    -----------------------------

    IMMUNOLOGY
    ----------

    US                                                                                          $2,157          2,101                 2.7%                                  2.7%                  -              $8,846     7,642                       15.8%                      15.8%                   -

    Intl                                                                                           779            670                16.3%                                 16.9%              -0.6%               3,122     2,760                       13.1%                      15.9%               -2.8%
                                                                                                   ---            ---                                                                                             -----     -----

    WW                                                                                           2,936          2,771                 6.0%                                  6.1%              -0.1%              11,968    10,402                       15.1%                      15.9%               -0.8%

    REMICADE
    --------

    US                                                                                           1,173          1,193                -1.7%                                 -1.7%                  -               4,842     4,453                        8.7%                       8.7%                   -

    US Exports (4)                                                                                 109            180               -39.4%                                -39.4%                  -                 782       782                        0.0%                       0.0%                   -

    Intl                                                                                           342            307                11.4%                                 11.9%              -0.5%               1,342     1,326                        1.2%                       5.4%               -4.2%
                                                                                                   ---            ---                                                                                             -----     -----

    WW                                                                                           1,624          1,680                -3.3%                                 -3.2%              -0.1%               6,966     6,561                        6.2%                       7.0%               -0.8%

    SIMPONI / SIMPONI ARIA
    ----------------------

    US                                                                                             243            204                19.1%                                 19.1%                  -                 959       730                       31.4%                      31.4%                   -

    Intl                                                                                           183            136                34.6%                                 32.7%               1.9%                 786       598                       31.4%                      31.6%               -0.2%
                                                                                                   ---            ---                                                                                               ---       ---

    WW                                                                                             426            340                25.3%                                 24.5%               0.8%               1,745     1,328                       31.4%                      31.5%               -0.1%

    STELARA
    -------

    US                                                                                             632            524                20.6%                                 20.6%                  -               2,263     1,677                       34.9%                      34.9%                   -

    Intl                                                                                           247            218                13.3%                                 15.6%              -2.3%                 969       797                       21.6%                      24.0%               -2.4%
                                                                                                   ---            ---                                                                                               ---       ---

    WW                                                                                             879            742                18.5%                                 19.2%              -0.7%               3,232     2,474                       30.6%                      31.4%               -0.8%

    OTHER IMMUNOLOGY
    ----------------

    US                                                                                               -             -                   -                                     -                  -                   -        -                          -                          -                   -

    Intl                                                                                             7              9               -22.2%                                -20.6%              -1.6%                  25        39                      -35.9%                     -30.1%               -5.8%
                                                                                                   ---            ---                                                                                               ---       ---

    WW                                                                                               7              9               -22.2%                                -20.6%              -1.6%                  25        39                      -35.9%                     -30.1%               -5.8%

    INFECTIOUS DISEASES
    -------------------

    US                                                                                             354            363                -2.5%                                 -2.5%                  -               1,461     1,535                       -4.8%                      -4.8%                   -

    Intl                                                                                           407            438                -7.1%                                 -5.0%              -2.1%               1,747     2,121                      -17.6%                     -15.7%               -1.9%
                                                                                                   ---            ---                                                                                             -----     -----

    WW                                                                                             761            801                -5.0%                                 -3.9%              -1.1%               3,208     3,656                      -12.3%                     -11.2%               -1.1%

    EDURANT
    -------

    US                                                                                              14             12                16.7%                                 16.7%                  -                  52        41                       26.8%                      26.8%                   -

    Intl                                                                                           151             95                58.9%                                 60.7%              -1.8%                 521       369                       41.2%                      41.9%               -0.7%
                                                                                                   ---            ---                                                                                               ---       ---

    WW                                                                                             165            107                54.2%                                 55.8%              -1.6%                 573       410                       39.8%                      40.4%               -0.6%

    OLYSIO / SOVRIAD
    ----------------

    US                                                                                               5            (1)                  **                                    **                  -                  55       173                      -68.2%                     -68.2%                   -

    Intl                                                                                             5             45               -88.9%                                -88.1%              -0.8%                  51       448                      -88.6%                     -88.1%               -0.5%
                                                                                                   ---            ---                                                                                               ---       ---

    WW                                                                                              10             44               -77.3%                                -76.5%              -0.8%                 106       621                      -82.9%                     -82.6%               -0.3%

    PREZISTA / PREZCOBIX / REZOLSTA
    -------------------------------

    US                                                                                             283            287                -1.4%                                 -1.4%                  -               1,143     1,064                        7.4%                       7.4%                   -

    Intl                                                                                           164            180                -8.9%                                 -6.0%              -2.9%                 708       746                       -5.1%                      -2.3%               -2.8%
                                                                                                   ---            ---                                                                                               ---       ---

    WW                                                                                             447            467                -4.3%                                 -3.2%              -1.1%               1,851     1,810                        2.3%                       3.5%               -1.2%

    OTHER INFECTIOUS DISEASES
    -------------------------

    US                                                                                              52             65               -20.0%                                -20.0%                  -                 211       257                      -17.9%                     -17.9%                   -

    Intl                                                                                            87            118               -26.3%                                -24.9%              -1.4%                 467       558                      -16.3%                     -13.6%               -2.7%
                                                                                                   ---            ---                                                                                               ---       ---

    WW                                                                                             139            183               -24.0%                                -23.1%              -0.9%                 678       815                      -16.8%                     -15.0%               -1.8%
                                                                                                   ---            ---                -----                                  -----                ----                  ---       ---                       -----                       -----                 ----

    See footnotes at end of schedule


                                                                                                                        REPORTED SALES vs. PRIOR PERIOD ($MM)
                                                                                                                         ------------------------------------

                                                                                                       FOURTH QUARTER                                                                      TWELVE MONTHS
                                                                                                       --------------                                                                      -------------

                                                                                                                                                         % Change                                                                    % Change
                                                                                                                                                         --------                                                                    --------

                                                                                                  2016           2015   Reported                          Operational (1)         Currency                         2016      2015            Reported            Operational (1)             Currency
                                                                                                  ----           ----   --------                          --------------          --------                         ----      ----            --------            --------------              --------

    NEUROSCIENCE
    ------------

    US                                                                                             631            752               -16.1%                                -16.1%                  -               2,628     2,850                       -7.8%                      -7.8%                   -

    Intl                                                                                           839            849                -1.2%                                 -1.2%               0.0%               3,457     3,409                        1.4%                       2.3%               -0.9%
                                                                                                   ---            ---                                                                                             -----     -----

    WW                                                                                           1,470          1,601                -8.2%                                 -8.2%               0.0%               6,085     6,259                       -2.8%                      -2.3%               -0.5%

    CONCERTA / METHYLPHENIDATE
    --------------------------

    US                                                                                             103            117               -12.0%                                -12.0%                  -                 468       434                        7.8%                       7.8%                   -

    Intl                                                                                           101             96                 5.2%                                  5.8%              -0.6%                 395       387                        2.1%                       4.8%               -2.7%
                                                                                                   ---            ---                                                                                               ---       ---

    WW                                                                                             204            213                -4.2%                                 -3.9%              -0.3%                 863       821                        5.1%                       6.4%               -1.3%

    INVEGA / PALIPERIDONE
    ---------------------

    US                                                                                               -            58                   **                                    **                  -                  70       339                      -79.4%                     -79.4%                   -

    Intl                                                                                            56             55                 1.8%                                  0.2%               1.6%                 241       234                        3.0%                       2.1%                0.9%
                                                                                                   ---            ---                                                                                               ---       ---

    WW                                                                                              56            113               -50.4%                                -51.1%               0.7%                 311       573                      -45.7%                     -46.1%                0.4%

    INVEGA SUSTENNA / XEPLION / TRINZA
    ----------------------------------

    US                                                                                             360            327                10.1%                                 10.1%                  -               1,343     1,085                       23.8%                      23.8%                   -

    Intl                                                                                           225            197                14.2%                                 15.8%              -1.6%                 871       745                       16.9%                      18.7%               -1.8%
                                                                                                   ---            ---                                                                                               ---       ---

    WW                                                                                             585            524                11.6%                                 12.2%              -0.6%               2,214     1,830                       21.0%                      21.7%               -0.7%

    RISPERDAL CONSTA
    ----------------

    US                                                                                              92            103               -10.7%                                -10.7%                  -                 381       409                       -6.8%                      -6.8%                   -

    Intl                                                                                           118            131                -9.9%                                 -8.6%              -1.3%                 512       561                       -8.7%                      -7.4%               -1.3%
                                                                                                   ---            ---                                                                                               ---       ---

    WW                                                                                             210            234               -10.3%                                 -9.5%              -0.8%                 893       970                       -7.9%                      -7.1%               -0.8%

    OTHER NEUROSCIENCE
    ------------------

    US                                                                                              76            147               -48.3%                                -48.3%                  -                 366       583                      -37.2%                     -37.2%                   -

    Intl                                                                                           339            370                -8.4%                                 -9.8%               1.4%               1,438     1,482                       -3.0%                      -2.9%               -0.1%
                                                                                                   ---            ---                                                                                             -----     -----

    WW                                                                                             415            517               -19.7%                                -20.7%               1.0%               1,804     2,065                      -12.6%                     -12.5%               -0.1%

    ONCOLOGY
    --------

    US                                                                                             595            457                30.2%                                 30.2%                  -               2,335     1,547                       50.9%                      50.9%                   -

    Intl                                                                                           867            816                 6.3%                                  8.1%              -1.8%               3,472     3,148                       10.3%                      12.6%               -2.3%
                                                                                                   ---            ---                                                                                             -----     -----

    WW                                                                                           1,462          1,273                14.8%                                 15.9%              -1.1%               5,807     4,695                       23.7%                      25.2%               -1.5%

    DARZALEX
    --------

    US                                                                                             151             20                    *                                     *                  -                 471        20                           *                          *                   -

    Intl                                                                                            49              -                   *                                     *               0.0%                 101         -                          *                          *                0.0%
                                                                                                   ---            ---                                                                                              ---       ---

    WW                                                                                             200             20                    *                                     *               0.0%                 572        20                           *                          *                0.0%

    IMBRUVICA
    ---------

    US                                                                                             158            122                29.5%                                 29.5%                  -                 613       375                       63.5%                      63.5%                   -

    Intl                                                                                           188            113                66.4%                                 72.2%              -5.8%                 638       314                           *                          *               -6.3%
                                                                                                   ---            ---                                                                                               ---       ---

    WW                                                                                             346            235                47.2%                                 50.0%              -2.8%               1,251       689                       81.6%                      84.5%               -2.9%

    VELCADE
    -------

    US                                                                                               -             -                   -                                     -                  -                   -        -                          -                          -                   -

    Intl                                                                                           274            321               -14.6%                                -12.6%              -2.0%               1,224     1,333                       -8.2%                      -5.9%               -2.3%
                                                                                                   ---            ---                                                                                             -----     -----

    WW                                                                                             274            321               -14.6%                                -12.6%              -2.0%               1,224     1,333                       -8.2%                      -5.9%               -2.3%

    ZYTIGA
    ------

    US                                                                                             249            286               -12.9%                                -12.9%                  -               1,089     1,070                        1.8%                       1.8%                   -

    Intl                                                                                           270            295                -8.5%                                 -9.0%               0.5%               1,171     1,161                        0.9%                       1.8%               -0.9%
                                                                                                   ---            ---                                                                                             -----     -----

    WW                                                                                             519            581               -10.7%                                -11.0%               0.3%               2,260     2,231                        1.3%                       1.8%               -0.5%

    OTHER ONCOLOGY
    --------------

    US                                                                                              37             29                27.6%                                 27.6%                  -                 162        82                       97.6%                      97.6%                   -

    Intl                                                                                            86             87                -1.1%                                  1.3%              -2.4%                 338       340                       -0.6%                       2.1%               -2.7%
                                                                                                   ---            ---                                                                                               ---       ---

    WW                                                                                             123            116                 6.0%                                  7.8%              -1.8%                 500       422                       18.5%                      20.6%               -2.1%

    CARDIOVASCULAR / METABOLISM / OTHER
    -----------------------------------

    US                                                                                           1,265          1,237                 2.3%                                  2.3%                  -               4,855     4,759                        2.0%                       2.0%                   -

    Intl                                                                                           338            381               -11.3%                                 -7.8%              -3.5%               1,541     1,659                       -7.1%                      -2.9%               -4.2%
                                                                                                   ---            ---                                                                                             -----     -----

    WW                                                                                           1,603          1,618                -0.9%                                 -0.1%              -0.8%               6,396     6,418                       -0.3%                       0.8%               -1.1%

    XARELTO
    -------

    US                                                                                             598            494                21.1%                                 21.1%                  -               2,288     1,868                       22.5%                      22.5%                   -

    Intl                                                                                             -             -                   -                                     -                  -                   -        -                          -                          -                   -
                                                                                                   ---           ---                                                                                              ---      ---

    WW                                                                                             598            494                21.1%                                 21.1%                  -               2,288     1,868                       22.5%                      22.5%                   -

    INVOKANA / INVOKAMET
    --------------------

    US                                                                                             334            348                -4.0%                                 -4.0%                  -               1,273     1,238                        2.8%                       2.8%                   -

    Intl                                                                                            37             24                54.2%                                 60.3%              -6.1%                 134        70                       91.4%                          *               -9.7%
                                                                                                   ---            ---                                                                                               ---       ---

    WW                                                                                             371            372                -0.3%                                  0.1%              -0.4%               1,407     1,308                        7.6%                       8.1%               -0.5%

    PROCRIT / EPREX
    ---------------

    US                                                                                             186            173                 7.5%                                  7.5%                  -                 767       692                       10.8%                      10.8%                   -

    Intl                                                                                            73             87               -16.1%                                -14.5%              -1.6%                 338       376                      -10.1%                      -7.6%               -2.5%
                                                                                                   ---            ---                                                                                               ---       ---

    WW                                                                                             259            260                -0.4%                                  0.1%              -0.5%               1,105     1,068                        3.5%                       4.4%               -0.9%

    OTHER
    -----

    US                                                                                             147            222               -33.8%                                -33.8%                  -                 527       961                      -45.2%                     -45.2%                   -

    Intl                                                                                           228            270               -15.6%                                -11.7%              -3.9%               1,069     1,213                      -11.9%                      -7.5%               -4.4%
                                                                                                   ---            ---                                                                                             -----     -----

    WW                                                                                             375            492               -23.8%                                -21.6%              -2.2%               1,596     2,174                      -26.6%                     -24.1%               -2.5%


    TOTAL PHARMACEUTICAL
    --------------------

    US                                                                                           5,002          4,910                 1.9%                                  1.9%                  -              20,125    18,333                        9.8%                       9.8%                   -

    Intl                                                                                         3,230          3,154                 2.4%                                  3.7%              -1.3%              13,339    13,097                        1.8%                       4.0%               -2.2%
                                                                                                 -----          -----                                                                                            ------    ------

    WW                                                                                          $8,232          8,064                 2.1%                                  2.6%              -0.5%             $33,464    31,430                        6.5%                       7.4%               -0.9%
                                                                                                ======          =====                                                                                           =======    ======



    See footnotes at end of schedule

                                                                                                                        REPORTED SALES vs. PRIOR PERIOD ($MM)
                                                                                                                         ------------------------------------

                                                                                                       FOURTH QUARTER                                                                      TWELVE MONTHS
                                                                                                       --------------                                                                      -------------

                                                                                                                                                         % Change                                                                    % Change
                                                                                                                                                         --------                                                                    --------

                                                                                                  2016           2015   Reported                          Operational (1)         Currency                         2016      2015            Reported            Operational (1)             Currency
                                                                                                  ----           ----   --------                          --------------          --------                         ----      ----            --------            --------------              --------

    MEDICAL DEVICES SEGMENT (2)
    --------------------------

    CARDIOVASCULAR
    --------------

    US                                                                                            $247            229                 7.9%                                  7.9%                  -                $948       931                        1.8%                       1.8%                   -

    Intl                                                                                           238            210                13.3%                                 12.4%               0.9%                 901     1,105                      -18.5%                     -18.4%               -0.1%
                                                                                                   ---            ---                                                                                               ---     -----

    WW                                                                                             485            439                10.5%                                 10.1%               0.4%               1,849     2,036                       -9.2%                      -9.2%                0.0%

    DIABETES CARE
    -------------

    US                                                                                             191            202                -5.4%                                 -5.4%                  -                 739       833                      -11.3%                     -11.3%                   -

    Intl                                                                                           271            278                -2.5%                                 -1.1%              -1.4%               1,050     1,095                       -4.1%                      -1.9%               -2.2%
                                                                                                   ---            ---                                                                                             -----     -----

    WW                                                                                             462            480                -3.8%                                 -3.0%              -0.8%               1,789     1,928                       -7.2%                      -5.9%               -1.3%

    DIAGNOSTICS
    -----------

    US                                                                                               -             -                   -                                     -                  -                   -        -                          -                          -                   -

    Intl                                                                                             -            24                   **                                    **                 **                  66        86                      -23.3%                     -13.9%               -9.4%
                                                                                                   ---           ---                                                                                               ---       ---

    WW                                                                                               -            24                   **                                    **                 **                  66        86                      -23.3%                     -13.9%               -9.4%

    ORTHOPAEDICS
    ------------

    US                                                                                           1,422          1,438                -1.1%                                 -1.1%                  -               5,521     5,380                        2.6%                       2.6%                   -

    Intl                                                                                           965            985                -2.0%                                 -0.6%              -1.4%               3,813     3,882                       -1.8%                       0.5%               -2.3%
                                                                                                   ---            ---                                                                                             -----     -----

    WW                                                                                           2,387          2,423                -1.5%                                 -0.9%              -0.6%               9,334     9,262                        0.8%                       1.8%               -1.0%

    HIPS
    ----

    US                                                                                             208            213                -2.3%                                 -2.3%                  -                 798       781                        2.2%                       2.2%                   -

    Intl                                                                                           142            141                 0.7%                                  3.2%              -2.5%                 563       551                        2.2%                       5.7%               -3.5%
                                                                                                   ---            ---                                                                                               ---       ---

    WW                                                                                             350            354                -1.1%                                 -0.1%              -1.0%               1,361     1,332                        2.2%                       3.6%               -1.4%

    KNEES
    -----

    US                                                                                             247            254                -2.8%                                 -2.8%                  -                 943       916                        2.9%                       2.9%                   -

    Intl                                                                                           148            151                -2.0%                                  0.9%              -2.9%                 581       580                        0.2%                       3.5%               -3.3%
                                                                                                   ---            ---                                                                                               ---       ---

    WW                                                                                             395            405                -2.5%                                 -1.4%              -1.1%               1,524     1,496                        1.9%                       3.2%               -1.3%

    TRAUMA
    ------

    US                                                                                             394            379                 4.0%                                  4.0%                  -               1,545     1,462                        5.7%                       5.7%                   -

    Intl                                                                                           260            265                -1.9%                                 -1.2%              -0.7%               1,024     1,066                       -3.9%                      -1.9%               -2.0%
                                                                                                   ---            ---                                                                                             -----     -----

    WW                                                                                             654            644                 1.6%                                  1.9%              -0.3%               2,569     2,528                        1.6%                       2.5%               -0.9%

    SPINE & OTHER
    -------------

    US                                                                                             573            592                -3.2%                                 -3.2%                  -               2,235     2,221                        0.6%                       0.6%                   -

    Intl                                                                                           415            428                -3.0%                                 -2.1%              -0.9%               1,645     1,685                       -2.4%                      -0.6%               -1.8%
                                                                                                   ---            ---                                                                                             -----     -----

    WW                                                                                             988          1,020                -3.1%                                 -2.7%              -0.4%               3,880     3,906                       -0.7%                       0.1%               -0.8%

    SURGERY
    -------

    US                                                                                           1,023          1,044                -2.0%                                 -2.0%                  -               4,026     3,991                        0.9%                       0.9%                   -

    Intl                                                                                         1,364          1,369                -0.4%                                  0.8%              -1.2%               5,270     5,226                        0.8%                       3.3%               -2.5%
                                                                                                 -----          -----                                                                                             -----     -----

    WW                                                                                           2,387          2,413                -1.1%                                 -0.4%              -0.7%               9,296     9,217                        0.9%                       2.3%               -1.4%

    ADVANCED
    --------

    US                                                                                             393            384                 2.3%                                  2.3%                  -               1,524     1,430                        6.6%                       6.6%                   -

    Intl                                                                                           515            486                 6.0%                                  7.4%              -1.4%               1,993     1,845                        8.0%                      10.7%               -2.7%
                                                                                                   ---            ---                                                                                             -----     -----

    WW                                                                                             908            870                 4.4%                                  5.2%              -0.8%               3,517     3,275                        7.4%                       8.9%               -1.5%

    GENERAL
    -------

    US                                                                                             415            430                -3.5%                                 -3.5%                  -               1,669     1,702                       -1.9%                      -1.9%                   -

    Intl                                                                                           687            717                -4.2%                                 -2.9%              -1.3%               2,693     2,780                       -3.1%                      -0.7%               -2.4%
                                                                                                   ---            ---                                                                                             -----     -----

    WW                                                                                           1,102          1,147                -3.9%                                 -3.1%              -0.8%               4,362     4,482                       -2.7%                      -1.2%               -1.5%

    SPECIALTY
    ---------

    US                                                                                             215            230                -6.5%                                 -6.5%                  -                 833       859                       -3.0%                      -3.0%                   -

    Intl                                                                                           162            166                -2.4%                                 -2.5%               0.1%                 584       601                       -2.8%                      -0.4%               -2.4%
                                                                                                   ---            ---                                                                                               ---       ---

    WW                                                                                             377            396                -4.8%                                 -4.8%               0.0%               1,417     1,460                       -2.9%                      -1.9%               -1.0%

    VISION CARE
    -----------

    US                                                                                             265            239                10.9%                                 10.9%                  -               1,032       997                        3.5%                       3.5%                   -

    Intl                                                                                           456            409                11.5%                                  9.9%               1.6%               1,753     1,611                        8.8%                       8.2%                0.6%
                                                                                                   ---            ---                                                                                             -----     -----

    WW                                                                                             721            648                11.3%                                 10.3%               1.0%               2,785     2,608                        6.8%                       6.4%                0.4%


    TOTAL MEDICAL DEVICES
    ---------------------

    US                                                                                           3,148          3,152                -0.1%                                 -0.1%                  -              12,266    12,132                        1.1%                       1.1%                   -

    Intl                                                                                         3,294          3,275                 0.6%                                  1.3%              -0.7%              12,853    13,005                       -1.2%                       0.7%               -1.9%
                                                                                                 -----          -----                                                                                            ------    ------

    WW                                                                                          $6,442          6,427                 0.2%                                  0.6%              -0.4%             $25,119    25,137                       -0.1%                       0.9%               -1.0%
                                                                                                ======          =====                                                                                           =======    ======



    * Percentage greater than 100%

    ** Not meaningful

    (1) Operational growth excludes the effect of translational currency

    (2) Unaudited

    (3) Prior year amounts have been reclassified to conform to current year product disclosure

          (see supplemental sales information for further detail)

    (4) Reported as U.S. sales

To view the original version on PR Newswire, visit:http://www.prnewswire.com/news-releases/johnson--johnson-reports-2016-fourth-quarter-results-300395484.html

SOURCE Johnson & Johnson