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ALEX: Welcome to Beta Finch, your AI-powered earnings breakdown. Today we're digging into Johnson & Johnson's second quarter 2026 results, and Jordan, there's a lot to unpack here.
JORDAN: There really is. But first, the fine print — this podcast is AI-generated content for educational and entertainment purposes only. Nothing we discuss should be considered investment advice. Always do your own research and consult a qualified financial advisor before making any investment decisions.
ALEX: Right, so let's get into it. J&J posted $25.3 billion in quarterly sales, up 5.6% operationally. That doesn't sound huge until you realize they absorbed a 460 basis point headwind from STELARA losing patent protection to biosimilars.
JORDAN: Yeah, strip out STELARA and the rest of the business grew double digits. That's the real story. Net earnings came in at $5.5 billion, diluted EPS of $2.27, and on an adjusted basis, EPS was $2.90, up nearly 5% year-over-year. And here's the kicker — they raised full-year guidance. Operational sales growth now expected at 6.5% to 7.1%, and adjusted EPS guidance moved up to $11.50-$11.65.
ALEX: They're also closing in on a milestone — more than $100 billion in annual revenue for the first time in the company's 140-year history.
JORDAN: Which is wild to say out loud. This is a company with 28 different products or platforms each doing over a billion dollars a year. That's not a one-hit-wonder portfolio, that's just breadth everywhere.
ALEX: Let's talk oncology, because that's really where J&J flexed this quarter. DARZALEX, their multiple myeloma drug, did over $4 billion, up almost 18%. But the newer combo therapies are what caught my eye — CARVYKTI up 47.7%, TECVAYLI up 56%, TALVEY up 62.6%.
JORDAN: Those growth rates on top of an already-dominant multiple myeloma franchise are pretty remarkable. And they're not resting — new data showed the TALVEY-DARZALEX combo keeping over 80% of patients progression-free at two years, with overall survival up to 89%. That's the kind of data that extends a franchise's life for years.
ALEX: Then there's the newer launches — ICOTYDE in psoriasis, INLEXZO in bladder cancer, RYBREVANT in lung and now head-and-neck cancer. ICOTYDE in particular is getting a lot of attention. Over 11,000 patients started therapy, 6,000 unique prescribers, and more than half of commercial payers already covering it within 90 days.
JORDAN: What's interesting is how they're positioning it alongside TREMFYA, which by the way had a monster quarter — 71% growth, its first $2 billion quarter. Instead of cannibalizing each other, management's framing ICOTYDE as the go-to first systemic treatment and TREMFYA as the first-choice biologic, especially for patients trending toward psoriatic arthritis. It's a two-pronged attack on the same disease area.
ALEX: Now, MedTech was the softer spot this quarter — only 3.6% growth. Cardiovascular was the drag, mainly Abiomed's heart pump business.
JORDAN: Right, and this is worth unpacking because it wasn't a demand problem. A neutral clinical trial out of the U.K. made physicians more cautious about patient selection for Impella devices, so usage slowed. Management was pretty direct about it — they called it a "behavioral" issue, not structural. They're leaning on their own much larger evidence base, over 40,000 patients studied versus the UK trial's 300, while they wait for their own PROTECT IV trial data, which won't read out until 2027.
ALEX: Meanwhile, three of MedTech's four businesses — surgery, vision, and orthopedics — actually accelerated and beat expectations. So it's really one segment, heart recovery, dragging on an otherwise solid MedTech story.
JORDAN: And there's real excitement building around the robotics pipeline — the OTTAVA surgical robot and MONARCH for urology are both awaiti
This episode includes AI-generated content.
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2026/07/317 分