Earnings turnaround for Johnson & Johnson with Q1 2024 financial results

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Written on Apr 16, 2024

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On April 15th, Johnson & Johnson reported its latest financial results.
The figures represented a welcome turnaround compared to Q1 of 2023.
Among other highlights was its 2.3% rise in global sales, compared with last year's losses.

Pharmaceutical and consumer staples titan Johnson & Johnson reported its Q1 2024 financial results before US markets opened this morning.

Johnson & Johnson announced significant turnaround in its net earnings, with $5.3 billion in net earnings for Q1 from continuing operations, versus the $491 million loss of Q1 2023 for the same category.

Sales, operational growth and cash flow

This was off the back of a 2.3% rise in sales to $21.4 billion globally, with an operational growth of 3.9%.

The figures showed healthy profit margins for the company, despite restructuring expenses of $27 million in the fiscal first quarter of 2024, which primarily included costs related to market and product exits.

EPS and dividend

Diluted earnings per share (EPS) came in at $2.20 per share for Q1, or a $2.71 adjusted EPS, compared with 2023’s Q1 adjusted EPS of $2.41.

That same morning, the company declared a 4.2% increase in the quarterly dividend, from $1.19 per share to $1.24 per share, marking the 62^nd year of consecutive increases.

Dip in sales abroad

Regional results showed that worldwide sales increased marginally, by 2.3%, while international sales decreased by 3.4%. In the US, however, sales rose by a more robust 7.8%.

The Johnson & Johnson stock price

The shares of the company were trading well before markets opened on Tuesday, up $147.59 (approximately 0.04%) before Johnson & Johsnon posted their earnings.