Johnson & Johnson (NYSE:JNJ) has made updates to its financials and 2023 guidance after the completion of the Kenvue (NYSE:KVUE) separation.
“The completion of this transaction uniquely positions Johnson & Johnson as a Pharmaceutical and MedTech company focused on delivering transformative healthcare solutions to patients,” said Joaquin Duato, chairman of the board and chief executive officer.
Johnson & Johnson will now present its Consumer Health business financial results as discontinued operations, including a gain of approximately $20 billion in the third quarter of 2023.
The company reported it generated $42.41B in sales for the first six months of its fiscal year. Adjusted earnings per share were $4.97.
JNJ also updated its guidance. It now sees adjusted operational sales up 6.7% excluding the Consumer Health business, which compares to the previous forecast of +6.5% including the Consumer Health business.
Operational sales are seen in the range of $83.6-84.4B post-Kenvue separation, which compares to the previous $99.3-100.3B.
Adjusted EPS is now seen at $10.05 vs. the prior $10.75.
“Following completion of the Kenvue exchange offer, the Company has reduced its outstanding share count by the approximately 191 million shares of common stock accepted in the exchange offer,” JNJ added.
The company secured $13.2B proceeds from the Kenvue debt offering and IPO, while maintaining a 9.5% equity stake in the new company.
JNJ also maintained its quarterly dividend of $1.19 per share.