Johnson & Johnson reported third-quarter 2026 net earnings of $210 million, down 95.9% from a year earlier, in its October 13 release. Sales increased 5.9% to $25.399 billion. The company also raised its annual outlook, but that forecast should not obscure the declines in both reported and adjusted quarterly earnings.
Reported and adjusted figures
| Measure | Official figure / status |
|---|---|
| Reported net earnings | $210 million; down 95.9% year on year |
| Reported diluted EPS | $0.09, versus $2.12 |
| Adjusted net earnings; non-GAAP | $6.339 billion; down 6.8% |
| Adjusted diluted EPS; non-GAAP | $2.59, versus $2.80; down 7.5% |
| Reported sales | $25.399 billion; up 5.9% |
| 2026 reported-sales guidance midpoint | $101.2 billion |
| 2026 adjusted-EPS guidance midpoint | $11.10 |
Why the accounting basis matters
J&J says reported EPS reflects a one-time special charge for its proposed talc-litigation resolution, the Firefly Bio acquisition and the Sail Biomedicines collaboration. Its adjusted EPS still reflects impacts from those deals. It would therefore be misleading to describe the adjusted number as removing every transaction-related effect.
Non-GAAP figures exclude specified accounting items and should be read alongside, not instead of, reported results. The adjusted earnings decline is much smaller than the reported decline, but it remains a decline. Revenue is sales; net earnings are profit. The two should not be used interchangeably.
Outlook is not a completed result
The full-year sales and adjusted-EPS midpoints are management guidance, not completed annual results. Readers comparing forecasts should use the same accounting basis and the stated guidance range. Legal and acquisition-related items may affect the gap between reported and adjusted earnings. This report makes no claim about analyst expectations, a share-price reaction or the outcome of the proposed litigation resolution.
Read our separate JPMorgan reported-versus-adjusted earnings explanation.
Official sources and checks
Sources checked: 14/10/2026, 00:27:10 IST. Official announcement or filing · Issuer supporting evidence
Recorded source observation: . This is a source-check timestamp, not a market quote or a new article update.