How does Johnson & Johnson (JNJ) make money?

Johnson & Johnson (JNJ) primarily makes money through Innovative Medicine, which accounts for 64.4% of total revenue. For TTM through Q1 2026, Johnson & Johnson generated $96.68B in total revenue with a net profit margin of 21.4%.

What is Johnson & Johnson (JNJ) gross profit margin?

Johnson & Johnson (JNJ) reported a gross profit margin of 70% for TTM through Q1 2026, equivalent to $67.69B in gross profit. This means Johnson & Johnson retains 70% of each revenue unit after direct costs of production.

What is Johnson & Johnson (JNJ) operating profit margin?

Johnson & Johnson (JNJ) reported an operating profit margin of 26.4% for TTM through Q1 2026, equivalent to $25.48B in operating profit. This reflects profitability after operating expenses such as R&D, sales, and administration, but before taxes and non-operating items.

What is Johnson & Johnson (JNJ) net profit margin?

Johnson & Johnson (JNJ) reported a net profit margin of 21.4% for TTM through Q1 2026, equivalent to $20.74B in net profit. This is the share of revenue that remains as profit after all expenses, taxes, and non-operating items.

How much does Johnson & Johnson (JNJ) invest in R&D?

Johnson & Johnson (JNJ) invested $14.98B in research and development in TTM through Q1 2026 (15.5% of total revenue). R&D spending reflects investment in future products, services, and technologies.

How much does Johnson & Johnson (JNJ) spend on capital expenditures?

Johnson & Johnson (JNJ) spent $5.07B on capital expenditures in TTM through Q1 2026 (5.2% of total revenue). Capital expenditures represent investments in physical assets such as property, equipment, and infrastructure.

What is Johnson & Johnson (JNJ) free cash flow?

Johnson & Johnson (JNJ) generated $17.80B in free cash flow for TTM through Q1 2026 (18.4% of total revenue). Free cash flow is the cash remaining after capital expenditures and represents the company's ability to fund growth, pay dividends, or reduce debt.

What is Johnson & Johnson (JNJ) effective tax rate?

Johnson & Johnson (JNJ) had an effective tax rate of 15.1% for TTM through Q1 2026. This is the actual percentage of pre-tax income paid as income taxes.

How Johnson & Johnson (JNJ) Makes Money: A Visual Guide

Johnson & Johnson (JNJ) generated $96.68B in revenue, earning $20.74B in net profit (21.4% margin). Its largest revenue source is Innovative Medicine (64.4% of revenue). Below is an interactive breakdown of how revenue flows through the income statement.

Johnson & Johnson (JNJ) Income Statement Flow — TTM through Q1 2026

Calculated from the four most recent reported quarters, ending March 31, 2026 (reported March 31, 2026).

Frequently asked questions

How does Johnson & Johnson (JNJ) make money?: Johnson & Johnson (JNJ) primarily makes money through Innovative Medicine, which accounts for 64.4% of total revenue. For TTM through Q1 2026, Johnson & Johnson generated $96.68B in total revenue with a net profit margin of 21.4%.
What is Johnson & Johnson (JNJ) gross profit margin?: Johnson & Johnson (JNJ) reported a gross profit margin of 70% for TTM through Q1 2026, equivalent to $67.69B in gross profit. This means Johnson & Johnson retains 70% of each revenue unit after direct costs of production.
What is Johnson & Johnson (JNJ) operating profit margin?: Johnson & Johnson (JNJ) reported an operating profit margin of 26.4% for TTM through Q1 2026, equivalent to $25.48B in operating profit. This reflects profitability after operating expenses such as R&D, sales, and administration, but before taxes and non-operating items.
What is Johnson & Johnson (JNJ) net profit margin?: Johnson & Johnson (JNJ) reported a net profit margin of 21.4% for TTM through Q1 2026, equivalent to $20.74B in net profit. This is the share of revenue that remains as profit after all expenses, taxes, and non-operating items.
How much does Johnson & Johnson (JNJ) invest in R&D?: Johnson & Johnson (JNJ) invested $14.98B in research and development in TTM through Q1 2026 (15.5% of total revenue). R&D spending reflects investment in future products, services, and technologies.
How much does Johnson & Johnson (JNJ) spend on capital expenditures?: Johnson & Johnson (JNJ) spent $5.07B on capital expenditures in TTM through Q1 2026 (5.2% of total revenue). Capital expenditures represent investments in physical assets such as property, equipment, and infrastructure.
What is Johnson & Johnson (JNJ) free cash flow?: Johnson & Johnson (JNJ) generated $17.80B in free cash flow for TTM through Q1 2026 (18.4% of total revenue). Free cash flow is the cash remaining after capital expenditures and represents the company's ability to fund growth, pay dividends, or reduce debt.
What is Johnson & Johnson (JNJ) effective tax rate?: Johnson & Johnson (JNJ) had an effective tax rate of 15.1% for TTM through Q1 2026. This is the actual percentage of pre-tax income paid as income taxes.

Data & methodology

What is a Sankey diagram?: A Sankey diagram shows how money flows through a company from revenue to net profit. The width of each flow represents its proportion.
How is the data calculated?: We use the income statement from company filings. For TTM (Trailing Twelve Months), we use a pre-aggregated twelve-month view aligned with our latest four quarterly periods. Revenue flows to cost of revenue and gross profit, then to operating expenses (R&D, S&M, G&A) and operating profit.
When was this data last updated?: Based on company filings through TTM through Q1 2026.