JNJ · Earnings call · 2026Q3T · Full report

Supply Chain Tariff Impact

JOHNSON & JOHNSON · 2026-10-13 · Importance 31 · Surprise 32

Tariff recoveries in MedTech partially offset increased costs and contributed to a 150-basis-point deleveraging in consolidated cost of goods sold. MedTech adjusted margin increased from 21.0% to 22.9%, with tariff recoveries identified as a driver, partly offset by strategic commercial investments. Management did not quantify the absolute tariff recovery or provide a broader tariff forecast.