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J&J to Spin Off Orthopedics Unit as DePuy Synthes Within 18–24 Months

The separation reflects a tighter focus on higher‑growth businesses.

Overview

  • Industry veteran Namal Nawana has been appointed to run the standalone DePuy Synthes.
  • The orthopedics segment generated about $9.2 billion in revenue last year, roughly 10% of Johnson & Johnson’s total sales.
  • The move follows the 2023 Kenvue consumer health separation and a two‑year orthopedics restructuring with market exits and product discontinuations.
  • Johnson & Johnson issued 2026 guidance for revenue growth above 5% and projected adjusted earnings up to $0.05 over Wall Street’s $11.39 per‑share estimate.
  • The company underscored its dividend durability with 63 consecutive annual raises and a $1.30 quarterly payout, yielding about 2.7% in mid‑October.