Johnson & Johnson targets high-end MedTech growth and orthopedics separation

Johnson & Johnson is targeting the high end of its 5% to 7% operational market-growth forecast for its MedTech division for the 2022–2027 period. Tim Schmid, Executive Vice President and Worldwide Chairman of MedTech, noted that the company is shifting toward a business-unit model to enhance specialization and decision-making speed.

Cardiovascular products are expected to become the company’s largest and fastest-growing MedTech business by the first quarter of next year, driven by the acquisitions of Abiomed and Shockwave. While the company faces competitive pressure in electrophysiology outside the United States, it continues to invest in differentiated technologies.

Additionally, Johnson & Johnson is planning to separate its orthopedics business, a move expected around mid-2027. The company is currently evaluating various separation structures, including potential sales or spin-offs, and aims to provide clarity on the specific method before the end of the year.