Q1 2024 Johnson & Johnson Earnings Call - Q&A

Speaker Change: [music].

Operator: Good morning, and welcome to Johnson & Johnson's first quarter 2024 earnings conference call. All participants will be in a listen only mode until the question and answer session of the conference. This call is being recorded, if anyone has any objections, you may disconnect at this time. If you experience technical difficulties during the conference, you may press star zero to reach the Operator. I'd now like to turn the conference over to Johnson & Johnson. You may begin.

If you experience technical difficulties during the conference you May press star zero to reach the operator.

Speaker Change: I'd now like to turn the conference over to Johnson <unk> Johnson you may begin.

Jessica Moore: Hello, everyone. This is Jessica Moore, Vice President of Investor Relations for Johnson & Johnson. Welcome to our company's review of the first quarter business results and our full-year financial outlook for 2024. A few logistics before we get into the details. As a reminder, you can find additional materials, including today's presentation and associated schedules, on the Investor Relations section of the Johnson & Johnson website at investor.jnj.com.

Jessica Moore: Hello, everyone. This is Jessica Moore, Vice President of Investor Relations for Johnson & Johnson. Welcome to our company's review of the first quarter business results and our full year financial outlook for 2024. A few logistics before we get into the details. As a reminder, you can find additional materials, including today's presentation and associated schedules on the Investor Relations section of the Johnson & Johnson website at investor.j&j.com. Please note that this presentation contains forward looking statements regarding, among other things, the company's future operating and financial performance, market position and business strategy. You are cautioned not to rely on these forward looking statements, which are based on the current expectations of future events, using the information available as of the date of this recording, and are subject to certain risks and uncertainties that may cause the company's actual results to differ materially from those projected.

Jessica Moore: A few logistics before we get into the details as a reminder, you can find additional materials, including today's presentation and associated schedules on the Investor Relations section of the Johnson <unk> Johnson website at Investor Dot J&J dotcom. Please note that this presentation contains forward looking statements regarding among other things the company's future operating and financial performance market position and business strategy. You are cautioned not to rely on these forward looking statements, which are based on the current expectations of future. Using the information available as of the date of this recording and are subject to certain risks and uncertainties that may cause the company's actual results to differ materially from those projected.

Jessica Moore: Please note that this presentation contains forward-looking statements regarding, among other things, the company's future operating and financial performance, market position, and business strategy. You are cautioned not to rely on these forward-looking statements, which are based on the current expectations of future events using the information available as of the date of this recording and are subject to certain risks and uncertainties that may cause the company's actual results to differ materially from those projected. A description of these risks, uncertainties, and other factors can be found in our SEC filings, including our 2023 Form 10-K, which is available at investor.jnj.com and on the SEC's website. Additionally, several of the products and compounds discussed today are being developed in collaboration with strategic partners or licensed from other companies. This slide acknowledges those relationships.

Please note that this presentation contains forward-looking statements regarding, among other things, the company's future operating and financial performance, market position, and business strategy. You are cautioned not to rely on these forward-looking statements, which are based on the current expectations of future events using the information available as of the date of this recording and are subject to certain risks and uncertainties that may cause the company's actual results to differ materially from those projected. A description of these risks, uncertainties, and other factors can be found in our SEC filings, including our 2023 Form 10-K, which is available at investor.jnj.com and on the SEC's website. Additionally, several of the products and compounds discussed today are being developed in collaboration with strategic partners or licensed from other companies. This slide acknowledges those relationships.

Jessica Moore: Please note that this presentation contains forward looking statements regarding among other things the company's future operating and financial performance market position and business strategy. You are cautioned not to rely on these forward looking statements, which are based on the current expectations of future. Using the information available as of the date of this recording and are subject to certain risks and uncertainties that may cause the company's actual results to differ materially from those projected.

Jessica Moore: Using the information available as of the date of this recording and are subject to certain risks and uncertainties that may cause the company's actual results to differ materially from those projected.

Jessica Moore: A description of these risks, uncertainties and other factors can be found in our SEC filings, including our 2023 Form 10-K, which is available at investor. j&j.com, and on the SEC's website. Additionally, several of the products and compounds discussed today are being developed in collaboration with strategic partners or licensed from other companies. This slide acknowledges those relationships. Moving to today's agenda, I will start by reviewing the first quarter sales and P&L results for the corporation, as well as highlights related to our two businesses. Joe Wolk, our CFO, will then provide additional business and financial commentary before sharing an overview of our cash position, capital allocation priorities and guidance for 2024. The remaining time will be available for your questions. Joaquin Duato, our chairman and CEO, as well as Jennifer Taubert, John Reed and Tim Schmid, our innovative medicine in Med Tech leaders will be joining us for Q&A. To ensure we provide enough time to address your questions, we anticipate the webcast will last approximately 60 minutes. Unless otherwise stated, the financial results and guidance highlighted today reflect the continuing operations of Johnson & Johnson.

Jessica Moore: Additionally, several of the products and compounds discussed today are being developed in collaboration with strategic partners or licensed from other companies. This slide acknowledges those relationships. Moving to today's agenda I will start by reviewing the first quarter sales and P&L results for the corporation as well as highlights related to our two businesses. Joe Walk our CFO will then provide additional business and financial commentary before sharing an overview of our cash position capital allocation priorities and guidance for 'twenty 'twenty four. The remaining time will be available for your questions Joaquin Duato, our chairman and CEO as well as Jennifer Taubert, John Reed and Tim Schmid, our innovative medicine in Med Tech leaders will be joining us for Q&A. To ensure we provide enough time to address your questions. We anticipate the webcast will last approximately 60 minutes. Unless otherwise stated the financial results and guidance highlighted today reflect the continuing operations of Johnson and Johnson.

Jessica Moore: Moving to today's agenda, I will start by reviewing the Q1 sales and P&L results for the corporation, as well as highlights related to our two businesses. Joe Wolk, our CFO, will then provide additional business and financial commentary before sharing an overview of our cash position, capital allocation priorities, and guidance for 2024. The remaining time will be available for your questions. Joaquin Duato, our Chairman and CEO, as well as Jennifer Taubert, John Reed, and Tim Schmid, our innovative medicine and medtech leaders, will be joining us for Q&A. To ensure we provide enough time to address your questions, we anticipate the webcast will last approximately 60 minutes. Unless otherwise stated, the financial results and guidance highlighted today reflect the continuing operations of Johnson & Johnson. Furthermore, the percentages quoted represent operational results and therefore exclude the impact of currency translation.

Moving to today's agenda, I will start by reviewing the Q1 sales and P&L results for the corporation, as well as highlights related to our two businesses. Joe Wolk, our CFO, will then provide additional business and financial commentary before sharing an overview of our cash position, capital allocation priorities, and guidance for 2024. The remaining time will be available for your questions. Joaquin Duato, our Chairman and CEO, as well as Jennifer Taubert, John Reed, and Tim Schmid, our innovative medicine and medtech leaders, will be joining us for Q&A. To ensure we provide enough time to address your questions, we anticipate the webcast will last approximately 60 minutes. Unless otherwise stated, the financial results and guidance highlighted today reflect the continuing operations of Johnson & Johnson. Furthermore, the percentages quoted represent operational results and therefore exclude the impact of currency translation.

Jessica Moore: Moving to today's agenda I will start by reviewing the first quarter sales and P&L results for the corporation as well as highlights related to our two businesses. Joe Walk our CFO will then provide additional business and financial commentary before sharing an overview of our cash position capital allocation priorities and guidance for 'twenty 'twenty four. The remaining time will be available for your questions Joaquin Duato, our chairman and CEO as well as Jennifer Taubert, John Reed and Tim Schmid, our innovative medicine in Med Tech leaders will be joining us for Q&A. To ensure we provide enough time to address your questions. We anticipate the webcast will last approximately 60 minutes. Unless otherwise stated the financial results and guidance highlighted today reflect the continuing operations of Johnson and Johnson.

Jessica Moore: Joe Walk our CFO will then provide additional business and financial commentary before sharing an overview of our cash position capital allocation priorities and guidance for 'twenty 'twenty four. The remaining time will be available for your questions Joaquin Duato, our chairman and CEO as well as Jennifer Taubert, John Reed and Tim Schmid, our innovative medicine in Med Tech leaders will be joining us for Q&A. To ensure we provide enough time to address your questions. We anticipate the webcast will last approximately 60 minutes. Unless otherwise stated the financial results and guidance highlighted today reflect the continuing operations of Johnson and Johnson.

Joseph J. Wolk: The remaining time will be available for your questions Joaquin Duato, our chairman and CEO as well as Jennifer Taubert, John Reed and Tim Schmid, our innovative medicine in Med Tech leaders will be joining us for Q&A. To ensure we provide enough time to address your questions. We anticipate the webcast will last approximately 60 minutes. Unless otherwise stated the financial results and guidance highlighted today reflect the continuing operations of Johnson and Johnson.

Joseph J. Wolk: To ensure we provide enough time to address your questions. We anticipate the webcast will last approximately 60 minutes. Unless otherwise stated the financial results and guidance highlighted today reflect the continuing operations of Johnson and Johnson.

Joseph J. Wolk: Unless otherwise stated the financial results and guidance highlighted today reflect the continuing operations of Johnson and Johnson.

Jessica Moore: Furthermore, the percentages quoted represent operational results and therefore, exclude the impact of currency translation. Turning to our first quarter sales results, worldwide sales were $21.4 billion for the first quarter of 2024. Sales increased 3.9% with growth of 7.8% in the U.S. and a decline of 0.3% outside of the U.S. Excluding the impact of the COVID-19 vaccine, operational sales growth was 7.6% worldwide and 7.4% outside of the U.S. Sales growth in Europe, excluding the COVID-19 vaccine, was 6%. Turning now to earnings. For the quarter net earnings were $5.4 billion and diluted earnings per share was $2.20 versus a basic loss per share of $0,19 a year ago. Excluding after tax intangible asset amortization expense and special items for both periods, adjusted net earnings for the quarter were $6.6 billion and adjusted diluted earnings per share was $2.71, representing increases of 3.8% and 12.4% respectively, compared to the first quarter of 2023. On an operational basis, adjusted diluted earnings per share increased 12,8%.

Jessica Moore: Turning to our first quarter sales results, worldwide sales were $21.4 billion for the first quarter of 2024. Sales increased 3.9%, with growth of 7.8% in the US and a decline of 0.3% outside of the US. Excluding the impact of the COVID-19 vaccine, operational sales growth was 7.6% worldwide and 7.4% outside of the US. Sales growth in Europe, excluding the COVID-19 vaccine, was 6%. Turning now to earnings. For the quarter, net earnings were $5.4 billion, and diluted earnings per share was $2.20 versus a basic loss per share of $0.19 a year ago. Excluding after-tax intangible asset amortization expense and special items for both periods, adjusted net earnings for the quarter were $6.6 billion, and adjusted diluted earnings per share was $2.71, representing increases of 3.8% and 12.4%, respectively, compared to the first quarter of 2023. On an operational basis, adjusted diluted earnings per share increased 12.8%.

Turning to our first quarter sales results, worldwide sales were $21.4 billion for the first quarter of 2024. Sales increased 3.9%, with growth of 7.8% in the US and a decline of 0.3% outside of the US. Excluding the impact of the COVID-19 vaccine, operational sales growth was 7.6% worldwide and 7.4% outside of the US. Sales growth in Europe, excluding the COVID-19 vaccine, was 6%. Turning now to earnings. For the quarter, net earnings were $5.4 billion, and diluted earnings per share was $2.20 versus a basic loss per share of $0.19 a year ago. Excluding after-tax intangible asset amortization expense and special items for both periods, adjusted net earnings for the quarter were $6.6 billion, and adjusted diluted earnings per share was $2.71, representing increases of 3.8% and 12.4%, respectively, compared to the first quarter of 2023. On an operational basis, adjusted diluted earnings per share increased 12.8%.

Turning to our first quarter sales results worldwide sales were $21.4 billion for the first quarter of 'twenty 'twenty four sale. Sales increased three 9% with growth of seven 8% in the U S and a decline of <unk>, 3% outside of the U S. Excluding the impact of the COVID-19 vaccine operational sales growth was 7.6% worldwide and 7.4% outside of the U S. Sales growth in Europe, excluding the COVID-19 vaccine was 6%. Turning now to earnings. For the quarter net earnings were $5 $4 billion and diluted earnings per share was $2.20 versus a basic loss per share of <unk> 19 cents a year ago excluding. Excluding after tax intangible asset amortization expense and special items for both periods adjusted net earnings for the quarter were $6 $6 billion and adjusted diluted earnings per share was $2.71 representing increases of three 8% and 12.4. Percent, respectively compared to the first quarter of 2023 on an operational basis adjusted diluted earnings per share increased 12, 8%.

Joseph J. Wolk: Sales increased three 9% with growth of seven 8% in the U S and a decline of <unk>, 3% outside of the U S. Excluding the impact of the COVID-19 vaccine operational sales growth was 7.6% worldwide and 7.4% outside of the U S. Sales growth in Europe, excluding the COVID-19 vaccine was 6%. Turning now to earnings. For the quarter net earnings were $5 $4 billion and diluted earnings per share was $2.20 versus a basic loss per share of <unk> 19 cents a year ago excluding. Excluding after tax intangible asset amortization expense and special items for both periods adjusted net earnings for the quarter were $6 $6 billion and adjusted diluted earnings per share was $2.71 representing increases of three 8% and 12.4. Percent, respectively compared to the first quarter of 2023 on an operational basis adjusted diluted earnings per share increased 12, 8%.

Joseph J. Wolk: Excluding the impact of the COVID-19 vaccine operational sales growth was 7.6% worldwide and 7.4% outside of the U S. Sales growth in Europe, excluding the COVID-19 vaccine was 6%. Turning now to earnings. For the quarter net earnings were $5 $4 billion and diluted earnings per share was $2.20 versus a basic loss per share of <unk> 19 cents a year ago excluding. Excluding after tax intangible asset amortization expense and special items for both periods adjusted net earnings for the quarter were $6 $6 billion and adjusted diluted earnings per share was $2.71 representing increases of three 8% and 12.4. Percent, respectively compared to the first quarter of 2023 on an operational basis adjusted diluted earnings per share increased 12, 8%.

Joseph J. Wolk: Sales growth in Europe, excluding the COVID-19 vaccine was 6%. Turning now to earnings. For the quarter net earnings were $5 $4 billion and diluted earnings per share was $2.20 versus a basic loss per share of <unk> 19 cents a year ago excluding. Excluding after tax intangible asset amortization expense and special items for both periods adjusted net earnings for the quarter were $6 $6 billion and adjusted diluted earnings per share was $2.71 representing increases of three 8% and 12.4. Percent, respectively compared to the first quarter of 2023 on an operational basis adjusted diluted earnings per share increased 12, 8%.

Speaker Change: Turning now to earnings. For the quarter net earnings were $5 $4 billion and diluted earnings per share was $2.20 versus a basic loss per share of <unk> 19 cents a year ago excluding. Excluding after tax intangible asset amortization expense and special items for both periods adjusted net earnings for the quarter were $6 $6 billion and adjusted diluted earnings per share was $2.71 representing increases of three 8% and 12.4. Percent, respectively compared to the first quarter of 2023 on an operational basis adjusted diluted earnings per share increased 12, 8%.

Speaker Change: For the quarter net earnings were $5 $4 billion and diluted earnings per share was $2.20 versus a basic loss per share of <unk> 19 cents a year ago excluding. Excluding after tax intangible asset amortization expense and special items for both periods adjusted net earnings for the quarter were $6 $6 billion and adjusted diluted earnings per share was $2.71 representing increases of three 8% and 12.4. Percent, respectively compared to the first quarter of 2023 on an operational basis adjusted diluted earnings per share increased 12, 8%.

Speaker Change: Excluding after tax intangible asset amortization expense and special items for both periods adjusted net earnings for the quarter were $6 $6 billion and adjusted diluted earnings per share was $2.71 representing increases of three 8% and 12.4. Percent, respectively compared to the first quarter of 2023 on an operational basis adjusted diluted earnings per share increased 12, 8%.

Speaker Change: Percent, respectively compared to the first quarter of 2023 on an operational basis adjusted diluted earnings per share increased 12, 8%.

Jessica Moore: I will now comment on business sales performance in the quarter, beginning with innovative medicine. Worldwide innovative medicine sales of $13.6 billion increased 2.5%, with growth of 8.4% in the US and a decline of 4% outside of the US. Excluding the impact of the COVID-19 vaccine, operational sales growth was 8.3%, both worldwide and outside of the US. Innovative medicine growth was driven by our key brands and continued uptake from recently launched products, with nine assets delivering double-digit growth. We continue to drive strong sales growth across our multiple myeloma portfolio. Darzalex growth was 21%, primarily driven by share gains of 6 points across all lines of therapy and 10 points in the front-line setting. As of this quarter, we are now disclosing Tecvayli sales, which were previously reported in other oncology.

I will now comment on business sales performance in the quarter, beginning with innovative medicine. Worldwide innovative medicine sales of $13.6 billion increased 2.5%, with growth of 8.4% in the US and a decline of 4% outside of the US. Excluding the impact of the COVID-19 vaccine, operational sales growth was 8.3%, both worldwide and outside of the US. Innovative medicine growth was driven by our key brands and continued uptake from recently launched products, with nine assets delivering double-digit growth. We continue to drive strong sales growth across our multiple myeloma portfolio. Darzalex growth was 21%, primarily driven by share gains of 6 points across all lines of therapy and 10 points in the front-line setting. As of this quarter, we are now disclosing Tecvayli sales, which were previously reported in other oncology.

Jessica Moore: I will now comment on business sales performance in the quarter. Beginning with innovative medicine, worldwide innovative medicines sales of $13.6 billion increased 2.5% with growth of 8.4% in the U.S. and a decline of 4% outside of the U.S. Excluding the impact of the COVID-19 vaccine, operational sales growth was 8.3%, both worldwide and outside of the U.S. Innovative medicine growth was driven by our key brands and continued uptake from recently launched products, with nine assets delivering double digit growth. We continue to drive strong sales growth across our multiple myeloma portfolio. DARZALEX growth was 21%, primarily driven by share gains of 6 points across all lines of therapy and 10 points in the frontline setting. As of this quarter, we are now disclosing tech daily sales, which were previously reported in other oncology. Sales achieved $133 million in the quarter, compared to $63 million in the first quarter of last year, reflecting a strong launch in the relapse refractory setting. CARVYKTI achieved sales of $157 million compared to $72 million in the first quarter of last year, driven by continued capacity expansion, manufacturing efficiencies and strong demand. While sequential growth was roughly flat due to phasing, we continue to anticipate quarter-over-quarter growth with acceleration in the back half of the year.

Speaker Change: Beginning with innovative medicine. Worldwide innovative medicines sales of $13 $6 billion increased 2.5% with growth of eight 4% in the U S and a decline of 4% outside of the U S. Excluding the impact of the COVID-19 vaccine operational sales growth was eight 3% both worldwide and outside of the U S. Innovative medicine growth was driven by our key brands and continued uptake from recently launched products with nine assets delivering double digit growth. We continue to drive strong sales growth across our multiple myeloma portfolio. <unk> growth was 21%, primarily driven by share gains of six points across all lines of therapy and 10 points in the frontline setting as of this quarter. We are now disclosing tech daily sales, which were previously reported in other oncology. Sales achieved $133 million in the quarter compared to $63 million in the first quarter of last year, reflecting a strong launch in the relapse refractory setting. Victory achieved sales of $157 million compared to $72 million in the first quarter of last year, driven by continued capacity expansion manufacturing efficiencies and strong demand. While sequential growth was roughly flat due to phasing, we continue to anticipate quarter over quarter growth with acceleration in the back half of the year.

Speaker Change: Worldwide innovative medicines sales of $13 $6 billion increased 2.5% with growth of eight 4% in the U S and a decline of 4% outside of the U S. Excluding the impact of the COVID-19 vaccine operational sales growth was eight 3% both worldwide and outside of the U S. Innovative medicine growth was driven by our key brands and continued uptake from recently launched products with nine assets delivering double digit growth. We continue to drive strong sales growth across our multiple myeloma portfolio. <unk> growth was 21%, primarily driven by share gains of six points across all lines of therapy and 10 points in the frontline setting as of this quarter. We are now disclosing tech daily sales, which were previously reported in other oncology. Sales achieved $133 million in the quarter compared to $63 million in the first quarter of last year, reflecting a strong launch in the relapse refractory setting. Victory achieved sales of $157 million compared to $72 million in the first quarter of last year, driven by continued capacity expansion manufacturing efficiencies and strong demand. While sequential growth was roughly flat due to phasing, we continue to anticipate quarter over quarter growth with acceleration in the back half of the year.

Speaker Change: Excluding the impact of the COVID-19 vaccine operational sales growth was eight 3% both worldwide and outside of the U S. Innovative medicine growth was driven by our key brands and continued uptake from recently launched products with nine assets delivering double digit growth. We continue to drive strong sales growth across our multiple myeloma portfolio. <unk> growth was 21%, primarily driven by share gains of six points across all lines of therapy and 10 points in the frontline setting as of this quarter. We are now disclosing tech daily sales, which were previously reported in other oncology. Sales achieved $133 million in the quarter compared to $63 million in the first quarter of last year, reflecting a strong launch in the relapse refractory setting. Victory achieved sales of $157 million compared to $72 million in the first quarter of last year, driven by continued capacity expansion manufacturing efficiencies and strong demand. While sequential growth was roughly flat due to phasing, we continue to anticipate quarter over quarter growth with acceleration in the back half of the year.

Speaker Change: Innovative medicine growth was driven by our key brands and continued uptake from recently launched products with nine assets delivering double digit growth. We continue to drive strong sales growth across our multiple myeloma portfolio. <unk> growth was 21%, primarily driven by share gains of six points across all lines of therapy and 10 points in the frontline setting as of this quarter. We are now disclosing tech daily sales, which were previously reported in other oncology. Sales achieved $133 million in the quarter compared to $63 million in the first quarter of last year, reflecting a strong launch in the relapse refractory setting. Victory achieved sales of $157 million compared to $72 million in the first quarter of last year, driven by continued capacity expansion manufacturing efficiencies and strong demand. While sequential growth was roughly flat due to phasing, we continue to anticipate quarter over quarter growth with acceleration in the back half of the year.

Speaker Change: We continue to drive strong sales growth across our multiple myeloma portfolio. <unk> growth was 21%, primarily driven by share gains of six points across all lines of therapy and 10 points in the frontline setting as of this quarter. We are now disclosing tech daily sales, which were previously reported in other oncology. Sales achieved $133 million in the quarter compared to $63 million in the first quarter of last year, reflecting a strong launch in the relapse refractory setting. Victory achieved sales of $157 million compared to $72 million in the first quarter of last year, driven by continued capacity expansion manufacturing efficiencies and strong demand. While sequential growth was roughly flat due to phasing, we continue to anticipate quarter over quarter growth with acceleration in the back half of the year.

Speaker Change: <unk> growth was 21%, primarily driven by share gains of six points across all lines of therapy and 10 points in the frontline setting as of this quarter. We are now disclosing tech daily sales, which were previously reported in other oncology. Sales achieved $133 million in the quarter compared to $63 million in the first quarter of last year, reflecting a strong launch in the relapse refractory setting. Victory achieved sales of $157 million compared to $72 million in the first quarter of last year, driven by continued capacity expansion manufacturing efficiencies and strong demand. While sequential growth was roughly flat due to phasing, we continue to anticipate quarter over quarter growth with acceleration in the back half of the year.

Jessica Moore: Sales achieved $133 million in the quarter, compared to $63 million in the first quarter of last year, reflecting a strong launch in the relapsed refractory setting. Carvykti achieved sales of $157 million, compared to $72 million in the first quarter of last year, driven by continued capacity expansion, manufacturing efficiencies, and strong demand. While sequential growth was roughly flat due to phasing, we continue to anticipate quarter-over-quarter growth with acceleration in the back half of the year. Other oncology growth was driven by continued strong uptake of Talvey, our GPRC5D bispecific, and Rybrevant, our bispecific antibody for non-small cell lung cancer. Also, in oncology, Erleada continues to deliver strong growth of 28.4%, primarily driven by share gains. Growth of 22.4% in pulmonary hypertension was driven by favorable patient mix, share gains, and market growth for both Opsumit and Uptravi.

Sales achieved $133 million in the quarter, compared to $63 million in the first quarter of last year, reflecting a strong launch in the relapsed refractory setting. Carvykti achieved sales of $157 million, compared to $72 million in the first quarter of last year, driven by continued capacity expansion, manufacturing efficiencies, and strong demand. While sequential growth was roughly flat due to phasing, we continue to anticipate quarter-over-quarter growth with acceleration in the back half of the year. Other oncology growth was driven by continued strong uptake of Talvey, our GPRC5D bispecific, and Rybrevant, our bispecific antibody for non-small cell lung cancer. Also, in oncology, Erleada continues to deliver strong growth of 28.4%, primarily driven by share gains. Growth of 22.4% in pulmonary hypertension was driven by favorable patient mix, share gains, and market growth for both Opsumit and Uptravi.

Speaker Change: Sales achieved $133 million in the quarter compared to $63 million in the first quarter of last year, reflecting a strong launch in the relapse refractory setting. Victory achieved sales of $157 million compared to $72 million in the first quarter of last year, driven by continued capacity expansion manufacturing efficiencies and strong demand. While sequential growth was roughly flat due to phasing, we continue to anticipate quarter over quarter growth with acceleration in the back half of the year.

Speaker Change: Victory achieved sales of $157 million compared to $72 million in the first quarter of last year, driven by continued capacity expansion manufacturing efficiencies and strong demand. While sequential growth was roughly flat due to phasing, we continue to anticipate quarter over quarter growth with acceleration in the back half of the year.

Speaker Change: While sequential growth was roughly flat due to phasing, we continue to anticipate quarter over quarter growth with acceleration in the back half of the year.

Jessica Moore: Other oncology growth was driven by continued strong uptake of TALVEY, our GPRC5D bispecific, and RYBERVANT, our bispecific antibody for non small cell lung cancer. Also in oncology, ERLEADA continues to deliver strong growth of 28.4%, primarily driven by share gains. Growth of 22.4% IN pulmonary hypertension was driven by favorable patient mix, share gains and market growth, for both OPSUMIT and UPTRAVI. As a reminder, favorable patient mix was a driver in Q2 2023 through Q1 2024, therefore, while we still anticipate growth, we expect to lap this dynamic beginning in Q2 2024. Within immunology, we saw sales growth in TREMFYA of 27.6%, driven by market growth and share gains. STELARA growth of 1.1% was driven by market growth and share gains in the IBD, partially offset by unfavorable patient mix in the U.S. And as expected, share loss in PSO and PSA. We anticipate continued volume growth largely offset by price declines as we move towards Biosimilar entry. In neuroscience, provided growth of 72% continues to be driven by share gains and additional market launches.

Also in oncology or leader continues to deliver strong growth of 28, 4%, primarily driven by share gains. Growth of 22, 4% and pulmonary hypertension was driven by favorable patient mix share gains and market growth for both off summit and up Trabbi. As a reminder, favorable patient mix was a driver in Q2 'twenty twenty-three through Q1, 'twenty 'twenty four therefore, while we still. We anticipate growth we expect to lap this dynamic beginning in Q2 'twenty 'twenty four. Within immunology, we saw sales growth of interim fire of 27.6% driven by market growth and share gains. Still are a growth of 1.1% was driven by market growth and share gains in the IBD, partially offset by unfavorable patient mix in the U S and as expected share loss in P. S. O N P. S. A. We anticipate continued volume growth largely offset by price declines as we move towards Biosimilar entry. And neuroscience provided growth of 72% continues to be driven by share gains and additional market launches.

Speaker Change: Growth of 22, 4% and pulmonary hypertension was driven by favorable patient mix share gains and market growth for both off summit and up Trabbi. As a reminder, favorable patient mix was a driver in Q2 'twenty twenty-three through Q1, 'twenty 'twenty four therefore, while we still. We anticipate growth we expect to lap this dynamic beginning in Q2 'twenty 'twenty four. Within immunology, we saw sales growth of interim fire of 27.6% driven by market growth and share gains. Still are a growth of 1.1% was driven by market growth and share gains in the IBD, partially offset by unfavorable patient mix in the U S and as expected share loss in P. S. O N P. S. A. We anticipate continued volume growth largely offset by price declines as we move towards Biosimilar entry. And neuroscience provided growth of 72% continues to be driven by share gains and additional market launches.

Jessica Moore: As a reminder, favorable patient mix was a driver in Q2 2023 through Q1 2024. Therefore, while we still anticipate growth, we expect to lap this dynamic beginning in Q2 2024. Within immunology, we saw sales growth in Tremfya of 27.6%, driven by market growth and share gains. Stelara growth of 1.1% was driven by market growth and share gains in IBD, partially offset by unfavorable patient mix in the US, and, as expected, share loss in PSO and PSA. We anticipate continued volume growth, largely offset by price declines as we move towards biosimilar entry. In neuroscience, Spravato growth of 72% continues to be driven by share gains and additional market launches.

As a reminder, favorable patient mix was a driver in Q2 2023 through Q1 2024. Therefore, while we still anticipate growth, we expect to lap this dynamic beginning in Q2 2024. Within immunology, we saw sales growth in Tremfya of 27.6%, driven by market growth and share gains. Stelara growth of 1.1% was driven by market growth and share gains in IBD, partially offset by unfavorable patient mix in the US, and, as expected, share loss in PSO and PSA. We anticipate continued volume growth, largely offset by price declines as we move towards biosimilar entry. In neuroscience, Spravato growth of 72% continues to be driven by share gains and additional market launches.

Speaker Change: We anticipate growth we expect to lap this dynamic beginning in Q2 'twenty 'twenty four. Within immunology, we saw sales growth of interim fire of 27.6% driven by market growth and share gains. Still are a growth of 1.1% was driven by market growth and share gains in the IBD, partially offset by unfavorable patient mix in the U S and as expected share loss in P. S. O N P. S. A. We anticipate continued volume growth largely offset by price declines as we move towards Biosimilar entry. And neuroscience provided growth of 72% continues to be driven by share gains and additional market launches.

Speaker Change: Within immunology, we saw sales growth of interim fire of 27.6% driven by market growth and share gains. Still are a growth of 1.1% was driven by market growth and share gains in the IBD, partially offset by unfavorable patient mix in the U S and as expected share loss in P. S. O N P. S. A. We anticipate continued volume growth largely offset by price declines as we move towards Biosimilar entry. And neuroscience provided growth of 72% continues to be driven by share gains and additional market launches.

Still are a growth of 1.1% was driven by market growth and share gains in the IBD, partially offset by unfavorable patient mix in the U S and as expected share loss in P. S. O N P. S. A. We anticipate continued volume growth largely offset by price declines as we move towards Biosimilar entry. And neuroscience provided growth of 72% continues to be driven by share gains and additional market launches.

Speaker Change: We anticipate continued volume growth largely offset by price declines as we move towards Biosimilar entry. And neuroscience provided growth of 72% continues to be driven by share gains and additional market launches.

Speaker Change: And neuroscience provided growth of 72% continues to be driven by share gains and additional market launches.

Jessica Moore: Total innovative medicine sales growth was partially offset by unfavorable patient mix in Xarelto, which we anticipate continuing throughout the year, as well as a decrease in Imbruvica due to competitive pressures, partially offset by stocking dynamics in the US. Finally, it is worth noting distribution rights for Remicade and Simponi in Europe will be returned in Q4. I'll now turn your attention to medtech. Worldwide medtech sales of $7.8 billion increased 6.3%, with growth in the US of 6.6% and 6.1% outside of the US. In the quarter, worldwide medtech growth was negatively impacted by approximately 80 basis points due to fewer selling days, disproportionately impacting orthopedics. In cardiovascular, previously referred to as interventional solutions, electrophysiology delivered double-digit growth of 25.9%, with strong growth in all regions.

Total innovative medicine sales growth was partially offset by unfavorable patient mix in Xarelto, which we anticipate continuing throughout the year, as well as a decrease in Imbruvica due to competitive pressures, partially offset by stocking dynamics in the US. Finally, it is worth noting distribution rights for Remicade and Simponi in Europe will be returned in Q4. I'll now turn your attention to medtech. Worldwide medtech sales of $7.8 billion increased 6.3%, with growth in the US of 6.6% and 6.1% outside of the US. In the quarter, worldwide medtech growth was negatively impacted by approximately 80 basis points due to fewer selling days, disproportionately impacting orthopedics. In cardiovascular, previously referred to as interventional solutions, electrophysiology delivered double-digit growth of 25.9%, with strong growth in all regions.

Jessica Moore: Total innovative medicines sales growth was partially offset by unfavorable patient mix in XARELTO, which we anticipate continuing throughout the year, as well as a decrease in IMBRUVICA due to competitive pressures, partially offset by stocking dynamics in the U.S. Finally, it is worth noting distribution rights for REMICADE and SIMPONI in Europe will be returned in Q4. Now, I'll turn your attention to MedTech. Worldwide MedTech sales of $7.8 billion increased 6.3% with growth in the U.S. of 6.6% and 6.1% outside of the U.S. In the quarter, worldwide MedTech growth was negatively impacted by approximately 80 basis points, due to fewer selling days, disproportionately impacting orthopedics. In cardiovascular, previously referred to as interventional solutions, electrophysiology delivered double digit growth of 25.9% with strong growth in all regions. Performance was driven by global procedure growth, new product uptake, commercial execution, and a one-time inventory build in Asia Pacific, impacting worldwide growth by approximately 370 basis points.

Speaker Change: Finally, it is worth noting distribution rights for Remicade and Symphony and Europe will be returned in Q4. Now I'll turn your attention to med Tech. Worldwide Med Tech sales of $7.8 billion increased six 3% with growth in the U S of six 6% and six 1% outside of the U S. In the quarter worldwide Med Tech growth was negatively impacted by approximately 80 basis points due to fewer selling days. Disproportionately impacting orthopedics. In cardiovascular previously referred to as intervention solutions electrophysiology delivered double digit growth of 25, 9% with strong growth in all regions performance was driven by global procedure growth new product uptake commercial execution and a one time inventory build. In Asia Pacific impacting worldwide growth by approximately 370 basis points.

Speaker Change: Now I'll turn your attention to med Tech. Worldwide Med Tech sales of $7.8 billion increased six 3% with growth in the U S of six 6% and six 1% outside of the U S. In the quarter worldwide Med Tech growth was negatively impacted by approximately 80 basis points due to fewer selling days. Disproportionately impacting orthopedics. In cardiovascular previously referred to as intervention solutions electrophysiology delivered double digit growth of 25, 9% with strong growth in all regions performance was driven by global procedure growth new product uptake commercial execution and a one time inventory build. In Asia Pacific impacting worldwide growth by approximately 370 basis points.

Speaker Change: Worldwide Med Tech sales of $7.8 billion increased six 3% with growth in the U S of six 6% and six 1% outside of the U S. In the quarter worldwide Med Tech growth was negatively impacted by approximately 80 basis points due to fewer selling days. Disproportionately impacting orthopedics. In cardiovascular previously referred to as intervention solutions electrophysiology delivered double digit growth of 25, 9% with strong growth in all regions performance was driven by global procedure growth new product uptake commercial execution and a one time inventory build. In Asia Pacific impacting worldwide growth by approximately 370 basis points.

Speaker Change: In the quarter worldwide Med Tech growth was negatively impacted by approximately 80 basis points due to fewer selling days. Disproportionately impacting orthopedics. In cardiovascular previously referred to as intervention solutions electrophysiology delivered double digit growth of 25, 9% with strong growth in all regions performance was driven by global procedure growth new product uptake commercial execution and a one time inventory build. In Asia Pacific impacting worldwide growth by approximately 370 basis points.

Disproportionately impacting orthopedics. In cardiovascular previously referred to as intervention solutions electrophysiology delivered double digit growth of 25, 9% with strong growth in all regions performance was driven by global procedure growth new product uptake commercial execution and a one time inventory build. In Asia Pacific impacting worldwide growth by approximately 370 basis points.

Speaker Change: In cardiovascular previously referred to as intervention solutions electrophysiology delivered double digit growth of 25, 9% with strong growth in all regions performance was driven by global procedure growth new product uptake commercial execution and a one time inventory build. In Asia Pacific impacting worldwide growth by approximately 370 basis points.

Jessica Moore: Performance was driven by global procedure growth, new product uptake, commercial execution, and a one-time inventory build in Asia-Pacific, impacting worldwide growth by approximately 370 basis points. In addition, Abiomed delivered growth of 15%, driven by continued strong adoption of Impella 5.5 and Impella RP technology. Orthopedics growth of 4.8% includes a one-time revenue recognition timing change related to certain products across all platforms in the US, positively impacting worldwide growth by approximately 300 basis points. As a reminder, orthopedics was over-indexed by the impact of reduced selling days in the quarter. Strong performance in hips and knees was driven by procedure recovery, growth of new products, and commercial execution, while trauma and spine were negatively impacted by competitive pressures, and core trauma was further impacted by weather-related softness in the US.

Performance was driven by global procedure growth, new product uptake, commercial execution, and a one-time inventory build in Asia-Pacific, impacting worldwide growth by approximately 370 basis points. In addition, Abiomed delivered growth of 15%, driven by continued strong adoption of Impella 5.5 and Impella RP technology. Orthopedics growth of 4.8% includes a one-time revenue recognition timing change related to certain products across all platforms in the US, positively impacting worldwide growth by approximately 300 basis points. As a reminder, orthopedics was over-indexed by the impact of reduced selling days in the quarter. Strong performance in hips and knees was driven by procedure recovery, growth of new products, and commercial execution, while trauma and spine were negatively impacted by competitive pressures, and core trauma was further impacted by weather-related softness in the US.

Speaker Change: In Asia Pacific impacting worldwide growth by approximately 370 basis points.

Jessica Moore: In addition, Abiomed delivered growth of 15% driven by continued strong adoption of IMPELLA 5.5 and IMPELLA RP technology. Orthopedics growth of 4.8% includes a one-time revenue recognition timing change, related to certain products across all platforms in the U.S. positively impacting worldwide growth by approximately 300 basis points. As a reminder, orthopedics were over indexed by the impact of reduced selling days in the quarter. [inaudible] performance in hips and knees was driven by procedure recovery, growth of new products, and commercial execution, while trauma and spine were negatively impacted by competitive pressures, and core trauma was further impacted by weather related softness in the U.S. Growth of 1.9% in surgery was driven primarily by procedure recovery and strength of our bio surgery and wound closure portfolios, partially offset by competitive pressures in China volume based procurement and energy and endo cutters. Contact lenses declined 2.3%, driven by U.S. stocking dynamics, partially offset by strong performance and active  ACUVUE  OASYS  1-Day  family  of products. Worldwide growth was negatively impacted by 120 basis points, due to the blank divestiture in Q3 2023. Surgical vision grew 1.1% driven by TECNIS EYEHANCE, our mono focal intraocular lens, partially offset by China VBP.

Orthopedics growth of 4.8% includes a onetime revenue recognition timing change related to certain products across all platforms in the U S positively impacting worldwide growth by approximately 300 basis points. As a reminder, orthopedics with over indexed by the impact of reduced selling days in the quarter. Performance in hips, and knees was driven by procedure recovery growth of new products and commercial execution, while trauma and spine were negatively impacted by competitive pressures and core trauma was further impacted by weather related softness in the U S. Growth of one 9% in surgery was driven primarily by procedure recovery and strength of our bio surgery and wound closure portfolios, partially offset by competitive pressures in China volume based procurement and energy and Endo cutters. Contact lenses declined 2.3% driven by U S stocking dynamics, partially offset by strong performance in the active U Oasis one day family of products. Worldwide growth was negatively impacted by 120 basis points due to the blank divestiture in Q3 2023. Surgical vision grew 1.1% driven by Texas, I Hance, our mono focal intraocular lens, partially offset by China V P.

Speaker Change: As a reminder, orthopedics with over indexed by the impact of reduced selling days in the quarter. Performance in hips, and knees was driven by procedure recovery growth of new products and commercial execution, while trauma and spine were negatively impacted by competitive pressures and core trauma was further impacted by weather related softness in the U S. Growth of one 9% in surgery was driven primarily by procedure recovery and strength of our bio surgery and wound closure portfolios, partially offset by competitive pressures in China volume based procurement and energy and Endo cutters. Contact lenses declined 2.3% driven by U S stocking dynamics, partially offset by strong performance in the active U Oasis one day family of products. Worldwide growth was negatively impacted by 120 basis points due to the blank divestiture in Q3 2023. Surgical vision grew 1.1% driven by Texas, I Hance, our mono focal intraocular lens, partially offset by China V P.

Speaker Change: Performance in hips, and knees was driven by procedure recovery growth of new products and commercial execution, while trauma and spine were negatively impacted by competitive pressures and core trauma was further impacted by weather related softness in the U S. Growth of one 9% in surgery was driven primarily by procedure recovery and strength of our bio surgery and wound closure portfolios, partially offset by competitive pressures in China volume based procurement and energy and Endo cutters. Contact lenses declined 2.3% driven by U S stocking dynamics, partially offset by strong performance in the active U Oasis one day family of products. Worldwide growth was negatively impacted by 120 basis points due to the blank divestiture in Q3 2023. Surgical vision grew 1.1% driven by Texas, I Hance, our mono focal intraocular lens, partially offset by China V P.

Jessica Moore: Growth of 1.9% in surgery was driven primarily by procedure recovery, and strength of our biosurgery and wound closure portfolios, partially offset by competitive pressures in China volume-based procurement in energy and endocutters. Contact lenses declined 2.3%, driven by US stocking dynamics, partially offset by strong performance in Acuvue Oasys one-day family of products. Worldwide growth was negatively impacted by 120 basis points due to the blink divestiture in Q3 2023. Surgical vision grew 1.1%, driven by TECNIS Eyhance, our monofocal intraocular lens, partially offset by China VBP. Now turning to our consolidated statement of earnings for the first quarter of 2024, I'd like to highlight a few noteworthy items that have changed compared to the same quarter of last year. Cost of products sold margin leveraged by 160 basis points, primarily driven by lower COVID-19 supply network-related exit costs.

Growth of 1.9% in surgery was driven primarily by procedure recovery, and strength of our biosurgery and wound closure portfolios, partially offset by competitive pressures in China volume-based procurement in energy and endocutters. Contact lenses declined 2.3%, driven by US stocking dynamics, partially offset by strong performance in Acuvue Oasys one-day family of products. Worldwide growth was negatively impacted by 120 basis points due to the blink divestiture in Q3 2023. Surgical vision grew 1.1%, driven by TECNIS Eyhance, our monofocal intraocular lens, partially offset by China VBP. Now turning to our consolidated statement of earnings for the first quarter of 2024, I'd like to highlight a few noteworthy items that have changed compared to the same quarter of last year. Cost of products sold margin leveraged by 160 basis points, primarily driven by lower COVID-19 supply network-related exit costs.

Speaker Change: Growth of one 9% in surgery was driven primarily by procedure recovery and strength of our bio surgery and wound closure portfolios, partially offset by competitive pressures in China volume based procurement and energy and Endo cutters. Contact lenses declined 2.3% driven by U S stocking dynamics, partially offset by strong performance in the active U Oasis one day family of products. Worldwide growth was negatively impacted by 120 basis points due to the blank divestiture in Q3 2023. Surgical vision grew 1.1% driven by Texas, I Hance, our mono focal intraocular lens, partially offset by China V P.

Speaker Change: Contact lenses declined 2.3% driven by U S stocking dynamics, partially offset by strong performance in the active U Oasis one day family of products. Worldwide growth was negatively impacted by 120 basis points due to the blank divestiture in Q3 2023. Surgical vision grew 1.1% driven by Texas, I Hance, our mono focal intraocular lens, partially offset by China V P.

Speaker Change: Worldwide growth was negatively impacted by 120 basis points due to the blank divestiture in Q3 2023. Surgical vision grew 1.1% driven by Texas, I Hance, our mono focal intraocular lens, partially offset by China V P.

Surgical vision grew 1.1% driven by Texas, I Hance, our mono focal intraocular lens, partially offset by China V P.

Jessica Moore: Now, turning to our consolidated statement of earnings for the first quarter of 2024. I'd like to highlight a few noteworthy items that have changed compared to the same quarter of last year. Cost of products sold margin leveraged by 160 basis points, primarily driven by lower COVID-19 supply network related exit cost. Selling marketing and administrative margins deleveraged 110 basis points, driven primarily by timing of marketing investment in the innovative medicine business. We continue to invest strategically in research and development at competitive levels. Investing $3.5 billion or 16.6% of sales this quarter. We invested $2.9 billion or 21.4% of sales in innovative medicine with the increase in investment being driven by continued pipeline progression. In MedTech, R&D investment was $0.6 billion, or 8.3% of sales, a slight decrease driven by phasing.

Speaker Change: I'd like to highlight a few noteworthy items that have changed compared to the same quarter of last year. Cost of products sold margin leveraged by 160 basis points, primarily driven by lower COVID-19 supply network related exit cost. Selling marketing and administrative margins Deleveraged 110 basis points, driven primarily by timing of marketing investment in the innovative medicine business. We continue to invest strategically in research and development at competitive levels. Investing $3 $5 billion or 16, 6% of sales this quarter we. We invested $2.9 billion or 21, 4% of sales and innovative medicine with the increase in investment being driven by continued pipeline progression. In Med Tech R&D investment with point $6 billion or eight 3% of sales a slight decrease driven by phasing.

Speaker Change: Cost of products sold margin leveraged by 160 basis points, primarily driven by lower COVID-19 supply network related exit cost. Selling marketing and administrative margins Deleveraged 110 basis points, driven primarily by timing of marketing investment in the innovative medicine business. We continue to invest strategically in research and development at competitive levels. Investing $3 $5 billion or 16, 6% of sales this quarter we. We invested $2.9 billion or 21, 4% of sales and innovative medicine with the increase in investment being driven by continued pipeline progression. In Med Tech R&D investment with point $6 billion or eight 3% of sales a slight decrease driven by phasing.

Jessica Moore: Selling, marketing, and administrative margins de-leveraged 110 basis points, driven primarily by timing of marketing investment in the innovative medicine business. We continue to invest strategically in research and development at competitive levels, investing $3.5 billion, or 16.6% of sales this quarter. We invested $2.9 billion, or 21.4% of sales in innovative medicine, with the increase in investment being driven by continued pipeline progression. In medtech, R&D investment was $0.6 billion, or 8.3% of sales, a slight decrease driven by phasing. Interest income was $209 million in Q1 2024, as compared to $14 million of expense in Q1 2023. The increase in income was driven by a lower average debt balance and higher interest rates earned on cash balances.

Selling, marketing, and administrative margins de-leveraged 110 basis points, driven primarily by timing of marketing investment in the innovative medicine business. We continue to invest strategically in research and development at competitive levels, investing $3.5 billion, or 16.6% of sales this quarter. We invested $2.9 billion, or 21.4% of sales in innovative medicine, with the increase in investment being driven by continued pipeline progression. In medtech, R&D investment was $0.6 billion, or 8.3% of sales, a slight decrease driven by phasing. Interest income was $209 million in Q1 2024, as compared to $14 million of expense in Q1 2023. The increase in income was driven by a lower average debt balance and higher interest rates earned on cash balances.

Speaker Change: Selling marketing and administrative margins Deleveraged 110 basis points, driven primarily by timing of marketing investment in the innovative medicine business. We continue to invest strategically in research and development at competitive levels. Investing $3 $5 billion or 16, 6% of sales this quarter we. We invested $2.9 billion or 21, 4% of sales and innovative medicine with the increase in investment being driven by continued pipeline progression. In Med Tech R&D investment with point $6 billion or eight 3% of sales a slight decrease driven by phasing.

Speaker Change: We continue to invest strategically in research and development at competitive levels. Investing $3 $5 billion or 16, 6% of sales this quarter we. We invested $2.9 billion or 21, 4% of sales and innovative medicine with the increase in investment being driven by continued pipeline progression. In Med Tech R&D investment with point $6 billion or eight 3% of sales a slight decrease driven by phasing.

Speaker Change: Investing $3 $5 billion or 16, 6% of sales this quarter we. We invested $2.9 billion or 21, 4% of sales and innovative medicine with the increase in investment being driven by continued pipeline progression. In Med Tech R&D investment with point $6 billion or eight 3% of sales a slight decrease driven by phasing.

Speaker Change: We invested $2.9 billion or 21, 4% of sales and innovative medicine with the increase in investment being driven by continued pipeline progression. In Med Tech R&D investment with point $6 billion or eight 3% of sales a slight decrease driven by phasing.

Speaker Change: In Med Tech R&D investment with point $6 billion or eight 3% of sales a slight decrease driven by phasing.

Jessica Moore: Interest income was $209 million in the first quarter of 2024, as compared to $14 million of expense in the first quarter of 2023. The increase in income was driven by a lower average debt balance and higher interest rates earned on cash balances. Other income and expense was income of $322 million in the first quarter of 2024, compared to an expense of $6.9 billion in the first quarter of 2023. This change was primarily due to the $6.9 billion dollar charge related to the Talc settlement proposal, recorded in the first quarter of 2023. Regarding taxes in the quarter, our effective tax rate was 16.9% versus 61.8% in the same period last year, which was primarily driven by the tax benefit on the Talc settlement proposal, recorded in the first quarter of 2023. Excluding special items, the effective tax rate was 16.5% versus 15.9% in the same period last year. I encourage you to review our upcoming first quarter 10-Q filing for additional details on specific tax related matters.

Speaker Change: The increase in income was driven by a lower average debt balance and higher interest rates earned on cash balances. Other income and expense was income of $322 million in the first quarter of 'twenty 'twenty four compared to an expense of $6 $9 billion in the first quarter of 2023. This change was primarily due to the $6 9 billion dollar charge related to the talc settlement proposal. Recorded in the first quarter of 2023. Regarding taxes in the quarter, our effective tax rate was 16.9% versus 61, 8% in the same period last year, which was primarily driven by the tax benefit on the talc settlement proposal recorded in the first quarter of 2023. Excluding special items, the effective tax rate was 16, 5% versus 15.9% in the same period last year. I encourage you to review our upcoming first quarter 10-Q filing for additional details on specific tax related matters.

Jessica Moore: Other income and expense was income of $322 million in Q1 2024, compared to an expense of $6.9 billion in Q1 2023. This change was primarily due to the $6.9 billion charge related to the talc settlement proposal recorded in Q1 2023. Regarding taxes in the quarter, our effective tax rate was 16.9% versus 61.8% in the same period last year, which was primarily driven by the tax benefit on the talc settlement proposal recorded in Q1 2023. Excluding special items, the effective tax rate was 16.5% versus 15.9% in the same period last year. I encourage you to review our upcoming Q1 10-Q filing for additional details on specific tax-related matters.

Other income and expense was income of $322 million in Q1 2024, compared to an expense of $6.9 billion in Q1 2023. This change was primarily due to the $6.9 billion charge related to the talc settlement proposal recorded in Q1 2023. Regarding taxes in the quarter, our effective tax rate was 16.9% versus 61.8% in the same period last year, which was primarily driven by the tax benefit on the talc settlement proposal recorded in Q1 2023. Excluding special items, the effective tax rate was 16.5% versus 15.9% in the same period last year. I encourage you to review our upcoming Q1 10-Q filing for additional details on specific tax-related matters.

Speaker Change: Other income and expense was income of $322 million in the first quarter of 'twenty 'twenty four compared to an expense of $6 $9 billion in the first quarter of 2023. This change was primarily due to the $6 9 billion dollar charge related to the talc settlement proposal. Recorded in the first quarter of 2023. Regarding taxes in the quarter, our effective tax rate was 16.9% versus 61, 8% in the same period last year, which was primarily driven by the tax benefit on the talc settlement proposal recorded in the first quarter of 2023. Excluding special items, the effective tax rate was 16, 5% versus 15.9% in the same period last year. I encourage you to review our upcoming first quarter 10-Q filing for additional details on specific tax related matters.

Speaker Change: Recorded in the first quarter of 2023. Regarding taxes in the quarter, our effective tax rate was 16.9% versus 61, 8% in the same period last year, which was primarily driven by the tax benefit on the talc settlement proposal recorded in the first quarter of 2023. Excluding special items, the effective tax rate was 16, 5% versus 15.9% in the same period last year. I encourage you to review our upcoming first quarter 10-Q filing for additional details on specific tax related matters.

Speaker Change: Regarding taxes in the quarter, our effective tax rate was 16.9% versus 61, 8% in the same period last year, which was primarily driven by the tax benefit on the talc settlement proposal recorded in the first quarter of 2023. Excluding special items, the effective tax rate was 16, 5% versus 15.9% in the same period last year. I encourage you to review our upcoming first quarter 10-Q filing for additional details on specific tax related matters.

Speaker Change: Excluding special items, the effective tax rate was 16, 5% versus 15.9% in the same period last year. I encourage you to review our upcoming first quarter 10-Q filing for additional details on specific tax related matters.

Speaker Change: I encourage you to review our upcoming first quarter 10-Q filing for additional details on specific tax related matters.

Jessica Moore: Lastly, I'll direct your attention to the box section of the slide, where we have also provided our income before tax, net earnings, and earnings per share adjusted to exclude the impact of intangible amortization expense and special items. Now let's look at adjusted income before tax by segment. In Q1 2024, our adjusted income before tax for the enterprise, as a percentage of sales, increased from 36.1% to 36.8%, primarily driven by an increase in non-allocated interest income, with both innovative medicine and medtech margins remaining relatively flat year over year. When comparing against Q4 and full year 2023, innovative medicine and medtech adjusted income before tax margins have improved. This concludes the sales and earnings portion of the call. I am now pleased to turn it over to Joe. Thank you, Jessica. Hello, everyone.

Lastly, I'll direct your attention to the box section of the slide, where we have also provided our income before tax, net earnings, and earnings per share adjusted to exclude the impact of intangible amortization expense and special items. Now let's look at adjusted income before tax by segment. In Q1 2024, our adjusted income before tax for the enterprise, as a percentage of sales, increased from 36.1% to 36.8%, primarily driven by an increase in non-allocated interest income, with both innovative medicine and medtech margins remaining relatively flat year over year. When comparing against Q4 and full year 2023, innovative medicine and medtech adjusted income before tax margins have improved. This concludes the sales and earnings portion of the call. I am now pleased to turn it over to Joe.

Jessica Moore: Lastly, I'll direct your attention to the box section of the slide, where we have also provided our income before tax, net earnings, and earnings per share adjusted to exclude the impact of intangible amortization expense and special items. Now, let's look at adjusted income before tax by segment. In the first quarter of 2024 our adjusted income before tax for the enterprise, as a percentage of sales, increased from 36.1% to 36.8%, primarily driven by an increase in non-allocated interest income, with both innovative medicine and MedTech margins remaining relatively flat year-over-year. When comparing against the fourth quarter and full year 2023, innovative medicine in MedTech adjusted income before tax margins have improved. This concludes the sales and earnings portion of the call. I'm now pleased to turn it over to Joe.

Speaker Change: Now, let's look at adjusted income before tax by segment. In the first quarter of 'twenty 'twenty four our adjusted income before tax for the enterprise as a percentage of sales increased from 36.1% to 36, 8% primarily driven by an increase in non allocated interest income with both innovative medicine and med Tech margins. It's remaining relatively flat year over year. When comparing against the fourth quarter and full year 2023 innovative medicine in Med Tech adjusted income before tax margins have improved. This concludes the sales and earnings portion of the call I'm now pleased to turn it over to Joe.

Speaker Change: In the first quarter of 'twenty 'twenty four our adjusted income before tax for the enterprise as a percentage of sales increased from 36.1% to 36, 8% primarily driven by an increase in non allocated interest income with both innovative medicine and med Tech margins. It's remaining relatively flat year over year. When comparing against the fourth quarter and full year 2023 innovative medicine in Med Tech adjusted income before tax margins have improved. This concludes the sales and earnings portion of the call I'm now pleased to turn it over to Joe.

Speaker Change: It's remaining relatively flat year over year. When comparing against the fourth quarter and full year 2023 innovative medicine in Med Tech adjusted income before tax margins have improved. This concludes the sales and earnings portion of the call I'm now pleased to turn it over to Joe.

Speaker Change: When comparing against the fourth quarter and full year 2023 innovative medicine in Med Tech adjusted income before tax margins have improved. This concludes the sales and earnings portion of the call I'm now pleased to turn it over to Joe.

Speaker Change: This concludes the sales and earnings portion of the call I'm now pleased to turn it over to Joe.

Joe Wolk: Thank you, Jessica. Hello, everyone.

Joseph J. Wolk: Thank you, Jessica. Hello, everyone. As you just heard, we are off to a solid financial start in 2024 complemented by sustained momentum within our innovative medicine in MedTech pipelines, marked by significant regulatory and clinical milestones. Before we delve into segment highlights from the quarter, I want to touch upon some important announcements that we made that will further enhance our competitive positioning. Earlier this month, we announced a definitive agreement to acquire Shockwave Medical. Johnson and Johnson has a long history of addressing cardiovascular disease through both our innovative medicine and MedTech businesses. The acquisition of Shockwave with its leading Intravascular lithotripsy, or IVL technology, will provide us with a unique opportunity to impact coronary artery and peripheral artery disease, two of the highest growth innovation oriented segments within cardiovascular intervention.

Jessica Moore: As you just heard, we are off to a solid financial start in 2024, complemented by sustained momentum within our innovative medicine and medtech pipelines, marked by significant regulatory and clinical milestones. Before we delve into segment highlights from the quarter, I want to touch upon some important announcements that we made that will further enhance our competitive positioning. Earlier this month, we announced a definitive agreement to acquire Shockwave Medical. Johnson & Johnson has a long history of addressing cardiovascular disease through both our innovative medicine and medtech businesses. The acquisition of Shockwave, with its leading intravascular lithotripsy, or IVL, technology, will provide us with a unique opportunity to impact coronary artery and peripheral artery disease, two of the highest growth innovation-oriented segments within cardiovascular intervention. This addition is not only adjacent to our other cardiovascular businesses but also consistent with our strategy of becoming a best-in-class medtech company.

As you just heard, we are off to a solid financial start in 2024, complemented by sustained momentum within our innovative medicine and medtech pipelines, marked by significant regulatory and clinical milestones. Before we delve into segment highlights from the quarter, I want to touch upon some important announcements that we made that will further enhance our competitive positioning. Earlier this month, we announced a definitive agreement to acquire Shockwave Medical. Johnson & Johnson has a long history of addressing cardiovascular disease through both our innovative medicine and medtech businesses. The acquisition of Shockwave, with its leading intravascular lithotripsy, or IVL, technology, will provide us with a unique opportunity to impact coronary artery and peripheral artery disease, two of the highest growth innovation-oriented segments within cardiovascular intervention. This addition is not only adjacent to our other cardiovascular businesses but also consistent with our strategy of becoming a best-in-class medtech company.

Joseph J. Wolk: Before we delve into segment highlights from the quarter I want to touch upon some important announcements that we made that will further enhance our competitive positioning. This month, we announced a definitive agreement to acquire Shockwave Medical Johnson and Johnson has a long history of addressing cardiovascular disease through both our innovative medicine in med Tech businesses. The acquisition of Shockwave with its leading Intravascular lithotripsy or IV, all technology will provide us with a unique opportunity to impact coronary artery and peripheral artery disease two of the highest growth innovation oriented segments within cardiovascular intervention.

Joseph J. Wolk: This month, we announced a definitive agreement to acquire Shockwave Medical Johnson and Johnson has a long history of addressing cardiovascular disease through both our innovative medicine in med Tech businesses. The acquisition of Shockwave with its leading Intravascular lithotripsy or IV, all technology will provide us with a unique opportunity to impact coronary artery and peripheral artery disease two of the highest growth innovation oriented segments within cardiovascular intervention.

Joseph J. Wolk: The acquisition of Shockwave with its leading Intravascular lithotripsy or IV, all technology will provide us with a unique opportunity to impact coronary artery and peripheral artery disease two of the highest growth innovation oriented segments within cardiovascular intervention.

Joseph J. Wolk: This addition is not only adjacent to our other cardiovascular businesses, but also consistent with our strategy of becoming a best in class MedTech company. During the first quarter, we also expanded our innovative medicine portfolio with the completion of the Ambrx acquisition, with its promising pipeline and ADC platform, Amrbx will further strengthen our oncology portfolio and ability to deliver enhanced, precision biologics that treat cancer. Now I'll move to segment highlights from the quarter. As Jessica previously shared, our growth in innovative medicine continues to be driven by momentum from key brands and the adoption of new products. During the quarter, we hit several regulatory and clinical targets that are key to delivering longer term growth. Starting with oncology, in multiple myeloma, we received FDA approval and a positive CHMP opinion for CARVIKTY for patients who have received at least one prior therapy, making it the only BCMA targeting treatment available for patients in the second line setting.

Jessica Moore: During the first quarter, we also expanded our innovative medicine portfolio with the completion of the Ambrx acquisition. With its promising pipeline and ADC platform, Ambrx will further strengthen our oncology portfolio and ability to deliver enhanced precision biologics that treat cancer. Now I'll move to segment highlights from the quarter. As Jessica previously shared, our growth in innovative medicine continues to be driven by momentum from key brands and the adoption of new products. During the quarter, we hit several regulatory and clinical targets that are key to delivering longer-term growth. Starting with oncology, in multiple myeloma, we received FDA approval and a positive CHMP opinion for Carvykti for patients who have received at least one prior therapy, making it the only BCMA-targeting treatment available for patients in the second-line setting.

During the first quarter, we also expanded our innovative medicine portfolio with the completion of the Ambrx acquisition. With its promising pipeline and ADC platform, Ambrx will further strengthen our oncology portfolio and ability to deliver enhanced precision biologics that treat cancer. Now I'll move to segment highlights from the quarter. As Jessica previously shared, our growth in innovative medicine continues to be driven by momentum from key brands and the adoption of new products. During the quarter, we hit several regulatory and clinical targets that are key to delivering longer-term growth. Starting with oncology, in multiple myeloma, we received FDA approval and a positive CHMP opinion for Carvykti for patients who have received at least one prior therapy, making it the only BCMA-targeting treatment available for patients in the second-line setting.

Joseph J. Wolk: During the first quarter, we also expanded our innovative medicine portfolio with the completion of the <unk> acquisition with its promising pipeline and a D. C platform Enbridge will further strengthen our oncology portfolio and ability to deliver enhanced precision biologics that treat cancer. Now I'll move to segment highlights from the quarter. As Jessica previously shared our growth in innovative medicine continues to be driven by momentum from key brands and the adoption of new products. During the quarter, we had several regulatory and clinical targets that are key to delivering longer term growth. Starting with oncology and multiple myeloma, we received FDA approval and a positive C. H M. P opinion for court victory for patients who have received at least one prior therapy, making it the only be CMA targeting treatment available for patients in the second line setting.

Joseph J. Wolk: Now I'll move to segment highlights from the quarter. As Jessica previously shared our growth in innovative medicine continues to be driven by momentum from key brands and the adoption of new products. During the quarter, we had several regulatory and clinical targets that are key to delivering longer term growth. Starting with oncology and multiple myeloma, we received FDA approval and a positive C. H M. P opinion for court victory for patients who have received at least one prior therapy, making it the only be CMA targeting treatment available for patients in the second line setting.

Joseph J. Wolk: As Jessica previously shared our growth in innovative medicine continues to be driven by momentum from key brands and the adoption of new products. During the quarter, we had several regulatory and clinical targets that are key to delivering longer term growth. Starting with oncology and multiple myeloma, we received FDA approval and a positive C. H M. P opinion for court victory for patients who have received at least one prior therapy, making it the only be CMA targeting treatment available for patients in the second line setting.

Joseph J. Wolk: Starting with oncology and multiple myeloma, we received FDA approval and a positive C. H M. P opinion for court victory for patients who have received at least one prior therapy, making it the only be CMA targeting treatment available for patients in the second line setting.

Jessica Moore: We also received biweekly dosing approval from the FDA for Tecvayli, the only approved BCMA-targeting bispecific antibody that provides patients with dosing flexibility. And finally, we submitted an application to the EMA for regulatory approval for Darzalex-based quadruplet therapy and were granted US priority review by the FDA. In addition, we made significant steps forward in the treatment of patients with EGFR-mutated non-small cell lung cancer. During the quarter, we received FDA approval for Rybrevant in combination with chemotherapy for the first-line treatment of patients with locally advanced or metastatic non-small cell lung cancer with EGFR exon 20 insertion mutations. The approval was based on data from the phase III Papillon study.

We also received biweekly dosing approval from the FDA for Tecvayli, the only approved BCMA-targeting bispecific antibody that provides patients with dosing flexibility. And finally, we submitted an application to the EMA for regulatory approval for Darzalex-based quadruplet therapy and were granted US priority review by the FDA. In addition, we made significant steps forward in the treatment of patients with EGFR-mutated non-small cell lung cancer. During the quarter, we received FDA approval for Rybrevant in combination with chemotherapy for the first-line treatment of patients with locally advanced or metastatic non-small cell lung cancer with EGFR exon 20 insertion mutations. The approval was based on data from the phase III Papillon study.

Joseph J. Wolk: We also received biweekly dosing approval from the FDA for TECVAYLI, the only approved BCMA targeting bispecific antibody that provides patients with dosing flexibility. And finally, we submitted an application to the EMA for regulatory approval for a DARZELAX-based quadruplet therapy and were granted U.S. priority review by the FDA. In addition, we made significant steps forward in the treatment of patients with EGFR mutated, non small cell lung cancer. During the quarter, we received FDA approval for RYBERVANT in combination with chemotherapy for the first line treatment of patients with locally advanced, or metastatic, non small cell lung cancer, with EGFR exon 20 insertion mutations. The approval was based on data from the Phase III [inaudible] on study. We also received priority review from the FDA and submitted a filing to the EMA for RYBERVANT in combination with lazertinib, as a first line treatment option for adult patients with locally advanced or metastatic EGFR mutation non small cell lung cancer. The priority review and filing to the EMA are supported by data from the landmark Phase III Mariposa study.

Joseph J. Wolk: And finally, we submitted an application to the EMA for regulatory approval for a Dodge looks based quadruplet therapy and were granted U S priority review by the FDA. In addition, we made significant steps forward in the treatment of patients with Egfr mutated non small cell lung cancer. During the quarter. We received FDA approval for <unk> in combination with chemotherapy for the first line treatment of patients with locally advanced or metastatic non small cell lung cancer with E. G. T F R exon 20 insertion mutations. The approval was based on data from the phase III Puppy on study. We also received priority review from the FDA and submitted a filing to the MAA for <unk> in combination with lizard nib as a first line treatment option for adult patients with locally advanced or metastatic egfr mutation non small cell lung cancer. Priority review and filing to the M. A R supported by data from the landmark phase III Mariposa study.

Joseph J. Wolk: In addition, we made significant steps forward in the treatment of patients with Egfr mutated non small cell lung cancer. During the quarter. We received FDA approval for <unk> in combination with chemotherapy for the first line treatment of patients with locally advanced or metastatic non small cell lung cancer with E. G. T F R exon 20 insertion mutations. The approval was based on data from the phase III Puppy on study. We also received priority review from the FDA and submitted a filing to the MAA for <unk> in combination with lizard nib as a first line treatment option for adult patients with locally advanced or metastatic egfr mutation non small cell lung cancer. Priority review and filing to the M. A R supported by data from the landmark phase III Mariposa study.

Joseph J. Wolk: T F R exon 20 insertion mutations. The approval was based on data from the phase III Puppy on study. We also received priority review from the FDA and submitted a filing to the MAA for <unk> in combination with lizard nib as a first line treatment option for adult patients with locally advanced or metastatic egfr mutation non small cell lung cancer. Priority review and filing to the M. A R supported by data from the landmark phase III Mariposa study.

Joseph J. Wolk: The approval was based on data from the phase III Puppy on study. We also received priority review from the FDA and submitted a filing to the MAA for <unk> in combination with lizard nib as a first line treatment option for adult patients with locally advanced or metastatic egfr mutation non small cell lung cancer. Priority review and filing to the M. A R supported by data from the landmark phase III Mariposa study.

Jessica Moore: We also received priority review from the FDA and submitted a filing to the EMA for Rybrevant in combination with Lazertinib as a first-line treatment option for adult patients with locally advanced or metastatic EGFR-mutation non-small cell lung cancer. The priority review and filing to the EMA are supported by data from the landmark phase 3 Mariposa study. Turning to our immunology portfolio, we submitted a supplemental biologics license application to the FDA seeking approval for Tremfya in the treatment of adults with moderate to severe ulcerative colitis. We are looking forward to presenting data from the phase 3 Quasar study evaluating Tremfya in patients with ulcerative colitis at Digestive Disease Week in May.

We also received priority review from the FDA and submitted a filing to the EMA for Rybrevant in combination with Lazertinib as a first-line treatment option for adult patients with locally advanced or metastatic EGFR-mutation non-small cell lung cancer. The priority review and filing to the EMA are supported by data from the landmark phase 3 Mariposa study. Turning to our immunology portfolio, we submitted a supplemental biologics license application to the FDA seeking approval for Tremfya in the treatment of adults with moderate to severe ulcerative colitis. We are looking forward to presenting data from the phase 3 Quasar study evaluating Tremfya in patients with ulcerative colitis at Digestive Disease Week in May.

Joseph J. Wolk: We also received priority review from the FDA and submitted a filing to the MAA for <unk> in combination with lizard nib as a first line treatment option for adult patients with locally advanced or metastatic egfr mutation non small cell lung cancer. Priority review and filing to the M. A R supported by data from the landmark phase III Mariposa study.

Joseph J. Wolk: Priority review and filing to the M. A R supported by data from the landmark phase III Mariposa study.

Joseph J. Wolk: Turning to our immunology portfolio, we submitted a supplemental biologics license application to the FDA seeking approval for TREMFYA in the treatment of adults with moderate to severe ulcerative colitis. We are looking forward to presenting data from the Phase III Quasar study evaluating TREMFYA in patients with ulcerative colitis, at digestive disease week in May. We also significantly advanced our pipeline with important data readouts, including positive topline results from the Frontier 2 study demonstrating J&J 2113 as the first and only investigational targeted oral peptide that maintain skin clearance in moderate to severe plaque psoriasis through one year. Nipocalimab also delivered positive top line results in Phase II and Phase III studies in adults with Sjogren's disease and myasthenia gravis, respectively. We also received FDA breakthrough designation in the treatment of HDFN, hemolytic disease of the fetus and newborn, and fast track designation for FNAIT, a rare and potentially fatal blood disorder in infants.

Joseph J. Wolk: At digestive disease week in May. We also significantly advanced our pipeline with important data readouts, including positive topline results from the frontier to study demonstrating J&J to 113 as the first and only investigational targeted oral peptide that maintain skin clearance in moderate to severe plaque psoriasis. Through one year. Nipple Calamos also delivered positive top line results in phase two and phase III studies in adults with Shoguns disease, and myasthenia gravis, respectively. We also received FDA breakthrough designation in the treatment of H D. F N hemolytic disease of the fetus and newborn and fast track designation for F neat, a rare and potentially fatal blood disorder in infants.

Jessica Moore: We also significantly advanced our pipeline with important data readouts, including positive top-line results from the Frontier-2 study demonstrating JNJ-2113 as the first and only investigational targeted oral peptide that maintains skin clearance in moderate to severe plaque psoriasis through one year. Nipocalimab also delivered positive top-line results in phase II and phase III studies in adults with Sjogren's disease and myasthenia gravis, respectively. We also received FDA breakthrough designation in the treatment of HDFN, hemolytic disease of the fetus and newborn, and fast-track designation for FNAIT, a rare and potentially fatal blood disorder in infants. Looking ahead, we expect upcoming data readouts for Erleada in localized prostate cancer, as well as Aticaprant and Seltorexant in major depressive disorder.

We also significantly advanced our pipeline with important data readouts, including positive top-line results from the Frontier-2 study demonstrating JNJ-2113 as the first and only investigational targeted oral peptide that maintains skin clearance in moderate to severe plaque psoriasis through one year. Nipocalimab also delivered positive top-line results in phase II and phase III studies in adults with Sjogren's disease and myasthenia gravis, respectively. We also received FDA breakthrough designation in the treatment of HDFN, hemolytic disease of the fetus and newborn, and fast-track designation for FNAIT, a rare and potentially fatal blood disorder in infants. Looking ahead, we expect upcoming data readouts for Erleada in localized prostate cancer, as well as Aticaprant and Seltorexant in major depressive disorder.

We also significantly advanced our pipeline with important data readouts, including positive topline results from the frontier to study demonstrating J&J to 113 as the first and only investigational targeted oral peptide that maintain skin clearance in moderate to severe plaque psoriasis. Through one year. Nipple Calamos also delivered positive top line results in phase two and phase III studies in adults with Shoguns disease, and myasthenia gravis, respectively. We also received FDA breakthrough designation in the treatment of H D. F N hemolytic disease of the fetus and newborn and fast track designation for F neat, a rare and potentially fatal blood disorder in infants.

Joseph J. Wolk: Through one year. Nipple Calamos also delivered positive top line results in phase two and phase III studies in adults with Shoguns disease, and myasthenia gravis, respectively. We also received FDA breakthrough designation in the treatment of H D. F N hemolytic disease of the fetus and newborn and fast track designation for F neat, a rare and potentially fatal blood disorder in infants.

Joseph J. Wolk: Nipple Calamos also delivered positive top line results in phase two and phase III studies in adults with Shoguns disease, and myasthenia gravis, respectively. We also received FDA breakthrough designation in the treatment of H D. F N hemolytic disease of the fetus and newborn and fast track designation for F neat, a rare and potentially fatal blood disorder in infants.

Joseph J. Wolk: We also received FDA breakthrough designation in the treatment of H D. F N hemolytic disease of the fetus and newborn and fast track designation for F neat, a rare and potentially fatal blood disorder in infants.

Joseph J. Wolk: Looking ahead, we expect upcoming data readouts for ERLEADA in localized prostate cancer, as well as ATICAPRANT and SELTOREXANT in major depressive disorder. We also expect Phase II results for our combination therapy J&J 4804 in Psoriatic arthritis, as well pivotal data from TAR 200 in non muscle invasive bladder cancer, which will be presented at the American Urological Association Annual Meeting in May. Lastly, we're excited to present our Phase III TREMFYA Crohn's disease data, as well as our sub Q data for RYBERVANT at upcoming medical meetings. In MedTech, notable highlights in the first quarter include significant advancements across our cardiovascular portfolio. In pulsed field ablation, we received the CE Mark approval for VARIPULSE, based on the 12 month Inspire study, which demonstrated 80% of patients achieved freedom from recurrence and zero primary adverse events. We filed for U.S. approval of VARIPULSE based on the Admire study, which showed all Pilot Phase patients achieved acute success and 80% remaining free from atrial arrhythmia reoccurrence after one year.

Jessica Moore: We also expect phase II results for our combination therapy JNJ-4804 in psoriatic arthritis, as well as pivotal data from TAR-200 in non-muscle invasive bladder cancer, which will be presented at the American Urological Association annual meeting in May. Lastly, we're excited to present our phase III Tremfya Crohn's disease data, as well as our subQ data for Rybrevant at upcoming medical meetings. In medtech, notable highlights in the first quarter include significant advancements across our cardiovascular portfolio. In pulsed field ablation, we received CE Mark approval for Varipulse based on the 12-month INSPIRE study, which demonstrated 80% of patients achieved freedom from recurrence and zero primary adverse events. We filed for US approval of Varipulse based on the ADMIRE study, which showed all pilot phase patients achieved acute success and 80% remaining free from atrial arrhythmia recurrence after one year.

We also expect phase II results for our combination therapy JNJ-4804 in psoriatic arthritis, as well as pivotal data from TAR-200 in non-muscle invasive bladder cancer, which will be presented at the American Urological Association annual meeting in May. Lastly, we're excited to present our phase III Tremfya Crohn's disease data, as well as our subQ data for Rybrevant at upcoming medical meetings. In medtech, notable highlights in the first quarter include significant advancements across our cardiovascular portfolio. In pulsed field ablation, we received CE Mark approval for Varipulse based on the 12-month INSPIRE study, which demonstrated 80% of patients achieved freedom from recurrence and zero primary adverse events. We filed for US approval of Varipulse based on the ADMIRE study, which showed all pilot phase patients achieved acute success and 80% remaining free from atrial arrhythmia recurrence after one year.

Joseph J. Wolk: Pivotal data from <unk>, 200, and non muscle invasive bladder cancer. Which will be presented at the American Urological Association annual meeting in May. Lastly, we're excited to present, our phase III from fire Crohn's disease data as well as our sub Q data for Rai prevent at upcoming medical meetings. In Med Tech notable highlights in the first quarter includes significant advancements across our cardiovascular portfolio. Impulse field ablation, we received the CE Mark approval for variables based on the 12 month inspire study, which demonstrated 80% of patients achieved freedom from recurrence and zero primary adverse events with. We filed for U S approval of our pulse based on the admire study. Which showed all pilot phase patients achieved acute success and 80% remaining free from atrial arrhythmia Reoccurrence after one year.

Joseph J. Wolk: Which will be presented at the American Urological Association annual meeting in May. Lastly, we're excited to present, our phase III from fire Crohn's disease data as well as our sub Q data for Rai prevent at upcoming medical meetings. In Med Tech notable highlights in the first quarter includes significant advancements across our cardiovascular portfolio. Impulse field ablation, we received the CE Mark approval for variables based on the 12 month inspire study, which demonstrated 80% of patients achieved freedom from recurrence and zero primary adverse events with. We filed for U S approval of our pulse based on the admire study. Which showed all pilot phase patients achieved acute success and 80% remaining free from atrial arrhythmia Reoccurrence after one year.

Joseph J. Wolk: Lastly, we're excited to present, our phase III from fire Crohn's disease data as well as our sub Q data for Rai prevent at upcoming medical meetings. In Med Tech notable highlights in the first quarter includes significant advancements across our cardiovascular portfolio. Impulse field ablation, we received the CE Mark approval for variables based on the 12 month inspire study, which demonstrated 80% of patients achieved freedom from recurrence and zero primary adverse events with. We filed for U S approval of our pulse based on the admire study. Which showed all pilot phase patients achieved acute success and 80% remaining free from atrial arrhythmia Reoccurrence after one year.

Joseph J. Wolk: In Med Tech notable highlights in the first quarter includes significant advancements across our cardiovascular portfolio. Impulse field ablation, we received the CE Mark approval for variables based on the 12 month inspire study, which demonstrated 80% of patients achieved freedom from recurrence and zero primary adverse events with. We filed for U S approval of our pulse based on the admire study. Which showed all pilot phase patients achieved acute success and 80% remaining free from atrial arrhythmia Reoccurrence after one year.

Joseph J. Wolk: Impulse field ablation, we received the CE Mark approval for variables based on the 12 month inspire study, which demonstrated 80% of patients achieved freedom from recurrence and zero primary adverse events with. We filed for U S approval of our pulse based on the admire study. Which showed all pilot phase patients achieved acute success and 80% remaining free from atrial arrhythmia Reoccurrence after one year.

Joseph J. Wolk: We filed for U S approval of our pulse based on the admire study. Which showed all pilot phase patients achieved acute success and 80% remaining free from atrial arrhythmia Reoccurrence after one year.

Joseph J. Wolk: Which showed all pilot phase patients achieved acute success and 80% remaining free from atrial arrhythmia Reoccurrence after one year.

Jessica Moore: We also submitted a CE-MARC filing for our dual-energy SmartTouch SF catheter, which will provide physicians the optionality for RF and PFA energy sources in one catheter. We began enrollment of patients in a pivotal trial evaluating Laminar's left atrial appendage elimination device to reduce the risk of stroke in patients with non-valvular atrial fibrillation. The late-breaking Danger Shock study presented at the American College of Cardiology Conference and simultaneously published in the New England Journal of Medicine confirmed routine use of Abiomed's Impella CP in patients who have had a heart attack with STEMI cardiogenic shock, reduced 180-day mortality by 12.7%. In Vision, we launched Tecnis PureSee, a next-generation presbyopia-correcting lens for cataract patients in AMEA. We also presented new data for our presbyopia-correcting IOL, Tecnis Odyssey, at the 2024 American Society of Cataract and Refractive Surgery in April.

We also submitted a CE-MARC filing for our dual-energy SmartTouch SF catheter, which will provide physicians the optionality for RF and PFA energy sources in one catheter. We began enrollment of patients in a pivotal trial evaluating Laminar's left atrial appendage elimination device to reduce the risk of stroke in patients with non-valvular atrial fibrillation. The late-breaking Danger Shock study presented at the American College of Cardiology Conference and simultaneously published in the New England Journal of Medicine confirmed routine use of Abiomed's Impella CP in patients who have had a heart attack with STEMI cardiogenic shock, reduced 180-day mortality by 12.7%. In Vision, we launched Tecnis PureSee, a next-generation presbyopia-correcting lens for cataract patients in AMEA. We also presented new data for our presbyopia-correcting IOL, Tecnis Odyssey, at the 2024 American Society of Cataract and Refractive Surgery in April.

Joseph J. Wolk: We also submitted a CE Mark filing for our dual energy Smart touch SS catheter, which will provide physicians the optionality for RF and PSA energy sources in one catheter. We began enrollment of patients in a pivotal trial evaluating Laminar's left atrial appendage elimination device to reduce the risk of stroke in patients with non valvular atrial fibrillation. And the late breaking danger shock study presented at the American College of Cardiology Conference and simultaneously published in the New England Journal of Medicine confirmed routine use of Abiomed's Impella CP in patients who have had a heart attack with stemi cardiogenic shock reduced 180 day mortality by 12.7%. In vision, we launched TECNIS PURESEE, a next generation presbyopia correcting lens for cataract patients in EMEA. We also presented new data for our presbyopia correcting IOL, TECNIS ODYSSEY at the 2024 American society of cataract and refractive surgery in April.

Joseph J. Wolk: We began enrollment of patients in a pivotal trial evaluating lamina was left atrial appendage elimination device to reduce the risk of stroke in patients with non valvular atrial fibrillation. And the late breaking danger shock study presented at the American College of Cardiology Conference and simultaneously published in the New England Journal of Medicine confirmed routine use so that'd be image Impella CP in patients who have had a heart attack with stomach cardiogenic shock reduced 180 day mortality. By 12, 7%. Envision we launched technic pure C. A next generation presbyopia correcting lens for cataract patients in EMEA. We also presented new data for our presbyopia correcting I O L techno side to see at the 'twenty 'twenty four American society of cataract and refractive surgery in April.

Joseph J. Wolk: And the late breaking danger shock study presented at the American College of Cardiology Conference and simultaneously published in the New England Journal of Medicine confirmed routine use so that'd be image Impella CP in patients who have had a heart attack with stomach cardiogenic shock reduced 180 day mortality. By 12, 7%. Envision we launched technic pure C. A next generation presbyopia correcting lens for cataract patients in EMEA. We also presented new data for our presbyopia correcting I O L techno side to see at the 'twenty 'twenty four American society of cataract and refractive surgery in April.

Joseph J. Wolk: By 12, 7%. Envision we launched technic pure C. A next generation presbyopia correcting lens for cataract patients in EMEA. We also presented new data for our presbyopia correcting I O L techno side to see at the 'twenty 'twenty four American society of cataract and refractive surgery in April.

Joseph J. Wolk: Envision we launched technic pure C. A next generation presbyopia correcting lens for cataract patients in EMEA. We also presented new data for our presbyopia correcting I O L techno side to see at the 'twenty 'twenty four American society of cataract and refractive surgery in April.

Joseph J. Wolk: We also presented new data for our presbyopia correcting I O L techno side to see at the 'twenty 'twenty four American society of cataract and refractive surgery in April.

Jessica Moore: Looking ahead, we will continue to advance our electrophysiology pipeline with the full US market release of the QDOT MICRO catheter, the US commercial launch of Abiomed's Impella RP Flex with SmartAssist, as well as the submission of Impella ECP. Within our robotic surgery pipeline, we are on track to submit an investigational device exemption to the FDA for Ottava in H2 2024. Turning to financials, starting with cash and capital allocation, we ended Q1 with $26.2 billion of cash and marketable securities and $33.6 billion of debt for a net debt position of $7.4 billion. We are pleased with our free cash flow generation in Q1 of approximately $3 billion. This was above Q1 2023, which included the consumer health business cash flow.

Looking ahead, we will continue to advance our electrophysiology pipeline with the full US market release of the QDOT MICRO catheter, the US commercial launch of Abiomed's Impella RP Flex with SmartAssist, as well as the submission of Impella ECP. Within our robotic surgery pipeline, we are on track to submit an investigational device exemption to the FDA for Ottava in H2 2024. Turning to financials, starting with cash and capital allocation, we ended Q1 with $26.2 billion of cash and marketable securities and $33.6 billion of debt for a net debt position of $7.4 billion. We are pleased with our free cash flow generation in Q1 of approximately $3 billion. This was above Q1 2023, which included the consumer health business cash flow.

Joseph J. Wolk: Looking ahead, we will continue to advance our electrophysiology pipeline with the full U S market release of the kudos micro catheter. The U S. Commercial launch of Abiel Meds, Impella RP flex with smart assist as well as the submission of Impella ECP. Within our robotic surgery pipeline, we are on track to submit an investigational device exemption to the F. D. A four ottava in the second half of 2024. Turning to financials, starting with cash and capital allocation. We ended the first quarter with $26 $2 billion of cash and marketable securities and $33 $6 billion of debt for a net debt position of $7 $4 billion. We are pleased with our free cash flow generation in the first quarter of approximately $3 billion. This was above the first quarter of 2023, which included the consumer health business cash flow. Also in the first quarter of 2024, we incurred elevated payment levels made in furtherance of achieving a responsible final and comprehensive resolution of the telco litigation. We continue to maintain a healthy balance sheet and strong credit rating underscoring the strength of Johnson, <unk>, Johnson's financial position and ability to execute against our capital allocation priorities innovation. Continues to be a main priority for the company as demonstrated by our industry, leading R&D spend during the first quarter, we invested more than $3 $5 billion in research and development was 16, 6% of sales.

Joseph J. Wolk: Looking ahead, we will continue to advance our electrophysiology pipeline with the full U.S. market release of the QDOT microcatheter, the U.S. commercial launch of Abiomed Impella RP Flex with SmartAssist, as well as the submission of Impella ECP. Within our robotic surgery pipeline, we are on track to submit an investigational device exemption to the FDA for OTAVA in the second half of 2024. Turning to financials, starting with cash and capital allocation. We ended the first quarter with $26.2 billion of cash and marketable securities and $33.6 billion of debt for a net debt position of $7.4 billion. We are pleased with our free cash flow generation in the first quarter of approximately $3 billion. This was above the first quarter of 2023, which included the consumer health business cash flow. Also in the first quarter of 2024, we incurred elevated payment levels made in furtherance of achieving a responsible, final, and comprehensive resolution of the Talc litigation. We continue to maintain a healthy balance sheet and strong credit rating, underscoring the strength of Johnson & Johnson's financial position and ability to execute against our capital allocation priorities.

Joseph J. Wolk: Within our robotic surgery pipeline, we are on track to submit an investigational device exemption to the F. D. A four ottava in the second half of 2024. Turning to financials, starting with cash and capital allocation. We ended the first quarter with $26 $2 billion of cash and marketable securities and $33 $6 billion of debt for a net debt position of $7 $4 billion. We are pleased with our free cash flow generation in the first quarter of approximately $3 billion. This was above the first quarter of 2023, which included the consumer health business cash flow. Also in the first quarter of 2024, we incurred elevated payment levels made in furtherance of achieving a responsible final and comprehensive resolution of the telco litigation. We continue to maintain a healthy balance sheet and strong credit rating underscoring the strength of Johnson, <unk>, Johnson's financial position and ability to execute against our capital allocation priorities innovation. Continues to be a main priority for the company as demonstrated by our industry, leading R&D spend during the first quarter, we invested more than $3 $5 billion in research and development was 16, 6% of sales.

Joseph J. Wolk: Turning to financials, starting with cash and capital allocation. We ended the first quarter with $26 $2 billion of cash and marketable securities and $33 $6 billion of debt for a net debt position of $7 $4 billion. We are pleased with our free cash flow generation in the first quarter of approximately $3 billion. This was above the first quarter of 2023, which included the consumer health business cash flow. Also in the first quarter of 2024, we incurred elevated payment levels made in furtherance of achieving a responsible final and comprehensive resolution of the telco litigation. We continue to maintain a healthy balance sheet and strong credit rating underscoring the strength of Johnson, <unk>, Johnson's financial position and ability to execute against our capital allocation priorities innovation. Continues to be a main priority for the company as demonstrated by our industry, leading R&D spend during the first quarter, we invested more than $3 $5 billion in research and development was 16, 6% of sales.

Joseph J. Wolk: We are pleased with our free cash flow generation in the first quarter of approximately $3 billion. This was above the first quarter of 2023, which included the consumer health business cash flow. Also in the first quarter of 2024, we incurred elevated payment levels made in furtherance of achieving a responsible final and comprehensive resolution of the telco litigation. We continue to maintain a healthy balance sheet and strong credit rating underscoring the strength of Johnson, <unk>, Johnson's financial position and ability to execute against our capital allocation priorities innovation. Continues to be a main priority for the company as demonstrated by our industry, leading R&D spend during the first quarter, we invested more than $3 $5 billion in research and development was 16, 6% of sales.

Jessica Moore: Also, in Q1 2024, we incurred elevated payment levels made in furtherance of achieving a responsible, final, and comprehensive resolution of the talc litigation. We continue to maintain a healthy balance sheet and strong credit rating, underscoring the strength of Johnson & Johnson's financial position and ability to execute against our capital allocation priorities. Innovation continues to be a main priority for the company, as demonstrated by our industry-leading R&D spend. During Q1, we invested more than $3.5 billion in research and development, or 16.6% of sales. We also remain committed to returning capital directly to shareholders through our dividend. We appreciate the value our investors place on the dividend, and we were pleased to announce this morning that our board of directors has authorized a 4.2% increase, marking our 62nd consecutive year of dividend increases.

Also, in Q1 2024, we incurred elevated payment levels made in furtherance of achieving a responsible, final, and comprehensive resolution of the talc litigation. We continue to maintain a healthy balance sheet and strong credit rating, underscoring the strength of Johnson & Johnson's financial position and ability to execute against our capital allocation priorities. Innovation continues to be a main priority for the company, as demonstrated by our industry-leading R&D spend. During Q1, we invested more than $3.5 billion in research and development, or 16.6% of sales. We also remain committed to returning capital directly to shareholders through our dividend. We appreciate the value our investors place on the dividend, and we were pleased to announce this morning that our board of directors has authorized a 4.2% increase, marking our 62nd consecutive year of dividend increases.

Joseph J. Wolk: Also in the first quarter of 2024, we incurred elevated payment levels made in furtherance of achieving a responsible final and comprehensive resolution of the telco litigation. We continue to maintain a healthy balance sheet and strong credit rating underscoring the strength of Johnson, <unk>, Johnson's financial position and ability to execute against our capital allocation priorities innovation. Continues to be a main priority for the company as demonstrated by our industry, leading R&D spend during the first quarter, we invested more than $3 $5 billion in research and development was 16, 6% of sales.

Joseph J. Wolk: We continue to maintain a healthy balance sheet and strong credit rating underscoring the strength of Johnson, <unk>, Johnson's financial position and ability to execute against our capital allocation priorities innovation. Continues to be a main priority for the company as demonstrated by our industry, leading R&D spend during the first quarter, we invested more than $3 $5 billion in research and development was 16, 6% of sales.

Joseph J. Wolk: Innovation continues to be a main priority for the company, as demonstrated by our industry-leading R&D spend. During the first quarter, we invested more than $3.5 billion in research and development or 16.6% of sales. We also remain committed to returning capital directly to shareholders through our dividend. We appreciate the value our investors place on the dividend, and we were pleased to announce this morning that our Board of Directors has authorized a 4.2% increase marking our 62nd consecutive year of dividend increases. As we stated previously, we are disciplined in our approach to inorganic growth and prioritize acquisitions that strategically fit and present meaningful long-term growth opportunities. This is evidenced by the pending transaction in which we are adding a profitable commercialized portfolio of Shockwave Technologies in high-growth markets as well as a robust pipeline.

Joseph J. Wolk: Continues to be a main priority for the company as demonstrated by our industry, leading R&D spend during the first quarter, we invested more than $3 $5 billion in research and development was 16, 6% of sales.

Joseph J. Wolk: We also remain committed to returning capital directly to shareholders through our dividend. We appreciate the value our investors place on the dividend and we were pleased to announce this morning that our board of directors has authorized a four 2% increase marking our 62nd consecutive year of dividend increases. As we stated previously we are disciplined in our approach to inorganic growth and prioritize acquisitions that strategically fit and present meaningful long term growth opportunities. This is evidenced by the pending transaction in which we are adding a profitable commercialized portfolio of Shockwave technologies in high growth markets as well as a robust pipeline.

Jessica Moore: As we stated previously, we are disciplined in our approach to inorganic growth and prioritize acquisitions that strategically fit and present meaningful long-term growth opportunities. This is evidenced by the pending transaction in which we are adding a profitable commercialized portfolio of Shockwave Medical in high-growth markets, as well as a robust pipeline. I'll now discuss our full year 2024 guidance, which excludes the recently announced acquisition of Shockwave. As previously communicated, we assume the closing of the transaction will take place by mid-year 2024, at which time we will update our guidance to reflect the expected dilution to adjusted earnings per share in 2024 of approximately $0.10 per share driven by financing cost. Based on the results delivered in the first quarter, we are tightening our ranges and increasing the midpoints for our full-year operational sales and adjusted operational EPS guidance.

As we stated previously, we are disciplined in our approach to inorganic growth and prioritize acquisitions that strategically fit and present meaningful long-term growth opportunities. This is evidenced by the pending transaction in which we are adding a profitable commercialized portfolio of Shockwave Medical in high-growth markets, as well as a robust pipeline. I'll now discuss our full year 2024 guidance, which excludes the recently announced acquisition of Shockwave. As previously communicated, we assume the closing of the transaction will take place by mid-year 2024, at which time we will update our guidance to reflect the expected dilution to adjusted earnings per share in 2024 of approximately $0.10 per share driven by financing cost. Based on the results delivered in the first quarter, we are tightening our ranges and increasing the midpoints for our full-year operational sales and adjusted operational EPS guidance.

Joseph J. Wolk: As we stated previously we are disciplined in our approach to inorganic growth and prioritize acquisitions that strategically fit and present meaningful long term growth opportunities. This is evidenced by the pending transaction in which we are adding a profitable commercialized portfolio of Shockwave technologies in high growth markets as well as a robust pipeline.

Joseph J. Wolk: This is evidenced by the pending transaction in which we are adding a profitable commercialized portfolio of Shockwave technologies in high growth markets as well as a robust pipeline.

Joseph J. Wolk: I'll now discuss our full year 2024 guidance, which excludes the recently announced acquisition of Shockwave. As previously communicated, we assume the closing of the transaction will take place by midyear 2024 at which time we will update our guidance to reflect the expected dilution to adjusted earnings per share in 2024 of approximately $0.10 per share driven by financing costs. Based on the results delivered in the first quarter, we are tightening our ranges and increasing the midpoints for our full year operational sales and adjusted operational EPS guidance. As such, we expect operational sales growth for the full year to be in the range of 5.5% to 6.0% or $88.7 billion to $89.1 billion increasing the midpoint by $300 million or 0.3%. As a reminder, our sales guidance continues to exclude any impact from COVID-19 vaccine sales.

Speaker Change: 10 cents per share driven by financing costs. Just on the results delivered in the first quarter, we are tightening our ranges and increasing the midpoint for our full year operational sales and adjusted operational EPS guidance. As such we expect operational sales growth for the full year to be in the range of five 5% to 6.0% or $88 $7 billion to $89 $1 billion, increasing the midpoint by $300 million or 0.3%. As a reminder, our sales guidance continues to exclude any impact from COVID-19 vaccine sales.

Speaker Change: Just on the results delivered in the first quarter, we are tightening our ranges and increasing the midpoint for our full year operational sales and adjusted operational EPS guidance. As such we expect operational sales growth for the full year to be in the range of five 5% to 6.0% or $88 $7 billion to $89 $1 billion, increasing the midpoint by $300 million or 0.3%. As a reminder, our sales guidance continues to exclude any impact from COVID-19 vaccine sales.

Jessica Moore: As such, we expect operational sales growth for the full year to be in the range of 5.5% to 6.0%, or $88.7 to 89.1 billion, increasing the midpoint by $300 million, or 0.3%. As a reminder, our sales guidance continues to exclude any impact from COVID-19 vaccine sales. As you know, we don't speculate on future currency movements. Last quarter, we utilized the Euro spot rate relative to the US dollar of 1.09. As of last week, the Euro spot rate was 1.08, a modest strengthening of the US dollar also experienced by a handful of other currencies. As a result, we now estimate a negative full-year foreign currency impact of $700 million, resulting in an estimated reported sales growth between 4.7% and 5.2% compared to 2023, with a midpoint of $88.2 billion, or 5% at the midpoint, consistent with last quarter's guidance.

As such, we expect operational sales growth for the full year to be in the range of 5.5% to 6.0%, or $88.7 to 89.1 billion, increasing the midpoint by $300 million, or 0.3%. As a reminder, our sales guidance continues to exclude any impact from COVID-19 vaccine sales. As you know, we don't speculate on future currency movements. Last quarter, we utilized the Euro spot rate relative to the US dollar of 1.09. As of last week, the Euro spot rate was 1.08, a modest strengthening of the US dollar also experienced by a handful of other currencies. As a result, we now estimate a negative full-year foreign currency impact of $700 million, resulting in an estimated reported sales growth between 4.7% and 5.2% compared to 2023, with a midpoint of $88.2 billion, or 5% at the midpoint, consistent with last quarter's guidance.

Speaker Change: As such we expect operational sales growth for the full year to be in the range of five 5% to 6.0% or $88 $7 billion to $89 $1 billion, increasing the midpoint by $300 million or 0.3%. As a reminder, our sales guidance continues to exclude any impact from COVID-19 vaccine sales.

Speaker Change: As a reminder, our sales guidance continues to exclude any impact from COVID-19 vaccine sales.

Joseph J. Wolk: As you know, we don't speculate on future currency movements. Last quarter, we utilized the Euro spot rate relative to the U.S. dollar of 1.09. As of last week, the Euro spot rate was 1.08, a modest strengthening of the U.S. dollar also experienced by a handful of other currencies. As a result, we now estimate a negative full year foreign currency impact of $700 million resulting in an estimated reported sales growth between 4.7% to 5.2% compared to 2023 with a midpoint of $88.2 billion or 5% at the midpoint, consistent with last quarter's guidance. We are maintaining other elements of our guidance provided on January's earnings call, with the exception of two items, we are increasing interest income to a range of $550 million to $650 million.

Speaker Change: Last quarter, we utilize the euro spot rate relative to the U S. Dollar of 1.09 as of last week. The euro spot rate was 1.08, a modest strengthening of the U S. Dollar also experienced by a handful of other currencies. As a result, we now estimate a negative full year foreign currency impact of $700 million, resulting in an estimated reported sales growth between four 7% to five 2% compared to 2023 with a midpoint of $88 $2 billion or 5% at the midpoint. With last quarter's guidance. We are maintaining other elements of our guidance provided on January's earnings call with the exception of two items, we are increasing interest income to a range of $550 million to $650 million.

As a result, we now estimate a negative full year foreign currency impact of $700 million, resulting in an estimated reported sales growth between four 7% to five 2% compared to 2023 with a midpoint of $88 $2 billion or 5% at the midpoint. With last quarter's guidance. We are maintaining other elements of our guidance provided on January's earnings call with the exception of two items, we are increasing interest income to a range of $550 million to $650 million.

Speaker Change: With last quarter's guidance. We are maintaining other elements of our guidance provided on January's earnings call with the exception of two items, we are increasing interest income to a range of $550 million to $650 million.

Jessica Moore: We are maintaining other elements of our guidance provided on January's earnings call, with the exception of two items. We are increasing interest income to a range of $550 million to $650 million. We are also tightening the range of our adjusted operational earnings per share guidance to $10.60 to $10.75, increasing the midpoint by $0.03 to $10.68, reflecting year-on-year growth of 7.7%. While not predicting the impact of currency movements, utilizing the recent exchange rates I previously referenced, our reported adjusted earnings per share for the year estimates a negative foreign exchange impact of $0.03 per share. As a result, the reported adjusted earnings per share remains unchanged at $10.65, reflecting 7.4% growth versus 2023. While we do not provide guidance by segment or on a quarterly basis, we continue to expect that the same qualitative considerations provided during January's earnings call to remain intact.

We are maintaining other elements of our guidance provided on January's earnings call, with the exception of two items. We are increasing interest income to a range of $550 million to $650 million. We are also tightening the range of our adjusted operational earnings per share guidance to $10.60 to $10.75, increasing the midpoint by $0.03 to $10.68, reflecting year-on-year growth of 7.7%. While not predicting the impact of currency movements, utilizing the recent exchange rates I previously referenced, our reported adjusted earnings per share for the year estimates a negative foreign exchange impact of $0.03 per share. As a result, the reported adjusted earnings per share remains unchanged at $10.65, reflecting 7.4% growth versus 2023. While we do not provide guidance by segment or on a quarterly basis, we continue to expect that the same qualitative considerations provided during January's earnings call to remain intact.

Speaker Change: We are maintaining other elements of our guidance provided on January's earnings call with the exception of two items, we are increasing interest income to a range of $550 million to $650 million.

Joseph J. Wolk: We are also tightening the range of our adjusted operational earnings per share guidance from $10.60 to $10.75, increasing the midpoint by $0.03 to $10.68, reflecting year-on-year growth of 7.7%. While not predicting the impact of currency movements, utilizing the recent exchange rates I previously referenced, our reported adjusted earnings per share for the year estimates a negative foreign exchange impact of $0.03 per share. As a result, the reported adjusted earnings per share remains unchanged at $10.65, reflecting 7.4% growth versus 2023. While we do not provide guidance by segment or on a quarterly basis, we continue to expect that the same qualitative considerations provided during January's earnings call to remain intact. We anticipate Innovative Medicine sales growth to be slightly stronger in the first half of the year compared to the second half, given the anticipated entry of STELARA Biosimilars in Europe midyear.

Speaker Change: While not predicting the impact of currency movements utilizing the recent exchange rates I previously referenced our reported adjusted earnings per share for the year estimates a negative foreign exchange impact of three cents per share as a result, the reported adjusted earnings per share remains unchanged at $10 65. Reflecting seven 4% growth versus 2023. While we do not provide guidance by segment or on a quarterly basis. We continue to expect that the same qualitative considerations provided during january's earnings call to remain intact. We anticipate innovative medicines sales growth to be slightly stronger in the first half of the year compared to the second half given the anticipated entry of still our Biosimilars in Europe mid year for.

Speaker Change: Reflecting seven 4% growth versus 2023. While we do not provide guidance by segment or on a quarterly basis. We continue to expect that the same qualitative considerations provided during january's earnings call to remain intact. We anticipate innovative medicines sales growth to be slightly stronger in the first half of the year compared to the second half given the anticipated entry of still our Biosimilars in Europe mid year for.

Speaker Change: While we do not provide guidance by segment or on a quarterly basis. We continue to expect that the same qualitative considerations provided during january's earnings call to remain intact. We anticipate innovative medicines sales growth to be slightly stronger in the first half of the year compared to the second half given the anticipated entry of still our Biosimilars in Europe mid year for.

Jessica Moore: We anticipate Innovative Medicine sales growth to be slightly stronger in the first half of the year compared to the second half, given the anticipated entry of Stelara biosimilars in Europe mid-year. For MedTech, we expect operational sales growth to be relatively consistent throughout the year. Looking ahead, we have many important catalysts in the pipeline that will drive meaningful near- and long-term growth across both Innovative Medicine and MedTech. We look forward to advancing our pipelines in both segments that deliver innovative treatments, solving some of the most complex health challenges. This wouldn't be possible without our employees around the world, so it's only appropriate, before turning to your questions, that we recognize and thank our colleagues for their continued hard work, commitment, and dedication to patients.

We anticipate Innovative Medicine sales growth to be slightly stronger in the first half of the year compared to the second half, given the anticipated entry of Stelara biosimilars in Europe mid-year. For MedTech, we expect operational sales growth to be relatively consistent throughout the year. Looking ahead, we have many important catalysts in the pipeline that will drive meaningful near- and long-term growth across both Innovative Medicine and MedTech. We look forward to advancing our pipelines in both segments that deliver innovative treatments, solving some of the most complex health challenges. This wouldn't be possible without our employees around the world, so it's only appropriate, before turning to your questions, that we recognize and thank our colleagues for their continued hard work, commitment, and dedication to patients.

Speaker Change: We anticipate innovative medicines sales growth to be slightly stronger in the first half of the year compared to the second half given the anticipated entry of still our Biosimilars in Europe mid year for.

Joseph J. Wolk: For MedTech we expect operational sales growth to be relatively consistent throughout the year. Looking ahead, we have many important catalysts in the pipeline that will drive meaningful near and long-term growth across both Innovative Medicine and MedTech. We look forward to advancing our pipelines in both segments to deliver innovative treatments, solving some of the most complex health challenges. This wouldn't be possible without our employees around the world, so it's only appropriate before turning to your questions that we recognize and thank our colleagues for their continued hard work, commitment, and dedication to patients. I'm pleased to be joined by Joaquin, Jennifer, John and Tim for the Q&A and kindly ask Kevin to provide instructions to initiate that portion of the call.

Speaker Change: Looking ahead, we have many important catalysts in the pipeline that will drive meaningful near and long term growth across both innovative medicines and med Tech we look forward to advancing our pipelines in both segments to deliver innovative treatments solving some of the most complex health challenges. This wouldn't be possible without our employees around the world. So it's only appropriate before turning to your questions that we recognize and thank our colleagues for their continued hard work commitment and dedication to patients. I am pleased to be joined by Joaquin, Jennifer John and Tim for the Q&A kindly ask Kevin to provide instructions to initiate that portion of the call.

This wouldn't be possible without our employees around the world. So it's only appropriate before turning to your questions that we recognize and thank our colleagues for their continued hard work commitment and dedication to patients. I am pleased to be joined by Joaquin, Jennifer John and Tim for the Q&A kindly ask Kevin to provide instructions to initiate that portion of the call.

Jessica Moore: I'm pleased to be joined by Joaquin, Jennifer, John, and Tim for the Q&A, and kindly ask Kevin to provide instructions to initiate that portion of the call. Thank you. Ladies and gentlemen, if you'd like to ask a question at this time, please press Star, then 1 on your telephone keypad. If you'd like to withdraw your question, please press Star, then 2. Please limit your questions to one question only. Our first question today is coming from Terrence Flynn from Morgan Stanley. Your line is now live. Great. Thanks so much for taking the question. Maybe just a two-part on myeloma. First, on Carvykti, I was just wondering if you could elaborate on the phasing comments that impacted sales in the quarter. And then secondly, on Tecvayli, how should we think about growth for this product?

I'm pleased to be joined by Joaquin, Jennifer, John, and Tim for the Q&A, and kindly ask Kevin to provide instructions to initiate that portion of the call.

I am pleased to be joined by Joaquin, Jennifer John and Tim for the Q&A kindly ask Kevin to provide instructions to initiate that portion of the call.

Operator: Thank you. Ladies and gentlemen, if you'd like to ask a question at this time, please press Star, then 1 on your telephone keypad. If you'd like to withdraw your question, please press Star, then 2. Please limit your questions to one question only. Our first question today is coming from Terrence Flynn from Morgan Stanley. Your line is now live.

Operator: Thank you. Ladies and gentlemen, if you'd like to ask a question at this time, please press Star then 1 on your telephone keypad. If you'd like to withdraw your question, please press Star then 2. Please limit your questions to one question only.  Our first question today is coming from Terence Flynn from Morgan Stanley. Your line is now live.

Kevin: Our first question today is coming from Terence Flynn from Morgan Stanley. Your line is now live.

Terrence Flynn: Great. Thanks so much for taking the question. Maybe just a two-part on myeloma. First, on Carvykti, I was just wondering if you could elaborate on the phasing comments that impacted sales in the quarter. And then secondly, on Tecvayli, how should we think about growth for this product?

Terence C. Flynn: Great. Thanks so much for taking the question. Maybe just a two-part on myeloma. First, on CARVYKTI, I was just wondering if you could elaborate on the phasing comments that impacted sales in the quarter? And then secondly, on TECVAYLI, how should we think about growth for this product, it looks like it's been somewhat flattish over the last couple of quarters, but just wondering if TALVEY had an impact there, so as we think about those franchises back half of this year, maybe you could provide high-level commentary? Thank you.

Jessica Moore: It looks like it's been somewhat flattish over the last couple of quarters, but just wondering if Talvey had an impact there. So as we think about those franchises back half of this year, maybe you could provide some high-level commentary. Thank you. Thank you, Terrence, for your question. Before we go into the specifics of your question on Carvykti and Tecvayli and Talvey, our multiple myeloma franchise, let me share with all of you some reflections on this quarter. We are entering 2024 in a position of strength, and I'm particularly encouraged on the performance of our strategic platforms, the ones that are going to drive growth in the second half of the decade. In innovative medicines, Darzalex, Tremfya, Erleada, all grew over 20%.

It looks like it's been somewhat flattish over the last couple of quarters, but just wondering if Talvey had an impact there. So as we think about those franchises back half of this year, maybe you could provide some high-level commentary. Thank you.

Terence Flynn: But just wondering if tell they had an impact there. So as we think about those franchises back half of this year, maybe you could provide some high level commentary. Thank you.

Tim Schmid: Thank you, Terrence, for your question. Before we go into the specifics of your question on Carvykti and Tecvayli and Talvey, our multiple myeloma franchise, let me share with all of you some reflections on this quarter. We are entering 2024 in a position of strength, and I'm particularly encouraged on the performance of our strategic platforms, the ones that are going to drive growth in the second half of the decade. In innovative medicines, Darzalex, Tremfya, Erleada, all grew over 20%.

Joaquin Duato: Thank you, Terence, for your question. And before we go into the specifics of your question on CARVYKTI and TECVAYLI and TALVEY, our multiple myeloma franchise, let me share with all of you some reflections on this quarter. We are entering 2024 in a position of strength, and I'm particularly encouraged on the performance of our strategic platforms, the ones that are going to drive growth in the second half of the decade. In Innovative Medicines, DARZALEX, TREMFYA, ERLEADA all grew over 20% and specifically on TREMFYA, now we have more sales in our psoriasis and psoriatic arthritic indications than we do with STELARA and we have high expectations for the brand with ulcerative colitis data to be presented at the Digestive Disease Week just a few weeks from now and also data on Crohn's Disease to be presented also this year. We continue to see increased demand from our new product launches, SPRAVATO, TECVAYLI, TALVEY, CARVYKTI, with CARVYKTI just a few weeks ago receiving FDA approval to move into the second line setting.

Speaker Change: One the performance of our strategic platforms the ones that that are going to drive growth in the second half of the decade. In innovative medicines that are salt lakes. Let them fight Yep. It leader all grew albeit at 20% and specifically on that in fact, you know we have more sales in our short I guess, he sent psoriatic arthritis indications than we do with Este Lauder and we have high expectations for the brand with would fit out difficult like these data do we presented that. At digestive disease week. It just a few weeks from now on also a data on cross they cease to be presented also this year. We continue to see increased demand from our new product launches just don't take Violet Talbott, you gotta be deep we've gotta be paid just a few weeks ago, receiving FDA approval to move into the second line setting.

Speaker Change: In innovative medicines that are salt lakes. Let them fight Yep. It leader all grew albeit at 20% and specifically on that in fact, you know we have more sales in our short I guess, he sent psoriatic arthritis indications than we do with Este Lauder and we have high expectations for the brand with would fit out difficult like these data do we presented that. At digestive disease week. It just a few weeks from now on also a data on cross they cease to be presented also this year. We continue to see increased demand from our new product launches just don't take Violet Talbott, you gotta be deep we've gotta be paid just a few weeks ago, receiving FDA approval to move into the second line setting.

Speaker Change: Let them fight Yep. It leader all grew albeit at 20% and specifically on that in fact, you know we have more sales in our short I guess, he sent psoriatic arthritis indications than we do with Este Lauder and we have high expectations for the brand with would fit out difficult like these data do we presented that. At digestive disease week. It just a few weeks from now on also a data on cross they cease to be presented also this year. We continue to see increased demand from our new product launches just don't take Violet Talbott, you gotta be deep we've gotta be paid just a few weeks ago, receiving FDA approval to move into the second line setting.

Jessica Moore: And specifically on Tremfya, now we have more sales in our psoriasis and psoriatic arthritis indications than we do with Stelara, and we have high expectations for the brand with ulcerative colitis data to be presented at the Digestive Disease Week just a few weeks from now, and also data on Crohn's disease to be presented also this year. We continue to see increased demand from our new product launches: Spravato, Tecvayli, Talvey, Carvykti, with Carvykti just a few weeks ago receiving FDA approval to move into the second-line setting. Now let me move into MedTech. We have demonstrated a strong performance across cardiovascular, in electrophysiology, and Abiomed, and we have made significant progress with our PFA portfolio.

And specifically on Tremfya, now we have more sales in our psoriasis and psoriatic arthritis indications than we do with Stelara, and we have high expectations for the brand with ulcerative colitis data to be presented at the Digestive Disease Week just a few weeks from now, and also data on Crohn's disease to be presented also this year. We continue to see increased demand from our new product launches: Spravato, Tecvayli, Talvey, Carvykti, with Carvykti just a few weeks ago receiving FDA approval to move into the second-line setting. Now let me move into MedTech. We have demonstrated a strong performance across cardiovascular, in electrophysiology, and Abiomed, and we have made significant progress with our PFA portfolio.

Speaker Change: At digestive disease week. It just a few weeks from now on also a data on cross they cease to be presented also this year. We continue to see increased demand from our new product launches just don't take Violet Talbott, you gotta be deep we've gotta be paid just a few weeks ago, receiving FDA approval to move into the second line setting.

We continue to see increased demand from our new product launches just don't take Violet Talbott, you gotta be deep we've gotta be paid just a few weeks ago, receiving FDA approval to move into the second line setting.

Joaquin Duato: Now let me move into MedTech. We have demonstrated a strong performance across cardiovascular, in electrophysiology and Abiomed and we have made significant progress with our PSA portfolio. We also have delivered several important capital allocation milestones in Q1, investing heavily in R&D, raising our dividend for the 62nd consecutive year, closing the Ambrx acquisition and announcing the planned acquisition of Shockwave Medical. As you have heard from Joe in his prepared remarks, we continue to make progress on achieving a responsible final and comprehensive resolution of the Talc litigation. Overall, I'm proud of the performance in the quarter, both in terms of the solid financial but also the numerous pipeline advancements. It is a solid start of the year that puts us in a position of strength for 2024. And it also the sustained progress gives us - give me great confidence in achieving our long-term growth goals of operational sales compounded annual growth rate of 5% to 7% from 2025 to 2030. Overall, it gives me great confidence in the future of Johnson & Johnson, now to Jennifer on your question, Terence, on CARVYKTI, TECVAYLI and TALVEY.

Jessica Moore: We also have delivered several important capital allocation milestones in Q1, investing heavily in R&D, raising our dividend for the 62nd consecutive year, closing the Ambrx acquisition, and announcing the planned acquisition of Shockwave Medical. As you have heard from Joe in his prepared remarks, we continue to make progress on achieving a responsible final and comprehensive resolution of the talc litigation. Overall, I'm proud of the performance in the quarter, both in terms of the solid financials but also the numerous pipeline advancements. It's a solid start of the year that puts us in a position of strength for 2024, and this sustained progress also gives me great confidence in achieving our long-term growth goals of operational sales compounded annual growth rate of 5% to 7% from 2025 to 2030. Overall, it gives me great confidence in the future of Johnson & Johnson.

We also have delivered several important capital allocation milestones in Q1, investing heavily in R&D, raising our dividend for the 62nd consecutive year, closing the Ambrx acquisition, and announcing the planned acquisition of Shockwave Medical. As you have heard from Joe in his prepared remarks, we continue to make progress on achieving a responsible final and comprehensive resolution of the talc litigation. Overall, I'm proud of the performance in the quarter, both in terms of the solid financials but also the numerous pipeline advancements. It's a solid start of the year that puts us in a position of strength for 2024, and this sustained progress also gives me great confidence in achieving our long-term growth goals of operational sales compounded annual growth rate of 5% to 7% from 2025 to 2030. Overall, it gives me great confidence in the future of Johnson & Johnson.

Speaker Change: Raising our dividend for the 62nd consecutive year closing the. Acquisition and announcing the planned acquisition of Shockwave medical. As you have heard from Joe in his prepared remarks, we continue to make progress on achieving our responsible final and comprehensive solution are often talk navigation overall I'm proud of the performance in the quarter. Both in terms of the solid financial but also the numerous pipeline advancements he says. Surely the start of the year puts us in a position of strength for the 'twenty 'twenty four. It also be sustained progress keeps us give me great confidence in achieving our long term growth goals operational sales compounded annual growth rate of five 7% from 2025 to two fashion authority well, but all it gives me great confidence in the future of Youngstown unusual now to Jennifer. On your question of students on car T take Valeant Tobey.

Speaker Change: Acquisition and announcing the planned acquisition of Shockwave medical. As you have heard from Joe in his prepared remarks, we continue to make progress on achieving our responsible final and comprehensive solution are often talk navigation overall I'm proud of the performance in the quarter. Both in terms of the solid financial but also the numerous pipeline advancements he says. Surely the start of the year puts us in a position of strength for the 'twenty 'twenty four. It also be sustained progress keeps us give me great confidence in achieving our long term growth goals operational sales compounded annual growth rate of five 7% from 2025 to two fashion authority well, but all it gives me great confidence in the future of Youngstown unusual now to Jennifer. On your question of students on car T take Valeant Tobey.

Speaker Change: As you have heard from Joe in his prepared remarks, we continue to make progress on achieving our responsible final and comprehensive solution are often talk navigation overall I'm proud of the performance in the quarter. Both in terms of the solid financial but also the numerous pipeline advancements he says. Surely the start of the year puts us in a position of strength for the 'twenty 'twenty four. It also be sustained progress keeps us give me great confidence in achieving our long term growth goals operational sales compounded annual growth rate of five 7% from 2025 to two fashion authority well, but all it gives me great confidence in the future of Youngstown unusual now to Jennifer. On your question of students on car T take Valeant Tobey.

Speaker Change: Surely the start of the year puts us in a position of strength for the 'twenty 'twenty four. It also be sustained progress keeps us give me great confidence in achieving our long term growth goals operational sales compounded annual growth rate of five 7% from 2025 to two fashion authority well, but all it gives me great confidence in the future of Youngstown unusual now to Jennifer. On your question of students on car T take Valeant Tobey.

Speaker Change: It also be sustained progress keeps us give me great confidence in achieving our long term growth goals operational sales compounded annual growth rate of five 7% from 2025 to two fashion authority well, but all it gives me great confidence in the future of Youngstown unusual now to Jennifer. On your question of students on car T take Valeant Tobey.

Jessica Moore: Now to Jennifer on your questions, Terrence, on Carvykti and Tecvayli and Talvey. Well, thanks, Joaquin. Hello, Terrence, and good morning, everybody. Just also a quick shout-out and a big thanks to our innovative medicine colleagues around the world delivering 8.3% adjusted operational growth, definitely above market growth for the quarter, with strength being really across our core launch, our core and launch brands, nine brands achieving double-digit growth, 10 actually, if you include Talvey in that mix, strong pipeline progress that Joaquin noted, and also the announcement and closing of our acquisition of Ambrx, really to add another key pipeline asset for us, as well as key technology that can help us in ADC. So really strong quarter all the way around.

Now to Jennifer on your questions, Terrence, on Carvykti and Tecvayli and Talvey.

Speaker Change: On your question of students on car T take Valeant Tobey.

Jennifer Taubert: Well, thanks, Joaquin. Hello, Terrence, and good morning, everybody. Just also a quick shout-out and a big thanks to our innovative medicine colleagues around the world delivering 8.3% adjusted operational growth, definitely above market growth for the quarter, with strength being really across our core launch, our core and launch brands, nine brands achieving double-digit growth, 10 actually, if you include Talvey in that mix, strong pipeline progress that Joaquin noted, and also the announcement and closing of our acquisition of Ambrx, really to add another key pipeline asset for us, as well as key technology that can help us in ADC. So really strong quarter all the way around.

Jennifer Taubert: Thanks, Joaquin. Hello Terence and good morning everybody. Just also a quick shout out and a big thanks to our Innovative Medicine colleagues around the world, delivering 8.3% adjusted operational growth, definitely above-market growth for the quarter, with strength being really across our core launch - our core and launch brands, nine brands achieving double-digit growth, 10 actually, if you include TALVEY in that mix. A strong pipeline progress that Joaquin noted and also the announcement and closing of our acquisition of Ambrx really to add another key pipeline asset for us, as well as key technology that can help us in ADCs. So, really strong quarter all the way around.

Jennifer Taubert: Brands nine brands, achieving double digit growth can actually if you include tell they in that next strong pipeline progress that Joaquin noted and also the announcement and closing of our acquisition of Ann Brexit I'd really to add keep another key pipeline asset for us as well as key technology that can help us. And ADC, so really strong quarter, all the way around.

Jennifer Taubert: And ADC, so really strong quarter, all the way around.

Jessica Moore: With respect to your question specifically in multiple myeloma and then Carvykti and Talvey, multiple myeloma continues to be a true stronghold for us, and we had significant performance and growth across the board in those assets during the quarter. I can start off real quickly with Darzalex with 21% growth, predominantly with that growth coming in the front-line setting. And also was noted that our Perseus data has been filed, which will offer us an additional expansion in front line. For Carvykti, we had over 100% growth versus the first quarter of 2023, very, very strong demand. We did have both the Adcom in the United States, which resulted in a unanimous recommendation for approval, and then the subsequent to the end of the quarter approval of Carvykti for that line two plus, which we think bodes very well.

With respect to your question specifically in multiple myeloma and then Carvykti and Talvey, multiple myeloma continues to be a true stronghold for us, and we had significant performance and growth across the board in those assets during the quarter. I can start off real quickly with Darzalex with 21% growth, predominantly with that growth coming in the front-line setting. And also was noted that our Perseus data has been filed, which will offer us an additional expansion in front line. For Carvykti, we had over 100% growth versus the first quarter of 2023, very, very strong demand. We did have both the Adcom in the United States, which resulted in a unanimous recommendation for approval, and then the subsequent to the end of the quarter approval of Carvykti for that line two plus, which we think bodes very well.

Jennifer Taubert: With respect to your question specifically in multiple myeloma and then CARVYKTI and TALVEY, multiple myeloma continues to be a true stronghold for us, and we had significant performance and growth across the board in those assets during the quarter. I can start off real quickly with DARZALEX with 21% growth, predominantly with that growth coming in the frontline setting and also it was noted that [inaudible] data has been filed, which will offer us an additional expansion in frontline. For CARVYKTI, we had over 100% growth versus the first quarter of 2023, very, very strong demand. We did have both the ADCOM in the United States, which results in an unanimous recommendation for approval and then the subsequent to the end of the quarter, approval of CARVYKTI for that line two plus, which we think bodes very well. I know there's always questions on how are we doing and how we're expanding our capacity, given the strength of the data and the additional data that's coming through in indications. I'm real happy to say we have doubled our manufacturing capacity since the beginning of 2023 for cell processing. We are continuing to work on our Gant facility to have that as a secondary source of supply. We brought on some contract manufacturers, and we have completely transformed and expanded antivirus production, so that that's not a rate-limiting step for us.

Jennifer Taubert: Predominantly without growth coming in the frontline setting. And also as noted that we are Perseus data has been filed and which will offer us an additional expansion in frontline for car victory, we had over 100% growth versus the first quarter of 2023 very very strong demand. We did have both the AD comm in the United States. [noise] resulted in a unanimous recommendation for approval and then the subsequent to the end of the quarter approval of <unk> for that line, two plus which we think bodes very well I know there's always questions on how are we doing and how are we expanding our capacity given the strength of the data and the additional. Data that's coming through in the indications I'm real happy to say, we have doubled our manufacturing capacity since the beginning of 2023 for cell processing. We are continuing to work on on our Ghent facility to have that as a secondary source of supply we've brought on some contract manufacturers and we have. Completely transformed and expand Atlanta virus production, so that that's not a rate limiting step for us.

Jennifer Taubert: And also as noted that we are Perseus data has been filed and which will offer us an additional expansion in frontline for car victory, we had over 100% growth versus the first quarter of 2023 very very strong demand. We did have both the AD comm in the United States. [noise] resulted in a unanimous recommendation for approval and then the subsequent to the end of the quarter approval of <unk> for that line, two plus which we think bodes very well I know there's always questions on how are we doing and how are we expanding our capacity given the strength of the data and the additional. Data that's coming through in the indications I'm real happy to say, we have doubled our manufacturing capacity since the beginning of 2023 for cell processing. We are continuing to work on on our Ghent facility to have that as a secondary source of supply we've brought on some contract manufacturers and we have. Completely transformed and expand Atlanta virus production, so that that's not a rate limiting step for us.

Jennifer Taubert: [noise] resulted in a unanimous recommendation for approval and then the subsequent to the end of the quarter approval of <unk> for that line, two plus which we think bodes very well I know there's always questions on how are we doing and how are we expanding our capacity given the strength of the data and the additional. Data that's coming through in the indications I'm real happy to say, we have doubled our manufacturing capacity since the beginning of 2023 for cell processing. We are continuing to work on on our Ghent facility to have that as a secondary source of supply we've brought on some contract manufacturers and we have. Completely transformed and expand Atlanta virus production, so that that's not a rate limiting step for us.

Jessica Moore: I know there's always questions on how we are doing and how we are expanding our capacity, given the strength of the data and the additional data that's coming through and indications. I'm real happy to say we have doubled our manufacturing capacity since the beginning of 2023 for cell processing. We are continuing to work on our Ghent facility to have that as a secondary source of supply. We've brought on some contract manufacturers, and we have completely transformed and expanded lentivirus production so that that's not a rate-limiting step for us. So I know we were roughly flat quarter to quarter from Q4 to Q1, as noted. That really just was some phasing and timing of orders and when they were actually delivered and billed for. Nothing that's anything to really see there.

I know there's always questions on how we are doing and how we are expanding our capacity, given the strength of the data and the additional data that's coming through and indications. I'm real happy to say we have doubled our manufacturing capacity since the beginning of 2023 for cell processing. We are continuing to work on our Ghent facility to have that as a secondary source of supply. We've brought on some contract manufacturers, and we have completely transformed and expanded lentivirus production so that that's not a rate-limiting step for us. So I know we were roughly flat quarter to quarter from Q4 to Q1, as noted. That really just was some phasing and timing of orders and when they were actually delivered and billed for. Nothing that's anything to really see there.

Jennifer Taubert: Data that's coming through in the indications I'm real happy to say, we have doubled our manufacturing capacity since the beginning of 2023 for cell processing. We are continuing to work on on our Ghent facility to have that as a secondary source of supply we've brought on some contract manufacturers and we have. Completely transformed and expand Atlanta virus production, so that that's not a rate limiting step for us.

Jennifer Taubert: Completely transformed and expand Atlanta virus production, so that that's not a rate limiting step for us. So I know, we were flat roughly flat quarter to quarter from <unk> to <unk> as noted that really just with some phasing and timing of orders and when they were actually delivered and billed for nothing that's out there you know anything to them.

Completely transformed and expand Atlanta virus production, so that that's not a rate limiting step for us.

Jennifer Taubert: So I know we were a flat - roughly flat quarter-to-quarter from 4Q to 1Q as noted, that really just was some phasing and timing of orders and when they were actually delivered and built for nothing that - anything to really see there. We do anticipate continued growth for this asset, particularly second half versus the first half as we continue to add more slots and expand our capacity. And based on the data and everything that we're seeing, we've continued to have a lot of optimism for how CARVYKTI is performing. Likewise, as it relates to TECVAYLI, the TECVAYLI launch is going very well around the world. Consistently, we're seeing very strong uptake and rapid adoption, whether we're in the U.S., Germany, Austria, France, the major markets that have launched to date and really as the first - and we believe best-in-class off-the-shelf BCMA bispecific - we really believe that that therapy is offering deep and durable responses. And so, a lot of optimism for continuing to drive the launch there. The product is performing well in the later line settings and is also performing very well from a competitive standpoint.

Jessica Moore: We do anticipate continued growth for this asset, particularly second half versus first half, as we continue to add more slots and expand our capacity. Based on the data and everything that we're seeing, we've continued to have a lot of optimism for how Carvykti is performing. Likewise, as it relates to Tecvayli, the Tecvayli launch is going very well around the world. Consistently, we're seeing very strong uptake and rapid adoption, whether we're in the US, Germany, Austria, France, the major markets that have launched to date. Really, as the first and we believe best in class off-the-shelf BCMA bispecific, we really believe that that therapy is offering deep and durable responses. So a lot of optimism for continuing to drive the launch there. The product is performing well in the later line settings and is also performing very well from a competitive standpoint.

We do anticipate continued growth for this asset, particularly second half versus first half, as we continue to add more slots and expand our capacity. Based on the data and everything that we're seeing, we've continued to have a lot of optimism for how Carvykti is performing. Likewise, as it relates to Tecvayli, the Tecvayli launch is going very well around the world. Consistently, we're seeing very strong uptake and rapid adoption, whether we're in the US, Germany, Austria, France, the major markets that have launched to date. Really, as the first and we believe best in class off-the-shelf BCMA bispecific, we really believe that that therapy is offering deep and durable responses. So a lot of optimism for continuing to drive the launch there. The product is performing well in the later line settings and is also performing very well from a competitive standpoint.

Jennifer Taubert: To really see there we do anticipate continued growth for this asset, particularly second half versus first half as we continue to add more slots in and expand our capacity and based on the data and everything that we're seeing we continue to have a lot of optimism for how <unk> is performing. Likewise as it relates to tech daily on the Tech Daily launch is going very well around the world consistently we're seeing very strong uptake. And rapid adoption, whether where you know in the U S, Germany, Austria, France, and then the major markets that have launched to date and really is as the first and we believe best in class off the shelf be CMA by specific we really believe that that therapy is often offering deep and durable responses and so a lot of opt. Ms them for continuing to drive the launch there the product is performing well in a later line settings and is also performing very well from a competitive standpoint,

Likewise as it relates to tech daily on the Tech Daily launch is going very well around the world consistently we're seeing very strong uptake. And rapid adoption, whether where you know in the U S, Germany, Austria, France, and then the major markets that have launched to date and really is as the first and we believe best in class off the shelf be CMA by specific we really believe that that therapy is often offering deep and durable responses and so a lot of opt. Ms them for continuing to drive the launch there the product is performing well in a later line settings and is also performing very well from a competitive standpoint,

Jennifer Taubert: And rapid adoption, whether where you know in the U S, Germany, Austria, France, and then the major markets that have launched to date and really is as the first and we believe best in class off the shelf be CMA by specific we really believe that that therapy is often offering deep and durable responses and so a lot of opt. Ms them for continuing to drive the launch there the product is performing well in a later line settings and is also performing very well from a competitive standpoint,

Jennifer Taubert: Ms them for continuing to drive the launch there the product is performing well in a later line settings and is also performing very well from a competitive standpoint, and and last but not least is actually tell they wish.

Ms them for continuing to drive the launch there the product is performing well in a later line settings and is also performing very well from a competitive standpoint,

Jessica Moore: Last but not least is actually Talvey, which is our 10th product with double-digit growth, although that falls in the all-other oncology category, so we're not fully breaking that out yet, but very, very strong uptake as the first and only GPRC5D off-the-shelf bispecific as well. So I think what this really means is we have got fabulous opportunities across lines of therapy with what we believe are truly best-in-class agents, and many of these agents have potential as well to be combined as we work towards a cure in multiple myeloma. So significant business for us, and I'm very positive on our outlook for the rest of the year and going forward. Thank you. Our next question is coming from Larry Biegelsen from Wells Fargo. Your line is now live. Good morning. Thanks for taking the question. Question for Tim.

Last but not least is actually Talvey, which is our 10th product with double-digit growth, although that falls in the all-other oncology category, so we're not fully breaking that out yet, but very, very strong uptake as the first and only GPRC5D off-the-shelf bispecific as well. So I think what this really means is we have got fabulous opportunities across lines of therapy with what we believe are truly best-in-class agents, and many of these agents have potential as well to be combined as we work towards a cure in multiple myeloma. So significant business for us, and I'm very positive on our outlook for the rest of the year and going forward.

Jennifer Taubert: And last but not least is actually TALVEY, which is our 10th product with double-digit growth, although that falls in the all other oncology categories. So, we're not fully breaking that out yet. But very, very strong uptake as the first in GPRC5D off-the-shelf by bispecific as well. So, I think what this really means is we have got fabulous opportunities across lines of therapy with what we believe are truly best-in-class agents and many of these agents have potential as well to be combined as we work towards curing multiple myeloma. So, a significant business for us, and I'm very positive on our outlook for the rest of the year and going forward.

Jennifer Taubert: Which is our our 10th product with double digit growth, although that falls in the all other oncology category. So we're not fully breaking that out yet but.

Jennifer Taubert: But very very strong uptake as the first and only G. P. <unk> off the shelf by specific as well. So I think what this really means is we have got fabulous opportunities across lines of therapy and with what we believe are truly best in class agents and many of these agents have potential as well to become.

Jennifer Taubert: Mind as we work towards our care in multiple myeloma, so a significant business for us and I'm very positive on our outlook for the rest of the year and going forward.

Operator: Thank you. Our next question is coming from Larry Biegelsen from Wells Fargo. Your line is now live.

Operator: Thank you. Our next question is coming from Larry Biegelsen from Wells Fargo. Your line is now live.

Larry Biegelsen: Good morning. Thanks for taking the question. Question for Tim.

Larry Biegelsen: Good morning, thanks for taking the question. A question for Tim. Your MedTech business grew 6.5% on an adjusted operational basis in Q1, but there were a number of onetime items. What was the net impact from those onetime items in your view and what are you seeing around the world from a procedure standpoint and what are your expectations for the rest of the year? Thank you.

Jessica Moore: Your medtech business grew 6.5% on an adjusted operational basis in Q1, but there were a number of one-time items. What was the net impact from those one-time items in your view, and what are you seeing around the world from a procedure standpoint, and what are your expectations for the rest of the year? Thank you. Well, thank you for the question, Larry. Let me maybe just reflect a little on the journey that we've been on. As you know, we surpassed $30 billion last year with adjusted operational growth of 7.8%. I think it's important to note that when we compare ourselves against the majority of the competitors within our competitive composite, we are double their size. So that is performance that we are particularly proud of. We've now followed that up with another solid quarter of 6.3% growth in the first quarter.

Your medtech business grew 6.5% on an adjusted operational basis in Q1, but there were a number of one-time items. What was the net impact from those one-time items in your view, and what are you seeing around the world from a procedure standpoint, and what are your expectations for the rest of the year? Thank you.

Larry Biegelsen: Med Tech business grew six 5% on an adjusted operational basis in Q1. But there were a number of one time items, what what was the net impact from those one time items in your view and what are you seeing around the world you know from a procedure standpoint, and what are your expectations for the rest of the year. Thank you.

Larry Biegelsen: But there were a number of one time items, what what was the net impact from those one time items in your view and what are you seeing around the world you know from a procedure standpoint, and what are your expectations for the rest of the year. Thank you.

Tim Schmid: Well, thank you for the question, Larry. Let me maybe just reflect a little on the journey that we've been on. As you know, we surpassed $30 billion last year with adjusted operational growth of 7.8%. I think it's important to note that when we compare ourselves against the majority of the competitors within our competitive composite, we are double their size. So that is performance that we are particularly proud of. We've now followed that up with another solid quarter of 6.3% growth in the first quarter.

Tim Schmid: Well, thank you for the question, Larry. And let me maybe just reflect a little on the journey that we've been on. As you know, we surpassed $30 billion last year with adjusted operational growth of 7.8%. And I think it's important to note that when we compare ourselves against the majority of the competitors within our competitive composite, we are double their size. So, that is performance that we are particularly proud of. We've now followed that up with another solid quarter of 6.3% growth in the first quarter. Now Larry, to your point, there has been some noise in that. We are particularly proud of the tremendous double-digit growth within our Electrophysiology business. And to put that in context, this is a business that is nearing on $5 billion, growing north of 20%. And I think that really calls out the leadership position, which we're continuing to build on and couldn't be more excited about the progress we're making in PFA, which we believe also will continue to drive that performance.

Speaker Change: We surpassed $30 billion last year with our adjusted operational growth of seven 8% and I think it's important to note that when we compare ourselves against the majority of the competitors, where they're not competitive compelling composite we are double their size. So that his performance that we are particularly proud of we've now followed that up with another solid quarter of $6. 3% growth in the first quarter now Larry to your point there has been some noise in that we are particularly proud of the tremendous double digit growth within our electrophysiology business and to put that in context. This is a business that is nearing on $5 billion growing north of 20%. And I think that really calls out the leadership position, which we're continuing to build on and couldn't be more excited about the progress we're making in P. F E, which we believe also will continue to drive that performance.

Speaker Change: 3% growth in the first quarter now Larry to your point there has been some noise in that we are particularly proud of the tremendous double digit growth within our electrophysiology business and to put that in context. This is a business that is nearing on $5 billion growing north of 20%. And I think that really calls out the leadership position, which we're continuing to build on and couldn't be more excited about the progress we're making in P. F E, which we believe also will continue to drive that performance.

Jessica Moore: Now, Larry, to your point, there has been some noise in that. We are particularly proud of the tremendous double-digit growth within our electrophysiology business. To put that in context, this is a business that is nearing on $5 billion, growing north of 20%. And I think that really calls out the leadership position, which we're continuing to build on, and couldn't be more excited about the progress we're making in PFA, which we believe also will continue to drive that performance. There has been some noise specifically in relation to our vision business, but please rest assured we are extremely confident in the underlying health of our vision portfolio. This is a business that grew 6.6% last year, and we expect it to grow in high single-digit performance this year.

Now, Larry, to your point, there has been some noise in that. We are particularly proud of the tremendous double-digit growth within our electrophysiology business. To put that in context, this is a business that is nearing on $5 billion, growing north of 20%. And I think that really calls out the leadership position, which we're continuing to build on, and couldn't be more excited about the progress we're making in PFA, which we believe also will continue to drive that performance. There has been some noise specifically in relation to our vision business, but please rest assured we are extremely confident in the underlying health of our vision portfolio. This is a business that grew 6.6% last year, and we expect it to grow in high single-digit performance this year.

Speaker Change: And I think that really calls out the leadership position, which we're continuing to build on and couldn't be more excited about the progress we're making in P. F E, which we believe also will continue to drive that performance.

Tim Schmid: There has been some noise specifically in relation to our Vision business. But please rest assured we are extremely confident in the underlying health of our Vision portfolio. This is a business that grew 6.6% last year, and we expect it to grow in high single-digit performance this year. There has been some stocking issues related to distributor inventory, which was the predominant driver of the performance you see this year. But once again, very confident that we'll see that return to strong single-digit performance for the remainder of the year. There have been a couple of one-timers, both in terms of selling days, as we mentioned earlier, about 80 bps of selling days and then a revenue recognition change within our orthopedics business, which impacted that business by about 300 basis points. But all in all, a strong quarter Larry, and we remain very committed to strong, high single-digit growth for the remainder of the year for 2024. Thank you.

Jessica Moore: There has been some stocking issues related to distributor inventory, which was the predominant driver of the performance you see this year, but once again, very confident that we'll see that return to strong single-digit performance for the remainder of the year. There have been a couple of one-timers, both in terms of selling days, as we mentioned earlier, about 80 basis points of selling days, and then a revenue recognition change within our orthopedics business, which impacted that business by about 300 basis points. But all in all, a strong quarter, Larry, and we remain very committed to strong, high single-digit growth for the remainder of the year for 2024. Thank you. Larry, I just want to maybe add on to Tim's good comments there.

There has been some stocking issues related to distributor inventory, which was the predominant driver of the performance you see this year, but once again, very confident that we'll see that return to strong single-digit performance for the remainder of the year. There have been a couple of one-timers, both in terms of selling days, as we mentioned earlier, about 80 basis points of selling days, and then a revenue recognition change within our orthopedics business, which impacted that business by about 300 basis points. But all in all, a strong quarter, Larry, and we remain very committed to strong, high single-digit growth for the remainder of the year for 2024. Thank you.

Speaker Change: <unk>. This year there has been some stocking issues related to distributor inventory, which was the predominant driver of the performance you see this year, but once again very confident that we'll see that return to to strong single digit performance for the remainder of the year. There had been a couple of one timers both in terms of of selling days. As we mentioned earlier about 80 bps of selling days and then a revenue recognition change within our orthopedics business, which impacted that business by about 300 basis points. But all in all a strong quarter, Larry and we remain very committed to strong high single digit growth for the remainder of the year for 2024. Thank you

Speaker Change: As we mentioned earlier about 80 bps of selling days and then a revenue recognition change within our orthopedics business, which impacted that business by about 300 basis points. But all in all a strong quarter, Larry and we remain very committed to strong high single digit growth for the remainder of the year for 2024. Thank you

Speaker Change: But all in all a strong quarter, Larry and we remain very committed to strong high single digit growth for the remainder of the year for 2024. Thank you Larry I just want to maybe add onto terms. Good comments there. The one timers, there was tailwind and headwinds in that number so the six 3% that you that you're seeing a six 5%.

But all in all a strong quarter, Larry and we remain very committed to strong high single digit growth for the remainder of the year for 2024. Thank you

Joe Wolk: Larry, I just want to maybe add on to Tim's good comments there.

Joseph J. Wolk: Larry, I just want to maybe add on to Tim's good comments there. The one timers, there was tailwinds and headwinds in that number. So, the 6.3% that you're seeing - 6.5% is pretty much a true number when you consider both sides of the equation.

Jessica Moore: The one-timers, there was tailwinds and headwinds in that number, so the 6.3% that you're seeing, the 6.5%, is pretty much a true number when you consider both sides of the equation. Thank you. Our next question is coming from Chris Schott from JPMorgan. Your line is now live. Great. Thanks so much for the question. I just have a BD question here. I guess following the Shockwave acquisition, what's the appetite, I guess, for further maybe talking about larger tuck-in type transactions, either in your medtech or pharma business? It just seems like the portfolio and the pipeline at J&J has evolved pretty nicely over the past few years.

The one-timers, there was tailwinds and headwinds in that number, so the 6.3% that you're seeing, the 6.5%, is pretty much a true number when you consider both sides of the equation.

Speaker Change: Pretty much a true number when you consider both sides of the equation.

Operator: Thank you. Our next question is coming from Chris Schott from JPMorgan. Your line is now live.

Operator: Thank you. Our next question is coming from Chris Schott from J.P. Morgan. Your line is now live.

Chris Schott: Great. Thanks so much for the question. I just have a BD question here. I guess following the Shockwave acquisition, what's the appetite, I guess, for further maybe talking about larger tuck-in type transactions, either in your medtech or pharma business? It just seems like the portfolio and the pipeline at J&J has evolved pretty nicely over the past few years.

Chris Schott: Great, thanks so much for the question. I think BD type question here. I guess following the Shockwave acquisition, what's the appetite, I guess, for further away, maybe talk about like larger tuck-in type transactions either in your MedTech or Pharma business. It just seems like the portfolio and the pipeline at J&J has evolved pretty nicely over the past few years and I'm interested if you think the business is now at a point where we can think about maybe smaller, earlier-stage assets as the primary focus for BD or do you still have a greater sense of urgency either in MedTech or pharma to add some of these kind of bolt-on type transactions going forward? Thanks so much.

Jessica Moore: I'm interested if you think the business is now at a point where we can think about maybe smaller, earlier-stage assets as the primary focus for BD, or do you still have a greater sense of urgency either in medtech or pharma to add some of these kind of bolt-on type transactions going forward? Thanks so much. Thank you, Chris, and this is Joaquin, and I'm glad that you recognize the strategic consistency of our M&A trajectory, and that's good. Our M&A strategy looks for the long term, so it's not going to change. Our capital allocation strategy will continue to be disciplined, and M&A is going to remain a critical component of that. It's important for me to underline that with the strength of our cash flow and our balance sheet, we have significant flexibility to consider multiple types of transactions, as you mentioned.

I'm interested if you think the business is now at a point where we can think about maybe smaller, earlier-stage assets as the primary focus for BD, or do you still have a greater sense of urgency either in medtech or pharma to add some of these kind of bolt-on type transactions going forward? Thanks so much.

Chris Schott: And I'm interested if you think the business is now at a point, where we can think about maybe smaller earlier stage assets as the primary focus for BD or do you still have a greater sense of urgency either in med tech or pharma to add some of these kind of bolt on type transactions going forward. Thanks. So much. Thank you could eat in D C squawking and.

And I'm interested if you think the business is now at a point, where we can think about maybe smaller earlier stage assets as the primary focus for BD or do you still have a greater sense of urgency either in med tech or pharma to add some of these kind of bolt on type transactions going forward. Thanks. So much.

Joaquin Duato: Thank you, Chris, and this is Joaquin, and I'm glad that you recognize the strategic consistency of our M&A trajectory, and that's good. Our M&A strategy looks for the long term, so it's not going to change. Our capital allocation strategy will continue to be disciplined, and M&A is going to remain a critical component of that. It's important for me to underline that with the strength of our cash flow and our balance sheet, we have significant flexibility to consider multiple types of transactions, as you mentioned.

Joaquin Duato: Thank you, Chris, and this is Joaquin. I'm glad that you recognize the strategic consistency of our M&A trajectory, and that's good. Our M&A strategy looks for the long term. So, it's not going to change. Our capital allocation strategy will continue to be disciplined and M&A, it's going to be - remain a critical component of that. And it's important for me to underline that with the strength of our cash flow and our balance sheet, we have significant flexibility to consider multiple types of transactions, as you mentioned. And what we have done so far is a demonstration of that with Abiomed, Laminar, Ambrx, and now the planned acquisition of Shockwave, all of them are good examples of our study consistency and the principles that we have outlined to you. So, that is not going to change. Our M&A strategy is not going to change.

Chris Schott: I'm glad that you recognize the strategic consistency of a war and money trajectory and that's that's good you know our M&A strategy looks for the long term so it's not going to change our. Our capital allocation strategy will continue to be the steep lean on pay money. It's gonna be remain a critical component of that and it's important for me to underline that with the strength of our cash flow and our balance sheet. We we have significant flexibility to consider multiple. All types of transactions as you mention are on what we have done so far each had their own installation of that without <unk>. Not him, but he looks now. How are the planned acquisition of Shockwave all of them are good examples of our Saudi of course teams the consistency and the principles that we have outlined to you. So that is not going to change. Our M&A. You said I think he's not going to change

Speaker Change: Our capital allocation strategy will continue to be the steep lean on pay money. It's gonna be remain a critical component of that and it's important for me to underline that with the strength of our cash flow and our balance sheet. We we have significant flexibility to consider multiple. All types of transactions as you mention are on what we have done so far each had their own installation of that without <unk>. Not him, but he looks now. How are the planned acquisition of Shockwave all of them are good examples of our Saudi of course teams the consistency and the principles that we have outlined to you. So that is not going to change. Our M&A. You said I think he's not going to change

Speaker Change: All types of transactions as you mention are on what we have done so far each had their own installation of that without <unk>. Not him, but he looks now. How are the planned acquisition of Shockwave all of them are good examples of our Saudi of course teams the consistency and the principles that we have outlined to you. So that is not going to change. Our M&A. You said I think he's not going to change

Jessica Moore: And what we have done so far, it's a demonstration of that with Abiomed, Laminar, Ambrx, and now the planned acquisition of Shockwave. All of them are good examples of our strategic consistency and the principles that we have outlined to you. So that is not going to change. Our M&A strategy is not going to change. We continue to evaluate opportunities agnostic to the sector and size, and what we are looking for, it's a number of components. One, does this technology improve the current standard of care? That's critical for us. To what extent we believe there is a patient impact which is positive. Number two, is it consistent with the capabilities and knowledge that we have in-house? We see a correlation between that and the success in the acquisitions.

And what we have done so far, it's a demonstration of that with Abiomed, Laminar, Ambrx, and now the planned acquisition of Shockwave. All of them are good examples of our strategic consistency and the principles that we have outlined to you. So that is not going to change. Our M&A strategy is not going to change. We continue to evaluate opportunities agnostic to the sector and size, and what we are looking for, it's a number of components. One, does this technology improve the current standard of care? That's critical for us. To what extent we believe there is a patient impact which is positive. Number two, is it consistent with the capabilities and knowledge that we have in-house? We see a correlation between that and the success in the acquisitions.

Speaker Change: Not him, but he looks now. How are the planned acquisition of Shockwave all of them are good examples of our Saudi of course teams the consistency and the principles that we have outlined to you. So that is not going to change. Our M&A. You said I think he's not going to change

Speaker Change: How are the planned acquisition of Shockwave all of them are good examples of our Saudi of course teams the consistency and the principles that we have outlined to you. So that is not going to change. Our M&A. You said I think he's not going to change we'll continue to evaluate opportunities are agnostic to the to the sector on size.

How are the planned acquisition of Shockwave all of them are good examples of our Saudi of course teams the consistency and the principles that we have outlined to you. So that is not going to change. Our M&A. You said I think he's not going to change

Joaquin Duato: We'll continue to evaluate opportunities agnostic to the sector and size and what we are looking for, it's a number of components. One, does this technology improve the current standard of care. That's critical for us. To what extent we believe there is a patient impact, which is positive. Number two, does it - is it consistent with the capabilities and knowledge that we have in-house. We see a correlation between that and the success in the acquisitions. Number three, does it enable us to enter into higher growth markets, so areas that are growing in which we can continue to develop that market. And finally, and very important for us, does it continue to deliver a compelling financial result for our shareholders. So, that's our M&A strategy, and it's been a cornerstone of our ability to create value. I am glad that you recognize the consistency that we have deployed, and it's not going to change looking into the future. When we think about M&A, we think in decades, we don't think opportunistically.

Speaker Change: On what we are looking for it's a number of components. One dossett. These technology improve the current standard of care that's critical for us to what extent, we believe there is a patient impact which is positive. Or two does seed dustheap is it consistent with the capabilities and knowledge that we have in house, we see a correlation between that and the success in the acquisitions number three does seat enabled us to enter into higher growth markets. So ats that that are growing in which we can. <unk> developed at market finally, and very important for us that seat continued to deliver a compelling financial to be sold. For our shareholders. So that's our Monday yesterday, and it's been a cornerstone of our ability to create value. I am glad that you recognized the consistency that we have deployed and it's not going to change looking into the future. When we think about the money. We think are in decades, we don't think opportunistically.

Speaker Change: Or two does seed dustheap is it consistent with the capabilities and knowledge that we have in house, we see a correlation between that and the success in the acquisitions number three does seat enabled us to enter into higher growth markets. So ats that that are growing in which we can. <unk> developed at market finally, and very important for us that seat continued to deliver a compelling financial to be sold. For our shareholders. So that's our Monday yesterday, and it's been a cornerstone of our ability to create value. I am glad that you recognized the consistency that we have deployed and it's not going to change looking into the future. When we think about the money. We think are in decades, we don't think opportunistically.

Jessica Moore: Number three, does it enable us to enter into higher growth markets, so areas that are growing in which we can continue to develop that market? And finally, and very important for us, does it continue to deliver a compelling financial result for our shareholders? So that's our M&A strategy, and it's been a cornerstone of our ability to create value. I am glad that you recognize the consistency that we have deployed, and it's not going to change looking into the future. When we think about M&A, we think in decades. We don't think opportunistically. Thank you. Our next question is coming from Joanne Wuensch from Citibank. Your line is now live. Good morning, and thank you for taking the question. Can we circle back to vision care, please, and can we unpack the different parts that are positives, and negatives on the IOL and the contact lens business?

Number three, does it enable us to enter into higher growth markets, so areas that are growing in which we can continue to develop that market? And finally, and very important for us, does it continue to deliver a compelling financial result for our shareholders? So that's our M&A strategy, and it's been a cornerstone of our ability to create value. I am glad that you recognize the consistency that we have deployed, and it's not going to change looking into the future. When we think about M&A, we think in decades. We don't think opportunistically.

Speaker Change: <unk> developed at market finally, and very important for us that seat continued to deliver a compelling financial to be sold. For our shareholders. So that's our Monday yesterday, and it's been a cornerstone of our ability to create value. I am glad that you recognized the consistency that we have deployed and it's not going to change looking into the future. When we think about the money. We think are in decades, we don't think opportunistically.

Speaker Change: For our shareholders. So that's our Monday yesterday, and it's been a cornerstone of our ability to create value. I am glad that you recognized the consistency that we have deployed and it's not going to change looking into the future. When we think about the money. We think are in decades, we don't think opportunistically.

Speaker Change: I am glad that you recognized the consistency that we have deployed and it's not going to change looking into the future. When we think about the money. We think are in decades, we don't think opportunistically.

Operator: Thank you. Our next question is coming from Joanne Wuensch from Citibank. Your line is now live.

Operator: Thank you. Our next question is coming from Joanne Wuensch from Citibank. Your line is now live.

Joanne Wuensch: Good morning, and thank you for taking the question. Can we circle back to vision care, please, and can we unpack the different parts that are positives, and negatives on the IOL and the contact lens business?

Joanne K. Wuensch: Good morning and thank you for taking the questions. Can you maybe circle back to Vision Care, please and can we unpack the different parts that are positive and negatives on the IO and the contact lens business? Thank you.

Jessica Moore: Thank you. Of course, Joanne. And thank you for bringing this up because it does look odd and certainly isn't consistent with our expectations or the performance that we expect going forward from that business. As I mentioned earlier, this is a business that grew 6.6% in 2023 and actually consistently grows in high single digits. We absolutely believe in the underlying health of our vision business and that it remains strong and continues to perform above market. As I mentioned earlier, the Q1 performance was predominantly driven by a contraction of US distributor inventory in contact lens. As we have mentioned in the past, we had some variability in terms of our supply, which resulted in changes within distributor inventory.

Tim Schmid: Thank you. Of course, Joanne. And thank you for bringing this up because it does look odd and certainly isn't consistent with our expectations or the performance that we expect going forward from that business. As I mentioned earlier, this is a business that grew 6.6% in 2023 and actually consistently grows in high single digits. We absolutely believe in the underlying health of our vision business and that it remains strong and continues to perform above market. As I mentioned earlier, the Q1 performance was predominantly driven by a contraction of US distributor inventory in contact lens. As we have mentioned in the past, we had some variability in terms of our supply, which resulted in changes within distributor inventory.

Joanne K. Wuensch: Thank you.

Joaquin Duato: Of course, Joanne and thank you for bringing this up because it does look odd and certainly isn't consistent with our expectations or the performance that we expect going forward from that business. As I mentioned earlier, this is a business that grew 6.6% in 2023 and actually consistently grows in high single-digit. We absolutely believe in the underlying health of our Vision business and that it remains strong and continues to perform above market. As I mentioned earlier, the Q1 performance was predominantly driven by a contraction of U.S. distributor inventory in contact lens. As we have mentioned in the past, we had some variability in terms of our supply, which resulted in changes within distributor inventory. We've now started to see that as our supply for contact lenses has stabilized, we've started to see a normalization of the inventory that our distributors are carrying on hand. And so, that is the big driver in the results that you see today.

Joanne K. Wuensch: As I mentioned earlier this is a business that grew six 6% in 2023 and actually consistently grows and high single digit we absolutely believe in the underlying health of our vision business and that it remains strong and continues to perform above market as I mentioned earlier. The Q1 performance was predominantly driven. By a contraction of U S distributor distributor inventory in contact lens as we have mentioned in the past we had some variability in terms of our supply which resulted in and changes within distributor inventory. We've now started to see that as our supply for contact lenses has stabilized we've started to see a normalization of the inventory. That our distributors distributors are carrying on hand, and so that is the big driver in the results that you see today as.

Joanne K. Wuensch: By a contraction of U S distributor distributor inventory in contact lens as we have mentioned in the past we had some variability in terms of our supply which resulted in and changes within distributor inventory. We've now started to see that as our supply for contact lenses has stabilized we've started to see a normalization of the inventory. That our distributors distributors are carrying on hand, and so that is the big driver in the results that you see today as.

Jessica Moore: We've now started to see that as our supply for contact lenses has stabilized, we've started to see a normalization of the inventory that our distributors are carrying on hand. And so that is the big driver in the results that you see today. As you know, in contact lens, this is an annuity business where it's all about how you gain your fair share of new users while at the same time protecting the base. We are incredibly pleased with the ongoing performance of our premium Acuvue Oasys One Day family, and we are seeing unprecedented share gains in multifocal. I will also say that if we look at sequential share gains across the contact lens business, we are seeing sequential gains, which should bode well for continued performance for the remainder of the year.

We've now started to see that as our supply for contact lenses has stabilized, we've started to see a normalization of the inventory that our distributors are carrying on hand. And so that is the big driver in the results that you see today. As you know, in contact lens, this is an annuity business where it's all about how you gain your fair share of new users while at the same time protecting the base. We are incredibly pleased with the ongoing performance of our premium Acuvue Oasys One Day family, and we are seeing unprecedented share gains in multifocal. I will also say that if we look at sequential share gains across the contact lens business, we are seeing sequential gains, which should bode well for continued performance for the remainder of the year.

That our distributors distributors are carrying on hand, and so that is the big driver in the results that you see today as.

Joaquin Duato: As you know, in contact lens, this is an annuity business where it's all about how you gain your fair share of new users, while at the same time, protecting the base. We are incredibly pleased with the ongoing performance of our premium ACUVUE OASYS 1-Day family and we are seeing unprecedented share gains in multifocal. I will also say that if we look at sequential share gains across the contact lens business, we are seeing sequential gains, which should bode well for continued performance for the remainder of the year. Specifically to IOLs, as you know, we are not currently a market leader, but we are expecting to deliver the fourth consecutive year of global share gains driven primarily by tremendous performances of our IOL business in Asia Pac and in EMEA. We're also excited, as you heard from Jess earlier, by the limited market release of our TECNIS PURESEE and Odyssey next-gen multifocals and we'll see a full release occurred through the remainder of the year. So once again, very confident that you will see tremendous improvement in the performance of that business, and we expect high single-digit growth for Vision for 2024. Thank you Joanne.

Joanne K. Wuensch: Say that if we look at sequential share gains across the contact lens business. We are seeing sequential gains, which should bode well for continued performance for the remainder of the year, specifically to I O else as you know we don't we're not currently market leader, but we are expecting to deliver the fourth consecutive year of global share gains driven primarily by a tremendous performances of our <unk> business in Asia Pac and in EMEA. We're also excited as you heard from Jeff's earlier by the limited market release of our Technosphere seeing the Odyssey. Jen Multifocal and we'll see a full release occurred through the remainder of the year. So once again very confident. That you will see tremendous improvement in the performance of that business and we expect high single digit growth for vision for 2024. Thank you Joanne.

We are seeing sequential gains, which should bode well for continued performance for the remainder of the year, specifically to I O else as you know we don't we're not currently market leader, but we are expecting to deliver the fourth consecutive year of global share gains driven primarily by a tremendous performances of our <unk> business in Asia Pac and in EMEA. We're also excited as you heard from Jeff's earlier by the limited market release of our Technosphere seeing the Odyssey. Jen Multifocal and we'll see a full release occurred through the remainder of the year. So once again very confident. That you will see tremendous improvement in the performance of that business and we expect high single digit growth for vision for 2024. Thank you Joanne.

Jessica Moore: Specifically to IOLs, as you know, we are not currently market leader, but we are expecting to deliver the fourth consecutive year of global share gains driven primarily by tremendous performances of our IOL business in Asia-Pacific and in EMEA. We're also excited, as you heard from Jess earlier, by the limited market release of our Tecnis PureSee and Odyssey next-gen multifocals, and we'll see a full release occur through the remainder of the year. So once again, very confident that you will see tremendous improvement in the performance of that business, and we expect high single-digit growth for vision for 2024. Thank you, Joanne. Thank you. Next question is coming from Chris Shibutani from Goldman Sachs. Your line is now live. Great. Thank you very much. Good morning.

Specifically to IOLs, as you know, we are not currently market leader, but we are expecting to deliver the fourth consecutive year of global share gains driven primarily by tremendous performances of our IOL business in Asia-Pacific and in EMEA. We're also excited, as you heard from Jess earlier, by the limited market release of our Tecnis PureSee and Odyssey next-gen multifocals, and we'll see a full release occur through the remainder of the year. So once again, very confident that you will see tremendous improvement in the performance of that business, and we expect high single-digit growth for vision for 2024. Thank you, Joanne.

Joanne K. Wuensch: We're also excited as you heard from Jeff's earlier by the limited market release of our Technosphere seeing the Odyssey. Jen Multifocal and we'll see a full release occurred through the remainder of the year. So once again very confident. That you will see tremendous improvement in the performance of that business and we expect high single digit growth for vision for 2024. Thank you Joanne.

Joanne K. Wuensch: Jen Multifocal and we'll see a full release occurred through the remainder of the year. So once again very confident. That you will see tremendous improvement in the performance of that business and we expect high single digit growth for vision for 2024. Thank you Joanne.

Joanne K. Wuensch: That you will see tremendous improvement in the performance of that business and we expect high single digit growth for vision for 2024. Thank you Joanne.

Operator: Thank you. Next question is coming from Chris Shibutani from Goldman Sachs. Your line is now live.

Operator: Thank you. Your next question is coming from Chris Shibutani from Goldman Sachs. Your line is now live.

Operator: Great. Thank you very much. Good morning.

Chris Shibutani: Great, thank you very much. Good morning. If I could ask about the Pulmonary Hypertension business. This quarter, quite strong. You mentioned, in particular, share gains and favorable patient mix, if you could help us understand that a little bit better? And then on the forward, the pulmonary arterial hypertension segment is anticipated to see some disruption with the introduction of the recently approved product from [inaudible] there. Can you comment on what you're thinking the portfolio will perform and how that market will respond to this anticipated shift? Thank you.

Jessica Moore: If I could ask about the pulmonary hypertension business this quarter, quite strong. You mentioned in particular share gains and favorable patient mix. If you could help us understand that a little bit better. Going forward, the pulmonary arterial hypertension segment is anticipated to see some disruption with the introduction of the recently approved product from Merck, Winrevair. Can you comment on what you're thinking the portfolio will perform and how that market will respond to this anticipated shift? Thank you. Hi, Chris. It's Jennifer. So yeah, we're really pleased with our pulmonary hypertension results for the first quarter, with both Opsummit and Uptravi delivering strong growth. That was both volume and share gains in the market, as well as some favorable patient mix, and really rounding out a year of favorable patient mix.

Jessica Moore: If I could ask about the pulmonary hypertension business this quarter, quite strong. You mentioned in particular share gains and favorable patient mix. If you could help us understand that a little bit better. Going forward, the pulmonary arterial hypertension segment is anticipated to see some disruption with the introduction of the recently approved product from Merck, Winrevair. Can you comment on what you're thinking the portfolio will perform and how that market will respond to this anticipated shift? Thank you.

Christian: Recently approved product from Merck when we're there can you comment on what you're thinking the portfolio will perform and how that market will respond to this anticipated shift. Thank you.

Jennifer Taubert: Hi, Chris. It's Jennifer. So yeah, we're really pleased with our pulmonary hypertension results for the first quarter, with both Opsummit and Uptravi delivering strong growth. That was both volume and share gains in the market, as well as some favorable patient mix, and really rounding out a year of favorable patient mix.

Jennifer Taubert: Hi Chris, it's Jennifer. So yes, we're really pleased with our Pulmonary Hypertension results for the first quarter with both OPSUMIT and UPTRAVI delivering strong growth that was both volume and share gains in the market, as well as some favorable patient mix and really rounding out a year of favorable patient mix. That last piece we don't see continuing to go forward to the same degree. But the products are performing very well for patients with PAH. Importantly, in the quarter, we got approval for OPSYNVI, which is the first combination tablet of PDE5 and an ERA. This is in line with guidelines. It's really once a patient is diagnosed really the right first choice for them is to start them on combination therapy. And so, we think that this is an important introduction. And as we take a look at our portfolio and even despite other new competitors that are coming in, we do believe with OPSUMIT and UPTRAVI, they have got very strong usage and both with the launch of OPSYNVI as well as what we have, that these will continue to be really productive assets and a good therapeutic area for us.

Jennifer Taubert: Volume and share gains in the market as well as some favorable patient mix and really rounding out a year of favorable patient mix that last piece, we don't see continuing to go forward to the same degree, but the products are performing very well for patients with with P. H importantly in the quarter. We got approval for up Cindy, which is the first combination tablet a PDE five and an E. R. A this is in line with guidelines is really once the patients diagnosed really the right first choice for them is to start them on combination therapy and so we think that this is an important introduction and as. We take a look at our portfolio and you know even despite other new competitors that are coming in we do believe without summit and <unk>, they've got a very strong usage and both with the launch about Cindy as well as what we have that these will continue to be really productive assets and a good therapeutic area for us.

Jessica Moore: That last piece, we don't see continuing to go forward to the same degree, but the products are performing very well for patients with PAH. Importantly, in the quarter, we got approval for Opsynvi, which is the first combination tablet of a PDE5 and an ERA. This is in line with guidelines. It's really, once a patient's diagnosed, really the right first choice for them is to start them on combination therapy. And so we think that this is an important introduction. And as we take a look at our portfolio, and even despite other new competitors that are coming in, we do believe with Opsumit and Uptravi, they've got very strong usage and both with the launch of Opsynvi as well as what we have, that these will continue to be really productive assets in a good therapeutic area for us. Thank you.

That last piece, we don't see continuing to go forward to the same degree, but the products are performing very well for patients with PAH. Importantly, in the quarter, we got approval for Opsynvi, which is the first combination tablet of a PDE5 and an ERA. This is in line with guidelines. It's really, once a patient's diagnosed, really the right first choice for them is to start them on combination therapy. And so we think that this is an important introduction. And as we take a look at our portfolio, and even despite other new competitors that are coming in, we do believe with Opsumit and Uptravi, they've got very strong usage and both with the launch of Opsynvi as well as what we have, that these will continue to be really productive assets in a good therapeutic area for us. Thank you.

Jennifer Taubert: We got approval for up Cindy, which is the first combination tablet a PDE five and an E. R. A this is in line with guidelines is really once the patients diagnosed really the right first choice for them is to start them on combination therapy and so we think that this is an important introduction and as. We take a look at our portfolio and you know even despite other new competitors that are coming in we do believe without summit and <unk>, they've got a very strong usage and both with the launch about Cindy as well as what we have that these will continue to be really productive assets and a good therapeutic area for us.

Jennifer Taubert: We take a look at our portfolio and you know even despite other new competitors that are coming in we do believe without summit and <unk>, they've got a very strong usage and both with the launch about Cindy as well as what we have that these will continue to be really productive assets and a good therapeutic area for us.

Jessica Moore: Next question is coming from Danielle Antalffy from UBS. Your line is now live. Hey, good morning, everyone. Thank you so much for taking the question. Tim, if I could just follow up on medtech and specifically orthopedics and appreciate the one-time revenue recognition. Not sure you can provide any color on exactly what changed there, but also you talked about consistent medtech growth going forward. I mean, backing that out, you get to sort of 3% US orthopedic sales growth. Is that the right way to think about that specific segment going forward, or am I missing some one-time tailwinds? Maybe talk a little bit about the outlook for Ortho given what you guys put up this quarter. Thanks so much. Thank you, Danielle. Firstly, we are operating in a very robust market.

Operator: Next question is coming from Danielle Antalffy from UBS. Your line is now live.

Operator: Thank you. Next question is coming from Danielle Antalffy from UBS. Your line is now live.

Danielle Antalffy: Hey, good morning, everyone. Thank you so much for taking the question. Tim, if I could just follow up on medtech and specifically orthopedics and appreciate the one-time revenue recognition. Not sure you can provide any color on exactly what changed there, but also you talked about consistent medtech growth going forward. I mean, backing that out, you get to sort of 3% US orthopedic sales growth. Is that the right way to think about that specific segment going forward, or am I missing some one-time tailwinds? Maybe talk a little bit about the outlook for Ortho given what you guys put up this quarter. Thanks so much.

Danielle Antalffy: Hey, good morning everyone. Thank you so much for taking the question. Tim, if I could just follow up on MedTech and specifically orthopedics and appreciate the onetime revenue recognition, not sure you can provide any color on exactly what changed there. But also, you talked about consistent MedTech growth going forward. I mean taking - backing that out, you get to sort of 3% U.S. orthopedic sales growth. Is that the right way to think about that specific segment going forward or am I missing some onetime tailwinds, maybe talk a little bit about the outlook for ortho given what you guys put up this quarter? Thanks so much.

Daniela: Going forward I mean, taking backing that out you get to sort of 3% U S. Orthopedic sales growth is that the right way to think about that specific segment going forward or am I missing. Some one time tailwind maybe talk a little bit about the outlook for our Fort worth, though given what you guys put up this quarter. Thanks, so much.

Tim Schmid: Thank you, Danielle. Firstly, we are operating in a very robust market.

Tim Schmid: Thank you, Danielle. Firstly, we are operating in a very robust market. As we communicated in the fourth quarter of last year, we still see some remnants of procedural backlog that are benefiting primarily our Orthopedics business, and we expect that to continue at least to the first half of 2024. As you mentioned, our overall performance in Orthopedics of 4.8% was impacted by a onetime change in revenue recognition timing. And this is only related to our U.S. business, but it did impact that business by about 300 basis points. Now keep in mind, we also had the impact of the fewer selling days, which disproportionately impacted our ortho business by 80 bps. We are proud of the ongoing progress we're making, specifically in areas where we needed to compete better and specifically in hips and knees, we saw high single-digit growth in the first quarter and specifically in knees driven by the tremendous performance of our VELYS platform. We're now within two years in 18 markets, 50,000 procedures and are seeing that as a constant tailwind as we now expand the provision of VELYS into EMEA and Asia Pac through the remainder of the year. And so, I think you can expect continued improvement in our Orthopedics business for the remainder of the year as we continue to build our portfolio and drive further expansion across the globe. Thank you.

Jessica Moore: As we communicated in Q4 of last year, we still see some remnants of procedural backlog that are benefiting primarily our orthopedics business, and we expect that to continue at least through H1 2024. As you mentioned, our overall performance in orthopedics of 4.8% was impacted by a one-time change in revenue recognition timing. This is only related to our US business, but it did impact that business by about 300 basis points. Now, keep in mind, we also had the impact of the fewer selling days, which disproportionately impacted our Ortho business by 80 basis points. We are proud of the ongoing progress we're making, specifically in areas where we needed to compete better. Specifically in hips and knees, we saw high single-digit growth in Q1, and specifically in knees driven by the tremendous performance of our VELYS platform.

As we communicated in Q4 of last year, we still see some remnants of procedural backlog that are benefiting primarily our orthopedics business, and we expect that to continue at least through H1 2024. As you mentioned, our overall performance in orthopedics of 4.8% was impacted by a one-time change in revenue recognition timing. This is only related to our US business, but it did impact that business by about 300 basis points. Now, keep in mind, we also had the impact of the fewer selling days, which disproportionately impacted our Ortho business by 80 basis points. We are proud of the ongoing progress we're making, specifically in areas where we needed to compete better. Specifically in hips and knees, we saw high single-digit growth in Q1, and specifically in knees driven by the tremendous performance of our VELYS platform.

Speaker Change: We still see. Some remnants of a procedural backlog that are benefiting primarily our orthopedics business and we expect that to continue at least through the first half of 2020 for as you. And our our overall performance in orthopedics, a four 8% was impacted by a one time change in revenue recognition timing and this is only related to our U S business, but it did impact that business by about 300 basis points keep in mind. We also had the impact of the fuel cell. Days, which disproportionately impacted our ortho business by 80 bps. We are proud of the ongoing progress, we're making specifically in areas, where we needed to compete better in specifically in hips and knees, we saw high single digit growth in the first quarter and specifically a needs driven by the tremendous performance of our <unk>. Platform. We're now within two years in 18 markets 50000 procedures and are seeing that as a constant tailwind as we now expand the the provision of zealous into EMEA and Asia Pac through the remainder of the year and so I think you can expect continued improvement in our orthopedics business. The remainder of the year as we continue to build our portfolio and drive further expansion across the globe. Thank you.

Speaker Change: Some remnants of a procedural backlog that are benefiting primarily our orthopedics business and we expect that to continue at least through the first half of 2020 for as you. And our our overall performance in orthopedics, a four 8% was impacted by a one time change in revenue recognition timing and this is only related to our U S business, but it did impact that business by about 300 basis points keep in mind. We also had the impact of the fuel cell. Days, which disproportionately impacted our ortho business by 80 bps. We are proud of the ongoing progress, we're making specifically in areas, where we needed to compete better in specifically in hips and knees, we saw high single digit growth in the first quarter and specifically a needs driven by the tremendous performance of our <unk>. Platform. We're now within two years in 18 markets 50000 procedures and are seeing that as a constant tailwind as we now expand the the provision of zealous into EMEA and Asia Pac through the remainder of the year and so I think you can expect continued improvement in our orthopedics business. The remainder of the year as we continue to build our portfolio and drive further expansion across the globe. Thank you.

Speaker Change: And our our overall performance in orthopedics, a four 8% was impacted by a one time change in revenue recognition timing and this is only related to our U S business, but it did impact that business by about 300 basis points keep in mind. We also had the impact of the fuel cell. Days, which disproportionately impacted our ortho business by 80 bps. We are proud of the ongoing progress, we're making specifically in areas, where we needed to compete better in specifically in hips and knees, we saw high single digit growth in the first quarter and specifically a needs driven by the tremendous performance of our <unk>. Platform. We're now within two years in 18 markets 50000 procedures and are seeing that as a constant tailwind as we now expand the the provision of zealous into EMEA and Asia Pac through the remainder of the year and so I think you can expect continued improvement in our orthopedics business. The remainder of the year as we continue to build our portfolio and drive further expansion across the globe. Thank you.

Days, which disproportionately impacted our ortho business by 80 bps. We are proud of the ongoing progress, we're making specifically in areas, where we needed to compete better in specifically in hips and knees, we saw high single digit growth in the first quarter and specifically a needs driven by the tremendous performance of our <unk>. Platform. We're now within two years in 18 markets 50000 procedures and are seeing that as a constant tailwind as we now expand the the provision of zealous into EMEA and Asia Pac through the remainder of the year and so I think you can expect continued improvement in our orthopedics business. The remainder of the year as we continue to build our portfolio and drive further expansion across the globe. Thank you.

Jessica Moore: We're now, within two years, in 18 markets, 50,000 procedures, and are seeing that as a constant tailwind as we now expand the provision of VELYS into EMEA and Asia-Pacific through the remainder of the year. So I think you can expect continued improvement in our orthopedics business for the remainder of the year as we continue to build our portfolio and drive further expansion across the globe. Thank you. Thank you. Next question today is coming from Jeff Meacham from Bank of America. Your line is now live. Hi, this is Charlie Young for Jeff. I have two questions, please. I know there's recent news regarding the Invega Sustenna patent litigation. Can you just tell us about what we should think about in terms of the potential impact or in terms of the timing of the next steps?

We're now, within two years, in 18 markets, 50,000 procedures, and are seeing that as a constant tailwind as we now expand the provision of VELYS into EMEA and Asia-Pacific through the remainder of the year. So I think you can expect continued improvement in our orthopedics business for the remainder of the year as we continue to build our portfolio and drive further expansion across the globe. Thank you.

Speaker Change: Platform. We're now within two years in 18 markets 50000 procedures and are seeing that as a constant tailwind as we now expand the the provision of zealous into EMEA and Asia Pac through the remainder of the year and so I think you can expect continued improvement in our orthopedics business. The remainder of the year as we continue to build our portfolio and drive further expansion across the globe. Thank you.

Speaker Change: The remainder of the year as we continue to build our portfolio and drive further expansion across the globe. Thank you.

Operator: Thank you. Next question today is coming from Jeff Meacham from Bank of America. Your line is now live.

Operator: Thank you. Our next question today is coming from Geoff Meacham from Bank of America. Your line is now live.

Charles Young: Hi, this is Charlie Young for Jeff. I have two questions, please. I know there's recent news regarding the Invega Sustenna patent litigation. Can you just tell us about what we should think about in terms of the potential impact or in terms of the timing of the next steps?

Geoff Meacham: This is Charlie Yang for Geoff. I have two questions, please. I know there's recent news regarding the INVEGA SUSTENNA Calpal litigation. Can you just tell us about kind of what we should kind of think about in terms of the potential kind of impact or in terms of the timing of the next steps? And then second, can you just talk about the TAR bladder cancer data expectation in terms of what kind of benchmark we should expect in terms of the 1-year CR rate? Thank you.

Charles A. Simonton: I have two questions. Please. The recent news regarding the sustain a Cal patent litigation can you. Just tell us about how you know what we should think about the potential impact wages of the timing of the next steps and then second can you just talk about the terrorists helped bladder cancer data expectation. Hey. So a couple of kind of how we should expect in terms of the Y ear CR rate. Thank you.

Charles A. Simonton: The recent news regarding the sustain a Cal patent litigation can you. Just tell us about how you know what we should think about the potential impact wages of the timing of the next steps and then second can you just talk about the terrorists helped bladder cancer data expectation. Hey. So a couple of kind of how we should expect in terms of the Y ear CR rate. Thank you.

Charles A. Simonton: Just tell us about how you know what we should think about the potential impact wages of the timing of the next steps and then second can you just talk about the terrorists helped bladder cancer data expectation. Hey. So a couple of kind of how we should expect in terms of the Y ear CR rate. Thank you.

Jessica Moore: Then second, can you just talk about the TAR-200 bladder cancer data expectation at AUA in terms of what kind of benchmark we should expect in terms of the one-year CR rate? Thank you. Perfect. Well, I'll take the Invega Sustenna question, and I'll pass it over to my colleague John to take the next one. So if we think about our LAI portfolio, our long-acting injectables, just as a reminder for everybody, we really are leading therapies in this space with our Invega Sustenna, Invega Trinza, and Invega Hafyera products. And we're really excited about the latest data that we have, particularly for Hafyera, which a recent study shows that at two years, 96% of patients on Humira, excuse me, on Hafyera are relapse-free, which is really, really striking. So as we get to the legal question, we really don't speculate on the impact of ongoing litigation.

Then second, can you just talk about the TAR-200 bladder cancer data expectation at AUA in terms of what kind of benchmark we should expect in terms of the one-year CR rate? Thank you.

Charles A. Simonton: Hey. So a couple of kind of how we should expect in terms of the Y ear CR rate. Thank you.

Charles A. Simonton: So a couple of kind of how we should expect in terms of the Y ear CR rate. Thank you.

Jennifer Taubert: Perfect. Well, I'll take the Invega Sustenna question, and I'll pass it over to my colleague John to take the next one. So if we think about our LAI portfolio, our long-acting injectables, just as a reminder for everybody, we really are leading therapies in this space with our Invega Sustenna, Invega Trinza, and Invega Hafyera products. And we're really excited about the latest data that we have, particularly for Hafyera, which a recent study shows that at two years, 96% of patients on Humira, excuse me, on Hafyera are relapse-free, which is really, really striking. So as we get to the legal question, we really don't speculate on the impact of ongoing litigation.

Jennifer Taubert: Perfect. I'll take the INVEGA SUSTENNA question, and I'll pass it over to my colleague, John to take the next one. So, if we think about our LAI portfolio, our long-acting injectable just as a reminder for everybody, we really are leading therapies in this space with our INVEGA SUSTENNA, INVEGA TRINZA and INVEGA HAFYERA products. And we're really excited about the latest data that we have, particularly for HAFYERA, which a recent study shows that at two years, 96% patients on HAFYERA are relapse free, which is really, really striking. So, as we get to the legal question, we really don't speculate on the impact of ongoing litigation. But that being said, we remain really confident about the strength of our INVEGA SUSTENNA patents, and we're going to continue to defend the intellectual property that's associated with these patents. If we're clear to go a little bit deeper, the Federal Circuit’s April 1st decision did not invalidate our patent. It just remanded the case back to the New Jersey District Court, the one that had ruled in our favor originally. Likewise, there was another ruling and another case on this patent against a different company that also did go in our favor. So, it's going back to the original judge that ruled in favor of the patents, and we'll have to see what comes. We don't speculate on that, but we remain really confident on the strength of our patents.

John C. Reed: If we think about our our L. A I portfolio, our long acting injectables. Just as a reminder for everybody, we really are leading therapies. In this space with our Invega Cisterna, Invega, <unk> and Invega half year of products and we're really excited about the the latest data that we have particularly for a half year of which a recent study shows that at two years, 96% of patients on Humira accent mountain half year, a relapse free which is really really strong. Hiking, so as we get to the legal question, we really don't speculate on the impact of ongoing litigation, but that being said, we remain really confident about the strength of our invega cisterna patents and we're going to continue to defend the intellectual property. That's associated with these patents if were clear to go a little bit deep. Or the federal Circuit's April 1st decision did not invalidate our patent it just reman did the case back to the New Jersey District Court. The one that had ruled in our favor. Originally likewise there was another ruling in another case on this patent against a different company that also did go in our favor so. Going back to to the original judge that that rules. In favor of the patents and we'll have to see what will come as we won't speculate on that but we remain confident on the strength of our patents.

Speaker Change: Just as a reminder for everybody, we really are leading therapies. In this space with our Invega Cisterna, Invega, <unk> and Invega half year of products and we're really excited about the the latest data that we have particularly for a half year of which a recent study shows that at two years, 96% of patients on Humira accent mountain half year, a relapse free which is really really strong. Hiking, so as we get to the legal question, we really don't speculate on the impact of ongoing litigation, but that being said, we remain really confident about the strength of our invega cisterna patents and we're going to continue to defend the intellectual property. That's associated with these patents if were clear to go a little bit deep. Or the federal Circuit's April 1st decision did not invalidate our patent it just reman did the case back to the New Jersey District Court. The one that had ruled in our favor. Originally likewise there was another ruling in another case on this patent against a different company that also did go in our favor so. Going back to to the original judge that that rules. In favor of the patents and we'll have to see what will come as we won't speculate on that but we remain confident on the strength of our patents.

John C. Reed: In this space with our Invega Cisterna, Invega, <unk> and Invega half year of products and we're really excited about the the latest data that we have particularly for a half year of which a recent study shows that at two years, 96% of patients on Humira accent mountain half year, a relapse free which is really really strong. Hiking, so as we get to the legal question, we really don't speculate on the impact of ongoing litigation, but that being said, we remain really confident about the strength of our invega cisterna patents and we're going to continue to defend the intellectual property. That's associated with these patents if were clear to go a little bit deep. Or the federal Circuit's April 1st decision did not invalidate our patent it just reman did the case back to the New Jersey District Court. The one that had ruled in our favor. Originally likewise there was another ruling in another case on this patent against a different company that also did go in our favor so. Going back to to the original judge that that rules. In favor of the patents and we'll have to see what will come as we won't speculate on that but we remain confident on the strength of our patents.

John C. Reed: Hiking, so as we get to the legal question, we really don't speculate on the impact of ongoing litigation, but that being said, we remain really confident about the strength of our invega cisterna patents and we're going to continue to defend the intellectual property. That's associated with these patents if were clear to go a little bit deep. Or the federal Circuit's April 1st decision did not invalidate our patent it just reman did the case back to the New Jersey District Court. The one that had ruled in our favor. Originally likewise there was another ruling in another case on this patent against a different company that also did go in our favor so. Going back to to the original judge that that rules. In favor of the patents and we'll have to see what will come as we won't speculate on that but we remain confident on the strength of our patents.

Jessica Moore: But that being said, we remain really confident about the strength of our Invega Sustenna patents, and we're going to continue to defend the intellectual property that's associated with these patents. If we're clear to go a little bit deeper, the Federal Circuit's 1 April decision did not invalidate our patent. It just remanded the case back to the New Jersey District Court, the one that had ruled in our favor originally. Likewise, there was another ruling in another case on this patent against a different company that also did go in our favor. So it's going back to the original judge that ruled in favor of the patents, and we'll have to see what comes. We won't speculate on that, but we remain real confident on the strength of our patents.

But that being said, we remain really confident about the strength of our Invega Sustenna patents, and we're going to continue to defend the intellectual property that's associated with these patents. If we're clear to go a little bit deeper, the Federal Circuit's 1 April decision did not invalidate our patent. It just remanded the case back to the New Jersey District Court, the one that had ruled in our favor originally. Likewise, there was another ruling in another case on this patent against a different company that also did go in our favor. So it's going back to the original judge that ruled in favor of the patents, and we'll have to see what comes. We won't speculate on that, but we remain real confident on the strength of our patents.

John C. Reed: Or the federal Circuit's April 1st decision did not invalidate our patent it just reman did the case back to the New Jersey District Court. The one that had ruled in our favor. Originally likewise there was another ruling in another case on this patent against a different company that also did go in our favor so. Going back to to the original judge that that rules. In favor of the patents and we'll have to see what will come as we won't speculate on that but we remain confident on the strength of our patents.

John C. Reed: Going back to to the original judge that that rules. In favor of the patents and we'll have to see what will come as we won't speculate on that but we remain confident on the strength of our patents.

John C. Reed: In favor of the patents and we'll have to see what will come as we won't speculate on that but we remain confident on the strength of our patents.

Jessica Moore: Yeah, thanks for your interest in the platform that we have, the Drug Device Combo for early bladder cancer. Clearly a great unmet need inasmuch as there are more than 600,000 people every year who are diagnosed with early bladder cancer, and the vast majority of those patients go on to have their bladders removed, which clearly has a very detrimental effect on quality of life. With our drug device system, which I think, again, is a great example of how medtech and pharma can come together in a synergistic way, but we delivered really, I think, exciting early data.

John Reed: Yeah, thanks for your interest in the platform that we have, the Drug Device Combo for early bladder cancer. Clearly a great unmet need inasmuch as there are more than 600,000 people every year who are diagnosed with early bladder cancer, and the vast majority of those patients go on to have their bladders removed, which clearly has a very detrimental effect on quality of life. With our drug device system, which I think, again, is a great example of how medtech and pharma can come together in a synergistic way, but we delivered really, I think, exciting early data.

John C. Reed: Yes. Thanks for your interest in the platform that we have, the drug device combo for early bladder cancer. Clearly, a great unmet need inasmuch as there are more than 600,000 people every year who are diagnosed with early bladder cancer and the vast majority of those patients go on to have their bladders removed, which clearly has a very detrimental effect on quality of life. With our drug device system which I think, again, is a great example of how MedTech and pharma can come together in a synergistic way, but we delivered really, I think, exciting early data. Those were presented at the ESMO conference last September and showed, for example, with the TAR 200 product that has gemcitabine, an impressive complete response rate of over 75% and nice durability with 21 out of 23 patients, we showed at that meeting is still ongoing and no patients having had to progress to a radical cystectomy. So, I think at the AUA, because those data are not yet disclosed, I can't provide the details, but I think you can expect to see more of the same now with longer follow-up and with more patients. We've expanded those cohorts and do believe that we're on track to deliver pivotal data in that first indication, which is in the BCG nonresponsive patients recollect that in early bladder non-muscle invasive bladder cancer.

Speaker Change: Clearly a great unmet need and as much as they are more than 600000 people every year, who are diagnosed with early bladder cancer. The vast majority of those patients go on to have their bladders remove which clearly has a very detrimental effect on quality of life, where. With our drug device system, which I think again is a great example of a med tech and Barbara can come together in a synergistic way but. We delivered really I think exciting early data those were presented at the ESMO Conference last September. And showed for example, with the <unk> 200 product it has gemcitabine. Impressive complete response rate of over 75%. And nice to her ability. 21 out of 23 patients who we showed at that meeting is still ongoing and no patients having. To progress to a radical cystectomy. So I think at the EUA because those data are not yet disclose I can't provide the details, but I think you can expect to see more of the same now with longer follow up and with more patients we've expanded those cohorts. And do believe that we're on track to deliver pivotal data in that first indication, which is in the B C. G nonresponsive patients. Like that in the early bladder non muscle invasive bladder cancer

Speaker Change: The vast majority of those patients go on to have their bladders remove which clearly has a very detrimental effect on quality of life, where. With our drug device system, which I think again is a great example of a med tech and Barbara can come together in a synergistic way but. We delivered really I think exciting early data those were presented at the ESMO Conference last September. And showed for example, with the <unk> 200 product it has gemcitabine. Impressive complete response rate of over 75%. And nice to her ability. 21 out of 23 patients who we showed at that meeting is still ongoing and no patients having. To progress to a radical cystectomy. So I think at the EUA because those data are not yet disclose I can't provide the details, but I think you can expect to see more of the same now with longer follow up and with more patients we've expanded those cohorts. And do believe that we're on track to deliver pivotal data in that first indication, which is in the B C. G nonresponsive patients. Like that in the early bladder non muscle invasive bladder cancer

Speaker Change: With our drug device system, which I think again is a great example of a med tech and Barbara can come together in a synergistic way but. We delivered really I think exciting early data those were presented at the ESMO Conference last September. And showed for example, with the <unk> 200 product it has gemcitabine. Impressive complete response rate of over 75%. And nice to her ability. 21 out of 23 patients who we showed at that meeting is still ongoing and no patients having. To progress to a radical cystectomy. So I think at the EUA because those data are not yet disclose I can't provide the details, but I think you can expect to see more of the same now with longer follow up and with more patients we've expanded those cohorts. And do believe that we're on track to deliver pivotal data in that first indication, which is in the B C. G nonresponsive patients. Like that in the early bladder non muscle invasive bladder cancer

Speaker Change: We delivered really I think exciting early data those were presented at the ESMO Conference last September. And showed for example, with the <unk> 200 product it has gemcitabine. Impressive complete response rate of over 75%. And nice to her ability. 21 out of 23 patients who we showed at that meeting is still ongoing and no patients having. To progress to a radical cystectomy. So I think at the EUA because those data are not yet disclose I can't provide the details, but I think you can expect to see more of the same now with longer follow up and with more patients we've expanded those cohorts. And do believe that we're on track to deliver pivotal data in that first indication, which is in the B C. G nonresponsive patients. Like that in the early bladder non muscle invasive bladder cancer

Jessica Moore: Those were presented at the ESMO conference last September and showed, for example, with the TAR-200 product that has gemcitabine, an impressive complete response rate of over 75% and nice durability with 21 out of 23 patients that we showed at that meeting still ongoing and no patients having had to progress to a radical cystectomy. So I think at the AUA, because those data are not yet disclosed, I can't provide details, but I think you can expect to see more of the same now with longer follow-up and with more patients. We've expanded those cohorts and do believe that we're on track to deliver pivotal data. In that first indication, which is in the BCG non-responsive patients, recollect that in the early bladder, non-muscle invasive bladder cancer, standard care is this attenuated mycobacteria, BCG.

Those were presented at the ESMO conference last September and showed, for example, with the TAR-200 product that has gemcitabine, an impressive complete response rate of over 75% and nice durability with 21 out of 23 patients that we showed at that meeting still ongoing and no patients having had to progress to a radical cystectomy. So I think at the AUA, because those data are not yet disclosed, I can't provide details, but I think you can expect to see more of the same now with longer follow-up and with more patients. We've expanded those cohorts and do believe that we're on track to deliver pivotal data. In that first indication, which is in the BCG non-responsive patients, recollect that in the early bladder, non-muscle invasive bladder cancer, standard care is this attenuated mycobacteria, BCG.

Speaker Change: And showed for example, with the <unk> 200 product it has gemcitabine. Impressive complete response rate of over 75%. And nice to her ability. 21 out of 23 patients who we showed at that meeting is still ongoing and no patients having. To progress to a radical cystectomy. So I think at the EUA because those data are not yet disclose I can't provide the details, but I think you can expect to see more of the same now with longer follow up and with more patients we've expanded those cohorts. And do believe that we're on track to deliver pivotal data in that first indication, which is in the B C. G nonresponsive patients. Like that in the early bladder non muscle invasive bladder cancer

Speaker Change: Impressive complete response rate of over 75%. And nice to her ability. 21 out of 23 patients who we showed at that meeting is still ongoing and no patients having. To progress to a radical cystectomy. So I think at the EUA because those data are not yet disclose I can't provide the details, but I think you can expect to see more of the same now with longer follow up and with more patients we've expanded those cohorts. And do believe that we're on track to deliver pivotal data in that first indication, which is in the B C. G nonresponsive patients. Like that in the early bladder non muscle invasive bladder cancer

Speaker Change: And nice to her ability. 21 out of 23 patients who we showed at that meeting is still ongoing and no patients having. To progress to a radical cystectomy. So I think at the EUA because those data are not yet disclose I can't provide the details, but I think you can expect to see more of the same now with longer follow up and with more patients we've expanded those cohorts. And do believe that we're on track to deliver pivotal data in that first indication, which is in the B C. G nonresponsive patients. Like that in the early bladder non muscle invasive bladder cancer

Speaker Change: 21 out of 23 patients who we showed at that meeting is still ongoing and no patients having. To progress to a radical cystectomy. So I think at the EUA because those data are not yet disclose I can't provide the details, but I think you can expect to see more of the same now with longer follow up and with more patients we've expanded those cohorts. And do believe that we're on track to deliver pivotal data in that first indication, which is in the B C. G nonresponsive patients. Like that in the early bladder non muscle invasive bladder cancer

Speaker Change: To progress to a radical cystectomy. So I think at the EUA because those data are not yet disclose I can't provide the details, but I think you can expect to see more of the same now with longer follow up and with more patients we've expanded those cohorts. And do believe that we're on track to deliver pivotal data in that first indication, which is in the B C. G nonresponsive patients. Like that in the early bladder non muscle invasive bladder cancer

Speaker Change: So I think at the EUA because those data are not yet disclose I can't provide the details, but I think you can expect to see more of the same now with longer follow up and with more patients we've expanded those cohorts. And do believe that we're on track to deliver pivotal data in that first indication, which is in the B C. G nonresponsive patients. Like that in the early bladder non muscle invasive bladder cancer

Speaker Change: And do believe that we're on track to deliver pivotal data in that first indication, which is in the B C. G nonresponsive patients. Like that in the early bladder non muscle invasive bladder cancer

Speaker Change: Like that in the early bladder non muscle invasive bladder cancer standard of care is this until you waited microbacteria BCG, unfortunately fewer than half patients receive.

Like that in the early bladder non muscle invasive bladder cancer

John C. Reed: Standard care is this attenuated micro bacteria BCG. Unfortunately, fewer than half patients receive - achieve a complete response. And the therapy is - has tolerability problems to say the least where patients feel like they have a chronic urinary tract infection. The discontinuation rate with TAR 200 has been very low. So, we're very delighted with the excellent tolerability profile as well as these impressive deep efficacy, deep and durable efficacy. So yes, so please watch that AUA presentation. I think we remain on track for a filing early next year based on these pivotal data, and we look forward to sharing those results at that congress.

Jessica Moore: Unfortunately, fewer than half patients achieve a complete response, and the therapy has tolerability problems, to say the least, where patients feel like they have a chronic urinary tract infection. The discontinuation rate with TAR-200 has been very low, so we're very delighted with the excellent tolerability profile as well as these impressive deep efficacy, deep and durable efficacy. So yes, so please watch that AUA presentation. I think we remain on track for filing early next year based on these pivotal data, and we look forward to sharing those results at that congress. Thank you. Next question is coming from Matt Miksic from Barclays. Your line is now live. Hi, thanks so much for taking the question. So a follow-up maybe on some of the device trends, in particular, cardio and EP, very strong in the quarter.

Unfortunately, fewer than half patients achieve a complete response, and the therapy has tolerability problems, to say the least, where patients feel like they have a chronic urinary tract infection. The discontinuation rate with TAR-200 has been very low, so we're very delighted with the excellent tolerability profile as well as these impressive deep efficacy, deep and durable efficacy. So yes, so please watch that AUA presentation. I think we remain on track for filing early next year based on these pivotal data, and we look forward to sharing those results at that congress.

Speaker Change: Achieve a complete response and B therapy use. Has tolerability problems to say, the least where patients feel like they have a chronic urinary tract infection. The discontinuation rate, which are 200 has been very low so we're very delighted with the excellent tolerability profile as well as these. Impressive deep efficacy deep and durable X D. C. So yeah. So please a watch that to you a presentation. I think you know we remain on track for a filing early next year based on these pivotal data and we look forward to sharing those results at the Congress.

Speaker Change: Has tolerability problems to say, the least where patients feel like they have a chronic urinary tract infection. The discontinuation rate, which are 200 has been very low so we're very delighted with the excellent tolerability profile as well as these. Impressive deep efficacy deep and durable X D. C. So yeah. So please a watch that to you a presentation. I think you know we remain on track for a filing early next year based on these pivotal data and we look forward to sharing those results at the Congress.

Speaker Change: The discontinuation rate, which are 200 has been very low so we're very delighted with the excellent tolerability profile as well as these. Impressive deep efficacy deep and durable X D. C. So yeah. So please a watch that to you a presentation. I think you know we remain on track for a filing early next year based on these pivotal data and we look forward to sharing those results at the Congress.

Speaker Change: Impressive deep efficacy deep and durable X D. C. So yeah. So please a watch that to you a presentation. I think you know we remain on track for a filing early next year based on these pivotal data and we look forward to sharing those results at the Congress.

Operator: Thank you. Next question is coming from Matt Miksic from Barclays. Your line is now live.

Operator: Thank you. Next question is coming from Matt Miksic from Barclays. Your line is now live.

Matt Miksic: Hi, thanks so much for taking the question. So a follow-up maybe on some of the device trends, in particular, cardio and EP, very strong in the quarter.

Matthew Miksic: Hi, thanks so much for taking the question. So, a follow-up maybe on some of the device trends, in particular, cardio and EP very strong in the quarter. Wondering if you could provide some color, kind of geographically as to how some of the product launches have either driven overseas or competitive environment in the U.S. has affected U.S. performance so far? And then, just one quick one on Ortho, if I could.

Matthew Miksic: So a follow up maybe on a. Some of the device trends in particular cardio. And he would be very strong in the quarter wondering if you could. Some color kind of geographically as to you know. How some of the product. These are driven overseas or competitive. The environment in the U S has affected U S performance so far. And then just one quick one on where those are good.

Matthew Miksic: Some of the device trends in particular cardio. And he would be very strong in the quarter wondering if you could. Some color kind of geographically as to you know. How some of the product. These are driven overseas or competitive. The environment in the U S has affected U S performance so far. And then just one quick one on where those are good.

Matthew Miksic: And he would be very strong in the quarter wondering if you could. Some color kind of geographically as to you know. How some of the product. These are driven overseas or competitive. The environment in the U S has affected U S performance so far. And then just one quick one on where those are good.

Jessica Moore: Wondering if you could provide some color, kind of geographically, as to how some of the product launches have either driven overseas or competitive environment in the US has affected US performance so far. And then just one quick one on Ortho if I could. Sure, Matt. Firstly, let me start on cardio. As Joaquin mentioned, we've made a lot of progress in building out our portfolio, and until recently, we only participated in one high-growth category within cardiovascular, and that being electrophysiology, which I will touch on performance in a second. We are and have had a 20-year lead in electrophysiology and now have built on that position in cardiovascular with the acquisition of Abiomed. We're now over a year into integrating that business and couldn't be more proud of the progress we've made.

Wondering if you could provide some color, kind of geographically, as to how some of the product launches have either driven overseas or competitive environment in the US has affected US performance so far. And then just one quick one on Ortho if I could.

Matthew Miksic: Some color kind of geographically as to you know. How some of the product. These are driven overseas or competitive. The environment in the U S has affected U S performance so far. And then just one quick one on where those are good.

Matthew Miksic: How some of the product. These are driven overseas or competitive. The environment in the U S has affected U S performance so far. And then just one quick one on where those are good.

Matthew Miksic: These are driven overseas or competitive. The environment in the U S has affected U S performance so far. And then just one quick one on where those are good.

Matthew Miksic: The environment in the U S has affected U S performance so far. And then just one quick one on where those are good.

Speaker Change: And then just one quick one on where those are good.

Tim Schmid: Sure, Matt. Firstly, let me start on cardio. As Joaquin mentioned, we've made a lot of progress in building out our portfolio, and until recently, we only participated in one high-growth category within cardiovascular, and that being electrophysiology, which I will touch on performance in a second. We are and have had a 20-year lead in electrophysiology and now have built on that position in cardiovascular with the acquisition of Abiomed. We're now over a year into integrating that business and couldn't be more proud of the progress we've made.

Tim Schmid: Sure, Matt. Firstly, let me start on cardio. As Joaquin mentioned, we've made a lot of progress in building out our portfolio. And until recently, we only participated in one high-growth category within cardiovascular and that being electrophysiology, which I will touch on performance in a second. We are and have had a 20-year lead in electrophysiology and now have built on that position in cardiovascular with the acquisition of Abiomed. We're now over a year into integrating that business and couldn't be more proud of the progress we've made. We continue to perform ahead of the deal model. And once again, this quarter did so with growth in excess of 15%. That gives us now two leadership positions within cardiovascular care. Once we close the acquisition of Shockwave, that will be our third very thoughtful and deliberate move to only participate in high-growth, high-margin cardiovascular areas where there is significant unmet need and tremendous opportunity for us to grow. And so, we're very excited by the fact that we will be one of the only strategics with only high growth, high-margin businesses in the largest category within MedTech, $60 billion market, growing roughly 8%, incremental $5 billion of growth coming out of that category each and every year. So, very excited by those moves.

Speaker Change: Until recently, we only participated in one high growth category within cardiovascular not being electrophysiology, which I wasn't I will touch on performance in a second. We are in have had a 20 year lead in electrophysiology and now have built on that position in cardiovascular with the acquisition of Abu Ahmed we're now over a year into integrating that business and couldn't be more proud of the progress. We've made we continue to perform ahead of the of the of the deal model and once again this quarter did so. With growth in excess of 15%. That gives us now two leadership positions within cardiovascular care. Once we close the acquisition of Shockwave that will be our third very thoughtful and deliberate move to only participate in high growth high margin and cardiovascular areas, where theres significant unmeet unmet need and tremendous opportunity for us to grow and so we're very excited by the fact that we will. One of the only strategics with only a high growth high margin businesses in the largest category within med Tech $60 billion market growing roughly 8% incremental $5 billion of growth coming out of that category each and every year. So very excited by the those moves

Speaker Change: We are in have had a 20 year lead in electrophysiology and now have built on that position in cardiovascular with the acquisition of Abu Ahmed we're now over a year into integrating that business and couldn't be more proud of the progress. We've made we continue to perform ahead of the of the of the deal model and once again this quarter did so. With growth in excess of 15%. That gives us now two leadership positions within cardiovascular care. Once we close the acquisition of Shockwave that will be our third very thoughtful and deliberate move to only participate in high growth high margin and cardiovascular areas, where theres significant unmeet unmet need and tremendous opportunity for us to grow and so we're very excited by the fact that we will. One of the only strategics with only a high growth high margin businesses in the largest category within med Tech $60 billion market growing roughly 8% incremental $5 billion of growth coming out of that category each and every year. So very excited by the those moves

Jessica Moore: We continue to perform ahead of the deal model, and once again, this quarter did so with growth in excess of 15%. That gives us now two leadership positions within cardiovascular care. Once we close the acquisition of Shockwave, that will be our third very thoughtful and deliberate move to only participate in high-growth, high-margin cardiovascular areas where there is significant unmet need and tremendous opportunity for us to grow. And so we're very excited by the fact that we will be one of the only strategics with only high-growth, high-margin businesses in the largest category within medtech, $60 billion market, growing roughly 8%, incremental $5 billion of growth coming out of that category each and every year. So very excited by those moves. Specifically to your questions on EP, we've seen growth across the board in excess of 20% both in the US.

We continue to perform ahead of the deal model, and once again, this quarter did so with growth in excess of 15%. That gives us now two leadership positions within cardiovascular care. Once we close the acquisition of Shockwave, that will be our third very thoughtful and deliberate move to only participate in high-growth, high-margin cardiovascular areas where there is significant unmet need and tremendous opportunity for us to grow. And so we're very excited by the fact that we will be one of the only strategics with only high-growth, high-margin businesses in the largest category within medtech, $60 billion market, growing roughly 8%, incremental $5 billion of growth coming out of that category each and every year. So very excited by those moves. Specifically to your questions on EP, we've seen growth across the board in excess of 20% both in the US.

Speaker Change: With growth in excess of 15%. That gives us now two leadership positions within cardiovascular care. Once we close the acquisition of Shockwave that will be our third very thoughtful and deliberate move to only participate in high growth high margin and cardiovascular areas, where theres significant unmeet unmet need and tremendous opportunity for us to grow and so we're very excited by the fact that we will. One of the only strategics with only a high growth high margin businesses in the largest category within med Tech $60 billion market growing roughly 8% incremental $5 billion of growth coming out of that category each and every year. So very excited by the those moves

Speaker Change: That gives us now two leadership positions within cardiovascular care. Once we close the acquisition of Shockwave that will be our third very thoughtful and deliberate move to only participate in high growth high margin and cardiovascular areas, where theres significant unmeet unmet need and tremendous opportunity for us to grow and so we're very excited by the fact that we will. One of the only strategics with only a high growth high margin businesses in the largest category within med Tech $60 billion market growing roughly 8% incremental $5 billion of growth coming out of that category each and every year. So very excited by the those moves

Speaker Change: One of the only strategics with only a high growth high margin businesses in the largest category within med Tech $60 billion market growing roughly 8% incremental $5 billion of growth coming out of that category each and every year. So very excited by the those moves specifically to your questions on E. P. We've seen growth across.

One of the only strategics with only a high growth high margin businesses in the largest category within med Tech $60 billion market growing roughly 8% incremental $5 billion of growth coming out of that category each and every year. So very excited by the those moves

Tim Schmid: Specifically, to your questions on EP, we've seen growth across the board in excess of 20%, both in the U.S. and ex-U.S. And I think it really talks to the trust that our customers have in our technology today. RF and our portfolio of RF products are the most trusted and tested products with 20 years of experience. And by the way, we're not going to miss PFA, the progress we've made on ensuring that we can build our presence in that category with the approval in the EU as well as in Japan. We've also submitted for FDA approval. And while we don't control the timing, we expect that approval to come through by the end of this year or early next year. And so, very confident in our ability to build on our leadership position in EP. Was there a specific question to Ortho?

Speaker Change: The board in excess of 20% both in the U S and ex U S and I think it really talks to the trust that our customers have in our technology today, RF and our portfolio of RF products are the most trust the trusted and tested products with 20 years of experience. And by the way, we're not going to Miss PFA. The progress we've made on ensuring that we can build a presence in that category with the approval in the EU as well as in Japan. We've also submitted for FDA approval and while we don't control. The timings, we expect that approval to come through by the end of this year or early next year and so I'm very confident in our ability to. To build on our leadership position in in AP was there a specific question to ortho.

Jessica Moore: and ex-US, and I think it really talks to the trust that our customers have in our technology today. RF and our portfolio of RF products are the most trusted and tested products with 20 years of experience. And by the way, we're not going to miss PFA. The progress we've made on ensuring that we can build our presence in that category with the approval in the EU as well as in Japan. We've also submitted for FDA approval, and while we don't control the timings, we expect that approval to come through by the end of this year or early next year. And so very confident in our ability to build on our leadership position in EP. Was there a specific question to Ortho? Yeah, just a comment on Ortho generally was sort of low to mid single digits, but in hips and knees sounded like 9%-ish.

and ex-US, and I think it really talks to the trust that our customers have in our technology today. RF and our portfolio of RF products are the most trusted and tested products with 20 years of experience. And by the way, we're not going to miss PFA. The progress we've made on ensuring that we can build our presence in that category with the approval in the EU as well as in Japan. We've also submitted for FDA approval, and while we don't control the timings, we expect that approval to come through by the end of this year or early next year. And so very confident in our ability to build on our leadership position in EP. Was there a specific question to Ortho?

Speaker Change: And by the way, we're not going to Miss PFA. The progress we've made on ensuring that we can build a presence in that category with the approval in the EU as well as in Japan. We've also submitted for FDA approval and while we don't control. The timings, we expect that approval to come through by the end of this year or early next year and so I'm very confident in our ability to. To build on our leadership position in in AP was there a specific question to ortho.

Speaker Change: To build on our leadership position in in AP was there a specific question to ortho.

Matt Miksic: Yeah, just a comment on Ortho generally was sort of low to mid single digits, but in hips and knees sounded like 9%-ish.

Matthew Miksic: Just a comment on Ortho generally was sort of low to mid-single digits, but in hips and knees, sounded like 9%-ish, we added back the selling day and you're at double digits is just kind of really off the chart growth, I think, in that category. And I'm just wondering should we see like some sustainability of that rate or ramping down of that rate - how can you help us think about the rest of the year, in particular, in hips and knees?

Jessica Moore: Add back the selling day and you're at double digits. It's just kind of really off the charts growth, I think, in that category. I'm just wondering, should we see some sustainability of that rate or ramping down of that rate? How can you help us think about the rest of the year, in particular in hips and knees? Well, Matt, I think it's a testament to the progress of our team within Ortho in building out our portfolio. We had some gaps in the past, and now filling those gaps both in hips and then even more notably in knees with the launch of our VELYS robot is really what is creating the tailwind that we're enjoying today, and we do expect that to continue. Now, this was a strong quarter. Can we see that sort of growth every single quarter?

Add back the selling day and you're at double digits. It's just kind of really off the charts growth, I think, in that category. I'm just wondering, should we see some sustainability of that rate or ramping down of that rate? How can you help us think about the rest of the year, in particular in hips and knees?

Speaker Change: Add back the selling day and you're a double digits, it's just kind of really of the real. They think is in that category and I'm just wondering. Do we see like some sustainable ability of that of that REIT or ramping down of that right. Now can you help us think about the rest of the year in particular in hips and knees.

Speaker Change: They think is in that category and I'm just wondering. Do we see like some sustainable ability of that of that REIT or ramping down of that right. Now can you help us think about the rest of the year in particular in hips and knees.

Speaker Change: Do we see like some sustainable ability of that of that REIT or ramping down of that right. Now can you help us think about the rest of the year in particular in hips and knees.

Tim Schmid: Well, Matt, I think it's a testament to the progress of our team within Ortho in building out our portfolio. We had some gaps in the past, and now filling those gaps both in hips and then even more notably in knees with the launch of our VELYS robot is really what is creating the tailwind that we're enjoying today, and we do expect that to continue. Now, this was a strong quarter. Can we see that sort of growth every single quarter?

Joseph J. Wolk: Well, Matt, I think it's a testament to the progress of our team but then also in building out our portfolio. We had some gaps in the past and now filling those gaps both in hips and then even more notably in knees with the launch of our VELYS robot is really what is creating the tailwind that we're enjoying today, and we do expect that to continue. Now, this was a strong quarter. Can we see that sort of growth every single quarter, not absolutely sure, but we do expect high single-digit growth out of both of those categories going forward. I will also say that the work we've done in the orthopedics areas hasn't been just about growth. It's also about improving our margin profile. And you know that in the second quarter of 2023, we announced a major restructuring, which is focused on really simplifying our portfolio and focusing our business on where we could drive the greatest impact for patients and for shareholders. That effort is resulting in a 20% reduction in our implants. And just to put that in context, we have 100,000 implants today within our orthopedics business. And so, a real testament to the effort of group to not only drive top line performance but also evolve the portfolio to improve margins. Thank you again, Matt.

A strong quarter can we see that sort of growth every single quarter not absolutely sure. But we are we do expect high single digit growth out of both of those categories going forward I will also say that the work we've done in the orthopedics areas isn't it hasn't been just about growth. It's also about improving our margin profile and you know that in the second quarter of 'twenty, three we announced. A major restructuring, which is focused on really simplifying our portfolio and focusing our business on where we can drive the greatest impact for patients and for shareholders that effort is resulting in a 20% reduction in our implants and to put that in context, we have 100000 implants. Implants today within our orthopedics business and so a real testament to the effort of that group to not only drive top line performance, but also evolve the portfolio to improve margins. Thank you again, Matt.

Jessica Moore: Not absolutely sure, but we do expect high single-digit growth out of both of those categories going forward. I will also say that the work we've done in the orthopedics areas hasn't been just about growth. It's also about improving our margin profile. And you know that in Q2 2023, we announced a major restructuring, which is focused on really simplifying our portfolio and focusing our business on where we could drive the greatest impact for patients and for shareholders. That effort is resulting in a 20% reduction in our implants. And to put that in context, we have 100,000 implants today within our orthopedics business. And so a real testament to the effort of that group to not only drive top-line performance but also evolve the portfolio to improve margins. Thank you again, Matt. Thanks, Matt. Kevin, we have time for one more question. Thank you.

Not absolutely sure, but we do expect high single-digit growth out of both of those categories going forward. I will also say that the work we've done in the orthopedics areas hasn't been just about growth. It's also about improving our margin profile. And you know that in Q2 2023, we announced a major restructuring, which is focused on really simplifying our portfolio and focusing our business on where we could drive the greatest impact for patients and for shareholders. That effort is resulting in a 20% reduction in our implants. And to put that in context, we have 100,000 implants today within our orthopedics business. And so a real testament to the effort of that group to not only drive top-line performance but also evolve the portfolio to improve margins. Thank you again, Matt.

Speaker Change: A major restructuring, which is focused on really simplifying our portfolio and focusing our business on where we can drive the greatest impact for patients and for shareholders that effort is resulting in a 20% reduction in our implants and to put that in context, we have 100000 implants. Implants today within our orthopedics business and so a real testament to the effort of that group to not only drive top line performance, but also evolve the portfolio to improve margins. Thank you again, Matt.

Speaker Change: Implants today within our orthopedics business and so a real testament to the effort of that group to not only drive top line performance, but also evolve the portfolio to improve margins. Thank you again, Matt.

Operator: Thanks, Matt. Kevin, we have time for one more question. Thank you.

Jessica Moore: Thanks, Matt. Kevin, we have time for one more question.

Jessica Moore: Our final question today is coming from Vamil Divan from Guggenheim Securities. Your line is now live. Great. Thanks so much for taking my question. Maybe if no one's after me, I'll just squeeze in two if that's okay. One, I just was curious on Spravato and sort of where it's been a very strong growth again this quarter. If you can just provide a little more context there on where the growth is coming from, what sorts of practices, what types of patients are given that product, it'd be helpful to get a sense of that trend. And then just the other question we get a lot from investors is on the drug price negotiations with Medicare on the 10 drugs that were selected for this year's program through IRA.

Jessica Moore: Our final question today is coming from Vamil Divan from Guggenheim Securities. Your line is now live.

Operator: Thank you. Our final question today is coming from Vamil Divan from Guggenheim Securities. Your line is now live.

Vamil Divan: Great. Thanks so much for taking my question. Maybe if no one's after me, I'll just squeeze in two if that's okay. One, I just was curious on Spravato and sort of where it's been a very strong growth again this quarter. If you can just provide a little more context there on where the growth is coming from, what sorts of practices, what types of patients are given that product, it'd be helpful to get a sense of that trend. And then just the other question we get a lot from investors is on the drug price negotiations with Medicare on the 10 drugs that were selected for this year's program through IRA.

Vamil Divan: Great, thanks so much for taking my questions. Maybe if no one is after me I will just lead into it. One, I just was curious on SPRAVATO and sort of where like very strong growth again this quarter. If you can just provide a little more context there on where the growth is coming from, what sort of practices, what that the patients are given that product to be hopefully get a sense of that trend? And then just the other question we get a lot from investors is on the drug price negotiations with Medicare on the 10 drugs that are selected for this year's program through IRA. I know you probably won’t get too much into the specifics, but I'm curious if you can just share some high-level thoughts on how the progress of those discussions are going and is it sort of in line with what you expected, is there anything sort of very different from what you expected as the process plays out? Thank you.

Bumbled: Wanted to promote out there. Where he was a very. Very strong growth again this quarter. A little more context, there on where the growth is coming from what sorts of practices. And what are what type of patients, arguing given that productivity hopefully get a sense of that trend and then just the other question. We get a lot from investors is on the drug price negotiations with Medicare on the drug. They were selected for this year's program through I R. A I know you probably want to get too much into the specifics. But I'm curious if you can just share some high level thoughts on how the progress of those discussions are going and is it sort of in line with what you expected is there anything sort of different from what you expected as the as the process plays out. Thank you.

Bumbled: Where he was a very. Very strong growth again this quarter. A little more context, there on where the growth is coming from what sorts of practices. And what are what type of patients, arguing given that productivity hopefully get a sense of that trend and then just the other question. We get a lot from investors is on the drug price negotiations with Medicare on the drug. They were selected for this year's program through I R. A I know you probably want to get too much into the specifics. But I'm curious if you can just share some high level thoughts on how the progress of those discussions are going and is it sort of in line with what you expected is there anything sort of different from what you expected as the as the process plays out. Thank you.

Bumbled: Very strong growth again this quarter. A little more context, there on where the growth is coming from what sorts of practices. And what are what type of patients, arguing given that productivity hopefully get a sense of that trend and then just the other question. We get a lot from investors is on the drug price negotiations with Medicare on the drug. They were selected for this year's program through I R. A I know you probably want to get too much into the specifics. But I'm curious if you can just share some high level thoughts on how the progress of those discussions are going and is it sort of in line with what you expected is there anything sort of different from what you expected as the as the process plays out. Thank you.

Bumbled: A little more context, there on where the growth is coming from what sorts of practices. And what are what type of patients, arguing given that productivity hopefully get a sense of that trend and then just the other question. We get a lot from investors is on the drug price negotiations with Medicare on the drug. They were selected for this year's program through I R. A I know you probably want to get too much into the specifics. But I'm curious if you can just share some high level thoughts on how the progress of those discussions are going and is it sort of in line with what you expected is there anything sort of different from what you expected as the as the process plays out. Thank you.

Bumbled: And what are what type of patients, arguing given that productivity hopefully get a sense of that trend and then just the other question. We get a lot from investors is on the drug price negotiations with Medicare on the drug. They were selected for this year's program through I R. A I know you probably want to get too much into the specifics. But I'm curious if you can just share some high level thoughts on how the progress of those discussions are going and is it sort of in line with what you expected is there anything sort of different from what you expected as the as the process plays out. Thank you.

Jessica Moore: I know you probably don't want to get too much into the specifics, but I'm curious if you can just share some high-level thoughts on how the progress of those discussions are going, and is it sort of in line with what you expected? Is there anything sort of very different from what you expected as the process plays out? Thank you. Well, thanks for the question, and thanks for asking about Spravato. We continue to be really pleased with the uptake of Spravato as we continue to launch that product globally. You saw that there's over 70% growth in the quarter as it continues to perform well for patients with treatment-resistant depression.

I know you probably don't want to get too much into the specifics, but I'm curious if you can just share some high-level thoughts on how the progress of those discussions are going, and is it sort of in line with what you expected? Is there anything sort of very different from what you expected as the process plays out? Thank you.

Bumbled: But I'm curious if you can just share some high level thoughts on how the progress of those discussions are going and is it sort of in line with what you expected is there anything sort of different from what you expected as the as the process plays out. Thank you.

Jennifer Taubert: Well, thanks for the question, and thanks for asking about Spravato. We continue to be really pleased with the uptake of Spravato as we continue to launch that product globally. You saw that there's over 70% growth in the quarter as it continues to perform well for patients with treatment-resistant depression.

Jennifer Taubert: Well, thanks for the question, and thanks for asking about SPRAVATO. We continue to be really pleased with the uptake of SPRAVATO as we continue to launch that product globally. You saw that there's over 70% growth in the quarter as it continues to perform well for patients with treatment-resistant depression. And so we've got a bold outlook for SPRAVATO as we continue to launch it into more markets and as we are able to even further penetrate the existing markets that we're in into a bit more of the community setting there. In terms - so good - really, really good outlook. We're also just to put in a plug for neuroscience. We talk a lot about our oncology business and our immunology business. Neuroscience is also a key area for us, so SPRAVATO is a key platform. We've also got aticaprant and seltorexant coming, and we had mentioned the long-acting therapies with the INVEGA SUSTENNA franchise earlier.

Jessica Moore: And so we've got a bold outlook for Spravato as we continue to launch it into more markets and as we're able to even further penetrate the existing markets that we're in into a bit more of the community setting there. So really, really good outlook. We're also, just to put in a plug for neuroscience, we talk a lot about our oncology business and our immunology business. Neuroscience is also a key area for us, so Spravato's a key platform. We've also got a ticker print in Seltorexant coming, and we had mentioned the long-acting therapies with the Invega Sustenna franchise earlier. So back on IRA, we've been really clear that we do think that the IRA's drug pricing provisions are damaging to the innovative healthcare system.

And so we've got a bold outlook for Spravato as we continue to launch it into more markets and as we're able to even further penetrate the existing markets that we're in into a bit more of the community setting there. So really, really good outlook. We're also, just to put in a plug for neuroscience, we talk a lot about our oncology business and our immunology business. Neuroscience is also a key area for us, so Spravato's a key platform. We've also got a ticker print in Seltorexant coming, and we had mentioned the long-acting therapies with the Invega Sustenna franchise earlier. So back on IRA, we've been really clear that we do think that the IRA's drug pricing provisions are damaging to the innovative healthcare system.

Speaker Change: And so we've got a bold outlook forests provider as we continue to launch it into more markets and as we were able to even further penetrate the existing markets that we're in into a bit more of the community setting there. And in terms of itself got really really good outlook were also just have to put in a plug for neuroscience, we talk a lot about our oncology business and our immunology business Neuroscience is also a key area for us as providers a key platform. Also got to take a plant and sell trucks and coming in and we had mentioned a long acting therapies with the Invega Cisterna franchise earlier,

Speaker Change: And in terms of itself got really really good outlook were also just have to put in a plug for neuroscience, we talk a lot about our oncology business and our immunology business Neuroscience is also a key area for us as providers a key platform. Also got to take a plant and sell trucks and coming in and we had mentioned a long acting therapies with the Invega Cisterna franchise earlier,

Speaker Change: Also got to take a plant and sell trucks and coming in and we had mentioned a long acting therapies with the Invega Cisterna franchise earlier, so back on not on I R. A we've been really clear that that we do think that these are I R. S drug setting provisions are damaging to the health care innovative system. It it just it.

Also got to take a plant and sell trucks and coming in and we had mentioned a long acting therapies with the Invega Cisterna franchise earlier,

Jennifer Taubert: So back on IRA, we've been really clear that we do think that these - the IRA’s drug setting provisions are damaging to the health care innovative system. It just - it is not something that is going to help reinforce the tremendous investments that we're making in R&D to develop the next types of treatments and cures. That being said, we do focus on patient access and are trying to make sure that our products are available to the patients who need them. And so, we're working appropriately with the government and in line with the process to start going back and forth around what the ultimate price will be. So, there has been a round or two of going back and forth. And so, we're still in the middle of that process. I can't really provide any more details on that. What I will say is that the products that we have that are going through the process, they are not our growth drivers for the future. Those are - they are our products that are more at end of life. And so, they're not the ones that are going to be really key for us both in the coming years, as well as out through the end of the decade. And what I'd love to also reinforce is that we do remain confident that we've got a clear path to achieving our $57 billion commitment that we made back in December at our Enterprise Business Review as well as from 2025 to 2030, delivering above market growth with the 5% to 7% compounded annual growth rate and with growth in every year that being 2025, as well as all of the years beyond that. So, irrespective of the IRA, when I take a look at our growth drivers and how our pipeline is coming in, we feel really confident about the state of our business.

Jennifer Taubert: So back on IRA, we've been really clear that we do think that these - the IRA’s drug setting provisions are damaging to the health care innovative system. It just - it is not something that is going to help reinforce the tremendous investments that we're making in R&D to develop the next types of treatments and cures. That being said, we do focus on patient access and are trying to make sure that our products are available to the patients who need them. And so, we're working appropriately with the government and in line with the process to start going back and forth around what the ultimate price will be. So, there has been a round or two of going back and forth. And so, we're still in the middle of that process. I can't really provide any more details on that. What I will say is that the products that we have that are going through the process, they are not our growth drivers for the future.

Jessica Moore: It is not something that is going to help reinforce the tremendous investments that we're making in R&D to develop the next types of treatments and cures. That being said, we do focus on patient access and are trying to make sure that our products are available to the patients who need them. So we're working appropriately with the government and in line with the process to start going back and forth around what the ultimate price will be. There has been a round or two of going back and forth, and so we're still in the middle of that process. I can't really provide any more details on that. What I will say is that the products that we have that are going through the process, they are not our growth drivers for the future.

It is not something that is going to help reinforce the tremendous investments that we're making in R&D to develop the next types of treatments and cures. That being said, we do focus on patient access and are trying to make sure that our products are available to the patients who need them. So we're working appropriately with the government and in line with the process to start going back and forth around what the ultimate price will be. There has been a round or two of going back and forth, and so we're still in the middle of that process. I can't really provide any more details on that. What I will say is that the products that we have that are going through the process, they are not our growth drivers for the future.

Speaker Change: It is not something that is going to help reinforce the tremendous investments that we're making in R&D to develop the next types of treatments and cures that being said, we do focus on patient access and are trying to make sure that our products are available to the patients who need them and so we're working approach. Lately with the government and in line with the process tube to start going back and forth around what the ultimate price will be so there has been a round or two of us going back and forth and so we're still in the middle of that process I can't really provide any more details on that what I will say. Is that the products that we have that are going through the process. They are not our growth drivers for the future of those are they are our products that are more at end of life and so they are not the ones that are going to be really key for us both in the coming years as well as out through the end of the decade, and what I'd love to also reinforce. This is that we do remain confident that we've got a clear path to achieving our 57 billion dollar commitment that we made back in December at our enterprise business review as well as from 25 to 30, delivering above market growth with a 5% to 7% compounded annual growth rate and with growth in every year. That being 2025 as well as all of the years beyond that so irrespective of the eye or a when I take a look at our growth drivers and how our pipeline is coming in we feel real confident about the state of our business.

Speaker Change: Lately with the government and in line with the process tube to start going back and forth around what the ultimate price will be so there has been a round or two of us going back and forth and so we're still in the middle of that process I can't really provide any more details on that what I will say. Is that the products that we have that are going through the process. They are not our growth drivers for the future of those are they are our products that are more at end of life and so they are not the ones that are going to be really key for us both in the coming years as well as out through the end of the decade, and what I'd love to also reinforce. This is that we do remain confident that we've got a clear path to achieving our 57 billion dollar commitment that we made back in December at our enterprise business review as well as from 25 to 30, delivering above market growth with a 5% to 7% compounded annual growth rate and with growth in every year. That being 2025 as well as all of the years beyond that so irrespective of the eye or a when I take a look at our growth drivers and how our pipeline is coming in we feel real confident about the state of our business.

Speaker Change: Is that the products that we have that are going through the process. They are not our growth drivers for the future of those are they are our products that are more at end of life and so they are not the ones that are going to be really key for us both in the coming years as well as out through the end of the decade, and what I'd love to also reinforce. This is that we do remain confident that we've got a clear path to achieving our 57 billion dollar commitment that we made back in December at our enterprise business review as well as from 25 to 30, delivering above market growth with a 5% to 7% compounded annual growth rate and with growth in every year. That being 2025 as well as all of the years beyond that so irrespective of the eye or a when I take a look at our growth drivers and how our pipeline is coming in we feel real confident about the state of our business.

Jennifer Taubert: Those are - they are our products that are more at end of life. And so, they're not the ones that are going to be really key for us both in the coming years, as well as out through the end of the decade. And what I'd love to also reinforce is that we do remain confident that we've got a clear path to achieving our $57 billion commitment that we made back in December at our Enterprise Business Review as well as from 2025 to 2030, delivering above market growth with the 5% to 7% compounded annual growth rate and with growth in every year that being 2025, as well as all of the years beyond that. So, irrespective of the IRA, when I take a look at our growth drivers and how our pipeline is coming in, we feel really confident about the state of our business.

Jessica Moore: They are our products that are more at end-of-life, and so they're not the ones that are going to be really key for us both in the coming years as well as out through the end of the decade. What I'd love to also reinforce is that we do remain confident that we've got a clear path to achieving our $57 billion commitment that we made back in December at our enterprise business review, as well as from 2025 to 2030 delivering above-market growth with the 5% to 7% compounded annual growth rate and with growth in every year, that being 2025 as well as all of the years beyond that. Irrespective of the IRA, when I take a look at our growth drivers and how our pipeline is coming in, we feel real confident about the state of our business. Wonderful.

They are our products that are more at end-of-life, and so they're not the ones that are going to be really key for us both in the coming years as well as out through the end of the decade. What I'd love to also reinforce is that we do remain confident that we've got a clear path to achieving our $57 billion commitment that we made back in December at our enterprise business review, as well as from 2025 to 2030 delivering above-market growth with the 5% to 7% compounded annual growth rate and with growth in every year, that being 2025 as well as all of the years beyond that. Irrespective of the IRA, when I take a look at our growth drivers and how our pipeline is coming in, we feel real confident about the state of our business. Wonderful.

Speaker Change: This is that we do remain confident that we've got a clear path to achieving our 57 billion dollar commitment that we made back in December at our enterprise business review as well as from 25 to 30, delivering above market growth with a 5% to 7% compounded annual growth rate and with growth in every year. That being 2025 as well as all of the years beyond that so irrespective of the eye or a when I take a look at our growth drivers and how our pipeline is coming in we feel real confident about the state of our business.

Speaker Change: That being 2025 as well as all of the years beyond that so irrespective of the eye or a when I take a look at our growth drivers and how our pipeline is coming in we feel real confident about the state of our business.

Jessica Moore: Thank you, Vamil, and thanks to everyone for your questions and your continued interest in our company. We apologize to those that we couldn't get to because of time, but don't hesitate to reach out to the investor relations team with any remaining questions you may have. I will now turn the call over to Joaquin for some brief closing remarks. Thank you, Jess. Johnson & Johnson's solid first-quarter performance reflects our sharpened focus on the progress in our portfolio and pipeline. Our impact across the full spectrum of healthcare is unique in our industry, and the commercial, clinical, and capital allocation milestones achieved in Q1 reinforce our position as an innovation powerhouse. One of the most significant milestones this quarter was the announcement of our planned acquisition of Shockwave that will further strengthen our leadership position in cardiovascular.

Jessica Moore: Thank you, Vamil, and thanks to everyone for your questions and your continued interest in our company. We apologize to those that we couldn't get to because of time, but don't hesitate to reach out to the investor relations team with any remaining questions you may have. I will now turn the call over to Joaquin for some brief closing remarks.

Jessica Moore: Thank you, Vamil, and thanks to everyone for your questions and your continued interest in our company. We apologize to those that we couldn't get to because of time, but don't hesitate to reach out to the Investor Relations team with any remaining questions you may have. I will now turn the call over to Joaquin for some brief closing remarks.

Speaker Change: Apologize to those that we couldn't get to because of time, but don't hesitate to reach out to the investor relations team with any remaining questions. You may have I will now turn the call over to Joaquin for some brief closing remarks. Thank you, Jason Joe Johnson solid first quarter performance.

Apologize to those that we couldn't get to because of time, but don't hesitate to reach out to the investor relations team with any remaining questions. You may have I will now turn the call over to Joaquin for some brief closing remarks.

Joaquin Duato: Thank you, Jess. Johnson & Johnson's solid first-quarter performance reflects our sharpened focus on the progress in our portfolio and pipeline. Our impact across the full spectrum of healthcare is unique in our industry, and the commercial, clinical, and capital allocation milestones achieved in Q1 reinforce our position as an innovation powerhouse. One of the most significant milestones this quarter was the announcement of our planned acquisition of Shockwave that will further strengthen our leadership position in cardiovascular.

Joaquin Duato: Thank you, Jess, and Johnson & Johnson's solid first quarter performance reflects our sharpened focus and the progress in our portfolio and pipeline. Our impact across the full spectrum of health care is unique in our industry and the commercial, clinical, and capital allocation milestones achieved in Q1 reinforce our position as an innovation powerhouse. One of the most significant milestones this quarter was the announcement of our planned acquisition of Shockwave that will further strengthen our leadership position in cardiovascular. We continue to make strong progress towards the goals that we set out at our December Enterprise Business Review, and I'm looking forward to all that we will achieve through the remainder of 2024.

Joaquin Duato: Flex our sharpened focus on the progress in our portfolio and pipeline our impact across the full spectrum of SKT is unique in our industry. Commercial clinical and capital allocation milestones achieved in Q1 Dream force our position as an innovation powerhouse one of the most significant milestones. This quarter was the announcement of our planned acquisition of <unk>. We will further strengthen our leadership position in cardiovascular we continue to make strong progress towards the goals that we set out at our December enterprise business review and I'm looking forward to all that we will achieve through the reminder of 2024.

Joaquin Duato: Commercial clinical and capital allocation milestones achieved in Q1 Dream force our position as an innovation powerhouse one of the most significant milestones. This quarter was the announcement of our planned acquisition of <unk>. We will further strengthen our leadership position in cardiovascular we continue to make strong progress towards the goals that we set out at our December enterprise business review and I'm looking forward to all that we will achieve through the reminder of 2024.

Joaquin Duato: This quarter was the announcement of our planned acquisition of <unk>. We will further strengthen our leadership position in cardiovascular we continue to make strong progress towards the goals that we set out at our December enterprise business review and I'm looking forward to all that we will achieve through the reminder of 2024.

Joaquin Duato: We will further strengthen our leadership position in cardiovascular we continue to make strong progress towards the goals that we set out at our December enterprise business review and I'm looking forward to all that we will achieve through the reminder of 2024.

Jessica Moore: We continue to make strong progress towards the goals that we set out at our December enterprise business review, and I'm looking forward to all that we will achieve through the remainder of 2024. Thank you. This concludes today's Johnson & Johnson's Q1 2024 earnings conference call. You may now disconnect.

We continue to make strong progress towards the goals that we set out at our December enterprise business review, and I'm looking forward to all that we will achieve through the remainder of 2024. Thank you. This concludes today's Johnson & Johnson's Q1 2024 earnings conference call. You may now disconnect.

Operator: Thank you. This concludes today's Johnson & Johnson's first quarter 2024 earnings conference call. You may now disconnect.

Speaker Change: Thank you. This concludes today's Johnson <unk> Johnson's first quarter 2024 earnings Conference call you may now disconnect.

Speaker Change: Okay.