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Johnson & Johnson Medical Device Company Intelligence Report
Espicom Business Intelligence Ltd, Aug 2009, Pages: 40
Johnson & Johnson is a holding company that comprises more than 250 healthcare companies located in 57 countries throughout the world. The group’s primary focus is on products related to human health and well-being. It is the world’s leading consumer health company, the world’s largest and most diverse medical devices and diagnostics company, the world’s fourth-largest biologics company and the world’s seventh-largest pharmaceuticals company.
Johnson & Johnson’s structure is based around three business segments – Medical Devices & Diagnostics, Pharmaceutical and Consumer.
The Medical Devices & Diagnostics segment is divided into seven franchises that are organised into the Surgical Care and Comprehensive Care Groups. Surgical Care consists of DePuy’s orthopaedic joint reconstruction, spinal care and sports medicine products, Ethicon’s surgical care and women’s health products, and Ethicon Endo-Surgery’s minimally-invasive surgical products. Comprehensive Care includes Cordis’ circulatory disease management products, Diabetes Care’s blood glucose monitoring and insulin delivery products, Ortho-Clinical Diagnostics’ professional diagnostic products, and Vision Care’s disposable contact lenses.
The Pharmaceutical segment includes products in the following therapeutic areas: anti-infective, antipsychotic, cardiovascular, contraceptive, dermatology, gastro-intestinal, haematology, immunology, neurology, oncology, pain management, urology and virology.
The Consumer segment includes a broad range of products used in the baby care, skin care, oral care, wound care and women’s healthcare fields, as well as nutritional and over-the-counter pharmaceutical products.
Among the key company acquisitions that took place within the Medical Devices & Diagnostics segment during 2008 and the first quarter of 2009 were:
- SurgRx, developer of the advanced bipolar tissue sealing system used in the Enseal range of devices;
- Omrix Biopharmaceuticals, a developer of biosurgical and immunotherapy products;
- Mentor, a supplier of products for the aesthetic market;
- and Amic, a developer of in vitro diagnostic (IVD) technologies.
SurgRx is reported as part of Ethicon Endo-Surgery’s business, Mentor and Omrix form part of the Ethicon franchise, while Amic is part of Ortho-Clinical Diagnostics.
Recent significant divestitures within the Medical Devices & Diagnostics business segment included Ethicon’s sale of its Professional Wound Care division in the fourth quarter of 2008. In addition, in December 2008, Johnson & Johnson’s Independence Technology announced that it would cease sales and marketing of its principal product, the iBOT Mobility System, in January 2009. The company said demand for the iBOT system had not proven sufficient to create a sustainable market. The company will continue to provide technical support and service to iBOT Mobility System owners until the end of 2013, at which time the company is expected to close.
In 2008, Johnson & Johnson reported net earnings of US$12.9 billion on sales of US$63.7 billion. The group has approximately 118,700 employees worldwide.
This report focuses on the activities and performance of Johnson & Johnson’s Medical Devices & Diagnostics business. Separate profiles are published on the following Johnson & Johnson subsidiaries – Cordis, DePuy, Ethicon, Mentor, Ethicon Endo-Surgery, LifeScan (including Animas), Therakos and Vistakon.
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