Medical Design Briefs - January 2025 - 9

" We've had over 800 successful cases. We
shared the data from our admIRE study
at the recent HRS meeting, showing 85
percent primary effectiveness in that
portfolio and that product. And we believe
we've got a product that really will
hunt, " he said.
As it relates to the United States, he
said that J&J is seeing continued competition,
especially in the ablation space,
given that the company doesn't currently
have a PFA product. " We're benefiting
from the volume increase from PFA
even though we don't have that catheter, "
he said. " Beyond our first launch
with VARIPULSE, you will see a full
portfolio of focal - large-focal, single-shot,
and dual-energy catheters. So
we're confident in our leadership position
in EP and our sources of differentiation
for the future. "
Fighting Headwind in Asia
" We've had a myriad of issues hitting
us in the Asia-Pacific region of late, " said
Schmid. " Firstly, in February [2024] in
Korea, the government initiated - or at
least, a strike was initiated - among the
healthcare professional community. Unfortunately,
we don't see any end in sight
to that. And so that's certainly has been a
headwind.
" We're seeing macroeconomic pressures
in Japan, and then more importantly,
the ongoing impact to volumebased
procurement, which has also
been exacerbated by the anti-corruption
campaign. While we believe this is
absolutely the right thing to do and we
support it for the long term, it is impacting
procedures and the engagement by
healthcare professionals with companies
like ours, especially on premium
products. "
While J&J has a leadership position in
China, Schmid said that the company is
seeing a disproportionate impact from
value-based purchasing (VBP). " We have
five major categories impacted through
tenders in 2023, in electrophysiology,
trauma, spine, endocutters, and energy,
and more recently, the IOLs and sports
in our orthopedics business.
" We do believe that this will be a headwind
into 2025. That said, we are absolutely
confident that China will continue
to be an important part of our portfolio
even with the impact of VBP. We believe
we can deliver tremendous growth and
returns for our shareholders, and I think
Medical Design Briefs, January 2025
this really talks to the strength of our
global portfolio across medtech.
Schmid said that J&J can offset headwinds
in one geography with better performance
in places like Europe and the
United States. He said that Asia-Pacific
will continue to be a growth opportunity
because 60 percent of the world's patients
live
in that part of the world.
" We're proud of the fact that we've been
in many of these markets for many, many
years and expect to continue to do so.
Outlook for Ortho
Michael Bodner, Johnson & Johnson group president
of heart recovery and circulatory restoration
" Specifically to orthopedics, we believe
this is going to be another solid
year, 3.2 percent growth for the year, "
said Schmid. " We did have a slightly softer
third quarter, which was a result of the
restructure within orthopedics. And as
we look to the full year, we expect a return
to significantly better performance,
especially in orthopedics, which typically
has a stronger fourth quarter, " he said.
" We are seeing tremendous performance
specifically within the hips and
knees categories, growing 6 and 7 percent. "
He said that is a result of the company's
success of its enabling technologies
in VELYS in knees. J&J has added
the indication of the UNI-Knee, as well
as KINCISE and hip navigation systems
within hips.
Joaquin Duato, chairman of the board and chief executive
officer
Regarding orthopedics performance,
Schmid said J&J is significantly addressing
portfolio gaps within its trauma portfolio
with the launch of TriLEAP, VirtuGuide,
and VOLT.
" Our spine portfolio has been challenged,
and we're addressing that with
the launch of TELIGEN, our new trial
to thoracolumbar system, and the new
spine robot, which we just received approval
for. We all need to watch carefully
the impact of the recently announced
IV saline shortages, which, if
they do persist, could potentially impact
surgical procedures across our
portfolio, " he said.
Tim Schmid, executive vice president and worldwide
chairman of medtech
Conclusion
Johnson & Johnson continues to advance
its leadership in medtech and innovative
medicine by focusing on highgrowth,
high-innovation markets. Recent
strategic acquisitions have strengthened
its cardiovascular portfolio, contributing
to significant sales growth. With a strong
pipeline and clear financial priorities,
the company is well positioned for sustained
growth in 2025 and beyond.
This article was written by Sherrie
Joseph Wolk, chief financial officer and executive vice
president
www.medicaldesignbriefs.com
Trigg, Editor and Director of Medical
Content. She can be reached at sherrie.
trigg@saemediagroup.com.
9
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Medical Design Briefs - January 2025

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