Johnson & Johnson cuts 2026 EPS guidance by $0.64 on Firefly and Sail deals
Johnson & Johnson completed its $1 billion cash acquisition of Firefly Bio and entered agreements with Sail Biomedicines, and it lowered its full-year 2026 guidance as a result. The company expects the two transactions to reduce 2026 adjusted operational EPS and adjusted EPS by about $0.64, which cuts the adjusted operational EPS midpoint to $10.94 from $11.58 and reflects a charge of about $1 billion in the third quarter.
Key points
- 2026 adjusted operational EPS guidance midpoint lowered to $10.94 from $11.58; range $10.86 to $11.01
- Expected 2026 EPS impact of about $0.64: about $0.46 from Firefly and about $0.18 from Sail
- Firefly acquisition closed for $1 billion in cash, with an in-process R&D charge of about $1 billion in Q3 2026
- Sail deal includes $785 million in initial payments and an option to acquire Sail for $2.58 billion; 2027 EPS dilution expected at about $1.36
The filing
Written by AI on Nov 8, 2026, 2:16 AM ET, from this filing only. Written later: this filing was briefed after the fact, when past filings were added to the site, so the brief may be read with hindsight; the filing itself is the record of what was known on July 29, 2026.
Briefs are written by AI from the filing text and can contain mistakes — open the filing before acting on anything. Impact (1-5) and tone are the AI's reading of the filing for shareholders, not a price forecast. Not investment advice.