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TABLE OF CONTENTS
Letter to Shareholders ..................................1
Features ........................................... 5
Resources ......................................... 23
Board of Directors ....................................24
Committees of the Board ...............................25
Corporate Officers and Company Group Chairmen ...........26
Corporate Governance and Management’s Responsibility ......27
Management’s Discussion and Analysis ...................28
Consolidated Financial Statements .......................39
Notes to Consolidated Financial Statements ................43
Management’s Report on Internal Control over
Financial Reporting ...................................64
Report of Independent Registered Public Accounting Firm .....65
Summary of Operations and Statistical Data 1995-2005 .......66
Reconciliation of Non-GAAP Measures ....................67
Principal Global Businesses .............................68
Worldwide Family of Companies .........................73
Corporate and Shareholder Information ...................77
ABOUT THE COMPANY
Johnson & Johnson achieved $50.5 billion in sales and,
through its operating companies, is the world’s most
comprehensive and broadly based manufacturer of health
care products, as well as a provider of related services,
for the consumer, pharmaceutical, and medical devices
and diagnostics markets. The more than 230 Johnson
& Johnson operating companies employ approximately
115,600 men and women in 57 countries and sell products
throughout the world.
ON THE COVER
For patients with conditions from coronary artery disease
to bipolar disorder, and consumers looking for advanced
science in skin care, Johnson & Johnson companies’
products are reaching more people and serving more health
needs around the world. Inside, read the stories of people
whose lives are changed for the better by our products.
FINANCIAL HIGHLIGHTS
% Change
(Dollars in Millions Except Per Share Figures) 2005 2004 2003 2005 2004
Sales to customers $50,514 47,348 41,862 6.7% 13.1
Net earnings 10,411 8,509 7,197 22.4 18.2
Percent return on average shareholders’ equity 29.9 29.0 29.0 — —
Diluted net earnings per share $ 3.46 2.84 2.40 21.8% 18.3
Cash dividends paid per share 1.275 1.095 0.925 16.4 18.4
Market price (year-end close) 60.10 63.42 50.62 (5.2) 25.3
Net Sales
(in billions of dollars)
01 02 03 04 05
50
40
30
20
10
0
Dividends Paid Per Share
(in dollars)
01 02 03 04 05
1.25
1.00
0.75
0.50
0.25
0
Diluted Earnings Per Share
(in dollars)
01 02 03 04 05
4.0
3.0
2.0
1.0
0
JOHNSON & JOHNSON 2005 ANNUAL REPORT