2. Amgen Inc.
  3. Profitability Analysis
  4. Quarterly Data
 

Amgen Inc. (AMGN)

Profitability Analysis Quarterly Data

Difficulty: Beginner

Profitability ratios measure the company's ability to generate profitable sales from its resources (assets).

Ratios (Summary)

Amgen Inc., profitability ratios (quarterly data)

 
Mar 31, 2018 Dec 31, 2017 Sep 30, 2017 Jun 30, 2017 Mar 31, 2017 Dec 31, 2016 Sep 30, 2016 Jun 30, 2016 Mar 31, 2016 Dec 31, 2015 Sep 30, 2015 Jun 30, 2015 Mar 31, 2015 Dec 31, 2014 Sep 30, 2014 Jun 30, 2014 Mar 31, 2014 Dec 31, 2013 Sep 30, 2013 Jun 30, 2013 Mar 31, 2013
Return on Sales
Gross profit margin 81.69% 81.33% 81.37% 81.26% 81.05% 80.99% 80.68% 80.64% 80.23% 79.82% 79.13% 78.27% 78.00% 77.12% 77.48% 78.73% 79.93% 81.61% –% –% –%
Operating profit margin 46.07% 45.76% 46.66% 46.93% 45.68% 44.74% 43.33% 42.46% 41.53% 40.44% 37.98% 34.90% 34.51% 32.03% 31.23% 32.75% 31.47% 32.25% –% –% –%
Net profit margin 10.11% 9.08% 37.36% 37.24% 36.12% 35.27% 35.19% 34.48% 33.86% 33.13% 30.94% 28.90% 28.76% 26.69% 25.78% 26.71% 25.66% 27.93% –% –% –%
Return on Investment
Return on equity (ROE) 14.21% 7.84% 25.37% 25.77% 25.76% 25.85% 24.65% 24.67% 25.16% 24.71% 23.00% 21.15% 21.53% 20.01% 19.29% 20.54% 20.76% 23.00% –% –% –%
Return on assets (ROA) 3.12% 2.48% 10.18% 10.27% 10.14% 9.95% 9.71% 9.85% 9.61% 9.69% 8.95% 8.16% 8.28% 7.47% 6.90% 7.20% 7.04% 7.68% –% –% –%
Source: Based on data from Amgen Inc. Quarterly and Annual Reports
Ratio Description The company
Gross profit margin Gross profit margin indicates the percentage of revenue available to cover operating and other expenditures. Amgen Inc.'s gross profit margin deteriorated from Q3 2017 to Q4 2017 but then improved from Q4 2017 to Q1 2018 exceeding Q3 2017 level.
Operating profit margin A profitability ratio calculated as operating income divided by revenue. Amgen Inc.'s operating profit margin deteriorated from Q3 2017 to Q4 2017 but then slightly improved from Q4 2017 to Q1 2018.
Net profit margin An indicator of profitability, calculated as net income divided by revenue. Amgen Inc.'s net profit margin deteriorated from Q3 2017 to Q4 2017 but then slightly improved from Q4 2017 to Q1 2018.
ROE A profitability ratio calculated as net income divided by shareholders' equity. Amgen Inc.'s ROE deteriorated from Q3 2017 to Q4 2017 but then slightly improved from Q4 2017 to Q1 2018.
ROA A profitability ratio calculated as net income divided by total assets. Amgen Inc.'s ROA deteriorated from Q3 2017 to Q4 2017 but then slightly improved from Q4 2017 to Q1 2018.

Top

Gross Profit Margin

Amgen Inc., gross profit margin calculation (quarterly data)

 
Mar 31, 2018 Dec 31, 2017 Sep 30, 2017 Jun 30, 2017 Mar 31, 2017 Dec 31, 2016 Sep 30, 2016 Jun 30, 2016 Mar 31, 2016 Dec 31, 2015 Sep 30, 2015 Jun 30, 2015 Mar 31, 2015 Dec 31, 2014 Sep 30, 2014 Jun 30, 2014 Mar 31, 2014 Dec 31, 2013 Sep 30, 2013 Jun 30, 2013 Mar 31, 2013
Selected Financial Data (USD $ in millions)
Gross profit from product sales 4,399  4,510  4,463  4,550  4,203  4,596  4,489  4,424  4,221  4,258  4,482  4,136  3,841  3,991  3,780  3,868  3,266  3,770  3,859  3,810  3,407 
Product sales 5,343  5,569  5,453  5,574  5,199  5,663  5,516  5,474  5,239  5,329  5,516  5,225  4,874  5,174  4,848  4,949  4,356  4,799  4,647  4,595  4,151 
Ratio
Gross profit margin1 81.69% 81.33% 81.37% 81.26% 81.05% 80.99% 80.68% 80.64% 80.23% 79.82% 79.13% 78.27% 78.00% 77.12% 77.48% 78.73% 79.93% 81.61% –% –% –%
Source: Based on data from Amgen Inc. Quarterly and Annual Reports

Q1 2018 Calculations

1 Gross profit margin = 100 × (Gross profit from product salesQ1 2018 + Gross profit from product salesQ4 2017 + Gross profit from product salesQ3 2017 + Gross profit from product salesQ2 2017) ÷ (Product salesQ1 2018 + Product salesQ4 2017 + Product salesQ3 2017 + Product salesQ2 2017)
= 100 × (4,399 + 4,510 + 4,463 + 4,550) ÷ (5,343 + 5,569 + 5,453 + 5,574) = 81.69%

Ratio Description The company
Gross profit margin Gross profit margin indicates the percentage of revenue available to cover operating and other expenditures. Amgen Inc.'s gross profit margin deteriorated from Q3 2017 to Q4 2017 but then improved from Q4 2017 to Q1 2018 exceeding Q3 2017 level.

Top

Operating Profit Margin

Amgen Inc., operating profit margin calculation (quarterly data)

 
Mar 31, 2018 Dec 31, 2017 Sep 30, 2017 Jun 30, 2017 Mar 31, 2017 Dec 31, 2016 Sep 30, 2016 Jun 30, 2016 Mar 31, 2016 Dec 31, 2015 Sep 30, 2015 Jun 30, 2015 Mar 31, 2015 Dec 31, 2014 Sep 30, 2014 Jun 30, 2014 Mar 31, 2014 Dec 31, 2013 Sep 30, 2013 Jun 30, 2013 Mar 31, 2013
Selected Financial Data (USD $ in millions)
Operating income 2,726  2,245  2,439  2,698  2,591  2,485  2,527  2,380  2,402  2,033  2,339  2,076  2,022  1,459  1,466  1,902  1,364  1,187  1,688  1,550  1,442 
Product sales 5,343  5,569  5,453  5,574  5,199  5,663  5,516  5,474  5,239  5,329  5,516  5,225  4,874  5,174  4,848  4,949  4,356  4,799  4,647  4,595  4,151 
Ratio
Operating profit margin1 46.07% 45.76% 46.66% 46.93% 45.68% 44.74% 43.33% 42.46% 41.53% 40.44% 37.98% 34.90% 34.51% 32.03% 31.23% 32.75% 31.47% 32.25% –% –% –%
Source: Based on data from Amgen Inc. Quarterly and Annual Reports

Q1 2018 Calculations

1 Operating profit margin = 100 × (Operating incomeQ1 2018 + Operating incomeQ4 2017 + Operating incomeQ3 2017 + Operating incomeQ2 2017) ÷ (Product salesQ1 2018 + Product salesQ4 2017 + Product salesQ3 2017 + Product salesQ2 2017)
= 100 × (2,726 + 2,245 + 2,439 + 2,698) ÷ (5,343 + 5,569 + 5,453 + 5,574) = 46.07%

Ratio Description The company
Operating profit margin A profitability ratio calculated as operating income divided by revenue. Amgen Inc.'s operating profit margin deteriorated from Q3 2017 to Q4 2017 but then slightly improved from Q4 2017 to Q1 2018.

Top

Net Profit Margin

Amgen Inc., net profit margin calculation (quarterly data)

 
Mar 31, 2018 Dec 31, 2017 Sep 30, 2017 Jun 30, 2017 Mar 31, 2017 Dec 31, 2016 Sep 30, 2016 Jun 30, 2016 Mar 31, 2016 Dec 31, 2015 Sep 30, 2015 Jun 30, 2015 Mar 31, 2015 Dec 31, 2014 Sep 30, 2014 Jun 30, 2014 Mar 31, 2014 Dec 31, 2013 Sep 30, 2013 Jun 30, 2013 Mar 31, 2013
Selected Financial Data (USD $ in millions)
Net income 2,311  (4,264) 2,021  2,151  2,071  1,935  2,017  1,870  1,900  1,800  1,863  1,653  1,623  1,294  1,244  1,547  1,073  1,021  1,368  1,258  1,434 
Product sales 5,343  5,569  5,453  5,574  5,199  5,663  5,516  5,474  5,239  5,329  5,516  5,225  4,874  5,174  4,848  4,949  4,356  4,799  4,647  4,595  4,151 
Ratio
Net profit margin1 10.11% 9.08% 37.36% 37.24% 36.12% 35.27% 35.19% 34.48% 33.86% 33.13% 30.94% 28.90% 28.76% 26.69% 25.78% 26.71% 25.66% 27.93% –% –% –%
Source: Based on data from Amgen Inc. Quarterly and Annual Reports

Q1 2018 Calculations

1 Net profit margin = 100 × (Net incomeQ1 2018 + Net incomeQ4 2017 + Net incomeQ3 2017 + Net incomeQ2 2017) ÷ (Product salesQ1 2018 + Product salesQ4 2017 + Product salesQ3 2017 + Product salesQ2 2017)
= 100 × (2,311 + -4,264 + 2,021 + 2,151) ÷ (5,343 + 5,569 + 5,453 + 5,574) = 10.11%

Ratio Description The company
Net profit margin An indicator of profitability, calculated as net income divided by revenue. Amgen Inc.'s net profit margin deteriorated from Q3 2017 to Q4 2017 but then slightly improved from Q4 2017 to Q1 2018.

Top

Return on Equity (ROE)

Amgen Inc., ROE calculation (quarterly data)

 
Mar 31, 2018 Dec 31, 2017 Sep 30, 2017 Jun 30, 2017 Mar 31, 2017 Dec 31, 2016 Sep 30, 2016 Jun 30, 2016 Mar 31, 2016 Dec 31, 2015 Sep 30, 2015 Jun 30, 2015 Mar 31, 2015 Dec 31, 2014 Sep 30, 2014 Jun 30, 2014 Mar 31, 2014 Dec 31, 2013 Sep 30, 2013 Jun 30, 2013 Mar 31, 2013
Selected Financial Data (USD $ in millions)
Net income 2,311  (4,264) 2,021  2,151  2,071  1,935  2,017  1,870  1,900  1,800  1,863  1,653  1,623  1,294  1,244  1,547  1,073  1,021  1,368  1,258  1,434 
Stockholders' equity 15,620  25,241  32,229  31,722  30,637  29,875  30,773  30,133  28,682  28,083  27,967  27,484  26,506  25,778  25,325  24,382  22,741  22,096  21,728  20,594  19,491 
Ratio
ROE1 14.21% 7.84% 25.37% 25.77% 25.76% 25.85% 24.65% 24.67% 25.16% 24.71% 23.00% 21.15% 21.53% 20.01% 19.29% 20.54% 20.76% 23.00% –% –% –%
Source: Based on data from Amgen Inc. Quarterly and Annual Reports

Q1 2018 Calculations

1 ROE = 100 × (Net incomeQ1 2018 + Net incomeQ4 2017 + Net incomeQ3 2017 + Net incomeQ2 2017) ÷ Stockholders' equity
= 100 × (2,311 + -4,264 + 2,021 + 2,151) ÷ 15,620 = 14.21%

Ratio Description The company
ROE A profitability ratio calculated as net income divided by shareholders' equity. Amgen Inc.'s ROE deteriorated from Q3 2017 to Q4 2017 but then slightly improved from Q4 2017 to Q1 2018.

Top

Return on Assets (ROA)

Amgen Inc., ROA calculation (quarterly data)

 
Mar 31, 2018 Dec 31, 2017 Sep 30, 2017 Jun 30, 2017 Mar 31, 2017 Dec 31, 2016 Sep 30, 2016 Jun 30, 2016 Mar 31, 2016 Dec 31, 2015 Sep 30, 2015 Jun 30, 2015 Mar 31, 2015 Dec 31, 2014 Sep 30, 2014 Jun 30, 2014 Mar 31, 2014 Dec 31, 2013 Sep 30, 2013 Jun 30, 2013 Mar 31, 2013
Selected Financial Data (USD $ in millions)
Net income 2,311  (4,264) 2,021  2,151  2,071  1,935  2,017  1,870  1,900  1,800  1,863  1,653  1,623  1,294  1,244  1,547  1,073  1,021  1,368  1,258  1,434 
Total assets 71,164  79,954  80,331  79,587  77,862  77,626  78,150  75,471  75,116  71,576  71,869  71,209  68,952  69,009  70,775  69,534  67,004  66,125  57,073  52,610  51,640 
Ratio
ROA1 3.12% 2.48% 10.18% 10.27% 10.14% 9.95% 9.71% 9.85% 9.61% 9.69% 8.95% 8.16% 8.28% 7.47% 6.90% 7.20% 7.04% 7.68% –% –% –%
Source: Based on data from Amgen Inc. Quarterly and Annual Reports

Q1 2018 Calculations

1 ROA = 100 × (Net incomeQ1 2018 + Net incomeQ4 2017 + Net incomeQ3 2017 + Net incomeQ2 2017) ÷ Total assets
= 100 × (2,311 + -4,264 + 2,021 + 2,151) ÷ 71,164 = 3.12%

Ratio Description The company
ROA A profitability ratio calculated as net income divided by total assets. Amgen Inc.'s ROA deteriorated from Q3 2017 to Q4 2017 but then slightly improved from Q4 2017 to Q1 2018.

Top

Stock Analysis on Net