Net Profit Margin
since 2005
Calculation
Biogen Inc., net profit margin, long-term trends, calculation
| Net profit margin | = | 100 | × | Net income attributable to Biogen Inc.1 | ÷ | Revenues1 | |
|---|---|---|---|---|---|---|---|
| Dec 31, 2021 | 14.17% | = | 100 | × | 1,556,100) | ÷ | 10,981,700) |
| Dec 31, 2020 | 29.76% | = | 100 | × | 4,000,600) | ÷ | 13,444,600) |
| Dec 31, 2019 | 40.96% | = | 100 | × | 5,888,500) | ÷ | 14,377,900) |
| Dec 31, 2018 | 32.93% | = | 100 | × | 4,430,700) | ÷ | 13,452,900) |
| Dec 31, 2017 | 20.69% | = | 100 | × | 2,539,100) | ÷ | 12,273,900) |
| Dec 31, 2016 | 32.34% | = | 100 | × | 3,702,800) | ÷ | 11,448,800) |
| Dec 31, 2015 | 32.95% | = | 100 | × | 3,547,000) | ÷ | 10,763,800) |
| Dec 31, 2014 | 30.25% | = | 100 | × | 2,934,784) | ÷ | 9,703,324) |
| Dec 31, 2013 | 26.87% | = | 100 | × | 1,862,341) | ÷ | 6,932,199) |
| Dec 31, 2012 | 25.02% | = | 100 | × | 1,380,033) | ÷ | 5,516,461) |
| Dec 31, 2011 | 24.45% | = | 100 | × | 1,234,428) | ÷ | 5,048,634) |
| Dec 31, 2010 | 21.31% | = | 100 | × | 1,005,273) | ÷ | 4,716,423) |
| Dec 31, 2009 | 22.16% | = | 100 | × | 970,132) | ÷ | 4,377,348) |
| Dec 31, 2008 | 19.11% | = | 100 | × | 783,167) | ÷ | 4,097,507) |
| Dec 31, 2007 | 20.12% | = | 100 | × | 638,172) | ÷ | 3,171,617) |
| Dec 31, 2006 | 8.11% | = | 100 | × | 217,511) | ÷ | 2,683,049) |
| Dec 31, 2005 | 6.63% | = | 100 | × | 160,711) | ÷ | 2,422,500) |
Based on: 10-K (reporting date: 2021-12-31), 10-K (reporting date: 2020-12-31), 10-K (reporting date: 2019-12-31), 10-K (reporting date: 2018-12-31), 10-K (reporting date: 2017-12-31), 10-K (reporting date: 2016-12-31), 10-K (reporting date: 2015-12-31), 10-K (reporting date: 2014-12-31), 10-K (reporting date: 2013-12-31), 10-K (reporting date: 2012-12-31), 10-K (reporting date: 2011-12-31), 10-K (reporting date: 2010-12-31), 10-K (reporting date: 2009-12-31), 10-K (reporting date: 2008-12-31), 10-K (reporting date: 2007-12-31), 10-K (reporting date: 2006-12-31), 10-K (reporting date: 2005-12-31).
1 US$ in thousands
The net profit margin of Biogen Inc. exhibited a prolonged period of expansion from 2005 through 2019, followed by a sharp contraction in 2020 and 2021. Between 2005 and 2016, there was a consistent upward trajectory in profitability, with the margin increasing from 6.63% to 32.34%. This growth was driven by net income increasing at a rate significantly higher than that of revenue growth.
- Growth and Expansion Phase (2005-2016)
- A sustained increase in profitability is observed during this period. Starting from a low of 6.63% in 2005, the net profit margin climbed steadily, surpassing the 20% threshold in 2007 and reaching a peak of 32.95% by 2015. This trend reflects a significant improvement in the company's ability to convert revenue into actual profit.
- Operational Volatility and Peak Profitability (2017-2019)
- The period between 2017 and 2019 was characterized by high volatility. A sharp decline occurred in 2017, where the margin fell to 20.69% as net income decreased despite an increase in total revenues. This was followed by a rapid recovery, leading to a historical peak net profit margin of 40.96% in 2019, the highest recorded point in the analyzed timeframe.
- Recent Profitability Decline (2020-2021)
- A significant downward trend emerged after 2019. The net profit margin fell to 29.76% in 2020 and experienced a further steep decline to 14.17% by December 31, 2021. This contraction coincides with a reduction in both total revenues and net income, with net income dropping from 5.89 billion USD in 2019 to 1.56 billion USD in 2021.
Overall, the financial trajectory shows a transition from early-stage margin growth to a peak of high operational efficiency in 2019, followed by a recent and substantial erosion of profitability margins.
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Comparison to Competitors
Biogen Inc., net profit margin, long-term trends, comparison to competitors
| Biogen Inc. | AbbVie Inc. | Amgen Inc. | Bristol-Myers Squibb Co. | Danaher Corp. | Eli Lilly & Co. | Gilead Sciences Inc. | Johnson & Johnson | Merck & Co. Inc. | Pfizer Inc. | Regeneron Pharmaceuticals Inc. | Thermo Fisher Scientific Inc. | Vertex Pharmaceuticals Inc. | |
|---|---|---|---|---|---|---|---|---|---|---|---|---|---|
| Dec 31, 2021 | 14.17% | 20.54% | 24.25% | 15.08% | 21.84% | 19.71% | 23.05% | 22.26% | 26.79% | 26.76% | 50.25% | 19.70% | 30.92% |
| Dec 31, 2020 | 29.76% | 10.08% | 29.97% | -21.20% | 16.36% | 25.24% | 0.51% | 17.82% | 14.72% | 22.53% | 41.35% | 19.79% | 43.70% |
| Dec 31, 2019 | 40.96% | 23.69% | 35.32% | 13.15% | 16.80% | 37.27% | 24.35% | 18.42% | 21.01% | 31.45% | 26.91% | 14.47% | 28.27% |
| Dec 31, 2018 | 32.93% | 17.36% | 37.25% | 21.81% | 13.33% | 13.16% | 25.16% | 18.75% | 14.71% | 20.79% | 36.42% | 12.06% | 68.80% |
| Dec 31, 2017 | 20.69% | 18.82% | 9.08% | 4.85% | 13.60% | -0.89% | 18.03% | 1.70% | 5.97% | 40.55% | 20.41% | 10.64% | 10.59% |
| Dec 31, 2016 | 32.34% | 23.22% | 35.27% | 22.94% | 15.13% | 12.90% | 45.07% | 23.01% | 9.85% | 13.66% | 18.42% | 11.06% | -6.58% |
| Dec 31, 2015 | 32.95% | 22.50% | 33.13% | 9.45% | 16.33% | 12.07% | 56.32% | 21.99% | 11.25% | 14.25% | 15.50% | 11.64% | -53.89% |
| Dec 31, 2014 | 30.25% | 8.89% | 26.69% | 12.62% | 13.05% | 12.19% | 49.44% | 21.96% | 28.22% | 18.42% | 12.34% | 11.22% | -127.25% |
| Dec 31, 2013 | 26.87% | 21.97% | 27.93% | 15.64% | 14.10% | 20.27% | 28.46% | 19.40% | 10.00% | 42.65% | 20.16% | 9.73% | -36.72% |
| Dec 31, 2012 | 25.02% | 28.70% | 26.11% | 11.12% | 13.10% | 18.09% | 27.57% | 16.14% | 13.05% | 24.70% | 54.43% | 9.42% | -7.01% |
| Dec 31, 2011 | 24.45% | — | 24.08% | 17.46% | 13.50% | 17.90% | 34.60% | 14.87% | 13.05% | 14.84% | -49.74% | 11.34% | 2.10% |
| Dec 31, 2010 | 21.31% | — | 31.56% | 15.92% | 13.58% | 21.97% | 39.26% | 21.65% | 1.87% | 12.18% | -22.76% | 9.60% | -526.35% |
| Dec 31, 2009 | 22.16% | — | 32.09% | 56.42% | 10.30% | 19.82% | 40.74% | 19.82% | 47.04% | 17.27% | -17.88% | 8.41% | -630.27% |
| Dec 31, 2008 | 19.11% | — | 28.57% | 25.47% | 10.38% | -10.17% | 39.55% | 20.31% | 32.74% | 16.78% | -34.69% | 9.47% | -262.02% |
| Dec 31, 2007 | 20.12% | — | 22.12% | 11.19% | 12.42% | 15.85% | 43.27% | 17.31% | 13.54% | 16.82% | -84.46% | 7.81% | -196.61% |
| Dec 31, 2006 | 8.11% | — | 21.29% | 8.85% | 11.69% | 16.97% | -45.98% | 20.73% | 19.59% | 39.98% | -161.30% | 4.46% | -95.63% |
| Dec 31, 2005 | 6.63% | — | 30.56% | 15.62% | 11.24% | 13.52% | 44.99% | 20.61% | 21.04% | 15.76% | -144.19% | 8.48% | -126.43% |
Based on: 10-K (reporting date: 2021-12-31), 10-K (reporting date: 2020-12-31), 10-K (reporting date: 2019-12-31), 10-K (reporting date: 2018-12-31), 10-K (reporting date: 2017-12-31), 10-K (reporting date: 2016-12-31), 10-K (reporting date: 2015-12-31), 10-K (reporting date: 2014-12-31), 10-K (reporting date: 2013-12-31), 10-K (reporting date: 2012-12-31), 10-K (reporting date: 2011-12-31), 10-K (reporting date: 2010-12-31), 10-K (reporting date: 2009-12-31), 10-K (reporting date: 2008-12-31), 10-K (reporting date: 2007-12-31), 10-K (reporting date: 2006-12-31), 10-K (reporting date: 2005-12-31).
Comparison to Sector (Pharmaceuticals, Biotechnology & Life Sciences)
Biogen Inc., net profit margin, long-term trends, comparison to sector (pharmaceuticals, biotechnology & life sciences)
| Biogen Inc. | Pharmaceuticals, Biotechnology & Life Sciences | |
|---|---|---|
| Dec 31, 2021 | 14.17% | 23.38% |
| Dec 31, 2020 | 29.76% | 14.07% |
| Dec 31, 2019 | 40.96% | 23.22% |
| Dec 31, 2018 | 32.93% | 19.82% |
| Dec 31, 2017 | 20.69% | 13.06% |
| Dec 31, 2016 | 32.34% | 20.78% |
| Dec 31, 2015 | 32.95% | 21.17% |
| Dec 31, 2014 | 30.25% | 21.24% |
| Dec 31, 2013 | 26.87% | 21.99% |
| Dec 31, 2012 | 25.02% | 18.53% |
| Dec 31, 2011 | 24.45% | 15.70% |
| Dec 31, 2010 | 21.31% | 15.16% |
| Dec 31, 2009 | 22.16% | 25.73% |
| Dec 31, 2008 | 19.11% | 18.17% |
| Dec 31, 2007 | 20.12% | 15.90% |
| Dec 31, 2006 | 8.11% | 22.24% |
| Dec 31, 2005 | 6.63% | 18.33% |
Based on: 10-K (reporting date: 2021-12-31), 10-K (reporting date: 2020-12-31), 10-K (reporting date: 2019-12-31), 10-K (reporting date: 2018-12-31), 10-K (reporting date: 2017-12-31), 10-K (reporting date: 2016-12-31), 10-K (reporting date: 2015-12-31), 10-K (reporting date: 2014-12-31), 10-K (reporting date: 2013-12-31), 10-K (reporting date: 2012-12-31), 10-K (reporting date: 2011-12-31), 10-K (reporting date: 2010-12-31), 10-K (reporting date: 2009-12-31), 10-K (reporting date: 2008-12-31), 10-K (reporting date: 2007-12-31), 10-K (reporting date: 2006-12-31), 10-K (reporting date: 2005-12-31).
Comparison to Industry (Health Care)
Biogen Inc., net profit margin, long-term trends, comparison to industry (health care)
| Biogen Inc. | Health Care | |
|---|---|---|
| Dec 31, 2021 | 14.17% | 15.24% |
| Dec 31, 2020 | 29.76% | 10.27% |
| Dec 31, 2019 | 40.96% | 14.56% |
| Dec 31, 2018 | 32.93% | 12.61% |
| Dec 31, 2017 | 20.69% | 9.26% |
| Dec 31, 2016 | 32.34% | 12.80% |
| Dec 31, 2015 | 32.95% | 13.94% |
| Dec 31, 2014 | 30.25% | 14.40% |
| Dec 31, 2013 | 26.87% | 15.04% |
| Dec 31, 2012 | 25.02% | 13.92% |
| Dec 31, 2011 | 24.45% | 12.06% |
| Dec 31, 2010 | 21.31% | 11.90% |
| Dec 31, 2009 | 22.16% | 17.77% |
| Dec 31, 2008 | 19.11% | 13.00% |
| Dec 31, 2007 | 20.12% | 12.52% |
| Dec 31, 2006 | 8.11% | 15.30% |
| Dec 31, 2005 | 6.63% | 14.61% |
Based on: 10-K (reporting date: 2021-12-31), 10-K (reporting date: 2020-12-31), 10-K (reporting date: 2019-12-31), 10-K (reporting date: 2018-12-31), 10-K (reporting date: 2017-12-31), 10-K (reporting date: 2016-12-31), 10-K (reporting date: 2015-12-31), 10-K (reporting date: 2014-12-31), 10-K (reporting date: 2013-12-31), 10-K (reporting date: 2012-12-31), 10-K (reporting date: 2011-12-31), 10-K (reporting date: 2010-12-31), 10-K (reporting date: 2009-12-31), 10-K (reporting date: 2008-12-31), 10-K (reporting date: 2007-12-31), 10-K (reporting date: 2006-12-31), 10-K (reporting date: 2005-12-31).