Analysis of Profitability Ratios
Profitability ratios measure the company ability to generate profitable sales from its resources (assets).
Profitability Ratios (Summary)
Biogen Inc., profitability ratios
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).
| Profitability ratio | Description | The company |
|---|---|---|
| Gross profit margin | Gross profit margin indicates the percentage of revenue available to cover operating and other expenditures. | Biogen Inc. gross profit margin ratio improved from 2019 to 2020 but then deteriorated significantly from 2020 to 2021. |
| Operating profit margin | A profitability ratio calculated as operating income divided by revenue. | Biogen Inc. operating profit margin ratio deteriorated from 2019 to 2020 and from 2020 to 2021. |
| Net profit margin | An indicator of profitability, calculated as net income divided by revenue. | Biogen Inc. net profit margin ratio deteriorated from 2019 to 2020 and from 2020 to 2021. |
| Profitability ratio | Description | The company |
|---|---|---|
| ROE | A profitability ratio calculated as net income divided by shareholders’ equity. | Biogen Inc. ROE deteriorated from 2019 to 2020 and from 2020 to 2021. |
| ROA | A profitability ratio calculated as net income divided by total assets. | Biogen Inc. ROA deteriorated from 2019 to 2020 and from 2020 to 2021. |
Gross Profit Margin
Biogen Inc., gross profit margin calculation, comparison to benchmarks
| Dec 31, 2021 | Dec 31, 2020 | Dec 31, 2019 | Dec 31, 2018 | Dec 31, 2017 | ||
|---|---|---|---|---|---|---|
| Selected Financial Data (US$ in thousands) | ||||||
| Gross profit | 8,872,000) | 11,639,400) | 12,422,500) | 11,636,600) | 10,643,900) | |
| Revenue | 10,981,700) | 13,444,600) | 14,377,900) | 13,452,900) | 12,273,900) | |
| Profitability Ratio | ||||||
| Gross profit margin1 | 80.79% | 86.57% | 86.40% | 86.50% | 86.72% | |
| Benchmarks | ||||||
| Gross Profit Margin, Competitors2 | ||||||
| AbbVie Inc. | 68.96% | 66.41% | 77.64% | — | — | |
| Amgen Inc. | 73.44% | 74.59% | 80.38% | — | — | |
| Bristol-Myers Squibb Co. | 78.57% | 72.31% | 69.10% | — | — | |
| Danaher Corp. | 60.95% | 55.98% | 55.74% | — | — | |
| Eli Lilly & Co. | 74.18% | 77.66% | 78.85% | — | — | |
| Gilead Sciences Inc. | 75.56% | 81.23% | 78.86% | — | — | |
| Johnson & Johnson | 68.16% | 65.58% | 66.42% | — | — | |
| Merck & Co. Inc. | 72.02% | 67.74% | 69.87% | — | — | |
| Pfizer Inc. | 62.08% | 79.26% | 80.25% | — | — | |
| Regeneron Pharmaceuticals Inc. | 84.83% | 86.82% | 90.05% | — | — | |
| Thermo Fisher Scientific Inc. | 50.08% | 49.67% | 44.35% | — | — | |
| Zoetis Inc. | 70.38% | 69.18% | 68.18% | — | — | |
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).
1 2021 Calculation
Gross profit margin = 100 × Gross profit ÷ Revenue
= 100 × 8,872,000 ÷ 10,981,700 = 80.79%
2 Click competitor name to see calculations.
| Profitability ratio | Description | The company |
|---|---|---|
| Gross profit margin | Gross profit margin indicates the percentage of revenue available to cover operating and other expenditures. | Biogen Inc. gross profit margin ratio improved from 2019 to 2020 but then deteriorated significantly from 2020 to 2021. |
Operating Profit Margin
Biogen Inc., operating profit margin calculation, comparison to benchmarks
| Dec 31, 2021 | Dec 31, 2020 | Dec 31, 2019 | Dec 31, 2018 | Dec 31, 2017 | ||
|---|---|---|---|---|---|---|
| Selected Financial Data (US$ in thousands) | ||||||
| Income from operations | 2,840,700) | 4,550,100) | 7,042,600) | 5,888,600) | 5,344,200) | |
| Revenue | 10,981,700) | 13,444,600) | 14,377,900) | 13,452,900) | 12,273,900) | |
| Profitability Ratio | ||||||
| Operating profit margin1 | 25.87% | 33.84% | 48.98% | 43.77% | 43.54% | |
| Benchmarks | ||||||
| Operating Profit Margin, Competitors2 | ||||||
| AbbVie Inc. | 31.89% | 24.81% | 39.03% | — | — | |
| Amgen Inc. | 31.44% | 37.70% | 43.57% | — | — | |
| Bristol-Myers Squibb Co. | 15.91% | -21.60% | 22.62% | — | — | |
| Danaher Corp. | 25.35% | 18.99% | 18.25% | — | — | |
| Eli Lilly & Co. | 22.45% | 24.69% | 22.29% | — | — | |
| Gilead Sciences Inc. | 36.72% | 16.72% | 19.38% | — | — | |
| Johnson & Johnson | 24.95% | 23.60% | 24.15% | — | — | |
| Merck & Co. Inc. | 25.74% | 16.47% | 24.77% | — | — | |
| Pfizer Inc. | 23.91% | 19.47% | 25.46% | — | — | |
| Regeneron Pharmaceuticals Inc. | 55.67% | 42.09% | 28.10% | — | — | |
| Thermo Fisher Scientific Inc. | 25.57% | 24.19% | 17.99% | — | — | |
| Zoetis Inc. | 35.49% | 33.62% | 31.42% | — | — | |
| Operating Profit Margin, Sector | ||||||
| Pharmaceuticals, Biotechnology & Life Sciences | 26.84% | 18.54% | 25.93% | — | — | |
| Operating Profit Margin, Industry | ||||||
| Health Care | 13.18% | 10.47% | 12.44% | — | — | |
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).
1 2021 Calculation
Operating profit margin = 100 × Income from operations ÷ Revenue
= 100 × 2,840,700 ÷ 10,981,700 = 25.87%
2 Click competitor name to see calculations.
| Profitability ratio | Description | The company |
|---|---|---|
| Operating profit margin | A profitability ratio calculated as operating income divided by revenue. | Biogen Inc. operating profit margin ratio deteriorated from 2019 to 2020 and from 2020 to 2021. |
Net Profit Margin
Biogen Inc., net profit margin calculation, comparison to benchmarks
| Dec 31, 2021 | Dec 31, 2020 | Dec 31, 2019 | Dec 31, 2018 | Dec 31, 2017 | ||
|---|---|---|---|---|---|---|
| Selected Financial Data (US$ in thousands) | ||||||
| Net income attributable to Biogen Inc. | 1,556,100) | 4,000,600) | 5,888,500) | 4,430,700) | 2,539,100) | |
| Revenue | 10,981,700) | 13,444,600) | 14,377,900) | 13,452,900) | 12,273,900) | |
| Profitability Ratio | ||||||
| Net profit margin1 | 14.17% | 29.76% | 40.96% | 32.93% | 20.69% | |
| Benchmarks | ||||||
| Net Profit Margin, Competitors2 | ||||||
| AbbVie Inc. | 20.54% | 10.08% | 23.69% | — | — | |
| Amgen Inc. | 24.25% | 29.97% | 35.32% | — | — | |
| Bristol-Myers Squibb Co. | 15.08% | -21.20% | 13.15% | — | — | |
| Danaher Corp. | 21.84% | 16.36% | 16.80% | — | — | |
| Eli Lilly & Co. | 19.71% | 25.24% | 37.27% | — | — | |
| Gilead Sciences Inc. | 23.05% | 0.51% | 24.35% | — | — | |
| Johnson & Johnson | 22.26% | 17.82% | 18.42% | — | — | |
| Merck & Co. Inc. | 26.79% | 14.72% | 21.01% | — | — | |
| Pfizer Inc. | 27.04% | 22.95% | 31.45% | — | — | |
| Regeneron Pharmaceuticals Inc. | 50.25% | 41.35% | 26.91% | — | — | |
| Thermo Fisher Scientific Inc. | 19.70% | 19.79% | 14.47% | — | — | |
| Zoetis Inc. | 26.20% | 24.54% | 23.96% | — | — | |
| Net Profit Margin, Sector | ||||||
| Pharmaceuticals, Biotechnology & Life Sciences | 23.35% | 13.81% | 23.18% | — | — | |
| Net Profit Margin, Industry | ||||||
| Health Care | 10.89% | 7.77% | 10.20% | — | — | |
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).
1 2021 Calculation
Net profit margin = 100 × Net income attributable to Biogen Inc. ÷ Revenue
= 100 × 1,556,100 ÷ 10,981,700 = 14.17%
2 Click competitor name to see calculations.
| Profitability ratio | Description | The company |
|---|---|---|
| Net profit margin | An indicator of profitability, calculated as net income divided by revenue. | Biogen Inc. net profit margin ratio deteriorated from 2019 to 2020 and from 2020 to 2021. |
Return on Equity (ROE)
Biogen Inc., ROE calculation, comparison to benchmarks
| Dec 31, 2021 | Dec 31, 2020 | Dec 31, 2019 | Dec 31, 2018 | Dec 31, 2017 | ||
|---|---|---|---|---|---|---|
| Selected Financial Data (US$ in thousands) | ||||||
| Net income attributable to Biogen Inc. | 1,556,100) | 4,000,600) | 5,888,500) | 4,430,700) | 2,539,100) | |
| Total Biogen Inc. shareholders’ equity | 10,896,200) | 10,700,300) | 13,343,200) | 13,039,600) | 12,612,800) | |
| Profitability Ratio | ||||||
| ROE1 | 14.28% | 37.39% | 44.13% | 33.98% | 20.13% | |
| Benchmarks | ||||||
| ROE, Competitors2 | ||||||
| AbbVie Inc. | 74.91% | 35.30% | — | — | — | |
| Amgen Inc. | 87.96% | 77.20% | 81.07% | — | — | |
| Bristol-Myers Squibb Co. | 19.46% | -23.84% | 6.66% | — | — | |
| Danaher Corp. | 14.24% | 9.17% | 9.94% | — | — | |
| Eli Lilly & Co. | 62.16% | 109.79% | 319.09% | — | — | |
| Gilead Sciences Inc. | 29.55% | 0.68% | 23.91% | — | — | |
| Johnson & Johnson | 28.20% | 23.25% | 25.42% | — | — | |
| Merck & Co. Inc. | 34.17% | 27.91% | 37.99% | — | — | |
| Pfizer Inc. | 28.47% | 15.21% | 25.77% | — | — | |
| Regeneron Pharmaceuticals Inc. | 43.03% | 31.86% | 19.08% | — | — | |
| Thermo Fisher Scientific Inc. | 18.94% | 18.47% | 12.45% | — | — | |
| Zoetis Inc. | 44.84% | 43.46% | 55.39% | — | — | |
| ROE, Sector | ||||||
| Pharmaceuticals, Biotechnology & Life Sciences | 30.10% | 17.15% | 28.09% | — | — | |
| ROE, Industry | ||||||
| Health Care | 23.00% | 16.14% | 21.17% | — | — | |
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).
1 2021 Calculation
ROE = 100 × Net income attributable to Biogen Inc. ÷ Total Biogen Inc. shareholders’ equity
= 100 × 1,556,100 ÷ 10,896,200 = 14.28%
2 Click competitor name to see calculations.
| Profitability ratio | Description | The company |
|---|---|---|
| ROE | A profitability ratio calculated as net income divided by shareholders’ equity. | Biogen Inc. ROE deteriorated from 2019 to 2020 and from 2020 to 2021. |
Return on Assets (ROA)
Biogen Inc., ROA calculation, comparison to benchmarks
| Dec 31, 2021 | Dec 31, 2020 | Dec 31, 2019 | Dec 31, 2018 | Dec 31, 2017 | ||
|---|---|---|---|---|---|---|
| Selected Financial Data (US$ in thousands) | ||||||
| Net income attributable to Biogen Inc. | 1,556,100) | 4,000,600) | 5,888,500) | 4,430,700) | 2,539,100) | |
| Total assets | 23,877,300) | 24,618,900) | 27,234,300) | 25,288,900) | 23,652,600) | |
| Profitability Ratio | ||||||
| ROA1 | 6.52% | 16.25% | 21.62% | 17.52% | 10.73% | |
| Benchmarks | ||||||
| ROA, Competitors2 | ||||||
| AbbVie Inc. | 7.88% | 3.07% | 8.84% | — | — | |
| Amgen Inc. | 9.63% | 11.54% | 13.13% | — | — | |
| Bristol-Myers Squibb Co. | 6.40% | -7.61% | 2.65% | — | — | |
| Danaher Corp. | 7.73% | 4.79% | 4.85% | — | — | |
| Eli Lilly & Co. | 11.44% | 13.28% | 21.17% | — | — | |
| Gilead Sciences Inc. | 9.16% | 0.18% | 8.74% | — | — | |
| Johnson & Johnson | 11.47% | 8.41% | 9.59% | — | — | |
| Merck & Co. Inc. | 12.35% | 7.72% | 11.66% | — | — | |
| Pfizer Inc. | 12.11% | 6.23% | 9.72% | — | — | |
| Regeneron Pharmaceuticals Inc. | 31.75% | 20.47% | 14.29% | — | — | |
| Thermo Fisher Scientific Inc. | 8.12% | 9.23% | 6.33% | — | — | |
| Zoetis Inc. | 14.65% | 12.04% | 12.99% | — | — | |
| ROA, Sector | ||||||
| Pharmaceuticals, Biotechnology & Life Sciences | 10.39% | 5.34% | 9.02% | — | — | |
| ROA, Industry | ||||||
| Health Care | 8.24% | 5.46% | 7.22% | — | — | |
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).
1 2021 Calculation
ROA = 100 × Net income attributable to Biogen Inc. ÷ Total assets
= 100 × 1,556,100 ÷ 23,877,300 = 6.52%
2 Click competitor name to see calculations.
| Profitability ratio | Description | The company |
|---|---|---|
| ROA | A profitability ratio calculated as net income divided by total assets. | Biogen Inc. ROA deteriorated from 2019 to 2020 and from 2020 to 2021. |