Stock Analysis on Net
Stock Analysis on Net
Microsoft Excel LibreOffice Calc

Biogen Inc. (NASDAQ:BIIB)

Analysis of Profitability Ratios

Beginner level

Profitability Ratios (Summary)

Biogen Inc., profitability ratios

Microsoft Excel LibreOffice Calc
Dec 31, 2019 Dec 31, 2018 Dec 31, 2017 Dec 31, 2016 Dec 31, 2015
Return on Sales
Gross profit margin 86.40% 86.50% 86.72% 87.08% 88.48%
Operating profit margin 48.98% 43.77% 43.54% 44.99% 45.44%
Net profit margin 40.96% 32.93% 20.69% 32.34% 32.95%
Return on Investment
Return on equity (ROE) 44.13% 33.98% 20.13% 30.50% 37.84%
Return on assets (ROA) 21.62% 17.52% 10.73% 16.19% 18.19%

Based on: 10-K (filing date: 2020-02-06), 10-K (filing date: 2019-02-06), 10-K (filing date: 2018-02-01), 10-K (filing date: 2017-02-02), 10-K (filing date: 2016-02-03).

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.’s gross profit margin ratio deteriorated from 2017 to 2018 and from 2018 to 2019.
Operating profit margin A profitability ratio calculated as operating income divided by revenue. Biogen Inc.’s operating profit margin ratio improved from 2017 to 2018 and from 2018 to 2019.
Net profit margin An indicator of profitability, calculated as net income divided by revenue. Biogen Inc.’s net profit margin ratio improved from 2017 to 2018 and from 2018 to 2019.

Profitability ratio Description The company
ROE A profitability ratio calculated as net income divided by shareholders’ equity. Biogen Inc.’s ROE improved from 2017 to 2018 and from 2018 to 2019.
ROA A profitability ratio calculated as net income divided by total assets. Biogen Inc.’s ROA improved from 2017 to 2018 and from 2018 to 2019.

Gross Profit Margin

Biogen Inc., gross profit margin calculation, comparison to benchmarks

Microsoft Excel LibreOffice Calc
Dec 31, 2019 Dec 31, 2018 Dec 31, 2017 Dec 31, 2016 Dec 31, 2015
Selected Financial Data (US$ in thousands)
Gross profit 12,422,500  11,636,600  10,643,900  9,970,100  9,523,400 
Revenues 14,377,900  13,452,900  12,273,900  11,448,800  10,763,800 
Profitability Ratio
Gross profit margin1 86.40% 86.50% 86.72% 87.08% 88.48%
Benchmarks
Gross Profit Margin, Competitors2
Abbott Laboratories 52.46% 51.32% 47.75% 54.09% 54.19%
AbbVie Inc. 77.64% 76.44% 75.05% 77.25% 80.31%
Amgen Inc. 80.38% 81.80% 81.33% 80.99% 79.82%
Bristol-Myers Squibb Co. 69.10% 70.98% 70.80% 74.54% 76.39%
Eli Lilly & Co. 78.85% 73.81% 73.46% 73.35% 74.76%
Gilead Sciences Inc. 78.86% 77.61% 82.97% 85.77% 87.54%
Illumina Inc. 69.63% 69.01% 66.35% 69.48% 69.80%
Johnson & Johnson 66.42% 66.79% 66.84% 69.84% 69.27%
Merck & Co. Inc. 69.87% 68.06% 68.16% 65.10% 62.19%
Pfizer Inc. 80.25% 79.03% 78.61% 76.66% 80.25%
Regeneron Pharmaceuticals Inc. 90.05% 93.53% 93.24% 93.83% 90.43%
Vertex Pharmaceuticals Inc. 86.84% 86.56% 88.95% 87.64% 87.94%
Zoetis Inc. 68.18% 67.19% 66.55% 65.92% 63.53%

Based on: 10-K (filing date: 2020-02-06), 10-K (filing date: 2019-02-06), 10-K (filing date: 2018-02-01), 10-K (filing date: 2017-02-02), 10-K (filing date: 2016-02-03).

1 2019 Calculation
Gross profit margin = 100 × Gross profit ÷ Revenues
= 100 × 12,422,500 ÷ 14,377,900 = 86.40%

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.’s gross profit margin ratio deteriorated from 2017 to 2018 and from 2018 to 2019.

Operating Profit Margin

Biogen Inc., operating profit margin calculation, comparison to benchmarks

Microsoft Excel LibreOffice Calc
Dec 31, 2019 Dec 31, 2018 Dec 31, 2017 Dec 31, 2016 Dec 31, 2015
Selected Financial Data (US$ in thousands)
Income from operations 7,042,600  5,888,600  5,344,200  5,150,400  4,891,000 
Revenues 14,377,900  13,452,900  12,273,900  11,448,800  10,763,800 
Profitability Ratio
Operating profit margin1 48.98% 43.77% 43.54% 44.99% 45.44%
Benchmarks
Operating Profit Margin, Competitors2
Abbott Laboratories 14.21% 11.94% 6.30% 15.27% 14.05%
AbbVie Inc. 39.03% 19.49% 33.99% 36.60% 32.97%
Amgen Inc. 43.57% 45.55% 45.76% 44.74% 40.44%
Bristol-Myers Squibb Co. 22.62% 22.69% 17.39% 23.83% 11.41%
Eli Lilly & Co. 22.29% 15.15% 9.38% 16.30% 13.47%
Gilead Sciences Inc. 19.38% 37.83% 55.04% 58.87% 69.03%
Illumina Inc. 27.80% 26.49% 22.02% 24.48% 27.61%
Johnson & Johnson 24.15% 24.27% 24.07% 28.72% 25.05%
Merck & Co. Inc. 24.77% 19.62% 16.28% 13.51% 17.54%
Pfizer Inc. 25.46% 26.10% 25.92% 22.73% 24.20%
Regeneron Pharmaceuticals Inc. 28.10% 37.77% 35.41% 27.38% 30.51%
Vertex Pharmaceuticals Inc. 28.77% 20.84% 4.95% 0.58% -45.23%
Zoetis Inc. 31.42% 31.12% 32.15% 28.48% 15.74%
Operating Profit Margin, Sector
Pharmaceuticals & Biotechnology 26.77% 25.01% 26.00% 28.77% 28.33%
Operating Profit Margin, Industry
Health Care 19.26% 18.28% 18.86% 20.13% 20.25%

Based on: 10-K (filing date: 2020-02-06), 10-K (filing date: 2019-02-06), 10-K (filing date: 2018-02-01), 10-K (filing date: 2017-02-02), 10-K (filing date: 2016-02-03).

1 2019 Calculation
Operating profit margin = 100 × Income from operations ÷ Revenues
= 100 × 7,042,600 ÷ 14,377,900 = 48.98%

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.’s operating profit margin ratio improved from 2017 to 2018 and from 2018 to 2019.

Net Profit Margin

Biogen Inc., net profit margin calculation, comparison to benchmarks

Microsoft Excel LibreOffice Calc
Dec 31, 2019 Dec 31, 2018 Dec 31, 2017 Dec 31, 2016 Dec 31, 2015
Selected Financial Data (US$ in thousands)
Net income attributable to Biogen Inc. 5,888,500  4,430,700  2,539,100  3,702,800  3,547,000 
Revenues 14,377,900  13,452,900  12,273,900  11,448,800  10,763,800 
Profitability Ratio
Net profit margin1 40.96% 32.93% 20.69% 32.34% 32.95%
Benchmarks
Net Profit Margin, Competitors2
Abbott Laboratories 11.56% 7.74% 1.74% 6.71% 21.68%
AbbVie Inc. 23.69% 17.36% 18.82% 23.22% 22.50%
Amgen Inc. 35.32% 37.25% 9.08% 35.27% 33.13%
Bristol-Myers Squibb Co. 13.15% 21.81% 4.85% 22.94% 9.45%
Eli Lilly & Co. 37.27% 13.16% -0.89% 12.90% 12.07%
Gilead Sciences Inc. 24.35% 25.16% 18.03% 45.07% 56.32%
Illumina Inc. 28.28% 24.78% 26.38% 19.29% 20.79%
Johnson & Johnson 18.42% 18.75% 1.70% 23.01% 21.99%
Merck & Co. Inc. 21.01% 14.71% 5.97% 9.85% 11.25%
Pfizer Inc. 31.45% 20.79% 40.55% 13.66% 14.25%
Regeneron Pharmaceuticals Inc. 26.91% 36.42% 20.41% 18.42% 15.50%
Vertex Pharmaceuticals Inc. 28.27% 68.80% 10.59% -6.58% -53.89%
Zoetis Inc. 23.96% 24.52% 16.28% 16.80% 7.11%
Net Profit Margin, Sector
Pharmaceuticals & Biotechnology 23.87% 20.29% 12.71% 21.05% 22.22%
Net Profit Margin, Industry
Health Care 16.89% 14.36% 10.18% 14.42% 15.44%

Based on: 10-K (filing date: 2020-02-06), 10-K (filing date: 2019-02-06), 10-K (filing date: 2018-02-01), 10-K (filing date: 2017-02-02), 10-K (filing date: 2016-02-03).

1 2019 Calculation
Net profit margin = 100 × Net income attributable to Biogen Inc. ÷ Revenues
= 100 × 5,888,500 ÷ 14,377,900 = 40.96%

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.’s net profit margin ratio improved from 2017 to 2018 and from 2018 to 2019.

Return on Equity (ROE)

Biogen Inc., ROE calculation, comparison to benchmarks

Microsoft Excel LibreOffice Calc
Dec 31, 2019 Dec 31, 2018 Dec 31, 2017 Dec 31, 2016 Dec 31, 2015
Selected Financial Data (US$ in thousands)
Net income attributable to Biogen Inc. 5,888,500  4,430,700  2,539,100  3,702,800  3,547,000 
Total Biogen Inc. shareholders’ equity 13,343,200  13,039,600  12,612,800  12,140,100  9,372,800 
Profitability Ratio
ROE1 44.13% 33.98% 20.13% 30.50% 37.84%
Benchmarks
ROE, Competitors2
Abbott Laboratories 11.86% 7.76% 1.54% 6.82% 20.85%
AbbVie Inc. 104.16% 128.41% 130.39%
Amgen Inc. 81.07% 67.15% 7.84% 25.85% 24.71%
Bristol-Myers Squibb Co. 6.66% 35.07% 8.58% 27.55% 10.97%
Eli Lilly & Co. 319.09% 32.88% -1.76% 19.54% 16.53%
Gilead Sciences Inc. 23.91% 25.51% 22.64% 71.48% 97.70%
Illumina Inc. 21.72% 21.98% 26.41% 21.06% 24.97%
Johnson & Johnson 25.42% 25.60% 2.16% 23.49% 21.66%
Merck & Co. Inc. 37.99% 23.30% 6.97% 9.78% 9.94%
Pfizer Inc. 25.77% 17.59% 29.88% 12.12% 10.75%
Regeneron Pharmaceuticals Inc. 19.08% 27.91% 19.51% 20.13% 17.40%
Vertex Pharmaceuticals Inc. 19.34% 47.28% 12.99% -9.69% -59.19%
Zoetis Inc. 55.39% 65.35% 48.81% 55.21% 31.74%
ROE, Sector
Pharmaceuticals & Biotechnology 30.26% 28.24% 14.79% 23.42% 23.43%
ROE, Industry
Health Care 23.89% 21.64% 13.76% 19.15% 18.87%

Based on: 10-K (filing date: 2020-02-06), 10-K (filing date: 2019-02-06), 10-K (filing date: 2018-02-01), 10-K (filing date: 2017-02-02), 10-K (filing date: 2016-02-03).

1 2019 Calculation
ROE = 100 × Net income attributable to Biogen Inc. ÷ Total Biogen Inc. shareholders’ equity
= 100 × 5,888,500 ÷ 13,343,200 = 44.13%

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.’s ROE improved from 2017 to 2018 and from 2018 to 2019.

Return on Assets (ROA)

Biogen Inc., ROA calculation, comparison to benchmarks

Microsoft Excel LibreOffice Calc
Dec 31, 2019 Dec 31, 2018 Dec 31, 2017 Dec 31, 2016 Dec 31, 2015
Selected Financial Data (US$ in thousands)
Net income attributable to Biogen Inc. 5,888,500  4,430,700  2,539,100  3,702,800  3,547,000 
Total assets 27,234,300  25,288,900  23,652,600  22,876,800  19,504,800 
Profitability Ratio
ROA1 21.62% 17.52% 10.73% 16.19% 18.19%
Benchmarks
ROA, Competitors2
Abbott Laboratories 5.43% 3.53% 0.63% 2.66% 10.72%
AbbVie Inc. 8.84% 9.58% 7.50% 9.01% 9.70%
Amgen Inc. 13.13% 12.64% 2.48% 9.95% 9.69%
Bristol-Myers Squibb Co. 2.65% 14.06% 3.00% 13.22% 4.93%
Eli Lilly & Co. 21.17% 7.36% -0.45% 7.05% 6.77%
Gilead Sciences Inc. 8.74% 8.57% 6.58% 23.70% 34.93%
Illumina Inc. 13.70% 11.87% 13.81% 10.81% 12.52%
Johnson & Johnson 9.59% 10.00% 0.83% 11.71% 11.55%
Merck & Co. Inc. 11.66% 7.53% 2.72% 4.11% 4.36%
Pfizer Inc. 9.72% 7.00% 12.40% 4.20% 4.16%
Regeneron Pharmaceuticals Inc. 14.29% 20.83% 13.67% 12.84% 11.34%
Vertex Pharmaceuticals Inc. 14.15% 33.57% 7.43% -3.87% -22.26%
Zoetis Inc. 12.99% 13.25% 10.06% 10.73% 4.28%
ROA, Sector
Pharmaceuticals & Biotechnology 9.66% 9.34% 5.20% 8.89% 9.61%
ROA, Industry
Health Care 8.69% 8.13% 5.22% 7.59% 7.84%

Based on: 10-K (filing date: 2020-02-06), 10-K (filing date: 2019-02-06), 10-K (filing date: 2018-02-01), 10-K (filing date: 2017-02-02), 10-K (filing date: 2016-02-03).

1 2019 Calculation
ROA = 100 × Net income attributable to Biogen Inc. ÷ Total assets
= 100 × 5,888,500 ÷ 27,234,300 = 21.62%

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.’s ROA improved from 2017 to 2018 and from 2018 to 2019.