Stock Analysis on Net
Stock Analysis on Net

Vertex Pharmaceuticals Inc. (NASDAQ:VRTX)

Total Asset Turnover 
since 2005

Microsoft Excel

Calculation

Vertex Pharmaceuticals Inc., total asset turnover, long-term trends, calculation

Microsoft Excel
Total asset turnover = Revenues1 ÷ Total assets1
Dec 31, 2024 0.49 = 11,020,100 ÷ 22,533,200
Dec 31, 2023 0.43 = 9,869,200 ÷ 22,730,200
Dec 31, 2022 0.49 = 8,930,700 ÷ 18,150,900
Dec 31, 2021 0.56 = 7,574,400 ÷ 13,432,500
Dec 31, 2020 0.53 = 6,205,683 ÷ 11,751,808
Dec 31, 2019 0.50 = 4,162,821 ÷ 8,318,465
Dec 31, 2018 0.49 = 3,047,597 ÷ 6,245,898
Dec 31, 2017 0.70 = 2,488,652 ÷ 3,546,014
Dec 31, 2016 0.59 = 1,702,177 ÷ 2,896,787
Dec 31, 2015 0.41 = 1,032,336 ÷ 2,498,875
Dec 31, 2014 0.25 = 580,415 ÷ 2,334,679
Dec 31, 2013 0.52 = 1,211,975 ÷ 2,319,041
Dec 31, 2012 0.55 = 1,527,042 ÷ 2,759,288
Dec 31, 2011 0.64 = 1,410,626 ÷ 2,204,280
Dec 31, 2010 0.08 = 143,370 ÷ 1,725,446
Dec 31, 2009 0.05 = 101,889 ÷ 1,955,488
Dec 31, 2008 0.18 = 175,504 ÷ 980,479
Dec 31, 2007 0.33 = 199,012 ÷ 601,477
Dec 31, 2006 0.23 = 216,356 ÷ 921,579
Dec 31, 2005 0.29 = 160,890 ÷ 548,998

Based on: 10-K (reporting date: 2024-12-31), 10-K (reporting date: 2023-12-31), 10-K (reporting date: 2022-12-31), 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

Revenue Trends
Revenues demonstrated a fluctuating pattern over the period analyzed. Initial growth was observed from 2005 to 2006, followed by a decline through 2009. A significant increase occurred between 2009 and 2012, peaking at over 1.5 billion US dollars. After a dip in 2013 and 2014, revenues resumed a steady upward trajectory from 2015 onward, with growth accelerating markedly from 2017. By 2024, revenues reached approximately 11 billion US dollars, indicating substantial expansion in sales or service delivery over the later years.
Total Assets Analysis
Total assets generally exhibited an upward trend, with some volatility early in the timeline from 2005 to around 2011. A notable surge in asset base occurred between 2012 and 2018, growing from approximately 2.7 billion to over 6.2 billion US dollars. The increase continued with substantial asset accumulation, reaching over 22 billion US dollars by 2023, followed by a slight decrease projected for 2024. This trend suggests strategic asset acquisition or capital investment activities significantly scaling the company's asset base during the period.
Total Asset Turnover Ratios
The total asset turnover ratio, which measures the efficiency in using assets to generate revenues, showed considerable variability. Early years were marked by relatively low turnover ratios, often below 0.3, indicating lower asset utilization efficiency. A sharp increase to around 0.64 occurred in 2011, followed by some fluctuations but generally maintaining a range between 0.4 and 0.7 through subsequent years. The ratio slightly declined after 2017, stabilizing in the 0.4 to 0.5 range through 2024. This pattern suggests that despite significant asset growth, the efficiency of asset use has not proportionally increased and has remained relatively moderate.
Summary Insights
The financial data indicate that while revenues have substantially grown, especially in the later years, the asset base has expanded even more dramatically. This has resulted in a reduction in total asset turnover ratios compared to earlier peaks, implying that asset growth has outpaced revenue growth on certain occasions. The company's ability to generate revenue from its assets experienced improvement around 2011 but has moderated since. The overall pattern suggests an emphasis on scaling operations and accumulating assets, with a potential focus on long-term growth strategies that have yet to fully translate into proportional efficiency enhancements in asset utilization.

Comparison to Competitors

Vertex Pharmaceuticals Inc., total asset turnover, long-term trends, comparison to competitors

Microsoft Excel
Vertex Pharmaceuticals 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.
Dec 31, 2024 0.49 0.42 0.35 0.52 0.31 0.57 0.48 0.49 0.55 0.30 0.38 0.44
Dec 31, 2023 0.43 0.40 0.28 0.47 0.28 0.53 0.43 0.51 0.56 0.26 0.40 0.43
Dec 31, 2022 0.49 0.42 0.38 0.48 0.37 0.58 0.43 0.51 0.54 0.51 0.42 0.46
Dec 31, 2021 0.56 0.38 0.40 0.42 0.35 0.58 0.40 0.52 0.46 0.45 0.63 0.41
Dec 31, 2020 0.53 0.30 0.39 0.36 0.29 0.53 0.36 0.47 0.52 0.28 0.50 0.47
Dec 31, 2019 0.50 0.37 0.37 0.20 0.29 0.57 0.36 0.52 0.55 0.31 0.53 0.44
Dec 31, 2018 0.49 0.55 0.34 0.64 0.42 0.56 0.34 0.53 0.51 0.34 0.57 0.43
Dec 31, 2017 0.70 0.40 0.27 0.62 0.39 0.51 0.37 0.49 0.46 0.31 0.67 0.37
Dec 31, 2016 0.59 0.39 0.28 0.58 0.37 0.55 0.53 0.51 0.42 0.31 0.70 0.40
Dec 31, 2015 0.41 0.43 0.29 0.52 0.43 0.56 0.62 0.53 0.39 0.29 0.73 0.41
Dec 31, 2014 0.25 0.72 0.28 0.47 0.54 0.53 0.71 0.57 0.43 0.29 0.73 0.39
Dec 31, 2013 0.52 0.64 0.28 0.42 0.55 0.66 0.48 0.54 0.42 0.30 0.71 0.41
Dec 31, 2012 0.55 0.68 0.31 0.49 0.55 0.66 0.44 0.55 0.45 0.32 0.66 0.46
Dec 31, 2011 0.64 — 0.31 0.64 0.54 0.72 0.47 0.57 0.46 0.36 0.34 0.44
Dec 31, 2010 0.08 — 0.34 0.63 0.59 0.74 0.64 0.60 0.43 0.35 0.42 0.51
Dec 31, 2009 0.05 — 0.36 0.61 0.57 0.80 0.67 0.65 0.24 0.23 0.51 0.47
Dec 31, 2008 0.18 — 0.40 0.70 0.73 0.70 0.72 0.75 0.51 0.43 0.36 0.50
Dec 31, 2007 0.33 — 0.41 0.74 0.63 0.70 0.64 0.75 0.50 0.42 0.13 0.46
Dec 31, 2006 0.23 — 0.41 0.70 0.75 0.71 0.63 0.76 0.51 0.42 0.11 0.18
Dec 31, 2005 0.29 — 0.41 0.68 0.87 0.60 0.48 0.87 0.49 0.44 0.16 0.62

Based on: 10-K (reporting date: 2024-12-31), 10-K (reporting date: 2023-12-31), 10-K (reporting date: 2022-12-31), 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)

Vertex Pharmaceuticals Inc., total asset turnover, long-term trends, comparison to sector (pharmaceuticals, biotechnology & life sciences)

Microsoft Excel
Vertex Pharmaceuticals Inc. Pharmaceuticals, Biotechnology & Life Sciences
Dec 31, 2024 0.49 0.43
Dec 31, 2023 0.43 0.40
Dec 31, 2022 0.49 0.47
Dec 31, 2021 0.56 0.45
Dec 31, 2020 0.53 0.39
Dec 31, 2019 0.50 0.39
Dec 31, 2018 0.49 0.45
Dec 31, 2017 0.70 0.40
Dec 31, 2016 0.59 0.41
Dec 31, 2015 0.41 0.42
Dec 31, 2014 0.25 0.44
Dec 31, 2013 0.52 0.43
Dec 31, 2012 0.55 0.45
Dec 31, 2011 0.64 0.47
Dec 31, 2010 0.08 0.47
Dec 31, 2009 0.05 0.39
Dec 31, 2008 0.18 0.57
Dec 31, 2007 0.33 0.56
Dec 31, 2006 0.23 0.54
Dec 31, 2005 0.29 0.57

Based on: 10-K (reporting date: 2024-12-31), 10-K (reporting date: 2023-12-31), 10-K (reporting date: 2022-12-31), 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)

Vertex Pharmaceuticals Inc., total asset turnover, long-term trends, comparison to industry (health care)

Microsoft Excel
Vertex Pharmaceuticals Inc. Health Care
Dec 31, 2024 0.49 0.75
Dec 31, 2023 0.43 0.73
Dec 31, 2022 0.49 0.75
Dec 31, 2021 0.56 0.70
Dec 31, 2020 0.53 0.64
Dec 31, 2019 0.50 0.65
Dec 31, 2018 0.49 0.68
Dec 31, 2017 0.70 0.66
Dec 31, 2016 0.59 0.67
Dec 31, 2015 0.41 0.64
Dec 31, 2014 0.25 0.69
Dec 31, 2013 0.52 0.67
Dec 31, 2012 0.55 0.67
Dec 31, 2011 0.64 0.69
Dec 31, 2010 0.08 0.68
Dec 31, 2009 0.05 0.63
Dec 31, 2008 0.18 0.80
Dec 31, 2007 0.33 0.77
Dec 31, 2006 0.23 0.74
Dec 31, 2005 0.29 0.72

Based on: 10-K (reporting date: 2024-12-31), 10-K (reporting date: 2023-12-31), 10-K (reporting date: 2022-12-31), 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).