Name: Vertex Pharmaceuticals Inc. (NASDAQ:VRTX) | Analysis of Long-term (Investment) Activity Ratios (Quarterly)
Creator: Stock Analysis on Net

Activity ratios measure how efficiently a company performs day-to-day tasks, such us the collection of receivables and management of inventory.

Long-term Activity Ratios (Summary)
Net Fixed Asset Turnover
Net Fixed Asset Turnover (including Operating Lease, Right-of-Use Asset)
Total Asset Turnover
Equity Turnover

Download chart

Vertex Pharmaceuticals Inc., long-term (investment) activity ratios (quarterly data)

	Sep 30, 2026	Jun 30, 2026	Mar 31, 2026	Dec 31, 2025	Sep 30, 2025	Jun 30, 2025	Mar 31, 2025	Dec 31, 2024	Sep 30, 2024	Jun 30, 2024	Mar 31, 2024	Dec 31, 2023	Sep 30, 2023	Jun 30, 2023	Mar 31, 2023	Dec 31, 2022	Sep 30, 2022	Jun 30, 2022	Mar 31, 2022
Net fixed asset turnover	7.57	7.56	7.60	7.89	8.23	8.55	8.57	8.98	9.51	8.61	8.68	8.51	8.59	8.47	8.28	8.06	7.78	7.59	7.18
Net fixed asset turnover (including operating lease, right-of-use asset)	3.89	3.78	3.71	3.89	3.89	4.31	4.21	4.26	4.23	5.84	6.86	6.79	6.73	6.57	6.36	6.13	5.95	5.89	5.53
Total asset turnover	0.40	0.46	0.46	0.47	0.47	0.48	0.49	0.49	0.48	0.51	0.43	0.43	0.44	0.47	0.49	0.49	0.52	0.54	0.56
Equity turnover	0.62	0.62	0.63	0.64	0.68	0.66	0.67	0.67	0.68	0.70	0.55	0.56	0.58	0.61	0.64	0.64	0.67	0.70	0.73

The long-term investment activity ratios exhibit a general trend of fluctuating efficiency, characterized by an initial period of improvement in fixed asset utilization followed by a notable decline in overall asset and equity productivity.

Net Fixed Asset Turnover: A consistent upward trend was observed from March 2022, where the ratio stood at 7.18, peaking at 9.51 in September 2024. This indicates a period of increasing efficiency in generating revenue from fixed assets. However, a reversal occurred after this peak, with the ratio gradually declining to 7.57 by September 2026, suggesting a decrease in the revenue-generating capacity of these assets over the final two years of the period.
Net Fixed Asset Turnover (including operating lease, right-of-use asset): This ratio followed a growth trajectory from 5.53 in March 2022 to a high of 6.86 in March 2024. A significant and sharp contraction occurred between March 2024 and September 2024, where the ratio fell from 6.86 to 4.23. Following this drop, the ratio remained depressed, stabilizing between 4.21 and 3.89 through September 2026. The divergence between this ratio and the standard net fixed asset turnover after mid-2024 suggests a substantial increase in right-of-use assets that has outpaced revenue growth.
Total Asset Turnover: A gradual downward trajectory is evident in the total asset turnover ratio, which decreased from 0.56 in March 2022 to 0.40 by September 2026. While the ratio remained relatively stable between 0.43 and 0.51 for a significant portion of the analysis period, the overall decline indicates a diminishing efficiency in utilizing the total asset base to generate sales.
Equity Turnover: Equity turnover showed a steady decline from 0.73 in March 2022 to a low of 0.55 in March 2024. A brief recovery to 0.70 was recorded in June 2024, followed by a slow, consistent descent to 0.62 by September 2026. This pattern suggests that the company's ability to generate revenue relative to its shareholder equity has weakened over the long term.

AI Ask an analyst for more

My previous chats

Add tokens

Hi, I’m an AI-powered financial analyst at Stock Analysis on Net.
Without a user account, I tend to respond rather slowly.

How can I help you?

Download chart

Vertex Pharmaceuticals Inc., net fixed asset turnover calculation (quarterly data)

	Sep 30, 2026	Jun 30, 2026	Mar 31, 2026	Dec 31, 2025	Sep 30, 2025	Jun 30, 2025	Mar 31, 2025	Dec 31, 2024	Sep 30, 2024	Jun 30, 2024	Mar 31, 2024	Dec 31, 2023	Sep 30, 2023	Jun 30, 2023	Mar 31, 2023	Dec 31, 2022	Sep 30, 2022	Jun 30, 2022	Mar 31, 2022
Selected Financial Data (US$ in thousands)
Revenues	3,440,800)	3,333,900)	2,986,900)	3,190,000)	3,076,400)	2,964,700)	2,770,200)	2,912,000)	2,771,900)	2,645,600)	2,690,600)	2,517,700)	2,483,500)	2,493,200)	2,374,800)	2,302,700)	2,334,300)	2,196,200)	2,097,500)
Property and equipment, net	1,711,500)	1,665,000)	1,608,400)	1,520,300)	1,425,100)	1,335,100)	1,295,900)	1,227,800)	1,117,800)	1,200,900)	1,172,800)	1,159,300)	1,124,000)	1,122,400)	1,111,700)	1,108,400)	1,118,700)	1,100,100)	1,107,400)
Long-term Activity Ratio
Net fixed asset turnover¹	7.57	7.56	7.60	7.89	8.23	8.55	8.57	8.98	9.51	8.61	8.68	8.51	8.59	8.47	8.28	8.06	7.78	7.59	7.18
Benchmarks
Net Fixed Asset Turnover, Competitors²
AbbVie Inc.	11.11	11.11	11.05	10.87	10.88	11.04	10.95	10.97	10.80	10.95	10.92	10.89	11.18	11.33	11.51	11.76	11.82	11.57	11.18
Amgen Inc.	—	4.24	4.32	4.44	4.78	4.89	4.91	4.89	5.06	4.85	4.70	4.53	4.61	4.58	4.56	4.57	4.73	4.77	4.75
Bristol-Myers Squibb Co.	6.28	6.31	6.33	6.39	6.54	6.47	6.60	6.77	6.87	6.79	6.75	6.77	6.93	7.11	7.30	7.38	7.74	7.90	7.77
Danaher Corp.	4.44	4.31	4.53	4.44	4.51	4.52	4.66	4.78	4.90	5.08	5.20	5.25	6.01	6.68	7.31	7.96	8.40	8.12	7.94
Eli Lilly & Co.	2.69	2.72	2.72	2.64	2.66	2.59	2.65	2.63	2.53	2.62	2.64	2.64	2.70	2.62	2.63	2.81	3.14	3.18	3.22
Gilead Sciences Inc.	5.17	5.11	5.19	5.16	5.19	5.26	5.27	5.28	5.22	5.17	5.13	5.07	4.88	4.91	4.88	4.93	5.01	5.13	5.18
Johnson & Johnson	4.12	4.15	4.14	4.07	4.13	4.13	4.28	4.33	4.28	4.38	4.36	4.28	4.65	4.37	4.58	4.79	5.29	5.21	5.07
Merck & Co. Inc.	—	2.59	2.59	2.57	2.51	2.52	2.58	2.70	2.69	2.69	2.66	2.61	2.63	2.62	2.66	2.77	2.89	2.85	2.73
Pfizer Inc.	3.34	3.35	3.26	3.24	3.33	3.40	3.40	3.46	3.26	2.97	2.98	3.14	3.88	4.48	5.46	6.17	6.47	6.64	6.12
Regeneron Pharmaceuticals Inc.	2.95	2.85	2.83	2.80	2.85	2.94	3.00	3.09	3.12	3.13	3.10	3.16	3.27	3.23	3.19	3.23	3.70	3.91	4.64
Thermo Fisher Scientific Inc.	4.48	4.31	4.24	4.22	4.30	4.48	4.60	4.61	4.50	4.56	4.56	4.54	4.74	4.68	4.68	4.84	5.12	5.02	4.87

¹ Q3 2026 Calculation
Net fixed asset turnover = (Revenues_{Q3 2026} + Revenues_{Q2 2026} + Revenues_{Q1 2026} + Revenues_{Q4 2025}) ÷ Property and equipment, net
= (3,440,800 + 3,333,900 + 2,986,900 + 3,190,000) ÷ 1,711,500 = 7.57

² Click competitor name to see calculations.

The analysis of long-term investment activity reveals a distinct cyclical pattern in asset utilization efficiency. While revenues demonstrated consistent growth over the observed period, the net fixed asset turnover ratio experienced a period of significant improvement followed by a steady decline, suggesting a shift in the relationship between capital investment and revenue generation.

Revenue and Asset Base Expansion: Revenues grew steadily from US$ 2,097,500 thousand in March 2022 to US$ 3,440,800 thousand by September 2026. Simultaneously, net property and equipment increased from US$ 1,107,400 thousand to US$ 1,711,500 thousand. The growth in the asset base was relatively stable until December 2024, after which an acceleration in capital investment is observed, with net fixed assets increasing by approximately 40% between December 2024 and September 2026.
Net Fixed Asset Turnover Trends: The net fixed asset turnover ratio exhibited three distinct phases. An initial growth phase occurred between March 2022 and September 2024, where the ratio rose from 7.18 to a peak of 9.51. This indicates that during this period, revenue growth significantly outpaced the expansion of the fixed asset base, enhancing the efficiency of each dollar invested in property and equipment. A second phase of contraction began in December 2024, with the ratio declining from 8.98 to 7.57 by September 2026. This downward trend coincides with the accelerated increase in net property and equipment, suggesting that new investments had not yet reached their full revenue-generating potential.
Operational Efficiency Insights: The peak efficiency reached in September 2024 suggests an optimal alignment between existing capacity and market demand. The subsequent decline in the turnover ratio to the 7.56–7.57 range by mid-2026 indicates a transition toward a period of capacity expansion. The return of the ratio to levels similar to those seen in early 2022, despite much higher absolute revenue, implies that the company has substantially increased its long-term infrastructure to support future scaling.

AI Ask an analyst for more

My previous chats

Add tokens

Hi, I’m an AI-powered financial analyst at Stock Analysis on Net.
Without a user account, I tend to respond rather slowly.

How can I help you?

Download chart

Vertex Pharmaceuticals Inc., net fixed asset turnover (including operating lease, right-of-use asset) calculation (quarterly data)

	Sep 30, 2026	Jun 30, 2026	Mar 31, 2026	Dec 31, 2025	Sep 30, 2025	Jun 30, 2025	Mar 31, 2025	Dec 31, 2024	Sep 30, 2024	Jun 30, 2024	Mar 31, 2024	Dec 31, 2023	Sep 30, 2023	Jun 30, 2023	Mar 31, 2023	Dec 31, 2022	Sep 30, 2022	Jun 30, 2022	Mar 31, 2022
Selected Financial Data (US$ in thousands)
Revenues	3,440,800)	3,333,900)	2,986,900)	3,190,000)	3,076,400)	2,964,700)	2,770,200)	2,912,000)	2,771,900)	2,645,600)	2,690,600)	2,517,700)	2,483,500)	2,493,200)	2,374,800)	2,302,700)	2,334,300)	2,196,200)	2,097,500)

Property and equipment, net	1,711,500)	1,665,000)	1,608,400)	1,520,300)	1,425,100)	1,335,100)	1,295,900)	1,227,800)	1,117,800)	1,200,900)	1,172,800)	1,159,300)	1,124,000)	1,122,400)	1,111,700)	1,108,400)	1,118,700)	1,100,100)	1,107,400)
Operating lease assets	1,617,200)	1,662,900)	1,685,100)	1,562,700)	1,591,800)	1,313,800)	1,338,500)	1,356,800)	1,396,100)	569,800)	312,900)	293,600)	310,500)	324,300)	336,300)	347,400)	342,700)	318,300)	329,000)
Property and equipment, net (including operating lease, right-of-use asset)	3,328,700)	3,327,900)	3,293,500)	3,083,000)	3,016,900)	2,648,900)	2,634,400)	2,584,600)	2,513,900)	1,770,700)	1,485,700)	1,452,900)	1,434,500)	1,446,700)	1,448,000)	1,455,800)	1,461,400)	1,418,400)	1,436,400)
Long-term Activity Ratio
Net fixed asset turnover (including operating lease, right-of-use asset)¹	3.89	3.78	3.71	3.89	3.89	4.31	4.21	4.26	4.23	5.84	6.86	6.79	6.73	6.57	6.36	6.13	5.95	5.89	5.53

¹ Q3 2026 Calculation
Net fixed asset turnover (including operating lease, right-of-use asset) = (Revenues_{Q3 2026} + Revenues_{Q2 2026} + Revenues_{Q1 2026} + Revenues_{Q4 2025}) ÷ Property and equipment, net (including operating lease, right-of-use asset)
= (3,440,800 + 3,333,900 + 2,986,900 + 3,190,000) ÷ 3,328,700 = 3.89

The financial trajectory between March 2022 and September 2026 is characterized by a significant shift in capital intensity and asset utilization. While revenues demonstrate a consistent upward trend throughout the period, the efficiency of fixed asset utilization has undergone a distinct transition from an efficiency-growth phase to a heavy investment phase.

Revenue Growth Performance: Revenues grew steadily from 2,097,500 thousand USD in March 2022 to 3,440,800 thousand USD by September 2026. This growth was characterized by relative stability and a consistent positive slope, indicating a strong and expanding top-line performance over the five-year period.
Fixed Asset Investment Patterns: Net property and equipment remained relatively stable at approximately 1.4 billion USD from March 2022 through March 2024. However, a significant capital expansion began in June 2024, where assets rose to 1,770,700 thousand USD and continued to climb sharply, reaching 3,328,700 thousand USD by September 2026. This represents more than a doubling of the fixed asset base within a two-year window.
Net Fixed Asset Turnover Analysis: The net fixed asset turnover ratio exhibited two opposing trends. From March 2022 to March 2024, the ratio increased from 5.53 to a peak of 6.86, suggesting that revenue growth was outstripping the growth of the fixed asset base, thereby increasing operational efficiency. Following the capital expansion in June 2024, the ratio experienced a sharp decline, falling to 5.84 and eventually stabilizing around 3.89 by September 2026. This decline indicates that the massive investment in property and equipment has yet to be fully offset by proportional increases in revenue.

The overall data indicates a strategic pivot toward significant infrastructure or capacity expansion starting in mid-2024. The resulting compression of the turnover ratio suggests that the organization is currently in a phase of absorbing high capital expenditures, transitioning from a period of high asset productivity to one of scaling operational capacity for future growth.

AI Ask an analyst for more

My previous chats

Add tokens

Hi, I’m an AI-powered financial analyst at Stock Analysis on Net.
Without a user account, I tend to respond rather slowly.

How can I help you?

Download chart

Vertex Pharmaceuticals Inc., total asset turnover calculation (quarterly data)

	Sep 30, 2026	Jun 30, 2026	Mar 31, 2026	Dec 31, 2025	Sep 30, 2025	Jun 30, 2025	Mar 31, 2025	Dec 31, 2024	Sep 30, 2024	Jun 30, 2024	Mar 31, 2024	Dec 31, 2023	Sep 30, 2023	Jun 30, 2023	Mar 31, 2023	Dec 31, 2022	Sep 30, 2022	Jun 30, 2022	Mar 31, 2022
Selected Financial Data (US$ in thousands)
Revenues	3,440,800)	3,333,900)	2,986,900)	3,190,000)	3,076,400)	2,964,700)	2,770,200)	2,912,000)	2,771,900)	2,645,600)	2,690,600)	2,517,700)	2,483,500)	2,493,200)	2,374,800)	2,302,700)	2,334,300)	2,196,200)	2,097,500)
Total assets	32,736,300)	27,423,300)	26,484,400)	25,643,000)	24,862,300)	24,036,700)	22,880,500)	22,533,200)	22,240,200)	20,132,100)	23,917,400)	22,730,200)	21,726,200)	20,349,200)	18,974,200)	18,150,900)	16,706,400)	15,582,200)	14,256,100)
Long-term Activity Ratio
Total asset turnover¹	0.40	0.46	0.46	0.47	0.47	0.48	0.49	0.49	0.48	0.51	0.43	0.43	0.44	0.47	0.49	0.49	0.52	0.54	0.56
Benchmarks
Total Asset Turnover, Competitors²
AbbVie Inc.	0.45	0.48	0.46	0.46	0.45	0.43	0.42	0.42	0.39	0.39	0.37	0.40	0.40	0.41	0.42	0.42	0.41	0.40	0.40
Amgen Inc.	—	0.38	0.38	0.39	0.38	0.38	0.37	0.35	0.34	0.32	0.30	0.28	0.28	0.28	0.28	0.38	0.38	0.41	0.41
Bristol-Myers Squibb Co.	0.56	0.56	0.56	0.54	0.50	0.50	0.52	0.52	0.51	0.49	0.46	0.47	0.49	0.48	0.49	0.48	0.48	0.47	0.46
Danaher Corp.	0.27	0.27	0.30	0.29	0.30	0.29	0.30	0.31	0.29	0.30	0.28	0.28	0.29	0.33	0.35	0.37	0.39	0.38	0.36
Eli Lilly & Co.	0.58	0.56	0.62	0.58	0.52	0.53	0.55	0.57	0.54	0.54	0.56	0.53	0.55	0.54	0.52	0.58	0.62	0.62	0.62
Gilead Sciences Inc.	0.60	0.60	0.52	0.49	0.49	0.52	0.51	0.48	0.52	0.52	0.48	0.43	0.44	0.44	0.43	0.43	0.43	0.43	0.43
Johnson & Johnson	0.50	0.49	0.48	0.47	0.48	0.47	0.46	0.49	0.49	0.48	0.50	0.51	0.53	0.47	0.47	0.51	0.55	0.54	0.53
Merck & Co. Inc.	—	0.51	0.51	0.47	0.50	0.54	0.56	0.55	0.54	0.55	0.58	0.56	0.56	0.56	0.54	0.54	0.55	0.53	0.51
Pfizer Inc.	0.31	0.32	0.30	0.30	0.30	0.31	0.30	0.30	0.28	0.26	0.25	0.26	0.32	0.36	0.48	0.51	0.51	0.52	0.50
Regeneron Pharmaceuticals Inc.	0.38	0.37	0.37	0.35	0.35	0.37	0.38	0.38	0.37	0.37	0.38	0.40	0.41	0.41	0.41	0.42	0.50	0.52	0.63
Thermo Fisher Scientific Inc.	0.41	0.41	0.40	0.40	0.42	0.43	0.43	0.44	0.42	0.43	0.44	0.43	0.45	0.46	0.46	0.46	0.49	0.47	0.44

¹ Q3 2026 Calculation
Total asset turnover = (Revenues_{Q3 2026} + Revenues_{Q2 2026} + Revenues_{Q1 2026} + Revenues_{Q4 2025}) ÷ Total assets
= (3,440,800 + 3,333,900 + 2,986,900 + 3,190,000) ÷ 32,736,300 = 0.40

² Click competitor name to see calculations.

Analysis of the financial trajectory from March 2022 through September 2026 reveals a period of significant expansion in the asset base that has outpaced revenue growth, resulting in a gradual decline in overall asset utilization efficiency.

Revenue Growth Patterns: Revenues demonstrated a consistent upward trajectory, increasing from 2,097,500 thousand USD in March 2022 to 3,440,800 thousand USD by September 2026. While growth was steady, the pace of revenue increases was linear and moderate compared to the scale of asset accumulation.
Asset Base Expansion: Total assets experienced substantial growth, rising from 14,256,100 thousand USD to 32,736,300 thousand USD. The asset base more than doubled over the analyzed period. A significant surge is observed in the final quarter, where assets grew from 27,423,300 thousand USD to 32,736,300 thousand USD, indicating a major capital allocation or acquisition toward the end of the period.
Total Asset Turnover Dynamics: The total asset turnover ratio declined from a peak of 0.56 in March 2022 to a low of 0.40 by September 2026. The trend can be categorized into three phases: an initial decline from March 2022 to December 2023, where the ratio dropped to 0.43; a period of relative stabilization between June 2024 and March 2026, where the ratio fluctuated between 0.46 and 0.51; and a final sharp contraction to 0.40 in September 2026.

The observed data indicates that the company is in a phase of aggressive investment. The downward trend in the total asset turnover ratio suggests that the growth in the asset base has significantly exceeded the growth in revenue generation. The marked decrease in efficiency in the final reported quarter is directly attributable to the sharp spike in total assets, which has not yet been offset by a proportional increase in quarterly revenues.

AI Ask an analyst for more

My previous chats

Add tokens

Hi, I’m an AI-powered financial analyst at Stock Analysis on Net.
Without a user account, I tend to respond rather slowly.

How can I help you?

Download chart

Vertex Pharmaceuticals Inc., equity turnover calculation (quarterly data)

	Sep 30, 2026	Jun 30, 2026	Mar 31, 2026	Dec 31, 2025	Sep 30, 2025	Jun 30, 2025	Mar 31, 2025	Dec 31, 2024	Sep 30, 2024	Jun 30, 2024	Mar 31, 2024	Dec 31, 2023	Sep 30, 2023	Jun 30, 2023	Mar 31, 2023	Dec 31, 2022	Sep 30, 2022	Jun 30, 2022	Mar 31, 2022
Selected Financial Data (US$ in thousands)
Revenues	3,440,800)	3,333,900)	2,986,900)	3,190,000)	3,076,400)	2,964,700)	2,770,200)	2,912,000)	2,771,900)	2,645,600)	2,690,600)	2,517,700)	2,483,500)	2,493,200)	2,374,800)	2,302,700)	2,334,300)	2,196,200)	2,097,500)
Shareholders’ equity	20,907,400)	20,247,900)	19,361,900)	18,665,800)	17,318,800)	17,175,400)	16,496,300)	16,409,600)	15,630,900)	14,774,700)	18,546,600)	17,580,400)	16,512,800)	15,470,200)	14,432,300)	13,912,700)	13,029,600)	11,933,500)	10,907,000)
Long-term Activity Ratio
Equity turnover¹	0.62	0.62	0.63	0.64	0.68	0.66	0.67	0.67	0.68	0.70	0.55	0.56	0.58	0.61	0.64	0.64	0.67	0.70	0.73
Benchmarks
Equity Turnover, Competitors²
AbbVie Inc.	—	—	—	—	—	—	40.40	16.94	9.21	8.11	6.79	5.24	4.56	4.35	4.27	3.36	3.62	3.91	3.48
Amgen Inc.	—	3.10	3.86	4.06	3.59	4.51	5.28	5.45	4.14	4.99	5.61	4.32	3.35	3.73	4.66	6.77	6.71	10.17	26.68
Bristol-Myers Squibb Co.	2.14	2.20	2.42	2.61	2.59	2.74	2.74	2.96	2.77	2.73	2.76	1.53	1.55	1.41	1.44	1.49	1.43	1.45	1.49
Danaher Corp.	0.48	0.48	0.47	0.47	0.48	0.46	0.47	0.48	0.46	0.47	0.44	0.45	0.49	0.54	0.58	0.63	0.67	0.66	0.65
Eli Lilly & Co.	2.15	2.35	2.32	2.46	2.50	2.91	3.11	3.17	2.87	2.87	2.80	3.17	2.86	2.67	2.47	2.68	2.90	3.40	3.14
Gilead Sciences Inc.	2.36	2.52	1.24	1.27	1.33	1.46	1.49	1.48	1.52	1.51	1.56	1.18	1.22	1.28	1.27	1.27	1.27	1.34	1.37
Johnson & Johnson	1.22	1.15	1.19	1.16	1.16	1.15	1.14	1.24	1.25	1.21	1.22	1.24	1.23	1.20	1.30	1.24	1.29	1.25	1.27
Merck & Co. Inc.	—	1.59	1.43	1.24	1.24	1.30	1.32	1.39	1.42	1.43	1.52	1.60	1.44	1.51	1.24	1.29	1.33	1.32	1.32
Pfizer Inc.	0.71	0.75	0.70	0.72	0.68	0.72	0.69	0.72	0.65	0.64	0.61	0.67	0.71	0.79	0.92	1.05	1.08	1.16	1.12
Regeneron Pharmaceuticals Inc.	0.50	0.49	0.47	0.46	0.46	0.47	0.48	0.48	0.47	0.48	0.49	0.51	0.53	0.53	0.53	0.54	0.64	0.69	0.83
Thermo Fisher Scientific Inc.	0.86	0.88	0.87	0.83	0.86	0.86	0.87	0.86	0.86	0.89	0.93	0.92	0.96	0.99	1.04	1.02	1.01	1.01	1.00

¹ Q3 2026 Calculation
Equity turnover = (Revenues_{Q3 2026} + Revenues_{Q2 2026} + Revenues_{Q1 2026} + Revenues_{Q4 2025}) ÷ Shareholders’ equity
= (3,440,800 + 3,333,900 + 2,986,900 + 3,190,000) ÷ 20,907,400 = 0.62

² Click competitor name to see calculations.

The financial trajectory from March 2022 through September 2026 is characterized by consistent revenue growth paired with a general expansion of shareholders' equity, resulting in a fluctuating equity turnover ratio.

Revenue Trends: Revenues exhibited a sustained upward trend, increasing from 2,097,500 thousand USD in March 2022 to 3,440,800 thousand USD by September 2026. Although growth was generally positive, periodic fluctuations occurred, such as the slight contractions observed in the first quarters of 2025 and 2026, which did not disrupt the long-term growth pattern.
Shareholders' Equity Evolution: Equity grew significantly over the analyzed period, rising from 10,907,000 thousand USD to 20,907,400 thousand USD. A notable anomaly is observed in June 2024, where equity dropped from 18,546,600 thousand USD to 14,774,700 thousand USD. Following this sharp contraction, equity resumed a steady quarterly increase for the remainder of the period.
Equity Turnover Performance: The equity turnover ratio experienced three distinct phases. First, a consistent decline was observed from March 2022 (0.73) to March 2024 (0.55), indicating that the growth of the equity base outpaced revenue generation. Second, a sharp increase to 0.70 occurred in June 2024, coinciding with the reduction in shareholders' equity. Third, the ratio entered a period of relative stability from June 2024 to September 2026, fluctuating within a narrow band between 0.62 and 0.68.

In summary, the data indicates an initial period of capital accumulation that diminished equity efficiency, followed by a significant capital adjustment in mid-2024 that corrected the turnover ratio. The final phase of the analysis shows a balanced relationship between revenue growth and equity expansion.

AI Ask an analyst for more

My previous chats

Add tokens

Hi, I’m an AI-powered financial analyst at Stock Analysis on Net.
Without a user account, I tend to respond rather slowly.

How can I help you?

Vertex Pharmaceuticals Inc. (NASDAQ:VRTX)

Analysis of Long-term (Investment) Activity RatiosQuarterly Data

Long-term Activity Ratios (Summary)

Net Fixed Asset Turnover

Net Fixed Asset Turnover (including Operating Lease, Right-of-Use Asset)

Total Asset Turnover

Equity Turnover

Analysis of Long-term (Investment) Activity Ratios
Quarterly Data