AbbVie Inc. (NYSE:ABBV)

The financial data reveals several important trends and patterns over the reviewed periods.

Short-term borrowings

The amount of short-term borrowings declined significantly from 34 million in 2020 to almost negligible values by 2022, with no data for the last two years. This suggests a reduction in reliance on short-term debt.

Current portion of long-term debt and finance lease obligations

The current portion displayed volatility, peaking in 2021 at approximately 12.5 billion before dropping in 2022 and rising again in 2023 and 2024, indicating varying short-term repayment obligations within the long-term debt structure.

Sales rebates

Sales rebates have shown a consistent and significant upward trend, nearly doubling from about 7.2 billion in 2020 to over 14.3 billion by 2024, which may reflect intensified discounting or promotional activities.

Dividends payable

Dividends payable increased steadily over the five-year period, reaching 2.9 billion in 2024, suggesting a growing commitment to shareholder returns despite fluctuations in other financial metrics.

Accounts payable and current liabilities

Both accounts payable and accrued liabilities expanded notably, with accounts payable rising from approximately 2.3 billion to nearly 3 billion in 2024. Total current liabilities fluctuated but ended higher in 2024 compared to the start, signaling an increase in short-term obligations.

Contingent consideration liabilities

These liabilities increased steadily from nil in 2020 to approximately 19.1 billion in 2024, indicating increasing obligations contingent on future events or acquisitions.

Salaries, wages, and commissions

There was an initial rise followed by a drop in 2022, but the figures recovered substantially by 2024, exceeding the 2020 level, which may reflect changes in workforce size or compensation policies.

Royalty and license arrangements

Royalty and license expenses varied, with a peak in 2021, a subsequent decrease, and a rebound in 2024. This variability may be linked to the timing of licensing agreements and revenue generation.

Long-term debt and related obligations

Long-term debt, excluding the current portion, generally declined from nearly 77.6 billion in 2020 to about 52.2 billion in 2023, but increased again to over 60.3 billion in 2024. This suggests active debt management with phases of repayment and new borrowing.

Deferred income taxes

Deferred income taxes decreased progressively until 2023 before a slight increase in 2024, possibly reflecting changes in tax strategy or timing differences in revenue and expense recognition.

Income taxes payable

Payables for income taxes declined significantly from 3.8 billion to 1.3 billion over the period, which might indicate improved tax payments or lower taxable income.

Liabilities for unrecognized tax benefits

These liabilities increased slightly through 2023, followed by a notable decline in 2024, potentially suggesting resolution of tax uncertainties or settlements.

Pension and other post-employment benefits

There was a consistent decline in pension and related liabilities from 3.4 billion in 2020 to roughly 1.2 billion by 2024, which may indicate plan funding improvements or actuarial adjustments.

Other long-term liabilities

Other long-term liabilities increased gradually until 2023, then decreased modestly in 2024, showing relative stability with minor fluctuations.

Total liabilities

Total liabilities decreased from 137.5 billion in 2020 to around 121.5 billion in 2022, then rebounded to approximately 131.8 billion in 2024, depicting a fluctuating but overall high liability level.

Equity components

Common stock and treasury stock

Common stock par value remained stable at 18 million. Treasury stock increased in cost significantly, implying ongoing share repurchases, with treasury stock cost growing from about -2.3 billion to more than -8.2 billion by 2024.

Additional paid-in capital

This component showed a steady increase, rising from 17.4 billion to 21.3 billion, reflecting capital contributions or equity issuances.

Retained earnings

Retained earnings started positive but turned negative in 2023 and further decreased in 2024 to about -7.9 billion, indicating cumulative losses or large distributions exceeding earnings.

Accumulated other comprehensive loss

The accumulated loss decreased in magnitude, moving from -3.1 billion to roughly -1.9 billion, suggesting a reduction in unrealized losses or other comprehensive negative adjustments.

Stockholders’ equity and total equity

Equity increased from 13.1 billion in 2020 to a peak of 17.3 billion in 2022, but sharply declined afterward to just over 3.3 billion in 2024, which may be attributed to negative retained earnings and increased treasury stock.

Total liabilities and equity

The total financing—sum of liabilities and equity—decreased from about 150.6 billion in 2020 to 138.8 billion in 2022, then stabilized around 135 billion in 2023 and 2024.

In summary, the data reflects a complex financial evolution characterized by fluctuating debt levels, increased short-term liabilities, consistent sales rebate growth, intensified share repurchases, and a notable deterioration in retained earnings and equity in recent years. The increase in contingent liabilities and sales rebates may warrant further attention, as well as the significant negative shift in retained earnings impacting overall shareholder equity.