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

AbbVie Inc. (NYSE:ABBV)

Analysis of Profitability Ratios

Beginner level

Profitability Ratios (Summary)

AbbVie Inc., profitability ratios

Microsoft Excel LibreOffice Calc
Dec 31, 2020 Dec 31, 2019 Dec 31, 2018 Dec 31, 2017 Dec 31, 2016
Return on Sales
Gross profit margin 66.41% 77.64% 76.44% 75.05% 77.25%
Operating profit margin 24.81% 39.03% 19.49% 33.99% 36.60%
Net profit margin 10.08% 23.69% 17.36% 18.82% 23.22%
Return on Investment
Return on equity (ROE) 35.30% 104.16% 128.41%
Return on assets (ROA) 3.07% 8.84% 9.58% 7.50% 9.01%

Based on: 10-K (filing date: 2021-02-19), 10-K (filing date: 2020-02-21), 10-K (filing date: 2019-02-27), 10-K (filing date: 2018-02-16), 10-K (filing date: 2017-02-17).

Profitability ratio Description The company
Gross profit margin Gross profit margin indicates the percentage of revenue available to cover operating and other expenditures. AbbVie Inc.’s gross profit margin ratio improved from 2018 to 2019 but then deteriorated significantly from 2019 to 2020.
Operating profit margin A profitability ratio calculated as operating income divided by revenue. AbbVie Inc.’s operating profit margin ratio improved from 2018 to 2019 but then slightly deteriorated from 2019 to 2020 not reaching 2018 level.
Net profit margin An indicator of profitability, calculated as net income divided by revenue. AbbVie Inc.’s net profit margin ratio improved from 2018 to 2019 but then deteriorated significantly from 2019 to 2020.

Profitability ratio Description The company
ROA A profitability ratio calculated as net income divided by total assets. AbbVie Inc.’s ROA deteriorated from 2018 to 2019 and from 2019 to 2020.

Gross Profit Margin

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

Microsoft Excel LibreOffice Calc
Dec 31, 2020 Dec 31, 2019 Dec 31, 2018 Dec 31, 2017 Dec 31, 2016
Selected Financial Data (US$ in millions)
Gross margin 30,417  25,827  25,035  21,176  19,805 
Net revenues 45,804  33,266  32,753  28,216  25,638 
Profitability Ratio
Gross profit margin1 66.41% 77.64% 76.44% 75.05% 77.25%
Benchmarks
Gross Profit Margin, Competitors2
Amgen Inc. 74.59% 80.38% 81.80% 81.33% 80.99%
Eli Lilly & Co. 77.66% 78.85% 73.81% 73.46% 73.35%
Gilead Sciences Inc. 81.23% 78.86% 77.61% 82.97% 85.77%
Illumina Inc. 68.01% 69.63% 69.01% 66.35% 69.48%
Johnson & Johnson 65.58% 66.42% 66.79% 66.84% 69.84%
Merck & Co. Inc. 67.74% 69.87% 68.06% 68.16% 65.10%
Pfizer Inc. 79.26% 80.25% 79.03% 78.61% 76.66%
Regeneron Pharmaceuticals Inc. 86.82% 90.05% 93.53% 93.24% 93.83%
Thermo Fisher Scientific Inc. 49.67% 44.35% 44.57% 45.15% 45.80%
Zoetis Inc. 69.18% 68.18% 67.19% 66.55% 65.92%

Based on: 10-K (filing date: 2021-02-19), 10-K (filing date: 2020-02-21), 10-K (filing date: 2019-02-27), 10-K (filing date: 2018-02-16), 10-K (filing date: 2017-02-17).

1 2020 Calculation
Gross profit margin = 100 × Gross margin ÷ Net revenues
= 100 × 30,417 ÷ 45,804 = 66.41%

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. AbbVie Inc.’s gross profit margin ratio improved from 2018 to 2019 but then deteriorated significantly from 2019 to 2020.

Operating Profit Margin

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

Microsoft Excel LibreOffice Calc
Dec 31, 2020 Dec 31, 2019 Dec 31, 2018 Dec 31, 2017 Dec 31, 2016
Selected Financial Data (US$ in millions)
Operating earnings 11,363  12,983  6,383  9,592  9,384 
Net revenues 45,804  33,266  32,753  28,216  25,638 
Profitability Ratio
Operating profit margin1 24.81% 39.03% 19.49% 33.99% 36.60%
Benchmarks
Operating Profit Margin, Competitors2
Amgen Inc. 37.70% 43.57% 45.55% 45.76% 44.74%
Eli Lilly & Co. 24.69% 22.29% 15.15% 9.38% 16.30%
Gilead Sciences Inc. 16.72% 19.38% 37.83% 55.04% 58.87%
Illumina Inc. 17.91% 27.80% 26.49% 22.02% 24.48%
Johnson & Johnson 23.60% 24.15% 24.27% 24.07% 28.72%
Merck & Co. Inc. 16.47% 24.77% 19.62% 16.28% 13.51%
Pfizer Inc. 19.47% 25.46% 26.10% 25.92% 22.73%
Regeneron Pharmaceuticals Inc. 42.09% 28.10% 37.77% 35.41% 27.38%
Thermo Fisher Scientific Inc. 24.19% 17.99% 15.53% 14.19% 13.40%
Zoetis Inc. 33.62% 31.42% 31.12% 32.15% 28.48%
Operating Profit Margin, Sector
Pharmaceuticals, Biotechnology & Life Sciences 23.50% 26.64% 24.96% 27.02% 28.63%
Operating Profit Margin, Industry
Health Care 12.21% 14.97% 14.34% 15.46% 16.55%

Based on: 10-K (filing date: 2021-02-19), 10-K (filing date: 2020-02-21), 10-K (filing date: 2019-02-27), 10-K (filing date: 2018-02-16), 10-K (filing date: 2017-02-17).

1 2020 Calculation
Operating profit margin = 100 × Operating earnings ÷ Net revenues
= 100 × 11,363 ÷ 45,804 = 24.81%

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. AbbVie Inc.’s operating profit margin ratio improved from 2018 to 2019 but then slightly deteriorated from 2019 to 2020 not reaching 2018 level.

Net Profit Margin

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

Microsoft Excel LibreOffice Calc
Dec 31, 2020 Dec 31, 2019 Dec 31, 2018 Dec 31, 2017 Dec 31, 2016
Selected Financial Data (US$ in millions)
Net earnings attributable to AbbVie Inc. 4,616  7,882  5,687  5,309  5,953 
Net revenues 45,804  33,266  32,753  28,216  25,638 
Profitability Ratio
Net profit margin1 10.08% 23.69% 17.36% 18.82% 23.22%
Benchmarks
Net Profit Margin, Competitors2
Amgen Inc. 29.97% 35.32% 37.25% 9.08% 35.27%
Eli Lilly & Co. 25.24% 37.27% 13.16% -0.89% 12.90%
Gilead Sciences Inc. 0.51% 24.35% 25.16% 18.03% 45.07%
Illumina Inc. 20.25% 28.28% 24.78% 26.38% 19.29%
Johnson & Johnson 17.82% 18.42% 18.75% 1.70% 23.01%
Merck & Co. Inc. 14.72% 21.01% 14.71% 5.97% 9.85%
Pfizer Inc. 22.95% 31.45% 20.79% 40.55% 13.66%
Regeneron Pharmaceuticals Inc. 41.35% 26.91% 36.42% 20.41% 18.42%
Thermo Fisher Scientific Inc. 19.79% 14.47% 12.06% 10.64% 11.06%
Zoetis Inc. 24.54% 23.96% 24.52% 16.28% 16.80%
Net Profit Margin, Sector
Pharmaceuticals, Biotechnology & Life Sciences 18.06% 24.39% 19.76% 13.79% 21.04%
Net Profit Margin, Industry
Health Care 8.86% 12.75% 10.69% 8.54% 11.60%

Based on: 10-K (filing date: 2021-02-19), 10-K (filing date: 2020-02-21), 10-K (filing date: 2019-02-27), 10-K (filing date: 2018-02-16), 10-K (filing date: 2017-02-17).

1 2020 Calculation
Net profit margin = 100 × Net earnings attributable to AbbVie Inc. ÷ Net revenues
= 100 × 4,616 ÷ 45,804 = 10.08%

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. AbbVie Inc.’s net profit margin ratio improved from 2018 to 2019 but then deteriorated significantly from 2019 to 2020.

Return on Equity (ROE)

AbbVie Inc., ROE calculation, comparison to benchmarks

Microsoft Excel LibreOffice Calc
Dec 31, 2020 Dec 31, 2019 Dec 31, 2018 Dec 31, 2017 Dec 31, 2016
Selected Financial Data (US$ in millions)
Net earnings attributable to AbbVie Inc. 4,616  7,882  5,687  5,309  5,953 
Stockholders’ equity (deficit) 13,076  (8,172) (8,446) 5,097  4,636 
Profitability Ratio
ROE1 35.30% 104.16% 128.41%
Benchmarks
ROE, Competitors2
Amgen Inc. 77.20% 81.07% 67.15% 7.84% 25.85%
Eli Lilly & Co. 109.79% 319.09% 32.88% -1.76% 19.54%
Gilead Sciences Inc. 0.68% 23.91% 25.51% 22.64% 71.48%
Illumina Inc. 13.98% 21.72% 21.98% 26.41% 21.06%
Johnson & Johnson 23.25% 25.42% 25.60% 2.16% 23.49%
Merck & Co. Inc. 27.91% 37.99% 23.30% 6.97% 9.78%
Pfizer Inc. 15.21% 25.77% 17.59% 29.88% 12.12%
Regeneron Pharmaceuticals Inc. 31.86% 19.08% 27.91% 19.51% 20.13%
Thermo Fisher Scientific Inc. 18.47% 12.45% 10.65% 8.76% 9.39%
Zoetis Inc. 43.46% 55.39% 65.35% 48.81% 55.21%
ROE, Sector
Pharmaceuticals, Biotechnology & Life Sciences 24.50% 35.38% 27.74% 15.79% 23.13%
ROE, Industry
Health Care 15.06% 21.95% 18.53% 13.89% 18.58%

Based on: 10-K (filing date: 2021-02-19), 10-K (filing date: 2020-02-21), 10-K (filing date: 2019-02-27), 10-K (filing date: 2018-02-16), 10-K (filing date: 2017-02-17).

1 2020 Calculation
ROE = 100 × Net earnings attributable to AbbVie Inc. ÷ Stockholders’ equity (deficit)
= 100 × 4,616 ÷ 13,076 = 35.30%

2 Click competitor name to see calculations.


Return on Assets (ROA)

AbbVie Inc., ROA calculation, comparison to benchmarks

Microsoft Excel LibreOffice Calc
Dec 31, 2020 Dec 31, 2019 Dec 31, 2018 Dec 31, 2017 Dec 31, 2016
Selected Financial Data (US$ in millions)
Net earnings attributable to AbbVie Inc. 4,616  7,882  5,687  5,309  5,953 
Total assets 150,565  89,115  59,352  70,786  66,099 
Profitability Ratio
ROA1 3.07% 8.84% 9.58% 7.50% 9.01%
Benchmarks
ROA, Competitors2
Amgen Inc. 11.54% 13.13% 12.64% 2.48% 9.95%
Eli Lilly & Co. 13.28% 21.17% 7.36% -0.45% 7.05%
Gilead Sciences Inc. 0.18% 8.74% 8.57% 6.58% 23.70%
Illumina Inc. 8.65% 13.70% 11.87% 13.81% 10.81%
Johnson & Johnson 8.41% 9.59% 10.00% 0.83% 11.71%
Merck & Co. Inc. 7.72% 11.66% 7.53% 2.72% 4.11%
Pfizer Inc. 6.23% 9.72% 7.00% 12.40% 4.20%
Regeneron Pharmaceuticals Inc. 20.47% 14.29% 20.83% 13.67% 12.84%
Thermo Fisher Scientific Inc. 9.23% 6.33% 5.22% 3.93% 4.40%
Zoetis Inc. 12.04% 12.99% 13.25% 10.06% 10.73%
ROA, Sector
Pharmaceuticals, Biotechnology & Life Sciences 7.21% 10.51% 8.83% 5.47% 8.67%
ROA, Industry
Health Care 5.20% 7.67% 6.69% 5.24% 7.31%

Based on: 10-K (filing date: 2021-02-19), 10-K (filing date: 2020-02-21), 10-K (filing date: 2019-02-27), 10-K (filing date: 2018-02-16), 10-K (filing date: 2017-02-17).

1 2020 Calculation
ROA = 100 × Net earnings attributable to AbbVie Inc. ÷ Total assets
= 100 × 4,616 ÷ 150,565 = 3.07%

2 Click competitor name to see calculations.

Profitability ratio Description The company
ROA A profitability ratio calculated as net income divided by total assets. AbbVie Inc.’s ROA deteriorated from 2018 to 2019 and from 2019 to 2020.