Allergan PLC (NYSE:AGN)

The financial performance over the analyzed period demonstrates significant variability in profitability alongside a generally upward trajectory in net revenues.

Net Revenues

Net revenues exhibit a consistent growth trend from 2005 through 2019. Starting at approximately 1.65 billion USD in 2005, revenues increased steadily each year, reaching over 16 billion USD by 2019. The growth accelerated particularly between 2010 and 2015, moving from roughly 3.57 billion USD to more than 15 billion USD. After 2015, revenues stabilized, displaying minor fluctuations but maintaining a high overall level near 16 billion USD.

Net Income Attributable to Shareholders

Net income shows considerable fluctuation without a clear trend. The period starts with a positive net income of approximately 138 million USD in 2005, followed by a sharp loss in 2006. Subsequent years display alternating positive and negative results with sharp volatility. Notable positive spikes occurred in 2015 and 2016, reaching nearly 3.92 billion USD and 14.97 billion USD respectively. However, after 2016, the company returned to negative net income figures, with particularly large losses recorded in 2018 and 2019, each exceeding negative 5 billion USD. These swings indicate episodic profitability interspersed with significant losses, suggesting periods of unusual gains or charges.

Net Profit Margin

The net profit margin fluctuates in alignment with net income, reflecting the erratic profitability despite the steadily increasing revenues. Margins were positive in early years, peaking at around 8.4% in 2005, then turning negative in 2006 at approximately -22.48%. Margins recovered and remained positive through 2010 and 2011 but generally remained low, often below single digits, indicating modest profitability relative to revenues. The most extreme margin was observed in 2016 at over 100%, driven by an exceptionally high net income relative to revenue, which is an anomaly likely influenced by extraordinary items. Following 2016, margins reverted to substantially negative levels, declining to approximately -33% by 2019, in line with large net losses.

Overall, the data suggest strong top-line growth over the long term, contrasted with highly volatile bottom-line results. The episodic nature of net income and profit margins indicates that factors beyond operational revenue generation—such as one-time gains, losses, or impairments—have significantly influenced profitability. The stability in revenues combined with negative profitability in recent years may warrant further investigation into cost structures, non-recurring expenses, or other financial events impacting earnings.