Stock Analysis on Net
Stock Analysis on Net

Allergan PLC (NYSE:AGN)

This company has been moved to the archive! The financial data has not been updated since May 7, 2020.

Total Asset Turnover
since 2005

Microsoft Excel

Calculation

Allergan PLC, total asset turnover, long-term trends, calculation

Microsoft Excel
Total asset turnover = Net revenues1 ÷ Total assets1
Dec 31, 2019 0.17 = 16,088,900 ÷ 94,699,100
Dec 31, 2018 0.16 = 15,787,400 ÷ 101,787,600
Dec 31, 2017 0.13 = 15,940,700 ÷ 118,341,900
Dec 31, 2016 0.11 = 14,570,600 ÷ 128,986,300
Dec 31, 2015 0.11 = 15,071,000 ÷ 135,840,700
Dec 31, 2014 0.25 = 13,062,300 ÷ 52,529,100
Dec 31, 2013 0.38 = 8,677,600 ÷ 22,725,900
Dec 31, 2012 0.42 = 5,914,900 ÷ 14,103,500
Dec 31, 2011 0.68 = 4,584,400 ÷ 6,698,300
Dec 31, 2010 0.61 = 3,566,900 ÷ 5,827,300
Dec 31, 2009 0.47 = 2,793,000 ÷ 5,992,200
Dec 31, 2008 0.69 = 2,535,501 ÷ 3,677,887
Dec 31, 2007 0.72 = 2,496,651 ÷ 3,472,027
Dec 31, 2006 0.53 = 1,979,244 ÷ 3,760,577
Dec 31, 2005 0.53 = 1,646,203 ÷ 3,080,033

Based on: 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

The analysis of asset utilization efficiency from 2005 to 2019 reveals a significant structural shift in the relationship between revenue generation and the asset base. While net revenues grew consistently over the fifteen-year period, the total asset base expanded at a disproportionately faster rate, resulting in a long-term decline in the total asset turnover ratio.

Initial Stability and Growth (2005–2011)
During this period, total asset turnover remained relatively stable, fluctuating between 0.47 and 0.72. Net revenues increased from 1.6 billion to 4.6 billion USD, while total assets grew from 3.1 billion to 6.7 billion USD. This indicates a phase where revenue growth was generally aligned with the expansion of the asset base, maintaining a consistent level of operational efficiency.
Phase of Rapid Asset Expansion (2012–2015)
A sharp deterioration in asset efficiency is observed beginning in 2012. The total asset turnover ratio dropped precipitously from 0.42 in 2012 to a low of 0.11 in 2015. This decline was driven by an exponential surge in total assets, which increased from 14.1 billion USD in 2012 to a peak of 135.8 billion USD in 2015. Although net revenues grew from 5.9 billion to 15.1 billion USD during this window, the growth was insufficient to offset the massive increase in the asset base, suggesting significant capital allocation toward acquisitions or intangible assets.
Stabilization and Marginal Recovery (2016–2019)
From 2016 through 2019, a gradual recovery in the turnover ratio is evident, rising from 0.11 to 0.17. This trend is attributed to a steady reduction in total assets, which declined from the 2015 peak to 94.7 billion USD by 2019, while net revenues remained stable and grew slightly to 16.1 billion USD. This suggests a period of asset optimization or amortization following the previous expansion phase.

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Comparison to Competitors

Allergan PLC, total asset turnover, long-term trends, comparison to competitors

Microsoft Excel
Allergan PLC 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. Vertex Pharmaceuticals Inc.
Dec 31, 2019 0.17 0.37 0.37 0.20 0.29 0.57 0.36 0.52 0.55 0.31 0.53 0.44 0.50
Dec 31, 2018 0.16 0.55 0.34 0.64 0.42 0.56 0.34 0.53 0.51 0.34 0.57 0.43 0.49
Dec 31, 2017 0.13 0.40 0.27 0.62 0.39 0.51 0.37 0.49 0.46 0.31 0.67 0.37 0.70
Dec 31, 2016 0.11 0.39 0.28 0.58 0.37 0.55 0.53 0.51 0.42 0.31 0.70 0.40 0.59
Dec 31, 2015 0.11 0.43 0.29 0.52 0.43 0.56 0.62 0.53 0.39 0.29 0.73 0.41 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 0.25
Dec 31, 2013 0.38 0.64 0.28 0.42 0.55 0.66 0.48 0.54 0.42 0.30 0.71 0.41 0.52
Dec 31, 2012 0.42 0.68 0.31 0.49 0.55 0.66 0.44 0.55 0.45 0.32 0.66 0.46 0.55
Dec 31, 2011 0.68 — 0.31 0.64 0.54 0.72 0.47 0.57 0.46 0.36 0.34 0.44 0.64
Dec 31, 2010 0.61 — 0.34 0.63 0.59 0.74 0.64 0.60 0.43 0.35 0.42 0.51 0.08
Dec 31, 2009 0.47 — 0.36 0.61 0.57 0.80 0.67 0.65 0.24 0.23 0.51 0.47 0.05
Dec 31, 2008 0.69 — 0.40 0.70 0.73 0.70 0.72 0.75 0.51 0.43 0.36 0.50 0.18
Dec 31, 2007 0.72 — 0.41 0.74 0.63 0.70 0.64 0.75 0.50 0.42 0.13 0.46 0.33
Dec 31, 2006 0.53 — 0.41 0.70 0.75 0.71 0.63 0.76 0.51 0.42 0.11 0.18 0.23
Dec 31, 2005 0.53 — 0.41 0.68 0.87 0.60 0.48 0.87 0.49 0.44 0.16 0.62 0.29

Based on: 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)

Allergan PLC, total asset turnover, long-term trends, comparison to sector (pharmaceuticals, biotechnology & life sciences)

Microsoft Excel
Allergan PLC Pharmaceuticals, Biotechnology & Life Sciences
Dec 31, 2019 0.17 0.39
Dec 31, 2018 0.16 0.45
Dec 31, 2017 0.13 0.40
Dec 31, 2016 0.11 0.41
Dec 31, 2015 0.11 0.42
Dec 31, 2014 0.25 0.44
Dec 31, 2013 0.38 0.43
Dec 31, 2012 0.42 0.45
Dec 31, 2011 0.68 0.47
Dec 31, 2010 0.61 0.47
Dec 31, 2009 0.47 0.39
Dec 31, 2008 0.69 0.57
Dec 31, 2007 0.72 0.56
Dec 31, 2006 0.53 0.54
Dec 31, 2005 0.53 0.57

Based on: 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)

Allergan PLC, total asset turnover, long-term trends, comparison to industry (health care)

Microsoft Excel
Allergan PLC Health Care
Dec 31, 2019 0.17 0.57
Dec 31, 2018 0.16 0.63
Dec 31, 2017 0.13 0.56
Dec 31, 2016 0.11 0.57
Dec 31, 2015 0.11 0.55
Dec 31, 2014 0.25 0.60
Dec 31, 2013 0.38 0.58
Dec 31, 2012 0.42 0.58
Dec 31, 2011 0.68 0.61
Dec 31, 2010 0.61 0.61
Dec 31, 2009 0.47 0.55
Dec 31, 2008 0.69 0.73
Dec 31, 2007 0.72 0.71
Dec 31, 2006 0.53 0.69
Dec 31, 2005 0.53 0.66

Based on: 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).