Stock Analysis on Net
Stock Analysis on Net

Merck & Co. Inc. (NYSE:MRK)

Total Asset Turnover 
since 2005

Microsoft Excel

Calculation

Merck & Co. Inc., total asset turnover, long-term trends, calculation

Microsoft Excel
Total asset turnover = Sales1 ÷ Total assets1
Dec 31, 2024 0.55 = 64,168 ÷ 117,106
Dec 31, 2023 0.56 = 60,115 ÷ 106,675
Dec 31, 2022 0.54 = 59,283 ÷ 109,160
Dec 31, 2021 0.46 = 48,704 ÷ 105,694
Dec 31, 2020 0.52 = 47,994 ÷ 91,588
Dec 31, 2019 0.55 = 46,840 ÷ 84,397
Dec 31, 2018 0.51 = 42,294 ÷ 82,637
Dec 31, 2017 0.46 = 40,122 ÷ 87,872
Dec 31, 2016 0.42 = 39,807 ÷ 95,377
Dec 31, 2015 0.39 = 39,498 ÷ 101,779
Dec 31, 2014 0.43 = 42,237 ÷ 98,335
Dec 31, 2013 0.42 = 44,033 ÷ 105,645
Dec 31, 2012 0.45 = 47,267 ÷ 106,132
Dec 31, 2011 0.46 = 48,047 ÷ 105,128
Dec 31, 2010 0.43 = 45,987 ÷ 105,781
Dec 31, 2009 0.24 = 27,428 ÷ 112,090
Dec 31, 2008 0.51 = 23,850 ÷ 47,196
Dec 31, 2007 0.50 = 24,198 ÷ 48,351
Dec 31, 2006 0.51 = 22,636 ÷ 44,570
Dec 31, 2005 0.49 = 22,012 ÷ 44,846

Based on: 10-K (reporting date: 2024-12-31), 10-K (reporting date: 2023-12-31), 10-K (reporting date: 2022-12-31), 10-K (reporting date: 2021-12-31), 10-K (reporting date: 2020-12-31), 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 millions

Sales
The sales figures exhibit an overall increasing trend from 2005 to 2024, starting at approximately $22 billion and rising to over $64 billion. There is a notable spike in 2010, with sales jumping from around $27 billion in 2009 to nearly $46 billion in 2010. Following this surge, sales maintained a generally upward trajectory, albeit with some fluctuations, including a slight dip in 2013 and 2014 before recovering and continuing growth. The trend suggests consistent revenue expansion over the long term, with occasional periods of stabilization or minor decline.
Total Assets
Total assets show significant variability across the periods. Initially, assets increased modestly from about $45 billion in 2005 to $48 billion in 2007, then surged sharply to $112 billion in 2009. After this peak, assets gradually decreased and fluctuated between approximately $82 billion and $105 billion from 2012 through 2016, before rising again to reach about $117 billion in 2024. The large jump in 2009 and subsequent fluctuations may indicate major acquisitions, divestitures, or revaluations affecting the asset base. Despite these variations, the overall asset base after 2009 remains elevated compared to the earlier years.
Total Asset Turnover
The total asset turnover ratio, which measures sales generated per dollar of assets, begins at roughly 0.49 in 2005 and remains relatively stable around the 0.5 mark until 2008. In 2009, there is a sharp decline to 0.24, coinciding with the steep increase in total assets that year, likely reflecting the asset base growth outpacing sales. From 2010 onwards, the ratio recovers and fluctuates between 0.39 and 0.56, showing periods of improving efficiency in asset utilization. By 2024, the ratio is approximately 0.55, indicative of a stronger ability to generate sales from the asset base relative to 2009 levels.
Overall Analysis
The financial data demonstrates growth in sales and an expanded asset base over the analyzed period, accompanied by cyclical variations in the efficiency of asset utilization. The dramatic asset increase in 2009 followed by a drop in asset turnover suggests a strategic shift or a significant capital investment impacting the company's operations. Subsequent years show a gradual normalization and improvement in asset turnover, which, combined with rising sales, points to enhanced operational efficiency and growth. The data reflects a company that experienced transformative changes around 2009 and has since been focusing on leveraging its assets more effectively to support increasing sales.

Comparison to Competitors

Merck & Co. Inc., total asset turnover, long-term trends, comparison to competitors

Microsoft Excel
Merck & Co. Inc. AbbVie Inc. Amgen Inc. Bristol-Myers Squibb Co. Danaher Corp. Eli Lilly & Co. Gilead Sciences Inc. Johnson & Johnson Pfizer Inc. Regeneron Pharmaceuticals Inc. Thermo Fisher Scientific Inc. Vertex Pharmaceuticals Inc.
Dec 31, 2024 0.55 0.42 0.35 0.52 0.31 0.57 0.48 0.49 0.30 0.38 0.44 0.49
Dec 31, 2023 0.56 0.40 0.28 0.47 0.28 0.53 0.43 0.51 0.26 0.40 0.43 0.43
Dec 31, 2022 0.54 0.42 0.38 0.48 0.37 0.58 0.43 0.51 0.51 0.42 0.46 0.49
Dec 31, 2021 0.46 0.38 0.40 0.42 0.35 0.58 0.40 0.52 0.45 0.63 0.41 0.56
Dec 31, 2020 0.52 0.30 0.39 0.36 0.29 0.53 0.36 0.47 0.28 0.50 0.47 0.53
Dec 31, 2019 0.55 0.37 0.37 0.20 0.29 0.57 0.36 0.52 0.31 0.53 0.44 0.50
Dec 31, 2018 0.51 0.55 0.34 0.64 0.42 0.56 0.34 0.53 0.34 0.57 0.43 0.49
Dec 31, 2017 0.46 0.40 0.27 0.62 0.39 0.51 0.37 0.49 0.31 0.67 0.37 0.70
Dec 31, 2016 0.42 0.39 0.28 0.58 0.37 0.55 0.53 0.51 0.31 0.70 0.40 0.59
Dec 31, 2015 0.39 0.43 0.29 0.52 0.43 0.56 0.62 0.53 0.29 0.73 0.41 0.41
Dec 31, 2014 0.43 0.72 0.28 0.47 0.54 0.53 0.71 0.57 0.29 0.73 0.39 0.25
Dec 31, 2013 0.42 0.64 0.28 0.42 0.55 0.66 0.48 0.54 0.30 0.71 0.41 0.52
Dec 31, 2012 0.45 0.68 0.31 0.49 0.55 0.66 0.44 0.55 0.32 0.66 0.46 0.55
Dec 31, 2011 0.46 — 0.31 0.64 0.54 0.72 0.47 0.57 0.36 0.34 0.44 0.64
Dec 31, 2010 0.43 — 0.34 0.63 0.59 0.74 0.64 0.60 0.35 0.42 0.51 0.08
Dec 31, 2009 0.24 — 0.36 0.61 0.57 0.80 0.67 0.65 0.23 0.51 0.47 0.05
Dec 31, 2008 0.51 — 0.40 0.70 0.73 0.70 0.72 0.75 0.43 0.36 0.50 0.18
Dec 31, 2007 0.50 — 0.41 0.74 0.63 0.70 0.64 0.75 0.42 0.13 0.46 0.33
Dec 31, 2006 0.51 — 0.41 0.70 0.75 0.71 0.63 0.76 0.42 0.11 0.18 0.23
Dec 31, 2005 0.49 — 0.41 0.68 0.87 0.60 0.48 0.87 0.44 0.16 0.62 0.29

Based on: 10-K (reporting date: 2024-12-31), 10-K (reporting date: 2023-12-31), 10-K (reporting date: 2022-12-31), 10-K (reporting date: 2021-12-31), 10-K (reporting date: 2020-12-31), 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)

Merck & Co. Inc., total asset turnover, long-term trends, comparison to sector (pharmaceuticals, biotechnology & life sciences)

Microsoft Excel
Merck & Co. Inc. Pharmaceuticals, Biotechnology & Life Sciences
Dec 31, 2024 0.55 0.43
Dec 31, 2023 0.56 0.40
Dec 31, 2022 0.54 0.47
Dec 31, 2021 0.46 0.45
Dec 31, 2020 0.52 0.39
Dec 31, 2019 0.55 0.39
Dec 31, 2018 0.51 0.45
Dec 31, 2017 0.46 0.40
Dec 31, 2016 0.42 0.41
Dec 31, 2015 0.39 0.42
Dec 31, 2014 0.43 0.44
Dec 31, 2013 0.42 0.43
Dec 31, 2012 0.45 0.45
Dec 31, 2011 0.46 0.47
Dec 31, 2010 0.43 0.47
Dec 31, 2009 0.24 0.39
Dec 31, 2008 0.51 0.57
Dec 31, 2007 0.50 0.56
Dec 31, 2006 0.51 0.54
Dec 31, 2005 0.49 0.57

Based on: 10-K (reporting date: 2024-12-31), 10-K (reporting date: 2023-12-31), 10-K (reporting date: 2022-12-31), 10-K (reporting date: 2021-12-31), 10-K (reporting date: 2020-12-31), 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)

Merck & Co. Inc., total asset turnover, long-term trends, comparison to industry (health care)

Microsoft Excel
Merck & Co. Inc. Health Care
Dec 31, 2024 0.55 0.65
Dec 31, 2023 0.56 0.63
Dec 31, 2022 0.54 0.66
Dec 31, 2021 0.46 0.62
Dec 31, 2020 0.52 0.57
Dec 31, 2019 0.55 0.57
Dec 31, 2018 0.51 0.63
Dec 31, 2017 0.46 0.56
Dec 31, 2016 0.42 0.57
Dec 31, 2015 0.39 0.55
Dec 31, 2014 0.43 0.60
Dec 31, 2013 0.42 0.58
Dec 31, 2012 0.45 0.58
Dec 31, 2011 0.46 0.61
Dec 31, 2010 0.43 0.61
Dec 31, 2009 0.24 0.55
Dec 31, 2008 0.51 0.73
Dec 31, 2007 0.50 0.71
Dec 31, 2006 0.51 0.69
Dec 31, 2005 0.49 0.66

Based on: 10-K (reporting date: 2024-12-31), 10-K (reporting date: 2023-12-31), 10-K (reporting date: 2022-12-31), 10-K (reporting date: 2021-12-31), 10-K (reporting date: 2020-12-31), 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).