Merck (MRK) FY2020 results: revenue $41.5 billion, up 6.1% on the year
Merck & Co., Inc. (MRK) reported revenue of $41.5 billion for fiscal 2020, the year ended 31 December 2020, up 6.1% on the year before. Net income was $7.1 billion, down 28.2%, and diluted earnings per share $2.78. The figures are the company's own, from the 10-K it filed with the SEC on 25 February 2021.
Revenue
$41.5 billion
+6.1% on the year
FY2013FY2020
Operating margin
n/a
FY2013FY2020
Net income
$7.1 billion
-28.2% on the year
FY2013FY2020
Diluted EPS
$2.78
-27.0% on the year
FY2013FY2020
this yearthe year beforeHover a bar for its figure.
The year in brief
Income statement (profit and loss)
$ million
FY2020
FY2019
FY2018
On the year
Last 8 years
Revenue
41,518
39,121
42,294
+6.1%
Cost of revenue
13,618
12,016
13,509
+13.3%
Gross profit
27,900
27,105
28,785
+2.9%
Gross margin
67.2%
69.3%
68.1%
Research and development
13,397
9,724
9,752
+37.8%
Selling, general and administrative
8,955
9,455
10,102
-5.3%
Interest expense
831
893
772
-6.9%
Pre-tax income
5,863
7,171
8,701
-18.2%
Income tax
1,340
1,565
2,508
-14.4%
Effective tax rate
22.9%
21.8%
28.8%
Net income
7,067
9,843
6,220
-28.2%
Net margin
17.0%
25.2%
14.7%
Diluted EPS
$2.78
$3.81
$2.32
-27.0%
$ million except per share. Read moreFree cash flow is operating cash flow less capital expenditure; the effective tax rate is income tax over pre-tax income; margins are the line over revenue. Gross profit is revenue less cost of revenue, and operating income is revenue less the company's own total costs, where the statement does not print those lines. Those four are arithmetic on the filed numbers; everything else is as filed. Money is in $ million as the company files it, or in $ billion by the switch above the tables; per share figures and share counts are as they are.
Cash flow
$ million
FY2020
FY2019
FY2018
On the year
Last 8 years
Operating cash flow
10,253
13,440
10,922
-23.7%
Capital expenditure
4,429
3,369
2,615
+31.5%
Free cash flow
5,824
10,071
8,307
-42.2%
Free cash flow margin
14.0%
25.7%
19.6%
Cash from investing
-9,443
-2,629
4,314
Cash from financing
-2,832
-8,861
-13,160
Depreciation and amortisation
3,469
3,652
4,519
-5.0%
Share-based compensation
441
388
348
+13.7%
Buybacks
1,281
4,780
9,091
-73.2%
Dividends paid
6,215
5,695
5,172
+9.1%
Dividend per share
$2.48
$2.26
$1.99
+9.7%
Diluted shares, weighted
2,541m
2,580m
2,679m
-1.5%
Balance sheet
$ million
FY2020
FY2019
FY2018
On the year
Last 8 years
Shareholders' equity
25,317
25,907
26,701
-2.3%
Non-controlling interest
87.0
94.0
181
-7.4%
Debt
31,800
26,300
25,100
+20.9%
Operating lease liabilities
1,335
768
n/a
+73.8%
Other liabilities
33,049
31,328
30,655
+5.5%
Total liabilities and equity
91,588
84,397
82,637
+8.5%
Fixed assets
17,000
14,297
13,291
+18.9%
Goodwill
18,882
18,069
18,253
+4.5%
Intangible assets
14,101
14,196
13,104
-0.7%
Investments
785
2,243
7,132
-65.0%
Cash and equivalents
8,062
9,676
7,965
-16.7%
Receivables
6,803
6,778
7,071
+0.4%
Inventory
5,554
5,978
5,440
-7.1%
Other assets
20,401
13,160
10,381
+55.0%
Total assets
91,588
84,397
82,637
+8.5%
10-K for the year ended 31 December 2020, filed 25 February 2021: the filing.