Vertex Pharmaceuticals (VRTX) FY2019 results: revenue $4.2 billion, up 36.6% on the year
Vertex Pharmaceuticals Inc. (VRTX) reported revenue of $4.2 billion for fiscal 2019, the year ended 31 December 2019, up 36.6% on the year before. Net income was $1.2 billion, down 43.9%, and diluted earnings per share $4.51. The figures are the company's own, from the 10-K it filed with the SEC on 13 February 2020.
Revenue
$4.2 billion
+36.6% on the year
FY2012FY2019
Operating margin
28.8%
20.8% a year earlier
FY2012FY2019
Net income
$1.2 billion
-43.9% on the year
FY2012FY2019
Diluted EPS
$4.51
-44.3% on the year
FY2012FY2019
this yearthe year beforeHover a bar for its figure.
The year in brief
Income statement (profit and loss)
$ million
FY2019
FY2018
FY2017
On the year
Last 8 years
Revenue
4,163
3,048
2,489
+36.6%
Cost of revenue
548
410
275
+33.7%
Gross profit
3,615
2,638
2,214
+37.0%
Gross margin
86.8%
86.6%
88.9%
Research and development
1,755
1,416
1,325
+23.9%
Selling, general and administrative
658
558
496
+18.1%
Operating income
1,198
635
123
+88.5%
Operating margin
28.8%
20.8%
5.0%
Interest expense
58.5
72.5
69.3
-19.3%
Pre-tax income
1,395
600
-15.7
+132.4%
Income tax
218
-1,487
-107
Effective tax rate
15.6%
-247.7%
n/a
Net income
1,177
2,097
263
-43.9%
Net margin
28.3%
68.8%
10.6%
Diluted EPS
$4.51
$8.09
$1.04
-44.3%
$ 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
FY2019
FY2018
FY2017
On the year
Last 8 years
Operating cash flow
1,569
1,270
845
+23.5%
Capital expenditure
75.5
95.5
99.4
-21.0%
Free cash flow
1,494
1,175
746
+27.2%
Free cash flow margin
35.9%
38.5%
30.0%
Cash from investing
-1,235
-202
-483
Cash from financing
127
-71.2
68.4
Depreciation and amortisation
107
72.4
61.4
+47.7%
Share-based compensation
360
325
293
+10.9%
Buybacks
186
350
0.0
-46.9%
Diluted shares, weighted
261m
259m
253m
+0.6%
Shares outstanding at period end
259m
255m
253m
+1.5%
Balance sheet
$ million
FY2019
FY2018
FY2017
On the year
Last 8 years
Shareholders' equity
6,085
4,435
2,029
+37.2%
Non-controlling interest
n/a
0.0
13.7
Debt
0.0
n/a
0.0
Operating lease liabilities
84.3
n/a
n/a
Finance lease liabilities
539
n/a
n/a
Other liabilities
1,610
1,811
1,504
-11.1%
Total liabilities and equity
8,318
6,246
3,546
+33.2%
Fixed assets
745
812
789
-8.2%
Goodwill
1,002
50.4
50.4
+1,889.0%
Intangible assets
400
0.0
n/a
Investments
699
518
423
+34.9%
Cash and equivalents
3,109
2,650
1,665
+17.3%
Receivables
634
410
281
+54.6%
Inventory
168
124
112
+34.7%
Other assets
1,562
1,681
224
-7.1%
Total assets
8,318
6,246
3,546
+33.2%
10-K for the year ended 31 December 2019, filed 13 February 2020: the filing.