MRK FY 2015 Earnings Report — Merck & Co., Inc. Revenue & Financial Results | Market Cap Arena

Merck & Co., Inc.MRK

FY 2015 Earnings

Reported February 26, 2016

Quarter Comparison

Revenue

Operating Income

Gross Margin

Net Margin

EPS (Diluted)

Free Cash Flow

Metric	FY 2015	Prior Q	FY 2014	QoQ Change	YoY Change
Revenue	$39.5B	—	$42.2B	—	-6.5%
Op. Income	$7.5B	—	$6.7B	—	12.9%
Gross Margin	62.2%	—	60.3%	—	1.9pp
Net Margin	11.2%	—	28.2%	—	-17.0pp
EPS (Diluted)	$1.56	—	$4.07	—	-61.7%
Free Cash Flow	$11.3B	—	$6.5B	—	72.0%

Revenue Flow

Item	Amount
REVENUE	$39.5B
Cost of Revenue	$14.9B
GROSS PROFIT	$24.6B
R&D Expenses	$6.7B
Selling & Marketing	$10.3B
General & Administrative	$0
SG&A Expenses	$10.3B
Other Expenses	$0
Operating Expenses	$17.0B
Cost & Expenses	$32.0B
OPERATING INCOME	$7.5B
Interest Income	$289M
Interest Expense	$672M
Other Income/Expenses	-$2.1B
INCOME BEFORE TAX	$5.4B
Income Tax Expense	$942M
Net Income from Continuing Ops	$4.5B
Net Income from Discontinued Ops	$0
Other Adjustments	$0
NET INCOME	$4.4B
Net Income Deductions	$0
BOTTOM LINE NET INCOME	$4.4B
D&A	$6.4B
EBIT	$6.1B
EBITDA	$12.4B
EPS	$2
EPS Diluted	$2

Income Statement

Item	Amount
REVENUE	$39.5B
Cost of Revenue	$14.9B
GROSS PROFIT	$24.6B
R&D Expenses	$6.7B
Selling & Marketing	$10.3B
General & Administrative	$0
SG&A Expenses	$10.3B
Other Expenses	$0
Operating Expenses	$17.0B
Cost & Expenses	$32.0B
OPERATING INCOME	$7.5B
Interest Income	$289M
Interest Expense	$672M
Other Income/Expenses	-$2.1B
INCOME BEFORE TAX	$5.4B
Income Tax Expense	$942M
Net Income from Continuing Ops	$4.5B
Net Income from Discontinued Ops	$0
Other Adjustments	$0
NET INCOME	$4.4B
Net Income Deductions	$0
BOTTOM LINE NET INCOME	$4.4B
D&A	$6.4B
EBIT	$6.1B
EBITDA	$12.4B
EPS	$2
EPS Diluted	$2

Cash Flow Statement

Item	Amount
Net Income	$4.5B
Depreciation & Amortization	$6.4B
Stock-Based Compensation	$299M
Deferred Income Tax	-$764M
Other Non-Cash Items	$2.3B
Change in Working Capital	-$268M
OPERATING CASH FLOW	$12.4B
Capital Expenditure	-$1.3B
Acquisitions (Net)	-$7.4B
Purchases of Investments	-$16.7B
Sales/Maturities of Investments	$20.4B
Other Investing Activities	$221M
NET CASH FROM INVESTING	-$4.8B
Net Debt Issuance	$3.5B
Common Stock Repurchased	-$4.2B
Common Dividends Paid	-$5.1B
Other Financing Activities	$424M
NET CASH FROM FINANCING	-$5.4B
FREE CASH FLOW	$11.3B
Net Change in Cash	$1.1B

Balance Sheet

Item	Amount
Cash & Equivalents	$8.5B
Short-Term Investments	$4.9B
Net Receivables	$6.5B
Inventory	$4.7B
Other Current Assets	$5.1B
TOTAL CURRENT ASSETS	$29.8B
PP&E (Net)	$12.5B
Goodwill	$17.7B
Intangible Assets	$22.6B
Long-Term Investments	$13.0B
Tax Assets	$0
Other Non-Current Assets	$6.1B
TOTAL NON-CURRENT ASSETS	$71.9B
TOTAL ASSETS	$101.7B
Account Payables	$2.5B
Short-Term Debt	$2.6B
Deferred Revenue	$0
Other Current Liabilities	$0
TOTAL CURRENT LIABILITIES	$19.2B
Long-Term Debt	$23.8B
Deferred Revenue NC	$0
Deferred Tax Liabilities	$6.5B
Other Non-Current Liabilities	$7.3B
TOTAL NON-CURRENT LIABILITIES	$37.7B
TOTAL LIABILITIES	$56.9B
Common Stock	$1.8B
Additional Paid-In Capital	$40.2B
Retained Earnings	$45.3B
Treasury Stock	-$38.5B
Accum. Other Comp. Income	-$4.1B
Other Equity	$0
TOTAL STOCKHOLDERS' EQUITY	$44.7B
Minority Interest	$91M
TOTAL EQUITY	$44.8B
TOTAL LIABILITIES & EQUITY	$101.7B
Total Debt	$26.4B
Net Debt	$17.9B