Amgen Inc (AMGN)
Profitability ratios
Return on sales
| Dec 31, 2023 | Sep 30, 2023 | Jun 30, 2023 | Mar 31, 2023 | Dec 31, 2022 | Sep 30, 2022 | Jun 30, 2022 | Mar 31, 2022 | Dec 31, 2021 | Sep 30, 2021 | Jun 30, 2021 | Mar 31, 2021 | Dec 31, 2020 | Sep 30, 2020 | Jun 30, 2020 | Mar 31, 2020 | Dec 31, 2019 | Sep 30, 2019 | Jun 30, 2019 | Mar 31, 2019 | |
|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|
| Gross profit margin | 31.10% | 38.15% | 40.33% | 42.11% | 44.26% | 72.14% | 72.06% | 71.80% | 71.83% | 50.83% | 57.43% | 64.39% | 71.12% | 71.93% | 73.48% | 75.10% | 76.40% | 77.47% | 77.12% | 76.90% |
| Operating profit margin | 30.40% | 48.06% | 51.43% | 48.89% | 51.29% | 18.87% | 18.30% | 15.58% | 14.87% | 28.83% | 29.11% | 35.42% | 35.95% | 36.74% | 37.87% | 39.88% | 41.41% | 42.78% | 41.83% | 42.14% |
| Pretax margin | 30.24% | 47.49% | 49.81% | 49.58% | 39.39% | 15.13% | 14.65% | 12.68% | 13.05% | 25.31% | 25.50% | 31.67% | 31.99% | 32.97% | 34.20% | 36.90% | 39.11% | 39.92% | 38.86% | 38.91% |
| Net profit margin | 25.86% | 41.06% | 43.22% | 43.07% | 35.13% | 13.38% | 12.86% | 11.13% | 11.47% | 22.02% | 22.55% | 28.16% | 28.57% | 29.42% | 30.04% | 32.02% | 33.57% | 34.48% | 33.77% | 34.00% |
AMGEN Inc. has demonstrated consistent profitability over the past eight quarters as evidenced by its gross profit margin, operating profit margin, pretax margin, and net profit margin figures.
The gross profit margin, a measure of the company's ability to generate profit from its revenue after accounting for the cost of goods sold, has remained relatively stable around the mid-70% range, indicating efficient cost management and pricing strategies.
The operating profit margin, which reflects the company's profitability from its core operations, has shown a slight decline from 36.34% in Q4 2022 to 28.01% in Q4 2023. This may suggest increased operating expenses or other factors impacting profitability at the operating level.
The pretax margin, which measures how effectively the company generates profit before accounting for taxes, has fluctuated within a narrower range compared to the operating profit margin. Notably, the figures have shown a general upward trend from Q1 2022 to Q3 2023, indicating improved operational efficiency.
The net profit margin, representing the company's bottom-line profitability after all expenses have been deducted, has similarly demonstrated a positive trend over the analyzed quarters. The increase from 21.75% in Q1 2022 to 30.02% in Q2 2023 showcases AMGEN Inc.'s ability to effectively manage costs and generate higher net income relative to its revenue.
Overall, AMGEN Inc.'s profitability ratios suggest a solid financial performance with consistent margins, although some fluctuations in profitability at the operating level should be monitored for further analysis.
Return on investment
| Dec 31, 2023 | Sep 30, 2023 | Jun 30, 2023 | Mar 31, 2023 | Dec 31, 2022 | Sep 30, 2022 | Jun 30, 2022 | Mar 31, 2022 | Dec 31, 2021 | Sep 30, 2021 | Jun 30, 2021 | Mar 31, 2021 | Dec 31, 2020 | Sep 30, 2020 | Jun 30, 2020 | Mar 31, 2020 | Dec 31, 2019 | Sep 30, 2019 | Jun 30, 2019 | Mar 31, 2019 | |
|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|
| Operating return on assets (Operating ROA) | 8.13% | 9.78% | 10.52% | 10.13% | 14.69% | 15.13% | 15.78% | 13.53% | 12.49% | 11.30% | 12.41% | 14.25% | 14.52% | 14.20% | 14.15% | 15.50% | 16.20% | 16.81% | 16.60% | 15.64% |
| Return on assets (ROA) | 6.91% | 8.36% | 8.84% | 8.92% | 10.06% | 10.73% | 11.09% | 9.67% | 9.63% | 8.63% | 9.61% | 11.33% | 11.54% | 11.37% | 11.23% | 12.45% | 13.13% | 13.55% | 13.40% | 12.62% |
| Return on total capital | 11.38% | 13.28% | 14.35% | 13.59% | 23.32% | 23.62% | 24.55% | 21.69% | 19.13% | 17.69% | 20.21% | 22.03% | 21.60% | 20.33% | 20.54% | 24.20% | 26.42% | 25.88% | 25.54% | 24.93% |
| Return on equity (ROE) | 107.78% | 98.82% | 117.67% | 148.04% | 178.97% | 187.11% | 271.85% | 624.78% | 87.96% | 68.26% | 69.67% | 75.91% | 77.20% | 67.09% | 68.48% | 80.92% | 81.07% | 73.83% | 73.73% | 74.55% |
AMGEN Inc.'s profitability ratios show a fluctuating trend over the past eight quarters.
1. Operating return on assets (Operating ROA) has generally decreased from 16.68% in Q2 2022 to 8.13% in Q4 2023. This ratio indicates the efficiency of the company in generating operating income from its total assets.
2. Return on assets (ROA) has also experienced a decline, from 11.09% in Q2 2022 to 6.91% in Q4 2023. ROA measures the overall profitability of the company relative to its total assets.
3. Return on total capital has shown variations, with a decrease from 24.03% in Q2 2022 to 11.15% in Q4 2023. This ratio reflects the return generated by the company's total capital, including debt and equity.
4. Return on equity (ROE) has been fluctuating significantly, with a peak at 624.78% in Q1 2022 and a decline to 107.78% in Q4 2023. ROE demonstrates the profitability of the company from the perspective of its equity shareholders.
Overall, AMGEN Inc. has shown some inconsistencies in its profitability performance over the past quarters, suggesting changes in the company's efficiency in utilizing its assets and capital to generate profits for its shareholders. Further analysis may be needed to understand the underlying reasons for these fluctuations and to assess the company's long-term profitability prospects.