Biogen Inc (BIIB)
Profitability ratios
Return on sales
| Dec 31, 2024 | Sep 30, 2024 | Jun 30, 2024 | Mar 31, 2024 | 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 | |
|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|
| Gross profit margin | 46.97% | 47.52% | 44.88% | 44.11% | 43.65% | 45.63% | 50.28% | 51.41% | 50.27% | 42.76% | 43.11% | 44.37% | 48.41% | 65.53% | 73.41% | 80.77% | 86.57% | 87.65% | 87.97% | 87.47% |
| Operating profit margin | -2.36% | -0.71% | -10.77% | -11.31% | -11.98% | -13.67% | -0.84% | -4.96% | 1.76% | 13.56% | 17.03% | 22.90% | 25.87% | 17.32% | 18.94% | 29.39% | 33.84% | 46.68% | 50.93% | 51.03% |
| Pretax margin | 19.70% | 19.85% | 13.59% | 13.69% | 13.18% | 16.10% | 31.30% | 36.51% | 36.17% | 37.50% | 26.51% | 14.64% | 14.65% | 10.52% | 15.45% | 29.80% | 37.14% | 44.43% | 49.37% | 47.89% |
| Net profit margin | 16.87% | 16.81% | 11.98% | 12.07% | 11.81% | 14.63% | 26.72% | 30.99% | 29.95% | 27.64% | 19.37% | 13.40% | 14.17% | 13.93% | 16.40% | 23.89% | 29.76% | 35.63% | 40.91% | 40.76% |
Biogen Inc's profitability ratios have experienced fluctuating trends over the periods analyzed. The gross profit margin declined from 87.47% in March 2020 to 46.97% by December 2024, showing a decreasing trend, which may indicate challenges in controlling direct costs.
The operating profit margin also exhibited a downward trend, decreasing from 51.03% in March 2020 to -2.36% in December 2024. This indicates a decline in the efficiency of the company's core operations in generating profits over the years.
The pretax margin followed a more varied pattern, initially decreasing from 47.89% in March 2020 to 10.52% in September 2021, before showing some recovery and stability around 19-20% in the later periods. This suggests that although the company faced profitability challenges, there were efforts to improve performance.
The net profit margin showed a similar fluctuating trend, declining from 40.76% in March 2020 to 16.87% in December 2024. This signifies that after accounting for all expenses, the net profit generated by Biogen Inc relative to its revenue has decreased over time.
Overall, the declining trends in the profitability ratios of Biogen Inc indicate challenges in maintaining profitability, possibly due to increasing costs, operational inefficiencies, or changes in the business environment. Management may need to focus on cost control measures, operational improvements, and strategic initiatives to enhance profitability in the future.
Return on investment
| Dec 31, 2024 | Sep 30, 2024 | Jun 30, 2024 | Mar 31, 2024 | 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 | |
|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|
| Operating return on assets (Operating ROA) | -0.81% | -0.24% | -3.88% | -4.12% | -4.39% | -4.85% | -0.33% | -2.04% | 0.73% | 5.65% | 7.22% | 10.49% | 11.90% | 8.08% | 9.05% | 15.53% | 18.48% | 26.70% | 28.92% | 28.18% |
| Return on assets (ROA) | 5.82% | 5.70% | 4.32% | 4.39% | 4.33% | 5.18% | 10.59% | 12.73% | 12.41% | 11.53% | 8.21% | 6.14% | 6.52% | 6.49% | 7.84% | 12.63% | 16.25% | 20.38% | 23.23% | 22.51% |
| Return on total capital | 10.14% | 13.26% | 9.95% | 10.36% | 7.15% | 12.70% | 23.13% | 28.50% | 19.67% | 32.44% | 25.97% | 16.35% | 10.09% | 13.54% | 18.98% | 37.44% | 28.66% | 60.88% | 65.03% | 56.51% |
| Return on equity (ROE) | 9.76% | 9.87% | 7.29% | 7.67% | 7.85% | 10.09% | 18.42% | 22.69% | 22.74% | 22.42% | 17.34% | 12.90% | 14.28% | 14.82% | 17.84% | 28.19% | 37.39% | 47.24% | 52.41% | 46.85% |
Biogen Inc's profitability ratios have shown fluctuations over the past few quarters.
1. Operating return on assets (Operating ROA) has been decreasing consistently from 28.18% in March 2020 to -0.81% in December 2024. This suggests that the company's operating profits generated from its assets have been declining over time.
2. Return on assets (ROA) also followed a downward trend, dropping from 22.51% in March 2020 to 5.82% in December 2024. This indicates that the company's overall profitability in relation to its total assets has been decreasing.
3. Return on total capital peaked at 65.03% in June 2020 but has since been fluctuating. It ranged from 7.15% in December 2023 to 32.44% in September 2022. This ratio reflects the company's efficiency in generating returns for both equity and debt holders.
4. Return on equity (ROE) experienced a decline from 46.85% in March 2020 to 9.76% in December 2024. This ratio signifies the return generated for the shareholders on their invested capital.
Overall, the declining trend in profitability ratios indicates potential challenges for Biogen Inc in terms of generating profits from its assets and equity. Investors and stakeholders may need to closely monitor the company's financial performance and strategies to improve profitability in the future.