Vertex Pharmaceuticals Inc (VRTX)
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 | 72.27% | 71.89% | 72.84% | 74.11% | 75.08% | 76.41% | 76.53% | 76.78% | 76.58% | 76.49% | 76.72% | 76.21% | 76.05% | 76.56% | 75.95% | 75.67% | 75.49% | 75.20% | 73.72% | 72.27% |
| Operating profit margin | -2.12% | -2.56% | -3.39% | 41.43% | 39.09% | 40.40% | 41.99% | 44.24% | 48.60% | 48.11% | 49.29% | 37.28% | 37.10% | 37.50% | 34.25% | 47.58% | 46.46% | 44.85% | 39.07% | 34.45% |
| Pretax margin | 2.26% | 2.45% | 2.09% | 47.11% | 44.68% | 44.90% | 45.59% | 45.59% | 47.75% | 46.66% | 47.52% | 36.38% | 36.41% | 38.89% | 36.41% | 51.61% | 50.70% | 48.95% | 41.70% | 36.37% |
| Net profit margin | -4.88% | -4.53% | -4.76% | 39.72% | 36.92% | 36.16% | 35.63% | 35.65% | 37.48% | 37.93% | 38.60% | 31.13% | 31.23% | 30.79% | 30.08% | 43.46% | 44.11% | 45.34% | 38.91% | 31.72% |
Based on the provided data for Vertex Pharmaceuticals Inc, we can analyze the profitability ratios over multiple quarters.
1. Gross Profit Margin: The gross profit margin has generally been stable, ranging from a high of 76.78% in March 2023 to a low of 71.89% in September 2024. This ratio measures the profitability of Vertex's core business operations before accounting for other expenses.
2. Operating Profit Margin: The operating profit margin fluctuated significantly, with peaks around 49.29% in June 2022 and troughs at negative levels in June and September 2024. This ratio indicates the efficiency of Vertex's operations in generating profits from its core business activities.
3. Pretax Margin: The pretax margin also varied, with the highest value of 51.61% in March 2021 and the lowest values in June and September 2024 around 2.09% to 2.45%. This ratio shows the percentage of revenue that remains as profit before taxes are deducted.
4. Net Profit Margin: The net profit margin fluctuated as well, with the highest point at 45.34% in September 2020 and the lowest point at -4.88% in December 2024. This ratio reflects the percentage of revenue that translates into net income after all expenses, including taxes.
Overall, Vertex Pharmaceuticals Inc has shown varying levels of profitability over the quarters, with fluctuations in all profitability ratios. It is essential for the company to manage costs effectively and maintain a healthy balance between revenue generation and expenses to sustain and improve profitability in the long term.
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) | -1.03% | -1.22% | -1.73% | 17.53% | 16.86% | 17.84% | 19.49% | 21.32% | 23.73% | 24.85% | 26.18% | 20.59% | 20.71% | 21.00% | 18.56% | 24.96% | 24.31% | 23.55% | 20.45% | 18.45% |
| Return on assets (ROA) | -2.38% | -2.16% | -2.43% | 16.81% | 15.92% | 15.97% | 16.54% | 17.18% | 18.30% | 19.59% | 20.50% | 17.19% | 17.44% | 17.25% | 16.30% | 22.80% | 23.07% | 23.81% | 20.37% | 16.99% |
| Return on total capital | -1.42% | -1.73% | -2.36% | 22.61% | 21.80% | 23.48% | 25.63% | 28.03% | 30.96% | 31.86% | 34.18% | 26.91% | 27.55% | 29.48% | 27.34% | 37.76% | 36.55% | 36.41% | 30.41% | 27.70% |
| Return on equity (ROE) | -3.26% | -3.07% | -3.32% | 21.67% | 20.59% | 21.01% | 21.75% | 22.59% | 23.88% | 25.12% | 26.77% | 22.47% | 23.19% | 22.83% | 21.66% | 30.76% | 31.22% | 33.08% | 27.67% | 23.38% |
Vertex Pharmaceuticals Inc has displayed consistent profitability over the analyzed periods based on several key ratios.
1. Operating Return on Assets (Operating ROA): This ratio measures the company's operating profit generated for each dollar of assets. Vertex Pharmaceuticals Inc's Operating ROA ranged from 16.86% to 26.18% from December 31, 2024, to June 30, 2022. It peaked at 26.18% on June 30, 2022, showcasing strong operational efficiency.
2. Return on Assets (ROA): ROA indicates how effectively the company is generating profit from its assets. Vertex Pharmaceuticals Inc's ROA varied from -2.43% to 23.81% from September 30, 2024, to September 30, 2020. Despite some periods of negative ROA, the company generally maintained positive returns, with the highest at 23.81% on September 30, 2020.
3. Return on Total Capital: This ratio evaluates the overall return generated on all capital invested in the company. Vertex Pharmaceuticals Inc's Return on Total Capital fluctuated between -2.36% and 37.76% from June 30, 2024, to March 31, 2021. The company hit its highest point at 37.76% on March 31, 2021, indicating efficient capital utilization.
4. Return on Equity (ROE): ROE measures the return earned on shareholders' equity. Vertex Pharmaceuticals Inc's ROE ranged from -3.32% to 33.08% from June 30, 2024, to September 30, 2020. The company's best performance was seen on September 30, 2020, with an ROE of 33.08%, reflecting strong profitability relative to shareholders' investments.
Overall, Vertex Pharmaceuticals Inc has demonstrated solid profitability performance across the analyzed periods, with varying levels of returns in different categories.
See also:
Vertex Pharmaceuticals Inc Profitability Ratios (Quarterly Data)