Stock Analysis on Net
Stock Analysis on Net

Biogen Inc. (NASDAQ:BIIB)

This company has been moved to the archive! The financial data has not been updated since October 25, 2022.

Analysis of Operating Leases

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An operating lease is treated like a rental contract. Neither the leased asset nor the associated liability is reported on the lessee balance sheet, but the rights may be very similar to the rights of an owner. The lessee only records the lease payments as a rental expense in income statement.

Adjustments to Financial Statements for Operating Leases

Biogen Inc., adjustments to financial statements

US$ in thousands

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Dec 31, 2021 Dec 31, 2020 Dec 31, 2019 Dec 31, 2018 Dec 31, 2017
Adjustment to Total Assets
Total assets (as reported) 23,877,300 24,618,900 27,234,300 25,288,900 23,652,600
Add: Operating lease right-of-use asset (before adoption of FASB Topic 842)1 — — — 508,135 508,429
Total assets (adjusted) 23,877,300 24,618,900 27,234,300 25,797,035 24,161,029
Adjustment to Total Debt
Total debt (as reported) 7,273,100 7,426,200 5,954,800 5,936,500 5,938,200
Add: Operating lease liability (before adoption of FASB Topic 842)2 — — — 508,135 508,429
Add: Current operating lease liabilities (included in Accrued expenses and other) 89,100 83,200 73,600 — —
Add: Long-term operating lease liabilities 330,400 402,000 412,700 — —
Total debt (adjusted) 7,692,600 7,911,400 6,441,100 6,444,635 6,446,629

Based on: 10-K (reporting date: 2021-12-31), 10-K (reporting date: 2020-12-31), 10-K (reporting date: 2019-12-31), 10-K (reporting date: 2018-12-31), 10-K (reporting date: 2017-12-31).

1, 2 Equal to total present value of future operating lease payments.

Biogen Inc., Financial Data: Reported vs. Adjusted

Adjusted Financial Ratios for Operating Leases (Summary)

Biogen Inc., adjusted financial ratios

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Dec 31, 2021 Dec 31, 2020 Dec 31, 2019 Dec 31, 2018 Dec 31, 2017
Total Asset Turnover1
Reported total asset turnover 0.46 0.55 0.53 0.53 0.52
Adjusted total asset turnover 0.46 0.55 0.53 0.52 0.51
Debt to Equity2
Reported debt to equity 0.67 0.69 0.45 0.46 0.47
Adjusted debt to equity 0.71 0.74 0.48 0.49 0.51
Return on Assets3 (ROA)
Reported ROA 6.52% 16.25% 21.62% 17.52% 10.73%
Adjusted ROA 6.52% 16.25% 21.62% 17.18% 10.51%

Based on: 10-K (reporting date: 2021-12-31), 10-K (reporting date: 2020-12-31), 10-K (reporting date: 2019-12-31), 10-K (reporting date: 2018-12-31), 10-K (reporting date: 2017-12-31).

1 See details »

2 See details »

3 See details »

Financial ratio Description The company
Adjusted total asset turnover An activity ratio calculated as total revenue divided by adjusted total assets. Biogen Inc. adjusted total asset turnover ratio improved from 2019 to 2020 but then deteriorated significantly from 2020 to 2021.
Adjusted debt to equity A solvency ratio calculated as adjusted total debt divided by total shareholders’ equity. Biogen Inc. adjusted debt to equity ratio deteriorated from 2019 to 2020 but then slightly improved from 2020 to 2021.
Adjusted ROA A profitability ratio calculated as net income divided by adjusted total assets. Biogen Inc. adjusted ROA deteriorated from 2019 to 2020 and from 2020 to 2021.

Biogen Inc., Financial Ratios: Reported vs. Adjusted

Adjusted Total Asset Turnover

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Dec 31, 2021 Dec 31, 2020 Dec 31, 2019 Dec 31, 2018 Dec 31, 2017
As Reported
Selected Financial Data (US$ in thousands)
Revenue 10,981,700 13,444,600 14,377,900 13,452,900 12,273,900
Total assets 23,877,300 24,618,900 27,234,300 25,288,900 23,652,600
Activity Ratio
Total asset turnover1 0.46 0.55 0.53 0.53 0.52
Adjusted for Operating Leases
Selected Financial Data (US$ in thousands)
Revenue 10,981,700 13,444,600 14,377,900 13,452,900 12,273,900
Adjusted total assets 23,877,300 24,618,900 27,234,300 25,797,035 24,161,029
Activity Ratio
Adjusted total asset turnover2 0.46 0.55 0.53 0.52 0.51

Based on: 10-K (reporting date: 2021-12-31), 10-K (reporting date: 2020-12-31), 10-K (reporting date: 2019-12-31), 10-K (reporting date: 2018-12-31), 10-K (reporting date: 2017-12-31).

2021 Calculations

1 Total asset turnover = Revenue ÷ Total assets
= 10,981,700 ÷ 23,877,300 = 0.46

2 Adjusted total asset turnover = Revenue ÷ Adjusted total assets
= 10,981,700 ÷ 23,877,300 = 0.46

Activity ratio Description The company
Adjusted total asset turnover An activity ratio calculated as total revenue divided by adjusted total assets. Biogen Inc. adjusted total asset turnover ratio improved from 2019 to 2020 but then deteriorated significantly from 2020 to 2021.

Adjusted Debt to Equity

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Dec 31, 2021 Dec 31, 2020 Dec 31, 2019 Dec 31, 2018 Dec 31, 2017
As Reported
Selected Financial Data (US$ in thousands)
Total debt 7,273,100 7,426,200 5,954,800 5,936,500 5,938,200
Total Biogen Inc. shareholders’ equity 10,896,200 10,700,300 13,343,200 13,039,600 12,612,800
Solvency Ratio
Debt to equity1 0.67 0.69 0.45 0.46 0.47
Adjusted for Operating Leases
Selected Financial Data (US$ in thousands)
Adjusted total debt 7,692,600 7,911,400 6,441,100 6,444,635 6,446,629
Total Biogen Inc. shareholders’ equity 10,896,200 10,700,300 13,343,200 13,039,600 12,612,800
Solvency Ratio
Adjusted debt to equity2 0.71 0.74 0.48 0.49 0.51

Based on: 10-K (reporting date: 2021-12-31), 10-K (reporting date: 2020-12-31), 10-K (reporting date: 2019-12-31), 10-K (reporting date: 2018-12-31), 10-K (reporting date: 2017-12-31).

2021 Calculations

1 Debt to equity = Total debt ÷ Total Biogen Inc. shareholders’ equity
= 7,273,100 ÷ 10,896,200 = 0.67

2 Adjusted debt to equity = Adjusted total debt ÷ Total Biogen Inc. shareholders’ equity
= 7,692,600 ÷ 10,896,200 = 0.71

Solvency ratio Description The company
Adjusted debt-to-equity A solvency ratio calculated as adjusted total debt divided by total shareholders’ equity. Biogen Inc. adjusted debt-to-equity ratio deteriorated from 2019 to 2020 but then slightly improved from 2020 to 2021.

Adjusted Return on Assets (ROA)

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Dec 31, 2021 Dec 31, 2020 Dec 31, 2019 Dec 31, 2018 Dec 31, 2017
As Reported
Selected Financial Data (US$ in thousands)
Net income attributable to Biogen Inc. 1,556,100 4,000,600 5,888,500 4,430,700 2,539,100
Total assets 23,877,300 24,618,900 27,234,300 25,288,900 23,652,600
Profitability Ratio
ROA1 6.52% 16.25% 21.62% 17.52% 10.73%
Adjusted for Operating Leases
Selected Financial Data (US$ in thousands)
Net income attributable to Biogen Inc. 1,556,100 4,000,600 5,888,500 4,430,700 2,539,100
Adjusted total assets 23,877,300 24,618,900 27,234,300 25,797,035 24,161,029
Profitability Ratio
Adjusted ROA2 6.52% 16.25% 21.62% 17.18% 10.51%

Based on: 10-K (reporting date: 2021-12-31), 10-K (reporting date: 2020-12-31), 10-K (reporting date: 2019-12-31), 10-K (reporting date: 2018-12-31), 10-K (reporting date: 2017-12-31).

2021 Calculations

1 ROA = 100 × Net income attributable to Biogen Inc. ÷ Total assets
= 100 × 1,556,100 ÷ 23,877,300 = 6.52%

2 Adjusted ROA = 100 × Net income attributable to Biogen Inc. ÷ Adjusted total assets
= 100 × 1,556,100 ÷ 23,877,300 = 6.52%

Profitability ratio Description The company
Adjusted ROA A profitability ratio calculated as net income divided by adjusted total assets. Biogen Inc. adjusted ROA deteriorated from 2019 to 2020 and from 2020 to 2021.