Analysis of Profitability Ratios
Profitability ratios measure the company ability to generate profitable sales from its resources (assets).
Profitability Ratios (Summary)
Illumina Inc., profitability ratios
Based on: 10-K (reporting date: 2020-12-31), 10-K (reporting date: 2019-12-29), 10-K (reporting date: 2018-12-30), 10-K (reporting date: 2017-12-31), 10-K (reporting date: 2016-12-31).
| Profitability ratio | Description | The company |
|---|---|---|
| Gross profit margin | Gross profit margin indicates the percentage of revenue available to cover operating and other expenditures. | Illumina Inc. gross profit margin ratio improved from 2018 to 2019 but then deteriorated significantly from 2019 to 2020. |
| Operating profit margin | A profitability ratio calculated as operating income divided by revenue. | Illumina Inc. operating profit margin ratio improved from 2018 to 2019 but then deteriorated significantly from 2019 to 2020. |
| Net profit margin | An indicator of profitability, calculated as net income divided by revenue. | Illumina Inc. net profit margin ratio improved from 2018 to 2019 but then deteriorated significantly from 2019 to 2020. |
| Profitability ratio | Description | The company |
|---|---|---|
| ROE | A profitability ratio calculated as net income divided by shareholders’ equity. | Illumina Inc. ROE deteriorated from 2018 to 2019 and from 2019 to 2020. |
| ROA | A profitability ratio calculated as net income divided by total assets. | Illumina Inc. ROA improved from 2018 to 2019 but then deteriorated significantly from 2019 to 2020. |
Gross Profit Margin
Illumina Inc., gross profit margin calculation, comparison to benchmarks
| Dec 31, 2020 | Dec 29, 2019 | Dec 30, 2018 | Dec 31, 2017 | Dec 31, 2016 | ||
|---|---|---|---|---|---|---|
| Selected Financial Data (US$ in millions) | ||||||
| Gross profit | 2,203) | 2,467) | 2,300) | 1,826) | 1,666) | |
| Revenue | 3,239) | 3,543) | 3,333) | 2,752) | 2,398) | |
| Profitability Ratio | ||||||
| Gross profit margin1 | 68.01% | 69.63% | 69.01% | 66.35% | 69.48% | |
| Benchmarks | ||||||
| Gross Profit Margin, Competitors2 | ||||||
| AbbVie Inc. | 66.41% | 77.64% | — | — | — | |
| Amgen Inc. | 74.59% | 80.38% | — | — | — | |
| Bristol-Myers Squibb Co. | 72.31% | 69.10% | — | — | — | |
| Danaher Corp. | 55.98% | 55.74% | — | — | — | |
| Eli Lilly & Co. | 77.66% | 78.85% | — | — | — | |
| Gilead Sciences Inc. | 81.23% | 78.86% | — | — | — | |
| Johnson & Johnson | 65.58% | 66.42% | — | — | — | |
| Merck & Co. Inc. | 67.74% | 69.87% | — | — | — | |
| Moderna Inc. | 96.03% | — | — | — | — | |
| Pfizer Inc. | 79.26% | 80.25% | — | — | — | |
| Regeneron Pharmaceuticals Inc. | 86.82% | 90.05% | — | — | — | |
| Thermo Fisher Scientific Inc. | 49.67% | 44.35% | — | — | — | |
Based on: 10-K (reporting date: 2020-12-31), 10-K (reporting date: 2019-12-29), 10-K (reporting date: 2018-12-30), 10-K (reporting date: 2017-12-31), 10-K (reporting date: 2016-12-31).
1 2020 Calculation
Gross profit margin = 100 × Gross profit ÷ Revenue
= 100 × 2,203 ÷ 3,239 = 68.01%
2 Click competitor name to see calculations.
| Profitability ratio | Description | The company |
|---|---|---|
| Gross profit margin | Gross profit margin indicates the percentage of revenue available to cover operating and other expenditures. | Illumina Inc. gross profit margin ratio improved from 2018 to 2019 but then deteriorated significantly from 2019 to 2020. |
Operating Profit Margin
Illumina Inc., operating profit margin calculation, comparison to benchmarks
| Dec 31, 2020 | Dec 29, 2019 | Dec 30, 2018 | Dec 31, 2017 | Dec 31, 2016 | ||
|---|---|---|---|---|---|---|
| Selected Financial Data (US$ in millions) | ||||||
| Income from operations | 580) | 985) | 883) | 606) | 587) | |
| Revenue | 3,239) | 3,543) | 3,333) | 2,752) | 2,398) | |
| Profitability Ratio | ||||||
| Operating profit margin1 | 17.91% | 27.80% | 26.49% | 22.02% | 24.48% | |
| Benchmarks | ||||||
| Operating Profit Margin, Competitors2 | ||||||
| AbbVie Inc. | 24.81% | 39.03% | — | — | — | |
| Amgen Inc. | 37.70% | 43.57% | — | — | — | |
| Bristol-Myers Squibb Co. | -21.60% | 22.62% | — | — | — | |
| Danaher Corp. | 18.99% | 18.25% | — | — | — | |
| Eli Lilly & Co. | 24.69% | 22.29% | — | — | — | |
| Gilead Sciences Inc. | 16.72% | 19.38% | — | — | — | |
| Johnson & Johnson | 23.60% | 24.15% | — | — | — | |
| Merck & Co. Inc. | 16.47% | 24.77% | — | — | — | |
| Moderna Inc. | -381.82% | — | — | — | — | |
| Pfizer Inc. | 19.47% | 25.46% | — | — | — | |
| Regeneron Pharmaceuticals Inc. | 42.09% | 28.10% | — | — | — | |
| Thermo Fisher Scientific Inc. | 24.19% | 17.99% | — | — | — | |
| Operating Profit Margin, Sector | ||||||
| Pharmaceuticals, Biotechnology & Life Sciences | 18.09% | 25.68% | — | — | — | |
| Operating Profit Margin, Industry | ||||||
| Health Care | 10.30% | 12.31% | — | — | — | |
Based on: 10-K (reporting date: 2020-12-31), 10-K (reporting date: 2019-12-29), 10-K (reporting date: 2018-12-30), 10-K (reporting date: 2017-12-31), 10-K (reporting date: 2016-12-31).
1 2020 Calculation
Operating profit margin = 100 × Income from operations ÷ Revenue
= 100 × 580 ÷ 3,239 = 17.91%
2 Click competitor name to see calculations.
| Profitability ratio | Description | The company |
|---|---|---|
| Operating profit margin | A profitability ratio calculated as operating income divided by revenue. | Illumina Inc. operating profit margin ratio improved from 2018 to 2019 but then deteriorated significantly from 2019 to 2020. |
Net Profit Margin
Illumina Inc., net profit margin calculation, comparison to benchmarks
| Dec 31, 2020 | Dec 29, 2019 | Dec 30, 2018 | Dec 31, 2017 | Dec 31, 2016 | ||
|---|---|---|---|---|---|---|
| Selected Financial Data (US$ in millions) | ||||||
| Net income attributable to Illumina stockholders | 656) | 1,002) | 826) | 726) | 463) | |
| Revenue | 3,239) | 3,543) | 3,333) | 2,752) | 2,398) | |
| Profitability Ratio | ||||||
| Net profit margin1 | 20.25% | 28.28% | 24.78% | 26.38% | 19.29% | |
| Benchmarks | ||||||
| Net Profit Margin, Competitors2 | ||||||
| AbbVie Inc. | 10.08% | 23.69% | — | — | — | |
| Amgen Inc. | 29.97% | 35.32% | — | — | — | |
| Bristol-Myers Squibb Co. | -21.20% | 13.15% | — | — | — | |
| Danaher Corp. | 16.36% | 16.80% | — | — | — | |
| Eli Lilly & Co. | 25.24% | 37.27% | — | — | — | |
| Gilead Sciences Inc. | 0.51% | 24.35% | — | — | — | |
| Johnson & Johnson | 17.82% | 18.42% | — | — | — | |
| Merck & Co. Inc. | 14.72% | 21.01% | — | — | — | |
| Moderna Inc. | -373.77% | — | — | — | — | |
| Pfizer Inc. | 22.95% | 31.45% | — | — | — | |
| Regeneron Pharmaceuticals Inc. | 41.35% | 26.91% | — | — | — | |
| Thermo Fisher Scientific Inc. | 19.79% | 14.47% | — | — | — | |
| Net Profit Margin, Sector | ||||||
| Pharmaceuticals, Biotechnology & Life Sciences | 13.44% | 23.02% | — | — | — | |
| Net Profit Margin, Industry | ||||||
| Health Care | 7.64% | 10.09% | — | — | — | |
Based on: 10-K (reporting date: 2020-12-31), 10-K (reporting date: 2019-12-29), 10-K (reporting date: 2018-12-30), 10-K (reporting date: 2017-12-31), 10-K (reporting date: 2016-12-31).
1 2020 Calculation
Net profit margin = 100 × Net income attributable to Illumina stockholders ÷ Revenue
= 100 × 656 ÷ 3,239 = 20.25%
2 Click competitor name to see calculations.
| Profitability ratio | Description | The company |
|---|---|---|
| Net profit margin | An indicator of profitability, calculated as net income divided by revenue. | Illumina Inc. net profit margin ratio improved from 2018 to 2019 but then deteriorated significantly from 2019 to 2020. |
Return on Equity (ROE)
Illumina Inc., ROE calculation, comparison to benchmarks
| Dec 31, 2020 | Dec 29, 2019 | Dec 30, 2018 | Dec 31, 2017 | Dec 31, 2016 | ||
|---|---|---|---|---|---|---|
| Selected Financial Data (US$ in millions) | ||||||
| Net income attributable to Illumina stockholders | 656) | 1,002) | 826) | 726) | 463) | |
| Total Illumina stockholders’ equity | 4,694) | 4,613) | 3,758) | 2,749) | 2,197) | |
| Profitability Ratio | ||||||
| ROE1 | 13.98% | 21.72% | 21.98% | 26.41% | 21.06% | |
| Benchmarks | ||||||
| ROE, Competitors2 | ||||||
| AbbVie Inc. | 35.30% | — | — | — | — | |
| Amgen Inc. | 77.20% | 81.07% | — | — | — | |
| Bristol-Myers Squibb Co. | -23.84% | 6.66% | — | — | — | |
| Danaher Corp. | 9.17% | 9.94% | — | — | — | |
| Eli Lilly & Co. | 109.79% | 319.09% | — | — | — | |
| Gilead Sciences Inc. | 0.68% | 23.91% | — | — | — | |
| Johnson & Johnson | 23.25% | 25.42% | — | — | — | |
| Merck & Co. Inc. | 27.91% | 37.99% | — | — | — | |
| Moderna Inc. | -29.17% | -43.75% | — | — | — | |
| Pfizer Inc. | 15.21% | 25.77% | — | — | — | |
| Regeneron Pharmaceuticals Inc. | 31.86% | 19.08% | — | — | — | |
| Thermo Fisher Scientific Inc. | 18.47% | 12.45% | — | — | — | |
| ROE, Sector | ||||||
| Pharmaceuticals, Biotechnology & Life Sciences | 16.48% | 27.56% | — | — | — | |
| ROE, Industry | ||||||
| Health Care | 15.82% | 20.90% | — | — | — | |
Based on: 10-K (reporting date: 2020-12-31), 10-K (reporting date: 2019-12-29), 10-K (reporting date: 2018-12-30), 10-K (reporting date: 2017-12-31), 10-K (reporting date: 2016-12-31).
1 2020 Calculation
ROE = 100 × Net income attributable to Illumina stockholders ÷ Total Illumina stockholders’ equity
= 100 × 656 ÷ 4,694 = 13.98%
2 Click competitor name to see calculations.
| Profitability ratio | Description | The company |
|---|---|---|
| ROE | A profitability ratio calculated as net income divided by shareholders’ equity. | Illumina Inc. ROE deteriorated from 2018 to 2019 and from 2019 to 2020. |
Return on Assets (ROA)
Illumina Inc., ROA calculation, comparison to benchmarks
| Dec 31, 2020 | Dec 29, 2019 | Dec 30, 2018 | Dec 31, 2017 | Dec 31, 2016 | ||
|---|---|---|---|---|---|---|
| Selected Financial Data (US$ in millions) | ||||||
| Net income attributable to Illumina stockholders | 656) | 1,002) | 826) | 726) | 463) | |
| Total assets | 7,585) | 7,316) | 6,959) | 5,257) | 4,281) | |
| Profitability Ratio | ||||||
| ROA1 | 8.65% | 13.70% | 11.87% | 13.81% | 10.81% | |
| Benchmarks | ||||||
| ROA, Competitors2 | ||||||
| AbbVie Inc. | 3.07% | 8.84% | — | — | — | |
| Amgen Inc. | 11.54% | 13.13% | — | — | — | |
| Bristol-Myers Squibb Co. | -7.61% | 2.65% | — | — | — | |
| Danaher Corp. | 4.79% | 4.85% | — | — | — | |
| Eli Lilly & Co. | 13.28% | 21.17% | — | — | — | |
| Gilead Sciences Inc. | 0.18% | 8.74% | — | — | — | |
| Johnson & Johnson | 8.41% | 9.59% | — | — | — | |
| Merck & Co. Inc. | 7.72% | 11.66% | — | — | — | |
| Moderna Inc. | -10.18% | -32.34% | — | — | — | |
| Pfizer Inc. | 6.23% | 9.72% | — | — | — | |
| Regeneron Pharmaceuticals Inc. | 20.47% | 14.29% | — | — | — | |
| Thermo Fisher Scientific Inc. | 9.23% | 6.33% | — | — | — | |
| ROA, Sector | ||||||
| Pharmaceuticals, Biotechnology & Life Sciences | 5.14% | 8.90% | — | — | — | |
| ROA, Industry | ||||||
| Health Care | 5.36% | 7.15% | — | — | — | |
Based on: 10-K (reporting date: 2020-12-31), 10-K (reporting date: 2019-12-29), 10-K (reporting date: 2018-12-30), 10-K (reporting date: 2017-12-31), 10-K (reporting date: 2016-12-31).
1 2020 Calculation
ROA = 100 × Net income attributable to Illumina stockholders ÷ Total assets
= 100 × 656 ÷ 7,585 = 8.65%
2 Click competitor name to see calculations.
| Profitability ratio | Description | The company |
|---|---|---|
| ROA | A profitability ratio calculated as net income divided by total assets. | Illumina Inc. ROA improved from 2018 to 2019 but then deteriorated significantly from 2019 to 2020. |