Stock Analysis on Net
Stock Analysis on Net

IQVIA Holdings Inc. (NYSE:IQV)

$22.49

This company has been moved to the archive! The financial data has not been updated since November 1, 2023.

Common-Size Income Statement

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IQVIA Holdings Inc., common-size consolidated income statement

Microsoft Excel
12 months ended: Dec 31, 2022 Dec 31, 2021 Dec 31, 2020 Dec 31, 2019 Dec 31, 2018
Revenues
Cost of revenues, exclusive of depreciation and amortization
Gross profit
Selling, general and administrative expenses
Depreciation and amortization
Restructuring costs
Income from operations
Interest income
Interest expense
Loss on extinguishment of debt
Other income (expense), net
Income before income taxes and equity in earnings (losses) of unconsolidated affiliates
Income tax expense
Income before equity in earnings (losses) of unconsolidated affiliates
Equity in earnings (losses) of unconsolidated affiliates
Net income
Net income attributable to non-controlling interests
Net income attributable to IQVIA Holdings Inc.

Based on: 10-K (reporting date: 2022-12-31), 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).

Gross Profit Trends
Gross profit as a percentage of revenues decreased gradually from 35.21% in 2018 to a low of 33.45% in 2021, before recovering to 34.89% in 2022. This indicates a modest tightening in the cost of revenues over the initial years, followed by some improvement in profitability at the gross margin level in the most recent year.
Cost Structure
The cost of revenues, exclusive of depreciation and amortization, showed a slight increase from -64.79% in 2018 to -66.55% in 2021, with a subsequent decrease to -65.11% in 2022. Selling, general and administrative expenses steadily declined over the years from -16.48% in 2018 to around -14.37% in 2022. Depreciation and amortization expenses decreased consistently, from -10.96% in 2018 to -7.84% in 2022, indicating possibly reduced capital expenditure or improved asset management. Restructuring costs remained minimal and relatively stable, fluctuating slightly but staying below -0.7% of revenues throughout.
Operating Income
Income from operations as a percentage of revenues initially hovered around 7% (7.12% in 2018 to 7.01% in 2019), declined to 6.44% in 2020, then increased significantly to 10.04% in 2021 and further to 12.48% in 2022. This notable improvement in operating profitability aligns with the reductions in selling, general, and administrative expenses, as well as depreciation and amortization costs, reflecting enhanced operational efficiency.
Interest and Other Income/Expense
Interest income remained low and stable around 0.04% to 0.09% of revenues. Interest expense showed a declining trend from -3.98% in 2018 to a low of -2.7% in 2021, slightly increasing to -2.89% in 2022. Loss on extinguishment of debt was negligible, appearing only in some years and disappearing in 2022. Other income/(expense), net, varied over the period, showing positive contributions in 2019, 2020, and 2021 but turning negative again in 2022 at -0.23% of revenues.
Pre-Tax and Net Income
Income before income taxes and equity in earnings of unconsolidated affiliates improved substantially from roughly 3.15% in 2018 to 9.46% in 2022, with a marked jump after 2020. Income tax expense showed fluctuations but an overall increase in tax burden, from -0.57% in 2018 to -1.8% in 2022. Correspondingly, net income increased from 2.73% in 2018 to 7.57% in 2022, highlighting a strong profitability improvement. The net income attributable to the company followed the same pattern, growing from 2.49% in 2018 to 7.57% in 2022.
Equity Earnings and Minority Interests
Equity in earnings of unconsolidated affiliates showed inconsistent minor contributions, oscillating between positive and negative small percentages, with no clear trend. Net income attributable to non-controlling interests was slightly negative for most years, except for limited data beyond 2021.
Summary
The data illustrates an overall enhancement in profitability metrics over the period analyzed. Despite initial dips in gross and operating margins, the company improved operational efficiency, reduced depreciation and selling expenses, and strengthened operating income margins notably in the last two years. Interest costs decreased, supporting income growth, although tax expenses rose. The consistent and marked increase in net income margin signals effective management strategies and potential improvements in cost control and revenue quality.