Stock Analysis on Net

Merck & Co. Inc. (NYSE:MRK)

Analysis of Reportable Segments

Microsoft Excel

Segment Profit Margin

Merck & Co. Inc., profit margin by reportable segment

Microsoft Excel
Dec 31, 2023 Dec 31, 2022 Dec 31, 2021 Dec 31, 2020 Dec 31, 2019
Pharmaceutical 72.56% 70.86% 72.45% 69.09% 67.84%
Animal Health 30.88% 35.37% 35.02% 35.08% 36.63%

Based on: 10-K (reporting date: 2023-12-31), 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).

Segment profitability ratio Reportable segment The company
Segment profit margin Pharmaceutical Pharmaceutical segment profit margin ratio deteriorated from 2021 to 2022 but then improved from 2022 to 2023 exceeding 2021 level.
Animal Health Animal Health segment profit margin ratio improved from 2021 to 2022 but then deteriorated significantly from 2022 to 2023.

Segment Profit Margin: Pharmaceutical

Merck & Co. Inc.; Pharmaceutical; segment profit margin calculation

Microsoft Excel
Dec 31, 2023 Dec 31, 2022 Dec 31, 2021 Dec 31, 2020 Dec 31, 2019
Selected Financial Data (US$ in millions)
Segment profits 38,880 36,852 30,977 29,722 28,324
Sales 53,583 52,005 42,754 43,021 41,751
Segment Profitability Ratio
Segment profit margin1 72.56% 70.86% 72.45% 69.09% 67.84%

Based on: 10-K (reporting date: 2023-12-31), 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).

1 2023 Calculation
Segment profit margin = 100 × Segment profits ÷ Sales
= 100 × 38,880 ÷ 53,583 = 72.56%

Segment profitability ratio Reportable segment The company
Segment profit margin Pharmaceutical Pharmaceutical segment profit margin ratio deteriorated from 2021 to 2022 but then improved from 2022 to 2023 exceeding 2021 level.

Segment Profit Margin: Animal Health

Merck & Co. Inc.; Animal Health; segment profit margin calculation

Microsoft Excel
Dec 31, 2023 Dec 31, 2022 Dec 31, 2021 Dec 31, 2020 Dec 31, 2019
Selected Financial Data (US$ in millions)
Segment profits 1,737 1,963 1,950 1,650 1,609
Sales 5,625 5,550 5,568 4,703 4,393
Segment Profitability Ratio
Segment profit margin1 30.88% 35.37% 35.02% 35.08% 36.63%

Based on: 10-K (reporting date: 2023-12-31), 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).

1 2023 Calculation
Segment profit margin = 100 × Segment profits ÷ Sales
= 100 × 1,737 ÷ 5,625 = 30.88%

Segment profitability ratio Reportable segment The company
Segment profit margin Animal Health Animal Health segment profit margin ratio improved from 2021 to 2022 but then deteriorated significantly from 2022 to 2023.

Sales

Merck & Co. Inc., sales by reportable segment

US$ in millions

Microsoft Excel
Dec 31, 2023 Dec 31, 2022 Dec 31, 2021 Dec 31, 2020 Dec 31, 2019
Pharmaceutical 53,583 52,005 42,754 43,021 41,751
Animal Health 5,625 5,550 5,568 4,703 4,393
Other segments 23 175
Total segment 59,208 57,555 48,322 47,747 46,319

Based on: 10-K (reporting date: 2023-12-31), 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).


Segment profits

Merck & Co. Inc., segment profits by reportable segment

US$ in millions

Microsoft Excel
Dec 31, 2023 Dec 31, 2022 Dec 31, 2021 Dec 31, 2020 Dec 31, 2019
Pharmaceutical 38,880 36,852 30,977 29,722 28,324
Animal Health 1,737 1,963 1,950 1,650 1,609
Other segments 1 (7)
Total segment 40,617 38,815 32,927 31,373 29,926

Based on: 10-K (reporting date: 2023-12-31), 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).