Merck & Co., Inc. (MRK) financials
NYSE · Healthcare · Drug Manufacturers - General · 74,000 employees · CEO Robert Davis
- Price
- $149.52 +2.18%
- Market cap
- $369B
- Enterprise value
- $416B
- Last report
- Q3 '26 filed 2026-09-30
- Next report
- 2027-02-02 EPS est. $1.79
Revenue (TTM)$67.3B+4.8% vs a year agoLast 4 quarters; bars = each quarter
Operating margin (TTM)16.2%-22.5 pp vs a year agoOperating income $10.9B
Net income (TTM)$2.45B-87.1% vs a year agoAfter tax, incl. non-operating gains
Free cash flow (TTM)–– vs a year agoCapex –
Diluted EPS (TTM)$0.97-87.2% vs a year agoSum of the last 4 quarters
Net cash-$46.8B-74.6% vs a year agoCash + short-term investments - debt
Valuation & key figures
- Market cap
- $369B EV $416B
- Revenue
- $67.3B Trailing 12 months
- Revenue growth
- +3% FY2026 consensus
- Profit margin
- 3.6% Net income / revenue, TTM
- P/E
- 152.6× Forward 54.4× (FY2026)
- P/S
- 5.5× Price / sales, TTM
- EV / EBITDA
- 31.9× TTM
- Free cash flow
- – Trailing 12 months
- Net income
- $2.45B Trailing 12 months
- Revenue estimate
- $67.1B FY2026 consensus
- Earnings
- 2027-02-02 Revenue est. $16.4B
- Dividend
- $3.40 Per share, last 12 months
Key takeaways
Computed from the reported numbers - every statement carries the figure it rests on.
- Last report (2026-10-29): revenue beat by 4.4%, EPS beat by 19.1%Revenue $18.1B vs $17.3B expected (+4.4%); EPS $2.49 vs $2.09 (+19.1%).
- Revenue growth steady: 5.2% year on yearQ3 '26 revenue $18.1B, against an average of 4.3% over the four quarters before.
- Operating margin 16.2% (TTM), -22.5 pp on a year agoOperating income grew -56.1% while revenue grew 4.8%.
- 129.5% of pre-tax profit is eaten by non-operating lossesPre-tax income $4.76B vs operating income $10.9B (TTM). Losses on equity stakes and other one-off items cut net income and EPS - operating income is the cleaner measure of the business.
- Diluted share count down 0.8% in a year2.48B diluted shares in Q3 '26, 2.5B a year earlier.
- Net debt $46.8BCash + short-term investments $7.14B, debt incl. leases $53.9B; a year ago net debt $26.8B.
Last quarter: Q3 '26
Quarter ended 2026-09-30. Compared with the same quarter a year earlier and with the analyst consensus before the report.
Quarter vs a year ago
| Q3 '26 | Year ago | Change | |
|---|---|---|---|
| Revenue | $18.1B | $17.2B | +5.2% |
| Gross margin | 81.4% | 75.6% | +5.9 pp |
| Operating income | $7.33B | $7.46B | -1.7% |
| Operating margin | 40.6% | 43.4% | -2.9 pp |
| Net income | $5.07B | $5.79B | -12.4% |
| Diluted EPS | $2.04 | $2.32 | -12.1% |
| Operating cash flow | – | $7.82B | – |
| Capex | – | $987M | – |
| Free cash flow | – | $6.84B | – |
| R&D | $4.53B | $3.55B | +27.6% |
| Stock-based compensation | – | $204M | – |
Reported vs consensus
2026-10-29| Actual | Consensus | vs consensus | |
|---|---|---|---|
| Revenue | $18.1B | $17.3B | +4.4% |
| EPS (as estimated) | $2.49 | $2.09 | +19.1% |
From the report of 2026-10-29 for Q3 '26: revenue and the EPS analysts estimate (often adjusted), so it can differ from the EPS of the statements above.
EPS vs consensus
last 8 reportsRevenue
Where the money comes from - by business line and by region, quarter by quarter.
Revenue, operating income and growth
quarterlyRevenue by business line
stacked, quarterly| Segment | Q2 '26 | y/y | Share | TTM | TTM y/y | 12 quarters |
|---|---|---|---|---|---|---|
| Pharmaceutical segment | $14.8B | +5.1% | 88.9% | $59.6B | +5.1% | |
| Animal Health segment | $1.78B | +7.8% | 10.7% | $6.69B | +9.3% | |
| Other Segments | $72M | -34.5% | 0.4% | $320M | -61.2% |
Revenue by region
share of total| Segment | Q2 '26 | y/y | Share | TTM | TTM y/y | 12 quarters |
|---|---|---|---|---|---|---|
| United States | $9.37B | +6.0% | 56.4% | $37.7B | +9.9% | |
| EMEA | $3.92B | +7.1% | 23.6% | $15.3B | +8.5% | |
| CHINA | $408M | -8.5% | 2.5% | $1.59B | -48.0% | |
| JAPAN | $577M | -7.8% | 3.5% | $2.55B | -16.9% | |
| Latin America | $875M | +1.9% | 5.3% | $3.51B | +1.5% | |
| Asia Pacific | $820M | +4.5% | 4.9% | $3.07B | +0.2% | |
| International | $640M | +7.6% | 3.9% | $2.9B | +10.6% |
Margins & cost structure
How much of each unit of revenue is left at each level - and where the costs go.
Margins
quarterlyCosts as % of revenue
quarterlyCash flow & capital allocation
Cash generated, what it is spent on, and what reaches shareholders.
Operating cash flow, capex, free cash flow
quarterlyUses of cash vs operating cash flow
fiscal yearsLast 4 quarters
cash flow statement- Free cash flow
- –
- Returned to shareholders / FCF
- –
Share count and EPS
quarterly, dilutedBalance sheet
Liquidity, investments and debt at each quarter end.
Cash, investments and debt
quarter endsValuation & returns
Today's multiples against the company's own last five fiscal years; analyst targets and ratings.
Multiples and returns
TTM vs 5 fiscal years| Now | 5y average | Where today sits in the 5-year range | |
|---|---|---|---|
| P/E (TTM) | 152.6× | 168.4× | 14.4× – 778.7× |
| EV / EBITDA | 31.9× | 18.4× | 10.6× – 44.5× |
| EV / Sales | 6.2× | 4.7× | 4.3× – 5.1× |
| Price / FCF | 23.0× | 21.0× | 13.9× – 30.4× |
| Price / Book | 8.8× | 5.8× | 5.0× – 7.4× |
| FCF yield | 4.4% | 5.1% | 3.3% – 7.2% |
| Return on invested capital | 5.4% | 14.1% | 0.7% – 19.0% |
| Return on equity | 5.1% | 27.7% | 1.0% – 37.0% |
Analysts
Consensus target $159.95 (+7.0%)
range $105.00 – $180.00 · rating Buy
Strong buy0
Buy26
Hold11
Sell1
Strong sell0
Outlook
Analyst consensus for the coming fiscal years and what it implies at today's price.
Consensus estimates
| Fiscal year | Revenue | Growth | EPS | Growth | P/E at today's price | Analysts (EPS) |
|---|---|---|---|---|---|---|
| FY2026 | $67.1B | +3.4% | $2.75 | -62.3% | 54.4× | 13 |
| FY2027 | $69.5B | +3.6% | $9.08 | +230.4% | 16.5× | 12 |
| FY2028 | $73.7B | +5.9% | $9.99 | +10.0% | 15.0× | 7 |
| FY2029 | $74.1B | +0.6% | $9.89 | -0.9% | 15.1× | 2 |
| FY2030 | $74.6B | +0.7% | $9.78 | -1.2% | 15.3× | 4 |
Financial statements
Every line of the income statement, balance sheet and cash flow statement - 12 quarters and 10 fiscal years, as values, as % of revenue or as growth.
Every reported line
All 295 figures Merck & Co., Inc. tagged in its recent 10-Q / 10-K filings, with the official SEC label and definition - including the notes (leases, taxes, buybacks, employees, ...).
| Line (SEC label) | Latest quarter | Year ago | y/y | Latest FY | Prior FY | y/y |
|---|---|---|---|---|---|---|
| Accounts Payable, Current | $3.83B | $3.89B | -1.7% | $4.4B | $4.08B | +8.0% |
| Accounts Receivable, after Allowance for Credit Loss, Current | $12.6B | $11.8B | +6.1% | $11.8B | $10.3B | +14.6% |
| Accounts Receivable, Allowance for Credit Loss, Current | $108M | $94M | +14.9% | $97M | $89M | +9.0% |
| Accounts Receivable, Sale | $1.6B | -$100M | +1,700.0% | $1.6B | $2.1B | -23.8% |
| Accrual for Environmental Loss Contingencies | $42M2025-12-31 | $41M | +2.4% | $42M | $41M | +2.4% |
| Accrued Income Taxes, Current | $4.22B | $4.16B | +1.6% | $4.73B | $3.91B | +20.7% |
| Accumulated Depreciation, Depletion and Amortization, Property, Plant, and Equipment | $22.7B | $20.3B | +12.2% | $21.9B | $19.2B | +14.4% |
| Accumulated Other Comprehensive Income (Loss), Net of Tax | -$3.94B | -$5.42B | +27.3% | -$4.29B | -$4.95B | +13.3% |
| Additional Paid in Capital, Common Stock | $45B | $44.6B | +0.7% | $45B | $44.7B | +0.7% |
| Advertising Expense | – | – | – | $2.3B | $2.4B | -4.2% |
| Amortization | $984M | $601M | +63.7% | $2.79B | $2.4B | +16.6% |
| Amortization of Intangible Assets | – | – | – | $2.8B | $2.4B | +16.7% |
| Antidilutive Securities Excluded from Computation of Earnings Per Share, Amount | 0 | 19M | -100.0% | 11M | 6M | +83.3% |
| Assets | $130B | $118B | +10.4% | $137B | $117B | +16.9% |
| Assets, Current | $36.7B | $37.1B | -1.0% | $43.5B | $38.8B | +12.2% |
| Assets, Fair Value Disclosure | $2.14B | – | – | $1.82B | $2.19B | -16.9% |
| Buildings and Improvements, Gross | $18B2025-12-31 | $16.4B | +9.9% | $18B | $16.4B | +9.9% |
| Business Combination, Contingent Consideration Arrangements, Change in Amount of Contingent Consideration, Liability | $02025-12-31 | -$12M | +100.0% | -$52M | -$10M | -420.0% |
| Business Combination, Contingent Consideration, Liability | $02025-12-31 | $193M | -100.0% | $0 | $193M | -100.0% |
| Cash and Cash Equivalents, at Carrying Value | $6.85B | $8.01B | -14.5% | $14.6B | $13.2B | +10.0% |
| Cash, Cash Equivalents, Restricted Cash and Restricted Cash Equivalents | $6.89B | $8.07B | -14.6% | $14.7B | $13.3B | +10.3% |
| Cash, Cash Equivalents, Restricted Cash and Restricted Cash Equivalents, Period Increase (Decrease), Including Exchange Rate Effect | $1.49B | -$659M | +326.6% | $1.37B | $6.41B | -78.6% |
| Common Stock, Dividends, Per Share, Declared | $0.85 | $0.81 | +4.9% | $3.28 | $3.12 | +5.1% |
| Common Stock, Par or Stated Value Per Share | $0.50 | $0.50 | 0.0% | $0.50 | $0.50 | 0.0% |
| Common Stock, Shares Authorized | 6.5B | 6.5B | 0.0% | 6.5B | 6.5B | 0.0% |
| Common Stock, Shares, Issued | 3.58B | 3.58B | 0.0% | 3.58B | 3.58B | 0.0% |
| Common Stock, Value, Issued | $1.79B | $1.79B | 0.0% | $1.79B | $1.79B | 0.0% |
| Comprehensive Income (Loss), Net of Tax, Attributable to Parent | -$1.22B | $3.97B | -130.6% | $18.9B | $17.3B | +9.1% |
| Construction in Progress, Gross | $9.17B2025-12-31 | $7.98B | +14.8% | $9.17B | $7.98B | +14.8% |
| Cost of Goods and Services Sold | $4.4B | $3.56B | +23.6% | $16.4B | $15.2B | +7.8% |
| Current Federal Tax Expense (Benefit) | – | – | – | $499M | $944M | -47.1% |
| Current Foreign Tax Expense (Benefit) | – | – | – | $4.07B | $3.12B | +30.4% |
| Current Income Tax Expense (Benefit) | – | – | – | $4.48B | $4.05B | +10.4% |
| Current State and Local Tax Expense (Benefit) | – | – | – | -$96M | -$15M | -540.0% |
| Debt Instrument, Fair Value Disclosure | $49.9B | $31.3B | +59.4% | $45.6B | $32.6B | +39.9% |
| Debt Securities, Available-for-sale | $292M | $707M | -58.7% | $101M | $536M | -81.2% |
| Debt Securities, Available-for-sale, Accumulated Gross Unrealized Gain, before Tax | $0 | $0 | – | $0 | $0 | – |
| Debt Securities, Available-for-sale, Accumulated Gross Unrealized Loss, before Tax | $0 | $0 | – | $0 | $0 | – |
| Debt Securities, Available-for-sale, Amortized Cost | $292M | $707M | -58.7% | $101M | $536M | -81.2% |
| Debt, Current | $2.83B | $1.43B | +97.0% | $2.59B | $2.65B | -2.3% |
| Debt, Long-term and Short-term, Combined Amount | $53.9B | $35.4B | +52.3% | $49.3B | $37.1B | +32.9% |
| Deferred Federal Income Tax Expense (Benefit) | – | – | – | -$1.59B | -$1.48B | -7.5% |
| Deferred Foreign Income Tax Expense (Benefit) | – | – | – | -$83M | $212M | -139.2% |
| Deferred Income Tax Expense (Benefit) | -$544M | -$448M | -21.4% | -$1.67B | -$1.25B | -33.8% |
| Deferred Income Tax Liabilities, Net | $1.43B | $1.43B | +0.4% | $1.44B | $1.39B | +3.7% |
| Deferred State and Local Income Tax Expense (Benefit) | – | – | – | -$3M | $14M | -121.4% |
| Deferred Tax Assets, Goodwill and Intangible Assets | $140M2025-12-31 | $71M | +97.2% | $140M | $71M | +97.2% |
| Deferred Tax Assets, Gross | $7.56B2025-12-31 | $5.98B | +26.4% | $7.56B | $5.98B | +26.4% |
| Deferred Tax Assets, in Process Research and Development | $4.13B2025-12-31 | $3.06B | +35.0% | $4.13B | $3.06B | +35.0% |
| Deferred Tax Assets, Inventory | $72M2025-12-31 | $84M | -14.3% | $72M | $84M | -14.3% |
| Deferred Tax Assets, Net | $1.17B2025-12-31 | $2.21B | -47.3% | $1.17B | $2.21B | -47.3% |
| Deferred Tax Assets, Net of Valuation Allowance | $6.73B2025-12-31 | $5.27B | +27.8% | $6.73B | $5.27B | +27.8% |
| Deferred Tax Assets, Operating Loss Carryforwards, Foreign | $384M2025-12-31 | $324M | +18.5% | $384M | $324M | +18.5% |
| Deferred Tax Assets, Other | $1.24B2025-12-31 | $802M | +54.1% | $1.24B | $802M | +54.1% |
| Deferred Tax Assets, Tax Deferred Expense, Compensation and Benefits, Employee Benefits | $117M2025-12-31 | $224M | -47.8% | $117M | $224M | -47.8% |
| Deferred Tax Assets, Tax Deferred Expense, Compensation and Benefits, Employee Compensation | $382M2025-12-31 | $400M | -4.5% | $382M | $400M | -4.5% |
| Deferred Tax Assets, Valuation Allowance | $824M2025-12-31 | $710M | +16.1% | $824M | $710M | +16.1% |
| Deferred Tax Liabilities, Gross | $5.57B2025-12-31 | $3.06B | +82.2% | $5.57B | $3.06B | +82.2% |
| Deferred Tax Liabilities, Intangible Assets | $3.27B2025-12-31 | $978M | +234.6% | $3.27B | $978M | +234.6% |
| Deferred Tax Liabilities, Inventory | $451M2025-12-31 | $413M | +9.2% | $451M | $413M | +9.2% |
Source: SEC companyfacts (XBRL of every 10-Q / 10-K). Cash-flow quarters are derived from the year-to-date figures the 10-Q tags. Segment breakdowns are tagged with dimensions and are shown in the segment section instead.
Sources
Statements, segment revenue, metrics, estimates: Financial Modeling Prep. Segment profits and every reported line: SEC EDGAR (XBRL). Filings read: 10-Q 2026-06-30, 10-Q 2026-03-31, 10-K 2025-12-31, 10-Q 2025-09-30, 10-Q 2025-06-30, 10-Q 2025-03-31, 10-K 2024-12-31, 10-Q 2024-09-30, 10-Q 2024-06-30
Data as of 2026-11-01