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Vertex Pharmaceuticals (Vertex Pharmaceuticals) 1-Year ROIIC % : 3.43% (As of Dec. 2023)


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What is Vertex Pharmaceuticals 1-Year ROIIC %?

1-Year Return on Invested Incremental Capital (1-Year ROIIC %) measures the change in earnings as a percentage of change in investment over 1-year. Vertex Pharmaceuticals's 1-Year ROIIC % for the quarter that ended in Dec. 2023 was 3.43%. High ROIIC is generally an indication that your business is capital efficient or has a higher operating leverage.

The industry rank for Vertex Pharmaceuticals's 1-Year ROIIC % or its related term are showing as below:

VRTX's 1-Year ROIIC % is ranked better than
53.69% of 1462 companies
in the Biotechnology industry
Industry Median: -2.96 vs VRTX: 3.43

Vertex Pharmaceuticals 1-Year ROIIC % Historical Data

The historical data trend for Vertex Pharmaceuticals's 1-Year ROIIC % can be seen below:

* For Operating Data section: All numbers are indicated by the unit behind each term and all currency related amount are in USD.
* For other sections: All numbers are in millions except for per share data, ratio, and percentage. All currency related amount are indicated in the company's associated stock exchange currency.

* Premium members only.

Vertex Pharmaceuticals 1-Year ROIIC % Chart

Vertex Pharmaceuticals Annual Data
Trend Dec14 Dec15 Dec16 Dec17 Dec18 Dec19 Dec20 Dec21 Dec22 Dec23
1-Year ROIIC %
Get a 7-Day Free Trial Premium Member Only Premium Member Only -110.40 478.40 411.95 8.06 3.43

Vertex Pharmaceuticals Quarterly Data
Mar19 Jun19 Sep19 Dec19 Mar20 Jun20 Sep20 Dec20 Mar21 Jun21 Sep21 Dec21 Mar22 Jun22 Sep22 Dec22 Mar23 Jun23 Sep23 Dec23
1-Year ROIIC % Get a 7-Day Free Trial Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only 8.06 105.14 1.78 1.14 3.43

Competitive Comparison of Vertex Pharmaceuticals's 1-Year ROIIC %

For the Biotechnology subindustry, Vertex Pharmaceuticals's 1-Year ROIIC %, along with its competitors' market caps and 1-Year ROIIC % data, can be viewed below:

* Competitive companies are chosen from companies within the same industry, with headquarter located in same country, with closest market capitalization; x-axis shows the market cap, and y-axis shows the term value; the bigger the dot, the larger the market cap. Note that "N/A" values will not show up in the chart.


Vertex Pharmaceuticals's 1-Year ROIIC % Distribution in the Biotechnology Industry

For the Biotechnology industry and Healthcare sector, Vertex Pharmaceuticals's 1-Year ROIIC % distribution charts can be found below:

* The bar in red indicates where Vertex Pharmaceuticals's 1-Year ROIIC % falls into.



Vertex Pharmaceuticals 1-Year ROIIC % Calculation

Vertex Pharmaceuticals's 1-Year ROIIC % for the quarter that ended in Dec. 2023 is calculated as:

1-Year ROIIC %=1-Year Incremental Net Operating Profit After Taxes (NOPAT)**/1-Year Incremental Invested Capital
=( 3559.718 (Dec. 2023) - 3426.40246 (Dec. 2022) )/( 9113.2 (Dec. 2023) - 5227.6 (Dec. 2022) )
=133.31554/3885.6
=3.43%***

* For Operating Data section: All numbers are indicated by the unit behind each term and all currency related amount are in USD.
* For other sections: All numbers are in millions except for per share data, ratio, and percentage. All currency related amount are indicated in the company's associated stock exchange currency.

** TTM data of NOPAT and Invested Capital was used to calculate 1-Year ROIIC %.
*** Please be aware that the ROIIC (Return on Invested Capital) calculations are based on company-level data using the primary share class. The calculated data provided is for demonstration purposes and may slightly differ from the results displayed in the title due to potential variations caused by currency exchange rate differences throughout the year.


Vertex Pharmaceuticals  (NAS:VRTX) 1-Year ROIIC % Explanation

Return on Incremental Invested Capital (ROIIC) is an extension of Return on Investment Capital (ROIC). ROIC % tells investors how efficiently that profitability is earned per dollar of company capital. ROIIC narrows the focus even further and shows how profitable each additional unit of capital investment could be. ROIIC % is a more powerful metric than ROIC because it measures how much money the company can generate going forward on future capital investments.

High ROIIC is generally an indication that your business is capital efficient or has a higher operating leverage.

Be Aware

It's important to keep in mind that when tracking ROIIC, the metric is better suited to forecasting the trend of future returns rather than measuring current return on investment.


Vertex Pharmaceuticals 1-Year ROIIC % Related Terms

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Vertex Pharmaceuticals (Vertex Pharmaceuticals) Business Description

Address
50 Northern Avenue, Boston, MA, USA, 02210
Vertex Pharmaceuticals is a global biotechnology company that discovers and develops small-molecule drugs for the treatment of serious diseases. Its key drugs are Kalydeco, Orkambi, Symdeko, and Trikafta/Kaftrio for cystic fibrosis, where Vertex therapies remain the standard of care globally. Vertex is diversifying its pipeline through gene-editing therapies such as CTX001 for beta thalassemia and sickle-cell disease, small-molecule inhibitors targeting acute and chronic pain using nonopioid treatments, and small-molecule inhibitors of APOL1-mediated kidney diseases. Vertex is also investigating cell therapies to deliver a potential functional cure for type 1 diabetes.
Executives
Jeffrey M Leiden director 15 N BEACH ROAD, HOBE SOUND FL 33455
Wagner Charles F Jr officer: EVP & Chief Financial Officer C/O MILLIPORE CORP, BILLERICA MA 01820
Reshma Kewalramani director, officer: CEO & President C/O VERTEX PHARMACEUTICALS, INC., 50 NORTHERN AVENUE, BOSTON MA 02210
Stuart A Arbuckle officer: EVP, COO VERTEX PHARMACEUTICALS INCORPORATED, 130 WAVERLY ST., CAMBRIDGE MA 02139
Amit Sachdev officer: SVP, Public Policy,Gov Affairs C/O VERTEX PHARMACEUTICALS INCORPORATED, 130 WAVERLY STREET, CAMBRIDGE MA 02139
David Altshuler officer: EVP, Global Research and CSO C/O VERTEX PHARMACEUTICALS INCORPORATED, 130 WAVERLY STREET, CAMBRIDGE MA 02139
Carmen Bozic officer: EVP and CMO C/O VERTEX PHARMACEUTICALS, INC., 50 NORTHERN AVENUE, BOSTON MA 02210
Bruce I Sachs director C/O VERTEX PHARMACEUTICALS, INC., 50 NORTHERN AVENUE, BOSTON MA 02210
Sangeeta N. Bhatia director C/O VERTEX PHARMACEUTICALS, INC., 50 NORTHERN AVENUE, BOSTON MA 02210
Michel Lagarde director 450 LEXINGTON AVE., 31ST FLOOR, NEW YORK NY 10017
Atkinson Edward Morrow Iii officer: EVP, Chief Technical Ops. Off. C/O 89BIO, INC., 142 SANSOME STREET, SECOND FLOOR, SAN FRANCISCO CA 94104
Ourania Tatsis officer: EVP, Chief Reg. & Quality Off. C/O VERTEX PHARMACEUTICALS, INC., 50 NORTHERN AVENUE, BOSTON MA 02210
Terrence C Kearney director IN CARE OF HOSPIRA, INC., 275 NORTH FIELD DRIVE, LAKE FOREST IL 60045
Kristen Ambrose officer: SVP & Chief Accounting Officer C/O VERTEX PHARMACEUTICALS INCORPORATED, 50 NORTHERN AVENUE, BOSTON MA 02210
Bastiano Sanna officer: EVP, Cell & Genetic Therapies C/O VERTEX PHARMACEUTICALS INCORPORATED, 50 NORTHERN AVENUE, BOSTON MA 02210