Attached files
| file | filename |
|---|---|
| EX-99.1 - EX-99.1 - Merck & Co., Inc. | a14-17821_1ex99d1.htm |
| 8-K - 8-K - Merck & Co., Inc. | a14-17821_18k.htm |
Exhibit 99.2
MERCK & CO., INC.
CONSOLIDATED STATEMENT OF INCOME - GAAP
(AMOUNTS IN MILLIONS, EXCEPT PER SHARE FIGURES)
(UNAUDITED)
Table 1a
|
|
|
2014 |
|
2013 |
|
% Change |
| |||||||||||||||||||||||||
|
|
|
1Q |
|
2Q |
|
June YTD |
|
1Q |
|
2Q |
|
June YTD |
|
3Q |
|
4Q |
|
Full Year |
|
2Q |
|
June YTD |
| |||||||||
|
|
|
. |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
| |||||||||
|
Sales |
|
$ |
10,264 |
|
$ |
10,934 |
|
$ |
21,198 |
|
$ |
10,671 |
|
$ |
11,010 |
|
$ |
21,681 |
|
$ |
11,032 |
|
$ |
11,319 |
|
$ |
44,033 |
|
-1 |
% |
-2 |
% |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
| |||||||||
|
Costs, Expenses and Other |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
| |||||||||
|
Materials and production |
|
3,903 |
|
4,893 |
|
8,796 |
|
3,959 |
|
4,284 |
|
8,243 |
|
4,104 |
|
4,607 |
|
16,954 |
|
14 |
% |
7 |
% | |||||||||
|
Marketing and administrative |
|
2,734 |
|
2,973 |
|
5,707 |
|
2,987 |
|
3,140 |
|
6,126 |
|
2,803 |
|
2,982 |
|
11,911 |
|
-5 |
% |
-7 |
% | |||||||||
|
Research and development |
|
1,574 |
|
1,664 |
|
3,238 |
|
1,907 |
|
2,101 |
|
4,008 |
|
1,660 |
|
1,836 |
|
7,503 |
|
-21 |
% |
-19 |
% | |||||||||
|
Restructuring costs |
|
125 |
|
163 |
|
288 |
|
119 |
|
155 |
|
274 |
|
870 |
|
565 |
|
1,709 |
|
5 |
% |
5 |
% | |||||||||
|
Equity income from affiliates |
|
(124 |
) |
(92 |
) |
(217 |
) |
(133 |
) |
(116 |
) |
(249 |
) |
(102 |
) |
(53 |
) |
(404 |
) |
-21 |
% |
-13 |
% | |||||||||
|
Other (income) expense, net |
|
(39 |
) |
(558 |
) |
(596 |
) |
282 |
|
201 |
|
484 |
|
172 |
|
157 |
|
815 |
|
* |
|
* |
| |||||||||
|
Income Before Taxes |
|
2,091 |
|
1,891 |
|
3,982 |
|
1,550 |
|
1,245 |
|
2,795 |
|
1,525 |
|
1,225 |
|
5,545 |
|
52 |
% |
42 |
% | |||||||||
|
Income Tax Provision (Benefit) |
|
360 |
|
(142 |
) |
218 |
|
(66 |
) |
310 |
|
244 |
|
375 |
|
410 |
|
1,028 |
|
|
|
|
| |||||||||
|
Net Income |
|
1,731 |
|
2,033 |
|
3,764 |
|
1,616 |
|
935 |
|
2,551 |
|
1,150 |
|
815 |
|
4,517 |
|
* |
|
48 |
% | |||||||||
|
Less: Net Income Attributable to Noncontrolling Interests |
|
26 |
|
29 |
|
55 |
|
23 |
|
29 |
|
52 |
|
26 |
|
34 |
|
113 |
|
|
|
|
| |||||||||
|
Net Income Attributable to Merck & Co., Inc. |
|
$ |
1,705 |
|
$ |
2,004 |
|
$ |
3,709 |
|
$ |
1,593 |
|
$ |
906 |
|
$ |
2,499 |
|
$ |
1,124 |
|
$ |
781 |
|
$ |
4,404 |
|
* |
|
48 |
% |
|
Earnings per Common Share Assuming Dilution |
|
$ |
0.57 |
|
$ |
0.68 |
|
$ |
1.25 |
|
$ |
0.52 |
|
$ |
0.30 |
|
$ |
0.82 |
|
$ |
0.38 |
|
$ |
0.26 |
|
$ |
1.47 |
|
* |
|
52 |
% |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
| |||||||||
|
Average Shares Outstanding Assuming Dilution |
|
2,971 |
|
2,949 |
|
2,957 |
|
3,053 |
|
3,010 |
|
3,030 |
|
2,960 |
|
2,959 |
|
2,996 |
|
|
|
|
| |||||||||
|
Tax Rate |
|
17.2 |
% |
-7.5 |
% |
5.5 |
% |
-4.3 |
% |
24.9 |
% |
8.7 |
% |
24.6 |
% |
33.5 |
% |
18.5 |
% |
|
|
|
| |||||||||
* 100% or greater
Sum of quarterly amounts may not equal year-to-date amounts due to rounding.
MERCK & CO., INC.
CONSOLIDATED STATEMENT OF INCOME
GAAP TO NON-GAAP RECONCILIATION
SECOND QUARTER 2013
(AMOUNTS IN MILLIONS, EXCEPT PER SHARE FIGURES)
(UNAUDITED)
Table 2c
|
|
|
GAAP |
|
Acquisition and |
|
Restructuring |
|
Certain Other |
|
Adjustment |
|
Non-GAAP |
| |||
|
Sales |
|
$ |
11,010 |
|
|
|
|
|
|
|
|
|
$ |
11,010 |
| |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
| |||
|
Costs, Expenses and Other |
|
|
|
|
|
|
|
|
|
|
|
|
| |||
|
Materials and production |
|
4,284 |
|
1,515 |
|
93 |
|
|
|
1,608 |
|
2,676 |
| |||
|
Marketing and administrative |
|
3,140 |
|
19 |
|
16 |
|
|
|
35 |
|
3,105 |
| |||
|
Research and development |
|
2,101 |
|
234 |
|
14 |
|
|
|
248 |
|
1,853 |
| |||
|
Restructuring costs |
|
155 |
|
|
|
155 |
|
|
|
155 |
|
— |
| |||
|
Equity income from affiliates |
|
(116 |
) |
|
|
|
|
|
|
|
|
(116 |
) | |||
|
Other (income) expense, net |
|
201 |
|
|
|
|
|
(13 |
) |
(13 |
) |
214 |
| |||
|
Income Before Taxes |
|
1,245 |
|
(1,768 |
) |
(278 |
) |
13 |
|
(2,033 |
) |
3,278 |
| |||
|
Taxes on Income |
|
310 |
|
|
|
|
|
|
|
(409 |
)(3) |
719 |
| |||
|
Net Income |
|
935 |
|
|
|
|
|
|
|
(1,624 |
) |
2,559 |
| |||
|
Less: Net Income Attributable to Noncontrolling Interests |
|
29 |
|
|
|
|
|
|
|
|
|
29 |
| |||
|
Net Income Attributable to Merck & Co., Inc. |
|
$ |
906 |
|
|
|
|
|
|
|
$ |
(1,624 |
) |
$ |
2,530 |
|
|
Earnings per Common Share Assuming Dilution |
|
$ |
0.30 |
|
|
|
|
|
|
|
|
|
$ |
0.84 |
| |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
| |||
|
Average Shares Outstanding Assuming Dilution |
|
3,010 |
|
|
|
|
|
|
|
|
|
3,010 |
| |||
|
Tax Rate |
|
24.9 |
% |
|
|
|
|
|
|
|
|
21.9 |
% | |||
Merck is providing non-GAAP information that excludes certain items because of the nature of these items and the impact they have on the analysis of underlying business performance and trends. Management believes that providing this information enhances investors’ understanding of the company’s performance. This information should be considered in addition to, but not in lieu of, information prepared in accordance with GAAP.
(1) Amounts included in materials and production costs reflect expenses of $1.2 billion for the amortization of intangible assets recognized as a result of mergers and acquisitions, as well as $330 million of impairment charges on product intangibles. Amounts included in marketing and administrative expenses reflect merger integration costs. Amounts included in research and development expenses represent in-process research and development (“IPR&D”) impairment charges.
(2) Amounts primarily include employee separation costs and accelerated depreciation associated with facilities to be closed or divested related to actions under the company’s formal restructuring programs.
(3) Represents the estimated tax impact on the reconciling items.
MERCK & CO., INC.
CONSOLIDATED STATEMENT OF INCOME
GAAP TO NON-GAAP RECONCILIATION
SIX MONTHS ENDED JUNE 30, 2013
(AMOUNTS IN MILLIONS, EXCEPT PER SHARE FIGURES)
(UNAUDITED)
Table 2d
|
|
|
GAAP |
|
Acquisition and |
|
Restructuring |
|
Certain Other |
|
Adjustment |
|
Non-GAAP |
| |||
|
Sales |
|
$ |
21,681 |
|
|
|
|
|
|
|
|
|
$ |
21,681 |
| |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
| |||
|
Costs, Expenses and Other |
|
|
|
|
|
|
|
|
|
|
|
|
| |||
|
Materials and production |
|
8,243 |
|
2,699 |
|
136 |
|
|
|
2,835 |
|
5,408 |
| |||
|
Marketing and administrative |
|
6,126 |
|
42 |
|
33 |
|
|
|
75 |
|
6,051 |
| |||
|
Research and development |
|
4,008 |
|
264 |
|
29 |
|
|
|
293 |
|
3,715 |
| |||
|
Restructuring costs |
|
274 |
|
|
|
274 |
|
|
|
274 |
|
— |
| |||
|
Equity income from affiliates |
|
(249 |
) |
|
|
|
|
|
|
|
|
(249 |
) | |||
|
Other (income) expense, net |
|
484 |
|
|
|
|
|
(13 |
) |
(13 |
) |
497 |
| |||
|
Income Before Taxes |
|
2,795 |
|
(3,005 |
) |
(472 |
) |
13 |
|
(3,464 |
) |
6,259 |
| |||
|
Taxes on Income |
|
244 |
|
|
|
|
|
|
|
(848 |
)(3) |
1,092 |
| |||
|
Net Income |
|
2,551 |
|
|
|
|
|
|
|
(2,616 |
) |
5,167 |
| |||
|
Less: Net Income Attributable to Noncontrolling Interests |
|
52 |
|
|
|
|
|
|
|
|
|
52 |
| |||
|
Net Income Attributable to Merck & Co., Inc. |
|
$ |
2,499 |
|
|
|
|
|
|
|
$ |
(2,616 |
) |
$ |
5,115 |
|
|
Earnings per Common Share Assuming Dilution |
|
$ |
0.82 |
|
|
|
|
|
|
|
|
|
$ |
1.69 |
| |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
| |||
|
Average Shares Outstanding Assuming Dilution |
|
3,030 |
|
|
|
|
|
|
|
|
|
3,030 |
| |||
|
Tax Rate |
|
8.7 |
% |
|
|
|
|
|
|
|
|
17.4 |
% | |||
Merck is providing non-GAAP information that excludes certain items because of the nature of these items and the impact they have on the analysis of underlying business performance and trends. Management believes that providing this information enhances investors’ understanding of the company’s performance. This information should be considered in addition to, but not in lieu of, information prepared in accordance with GAAP.
(1) Amounts included in materials and production costs reflect expenses of $2.4 billion for the amortization of intangible assets recognized as a result of mergers and acquisitions, as well as $330 million of impairment charges on product intangibles. Amounts included in marketing and administrative expenses reflect merger integration costs. Amounts included in research and development expenses represent in-process research and development (“IPR&D”) impairment charges.
(2) Amounts primarily include employee separation costs and accelerated depreciation associated with facilities to be closed or divested related to actions under the company’s formal restructuring programs.
(3) Represents the estimated tax impact on the reconciling items, as well as a benefit of approximately $160 million associated with the resolution of a previously disclosed federal income tax issue.
MERCK & CO., INC.
FRANCHISE / KEY PRODUCT SALES
SECOND QUARTER 2014
(AMOUNTS IN MILLIONS)
Table 3a
|
|
|
Global |
|
U.S. |
|
International |
| ||||||||||||||||||
|
|
|
2Q 2014 |
|
2Q 2013 |
|
% Change |
|
2Q 2014 |
|
2Q 2013 |
|
% Change |
|
2Q 2014 |
|
2Q 2013 |
|
% Change |
| ||||||
|
TOTAL SALES (1) |
|
$ |
10,934 |
|
$ |
11,010 |
|
-1 |
|
$ |
4,429 |
|
$ |
4,608 |
|
-4 |
|
$ |
6,505 |
|
$ |
6,402 |
|
2 |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
| ||||||
|
PHARMACEUTICAL |
|
9,087 |
|
9,310 |
|
-2 |
|
3,462 |
|
3,689 |
|
-6 |
|
5,625 |
|
5,622 |
|
|
| ||||||
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
| ||||||
|
Primary Care and Women’s Health |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
| ||||||
|
Cardiovascular |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
| ||||||
|
Zetia |
|
717 |
|
650 |
|
10 |
|
408 |
|
351 |
|
16 |
|
309 |
|
299 |
|
3 |
| ||||||
|
Vytorin |
|
417 |
|
417 |
|
|
|
158 |
|
170 |
|
-7 |
|
259 |
|
247 |
|
5 |
| ||||||
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
| ||||||
|
Diabetes & Obesity |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
| ||||||
|
Januvia |
|
1,058 |
|
1,072 |
|
-1 |
|
566 |
|
571 |
|
-1 |
|
492 |
|
501 |
|
-2 |
| ||||||
|
Janumet |
|
519 |
|
474 |
|
9 |
|
235 |
|
235 |
|
|
|
284 |
|
239 |
|
19 |
| ||||||
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
| ||||||
|
General Medicine & Women’s Health |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
| ||||||
|
NuvaRing |
|
178 |
|
171 |
|
4 |
|
112 |
|
107 |
|
4 |
|
66 |
|
64 |
|
4 |
| ||||||
|
Implanon |
|
119 |
|
102 |
|
16 |
|
67 |
|
51 |
|
31 |
|
52 |
|
51 |
|
2 |
| ||||||
|
Follistim AQ |
|
102 |
|
134 |
|
-24 |
|
30 |
|
62 |
|
-51 |
|
72 |
|
73 |
|
-1 |
| ||||||
|
Dulera |
|
103 |
|
79 |
|
30 |
|
98 |
|
75 |
|
31 |
|
5 |
|
4 |
|
21 |
| ||||||
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
| ||||||
|
Hospital and Specialty |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
| ||||||
|
Hepatitis |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
| ||||||
|
PegIntron |
|
103 |
|
142 |
|
-27 |
|
8 |
|
13 |
|
-40 |
|
95 |
|
129 |
|
-26 |
| ||||||
|
Victrelis |
|
46 |
|
116 |
|
-60 |
|
1 |
|
52 |
|
-99 |
|
46 |
|
64 |
|
-29 |
| ||||||
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
| ||||||
|
HIV |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
| ||||||
|
Isentress |
|
453 |
|
412 |
|
10 |
|
228 |
|
218 |
|
5 |
|
225 |
|
195 |
|
16 |
| ||||||
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
| ||||||
|
Hospital |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
| ||||||
|
Cancidas |
|
156 |
|
163 |
|
-5 |
|
4 |
|
8 |
|
-49 |
|
152 |
|
155 |
|
-2 |
| ||||||
|
Invanz |
|
134 |
|
120 |
|
12 |
|
64 |
|
61 |
|
4 |
|
71 |
|
59 |
|
20 |
| ||||||
|
Noxafil |
|
98 |
|
71 |
|
38 |
|
35 |
|
22 |
|
62 |
|
63 |
|
49 |
|
28 |
| ||||||
|
Bridion |
|
82 |
|
69 |
|
20 |
|
|
|
|
|
|
|
82 |
|
69 |
|
20 |
| ||||||
|
Primaxin |
|
81 |
|
85 |
|
-5 |
|
|
|
4 |
|
* |
|
81 |
|
81 |
|
|
| ||||||
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
| ||||||
|
Immunology |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
| ||||||
|
Remicade |
|
607 |
|
527 |
|
15 |
|
|
|
|
|
|
|
607 |
|
527 |
|
15 |
| ||||||
|
Simponi |
|
174 |
|
120 |
|
44 |
|
|
|
|
|
|
|
174 |
|
120 |
|
44 |
| ||||||
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
| ||||||
|
Other |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
| ||||||
|
Cosopt / Trusopt |
|
100 |
|
103 |
|
-3 |
|
|
|
5 |
|
-97 |
|
99 |
|
98 |
|
1 |
| ||||||
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
| ||||||
|
Oncology |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
| ||||||
|
Emend |
|
144 |
|
135 |
|
7 |
|
78 |
|
74 |
|
5 |
|
66 |
|
61 |
|
9 |
| ||||||
|
Temodar |
|
93 |
|
219 |
|
-57 |
|
5 |
|
108 |
|
-95 |
|
88 |
|
111 |
|
-21 |
| ||||||
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
| ||||||
|
Diversified Brands |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
| ||||||
|
Respiratory |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
| ||||||
|
Nasonex |
|
258 |
|
325 |
|
-21 |
|
141 |
|
177 |
|
-20 |
|
117 |
|
148 |
|
-21 |
| ||||||
|
Singulair |
|
284 |
|
281 |
|
1 |
|
8 |
|
15 |
|
-43 |
|
275 |
|
266 |
|
4 |
| ||||||
|
Clarinex |
|
69 |
|
64 |
|
7 |
|
5 |
|
2 |
|
* |
|
64 |
|
63 |
|
2 |
| ||||||
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
| ||||||
|
Other |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
| ||||||
|
Cozaar / Hyzaar |
|
214 |
|
255 |
|
-16 |
|
8 |
|
5 |
|
79 |
|
206 |
|
250 |
|
-18 |
| ||||||
|
Arcoxia |
|
141 |
|
121 |
|
16 |
|
|
|
|
|
|
|
141 |
|
121 |
|
16 |
| ||||||
|
Fosamax |
|
121 |
|
144 |
|
-16 |
|
6 |
|
4 |
|
27 |
|
116 |
|
140 |
|
-17 |
| ||||||
|
Zocor |
|
69 |
|
74 |
|
-8 |
|
5 |
|
6 |
|
-11 |
|
63 |
|
68 |
|
-7 |
| ||||||
|
Propecia |
|
58 |
|
67 |
|
-14 |
|
5 |
|
5 |
|
-5 |
|
53 |
|
62 |
|
-15 |
| ||||||
|
Remeron |
|
40 |
|
53 |
|
-26 |
|
1 |
|
1 |
|
-15 |
|
39 |
|
52 |
|
-26 |
| ||||||
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
| ||||||
|
Vaccines |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
| ||||||
|
Gardasil |
|
409 |
|
383 |
|
7 |
|
294 |
|
252 |
|
16 |
|
115 |
|
131 |
|
-12 |
| ||||||
|
ProQuad, M-M-R II and Varivax |
|
326 |
|
339 |
|
-4 |
|
276 |
|
301 |
|
-8 |
|
50 |
|
38 |
|
31 |
| ||||||
|
RotaTeq |
|
147 |
|
144 |
|
3 |
|
101 |
|
98 |
|
4 |
|
46 |
|
46 |
|
1 |
| ||||||
|
Zostavax |
|
156 |
|
141 |
|
11 |
|
116 |
|
122 |
|
-5 |
|
40 |
|
19 |
|
* |
| ||||||
|
Pneumovax 23 |
|
102 |
|
108 |
|
-6 |
|
85 |
|
80 |
|
6 |
|
17 |
|
28 |
|
-38 |
| ||||||
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
| ||||||
|
Other Pharmaceutical (2) |
|
1,209 |
|
1,430 |
|
-15 |
|
314 |
|
434 |
|
-28 |
|
895 |
|
994 |
|
-10 |
| ||||||
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
| ||||||
|
ANIMAL HEALTH |
|
872 |
|
851 |
|
2 |
|
185 |
|
219 |
|
-16 |
|
687 |
|
632 |
|
9 |
| ||||||
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
| ||||||
|
CONSUMER CARE (3) |
|
583 |
|
490 |
|
19 |
|
406 |
|
390 |
|
4 |
|
177 |
|
99 |
|
78 |
| ||||||
|
Claritin OTC |
|
153 |
|
78 |
|
95 |
|
110 |
|
108 |
|
2 |
|
44 |
|
(29 |
) |
* |
| ||||||
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
| ||||||
|
Other Revenues (4) |
|
392 |
|
359 |
|
9 |
|
376 |
|
310 |
|
21 |
|
16 |
|
48 |
|
-66 |
| ||||||
|
Astra |
|
316 |
|
245 |
|
29 |
|
316 |
|
245 |
|
29 |
|
|
|
|
|
|
| ||||||
* 100% or greater
(1) Only select products are shown.
(2) Includes Pharmaceutical products not individually shown above. Other Vaccines sales included in Other Pharmaceutical were $76 million and $86 million on a global basis for second quarter 2014 and 2013, respectively.
(3) Second quarter 2013 includes a reduction to Consumer Care sales that reflects the termination in China of distribution arrangements and a reversal of sales previously made to those distributors, together with associated termination costs.
(4) Other revenues are comprised primarily of alliance revenue, third-party manufacturing sales and miscellaneous corporate revenues, including revenue hedging activities. On October 1, 2013, the Company divested a substantial portion of its third-party manufacturing sales.
MERCK & CO., INC.
FRANCHISE / KEY PRODUCT SALES
JUNE YEAR-TO-DATE 2014
(AMOUNTS IN MILLIONS)
Table 3b
|
|
|
Global |
|
U.S. |
|
International |
| ||||||||||||||||||
|
|
|
June YTD 14 |
|
June YTD 13 |
|
% Change |
|
June YTD 14 |
|
June YTD 13 |
|
% Change |
|
June YTD 14 |
|
June YTD 13 |
|
% Change |
| ||||||
|
TOTAL SALES (1) |
|
$ |
21,198 |
|
$ |
21,681 |
|
-2 |
|
$ |
8,574 |
|
$ |
8,823 |
|
-3 |
|
$ |
12,624 |
|
$ |
12,858 |
|
-2 |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
| ||||||
|
PHARMACEUTICAL |
|
17,538 |
|
18,201 |
|
-4 |
|
6,592 |
|
6,945 |
|
-5 |
|
10,946 |
|
11,257 |
|
-3 |
| ||||||
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
| ||||||
|
Primary Care and Women’s Health |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
| ||||||
|
Cardiovascular |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
| ||||||
|
Zetia |
|
1,328 |
|
1,279 |
|
4 |
|
732 |
|
685 |
|
7 |
|
596 |
|
594 |
|
|
| ||||||
|
Vytorin |
|
777 |
|
810 |
|
-4 |
|
277 |
|
326 |
|
-15 |
|
500 |
|
484 |
|
3 |
| ||||||
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
| ||||||
|
Diabetes & Obesity |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
| ||||||
|
Januvia |
|
1,916 |
|
1,956 |
|
-2 |
|
1,040 |
|
1,033 |
|
1 |
|
876 |
|
923 |
|
-5 |
| ||||||
|
Janumet |
|
995 |
|
883 |
|
13 |
|
448 |
|
432 |
|
4 |
|
547 |
|
451 |
|
21 |
| ||||||
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
| ||||||
|
General Medicine & Women’s Health |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
| ||||||
|
NuvaRing |
|
346 |
|
322 |
|
7 |
|
215 |
|
197 |
|
9 |
|
131 |
|
125 |
|
5 |
| ||||||
|
Implanon |
|
221 |
|
187 |
|
18 |
|
127 |
|
94 |
|
35 |
|
94 |
|
93 |
|
1 |
| ||||||
|
Follistim AQ |
|
213 |
|
257 |
|
-17 |
|
64 |
|
103 |
|
-37 |
|
148 |
|
154 |
|
-4 |
| ||||||
|
Dulera |
|
205 |
|
147 |
|
39 |
|
194 |
|
140 |
|
39 |
|
10 |
|
7 |
|
46 |
| ||||||
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
| ||||||
|
Hospital and Specialty |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
| ||||||
|
Hepatitis |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
| ||||||
|
PegIntron |
|
216 |
|
268 |
|
-19 |
|
12 |
|
23 |
|
-45 |
|
203 |
|
245 |
|
-17 |
| ||||||
|
Victrelis |
|
105 |
|
226 |
|
-53 |
|
5 |
|
88 |
|
-94 |
|
100 |
|
138 |
|
-27 |
| ||||||
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
| ||||||
|
HIV |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
| ||||||
|
Isentress |
|
843 |
|
775 |
|
9 |
|
419 |
|
405 |
|
3 |
|
424 |
|
370 |
|
15 |
| ||||||
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
| ||||||
|
Hospital |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
| ||||||
|
Cancidas |
|
322 |
|
326 |
|
-1 |
|
11 |
|
15 |
|
-25 |
|
311 |
|
311 |
|
|
| ||||||
|
Invanz |
|
249 |
|
230 |
|
8 |
|
123 |
|
115 |
|
7 |
|
125 |
|
115 |
|
9 |
| ||||||
|
Noxafil |
|
172 |
|
136 |
|
26 |
|
55 |
|
40 |
|
37 |
|
118 |
|
97 |
|
22 |
| ||||||
|
Bridion |
|
155 |
|
131 |
|
18 |
|
|
|
|
|
|
|
155 |
|
131 |
|
18 |
| ||||||
|
Primaxin |
|
151 |
|
168 |
|
-10 |
|
3 |
|
7 |
|
-57 |
|
148 |
|
161 |
|
-8 |
| ||||||
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
| ||||||
|
Immunology |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
| ||||||
|
Remicade |
|
1,211 |
|
1,076 |
|
13 |
|
|
|
|
|
|
|
1,211 |
|
1,076 |
|
13 |
| ||||||
|
Simponi |
|
330 |
|
228 |
|
45 |
|
|
|
|
|
|
|
330 |
|
228 |
|
45 |
| ||||||
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
| ||||||
|
Other |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
| ||||||
|
Cosopt / Trusopt |
|
198 |
|
209 |
|
-5 |
|
1 |
|
9 |
|
-87 |
|
197 |
|
200 |
|
-1 |
| ||||||
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
| ||||||
|
Oncology |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
| ||||||
|
Emend |
|
266 |
|
250 |
|
6 |
|
148 |
|
140 |
|
6 |
|
118 |
|
110 |
|
7 |
| ||||||
|
Temodar |
|
176 |
|
434 |
|
-59 |
|
4 |
|
215 |
|
-98 |
|
172 |
|
219 |
|
-21 |
| ||||||
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
| ||||||
|
Diversified Brands |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
| ||||||
|
Respiratory |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
| ||||||
|
Nasonex |
|
570 |
|
711 |
|
-20 |
|
274 |
|
327 |
|
-16 |
|
295 |
|
383 |
|
-23 |
| ||||||
|
Singulair |
|
554 |
|
618 |
|
-10 |
|
13 |
|
16 |
|
-19 |
|
541 |
|
601 |
|
-10 |
| ||||||
|
Clarinex |
|
131 |
|
125 |
|
5 |
|
11 |
|
7 |
|
56 |
|
120 |
|
118 |
|
1 |
| ||||||
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
| ||||||
|
Other |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
| ||||||
|
Cozaar / Hyzaar |
|
419 |
|
522 |
|
-20 |
|
14 |
|
16 |
|
-9 |
|
405 |
|
506 |
|
-20 |
| ||||||
|
Arcoxia |
|
268 |
|
242 |
|
11 |
|
|
|
|
|
|
|
268 |
|
242 |
|
11 |
| ||||||
|
Fosamax |
|
245 |
|
281 |
|
-13 |
|
9 |
|
9 |
|
|
|
235 |
|
271 |
|
-13 |
| ||||||
|
Zocor |
|
133 |
|
156 |
|
-15 |
|
10 |
|
12 |
|
-17 |
|
123 |
|
144 |
|
-15 |
| ||||||
|
Propecia |
|
131 |
|
135 |
|
-3 |
|
10 |
|
12 |
|
-17 |
|
122 |
|
124 |
|
-2 |
| ||||||
|
Remeron |
|
90 |
|
106 |
|
-15 |
|
2 |
|
2 |
|
-26 |
|
88 |
|
103 |
|
-15 |
| ||||||
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
| ||||||
|
Vaccines |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
| ||||||
|
Gardasil |
|
792 |
|
773 |
|
3 |
|
564 |
|
499 |
|
13 |
|
228 |
|
273 |
|
-17 |
| ||||||
|
ProQuad, M-M-R II and Varivax |
|
606 |
|
611 |
|
-1 |
|
517 |
|
547 |
|
-6 |
|
89 |
|
64 |
|
38 |
| ||||||
|
RotaTeq |
|
316 |
|
306 |
|
3 |
|
231 |
|
228 |
|
2 |
|
85 |
|
78 |
|
9 |
| ||||||
|
Zostavax |
|
298 |
|
309 |
|
-3 |
|
245 |
|
274 |
|
-11 |
|
53 |
|
35 |
|
52 |
| ||||||
|
Pneumovax 23 |
|
203 |
|
219 |
|
-7 |
|
168 |
|
166 |
|
1 |
|
35 |
|
53 |
|
-34 |
| ||||||
|
Other Pharmaceutical (2) |
|
2,387 |
|
2,789 |
|
-14 |
|
646 |
|
763 |
|
-15 |
|
1,745 |
|
2,027 |
|
-14 |
| ||||||
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
| ||||||
|
ANIMAL HEALTH |
|
1,685 |
|
1,691 |
|
|
|
362 |
|
450 |
|
-20 |
|
1,323 |
|
1,241 |
|
7 |
| ||||||
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
| ||||||
|
CONSUMER CARE (3) |
|
1,130 |
|
1,061 |
|
6 |
|
796 |
|
790 |
|
1 |
|
334 |
|
271 |
|
23 |
| ||||||
|
Claritin OTC |
|
323 |
|
256 |
|
26 |
|
249 |
|
254 |
|
-2 |
|
74 |
|
2 |
|
* |
| ||||||
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
| ||||||
|
Other Revenues (4) |
|
845 |
|
727 |
|
16 |
|
825 |
|
638 |
|
29 |
|
20 |
|
89 |
|
-77 |
| ||||||
|
Astra |
|
463 |
|
507 |
|
-9 |
|
463 |
|
507 |
|
-9 |
|
|
|
|
|
|
| ||||||
* 100% or greater
(1) Only select products are shown.
(2) Includes Pharmaceutical products not individually shown above. Other Vaccines sales included in Other Pharmaceutical were $175 million and $140 million on a global basis for June YTD 2014 and 2013, respectively.
(3) June YTD 2013 includes a reduction to Consumer Care sales that reflects the termination in China of distribution arrangements and a reversal of sales previously made to those distributors, together with associated termination costs.
(4) Other revenues are comprised primarily of alliance revenue, third-party manufacturing sales and miscellaneous corporate revenues, including revenue hedging activities. On October 1, 2013, the Company divested a substantial portion of its third-party manufacturing sales. Other revenues in June YTD 2014 include $232 million of revenue recognized in connection with the sale of U.S. Saphris rights.
MERCK & CO., INC.
PHARMACEUTICAL GEOGRAPHIC SALES
(AMOUNTS IN MILLIONS)
(UNAUDITED)
Table 3c
|
|
|
2014 |
|
2013 |
|
% Change |
| |||||||||||||||||||||||||
|
|
|
1Q |
|
2Q |
|
June |
|
1Q |
|
2Q |
|
June |
|
3Q |
|
4Q |
|
Full |
|
2Q |
|
June |
| |||||||||
|
TOTAL PHARMACEUTICAL |
|
$ |
8,451 |
|
$ |
9,087 |
|
$ |
17,538 |
|
$ |
8,891 |
|
$ |
9,310 |
|
$ |
18,201 |
|
$ |
9,475 |
|
$ |
9,760 |
|
$ |
37,437 |
|
-2 |
|
-4 |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
| |||||||||
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
| |||||||||
|
United States |
|
3,130 |
|
3,462 |
|
6,592 |
|
3,256 |
|
3,689 |
|
6,945 |
|
4,148 |
|
3,761 |
|
14,854 |
|
-6 |
|
-5 |
| |||||||||
|
% Pharmaceutical Sales |
|
37.0 |
% |
38.1 |
% |
37.6 |
% |
36.6 |
% |
39.6 |
% |
38.2 |
% |
43.8 |
% |
38.5 |
% |
39.7 |
% |
|
|
|
| |||||||||
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
| |||||||||
|
Europe (1) |
|
2,478 |
|
2,537 |
|
5,015 |
|
2,465 |
|
2,343 |
|
4,808 |
|
2,276 |
|
2,535 |
|
9,619 |
|
8 |
|
4 |
| |||||||||
|
% Pharmaceutical Sales |
|
29.3 |
% |
27.9 |
% |
28.6 |
% |
27.7 |
% |
25.2 |
% |
26.4 |
% |
24.0 |
% |
26.0 |
% |
25.7 |
% |
|
|
|
| |||||||||
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
| |||||||||
|
Japan |
|
835 |
|
859 |
|
1,694 |
|
1,034 |
|
948 |
|
1,982 |
|
893 |
|
1,074 |
|
3,949 |
|
-9 |
|
-15 |
| |||||||||
|
% Pharmaceutical Sales |
|
9.9 |
% |
9.5 |
% |
9.7 |
% |
11.6 |
% |
10.2 |
% |
10.9 |
% |
9.4 |
% |
11.0 |
% |
10.5 |
% |
|
|
|
| |||||||||
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
| |||||||||
|
Asia Pacific |
|
809 |
|
840 |
|
1,650 |
|
822 |
|
874 |
|
1,696 |
|
799 |
|
870 |
|
3,365 |
|
-4 |
|
-3 |
| |||||||||
|
% Pharmaceutical Sales |
|
9.6 |
% |
9.2 |
% |
9.4 |
% |
9.2 |
% |
9.4 |
% |
9.3 |
% |
8.4 |
% |
8.9 |
% |
9.0 |
% |
|
|
|
| |||||||||
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
| |||||||||
|
China |
|
282 |
|
309 |
|
592 |
|
271 |
|
297 |
|
568 |
|
242 |
|
293 |
|
1,103 |
|
4 |
|
4 |
| |||||||||
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
| |||||||||
|
Latin America |
|
538 |
|
668 |
|
1,205 |
|
596 |
|
676 |
|
1,272 |
|
628 |
|
667 |
|
2,567 |
|
-2 |
|
-5 |
| |||||||||
|
% Pharmaceutical Sales |
|
6.4 |
% |
7.3 |
% |
6.9 |
% |
6.7 |
% |
7.3 |
% |
7.0 |
% |
6.6 |
% |
6.8 |
% |
6.9 |
% |
|
|
|
| |||||||||
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
| |||||||||
|
Eastern Europe/Middle East Africa |
|
415 |
|
459 |
|
874 |
|
439 |
|
479 |
|
917 |
|
431 |
|
534 |
|
1,883 |
|
-4 |
|
-5 |
| |||||||||
|
% Pharmaceutical Sales |
|
4.9 |
% |
5.1 |
% |
5.0 |
% |
4.9 |
% |
5.1 |
% |
5.0 |
% |
4.5 |
% |
5.5 |
% |
5.0 |
% |
|
|
|
| |||||||||
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
| |||||||||
|
Canada |
|
200 |
|
218 |
|
418 |
|
245 |
|
257 |
|
502 |
|
253 |
|
276 |
|
1,030 |
|
-15 |
|
-17 |
| |||||||||
|
% Pharmaceutical Sales |
|
2.4 |
% |
2.4 |
% |
2.4 |
% |
2.8 |
% |
2.8 |
% |
2.8 |
% |
2.7 |
% |
2.8 |
% |
2.8 |
% |
|
|
|
| |||||||||
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
| |||||||||
|
Other |
|
46 |
|
44 |
|
90 |
|
34 |
|
45 |
|
79 |
|
47 |
|
43 |
|
170 |
|
-3 |
|
13 |
| |||||||||
|
% Pharmaceutical Sales |
|
0.5 |
% |
0.5 |
% |
0.5 |
% |
0.4 |
% |
0.5 |
% |
0.4 |
% |
0.5 |
% |
0.4 |
% |
0.5 |
% |
|
|
|
| |||||||||
(1) Europe primarily represents all European Union countries and the European Union accession markets.
MERCK & CO., INC.
SECOND QUARTER 2014
EQUITY INCOME / JV SALES / OTHER (INCOME) EXPENSE, NET - GAAP
(AMOUNTS IN MILLIONS)
(UNAUDITED)
Table 4
EQUITY INCOME FROM AFFILIATES
|
|
|
|
|
|
|
June YTD |
|
June YTD |
| ||||
|
|
|
2Q14 |
|
2Q13 |
|
2014 |
|
2013 |
| ||||
|
ASTRAZENECA LP (1) |
|
$ |
94 |
|
$ |
105 |
|
$ |
192 |
|
$ |
230 |
|
|
Other (2) |
|
(2 |
) |
11 |
|
25 |
|
19 |
| ||||
|
TOTAL |
|
$ |
92 |
|
$ |
116 |
|
$ |
217 |
|
$ |
249 |
|
(1) Effective July 1, 2014, the Company no longers records equity income from AstraZeneca LP.
(2) Includes results for Sanofi Pasteur MSD.
SANOFI PASTEUR MSD JOINT VENTURE SALES DETAIL
All sales reported here are end-market JV sales, presented on a “NET” basis.
|
|
|
|
|
|
|
June YTD |
|
June YTD |
| ||||
|
|
|
2Q14 |
|
2Q13 |
|
2014 |
|
2013 |
| ||||
|
GARDASIL |
|
$ |
55 |
|
$ |
61 |
|
$ |
119 |
|
$ |
134 |
|
|
OTHER VIRAL VACCINES |
|
21 |
|
27 |
|
46 |
|
56 |
| ||||
|
ROTATEQ |
|
15 |
|
13 |
|
32 |
|
27 |
| ||||
|
HEPATITIS VACCINES |
|
8 |
|
7 |
|
17 |
|
15 |
| ||||
|
ZOSTAVAX |
|
30 |
|
— |
|
37 |
|
— |
| ||||
|
Other Vaccines |
|
84 |
|
99 |
|
179 |
|
205 |
| ||||
|
TOTAL SANOFI PASTEUR MSD SALES |
|
$ |
213 |
|
$ |
207 |
|
$ |
430 |
|
$ |
437 |
|
OTHER (INCOME) EXPENSE, NET
|
|
|
|
|
|
|
June YTD |
|
June YTD |
| ||||
|
|
|
2Q14 |
|
2Q13 |
|
2014 |
|
2013 |
| ||||
|
|
|
|
|
|
|
|
|
|
| ||||
|
INTEREST INCOME |
|
$ |
(59 |
) |
$ |
(65 |
) |
$ |
(121 |
) |
$ |
(122 |
) |
|
INTEREST EXPENSE |
|
188 |
|
201 |
|
376 |
|
385 |
| ||||
|
EXCHANGE LOSSES |
|
20 |
|
55 |
|
53 |
|
267 |
| ||||
|
Other, net (1) |
|
(707 |
) |
10 |
|
(904 |
) |
(46 |
) | ||||
|
TOTAL |
|
$ |
(558 |
) |
$ |
201 |
|
$ |
(596 |
) |
$ |
484 |
|
(1) Other, net in the second quarter and first six months of 2014 includes a $741 million gain on AstraZeneca’s option exercise.