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EX-99.1 - EX-99.1 - Merck & Co., Inc.a17-24456_1ex99d1.htm
8-K - 8-K - Merck & Co., Inc.a17-24456_18k.htm

Exhibit 99.2

 

MERCK & CO., INC.

CONSOLIDATED STATEMENT OF INCOME - GAAP

(AMOUNTS IN MILLIONS, EXCEPT PER SHARE FIGURES)

(UNAUDITED)

Table 1a

 

 

 

2017

 

2016

 

% Change

 

 

 

1Q

 

2Q

 

3Q

 

Sep YTD

 

1Q

 

2Q

 

3Q

 

Sep YTD

 

4Q

 

Full Year

 

3Q

 

Sep YTD

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Sales

 

$

9,434

 

$

9,930

 

$

10,325

 

$

29,689

 

$

9,312

 

$

9,844

 

$

10,536

 

$

29,692

 

$

10,115

 

$

39,807

 

-2

%

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Costs, Expenses and Other

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Materials and production

 

3,015

 

3,080

 

3,274

 

9,369

 

3,572

 

3,578

 

3,409

 

10,559

 

3,332

 

13,891

 

-4

%

-11

%

Marketing and administrative

 

2,411

 

2,438

 

2,401

 

7,251

 

2,318

 

2,458

 

2,393

 

7,169

 

2,593

 

9,762

 

 

1

%

Research and development

 

1,796

 

1,749

 

4,383

 

7,927

 

1,659

 

2,151

 

1,664

 

5,475

 

4,650

 

10,124

 

*

 

45

%

Restructuring costs

 

151

 

166

 

153

 

470

 

91

 

134

 

161

 

386

 

265

 

651

 

-5

%

22

%

Other (income) expense, net

 

58

 

58

 

(86

)

30

 

48

 

19

 

22

 

88

 

631

 

720

 

*

 

-66

%

Income (Loss) Before Taxes

 

2,003

 

2,439

 

200

 

4,642

 

1,624

 

1,504

 

2,887

 

6,015

 

(1,356

)

4,659

 

-93

%

-23

%

Income Tax Provision (Benefit)

 

447

 

488

 

251

 

1,186

 

494

 

295

 

699

 

1,487

 

(769

)

718

 

 

 

 

 

Net Income (Loss)

 

1,556

 

1,951

 

(51

)

3,456

 

1,130

 

1,209

 

2,188

 

4,528

 

(587

)

3,941

 

*

 

-24

%

Less: Net Income Attributable to Noncontrolling Interests

 

5

 

5

 

5

 

16

 

5

 

4

 

4

 

13

 

7

 

21

 

 

 

 

 

Net Income (Loss) Attributable to Merck & Co., Inc.

 

$

1,551

 

$

1,946

 

$

(56

)

$

3,440

 

$

1,125

 

$

1,205

 

$

2,184

 

$

4,515

 

$

(594

)

$

3,920

 

*

 

-24

%

Earnings (Loss) per Common Share Assuming Dilution (1)

 

$

0.56

 

$

0.71

 

$

(0.02

)

$

1.25

 

$

0.40

 

$

0.43

 

$

0.78

 

$

1.62

 

$

(0.22

)

$

1.41

 

*

 

-23

%

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Average Shares Outstanding Assuming Dilution (1)

 

2,766

 

2,752

 

2,727

 

2,754

 

2,795

 

2,789

 

2,786

 

2,791

 

2,755

 

2,787

 

 

 

 

 

Tax Rate

 

22.3

%

20.0

%

125.5

%

25.5

%

30.4

%

19.6

%

24.2

%

24.7

%

56.7

%

15.4

%

 

 

 

 

 

* 100% or greater

 

Sum of quarterly amounts may not equal year-to-date amounts due to rounding.

 

(1) Because the company recorded net losses in the third quarter of 2017 and fourth quarter of 2016, no potential dilutive common shares were used in the computations of loss per common share assuming dilution as the effects would have been anti-dilutive.

 



 

MERCK & CO., INC.

GAAP TO NON-GAAP RECONCILIATION

THIRD QUARTER 2016

(AMOUNTS IN MILLIONS, EXCEPT PER SHARE FIGURES)

(UNAUDITED)

Table 2c

 

 

 

 

 

Acquisition and

 

 

 

 

 

 

 

 

 

 

 

 

 

Divestiture-

 

Restructuring

 

Certain Other

 

Adjustment

 

 

 

 

 

GAAP

 

Related Costs (1)

 

Costs (2)

 

Items

 

Subtotal

 

Non-GAAP

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Materials and production

 

$

3,409

 

773

 

36

 

 

 

809

 

$

2,600

 

Marketing and administrative

 

2,393

 

36

 

1

 

 

 

37

 

2,356

 

Research and development

 

1,664

 

13

 

14

 

 

 

27

 

1,637

 

Restructuring costs

 

161

 

 

 

161

 

 

 

161

 

 

Other (income) expense, net

 

22

 

12

 

 

 

(6

)

6

 

16

 

Income Before Taxes

 

2,887

 

(834

)

(212

)

6

 

(1,040

)

3,927

 

Income Tax Provision (Benefit)

 

699

 

(189

)(3)

(47

)(3)

1

(3)

(235

)

934

 

Net Income

 

2,188

 

(645

)

(165

)

5

 

(805

)

2,993

 

Net Income Attributable to Merck & Co., Inc.

 

2,184

 

(645

)

(165

)

5

 

(805

)

2,989

 

Earnings per Common Share Assuming Dilution

 

$

0.78

 

(0.23

)

(0.06

)

 

(0.29

)

$

1.07

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Tax Rate

 

24.2

%

 

 

 

 

 

 

 

 

23.8

%

 

Only the line items that are affected by non-GAAP adjustments are shown.

 

Merck is providing certain 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 results as it permits investors to understand how management assesses performance. Management uses these measures internally for planning and forecasting purposes and to measure the performance of the company along with other metrics. Senior management’s annual compensation is derived in part using non-GAAP income and non-GAAP EPS. This information should be considered in addition to, but not as a substitute for or superior to, information prepared in accordance with GAAP.

 

(1) Amounts included in materials and production costs reflect expenses for the amortization of intangible assets recognized as a result of business acquisitions. Amounts included in marketing and administrative expenses reflect integration, transaction and certain other costs related to business acquisitions and divestitures. Amounts included in research and development expenses primarily reflect expenses related to an increase in the estimated fair value measurement of liabilities for contingent consideration and in-process research and development (IPR&D) impairment charges. Amount included in other (income) expense, net represents a goodwill impairment charge related to a business within the Healthcare Services segment.

 

(2) Amounts primarily include employee separation costs and accelerated depreciation associated with facilities to be closed or divested related to activities under the company’s formal restructuring programs.

 

(3) Represents the estimated tax impact on the reconciling items based on applying the statutory rate of the originating territory of the non-GAAP adjustments.

 



 

MERCK & CO., INC.

GAAP TO NON-GAAP RECONCILIATION

NINE MONTHS ENDED SEPTEMBER 30, 2016

(AMOUNTS IN MILLIONS, EXCEPT PER SHARE FIGURES)

(UNAUDITED)

Table 2d

 

 

 

 

 

Acquisition and

 

 

 

 

 

 

 

 

 

 

 

 

 

Divestiture-

 

Restructuring

 

Certain Other

 

Adjustment

 

 

 

 

 

GAAP

 

Related Costs (1)

 

Costs (2)

 

Items (3)

 

Subtotal

 

Non-GAAP

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Materials and production

 

$

10,559

 

3,279

 

149

 

 

 

3,428

 

$

7,131

 

Marketing and administrative

 

7,169

 

56

 

91

 

 

 

147

 

7,022

 

Research and development

 

5,475

 

255

 

133

 

 

 

388

 

5,087

 

Restructuring costs

 

386

 

 

 

386

 

 

 

386

 

 

Other (income) expense, net

 

88

 

12

 

 

 

(6

)

6

 

82

 

Income Before Taxes

 

6,015

 

(3,602

)

(759

)

6

 

(4,355

)

10,370

 

Income Tax Provision (Benefit)

 

1,487

 

(633

)(3)

(169

)(3)

1

(3)

(801

)

2,288

 

Net Income

 

4,528

 

(2,969

)

(590

)

5

 

(3,554

)

8,082

 

Net Income Attributable to Merck & Co., Inc.

 

4,515

 

(2,969

)

(590

)

5

 

(3,554

)

8,069

 

Earnings per Common Share Assuming Dilution

 

$

1.62

 

(1.06

)

(0.21

)

 

(1.27

)

$

2.89

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Tax Rate

 

24.7

%

 

 

 

 

 

 

 

 

22.1

%

 

Only the line items that are affected by non-GAAP adjustments are shown.

 

Merck is providing certain 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 results as it permits investors to understand how management assesses performance. Management uses these measures internally for planning and forecasting purposes and to measure the performance of the company along with other metrics. Senior management’s annual compensation is derived in part using non-GAAP income and non-GAAP EPS. This information should be considered in addition to, but not as a substitute for or superior to, information prepared in accordance with GAAP.

 

(1) Amounts included in materials and production costs primarily reflect $2.9 billion of expenses for the amortization of intangible assets recognized as a result of business acquisitions, as well as $347 million of intangible asset impairment charges. Amounts included in marketing and administrative expenses reflect integration, transaction and certain other costs related to business acquisitions and divestitures. Amounts included in research and development expenses reflect $225 million of in-process research and development (IPR&D) impairment charges and $30 million of expenses related to an increase in the estimated fair value measurement of liabilities for contingent consideration. Amount included in other (income) expense, net represents a goodwill impairment charge related to a business within the Healthcare Services segment.

 

(2) Amounts primarily include employee separation costs and accelerated depreciation associated with facilities to be closed or divested related to activities under the company’s formal restructuring programs.

 

(3) Represents the estimated tax impact on the reconciling items based on applying the statutory rate of the originating territory of the non-GAAP adjustments.

 



 

MERCK & CO., INC.

FRANCHISE / KEY PRODUCT SALES

THIRD QUARTER 2017

(AMOUNTS IN MILLIONS)

Table 3a

 

 

 

Global

 

U.S.

 

International

 

 

 

3Q 2017

 

3Q 2016

 

% Change

 

3Q 2017

 

3Q 2016

 

% Change

 

3Q 2017

 

3Q 2016

 

% Change

 

TOTAL SALES (1)

 

$

10,325

 

$

10,536

 

-2

 

$

4,594

 

$

5,063

 

-9

 

$

5,732

 

$

5,474

 

5

 

PHARMACEUTICAL

 

9,156

 

9,443

 

-3

 

4,197

 

4,710

 

-11

 

4,959

 

4,733

 

5

 

Primary Care and Women’s Health

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Cardiovascular

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Zetia

 

320

 

671

 

-52

 

65

 

411

 

-84

 

255

 

261

 

-2

 

Vytorin

 

142

 

273

 

-48

 

(6

)

109

 

-106

 

148

 

164

 

-10

 

Atozet

 

59

 

39

 

50

 

 

 

 

 

 

 

59

 

39

 

50

 

Adempas

 

70

 

48

 

46

 

 

 

 

 

 

 

70

 

48

 

46

 

Diabetes

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Januvia

 

1,012

 

1,006

 

1

 

598

 

568

 

5

 

414

 

438

 

-5

 

Janumet

 

513

 

548

 

-6

 

197

 

241

 

-18

 

316

 

307

 

3

 

General Medicine & Women’s Health

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

NuvaRing

 

214

 

195

 

10

 

160

 

144

 

11

 

54

 

51

 

6

 

Implanon / Nexplanon

 

155

 

148

 

5

 

110

 

97

 

14

 

45

 

51

 

-12

 

Follistim AQ

 

72

 

101

 

-29

 

30

 

49

 

-37

 

41

 

52

 

-20

 

Hospital and Specialty

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Hepatitis

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Zepatier

 

468

 

164

 

185

 

228

 

152

 

50

 

241

 

13

 

*

 

HIV

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Isentress / Isentress HD

 

310

 

372

 

-17

 

143

 

215

 

-33

 

167

 

157

 

6

 

Hospital Acute Care

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Bridion

 

185

 

139

 

33

 

63

 

24

 

165

 

122

 

115

 

6

 

Noxafil

 

162

 

147

 

10

 

78

 

65

 

21

 

83

 

82

 

2

 

Invanz

 

159

 

152

 

5

 

93

 

93

 

1

 

66

 

59

 

11

 

Cancidas

 

94

 

142

 

-34

 

6

 

8

 

-26

 

88

 

134

 

-34

 

Cubicin

 

91

 

320

 

-71

 

41

 

264

 

-84

 

50

 

56

 

-10

 

Primaxin

 

73

 

77

 

-5

 

5

 

1

 

*

 

68

 

76

 

-11

 

Immunology

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Simponi

 

219

 

193

 

13

 

 

 

 

 

 

 

219

 

193

 

13

 

Remicade

 

214

 

311

 

-31

 

 

 

 

 

 

 

214

 

311

 

-31

 

Oncology

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Keytruda

 

1,047

 

356

 

194

 

604

 

188

 

*

 

442

 

168

 

164

 

Emend

 

137

 

137

 

 

 

88

 

91

 

-3

 

49

 

46

 

6

 

Temodar

 

68

 

78

 

-13

 

 

 

5

 

-102

 

68

 

73

 

-7

 

Diversified Brands

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Respiratory

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Singulair

 

161

 

239

 

-33

 

16

 

6

 

180

 

145

 

233

 

-38

 

Dulera

 

59

 

97

 

-39

 

52

 

92

 

-43

 

7

 

6

 

20

 

Nasonex

 

42

 

94

 

-55

 

(23

)

20

 

*

 

65

 

74

 

-12

 

Other

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Cozaar / Hyzaar

 

128

 

131

 

-3

 

9

 

4

 

124

 

119

 

128

 

-6

 

Arcoxia

 

80

 

114

 

-30

 

 

 

 

 

 

 

80

 

114

 

-30

 

Fosamax

 

53

 

68

 

-23

 

4

 

2

 

126

 

48

 

66

 

-27

 

Vaccines (2)

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Gardasil / Gardasil 9

 

675

 

860

 

-22

 

484

 

737

 

-34

 

191

 

124

 

54

 

ProQuad / M-M-R II / Varivax

 

519

 

496

 

4

 

419

 

419

 

 

 

100

 

77

 

29

 

Zostavax

 

234

 

190

 

23

 

139

 

138

 

1

 

94

 

52

 

80

 

Pneumovax 23

 

229

 

175

 

31

 

174

 

122

 

42

 

56

 

53

 

5

 

RotaTeq

 

179

 

171

 

4

 

127

 

123

 

3

 

52

 

48

 

7

 

Other Pharmaceutical (3)

 

1,013

 

1,191

 

-15

 

293

 

322

 

-9

 

723

 

864

 

-16

 

ANIMAL HEALTH

 

1,000

 

865

 

16

 

290

 

237

 

22

 

710

 

628

 

13

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Other Revenues (4)

 

169

 

228

 

-26

 

107

 

116

 

-8

 

63

 

113

 

-44

 

 

* 200% or greater

 

(1) Only select products are shown.

 

(2)  Vaccine sales in 2017 include sales in the European markets that were previously part of the Sanofi Pasteur MSD (SPMSD) joint venture that was terminated on December 31, 2016. Amounts for 2016 reflect supply sales to SPMSD.

 

(3) Includes Pharmaceutical products not individually shown above. Other Vaccines sales included in Other Pharmaceutical were $89 million and $135 million on a global basis for third quarter 2017 and 2016, respectively.

 

(4) Other Revenues are comprised primarily of alliance revenue, third-party manufacturing sales and miscellaneous corporate revenues, including revenue hedging activities.

 



 

MERCK & CO., INC.

FRANCHISE / KEY PRODUCT SALES

SEPTEMBER YEAR-TO-DATE 2017

(AMOUNTS IN MILLIONS)

Table 3b

 

 

 

Global

 

U.S.

 

International

 

 

 

Sep YTD

 

Sep YTD

 

 

 

Sep YTD

 

Sep YTD

 

 

 

Sep YTD

 

Sep YTD

 

 

 

 

 

2017

 

2016

 

% Change

 

2017

 

2016

 

% Change

 

2017

 

2016

 

% Change

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

TOTAL SALES (1)

 

$

29,689

 

$

29,692

 

 

 

$

13,096

 

$

13,792

 

-5

 

$

16,593

 

$

15,899

 

4

 

PHARMACEUTICAL

 

26,101

 

26,247

 

-1

 

11,887

 

12,792

 

-7

 

14,214

 

13,455

 

6

 

Primary Care and Women’s Health

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Cardiovascular

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Zetia

 

1,021

 

1,985

 

-49

 

298

 

1,253

 

-76

 

723

 

731

 

-1

 

Vytorin

 

565

 

843

 

-33

 

114

 

341

 

-67

 

451

 

502

 

-10

 

Atozet

 

171

 

96

 

78

 

 

 

 

 

 

 

171

 

96

 

78

 

Adempas

 

221

 

120

 

84

 

 

 

 

 

 

 

221

 

120

 

84

 

Diabetes

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Januvia

 

2,799

 

2,976

 

-6

 

1,646

 

1,748

 

-6

 

1,153

 

1,228

 

-6

 

Janumet

 

1,572

 

1,624

 

-3

 

640

 

724

 

-12

 

933

 

899

 

4

 

General Medicine & Women’s Health

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

NuvaRing

 

573

 

571

 

 

 

425

 

421

 

1

 

148

 

150

 

-1

 

Implanon / Nexplanon

 

503

 

446

 

13

 

367

 

308

 

19

 

137

 

138

 

-1

 

Follistim AQ

 

232

 

268

 

-13

 

104

 

121

 

-14

 

128

 

146

 

-13

 

Hospital and Specialty

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Hepatitis

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Zepatier

 

1,363

 

326

 

*

 

683

 

308

 

122

 

680

 

18

 

*

 

HIV

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Isentress / Isentress HD

 

896

 

1,050

 

-15

 

422

 

546

 

-23

 

474

 

504

 

-6

 

Hospital Acute Care

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Bridion

 

495

 

343

 

44

 

162

 

42

 

*

 

333

 

301

 

10

 

Noxafil

 

458

 

434

 

5

 

220

 

202

 

9

 

237

 

232

 

2

 

Invanz

 

445

 

409

 

9

 

268

 

239

 

12

 

177

 

170

 

4

 

Cancidas

 

327

 

406

 

-19

 

17

 

18

 

-5

 

310

 

388

 

-20

 

Cubicin

 

290

 

969

 

-70

 

148

 

824

 

-82

 

141

 

145

 

-2

 

Primaxin

 

206

 

231

 

-11

 

7

 

3

 

122

 

199

 

228

 

-13

 

Immunology

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Remicade

 

651

 

999

 

-35

 

 

 

 

 

 

 

651

 

999

 

-35

 

Simponi

 

602

 

581

 

4

 

 

 

 

 

 

 

602

 

581

 

4

 

Oncology

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Keytruda

 

2,512

 

919

 

173

 

1,522

 

481

 

*

 

990

 

438

 

126

 

Emend

 

413

 

405

 

2

 

257

 

266

 

-3

 

156

 

140

 

11

 

Temodar

 

198

 

216

 

-8

 

4

 

10

 

-56

 

194

 

207

 

-6

 

Diversified Brands

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Respiratory

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Singulair

 

550

 

705

 

-22

 

28

 

30

 

-5

 

522

 

675

 

-23

 

Nasonex

 

266

 

425

 

-37

 

16

 

161

 

-90

 

250

 

264

 

-5

 

Dulera

 

210

 

331

 

-37

 

191

 

314

 

-39

 

19

 

18

 

7

 

Other

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Cozaar / Hyzaar

 

360

 

389

 

-8

 

15

 

13

 

9

 

345

 

376

 

-8

 

Arcoxia

 

272

 

342

 

-20

 

 

 

 

 

 

 

272

 

342

 

-20

 

Fosamax

 

180

 

217

 

-17

 

7

 

3

 

135

 

173

 

214

 

-19

 

Vaccines (2)

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Gardasil / Gardasil 9

 

1,675

 

1,631

 

3

 

1,195

 

1,371

 

-13

 

481

 

259

 

85

 

ProQuad / M-M-R II / Varivax

 

1,273

 

1,236

 

3

 

1,058

 

1,053

 

 

 

215

 

182

 

18

 

Pneumovax 23

 

558

 

403

 

38

 

392

 

267

 

47

 

166

 

136

 

22

 

Zostavax

 

547

 

464

 

18

 

356

 

363

 

-2

 

191

 

102

 

88

 

RotaTeq

 

525

 

489

 

7

 

377

 

356

 

6

 

148

 

133

 

11

 

Other Pharmaceutical (3)

 

3,172

 

3,398

 

-7

 

948

 

1,006

 

-6

 

2,223

 

2,393

 

-7

 

ANIMAL HEALTH

 

2,894

 

2,594

 

12

 

842

 

726

 

16

 

2,052

 

1,868

 

10

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Other Revenues (4)

 

694

 

851

 

-18

 

367

 

274

 

34

 

327

 

576

 

-43

 

 

* 200% or greater

 

(1) Only select products are shown.

 

(2)  Vaccine sales in 2017 include sales in the European markets that were previously part of the Sanofi Pasteur MSD (SPMSD) joint venture that was terminated on December 31, 2016. Amounts for 2016 reflect supply sales to SPMSD.

 

(3) Includes Pharmaceutical products not individually shown above. Other Vaccines sales included in Other Pharmaceutical were $264 million and $329 million on a global basis for September YTD 2017 and 2016, respectively.

 

(4) Other Revenues are comprised primarily of alliance revenue, third-party manufacturing sales and miscellaneous corporate revenues, including revenue hedging activities.

 



 

MERCK & CO., INC.

PHARMACEUTICAL GEOGRAPHIC SALES

(AMOUNTS IN MILLIONS)

(UNAUDITED)

Table 3c

 

 

 

2017

 

2016

 

% Change

 

 

 

1Q

 

2Q

 

3Q

 

Sep YTD

 

1Q

 

2Q

 

3Q

 

Sep YTD

 

4Q

 

Full Year

 

3Q

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

TOTAL PHARMACEUTICAL

 

$

8,185

 

$

8,759

 

$

9,156

 

$

26,101

 

$

8,104

 

$

8,700

 

$

9,443

 

$

26,247

 

$

8,904

 

$

35,151

 

-3

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

United States

 

3,761

 

3,929

 

4,197

 

11,887

 

3,913

 

4,169

 

4,710

 

12,792

 

4,282

 

17,073

 

-11

 

% Pharmaceutical Sales

 

45.9

%

44.9

%

45.8

%

45.5

%

48.3

%

47.9

%

49.9

%

48.7

%

48.1

%

48.6

%

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Europe (1)

 

1,977

 

2,082

 

2,174

 

6,232

 

1,914

 

1,997

 

1,935

 

5,846

 

1,843

 

7,689

 

12

 

% Pharmaceutical Sales

 

24.2

%

23.8

%

23.7

%

23.9

%

23.6

%

23.0

%

20.5

%

22.3

%

20.7

%

21.9

%

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Japan

 

688

 

818

 

756

 

2,262

 

620

 

673

 

812

 

2,105

 

659

 

2,764

 

-7

 

% Pharmaceutical Sales

 

8.4

%

9.3

%

8.3

%

8.7

%

7.7

%

7.7

%

8.6

%

8.0

%

7.4

%

7.9

%

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Asia Pacific

 

889

 

946

 

994

 

2,829

 

806

 

890

 

914

 

2,611

 

912

 

3,522

 

9

 

% Pharmaceutical Sales

 

10.9

%

10.8

%

10.9

%

10.8

%

9.9

%

10.2

%

9.7

%

9.9

%

10.2

%

10.0

%

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

China

 

328

 

353

 

377

 

1,058

 

337

 

353

 

350

 

1,040

 

333

 

1,374

 

8

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Latin America

 

375

 

462

 

451

 

1,288

 

359

 

430

 

448

 

1,237

 

538

 

1,776

 

1

 

% Pharmaceutical Sales

 

4.6

%

5.3

%

4.9

%

4.9

%

4.4

%

4.9

%

4.7

%

4.7

%

6.0

%

5.1

%

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Eastern Europe/Middle East Africa

 

255

 

314

 

349

 

918

 

272

 

314

 

364

 

950

 

429

 

1,379

 

-4

 

% Pharmaceutical Sales

 

3.1

%

3.6

%

3.8

%

3.5

%

3.4

%

3.6

%

3.9

%

3.6

%

4.8

%

3.9

%

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Canada

 

182

 

171

 

193

 

546

 

147

 

170

 

184

 

501

 

180

 

682

 

5

 

% Pharmaceutical Sales

 

2.2

%

2.0

%

2.1

%

2.1

%

1.8

%

2.0

%

1.9

%

1.9

%

2.0

%

1.9

%

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Other

 

58

 

37

 

42

 

139

 

73

 

57

 

76

 

205

 

61

 

266

 

-45

 

% Pharmaceutical Sales

 

0.7

%

0.4

%

0.5

%

0.5

%

0.9

%

0.7

%

0.8

%

0.8

%

0.7

%

0.8

%

 

 

 

(1) Europe primarily represents all European Union countries and the European Union accession markets.

 



 

MERCK & CO., INC.

OTHER (INCOME) EXPENSE, NET - GAAP

(AMOUNTS IN MILLIONS)

(UNAUDITED)

Table 4

 

 

OTHER (INCOME) EXPENSE, NET

 

 

 

 

 

 

 

Sep YTD

 

Sep YTD

 

 

 

3Q17

 

3Q16

 

2017

 

2016

 

INTEREST INCOME

 

$

(90

)

$

(87

)

$

(284

)

$

(244

)

INTEREST EXPENSE

 

189

 

170

 

564

 

513

 

EXCHANGE (GAINS) LOSSES

 

(6

)

3

 

5

 

79

 

EQUITY INCOME FROM AFFILIATES

 

(18

)

(21

)

(11

)

(59

)

Other, net

 

(161

)

(43

)

(244

)

(201

)

TOTAL

 

$

(86

)

$

22

 

$

30

 

$

88