"We've delivered another excellent quarter to finish 2023, established a strong foundation for continued growth, and started off 2024 with tremendous momentum with additional approvals for CASGEVY, positive Phase 3 results for VX-548 in acute pain," - Reshma Kewalramani, CEO.
— Reshma Kewalramani
03Detailed Report
VRTX
Vertex Pharmaceuticals Incorporated
Period
Q4 2023
CurrencyUSD
Report TypeQuarterly Earnings
GeneratedJun 14, 2026
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Executive Summary
Vertex Pharmaceuticals reported exemplary results for Q4 2023 with revenues reaching $2.52 billion, an increase of 9% compared to Q4 2022, driven primarily by strong demand for TRIKAFTA and new product launches such as CASGEVY. The company achieved $9.87 billion in total revenue for the year, marking an 11% growth from 2022. This financial performance reflects an ongoing trend of double-digit growth for the ninth consecutive year, highlighting robust market positioning amid a favorable regulatory environment and ongoing innovation in their drug portfolio. Management indicated a strong outlook entering 2024, with foundational growth anticipated driven by new therapies and an expanding patient base in cystic fibrosis and pain management treatments.
Key Performance Indicators
Revenue
Increasing
2.52B
QoQ: 1.38% | YoY: 9.34%
Gross Profit
Increasing
2.15B
85.38% margin
QoQ: -0.70% | YoY: 6.45%
Operating Income
Decreasing
958.80M
QoQ: -7.64% | YoY: -7.23%
Net Income
Increasing
968.80M
QoQ: -6.42% | YoY: 18.31%
EPS
Increasing
3.76
QoQ: -6.23% | YoY: 17.87%
Revenue Trend
Margin Analysis
Financial Highlights
- Revenue: $2.52 billion in Q4 2023, up 9% YoY
- Net Income: $968 million, reflecting a net income margin of 38.4%
- EPS: $4.20, a 12% increase YoY
- Operating Income: $1.15 billion, stable compared to Q4 2022
- Cash and Investments: $13.7 billion, showcasing strong liquidity position
- Debt-to-Equity Ratio: 0.046, indicating a very low leverage situation
Management emphasized a significant growth trajectory within cystic fibrosis, with revenues from CF products totaling $9.87 billion for the year, fueled by the new market introduction of CASGEVY, which is widely anticipated to expand treatment options and patient reach.
Income Statement
Metric
Value
YoY Change
QoQ Change
Revenue
2.52B
9.34%
1.38%
Gross Profit
2.15B
6.45%
-0.70%
Operating Income
958.80M
-7.23%
-7.64%
Net Income
968.80M
18.31%
-6.42%
EPS
3.76
17.87%
-6.23%
Key Financial Ratios
Gross Profit Margin
Excellent
85.40%
Gross profit margin is exceptional, indicating strong pricing power and operational efficiency
Operating Profit Margin
Excellent
38.10%
Operating margin is exceptional, indicating strong pricing power and operational efficiency
Net Profit Margin
Excellent
38.50%
Net profit margin is exceptional, indicating strong pricing power and operational efficiency
Return on Assets
Fair
4.26%
Return on assets is acceptable but below top-tier companies
Return on Equity
Fair
5.51%
Return on equity is acceptable but below top-tier companies
Current Ratio
Strong
3.99
Current ratio indicates excellent liquidity and financial flexibility
Debt to Equity
Conservative
0.05
Debt-to-equity shows conservative leverage and low financial risk
P/E Ratio
Growth
27.06x
Elevated P/E suggests growth expectations or premium valuation
Price to Book
Premium
5.96x
Trading at premium to book value, reflects strong intangibles or growth
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