ABBV AbbVie Inc.

Overview and Growth

AbbVie Inc. generated $61.16B of revenue in fiscal 2025, with net income of $4.23B and an operating cash inflow of $19.03B. The $61.16B revenue base provides substantial context for the company’s earnings, cash generation, and capital requirements. Revenue was 8.6% above fiscal 2024 revenue of $56.33B, marking a year-over-year increase. Diluted earnings per share were $2.36, translating the period’s attributable earnings into the amount reported for each diluted share. Against diluted EPS of $2.39 in fiscal 2024, the current result was 1.3% lower. Revenue equaled 0.46x of total assets, indicating how much reported top-line activity the company produced relative to its period-end asset base.

Profitability

After reported cost of revenue, the company retained $42.96B as gross profit before recognizing operating expenses and other items. Gross profit represented 70.2% of revenue, showing how much of the top line remained after direct costs. Operations produced $15.07B of income after the reported operating expense base, before the remaining non-operating and tax effects. Operating margin measured 24.6%, showing the portion of revenue preserved after the full set of operating costs. After all reported below-operating-line items, the company recorded net income of $4.23B for the fiscal year. Net margin was 6.9%, meaning that this portion of revenue remained as net income after all recognized expenses. Pretax income was $6.60B, isolating the reported earnings outcome before the income-tax provision recognized for the fiscal year. Pretax income represented 10.8% of revenue, placing earnings before tax in the context of the company’s operating scale. Income tax expense totaled $2.36B, providing the reported tax component that separates pretax and after-tax earnings. The effective relationship between income tax and positive pretax income was 35.8%, without assuming a statutory-rate comparison.

Liquidity and Capital Structure

Total assets were $133.96B, supported by $137.19B of liabilities and -$3.23B of shareholder equity. Equity was negative at -$3.23B, meaning liabilities exceeded the residual book value available to shareholders and weakening balance-sheet resilience. The near-term balance sheet paired $29.06B of current assets with $43.29B of current liabilities at the reporting date. Current assets covered only 0.67x of current liabilities, so current liabilities exceeded current assets at period end. The company held $5.23B in cash and equivalents, a narrower liquidity measure than total current assets. The cash balance equaled 12.1% of current liabilities, showing how much near-term coverage came from cash alone. The company carried $67.00B of total debt at period end, which frames its leverage and debt-service burden. Debt represented 50.0% of total assets, placing borrowing in the context of the company’s full resource base. Liabilities represented 102.4% of total assets, quantifying the liability-funded share of the company’s resource base. The cash-to-assets relationship was 3.9%, comparing reported cash and equivalents with the full positive asset balance. Total assets were 0.9% lower than fiscal 2024 assets of $135.16B, measuring the company’s own balance-sheet change.

Cash Flow and Earnings Quality

Operating activities produced a cash inflow of $19.03B, giving the cash-flow counterpart to the accrual-based profit measures reported for the year. Against net income, operating cash flow measured 4.5x, showing the relationship between accrual earnings and operating cash. Capital expenditures used $1.21B, identifying the reported investment outflow deducted from operating cash flow in the free-cash-flow calculation. Capital spending absorbed 6.4% of operating cash flow, quantifying the share of cash from operations directed to investment. Free cash flow came to $17.82B, leaving a positive amount after capital expenditures. Free cash flow represented 29.1% of revenue, linking post-investment cash generation with the company’s operating scale. Measured against total assets, free cash flow represented 13.3%, showing the cash productivity of the company’s assets.

Based on the annual report for the fiscal year ending Dec 31, 2025. Analysis generated Oct 21, 2026.