TEVA TEVA PHARMACEUTICAL INDUSTRIES LTD

Overview and Growth

TEVA PHARMACEUTICAL INDUSTRIES LTD generated $17.26B of revenue in fiscal 2025, with net income of $1.41B and an operating cash inflow of $1.65B. Revenue of $17.26B sets the scale for evaluating how effectively sales translated into profit and cash during the year. Revenue was 4.3% above fiscal 2024 revenue of $16.54B, marking a year-over-year increase. Diluted earnings per share were $1.21, translating the period’s attributable earnings into the amount reported for each diluted share. The company employed $40.75B of total assets, the balance-sheet base supporting its current operating and cash-flow results. The revenue-to-assets relationship was 0.42x, showing the sales generated relative to the resources carried on the balance sheet.

Profitability

The first profit layer was $8.94B of gross profit, the amount available after reported direct revenue costs to absorb operating expenses. Gross margin was 51.8%, so that share of each revenue unit remained after the cost of revenue reported for the period. Operations produced $2.16B of income after the reported operating expense base, before the remaining non-operating and tax effects. The operating result equaled 12.5% of revenue, placing the absolute operating-income figure in the context of the company’s sales base. After all reported below-operating-line items, the company recorded net income of $1.41B for the fiscal year. Net margin was 8.2%, meaning that this portion of revenue remained as net income after all recognized expenses. An income-tax benefit of $180.00M improved the final result relative to pretax income or loss. Net income equaled 17.8% of period-end equity, showing the earnings generated on shareholders’ book capital. Return on period-end assets was 3.5%, connecting net income with the company’s total asset base. The company moved from a $1.64B net loss in fiscal 2024 to net income of $1.41B.

Liquidity and Capital Structure

Total assets were $40.75B, supported by $32.83B of liabilities and $7.91B of shareholder equity. The near-term balance sheet paired $13.95B of current assets with $13.46B of current liabilities at the reporting date. At 1.04x, the current ratio shows that short-term assets were greater than short-term liabilities at period end. Cash and equivalents totaled $3.56B, identifying the most liquid reported component available within the broader current-asset balance. The cash balance equaled 26.4% of current liabilities, showing how much near-term coverage came from cash alone. Relative to total assets, liabilities measured 80.6%, complementing the separate equity-based view of the company’s capital structure. Measured against total assets, cash and equivalents represented 8.7%, a balance-sheet composition measure rather than a liquidity forecast. Compared with $39.33B in fiscal 2024, the current asset base moved 3.6% and finished higher. Against $5.38B of equity in fiscal 2024, the current book-equity balance moved 47.1% and ended higher. Cash and equivalents were 7.8% higher than fiscal 2024 cash of $3.30B, showing the year-over-year change in liquid resources.

Cash Flow and Earnings Quality

Cash flow from operations was $1.65B, a reported cash inflow that can be compared directly with net income and capital spending. Operating cash flow equaled 1.17x of net income, showing how strongly accounting earnings converted into cash from operations. Capital expenditures used $501.00M, identifying the reported investment outflow deducted from operating cash flow in the free-cash-flow calculation. Capital expenditures represented 30.4% of operating cash flow, leaving the remainder available as free cash flow. Free cash flow came to $1.15B, leaving a positive amount after capital expenditures. Relative to revenue, free cash flow equaled 6.7%, showing how much sales converted into cash after investment. Measured against total assets, free cash flow represented 2.8%, 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.