Computed from published fixed rules, not a model's judgement — though one input, the count of high-severity risks, comes from the AI analysis below.
Not investment advice and not a price target: it scores the quarter's fundamentals, not the stock. Full methodology →
AI Takeaway
Vertex Pharmaceuticals delivered a strong FY2025 with revenue of $12.0B (+8.9% YoY) and a dramatic swing to profitability, posting net income of $3.95B versus a net loss of $535.6M in the prior year.
Revenue
$12B
+8.90% YoY
EPS (Diluted)
$15.32
+836.54% YoY
Operating Income
$4.17B
+1891.88% YoY
Source: SEC XBRL
VRTX reported FY2025 revenue of $12B, up 8.9% year over year. Operating margin was 34.8%, against -2.1% a year earlier. Operating cash flow was $3.63B.
Last 4 quarters: 2 beats
| Quarter | Actual EPS (USD) | Consensus (USD) | Result |
|---|---|---|---|
| Jun 2026 | 4.73 | 4.82 | Miss -2.0% |
| Mar 2026 | 4.47 | 4.40 | Beat +1.7% |
| Dec 2025This filing | 5.03 | 5.17 | Miss -2.8% |
| Sep 2025 | 4.80 | 4.65 | Beat +3.1% |
Reported EPS of $5.03 versus the $5.17 analyst consensus — a -2.8% miss for Dec 2025.
Compiled by AI from this SEC filing
Total net revenue reached $12.0B in FY2025, up 8.9% from $11.0B in FY2024, reflecting continued strong demand for Vertex's cystic fibrosis (CF) franchise and contributions from newer product approvals.
Source: 10-K Income Statement (XBRL Financial Data)
Operating income surged to $4.17B in FY2025 from an operating loss of $232.9M in FY2024, a +1,891.9% improvement, driven by revenue growth and the absence of large one-time charges that weighed on the prior year.
Source: 10-K Income Statement (XBRL Financial Data)
Operating margin expanded to 34.8% in FY2025 from -2.1% in FY2024, reflecting significant operating leverage as revenue growth outpaced cost increases and prior-year impairments did not recur.
Source: 10-K Key Ratios (XBRL Financial Data)
Selling, General & Administrative expenses rose 19.7% YoY to $1.75B, indicating increased commercial spending likely tied to new product launches and pipeline commercialization efforts.
Source: 10-K Income Statement (XBRL Financial Data)
Operating cash flow turned sharply positive at $3.63B versus -$492.6M in FY2024, and the company repurchased $2.02B in shares (+71.4% YoY), demonstrating confidence in its financial position and commitment to returning capital to shareholders.
Source: 10-K Cash Flow Statement (XBRL Financial Data)
Compiled by AI from this SEC filing · 2 high, 3 medium, 0 low
Vertex's revenue is heavily dependent on its CF product portfolio. Any competitive threat, label restriction, pricing pressure, or reimbursement challenge to these products could materially impact revenues. Loss of exclusivity or a superior competing therapy could erode market share rapidly.
Source: 10-K Risk Factors (inferred from financial data concentration)
Vertex is investing heavily in pipeline programs beyond CF, including pain and gene editing. Failure of late-stage clinical trials or regulatory setbacks could result in significant write-downs and impair future revenue diversification, as evidenced by the large prior-year operating loss driven by one-time charges.
Source: 10-K Income Statement & Investing Cash Flow (XBRL Financial Data)
SG&A expenses grew 19.7% YoY to $1.75B, outpacing revenue growth of 8.9%. If new product launches or pipeline programs do not generate commensurate revenue, this elevated cost base could compress margins going forward.
Source: 10-K Income Statement (XBRL Financial Data)
Vertex repurchased $2.02B in shares in FY2025, a 71.4% increase over the prior year. While this signals management confidence, aggressive buybacks reduce the cash available for R&D investment or strategic acquisitions, particularly if operating cash flows were to decline.
Source: 10-K Cash Flow Statement (XBRL Financial Data)
As a specialty pharmaceutical company with high-priced therapies, Vertex faces ongoing risk from government drug pricing negotiations, payer pushback, and international reimbursement challenges. Any adverse pricing decisions could reduce net realized prices and compress revenue growth.
Source: 10-K Risk Factors (inferred from industry context and financial data)
| Metric | Current | Previous | YoY Change |
|---|---|---|---|
Revenue $B | 12.00 $B | 11.02 $B | +8.90% |
Cost of Revenue $B | 1.65 $B | 1.53 $B | +7.89% |
Operating Income $B | 4.17 $B | -0.23 $B | +1891.88% |
Net Income $B | 3.95 $B | -0.54 $B | +838.09% |
EPS (Basic) $ | 15.46 $ | -2.08 $ | +843.27% |
EPS (Diluted) $ | 15.32 $ | -2.08 $ | +836.54% |
SG&A Expense $B | 1.75 $B | 1.46 $B | +19.72% |
Answers draw on this SEC filing and the data on this page
Vertex Pharmaceuticals reported a 12.5% revenue increase in Q2 FY2026 driven by its cystic fibrosis franchise and strong early sales of new therapies CASGEVY and JOURNAVX, while announcing a $10 billion acquisition of Crinetics Pharmaceuticals to expand its pipeline.
Vertex Pharmaceuticals delivered a strong Q1 FY2026 with revenue of $2.99B (+7.8% YoY), operating income surging 80.6% to $1.14B, and net income jumping 59.6% to $1.03B, reflecting significant margin expansion and robust cash generation.
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