What is Merck & Co.'s deferred tax assets?

Merck & Co. (MRK) reported deferred tax assets of $1.17B in Q4 2025.

How has Merck & Co.'s deferred tax assets changed year-over-year?

Merck & Co.'s deferred tax assets decreased by 47.3% year-over-year, from $2.21B to $1.17B.

What is the long-term trend for Merck & Co.'s deferred tax assets?

Over 5 years (2020 to 2025), Merck & Co.'s deferred tax assets has grown at a -14.5% compound annual growth rate (CAGR), from $2.56B to $1.17B.

What does deferred tax assets mean?

A tax overpayment or credit that the company can use to lower its tax bill in the future.

Deferred Tax Assets

Non-Current Assets

Merck & Co. Deferred Tax Assets decreased by 15.6% to $1.17B in Q4 2025 compared to the prior quarter. Year-over-year, this metric declined by 47.3%, from $2.21B to $1.17B. Over 5 years (FY 2020 to FY 2025), Deferred Tax Assets shows a downward trend with a -14.5% CAGR. This decline may warrant attention — for this metric, higher values are generally preferred.

Analysis

StatementBalance Sheet Statement

SectionNon-Current Assets

CategoryRisk

SignalHigher is better

VolatilityModerate

First reportedQ4 2009

Last reportedQ3 2025

How to read this metric

An increase suggests the company has more 'tax shields' to protect future earnings, while a valuation allowance against them would signal doubt about future profitability.

Detailed definition

An asset on the balance sheet that results from overpayment or advance payment of taxes, or from carryforwards of losses...

Peer comparison

Companies with significant R&D operations typically carry higher deferred tax assets due to government incentives for innovation.

Metric ID: deferred_tax_assets

Historical Data

19 periods

	Q2 '21	Q3 '21	Q4 '21	Q1 '22	Q2 '22	Q3 '22	Q4 '22	Q1 '23	Q2 '23	Q3 '23	Q4 '23	Q1 '24	Q2 '24	Q3 '24	Q4 '24	Q1 '25	Q2 '25	Q3 '25	Q4 '25
Value	$1.49B	$1.53B	$2.00B	$3.07B	$2.97B	$2.42B	$3.01B	$1.44B	$996.00M	$1.02B	$1.10B	$922.00M	$876.00M	$864.00M	$2.21B	$1.41B	$1.43B	$1.38B	$1.17B
QoQ Change	—	+2.6%	+30.7%	+53.9%	-3.2%	-18.7%	+24.4%	-52.0%	-30.9%	+2.2%	+7.8%	-16.0%	-5.0%	-1.4%	+156.3%	-36.4%	+1.3%	-3.2%	-15.6%
YoY Change	—	—	—	—	+99.7%	+58.3%	+50.6%	-53.0%	-66.5%	-57.9%	-63.5%	-36.1%	-12.0%	-15.1%	+101.8%	+52.8%	+62.9%	+59.8%	-47.3%

Range$864.00M – $3.07B

CAGR-5.3%

Avg YoY Growth+9.0%

Median YoY Growth-12.0%

Current Streak2 quarters decline

Frequently Asked Questions

What is Merck & Co.'s deferred tax assets?: Merck & Co. (MRK) reported deferred tax assets of $1.17B in Q4 2025.
How has Merck & Co.'s deferred tax assets changed year-over-year?: Merck & Co.'s deferred tax assets decreased by 47.3% year-over-year, from $2.21B to $1.17B.
What is the long-term trend for Merck & Co.'s deferred tax assets?: Over 5 years (2020 to 2025), Merck & Co.'s deferred tax assets has grown at a -14.5% compound annual growth rate (CAGR), from $2.56B to $1.17B.
What does deferred tax assets mean?: A tax overpayment or credit that the company can use to lower its tax bill in the future.