Income StatementBalance SheetCash FlowSegments
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Vertex Pharmaceuticals Income Statement

Revenue, expenses, and profitability over time

Vertex Pharmaceuticals generated $12.2B in trailing twelve-month revenue, up 0.1% year-over-year. Net income was $4.3B with a 35.51% net margin. Gross margin stands at 86.24% and operating margin at 38.31%. Diluted EPS is $16.85, which grew 6.2% year-over-year. Based on the Q1 2026 filing.

Total Revenue (TTM)$12.2BGross Profit (TTM)$10.5BOperating Income (TTM)$4.7BNet Income (TTM)$4.3BEps Diluted (TTM)$16.85
Latest FilingQ1 2026
Report Date2026-05-05
Market Cap$110.28B
P/E Ratio25.42
ROE24.2%

Operating Expenses

MetricQ4 '24Q1 '25Q2 '25Q3 '25Q4 '25Q1 '26
Acquired IPR&D Expense$87.5M$19.8M$2.2M$54.5M$56.5M$500.0K
Stock-Based Compensation Expense$167.8M$166.1M$167.3M$194.9M$157.6M$166.4M
Acquired In-Process Research and Development$87.5M$19.8M$2.2M$54.5M$56.5M$500.0K
Amortization of Finite-Lived Intangible Assets$5.1M$5.1M$5.1M$5.1M$5.1M—
Share-Based Compensation Expense$167.8M$166.1M$167.3M$194.9M$157.6M$166.4M
Amortization expense$5.1M$5.1M$5.1M$5.1M$5.1M—
Defined Contribution Plan Cost$13.1M$15.8M$15.8M$15.8M$15.8M—
Operating Lease Cost$26.0M$48.7M$48.7M$48.7M$48.7M—
Depreciation and amortization$46.5M$48.4M$51.7M$54.0M$55.7M$55.9M
Defined Contribution Plan Cost$13.1M$15.8M$15.8M$15.8M$15.8M—
Finance Lease ROU Asset Amortization$7.7M$1.8M$1.8M$1.8M$1.8M—
Total Lease Cost$50.5M$64.4M$64.4M$64.4M$64.4M—
Defined Contribution Plan Cost$13.1M$15.8M$15.8M$15.8M$15.8M—
Operating Lease Cost$26.0M$48.7M$48.7M$48.7M$48.7M—
Total Lease Cost$50.5M$64.4M$64.4M$64.4M$64.4M—
Lease Cost$50.5M$64.4M$64.4M$64.4M$64.4M—
Operating Lease Cost$26.0M$48.7M$48.7M$48.7M$48.7M—
Stock-based compensation expense$167.8M$166.1M$167.3M$194.9M$157.6M$166.4M
Variable Lease Cost$10.9M$12.5M$12.5M$12.5M$12.5M—
Defined Contribution Plan Expense$13.1M$15.8M$15.8M$15.8M$15.8M—
Finance Lease ROU Asset Amortization$7.7M$1.8M$1.8M$1.8M$1.8M—
Occupancy and equipment$26.0M$48.7M$48.7M$48.7M$48.7M—
Other operating expenses—$200.0K$200.0K$200.0K$200.0K—
Acquired in-process research and development expenses$87.5M$19.8M$2.2M$54.5M$56.5M$500.0K
Selling, general and administrative$377.6M$396.4M$424.6M$445.1M$487.0M$493.7M
Share-Based Compensation$167.8M$166.1M$167.3M$194.9M$157.6M$166.4M
Amortization of Right-of-Use Assets$7.7M$1.8M$1.8M$1.8M$1.8M—
Deferred Rent Expense—-$191.6M-$113.8M-$235.9M$0.0-$65.3M
Variable Lease Expense$10.9M$12.5M$12.5M$12.5M$12.5M—
Total operating expenses$1.9B$2.1B$1.8B$1.9B$2.0B$1.8B
Variable Lease Cost$10.9M$12.5M$12.5M$12.5M$12.5M—
Lease Costs$50.5M$64.4M$64.4M$64.4M$64.4M—
Operating Lease Cost$26.0M$48.7M$48.7M$48.7M$48.7M—
Variable Lease Cost$10.9M$12.5M$12.5M$12.5M$12.5M—

Other Income & Expense

MetricQ4 '24Q1 '25Q2 '25Q3 '25Q4 '25Q1 '26
Foreign Currency Transaction Gain (Loss)-$6.8M-$3.4M-$3.4M-$3.4M-$3.4M—
Unrealized Foreign Currency Transaction Gain (Loss)-$6.8M-$3.4M-$3.4M-$3.4M-$3.4M—
Foreign Currency Transaction Gain (Loss)-$6.8M-$3.4M-$3.4M-$3.4M-$3.4M—
Other Non-Cash Income (Expense)-$16.4M-$39.2M-$57.8M$0.0-$23.1M$5.0M
Cash Paid for Interest$2.7M$2.7M$3.5M$3.2M$3.0M$3.2M
Foreign exchange gains (losses)-$6.8M-$3.4M-$3.4M-$3.4M-$3.4M—
Other non-cash income (expense)-$16.4M-$39.2M-$57.8M$0.0-$23.1M$5.0M
Net Interest and Investment Income (Loss)—$117.9M———$114.8M
Finance Lease Interest Payment$6.4M$1.4M$1.4M$1.4M$1.4M—
Foreign Currency Transaction Gain (Loss), Pre-tax-$6.8M-$3.4M-$3.4M-$3.4M-$3.4M—
Other Charges-$14.9M-$17.6M$13.2M-$9.8M—$0.0
Foreign Currency Transaction Gain (Loss)-$6.8M-$3.4M-$3.4M-$3.4M-$3.4M—
Sublease Income$400.0K$50.0K$50.0K$50.0K$50.0K—
Change in Accounts Payable$8.4M$26.2M$7.6M-$35.3M$38.3M$35.6M
Other Non-Cash Income (Expense)-$16.4M-$39.2M-$57.8M$0.0-$23.1M$5.0M
Sublease Income$400.0K$50.0K$50.0K$50.0K$50.0K—
Investment income, net—$117.9M———$114.8M
Foreign currency transaction gain (loss)-$6.8M-$3.4M-$3.4M-$3.4M-$3.4M—
Foreign Currency Transaction Gain (Loss), Before Tax-$6.8M-$3.4M-$3.4M-$3.4M-$3.4M—
Other Non-cash Income (Expense)-$16.4M-$39.2M-$57.8M$0.0-$23.1M$5.0M
Finance Lease Interest Expense$6.3M$1.4M$1.4M$1.4M$1.4M—
Other Non-Cash Income (Expense)-$16.4M-$39.2M-$57.8M$0.0-$23.1M$5.0M
Interest expense on finance leases$6.3M$1.4M$1.4M$1.4M$1.4M—

Tax

MetricQ4 '24Q1 '25Q2 '25Q3 '25Q4 '25Q1 '26
Effective Tax Rate Statutory Reconciliation$0.1$0.1$0.1$0.1$0.1—
Unrecognized Tax Benefits Current Period Increases$29.8M$29.9M$29.9M$29.9M$29.9M—
Unrecognized Tax Benefits Prior Period Decreases$475.0K$1.4M$1.4M$1.4M$1.4M—
Cash Paid for Income Taxes$271.8M$184.4M$513.3M$479.6M$389.4M$82.3M
Current income tax expense (benefit)$283.2M$300.2M$300.2M$300.2M$300.2M—
Deferred Foreign Tax Expense (Benefit)$34.7M$9.6M$9.6M$9.6M$9.6M—
Income Tax at U.S. Statutory Rate$0.1$243.8M$243.8M$243.8M$243.8M—
State and Local Income Taxes, Net$29.6M$9.0M$9.0M$9.0M$9.0M—
Tax Reconciliation: Other Adjustments$0.1—————
Tax Reconciliation: Research and Other Credits—$0.0$0.0$0.0$0.0—
Current State Tax Expense$29.6M$9.0M$9.0M$9.0M$9.0M—
Deferred Foreign Tax Expense$34.7M$9.6M$9.6M$9.6M$9.6M—
Tax Reconciliation, Federal Statutory Amount$0.1$243.8M$243.8M$243.8M$243.8M—
Tax Reconciliation, Foreign Rate Differential$0.1—————
Tax Reconciliation, Other Items$0.1—————
Tax Reconciliation, State and Local Taxes$0.1$0.0$0.0$0.0$0.0—
Tax Reconciliation, Tax Credits$0.3—————
Current State and Local Tax Expense (Benefit)$29.6M$9.0M$9.0M$9.0M$9.0M—
Deferred Foreign Tax Expense (Benefit)$34.7M$9.6M$9.6M$9.6M$9.6M—
Income Taxes Paid, Net$271.8M$184.4M$513.3M$479.6M$389.4M$82.3M
Current State and Local Tax Expense$29.6M$9.0M$9.0M$9.0M$9.0M—
Deferred Foreign Tax Expense$34.7M$9.6M$9.6M$9.6M$9.6M—
Income tax expense$223.5M$84.1M$250.1M$215.9M$139.9M$221.5M
Tax Reconciliation at Federal Statutory Rate$0.1$0.1$0.1$0.1$0.1—
Unrecognized Tax Benefits Reevaluation (Statute Lapse)$4.2M$2.7M$2.7M$2.7M$2.7M—
Current Income Tax Expense$283.2M$300.2M$300.2M$300.2M$300.2M—
Current State and Local Tax Expense (Benefit)$29.6M$9.0M$9.0M$9.0M$9.0M—
Tax Reconciliation - Federal Statutory Rate$0.1$0.1$0.1$0.1$0.1—
Tax Reconciliation - Tax Exempt Income$0.1$0.0$0.0$0.0$0.0—
Current Federal Tax Expense$176.2M$169.8M$169.8M$169.8M$169.8M—
Current Foreign Tax Expense$77.5M$121.5M$121.5M$121.5M$121.5M—
Current State and Local Tax Expense$29.6M$9.0M$9.0M$9.0M$9.0M—
Deferred Federal Tax Expense-$109.7M-$131.8M-$131.8M-$131.8M-$131.8M—
Deferred Foreign Tax Expense$34.7M$9.6M$9.6M$9.6M$9.6M—
Deferred Income Tax Expense (Benefit)-$87.2M-$127.7M-$127.7M-$127.7M-$127.7M—
Deferred State and Local Tax Expense-$12.2M-$5.5M-$5.5M-$5.5M-$5.5M—
Income Taxes Paid, Net$271.8M$184.4M$513.3M$479.6M$389.4M$82.3M
Statutory Federal Income Tax Rate$0.1$0.1$0.1$0.1$0.1—
Current State and Local Tax Expense (Benefit)$29.6M$9.0M$9.0M$9.0M$9.0M—
Deferred Foreign Tax Expense (Benefit)$34.7M$9.6M$9.6M$9.6M$9.6M—
Current State and Local Tax Expense (Benefit)$29.6M$9.0M$9.0M$9.0M$9.0M—
Deferred Foreign Tax Expense (Benefit)$34.7M$9.6M$9.6M$9.6M$9.6M—
Income and Other Taxes$271.8M$184.4M$513.3M$479.6M$389.4M$82.3M
Current State and Local Tax Expense$29.6M$9.0M$9.0M$9.0M$9.0M—
Deferred Foreign Tax Expense$34.7M$9.6M$9.6M$9.6M$9.6M—
Tax Reconciliation Federal Statutory Rate$0.1$0.1$0.1$0.1$0.1—
Tax Reconciliation Other Adjustments$0.1—————
Tax Reconciliation State and Local Taxes$0.1$0.0$0.0$0.0$0.0—

Other

MetricQ4 '24Q1 '25Q2 '25Q3 '25Q4 '25Q1 '26
Capital Expenditures$92.6M$40.7M$145.7M$101.8M$149.4M$133.4M
Change in Accounts Receivable—$169.6M$18.4M$59.9M$99.4M-$39.8M
Change in Other Liabilities—$22.0M-$63.2M$83.9M$105.8M$23.1M
Tax Withholding for Share-Based Payments$7.3M$270.5M$5.9M$91.0M$2.5M$228.5M
Income Taxes Paid, Net$271.8M$184.4M$513.3M$479.6M$389.4M$82.3M
Interest Paid, Net$2.7M$2.7M$3.5M$3.2M$3.0M$3.2M
Advertising costs$21.4M$50.7M$50.7M$50.7M$50.7M—
Amortization of capitalized software and acquired intangible assets$5.1M$5.1M$5.1M$5.1M$5.1M—
Software amortization expense$6.3M$7.8M$7.8M$7.8M$7.8M—
Common stock, number of votes per share—$0.3$0.3$0.3$0.3—
Federal$176.2M$169.8M$169.8M$169.8M$169.8M—
Foreign$77.5M$121.5M$121.5M$121.5M$121.5M—
Federal-$109.7M-$131.8M-$131.8M-$131.8M-$131.8M—
Deferred taxes-$87.2M-$127.7M-$127.7M-$127.7M-$127.7M—
State-$12.2M-$5.5M-$5.5M-$5.5M-$5.5M—
Maximum percentage of annual compensation contributed by the participant (percent)—15.0%15.0%15.0%15.0%—
Depreciation$40.1M$39.0M$39.0M$39.0M$39.0M—
Income taxes at U.S. statutory rate of 21%$0.1$0.1$0.1$0.1$0.1—
Effective Income Tax Rate Reconciliation, Cross-Border, Other, Amount—$200.0K$200.0K$200.0K$200.0K—
Subpart F income, net of credits—-0.5%-0.5%-0.5%-0.5%—
Subpart F income, net of credits—-$24.4M-$24.4M-$24.4M-$24.4M—
Other—0.0%0.0%0.0%0.0%—
Deferred charges related to intra-entity transfers—-$15.4M-$15.4M-$15.4M-$15.4M—
Deferred charges related to intra-entity transfers—-0.3%-0.3%-0.3%-0.3%—
Effective Income Tax Rate Reconciliation, FDII, Amount—$14.6M$14.6M$14.6M$14.6M—
Effective Income Tax Rate Reconciliation, FDII, Percent7.1%0.3%0.3%0.3%0.3%—
Foreign operations$0.1—————
Non-deductible AIPR&D93.5%—————
Other—$0.0$0.0$0.0$0.0—
U.S. tax on foreign earnings, net of credits-3.1%—————
State income taxes – net of federal income tax benefit$0.1$0.0$0.0$0.0$0.0—
Changes in unrecognized tax benefits2.8%0.4%0.4%0.4%0.4%—
Gain (Loss), Foreign Currency Transaction, before Tax-$6.8M-$3.4M-$3.4M-$3.4M-$3.4M—
Federal taxes—$242.2M$242.2M$242.2M$242.2M—
State taxes—$18.6M$18.6M$18.6M$18.6M—
Effective Income Tax Rate Reconciliation at Federal Statutory Income Tax Rate, Amount—$243.8M$243.8M$243.8M$243.8M—
Effective Income Tax Rate Reconciliation, Nondeductible Expense, Other, Amount—$6.4M$6.4M$6.4M$6.4M—
Effective Income Tax Rate Reconciliation, State and Local Income Taxes, Amount—-$475.0K-$475.0K-$475.0K-$475.0K—
Changes in unrecognized tax benefits—$16.1M$16.1M$16.1M$16.1M—
Effective Income Tax Rate Reconciliation, Tax Credit, Research, Amount—$38.6M$38.6M$38.6M$38.6M—
Effective Income Tax Rate Reconciliation, Tax Exempt Income, Amount—$15.5M$15.5M$15.5M$15.5M—
Income Taxes Paid, Net$271.8M$184.4M$513.3M$479.6M$389.4M$82.3M
Accounts payable$8.4M$26.2M$7.6M-$35.3M$38.3M$35.6M
Increase (Decrease) in Accounts Receivable—$169.6M$18.4M$59.9M$99.4M-$39.8M
Increase in accrued expenses and other liabilities—$48.1M$166.6M$332.9M-$664.5M$70.5M
Increase (Decrease) in Inventories$147.5M$167.1M$148.6M$131.1M$77.4M$97.7M
Other liabilities—$22.0M-$63.2M$83.9M$105.8M$23.1M
Increase (Decrease) in Prepaid Expense and Other Assets$164.6M$28.1M$76.4M$40.9M$250.6M-$173.4M
Interest Paid, Excluding Capitalized Interest, Operating Activity$2.7M$2.7M$3.5M$3.2M$3.0M$3.2M
Net interest and investment income (loss)—$117.9M———$114.8M
Cash Provided by (Used in) Financing Activity, Including Discontinued Operation-$391.3M-$680.4M-$349.2M-$1.2B-$77.2M-$538.8M
Cash Provided by (Used in) Investing Activity, Including Discontinued Operation-$821.9M-$55.8M-$484.5M-$117.0M-$288.1M-$431.9M
Cash Provided by (Used in) Operating Activity, Including Discontinued Operation-$123.2M$818.9M$1.1B$1.2B$498.0M$1.4B
Net payments due to CRISPR Therapeutics AG related to finite-lived intangible assets$0.0$0.0$0.0$0.0$0.0—
Operating Lease Payments$28.4M$45.8M$45.8M$45.8M$45.8M—
Other Noncash Income (Expense)-$16.4M-$39.2M-$57.8M$0.0-$23.1M$5.0M
Other income, net (Note 6)-$14.9M-$17.6M$13.2M-$9.8M—$0.0
Payment for (Proceeds from) Other Investing Activity$30.9M$5.3M$4.3M$0.0$15.9M$0.0
Payments for Repurchase of Common Stock$417.9M$426.1M$391.8M$1.1B$128.4M$336.9M
Payment, Tax Withholding, Share-Based Payment Arrangement$7.3M$270.5M$5.9M$91.0M$2.5M$228.5M
Payments to Acquire Debt Securities, Available-for-Sale$2.2B$1.6B$2.2B$1.3B$1.2B$2.5B
Payments to Acquire Property, Plant, and Equipment$92.6M$40.7M$145.7M$101.8M$149.4M$133.4M
Proceeds From Issuance Of Shares Under Incentive And Share Based Compensation Plans Including Stock Options$34.3M$16.7M$49.1M$7.9M$54.0M$27.0M
Financing — other$900.0K-$500.0K$2.0M$1.1M$1.1M-$400.0K
Proceeds from sales and redemptions of investments in debt securities classified as available for sale$1.5B$1.6B$1.8B$1.3B$1.1B$2.2B
Cash received from option exercises$12.5M$13.9M$13.9M$13.9M$13.9M—
Property, Plant and Equipment, Gross, Period Increase (Decrease)—-$26.9M-$26.9M-$26.9M-$26.9M—
Reduction to finance leases—$68.8M$68.8M$68.8M$68.8M—
Research and development expense$998.7M$979.7M$978.4M$977.7M$973.7M$961.6M
Revenue From Contract With Customer Excluding Assessed Tax$2.9B$2.8B$3.0B$3.1B$3.2B$3.0B
Stock-based compensation$167.8M$166.1M$167.3M$194.9M$157.6M$166.4M
Granted (in shares)—1.8K1.8K1.8K1.8K—
Intrinsic value of stock options exercised$28.2M$37.0M$37.0M$37.0M$37.0M—
Granted (in shares)—$125.74$125.74$125.74$125.74—
Exercised (in shares)—$31.32$31.32$31.32$31.32—
Share-Based Compensation Arrangement by Share-Based Payment Award, Options, Exercises in Period—111.8K111.8K111.8K111.8K—
Stock Repurchased During Period Shares$675.0K$1.2M$1.2M$1.2M$1.2M—
Unrecognized tax benefits, settlements$3.6M$1.6M$1.6M$1.6M$1.6M—
Unrecognized Tax Benefits, Decrease Resulting from Foreign Currency Translation$125.0K—————
Unrecognized tax benefits, deferred tax liabilities, gross$23.0M$34.6M$34.6M$34.6M$34.6M—
Interest expense and penalties, net (benefit)/charge recognized-$10.4M$3.3M$3.3M$3.3M$3.3M—
Unrecognized tax benefits, increase (decrease) in deferred tax assets, gross$400.0K-$1.9M-$1.9M-$1.9M-$1.9M—
Foreign currency effect—$11.0M$11.0M$11.0M$11.0M—
Additions for tax positions of prior years$1.2M$1.3M$1.3M$1.3M$1.3M—
Increase (decrease) in amount of unrecognized tax benefits$22.6M$36.5M$36.5M$36.5M$36.5M—

Revenue

MetricQ4 '24Q1 '25Q2 '25Q3 '25Q4 '25Q1 '26
Revenue Recognized from Contract Liability$42.6M$51.7M$51.7M$51.7M$51.7M—
Revenue Recognized from Contract Liabilities$42.6M$51.7M$51.7M$51.7M$51.7M—
Gift Card Revenue Recognized$42.6M$51.7M$51.7M$51.7M$51.7M—
Revenue Recognized from Contract Liability$42.6M$51.7M$51.7M$51.7M$51.7M—
Total revenue$2.9B$2.8B$3.0B$3.1B$3.2B$3.0B

Earnings Per Share

MetricQ4 '24Q1 '25Q2 '25Q3 '25Q4 '25Q1 '26
Basic earnings per share—$2.52$4.02$4.24$4.69$4.06
Diluted earnings per share—$2.49$3.99$4.20$4.64$4.02
Weighted-average shares, basic—256.9M256.7M255.6M—254.1M
Weighted-average shares, diluted—259.5M258.9M257.6M—256.3M

Operating Income

MetricQ4 '24Q1 '25Q2 '25Q3 '25Q4 '25Q1 '26
Gross profit$2.5B$2.4B$2.6B$2.7B$2.7B$2.6B
Operating income—$630.1M$1.2B$1.2B$1.2B$1.1B

Income Before Tax

MetricQ4 '24Q1 '25Q2 '25Q3 '25Q4 '25Q1 '26
Income before income taxes$1.1B$730.4M$1.3B$1.3B$1.3B$1.3B
Income (Loss) from Continuing Operations Before Income Taxes, Domestic-$342.4M$705.3M$705.3M$705.3M$705.3M—
Income (Loss) from Continuing Operations Before Income Taxes, Foreign$404.6M$455.5M$455.5M$455.5M$455.5M—
Income Before Tax, Domestic-$342.4M$705.3M$705.3M$705.3M$705.3M—
Income Before Tax, Foreign$404.6M$455.5M$455.5M$455.5M$455.5M—

Net Income

MetricQ4 '24Q1 '25Q2 '25Q3 '25Q4 '25Q1 '26
Net income—$646.3M$1.0B$1.1B$1.2B$1.0B

Cost of Revenue

MetricQ4 '24Q1 '25Q2 '25Q3 '25Q4 '25Q1 '26
Total cost of revenue$423.4M$363.0M$407.5M$414.8M$466.0M$392.8M