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NVS · NYSE · United States · Pharmaceutical Preparations
In shortNOVARTIS AG is profitable, generates cash and carries moderate debt, with revenue growing (+8.4% last year).
Financial health
Strong
Built from five areas over the last five annual reports. Tap an area to see the figures behind it.
| Operating marginShare of each sale left after running the business, before interest and tax. | 32.4% | 100/100 |
|---|---|---|
| Net marginShare of each sale left as profit after every cost, interest and tax. | 25.6% | 100/100 |
| Return on equityProfit earned on the money shareholders put in. Above 15% is strong. | 31.0% | 100/100 |
| Return on invested capitalProfit earned on all the capital used (equity and debt). Above 10% usually means a real competitive edge. | 20.0% | 100/100 |
Weight in the score: 25%
| Current ratioShort-term assets divided by short-term debts. Below 1 can mean tight cash. | 1.12× | 26/100 |
|---|---|---|
| Debt / equityDebt compared with the shareholders' stake. Above 2 is heavily indebted. | 0.64× | 76/100 |
| Net debt / EBITDAYears of operating profit needed to repay net debt. Below 2 is comfortable. | 1.02× | 85/100 |
| Interest coverageHow many times operating profit covers interest. Below 2 is risky. | 15.42× | 100/100 |
| Altman Z''Bankruptcy-risk model. Above 2.6 safe, below 1.1 distress. | – | n/a |
Weight in the score: 25%
| Free cash flow marginCash left from each sale after investments. The money that can pay dividends or reduce debt. | 32.3% | 100/100 |
|---|---|---|
| Free cash flow / net incomeHow much accounting profit turns into real cash. Near 1 or above is healthy. | 1.26× | 100/100 |
| Years with positive free cash flow (last 5) | 5 of 5 | 100/100 |
Weight in the score: 20%
| Profitable years (last 5) | 5 of 5 | 100/100 |
|---|---|---|
| Years of revenue decline (last 5) | 2 of 5 | 33/100 |
| Revenue growth volatility | 9.4% | 76/100 |
| Operating margin volatility | 5.5% | 59/100 |
Weight in the score: 20%
| Revenue growth, 3-year average | 8.9% | 66/100 |
|---|---|---|
| EPS growth, 3-year average | 31.1% | 100/100 |
Weight in the score: 10%
Fiscal year 2025 · change vs prior year
Annual figures as reported. Hover a bar or point for the exact value.
5 older years available with the 10-year history. Essential plan, from €8.25/month →
The last 5 fiscal years from the company's annual reports.
USD millions; negative values in parentheses.
| Fiscal year | FY21 | FY22 | FY23 | FY24 | FY25 |
|---|---|---|---|---|---|
| Revenue | 42,781 | 42,206 | 45,440 | 50,317 | 54,532 |
| Cost of revenue | 11,735 | 11,582 | 12,472 | 12,827 | 13,699 |
| Gross profit | 32,239 | 31,879 | 34,188 | 38,895 | 42,975 |
| Research & development | 8,641 | 9,172 | 11,371 | 10,022 | 11,200 |
| Selling, general & admin | 12,827 | 12,193 | 12,517 | 12,566 | 13,248 |
| Operating income | 10,056 | 7,946 | 9,769 | 14,544 | 17,644 |
| Interest expense | 787 | 800 | 855 | 1,006 | 1,144 |
| Pre-tax income | 24,530 | 7,177 | 9,123 | 13,640 | 16,352 |
| Income tax | 1,625 | 1,128 | 551 | 1,701 | 2,385 |
| Net income | 24,021 | 6,955 | 14,850 | 11,941 | 13,984 |
| Diluted EPS | $10.63 | $3.17 | $7.10 | $5.87 | $7.15 |
| Diluted shares (millions) | 2,260 | 2,197 | 2,092 | 2,035 | 1,955 |
5 older years available with the 10-year history. Essential plan, from €8.25/month →
Not computed: a required balance-sheet item is missing.
7/9
Nine yes-or-no tests on profitability, debt, liquidity and efficiency versus the prior year. 7 to 9 is strong, 0 to 3 is weak.
All figures: SEC EDGAR. Ratios and scores are computed by Scorvest (see how it works). Information only, not investment advice. How it works
Latest annual report: Dec 31, 2025 · Data updated Feb 4, 2026