Allergan Unlimited Co

Allergan Unlimited Co has a debt-to-equity ratio of 0.36, indicating a relatively conservative capital structure with a moderate reliance on debt financing. The company's liquidity position is characterized by a current ratio of 1.0, suggesting that its current assets are equal to its current liabilities. However, the company's net cash position is negative after subtracting total debt, which raises concerns about its short-term liquidity.

The company's profitability metrics are underperforming relative to industry norms. It reported a return on equity (ROE) of -0.66% and a return on assets (ROA) of -0.43%, both of which are negative and indicate a loss-making position. These figures are significantly below the typical performance of companies in the pharmaceutical industry, which usually maintain positive ROE and ROA due to high-margin product offerings and strong R&D pipelines.

Allergan Unlimited Co's revenue is concentrated in a few key therapeutic areas, including ophthalmology, aesthetics, and neurology. The company's geographic exposure is not explicitly detailed in the available data, but as a global pharmaceutical firm, it is likely to have a diversified international presence. However, the lack of detailed segment and geographic breakdowns limits the ability to assess the extent of revenue concentration and potential exposure to regional market risks.

The company's growth trajectory appears to be under pressure, as evidenced by its negative operating and net income figures. The operating cash flow of $2.6985 billion and free cash flow of $971.8 million suggest that the company is generating positive cash from operations, but this is not translating into profitability. The absence of detailed revenue growth data and the negative net income raise concerns about the company's ability to sustain growth in the near term.

The risk assessment highlights a medium liquidity risk, primarily due to the negative net cash position after accounting for total debt. The dilution risk remains unknown, as the necessary share count data for basic and diluted shares is missing. This lack of information hinders a comprehensive evaluation of potential dilution pressures on existing shareholders.

Recent events and filings do not provide specific details on strategic initiatives or operational changes. The company's financial performance, as reflected in its negative operating and net income, suggests that it may be facing challenges in managing costs or maintaining pricing power in its key markets. The absence of recent transcript data or detailed filings limits the ability to assess the company's strategic direction and operational performance in the most recent periods.

Revenue grew at a 6.1% compound annual rate from 2016 to 2020, demonstrating consistent top-line expansion despite operational challenges.

Operating income improved by 26.5% year-over-year in 2020, signaling a potential stabilization or recovery in core operational profitability.

The debt-to-equity ratio of 0.36 is below the pharmaceutical cohort median of 0.18, indicating a relatively conservative leverage position.

Long-term debt decreased from $42.5 billion in 2016 to $22.6 billion in 2020, showing a significant reduction in balance sheet obligations.

Capital expenditure intensity was above the cohort median, suggesting continued investment in growth initiatives despite recent financial headwinds.

The company reported a net loss of $5.3 billion in 2020, reflecting severe profitability issues and negative net margins.

Return on equity of -0.66% and return on assets of -0.43% indicate inefficient capital utilization compared to positive industry peers.

The company faces high credit risk and medium liquidity risk, posing significant threats to financial stability and operational continuity.

Revenue $4.35B, +6,7% YoY; Operating income +94,8% YoY.

• ▍Revenue $4.35B, +6,7% YoY
• ▍Operating income +94,8% YoY
• ▍Net income +92,6% YoY
• ▍Free cash flow +129,0% YoY
• ▍Net margin -7.3%

Revenue $4.05B, +3,6% YoY; Operating income −257,5% YoY.

• ▍Revenue $4.05B, +3,6% YoY
• ▍Operating income −257,5% YoY
• ▍Net income −1 976,0% YoY
• ▍Free cash flow −64,2% YoY
• ▍Net margin -19.4%

Revenue $4.09B, −0,8% YoY; Operating income −211,9% YoY.

• ▍Revenue $4.09B, −0,8% YoY
• ▍Operating income −211,9% YoY
• ▍Net income −272,3% YoY
• ▍Free cash flow −169,2% YoY
• ▍Net margin -43.0%

Revenue $3.60B; Operating income -$2.31B.

• ▍Revenue $3.60B
• ▍Operating income -$2.31B
• ▍Net margin -66.9%

Revenue $4.08B; Operating income -$5.37B.

• ▍Revenue $4.08B
• ▍Operating income -$5.37B
• ▍Net margin -105.4%

Revenue $3.91B; Operating income $378.8M.

• ▍Revenue $3.91B
• ▍Operating income $378.8M
• ▍Net margin -1.0%

Revenue $4.12B; Operating income -$404.9M.

• ▍Revenue $4.12B
• ▍Operating income -$404.9M
• ▍Net margin -11.5%

Revenue $16.09B, +1,9% YoY; Operating income +26,5% YoY.

• ▍Revenue $16.09B, +1,9% YoY
• ▍Operating income +26,5% YoY
• ▍Net income −3,4% YoY
• ▍Free cash flow −305,1% YoY
• ▍Net margin -32.8%

Revenue $15.79B, −1,0% YoY; Operating income +34,6% YoY.

• ▍Revenue $15.79B, −1,0% YoY
• ▍Operating income +34,6% YoY
• ▍Net income −23,5% YoY
• ▍Free cash flow +118,5% YoY
• ▍Net margin -32.3%

Revenue $15.94B, +9,4% YoY; Operating income −451,7% YoY.

• ▍Revenue $15.94B, +9,4% YoY
• ▍Operating income −451,7% YoY
• ▍Net income −127,5% YoY
• ▍Free cash flow −133,5% YoY
• ▍Net margin -25.9%

Revenue $14.57B, +14,8% YoY; Operating income +46,5% YoY.

• ▍Revenue $14.57B, +14,8% YoY
• ▍Operating income +46,5% YoY
• ▍Net income +282,4% YoY
• ▍Free cash flow +139,8% YoY
• ▍Net margin 102.8%

Revenue $12.69B; Operating income -$3.13B.

• ▍Revenue $12.69B
• ▍Operating income -$3.13B
• ▍Net margin 30.9%