Merck 2014 Annual Report Download - page 198
Download and view the complete annual report
Please find page 198 of the 2014 Merck annual report below. You can navigate through the pages in the report by either clicking on the pages listed below, or by using the keyword search tool below to find specific information within the annual report.-
1 -
2
-
3
-
4
-
5
-
6
-
7
-
8
-
9
-
10
-
11
-
12
-
13
-
14
-
15
-
16
-
17
-
18
-
19
-
20
-
21
-
22
-
23
-
24
-
25
-
26
-
27
-
28
-
29
-
30
-
31
-
32
-
33
-
34
-
35
-
36
-
37
-
38
-
39
-
40
-
41
-
42
-
43
-
44
-
45
-
46
-
47
-
48
-
49
-
50
-
51
-
52
-
53
-
54
-
55
-
56
-
57
-
58
-
59
-
60
-
61
-
62
-
63
-
64
-
65
-
66
-
67
-
68
-
69
-
70
-
71
-
72
-
73
-
74
-
75
-
76
-
77
-
78
-
79
-
80
-
81
-
82
-
83
-
84
-
85
-
86
-
87
-
88
-
89
-
90
-
91
-
92
-
93
-
94
-
95
-
96
-
97
-
98
-
99
-
100
-
101
-
102
-
103
-
104
-
105
-
106
-
107
-
108
-
109
-
110
-
111
-
112
-
113
-
114
-
115
-
116
-
117
-
118
-
119
-
120
-
121
-
122
-
123
-
124
-
125
-
126
-
127
-
128
-
129
-
130
-
131
-
132
-
133
-
134
-
135
-
136
-
137
-
138
-
139
-
140
-
141
-
142
-
143
-
144
-
145
-
146
-
147
-
148
-
149
-
150
-
151
-
152
-
153
-
154
-
155
-
156
-
157
-
158
-
159
-
160
-
161
-
162
-
163
-
164
-
165
-
166
-
167
-
168
-
169
-
170
-
171
-
172
-
173
-
174
-
175
-
176
-
177
-
178
-
179
-
180
-
181
-
182
-
183
-
184
-
185
-
186
-
187
-
188 -
189 -
190 -
191 -
192 -
193 -
194 -
195 -
196 -
197 -
198 -
199 -
200 -
201 -
202 -
203 -
204 -
205 -
206 -
207 -
208 -
209
-
210
-
211
-
212
-
213
-
214
-
215
-
216
-
217
-
218
-
219
-
220
-
221
-
222
-
223
-
224
-
225
-
226
-
227
-
228
-
229
-
230
-
231
-
232
-
233
-
234
-
235
-
236
-
237
-
238
-
239
-
240
-
241
-
242
-
243
-
244
-
245
-
246
-
247
-
248
-
249
-
250
-
251
-
252
-
253
-
254
-
255
-
256
-
257
-
258
-
259
-
260
-
261
-
262
-
263
-
264
-
265
-
266
-
267
-
268
-
269
-
270
-
271
 |
 |
193CONSOLIDATED FINANCIAL STATEMENTS → Notes to the Group accounts
NOTES TO THE CONSOLIDATED INCOME STATEMENT
(23) SALES
Sales were generated primarily from the sale of goods and to a
limited degree also included revenues from services rendered.
Group sales totaled €11,291.5 million in 2014 (2013: €10,700.1
million), which represented an increase of 5.5 % compared to 2013
(decrease of – 0.4 % in 2013). Sales are presented by division and
region in the Segment Reporting (see Note [51]).
(24) ROYALTY, LICENSE AND COMMISSION
INCOME
In 2014, royalty and license income totaled €138.0 million (2013:
€359.8 million) and mainly included royalty and license income
from the products Humira® (AbbVie Inc.), Viibryd® (Actavis, for-
merly Forest Laboratories Inc.) and Puregon® ( Merck
& Co. Inc.)
as well as income from the active pharmaceutical ingredients
bisoprolol and metformin. The change compared to 2013 resulted
pri
marily from the expiration of the patents for
Avonex® (Biogen
Idec Inc.) and Enbrel® (Amgen Inc.).
An out-of-court settlement
was reached with AbbVie Inc. for
patent disputes regarding
Humira®. Based on this settlement, the Group recorded no
further
license income for this product as of the second half of 2014.
Revenue from the strategic alliance with Pfizer Inc.,
USA
, in
immuno-
oncology was recognized for the first time in 2014. More
details on
the agreement can be found in Note [5].
In 2014, commission income totaled € 71.3 million (2013:
€35.2 million). This primarily consisted of proceeds from cooper-
ation and distribution agreements.
The breakdown of royalty, license and commission income by
division is presented in the Segment Reporting (see Note [51]).
(25) COST OF SALES
Cost of sales primarily included the cost of manufactured products
sold as well as merchandise sold. Cost comprises overheads and,
if
necessary, inventory write-downs, in addition to directly attrib-
utable costs, such as the cost of materials, personnel and energy,
as well as depreciation / amortization.
The breakdown of cost of sales by division is presented in the
Segment Reporting (Note [51]).