XML 67 R43.htm IDEA: XBRL DOCUMENT
v3.20.4

Segment Reporting (Tables) | 12 Months Ended
--- | ---
Dec. 31, 2020
Segment Reporting [Abstract] |
Sales of Company's Products | Sales of the Company’s products were as follows:
Years Ended December 31 | 2020 |  | 2019 |  | 2018
| U.S. |  | Int’l |  | Total |  | U.S. |  | Int’l |  | Total |  | U.S. |  | Int’l |  | Total
Pharmaceutical: |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |
Oncology |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |
Keytruda | $ | 8,352 |  |  | $ | 6,028 |  |  | $ | 14,380 |  |  | $ | 6,305 |  |  | $ | 4,779 |  |  | $ | 11,084 |  |  | $ | 4,150 |  |  | $ | 3,021 |  |  | $ | 7,171 |
Alliance revenue - Lynparza (1) | 417 |  |  | 308 |  |  | 725 |  |  | 269 |  |  | 176 |  |  | 444 |  |  | 127 |  |  | 61 |  |  | 187 |
Alliance revenue - Lenvima (1) | 359 |  |  | 220 |  |  | 580 |  |  | 239 |  |  | 165 |  |  | 404 |  |  | 95 |  |  | 54 |  |  | 149 |
Emend | 18 |  |  | 127 |  |  | 145 |  |  | 183 |  |  | 205 |  |  | 388 |  |  | 312 |  |  | 210 |  |  | 522 |
Vaccines |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |
Gardasil/Gardasil 9 | 1,755 |  |  | 2,184 |  |  | 3,938 |  |  | 1,831 |  |  | 1,905 |  |  | 3,737 |  |  | 1,873 |  |  | 1,279 |  |  | 3,151 |
ProQuad/M-M-R II/Varivax | 1,378 |  |  | 500 |  |  | 1,878 |  |  | 1,683 |  |  | 592 |  |  | 2,275 |  |  | 1,430 |  |  | 368 |  |  | 1,798 |
Pneumovax 23 | 727 |  |  | 359 |  |  | 1,087 |  |  | 679 |  |  | 247 |  |  | 926 |  |  | 627 |  |  | 281 |  |  | 907 |
RotaTeq | 486 |  |  | 311 |  |  | 797 |  |  | 506 |  |  | 284 |  |  | 791 |  |  | 496 |  |  | 232 |  |  | 728 |
Vaqta | 103 |  |  | 67 |  |  | 170 |  |  | 130 |  |  | 108 |  |  | 238 |  |  | 127 |  |  | 112 |  |  | 239 |
Hospital Acute Care |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |
Bridion | 583 |  |  | 615 |  |  | 1,198 |  |  | 533 |  |  | 598 |  |  | 1,131 |  |  | 386 |  |  | 531 |  |  | 917 |
Noxafil | 42 |  |  | 287 |  |  | 329 |  |  | 282 |  |  | 380 |  |  | 662 |  |  | 353 |  |  | 389 |  |  | 742 |
Prevymis | 119 |  |  | 162 |  |  | 281 |  |  | 84 |  |  | 81 |  |  | 165 |  |  | 46 |  |  | 27 |  |  | 72 |
Primaxin | 2 |  |  | 248 |  |  | 251 |  |  | 2 |  |  | 271 |  |  | 273 |  |  | 7 |  |  | 258 |  |  | 265 |
Cancidas | 7 |  |  | 207 |  |  | 213 |  |  | 6 |  |  | 242 |  |  | 249 |  |  | 12 |  |  | 314 |  |  | 326 |
Invanz | 9 |  |  | 202 |  |  | 211 |  |  | 30 |  |  | 233 |  |  | 263 |  |  | 253 |  |  | 243 |  |  | 496 |
Cubicin | 46 |  |  | 106 |  |  | 152 |  |  | 92 |  |  | 165 |  |  | 257 |  |  | 191 |  |  | 176 |  |  | 367 |
Zerbaxa | 74 |  |  | 56 |  |  | 130 |  |  | 63 |  |  | 58 |  |  | 121 |  |  | 42 |  |  | 45 |  |  | 87 |
Immunology |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |
Simponi | — |  |  | 838 |  |  | 838 |  |  | — |  |  | 830 |  |  | 830 |  |  | — |  |  | 893 |  |  | 893 |
Remicade | — |  |  | 330 |  |  | 330 |  |  | — |  |  | 411 |  |  | 411 |  |  | — |  |  | 582 |  |  | 582 |
Neuroscience |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |
Belsomra | 81 |  |  | 247 |  |  | 327 |  |  | 92 |  |  | 214 |  |  | 306 |  |  | 96 |  |  | 164 |  |  | 260 |
Virology |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |
Isentress/Isentress HD | 326 |  |  | 531 |  |  | 857 |  |  | 398 |  |  | 576 |  |  | 975 |  |  | 513 |  |  | 627 |  |  | 1,140 |
Zepatier | 60 |  |  | 107 |  |  | 167 |  |  | 118 |  |  | 252 |  |  | 370 |  |  | 8 |  |  | 447 |  |  | 455 |
Cardiovascular |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |
Zetia | (1) |  |  | 483 |  |  | 482 |  |  | 14 |  |  | 575 |  |  | 590 |  |  | 45 |  |  | 813 |  |  | 857 |
Vytorin | 12 |  |  | 171 |  |  | 182 |  |  | 16 |  |  | 269 |  |  | 285 |  |  | 10 |  |  | 487 |  |  | 497 |
Atozet | — |  |  | 453 |  |  | 453 |  |  | — |  |  | 391 |  |  | 391 |  |  | — |  |  | 347 |  |  | 347 |
Alliance revenue - Adempas (2) | 259 |  |  | 22 |  |  | 281 |  |  | 194 |  |  | 10 |  |  | 204 |  |  | 134 |  |  | 5 |  |  | 139 |
Adempas | — |  |  | 220 |  |  | 220 |  |  | — |  |  | 215 |  |  | 215 |  |  | — |  |  | 190 |  |  | 190 |
Diabetes |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |
Januvia | 1,470 |  |  | 1,836 |  |  | 3,306 |  |  | 1,724 |  |  | 1,758 |  |  | 3,482 |  |  | 1,969 |  |  | 1,718 |  |  | 3,686 |
Janumet | 477 |  |  | 1,494 |  |  | 1,971 |  |  | 589 |  |  | 1,452 |  |  | 2,041 |  |  | 811 |  |  | 1,417 |  |  | 2,228 |
Women’s Health |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |
Implanon/Nexplanon | 488 |  |  | 192 |  |  | 680 |  |  | 568 |  |  | 219 |  |  | 787 |  |  | 495 |  |  | 208 |  |  | 703 |
NuvaRing | 110 |  |  | 127 |  |  | 236 |  |  | 742 |  |  | 136 |  |  | 879 |  |  | 722 |  |  | 180 |  |  | 902 |
Diversified Brands |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |
Singulair | 18 |  |  | 444 |  |  | 462 |  |  | 29 |  |  | 669 |  |  | 698 |  |  | 20 |  |  | 688 |  |  | 708 |
Cozaar/Hyzaar | 21 |  |  | 365 |  |  | 386 |  |  | 24 |  |  | 418 |  |  | 442 |  |  | 23 |  |  | 431 |  |  | 453 |
Arcoxia | — |  |  | 258 |  |  | 258 |  |  | — |  |  | 288 |  |  | 288 |  |  | — |  |  | 335 |  |  | 335 |
Nasonex | 12 |  |  | 206 |  |  | 218 |  |  | 9 |  |  | 284 |  |  | 293 |  |  | 23 |  |  | 353 |  |  | 376 |
Follistim AQ | 84 |  |  | 109 |  |  | 193 |  |  | 103 |  |  | 138 |  |  | 241 |  |  | 115 |  |  | 153 |  |  | 268 |
Other pharmaceutical (3) | 1,555 |  |  | 3,152 |  |  | 4,709 |  |  | 1,416 |  |  | 3,204 |  |  | 4,615 |  |  | 1,231 |  |  | 3,308 |  |  | 4,546 |
Total Pharmaceutical segment sales | 19,449 |  |  | 23,572 |  |  | 43,021 |  |  | 18,953 |  |  | 22,798 |  |  | 41,751 |  |  | 16,742 |  |  | 20,947 |  |  | 37,689 |
Animal Health: |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |
Livestock | 612 |  |  | 2,327 |  |  | 2,939 |  |  | 582 |  |  | 2,201 |  |  | 2,784 |  |  | 528 |  |  | 2,102 |  |  | 2,630 |
Companion Animals | 872 |  |  | 892 |  |  | 1,764 |  |  | 724 |  |  | 885 |  |  | 1,609 |  |  | 710 |  |  | 872 |  |  | 1,582 |
Total Animal Health segment sales | 1,484 |  |  | 3,219 |  |  | 4,703 |  |  | 1,306 |  |  | 3,086 |  |  | 4,393 |  |  | 1,238 |  |  | 2,974 |  |  | 4,212 |
Other segment sales (4) | 23 |  |  | — |  |  | 23 |  |  | 174 |  |  | 1 |  |  | 175 |  |  | 248 |  |  | 2 |  |  | 250 |
Total segment sales | 20,956 |  |  | 26,791 |  |  | 47,747 |  |  | 20,433 |  |  | 25,885 |  |  | 46,319 |  |  | 18,228 |  |  | 23,923 |  |  | 42,151 |
Other (5) | 71 |  |  | 176 |  |  | 247 |  |  | 86 |  |  | 436 |  |  | 521 |  |  | 118 |  |  | 26 |  |  | 143 |
| $ | 21,027 |  |  | $ | 26,967 |  |  | $ | 47,994 |  |  | $ | 20,519 |  |  | $ | 26,321 |  |  | $ | 46,840 |  |  | $ | 18,346 |  |  | $ | 23,949 |  |  | $ | 42,294 |
U.S. plus international may not equal total due to rounding. (1) Alliance revenue represents Merck’s share of profits, which are product sales net of cost of sales and commercialization costs (see Note 4). (2) Alliance revenue represents Merck’s share of profits from sales in Bayer’s marketing territories, which are product sales net of cost of sales and commercialization costs (see Note 4). (3) Other pharmaceutical primarily reflects sales of other human health pharmaceutical products, including products within the franchises not listed separately. (4) Represents sales for the non-reportable segments of Healthcare Services (fully divested in the first quarter of 2020) and Alliances (which concluded in 2018). (5) Other is primarily comprised of miscellaneous corporate revenues, including revenue hedging activities, as well as third-party manufacturing sales.
Consolidated Revenues by Geographic Area | Consolidated sales by geographic area where derived are as follows:
Years Ended December 31 | 2020 |  | 2019 |  | 2018
United States | $ | 21,027 |  |  | $ | 20,519 |  |  | $ | 18,346 |
Europe, Middle East and Africa | 13,600 |  |  | 12,707 |  |  | 12,213 |
China | 3,624 |  |  | 3,207 |  |  | 2,184 |
Japan | 3,376 |  |  | 3,583 |  |  | 3,212 |
Asia Pacific (other than China and Japan) | 2,864 |  |  | 2,943 |  |  | 2,909 |
Latin America | 2,274 |  |  | 2,469 |  |  | 2,415 |
Other | 1,229 |  |  | 1,412 |  |  | 1,015 |
| $ | 47,994 |  |  | $ | 46,840 |  |  | $ | 42,294 |
Reconciliation of Segment Profits to Income Before Taxes | A reconciliation of segment profits to Income before taxes is as follows:
Years Ended December 31 | 2020 |  | 2019 |  | 2018
Segment profits: |  |  |  |  |
Pharmaceutical segment | $ | 29,722 |  |  | $ | 28,324 |  |  | $ | 24,871 |
Animal Health segment | 1,650 |  |  | 1,609 |  |  | 1,659 |
Other segments | 1 |  |  | (7) |  |  | 103 |
Total segment profits | 31,373 |  |  | 29,926 |  |  | 26,633 |
Other profits | 140 |  |  | 363 |  |  | 6 |
Unallocated: |  |  |  |  |
Interest income | 59 |  |  | 274 |  |  | 343 |
Interest expense | (831) |  |  | (893) |  |  | (772) |
Depreciation and amortization | (1,602) |  |  | (1,593) |  |  | (1,352) |
Research and development | (13,072) |  |  | (9,499) |  |  | (9,432) |
Amortization of purchase accounting adjustments | (1,168) |  |  | (1,406) |  |  | (2,664) |
Restructuring costs | (578) |  |  | (638) |  |  | (632) |
Charge related to the termination of a collaboration with Samsung | — |  |  | — |  |  | (423) |
Other unallocated, net | (5,530) |  |  | (5,070) |  |  | (3,006) |
Income Before Taxes | $ | 8,791 |  |  | $ | 11,464 |  |  | $ | 8,701 |
Equity Income from Affiliates and Depreciation and Amortization Included in Segment Profits | Equity (income) loss from affiliates and depreciation and amortization included in segment profits is as follows:
| Pharmaceutical |  | Animal Health |  | All Other |  | Total
Year Ended December 31, 2020 |  |  |  |  |  |  |
Included in segment profits: |  |  |  |  |  |  |
Equity (income) loss from affiliates | $ | 6 |  |  | $ | — |  |  | $ | — |  |  | $ | 6 |
Depreciation and amortization | 690 |  |  | 164 |  |  | 1 |  |  | 855 |
Year Ended December 31, 2019 |  |  |  |  |  |  |
Included in segment profits: |  |  |  |  |  |  |
Equity (income) loss from affiliates | $ | — |  |  | $ | — |  |  | $ | — |  |  | $ | — |
Depreciation and amortization | 534 |  |  | 109 |  |  | 10 |  |  | 653 |
Year Ended December 31, 2018 |  |  |  |  |  |  |
Included in segment profits: |  |  |  |  |  |  |
Equity (income) loss from affiliates | $ | 4 |  |  | $ | — |  |  | $ | — |  |  | $ | 4 |
Depreciation and amortization | 411 |  |  | 82 |  |  | 10 |  |  | 503 |
Property, Plant and Equipment, Net by Geographic Area | Property, plant and equipment, net, by geographic area where located is as follows:
December 31 | 2020 |  | 2019 |  | 2018
United States | $ | 10,526 |  |  | $ | 8,974 |  |  | $ | 8,306 |
Europe, Middle East and Africa | 6,059 |  |  | 4,767 |  |  | 3,706 |
Asia Pacific (other than China and Japan) | 761 |  |  | 714 |  |  | 684 |
Latin America | 252 |  |  | 266 |  |  | 264 |
China | 217 |  |  | 174 |  |  | 167 |
Japan | 166 |  |  | 152 |  |  | 159 |
Other | 5 |  |  | 6 |  |  | 5 |
| $ | 17,986 |  |  | $ | 15,053 |  |  | $ | 13,291 |

X
- Definition Tabular disclosure of the reconciliation of profit (loss) from reportable segments to the consolidated income (loss) before income tax expense (benefit) and discontinued operations. Includes, but is not limited to, reconciliation after income tax if income tax is allocated to the reportable segment. + References Reference 1: http://fasb.org/us-gaap/role/ref/legacyRef -Publisher FASB -Name Accounting Standards Codification -Topic 280 -SubTopic 10 -Section 50 -Paragraph 31 -URI http://asc.fasb.org/extlink&oid=120311839&loc=d3e8924-108599 Reference 2: http://fasb.org/us-gaap/role/ref/legacyRef -Publisher FASB -Name Accounting Standards Codification -Topic 280 -SubTopic 10 -Section 50 -Paragraph 30 -Subparagraph (b) -URI http://asc.fasb.org/extlink&oid=120311839&loc=d3e8906-108599 + Details
Name: | us-gaap_ReconciliationOfOperatingProfitLossFromSegmentsToConsolidatedTextBlock
Namespace Prefix: | us-gaap_
Data Type: | nonnum:textBlockItemType
Balance Type: | na
Period Type: | duration

X
- Definition Tabular disclosure of the names of foreign countries in which material long-lived assets other than financial instruments, long-term customer relationships of a financial institution, mortgage and other servicing rights, deferred policy acquisition costs, and deferred tax assets are located, and amount of such long-lived assets located in that country or foreign geographic area. + References Reference 1: http://fasb.org/us-gaap/role/ref/legacyRef -Publisher FASB -Name Accounting Standards Codification -Topic 280 -SubTopic 10 -Section 50 -Paragraph 41 -Subparagraph (b) -URI http://asc.fasb.org/extlink&oid=120311839&loc=d3e9038-108599 + Details
Name: | us-gaap_ScheduleOfEntityWideDisclosureOnGeographicAreasLongLivedAssetsInIndividualForeignCountriesByCountryTextBlock
Namespace Prefix: | us-gaap_
Data Type: | nonnum:textBlockItemType
Balance Type: | na
Period Type: | duration

X
- Definition Tabular disclosure of entity-wide revenues from external customers for each product or service or each group of similar products or services if the information is not provided as part of the reportable operating segment information. + References Reference 1: http://fasb.org/us-gaap/role/ref/legacyRef -Publisher FASB -Name Accounting Standards Codification -Topic 280 -SubTopic 10 -Section 50 -Paragraph 40 -URI http://asc.fasb.org/extlink&oid=120311839&loc=d3e9031-108599 + Details
Name: | us-gaap_ScheduleOfEntityWideInformationRevenueFromExternalCustomersByProductsAndServicesTextBlock
Namespace Prefix: | us-gaap_
Data Type: | nonnum:textBlockItemType
Balance Type: | na
Period Type: | duration

X
- Definition Tabular disclosure of the names of foreign countries from which revenue is material and the amount of revenue from external customers attributed to those countries. An entity may also provide subtotals of geographic information about groups of countries. + References Reference 1: http://fasb.org/us-gaap/role/ref/legacyRef -Publisher FASB -Name Accounting Standards Codification -Topic 220 -SubTopic 10 -Section S99 -Paragraph 2 -Subparagraph (SX 210.5-03.1) -URI http://asc.fasb.org/extlink&oid=120395209&loc=SL114868664-224227 Reference 2: http://fasb.org/us-gaap/role/ref/legacyRef -Publisher FASB -Name Accounting Standards Codification -Topic 280 -SubTopic 10 -Section 50 -Paragraph 41 -Subparagraph (a) -URI http://asc.fasb.org/extlink&oid=120311839&loc=d3e9038-108599 + Details
Name: | us-gaap_ScheduleOfRevenueFromExternalCustomersAttributedToForeignCountriesByGeographicAreaTextBlock
Namespace Prefix: | us-gaap_
Data Type: | nonnum:textBlockItemType
Balance Type: | na
Period Type: | duration

X
- Definition Tabular disclosure of the profit or loss and total assets for each reportable segment. An entity discloses certain information on each reportable segment if the amounts (a) are included in the measure of segment profit or loss reviewed by the chief operating decision maker or (b) are otherwise regularly provided to the chief operating decision maker, even if not included in that measure of segment profit or loss. + References Reference 1: http://fasb.org/us-gaap/role/ref/legacyRef -Publisher FASB -Name Accounting Standards Codification -Topic 280 -SubTopic 10 -Section 50 -Paragraph 22 -URI http://asc.fasb.org/extlink&oid=120311839&loc=d3e8736-108599 Reference 2: http://fasb.org/us-gaap/role/ref/legacyRef -Publisher FASB -Name Accounting Standards Codification -Topic 280 -SubTopic 10 -Section 50 -Paragraph 25 -URI http://asc.fasb.org/extlink&oid=120311839&loc=d3e8813-108599 Reference 3: http://fasb.org/us-gaap/role/ref/legacyRef -Publisher FASB -Name Accounting Standards Codification -Topic 350 -SubTopic 20 -Section 50 -Paragraph 1 -URI http://asc.fasb.org/extlink&oid=121556970&loc=d3e13816-109267 Reference 4: http://fasb.org/us-gaap/role/ref/legacyRef -Publisher FASB -Name Accounting Standards Codification -Topic 280 -SubTopic 10 -Section 50 -Paragraph 30 -URI http://asc.fasb.org/extlink&oid=120311839&loc=d3e8906-108599 + Details
Name: | us-gaap_ScheduleOfSegmentReportingInformationBySegmentTextBlock
Namespace Prefix: | us-gaap_
Data Type: | nonnum:textBlockItemType
Balance Type: | na
Period Type: | duration

X
- References No definition available. + Details
Name: | us-gaap_SegmentReportingAbstract
Namespace Prefix: | us-gaap_
Data Type: | xbrli:stringItemType
Balance Type: | na
Period Type: | duration