Cost of Revenue: Key Insights for Johnson & Johnson and Pfizer Inc.

Cost of Revenue: A Comparative Analysis of Johnson & Johnson and Pfizer Inc.

In the ever-evolving pharmaceutical industry, understanding the cost of revenue is crucial for evaluating a company's financial health. Over the past decade, Johnson & Johnson and Pfizer Inc. have shown distinct trends in their cost of revenue. From 2014 to 2023, Johnson & Johnson's cost of revenue has seen a steady increase, peaking in 2020 with a 25% rise from 2014. In contrast, Pfizer Inc. experienced a dramatic surge in 2021, with costs more than tripling compared to 2020, largely due to increased production and distribution of COVID-19 vaccines. By 2023, Pfizer's cost of revenue was approximately 11% lower than its 2022 peak, indicating a stabilization post-pandemic. This analysis highlights the dynamic nature of the pharmaceutical sector and the impact of global events on financial metrics.