Viatris IncVTRS
Viatris Inc Revenue Disclosure
Revenue Recognition and Accounts Receivable
The following table presents the Company’s net sales by product category for each of our reportable segments for the years ended December 31, 2025, 2024, and 2023, respectively:
| (In millions) | 2025 Net Sales | ||||||||||||||||||||||||||||
| Product Category | Developed Markets | Greater China | JANZ | Emerging Markets | Total | ||||||||||||||||||||||||
| Brands | 4,571.2 | 2,321.8 | 617.4 | 1,673.6 | 9,184.0 | ||||||||||||||||||||||||
| Generics | 3,942.8 | 10.7 | 576.4 | 536.5 | 5,066.4 | ||||||||||||||||||||||||
| Total Viatris | $ | 8,514.0 | $ | 2,332.5 | $ | 1,193.8 | $ | 2,210.1 | $ | 14,250.4 | |||||||||||||||||||
| (In millions) | 2024 Net Sales | ||||||||||||||||||||||||||||
| Product Category | Developed Markets | Greater China | JANZ | Emerging Markets | Total | ||||||||||||||||||||||||
| Brands | 4,731.6 | 2,156.7 | 744.2 | 1,567.8 | 9,200.3 | ||||||||||||||||||||||||
| Generics | 4,197.8 | 9.8 | 602.0 | 682.9 | 5,492.5 | ||||||||||||||||||||||||
| Total Viatris | $ | 8,929.4 | $ | 2,166.5 | $ | 1,346.2 | $ | 2,250.7 | $ | 14,692.8 | |||||||||||||||||||
| (In millions) | 2023 Net Sales | ||||||||||||||||||||||||||||
| Product Category | Developed Markets | Greater China | JANZ | Emerging Markets | Total | ||||||||||||||||||||||||
| Brands | 5,239.0 | 2,152.1 | 782.9 | 1,626.5 | 9,800.5 | ||||||||||||||||||||||||
| Generics | 4,012.9 | 8.3 | 641.6 | 925.1 | 5,587.9 | ||||||||||||||||||||||||
| Total Viatris | $ | 9,251.9 | $ | 2,160.4 | $ | 1,424.5 | $ | 2,551.6 | $ | 15,388.4 | |||||||||||||||||||
____________
(a)Amounts reflected in the above tables include net sales attributable to divested businesses until the date of disposition. Refer to Note 5 Divestitures for additional information. Amounts also reflect the impact of foreign currency fluctuations. 2025 amounts further reflect the Indore Impact.
The following table presents net sales on a consolidated basis for select key products for the years ended December 31, 2025, 2024, and 2023, respectively:
| Year Ended December 31, | ||||||||||||||||||||
| (In millions) | 2025 | 2024 | 2023 | |||||||||||||||||
Select Key Global Products | ||||||||||||||||||||
Lipitor ® | $ | 1,549.3 | $ | 1,468.8 | $ | 1,559.3 | ||||||||||||||
| Norvasc ® | 709.9 | 673.3 | 732.4 | |||||||||||||||||
| Lyrica ® | 487.0 | 495.4 | 556.5 | |||||||||||||||||
| EpiPen® Auto-Injectors | 469.7 | 392.0 | 442.2 | |||||||||||||||||
| Viagra ® | 408.2 | 395.6 | 428.8 | |||||||||||||||||
| Creon ® | 365.8 | 328.2 | 304.9 | |||||||||||||||||
Celebrex ® | 272.9 | 285.6 | 330.6 | |||||||||||||||||
Effexor ® | 257.7 | 252.9 | 262.9 | |||||||||||||||||
Zoloft ® | 254.9 | 235.7 | 235.7 | |||||||||||||||||
| Xalabrands | 158.4 | 166.4 | 193.2 | |||||||||||||||||
| Select Key Segment Products | ||||||||||||||||||||
| Yupelri ® | $ | 266.9 | $ | 238.5 | $ | 220.8 | ||||||||||||||
| Influvac ® | 194.4 | 178.7 | 192.4 | |||||||||||||||||
| Dymista ® | 163.6 | 188.0 | 200.0 | |||||||||||||||||
| Amitiza ® | 158.1 | 149.2 | 157.0 | |||||||||||||||||
| Xanax ® | 139.9 | 145.0 | 154.8 | |||||||||||||||||
____________
(a)The Company does not disclose net sales for any products considered competitively sensitive.
(b)Products disclosed may change in future periods, including as a result of seasonality, competition or new product launches.
(c)Amounts include the impact of foreign currency translations compared to the prior year period.
(d)Refer to intellectual property matters included in Note 20 Litigation for additional information regarding Yupelri® and Amitiza®.
Variable Consideration and Accounts Receivable
The following table presents a reconciliation of gross sales to net sales by each significant category of variable consideration during the years ended December 31, 2025, 2024 and 2023, respectively:
| Year Ended December 31, | |||||||||||||||||
| (In millions) | 2025 | 2024 | 2023 | ||||||||||||||
| Gross sales | $ | 23,732.9 | $ | 24,905.2 | $ | 25,693.1 | |||||||||||
| Gross to net adjustments: | |||||||||||||||||
| Chargebacks | (4,816.0) | (5,008.7) | (5,457.9) | ||||||||||||||
| Rebates, promotional programs and other sales allowances | (3,805.2) | (4,193.1) | (3,857.6) | ||||||||||||||
| Returns | (226.6) | (292.5) | (223.2) | ||||||||||||||
| Governmental rebate programs | (634.7) | (718.1) | (766.0) | ||||||||||||||
| Total gross to net adjustments | $ | (9,482.5) | $ | (10,212.4) | $ | (10,304.7) | |||||||||||
| Net sales | $ | 14,250.4 | $ | 14,692.8 | $ | 15,388.4 | |||||||||||
____________
(a)Amounts reflected in the above table include net sales attributable to divested businesses until the date of disposition. Refer to Note 5 Divestitures for additional information. Amounts also reflect the impact of foreign currency fluctuations. 2025 amounts further reflect the Indore Impact.
The following is a rollforward of the categories of variable consideration during 2025:
| (In millions) | Balance at December 31, 2024 | Current Provision Related to Sales Made in the Current Period | Checks/ Credits Issued to Third Parties | Effects of Foreign Exchange | Balance at December 31, 2025 | ||||||||||||||||||||||||
| Chargebacks | $ | 493.9 | $ | 4,816.0 | $ | (4,870.6) | $ | 2.5 | $ | 441.8 | |||||||||||||||||||
| Rebates, promotional programs and other sales allowances | 1,266.9 | 3,805.2 | (3,999.9) | 61.0 | 1,133.2 | ||||||||||||||||||||||||
| Returns | 400.9 | 226.6 | (283.0) | 5.0 | 349.5 | ||||||||||||||||||||||||
| Governmental rebate programs | 374.7 | 634.7 | (688.8) | 23.5 | 344.1 | ||||||||||||||||||||||||
| Total | $ | 2,536.4 | $ | 9,482.5 | $ | (9,842.3) | $ | 92.0 | $ | 2,268.6 | |||||||||||||||||||
Accruals for these provisions are presented in the consolidated financial statements as reductions in determining net revenues and as a contra asset in accounts receivable, net (if settled via credit) and other current liabilities (if paid in cash). Accounts receivable are presented net of allowances relating to these provisions, which were comprised of the following at December 31, 2025 and 2024, respectively:
| (In millions) | December 31, 2025 | December 31, 2024 | |||||||||
| Accounts receivable, net | $ | 1,257.4 | $ | 1,547.0 | |||||||
| Other current liabilities | 1,011.2 | 989.4 | |||||||||
| Total | $ | 2,268.6 | $ | 2,536.4 | |||||||
We have not made and do not anticipate making any significant changes to the methodologies that we use to measure provisions for variable consideration; however, the balances within these reserves can fluctuate significantly through the consistent application of our methodologies. Historically, we have not recorded in any current period any material amounts related to adjustments made to prior period reserves.
Accounts receivable, net was comprised of the following at December 31, 2025 and 2024, respectively:
| (In millions) | December 31, 2025 | December 31, 2024 | |||||||||
| Trade receivables, net | $ | 2,577.6 | $ | 2,675.3 | |||||||
| Other receivables | 453.7 | 546.0 | |||||||||
| Accounts receivable, net | $ | 3,031.3 | $ | 3,221.3 | |||||||
Total allowances for doubtful accounts were $136.0 million and $107.6 million at December 31, 2025 and 2024, respectively. Viatris performs ongoing credit evaluations of its customers and generally does not require collateral. Approximately 24% and 29% of the accounts receivable balances represent amounts due from three customers at December 31, 2025 and 2024, respectively.
Accounts Receivable Factoring Arrangements
We have entered into accounts receivable factoring agreements with financial institutions to sell certain of our non-U.S. accounts receivable. These transactions are accounted for as sales and result in a reduction in accounts receivable because the agreements transfer effective control over and risk related to the receivables to the buyers. Our factoring agreements do not allow for recourse in the event of uncollectibility, and we do not retain any interest in the underlying accounts receivable once sold. We derecognized $301.9 million and $68.5 million of accounts receivable as of December 31, 2025 and 2024, respectively, under these factoring arrangements. Additionally, we have a similar arrangement for certain European countries. As of December 31, 2024, we assigned and derecognized approximately $29.9 million of Trade Receivables, Net, which were included in Other Receivables. As of December 31, 2025, no amounts were assigned and derecognized.
Historical Timeline
| Fiscal Year | Filed | |
|---|---|---|
| 2025 | Feb 26, 2026 | Showing above |
| 2024 | Feb 27, 2025 | |
| 2023 | Feb 28, 2024 | |
| 2022 | Feb 27, 2023 | |
| 2021 | Feb 28, 2022 | |
| 2020 | Mar 1, 2021 | |
About Revenue Disclosures
Revenue disclosures under ASC 606 explain how a company identifies performance obligations, allocates transaction prices, and determines when revenue is recognized. This section is essential for understanding whether reported revenue reflects genuine economic activity or aggressive accounting choices. Analysts examine the mix of point-in-time versus over-time recognition, which directly affects revenue timing and comparability.
Key signals: rising contract liabilities (deferred revenue) suggest strong future revenue visibility, while declining contract assets may indicate slowing project milestones. Watch for variable consideration estimates — rebates, returns, and performance bonuses that require management judgment. Significant changes in disaggregated revenue by geography or product line can reveal shifting business mix before it appears in headline numbers. Compare revenue growth against contract liability growth to assess sustainability, and scrutinize any changes in the timing of recognition that coincide with earnings pressure.