EX-99.2 3 tm2529620d1_ex99-2.htm EXHIBIT 99.2

Exhibit 99.2

MERCK & CO., INC., RAHWAY, N.J., USA

CONSOLIDATED STATEMENT OF INCOME - GAAP

(AMOUNTS IN MILLIONS, EXCEPT PER SHARE FIGURES)

(UNAUDITED)

Table 1a

	2025												2024																		% Change
		1Q			2Q			3Q			Sep YTD			1Q			2Q			3Q			Sep YTD			4Q			Full Year			3Q		Sep YTD
Sales	$	15,529		$	15,806		$	17,276		$	48,611		$	15,775		$	16,112		$	16,657		$	48,544		$	15,624		$	64,168			4	%	0	%

Costs, Expenses and Other
Cost of sales		3,419			3,557			3,855			10,831			3,540			3,745			4,080			11,365			3,828			15,193			-6	%	-5	%
Selling, general and administrative		2,552			2,649			2,633			7,835			2,483			2,739			2,731			7,952			2,864			10,816			-4	%	-1	%
Research and development		3,621			4,048			4,234			11,903			3,992			3,500			5,862			13,354			4,585			17,938			-28	%	-11	%
Restructuring costs		69			560			47			676			123			80			56			258			51			309			-16	%	*
Other (income) expense, net		(35	)		(7	)		(238	)		(281	)		(33	)		42			(162	)		(151	)		126			(24	)		47	%	86	%
Income Before Taxes		5,903			4,999			6,745			17,647			5,670			6,006			4,090			15,766			4,170			19,936			65	%	12	%
Income Tax Provision		818			571			958			2,346			903			545			929			2,377			425			2,803
Net Income		5,085			4,428			5,787			15,301			4,767			5,461			3,161			13,389			3,745			17,133			83	%	14	%
Less: Net Income Attributable to Noncontrolling Interests		6			1			2			10			5			6			4			15			2			16
Net Income Attributable to Merck & Co., Inc., Rahway, N.J., USA	$	5,079		$	4,427		$	5,785		$	15,291		$	4,762		$	5,455		$	3,157		$	13,374		$	3,743		$	17,117			83	%	14	%

Earnings per Common Share Assuming Dilution	$	2.01		$	1.76		$	2.32		$	6.08		$	1.87		$	2.14		$	1.24		$	5.26		$	1.48		$	6.74			87	%	16	%

Average Shares Outstanding Assuming Dilution		2,531			2,513			2,498			2,514			2,544			2,544			2,541			2,543			2,537			2,541
Tax Rate		13.9	%		11.4	%		14.2	%		13.3	%		15.9	%		9.1	%		22.7	%		15.1	%		10.2	%		14.1	%

* 100% or greater

Sum of quarterly amounts may not equal year-to-date amounts due to rounding.

MERCK & CO., INC., RAHWAY, N.J., USA

THREE AND NINE MONTHS ENDED SEPTEMBER 30, 2024 GAAP TO NON-GAAP RECONCILIATION

(AMOUNTS IN MILLIONS, EXCEPT PER SHARE FIGURES)

(UNAUDITED)

Table 2b

	GAAP			Acquisition and Divestiture- Related Costs ⁽¹⁾			Restructuring Costs ⁽²⁾			(Income) Loss from Investments in Equity Securities			Certain Other Items			Adjustment Subtotal			Non-GAAP
Third Quarter
Cost of sales	$	4,080			639			192									831		$	3,249
Selling, general and administrative		2,731			43			31									74			2,657
Research and development		5,862			24												24			5,838
Restructuring costs		56						56									56			–
Other (income) expense, net		(162	)		(27	)					58						31			(193	)
Income Before Taxes		4,090			(679	)		(279	)		(58	)					(1,016	)		5,106
Income Tax Provision (Benefit)		929			(129	)⁽³⁾		(46	)⁽³⁾		(13	)⁽³⁾					(188	)		1,117
Net Income		3,161			(550	)		(233	)		(45	)					(828	)		3,989
Net Income Attributable to Merck & Co., Inc., Rahway, N.J., USA		3,157			(550	)		(233	)		(45	)					(828	)		3,985
Earnings per Common Share Assuming Dilution	$	1.24			(0.22	)		(0.09	)		(0.02	)					(0.33	)	$	1.57

Tax Rate		22.7	%																	21.9	%

Sep YTD
Cost of sales	$	11,365			1,708			374									2,082		$	9,283
Selling, general and administrative		7,952			88			67									155			7,797
Research and development		13,354			60			2									62			13,292
Restructuring costs		258						258									258			–
Other (income) expense, net		(151	)		(48	)					(107	)					(155	)		4
Income Before Taxes		15,766			(1,808	)		(701	)		107						(2,402	)		18,168
Income Tax Provision (Benefit)		2,377			(350	)⁽³⁾		(118	)⁽³⁾		23	⁽³⁾		(259	)⁽⁴⁾		(704	)		3,081
Net Income		13,389			(1,458	)		(583	)		84			259			(1,698	)		15,087
Net Income Attributable to Merck & Co., Inc., Rahway, N.J., USA		13,374			(1,458	)		(583	)		84			259			(1,698	)		15,072
Earnings per Common Share Assuming Dilution	$	5.26			(0.57	)		(0.23	)		0.03			0.10			(0.67	)	$	5.93

Tax Rate		15.1	%																	17.0	%

Only the line items that are affected by non-GAAP adjustments are shown.

The Company is providing certain non-GAAP information that excludes certain items because of the nature of these items and the impact they have on the analysis of underlying business performance and trends. Management believes that providing non-GAAP information enhances investors’ understanding of the Company’s results because management uses non-GAAP measures to assess performance. Management uses non-GAAP measures internally for planning and forecasting purposes and to measure the performance of the Company along with other metrics. In addition, annual employee compensation, including senior management’s compensation, is derived in part using a non-GAAP pretax income metric. The non-GAAP information presented should be considered in addition to, but not as a substitute for or superior to, information prepared in accordance with GAAP.

⁽¹⁾Amounts included in cost of sales primarily reflect expenses for the amortization of intangible assets. Amounts included in selling, general and administrative expenses reflect integration, transaction and certain other costs related to acquisitions and divestitures. Amounts included in research and development expenses primarily reflect the amortization of intangible assets and Animal Health intangible asset impairment charges. Amounts included in other (income) expense, net, primarily reflect royalty income related to the prior termination of the Sanofi-Pasteur MSD joint venture.

⁽²⁾Amounts primarily include employee separation costs, accelerated depreciation and asset impairments associated with facilities to be closed or divested related to activities under the Company's formal restructuring programs.

⁽³⁾ Represents the estimated tax impacts on the reconciling items based on applying the statutory rate of the originating territory of the non-GAAP adjustments.

⁽⁴⁾ Represents a benefit due to a reduction in reserves for unrecognized income tax benefits resulting from the expiration of the statute of limitations for assessments related to the 2019 federal tax return year.

MERCK & CO., INC., RAHWAY, N.J., USA

FRANCHISE / KEY PRODUCT SALES

THIRD QUARTER 2025

(AMOUNTS IN MILLIONS)

(UNAUDITED)

Table 3a

	Global						U.S.						International
	3Q 2025		3Q 2024		% Change		3Q 2025		3Q 2024		% Change		3Q 2025		3Q 2024		% Change
TOTAL SALES ⁽¹⁾	$	17,276	$	16,657		4	$	10,012	$	8,736		15	$	7,264	$	7,922		-8
PHARMACEUTICAL		15,611		14,943		4		9,493		8,227		15		6,118		6,717		-9
Oncology
Keytruda		8,142		7,429		10		4,879		4,500		8		3,263		2,929		11
Alliance Revenue – Lynparza ⁽²⁾		379		337		12		184		161		14		195		177		11
Alliance Revenue – Lenvima ⁽²⁾		258		251		3		177		173		2		81		78		4
Welireg		196		139		42		161		127		27		35		12		196
Alliance Revenue – Reblozyl ⁽³⁾		136		100		36		111		82		35		25		18		40
Vaccines ⁽⁴⁾
Gardasil/Gardasil 9		1,749		2,306		-24		1,154		1,020		13		595		1,285		-54
ProQuad/M-M-R II/Varivax		684		703		-3		554		572		-3		130		131		-1
Capvaxive		244		47		*		238		47		*		7		0		*
Vaxneuvance		226		239		-6		134		137		-1		91		103		-11
RotaTeq		204		193		6		141		131		8		63		62		2
Pneumovax 23		45		68		-34		10		19		-48		35		49		-28
Hospital Acute Care
Bridion		439		420		5		392		339		15		47		81		-42
Prevymis		266		208		28		128		101		27		138		107		29
Zerbaxa		81		64		25		49		39		25		32		26		25
Dificid		43		96		-55		30		83		-64		13		13		-2
Cardiovascular
Winrevair		360		149		141		335		147		129		25		3		*
Alliance Revenue - Adempas/Verquvo ⁽⁵⁾		112		102		9		103		96		8		8		7		25
Adempas ⁽⁶⁾		82		72		14								82		72		14
Virology
Lagevrio		138		383		-64		24		84		-71		114		299		-62
Isentress/Isentress HD		82		102		-20		44		54		-18		37		48		-23
Delstrigo		77		65		19		13		15		-13		64		50		29
Pifeltro		43		42		1		29		31		-7		14		12		21
Neuroscience
Belsomra		47		78		-40		28		20		40		19		58		-67
Immunology
Simponi				189		-100										189		-100
Remicade				41		-100										41		-100
Diabetes ⁽⁷⁾
Januvia		382		278		37		258		67		*		124		211		-42
Janumet		243		204		19		78		15		*		165		190		-13
Other Pharmaceutical ⁽⁸⁾		953		638		50		239		167		43		716		466		54
ANIMAL HEALTH		1,615		1,487		9		504		487		3		1,112		999		11
Livestock		1,023		886		16		213		194		10		811		692		17
Companion Animal		592		601		-2		291		293		-1		301		307		-2
Other Revenues ⁽⁹⁾		50		227		-78		15		22		-32		34		206		-83

*200% or greater

Sum of U.S. plus international may not equal global due to rounding.

⁽¹⁾ Only select products are shown.

⁽²⁾ Alliance Revenue represents the Company's share of profits, which are product sales net of cost of sales and commercialization costs.

⁽³⁾ Alliance Revenue represents royalties.

⁽⁴⁾ Total Vaccines sales were $3,370 million and $3,675 million on a global basis in the third quarter of 2025 and 2024, respectively.

⁽⁵⁾ Alliance Revenue represents the Company's share of profits from sales in Bayer's marketing territories, which are product sales net of cost of sales and commercialization costs.

⁽⁶⁾ Net product sales in the Company's marketing territories.

⁽⁷⁾ Total Diabetes sales were $703 million and $592 million on a global basis in the third quarter of 2025 and 2024, respectively.

⁽⁸⁾ Includes Pharmaceutical products not individually shown above. Also reflects total alliance revenue for Koselugo of $214 million and $39 million on a global basis in the third quarter of 2025 and 2024, respectively.

⁽⁹⁾ Other Revenues are comprised primarily of revenues from third-party manufacturing arrangements and miscellaneous corporate revenues, including revenue-hedging activities. Other Revenues related to the receipt of upfront and milestone payments for out-licensed products were $11 million and $15 million in the third quarter of 2025 and 2024, respectively.

MERCK & CO., INC., RAHWAY, N.J., USA

FRANCHISE / KEY PRODUCT SALES

SEPTEMBER YEAR-TO-DATE 2025

(AMOUNTS IN MILLIONS)

(UNAUDITED)

Table 3b

	Global						U.S.						International
	Sep YTD 2025		Sep YTD 2024		% Change		Sep YTD 2025		Sep YTD 2024		% Change		Sep YTD 2025		Sep YTD 2024		% Change
TOTAL SALES ⁽¹⁾	$	48,611	$	48,544		0	$	27,371	$	24,089		14	$	21,240	$	24,455		-13
PHARMACEUTICAL		43,299		43,358		0		25,747		22,563		14		17,552		20,795		-16
Oncology
Keytruda		23,303		21,646		8		13,936		13,031		7		9,367		8,614		9
Alliance Revenue – Lynparza ⁽²⁾		1,061		947		12		503		449		12		558		498		12
Alliance Revenue – Lenvima ⁽²⁾		781		755		3		545		523		4		236		233		2
Welireg		496		349		42		422		320		32		74		29		157
Alliance Revenue – Reblozyl ⁽³⁾		361		261		39		299		215		39		62		45		37
Vaccines ⁽⁴⁾
Gardasil/Gardasil 9		4,202		7,032		-40		2,235		2,045		9		1,967		4,988		-61
ProQuad/M-M-R II/Varivax		1,832		1,891		-3		1,457		1,500		-3		374		391		-4
Vaxneuvance		685		647		6		409		397		3		276		251		10
RotaTeq		554		572		-3		366		388		-6		187		185		2
Capvaxive		480		47		*		473		47		*		8		0		*
Pneumovax 23		124		188		-34		13		36		-63		111		152		-27
Hospital Acute Care
Bridion		1,341		1,315		2		1,181		1,020		16		161		296		-46
Prevymis		702		570		23		345		265		30		357		305		17
Zerbaxa		225		182		24		136		106		29		89		77		16
Dificid		222		261		-15		185		231		-20		37		30		21
Cardiovascular
Winrevair		976		219		*		926		216		*		49		3		*
Alliance Revenue - Adempas/Verquvo ⁽⁵⁾		340		306		11		308		283		9		32		22		43
Adempas ⁽⁶⁾		229		214		7								229		214		7
Virology
Lagevrio		323		843		-62		90		144		-38		233		699		-67
Isentress/Isentress HD		258		302		-15		144		147		-2		114		155		-26
Delstrigo		228		180		26		42		42		1		185		139		33
Pifeltro		128		123		4		86		86		-1		43		37		16
Neuroscience
Belsomra		137		177		-23		59		53		12		77		124		-38
Immunology
Simponi				545		-100										545		-100
Remicade				115		-100										115		-100
Diabetes ⁽⁷⁾
Januvia		1,302		1,102		18		819		428		91		483		674		-28
Janumet		741		679		9		210		70		*		530		610		-13
Other Pharmaceutical ⁽⁸⁾		2,268		1,890		20		558		521		7		1,713		1,364		26
ANIMAL HEALTH		4,849		4,480		8		1,505		1,417		6		3,345		3,063		9
Livestock		2,909		2,573		13		598		529		13		2,312		2,044		13
Companion Animal		1,940		1,907		2		907		888		2		1,033		1,019		1
Other Revenues ⁽⁹⁾		463		706		-34		119		109		9		343		597		-43

*200% or greater

Sum of U.S. plus international may not equal global due to rounding.

⁽¹⁾ Only select products are shown.

⁽²⁾ Alliance Revenue represents the Company's share of profits, which are product sales net of cost of sales and commercialization costs.

⁽³⁾ Alliance Revenue represents royalties.

⁽⁴⁾ Total Vaccines sales were $8,347 million and $10,755 million on a global basis for September YTD 2025 and 2024, respectively.

⁽⁵⁾ Alliance Revenue represents the Company's share of profits from sales in Bayer's marketing territories, which are product sales net of cost of sales and commercialization costs.

⁽⁶⁾ Net product sales in the Company's marketing territories.

⁽⁷⁾ Total Diabetes sales were $2,283 million and $2,053 million on a global basis for September YTD 2025 and 2024, respectively.

⁽⁸⁾ Includes Pharmaceutical products not individually shown above. Also reflects total alliance revenue for Koselugo of $301 million and $114 million on a global basis for September YTD 2025 and 2024, respectively.

⁽⁹⁾ Other Revenues are comprised primarily of revenues from third-party manufacturing arrangements and miscellaneous corporate revenues, including revenue-hedging activities. Other Revenues related to the receipt of upfront and milestone payments for out-licensed products were $111 million and $91 million on a global basis for September YTD 2025 and 2024, respectively.

MERCK & CO., INC., RAHWAY, N.J., USA

PHARMACEUTICAL GEOGRAPHIC SALES

(AMOUNTS IN MILLIONS)

(UNAUDITED)

Table 3c

	2025												2024																		% Change
	1Q			2Q			3Q			Sep YTD			1Q			2Q			3Q			Sep YTD			4Q			Full Year			3Q		Sep YTD
TOTAL PHARMACEUTICAL	$	13,638		$	14,050		$	15,611		$	43,299		$	14,006		$	14,408		$	14,943		$	43,358		$	14,042		$	57,400			4		0
United States		7,927			8,328			9,493			25,747			6,936			7,399			8,227			22,563			7,728			30,290			15		14
% Pharmaceutical Sales		58.1	%		59.3	%		60.8	%		59.5	%		49.5	%		51.4	%		55.1	%		52.0	%		55.0	%		52.8	%
Europe ⁽¹⁾		2,384			2,551			2,675			7,610			2,555			2,572			2,620			7,748			2,498			10,246			2		-2
% Pharmaceutical Sales		17.5	%		18.2	%		17.1	%		17.6	%		18.2	%		17.9	%		17.5	%		17.9	%		17.8	%		17.9	%
Japan		651			604			693			1,948			802			664			919			2,386			813			3,199			-25		-18
% Pharmaceutical Sales		4.8	%		4.3	%		4.4	%		4.5	%		5.7	%		4.6	%		6.2	%		5.5	%		5.8	%		5.6	%
Latin America		589			654			691			1,933			601			661			730			1,992			680			2,672			-5		-3
% Pharmaceutical Sales		4.3	%		4.7	%		4.4	%		4.5	%		4.3	%		4.6	%		4.9	%		4.6	%		4.8	%		4.7	%
Asia Pacific (other than China and Japan)		535			609			593			1,736			580			595			669			1,844			612			2,457			-11		-6
% Pharmaceutical Sales		3.9	%		4.3	%		3.8	%		4.0	%		4.1	%		4.1	%		4.5	%		4.3	%		4.4	%		4.3	%
China ⁽²⁾		668			407			377			1,452			1,744			1,790			996			4,530			864			5,394			-62		-68
% Pharmaceutical Sales		4.9	%		2.9	%		2.4	%		3.4	%		12.5	%		12.4	%		6.7	%		10.4	%		6.2	%		9.4	%
Eastern Europe/Middle East/Africa		435			451			365			1,250			395			353			400			1,147			348			1,495			-9		9
% Pharmaceutical Sales		3.2	%		3.2	%		2.3	%		2.9	%		2.8	%		2.4	%		2.7	%		2.6	%		2.5	%		2.6	%
Canada		125			135			134			394			138			143			133			414			144			558			1		-5
% Pharmaceutical Sales		0.9	%		1.0	%		0.9	%		0.9	%		1.0	%		1.0	%		0.9	%		1.0	%		1.0	%		1.0	%
Other		324			311			590			1,229			255			231			249			734			355			1,089			137		67
% Pharmaceutical Sales		2.4	%		2.1	%		3.9	%		2.7	%		1.9	%		1.6	%		1.5	%		1.7	%		2.5	%		1.7	%

Sum of quarterly amounts may not equal year-to-date amounts due to rounding.

⁽¹⁾ Europe represents all European Union countries, the European Union accession markets and the United Kingdom.

⁽²⁾ Gardasil/Gardasil 9 sales in China were $193 million, $0 and $0 in the first, second and third quarter of 2025, respectively, and $1,253 million, $1,312 million, $517 million and $446 million in the first, second, third and fourth quarter of 2024, respectively.

MERCK & CO., INC., RAHWAY, N.J., USA

OTHER (INCOME) EXPENSE, NET - GAAP

(AMOUNTS IN MILLIONS)

(UNAUDITED)

Table 4

OTHER (INCOME) EXPENSE, NET

	3Q25			3Q24			Sep YTD 2025			Sep YTD 2024
Interest income	$	(96	)	$	(127	)	$	(274	)	$	(269	)
Interest expense		327			330			946			943
Exchange losses		56			33			224			177
(Income) loss from investments in equity securities, net ⁽¹⁾		(373	)		31			(563	)		(169	)
Net periodic defined benefit plan (credit) cost other than service cost		(152	)		(157	)		(452	)		(476	)
Other, net		-			(272	)		(162	)		(357	)
Total	$	(238	)	$	(162	)	$	(281	)	$	(151	)

⁽¹⁾Includes net realized and unrealized gains and losses from investments in equity securities either owned directly or through ownership interests in investment funds. Unrealized gains and losses from investments that are directly owned are determined at the end of the reporting period, while gains and losses from ownership interests in investment funds are accounted for on a one quarter lag.