Bayer AG (XSWX:BAYN) Operating Income: CHF6,770 Mil (TTM As of Mar. 2026)


XSWX:BAYN Bayer AG XSWX:BAYN
54 GF Score
Price CHF42.49
GF Value CHF24.74
Valuation Significantly Overvalued
! 6 Warning Signs
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What is Bayer AG Operating Income?

Bayer AG XSWX:BAYN 54 Operating Income is CHF6,770 Mil as of Mar. 2026. GuruFocus rates XSWX:BAYN with a GF Score™ of 54/100 and a GF Value™ of CHF24.74 (Significantly Overvalued). The stock has 6 warning signs investors should review.

Bayer AG's Operating Income for the three months ended in Mar. 2026 was CHF3,211 Mil. Its Operating Income for the trailing twelve months (TTM) ended in Mar. 2026 was CHF6,770 Mil.

Operating Margin % is calculated as Operating Income divided by its Revenue. Bayer AG's Operating Income for the three months ended in Mar. 2026 was CHF3,211 Mil. Bayer AG's Revenue for the three months ended in Mar. 2026 was CHF12,201 Mil. Therefore, Bayer AG's Operating Margin % for the quarter that ended in Mar. 2026 was 26.32%.

Bayer AG's 5-Year average Growth Rate for Operating Margin % was 0.00% per year.

Operating Income or EBIT is linked to Return on Capital for both regular definition and Joel Greenblatt's definition. Bayer AG's annualized ROC % for the quarter that ended in Mar. 2026 was 13.29%. Bayer AG's annualized ROC (Joel Greenblatt) % for the quarter that ended in Mar. 2026 was 107.82%.

Bayer AG  (XSWX:BAYN) Operating Income Explanation

1. Operating Income or EBIT is linked to Return on Capital for both regular definition and Joel Greenblatt's definition.

Bayer AG's annualized ROC % for the quarter that ended in Mar. 2026 is calculated as:

ROC % (Q: Mar. 2026 )
=NOPAT/Average Invested Capital
=Operating Income * ( 1 - Tax Rate % )/( (Invested Capital (Q: Dec. 2025 ) + Invested Capital (Q: Mar. 2026 ))/ count )
=12844.368 * ( 1 - 7.43% )/( (89273.329 + 89660.272)/ 2 )
=11890.0314576/89466.8005
=13.29 %

where

Invested Capital(Q: Dec. 2025 )
=Total Assets - Accounts Payable & Accrued Expense - Excess Cash
=Total Assets - Accounts Payable & Accrued Expense - ( Cash, Cash Equivalents, Marketable Securities - max(0, Total Current Liabilities - Total Current Assets+Cash, Cash Equivalents, Marketable Securities))
=97551.198 - 7973.666 - ( 7330.733 - max(0, 30406.307 - 30710.51+7330.733))
=89273.329

Invested Capital(Q: Mar. 2026 )
=Total Assets - Accounts Payable & Accrued Expense - Excess Cash
=Total Assets - Accounts Payable & Accrued Expense - ( Cash, Cash Equivalents, Marketable Securities - max(0, Total Current Liabilities - Total Current Assets+Cash, Cash Equivalents, Marketable Securities))
=98247.759 - 6911.857 - ( 6061.755 - max(0, 30454.402 - 32130.032+6061.755))
=89660.272

Note: The Operating Income data used here is four times the quarterly (Mar. 2026) data.

2. Joel Greenblatt's definition of Return on Capital:

Bayer AG's annualized ROC (Joel Greenblatt) % for the quarter that ended in Mar. 2026 is calculated as:

ROC (Joel Greenblatt) %(Q: Mar. 2026 )
=EBIT/Average of (Net fixed Assets + Net Working Capital)
=EBIT/Average of (Property, Plant and Equipment+Net Working Capital)
     Q: Dec. 2025  Q: Mar. 2026
=EBIT/( ( (Property, Plant and Equipment + Net Working Capital) + (Property, Plant and Equipment + Net Working Capital) )/ count )
=12607.724/( ( (11803.265 + max(-3272.515, 0)) + (11583.777 + max(-6355.74, 0)) )/ 2 )
=12607.724/( ( 11803.265 + 11583.777 )/ 2 )
=12607.724/11693.521
=107.82 %

where Working Capital is:

Working Capital(Q: Dec. 2025 )
=(Accounts Receivable + Total Inventories + Other Current Assets) - (Accounts Payable & Accrued Expense + Defer. Rev. + Other Current Liabilities)
=(8470.095 + 11510.259 + 2817.145) - (7973.666 + 0 + 18096.348)
=-3272.515

Working Capital(Q: Mar. 2026 )
=(Accounts Receivable + Total Inventories + Other Current Assets) - (Accounts Payable & Accrued Expense + Defer. Rev. + Other Current Liabilities)
=(11747.608 + 10934.823 + 1416.231) - (6911.857 + 0 + 23542.545)
=-6355.74

When net working capital is negative, 0 is used.

Note: The EBIT data used here is four times the quarterly (Mar. 2026) EBIT data.

3. Operating Income is also linked to Operating Margin %:

Bayer AG's Operating Margin % for the quarter that ended in Mar. 2026 is calculated as:

Operating Margin %=Operating Income (Q: Mar. 2026 )/Revenue (Q: Mar. 2026 )
=3211.092/12200.875
=26.32 %

* For Operating Data section: All numbers are indicated by the unit behind each term and all currency related amount are in USD.
* For other sections: All numbers are in millions except for per share data, ratio, and percentage. All currency related amount are indicated in the company's associated stock exchange currency.

4. Please click Growth Rate Calculation Example (GuruFocus) to see how GuruFocus calculates Wal-Mart Stores Inc (WMT)'s revenue growth rate. You can apply the same method to get the Operating Income growth rate using Operating Income per share data.

Be Aware

Compared with a company's EBITDA margin, Operating Margin can be manipulated by adjusting the rate of depreciation, depletion and amortization (DDA).

If a company is facing competition, its Operating Margin may decline. Often the Operating Margin declines well before the company's revenue or even profit decline. Therefore, Operating Margin is a very important indicator of whether the company is facing problems.

For instance, by 2012, Nokia (NOK)'s problems were well known and its stock had lost more than 90% of its market value since 2007. But Nokia's Operating Margin had already been in decline since 2002, although its earnings per share were still rising. Investors who paid attention to Operating Margin would have avoided this huge loss. The same can be said for Research-in-Motion (RIMM).

Therefore, Operating Margin is a very important screening filter for GuruFocus. GuruFocus's Buffett-Munger screener requires that the profit margin is either consistent or expanding. The Model Portfolio of the Buffett-Munger screener has outperformed the market every year since inception in 2009.

Bayer AG Operating Income Related Terms

Bayer AG Operating Income Historical Data

* Premium members only.

The historical data trend for Bayer AG's Operating Income can be seen below:

* For Operating Data section: All numbers are indicated by the unit behind each term and all currency related amount are in USD.
* For other sections: All numbers are in millions except for per share data, ratio, and percentage. All currency related amount are indicated in the company's associated stock exchange currency.

Bayer AG Operating Income Chart

Bayer AG Annual Data
Trend Dec16 Dec17 Dec18 Dec19 Dec20 Dec21 Dec22 Dec23 Dec24 Dec25
Operating Income
Get a 7-Day Free Trial Premium Member Only Premium Member Only 7,190.04 7,236.68 7,578.55 3,106.13 5,728.54

Bayer AG Quarterly Data
Jun21 Sep21 Dec21 Mar22 Jun22 Sep22 Dec22 Mar23 Jun23 Sep23 Dec23 Mar24 Jun24 Sep24 Dec24 Mar25 Jun25 Sep25 Dec25 Mar26
Operating Income Get a 7-Day Free Trial Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only 2,219.99 12.19 -507.37 4,054.49 3,211.09
XSWX:BAYN
54GF Score
Bayer AG XSWX:BAYN
Operating Income is just one metric. See GF Score™, valuation, warning signs, and more.
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Bayer AG Operating Income Calculation

Operating Income, is the profit a company earned through operations. All expenses, including cash expenses such as cost of goods sold (COGS), research & development, wages, and non-cash expenses, such as depreciation, depletion and amortization, have been deducted from the sales.

Operating Income for the trailing twelve months (TTM) ended in Mar. 2026 adds up the quarterly data reported by the company within the most recent 12 months, which was CHF6,770 Mil.

* For Operating Data section: All numbers are indicated by the unit behind each term and all currency related amount are in USD.
* For other sections: All numbers are in millions except for per share data, ratio, and percentage. All currency related amount are indicated in the company's associated stock exchange currency.

Frequently Asked Questions Learn more about Operating Income →
What does a Operating Income of CHF6,770 Mil mean?
Bayer AG (XSWX:BAYN) has a Operating Income of CHF6,770 Mil as of Mar. 2026. Operating Income equals sales less all operating expenses. It is linked to EBIT. View historical data on Bayer AG and its competitors.
Is Bayer AG's Operating Income too high?
Bayer AG's current Operating Income is CHF6,770 Mil. Overall, Bayer AG has a GF Score™ of 54/100 and is considered Significantly Overvalued, reflecting its overall financial health beyond just this single metric.
How does Bayer AG's Operating Income compare to LLY and JNJ?
Bayer AG's Operating Income of CHF6,770 Mil can be compared against companies in the Drug Manufacturers industry. See the competitive comparison table and distribution chart on this page for a detailed peer-by-peer breakdown.
What is a good Operating Income for a Drug Manufacturers company?
A good Operating Income depends on the Drug Manufacturers industry context. However, Operating Income should not be evaluated in isolation — investors should consider it alongside profitability, growth, and financial strength metrics. Use the industry distribution chart on this page to see where any company falls relative to its peers.
What does a high Operating Income mean?
A high Operating Income can signal that a stock is expensive relative to its fundamentals. Operating Income equals sales less all operating expenses. It is linked to EBIT. View historical data on Bayer AG and its competitors. Bayer AG's current Operating Income is CHF6,770 Mil. However, context matters — high-growth companies often justify higher valuations. Always evaluate alongside other metrics like GF Score™ and GF Value™.
Is Bayer AG stock overvalued right now?
Based on GuruFocus' analysis, Bayer AG (XSWX:BAYN) is currently considered Significantly Overvalued. The stock's GF Value™ is CHF24.74, compared to a current price of CHF42.49 — trading 71.7% above its estimated fair value. The current Operating Income is CHF6,770 Mil. Bayer AG's overall GF Score™ is 54/100 with 6 warning signs to review. Investors should evaluate multiple metrics — including profitability, growth, and financial strength — before making a decision.
How is Operating Income calculated?
Operating Income is calculated from a company's financial statements. For Bayer AG (XSWX:BAYN), the current Operating Income is CHF6,770 Mil as of Mar. 2026. GuruFocus calculates this using data sourced from SEC filings and annual reports. See the calculation section and 30-year financial data on this page for the full breakdown.

Is Bayer AG (XSWX:BAYN) Overvalued in 2026?

Based on GuruFocus' analysis, Bayer AG stock appears to be overvalued. The current stock price of CHF42.49 is trading 71.7% above its estimated GF Value™ of CHF24.74. GuruFocus considers Bayer AG to be Significantly Overvalued.

Key valuation signals for XSWX:BAYN:

  • Operating Income: CHF6,770 Mil
  • GF Value™: CHF24.74 vs. price of CHF42.49 (71.7% above fair value)
  • GF Score™: 54/100 with 6 warning signs

No single metric tells the full story. See the XSWX:BAYN stock analysis page for a complete view including 30-year financials, guru trades, and insider activity.

Bayer AG Business Description

Address Kaiser-Wilhelm-Allee 1, Leverkusen, NW, DEU, 51368
Bayer is a German healthcare and agriculture conglomerate. Healthcare provides close to half of the company's sales and includes pharmaceutical drugs (about 38% of total sales in 2025) as well as vitamins and other consumer healthcare products (13% of total). The firm's crop science business (47% of total) sells seeds, pesticides, herbicides, and fungicides, which was expanded through its 2018 acquisition of Monsanto.
54GF Score

Get the complete analysis for XSWX:BAYN

Operating Income is just one metric. See GF Value™, 30-year financials, guru trades, warning signs, and more.

CHF42.49
Price
CHF24.74
GF Value