10-KPeriod: FY2001

AMGEN INC Annual Report, Year Ended Dec 31, 2001

Filed February 26, 2002For Securities:AMGN

Summary

Amgen Inc. reported strong performance in its 2001 fiscal year, driven by its key biopharmaceutical products. Total revenues reached $4.016 billion, a significant increase driven by product sales, which grew by 10% to $3.511 billion. This growth was primarily fueled by EPOGEN® and its newer counterpart Aranesp™, which saw combined sales rise by 10% to $2.150 billion, bolstered by new market approvals for Aranesp™ and increased demand for EPOGEN®. NEUPOGEN®, another cornerstone product, also demonstrated robust growth, with worldwide sales increasing by 10% to $1.346 billion due to increased demand and pricing. The company is actively investing in research and development, with R&D expenses at $865 million, focusing on therapeutic areas such as nephrology, cancer, inflammation, and neurology. A major strategic development was the announcement of a definitive agreement to acquire Immunex Corporation for an estimated $17.6 billion, signaling a significant move to expand its product portfolio and market presence.

Key Highlights

  • 1Total revenues reached $4.016 billion in 2001, up from $3.629 billion in 2000, driven by a 10% increase in product sales.
  • 2EPOGEN® and Aranesp™ combined sales grew 10% to $2.150 billion, supported by Aranesp™'s new market approvals and increased EPOGEN® demand.
  • 3NEUPOGEN® sales increased by 10% to $1.346 billion, reflecting worldwide demand growth and higher U.S. prices.
  • 4The company invested $865 million in Research and Development, underscoring its commitment to innovation.
  • 5Amgen announced a definitive agreement to acquire Immunex Corporation for approximately $17.6 billion, a significant strategic move expected to close in the second half of 2002.
  • 6The company ended the year with substantial liquidity, holding $2.662 billion in cash, cash equivalents, and marketable securities.
  • 7A new product, Neulasta™, received FDA approval in January 2002 for decreasing the incidence of infection in patients undergoing myelosuppressive chemotherapy.

Frequently Asked Questions

Amgen's primary revenue drivers in 2001 were its biopharmaceutical products, notably EPOGEN® (Epoetin alfa), Aranesp™ (darbepoetin alfa), and NEUPOGEN® (Filgrastim). Combined sales for EPOGEN® and Aranesp™ reached $2.150 billion, while NEUPOGEN® generated $1.346 billion in worldwide sales. These products, used to treat anemia and neutropenia, respectively, showed strong demand and growth.

In December 2001, Amgen announced a definitive agreement to acquire Immunex Corporation for an estimated $17.6 billion. This acquisition is a major strategic move aimed at expanding Amgen's product portfolio and market reach, with the transaction expected to close in the second half of 2002, subject to regulatory and shareholder approvals.

Amgen is heavily investing in future growth through its research and development efforts. In 2001, R&D expenses totaled $865 million. The company focuses its R&D on key therapeutic areas including nephrology, cancer, inflammation, and neurology, aiming to discover and develop new human therapeutics.

The company anticipates continued growth for its anemia franchise, driven by Aranesp™ in new markets and patient population growth for EPOGEN® in the U.S. dialysis market. For NEUPOGEN®, growth is expected from market penetration and pricing, though potential impacts from less myelosuppressive chemotherapy treatments and cost containment pressures are noted. The recently approved Neulasta™ is expected to launch in April 2002 and may influence NEUPOGEN® sales.