Summary
Amgen Inc. reported strong financial performance in its 2018 10-K filing, with total revenues reaching $23.7 billion and net income of $8.4 billion. The company saw growth driven by key products like Prolia®, XGEVA®, Repatha®, and KYPROLIS®, alongside successful launches of new medicines such as Aimovig® and Parsabiv®. Amgen continues to invest heavily in research and development, with $3.7 billion spent in 2018, focusing on innovative therapies for serious illnesses and leveraging advancements in human genetics. The company is also actively managing its product portfolio by expanding indications for existing drugs and developing biosimilar versions of key biologics. Challenges include increasing competition from biosimilars and generics, pricing pressures from payers, and ongoing patent litigations, which are carefully monitored and managed.
Financial Highlights
55 data points| Revenue | $23.75B |
| Cost of Revenue | $4.10B |
| Gross Profit | $19.65B |
| SG&A Expenses | $5.33B |
| Operating Expenses | $13.48B |
| Operating Income | $10.26B |
| Interest Expense | $1.39B |
| Net Income | $8.39B |
| EPS (Basic) | $12.70 |
| EPS (Diluted) | $12.62 |
| Shares Outstanding (Basic) | 661.00M |
| Shares Outstanding (Diluted) | 665.00M |
Key Highlights
- 1Total revenues increased by 4% to $23.7 billion, with product sales growing 3% to $22.5 billion, primarily driven by Prolia®, XGEVA®, Repatha®, and KYPROLIS®.
- 2Net income rose significantly to $8.4 billion from $2.0 billion in the prior year, with diluted EPS increasing to $12.62.
- 3Research and Development (R&D) expenses were $3.7 billion, reflecting continued investment in pipeline advancement and innovation.
- 4Amgen made significant progress in its biosimilar portfolio, launching AMGEVITATM and KANJINTITM in Europe and filing regulatory submissions for ABP 710.
- 5The company returned substantial capital to shareholders through dividends ($3.5 billion) and stock repurchases ($17.9 billion in 2018).
- 6New indications were secured for Repatha® (cardiovascular risk reduction in China) and Prolia® (glucocorticoid-induced osteoporosis).
- 7Amgen is investing in next-generation biomanufacturing capabilities, with a new plant breaking ground in Rhode Island and an existing facility in Singapore in use for commercial production.