Early Access

10-KPeriod: FY2021

AMGEN INC Annual Report, Year Ended Dec 31, 2021

Filed February 16, 2022For Securities:AMGN

Summary

Amgen Inc.'s 2021 10-K filing highlights a year of strategic advancements and sustained performance despite a challenging global environment marked by the COVID-19 pandemic. The company focused on expanding its product portfolio through key acquisitions, including Five Prime Therapeutics for oncology therapies and Teneobio for its novel biologic technology, alongside significant collaborations. Product sales remained relatively flat year-over-year, with growth in international markets offsetting a slight decline in the U.S., largely due to lower net selling prices and increased competition from biosimilars and generics impacting established products like Enbrel and Neulasta. Amgen demonstrated a commitment to innovation and long-term growth by increasing R&D spending and advancing its pipeline, with notable regulatory approvals for LUMAKRAS and TEZSPIRE. The company also maintained a strong financial position, generating substantial operating cash flow, increasing its dividend, and continuing its share repurchase program. Strategic investments in manufacturing capacity were made to support future demand, underscoring Amgen's focus on operational excellence and reliable supply chains. While facing pricing pressures and ongoing competition, Amgen's diversified portfolio and strategic investments position it for continued resilience and future value creation.

Financial Statements
Beta
Revenue$25.98B
Cost of Revenue$6.45B
Gross Profit$19.52B
SG&A Expenses$5.37B
Operating Expenses$18.34B
Operating Income$7.64B
Interest Expense$1.20B
Net Income$5.89B
EPS (Basic)$10.34
EPS (Diluted)$10.28
Shares Outstanding (Basic)570.00M
Shares Outstanding (Diluted)573.00M

Key Highlights

  • 1Amgen reported relatively flat total product sales for 2021 ($24.3 billion) compared to 2020 ($24.24 billion), driven by a balance of volume growth and declining net selling prices.
  • 2Key strategic acquisitions in 2021 included Five Prime Therapeutics ($1.6 billion) to bolster its oncology pipeline and Teneobio ($900 million plus milestones) for its unique antibody technology.
  • 3Significant product developments included FDA approvals for LUMAKRAS (oncology) and TEZSPIRE (severe asthma), along with expanded indications for Otezla and new combination uses for KYPROLIS.
  • 4Research and Development expenses increased by 15% to $4.8 billion, reflecting investments in new programs and acquisitions, particularly the bemarituzumab program from Five Prime.
  • 5The company repurchased approximately $5.0 billion of its common stock and increased its quarterly dividend by 10%, demonstrating a commitment to returning capital to shareholders.
  • 6Amgen is expanding its manufacturing footprint with new facilities planned in North Carolina and Ohio to support increased demand for its medicines.
  • 7The company experienced continued competitive pressure from biosimilars and generics, particularly impacting sales of Enbrel (down 11%) and Neulasta (down 24%).

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