8-KOther Events

AMGEN INC 8-K Report (Apr 29, 2003)

Filed April 29, 2003For Securities:AMGN

Summary

Amgen Inc. (AMGN) filed an 8-K report on April 28, 2003, to announce its financial results for the three months ended March 31, 2003. The primary focus of this filing is the company's issuance of both GAAP and non-GAAP financial measures. Amgen is providing these non-GAAP figures to offer investors supplementary information and facilitate clearer period-to-period comparisons, particularly in light of the significant acquisition of Immunex Corporation in July 2002. The non-GAAP adjustments aim to exclude certain costs related to the Immunex integration, specifically incremental employee retention compensation and the amortization of acquired intangible assets, such as ENBREL®. By presenting these adjusted figures, Amgen seeks to provide a view of its operational performance that is comparable to periods before and after these integration-related expenses, treating acquired intellectual property similarly to internally developed assets. Investors should note these adjustments when evaluating Amgen's reported profitability and operational trends.

Key Highlights

  • 1Amgen Inc. reported its financial results for the first quarter ended March 31, 2003.
  • 2The company issued both Generally Accepted Accounting Principles (GAAP) and non-GAAP financial results.
  • 3Non-GAAP financial measures were adjusted to exclude specific integration costs from the acquisition of Immunex Corporation.
  • 4Adjustments included incremental employee retention compensation for former Immunex employees.
  • 5Amortization of acquired intangible assets, notably related to ENBREL®, was also excluded in non-GAAP reporting.
  • 6Amgen believes these non-GAAP measures provide useful supplementary information for investors.
  • 7The report includes a press release dated April 22, 2003, as an exhibit.

Frequently Asked Questions

Amgen is reporting non-GAAP financial results to provide investors with a clearer view of its operational performance by excluding certain costs associated with the acquisition of Immunex Corporation. These adjustments are intended to make it easier for investors to compare financial results across different periods, especially before, during, and after the integration of Immunex and its related expenses.

The non-GAAP financial measures exclude two main categories of costs: 1) Incremental compensation paid or payable to certain Immunex employees under retention plans, and 2) Amortization of acquired intangible assets, such as those related to ENBREL®. Amgen believes excluding these items offers a more consistent view of ongoing operational profitability.

In its non-GAAP reporting, Amgen excludes the amortization of acquired intangible assets, treating them as if the company had developed them internally. This approach aims to provide a supplementary measure of profitability that treats acquired intellectual property in a comparable manner to internally developed intellectual property.

The report states that information contained in the 8-K, including exhibits like the press release with non-GAAP measures, shall not be deemed 'filed' under SEC rules. This means they are furnished for informational purposes rather than officially filed, and while intended to be helpful, they are not subject to the same regulatory scrutiny as formal GAAP filings.