Summary
Amgen Inc. (AMGN) filed an 8-K on April 30, 2019, to report its unaudited financial results for the first quarter ended March 31, 2019. The filing primarily furnished a press release detailing these results, including both GAAP and non-GAAP financial measures. Investors should note that Amgen utilizes non-GAAP metrics such as non-GAAP earnings per share, operating income, and net income to provide a clearer view of ongoing operational performance, excluding items like acquisition-related expenses, restructuring costs, and certain legal settlements. The company also highlighted Free Cash Flow (FCF) as a key liquidity measure, calculated by subtracting capital expenditures from operating cash flow. Amgen's management uses these non-GAAP measures to enhance the understanding of the company's financial performance and prospects, facilitating comparisons across periods. While these non-GAAP measures offer valuable insights into core operations, investors should always refer to the provided reconciliations in the press release to understand the differences between GAAP and non-GAAP figures.
Key Highlights
- 1Amgen reported its unaudited financial results for the three months ended March 31, 2019.
- 2The report furnished a press release containing both GAAP and non-GAAP financial measures.
- 3Non-GAAP measures presented include non-GAAP EPS, operating income, operating margin, tax rate, net income, and operating expenses.
- 4Key items excluded from non-GAAP calculations are acquisition-related expenses (e.g., amortization of acquired intangibles), restructuring costs, and certain legal settlement expenses.
- 5Amgen also reported Free Cash Flow (FCF) as a measure of liquidity.
- 6The company uses non-GAAP measures to offer a more comparable view of ongoing business operations.
- 7The press release, furnished as Exhibit 99.1, contains reconciliations of non-GAAP to GAAP measures.