Amgen Reports Better-Than-Expected Q1 Results, $50M Milestone Payment

Amgen Inc. AMGN reported first-quarter financial results after the closing bell Thursday. Here's a look at the highlights.

The Details: Amgen reported quarterly earnings of $3.96 per share, which beat the analyst consensus estimate of $3.87 by 2.33%. The company said EPS decreased by 1% due to higher operating and interest expenses driven by the Horizon acquisition, partially offset by higher revenues.

The company reported quarterly sales of $7.447 billion, which beat the analyst consensus estimate of $7.436 billion and represents a 21.98% increase over sales of $6.105 billion in the same period last year.

Operating income increased from $2.8 billion to $3.1 billion and the operating margin decreased 5.1 percentage points to 43.2%. Product sales grew 22%, driven by 25% volume growth.

The company also announced Arrowhead Pharmaceuticals, Inc. ARWR received a $50-million milestone payment from Royalty Pharma Plc RPRX, triggered after the completion of enrollment of the Phase 3 OCEAN(a) – Outcomes Trial of olpasiran, which being conducted by Amgen.

“With many of our innovative products delivering strong growth and promising new medicines advancing through our pipeline, we are excited about delivering attractive long-term growth,” said Robert A. Bradway, CEO of Amgen.

Outlook: Amgen sees full-year 2024 adjusted earnings of between $19 and $20.20 per share versus the $19.48 Street estimate.

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AMGN Price Action: According to Benzinga Pro, Amgen shares are up 11.7% after-hours at $311 at the time of publication Thursday.

Image: Phoenix Locklear from Pixabay.