Amgen Q4 earnings rise 30 percent on higher drug sales
Amgen announced Tuesday that fourth-quarter profit climbed 30 percent year-over-year to $1 billion, with the company reporting growth across its portfolio. Quarterly revenue rose 13 percent to $5 billion, beating analyst estimates of $4.8 billion.
The company said Enbrel sales increased 3 percent over the prior-year period to $1.1 billion. Combined revenue for Neulasta and Neupogen reached $1.4 billion, up 8 percent from the year-ago period, with Neulasta gaining 10 percent to $1.1 billion, while Neupogen recorded a 1-percent decline to $309 million. Sales of the osteoporosis drugs Xgeva and Prolia grew 33 percent and 53 percent, respectively, to $286 million and $236 million. Meanwhile, Aranesp revenue fell 4 percent to $470 million due to lower demand, the company said.
Amgen, which acquired Onyx Pharmaceuticals last year, gaining the multiple myeloma drug Kyprolis in the process, said sales for the therapy reached $73 million during the quarter. ISI Group analyst Mark Schoenebaum suggested that investor attention this year will be focused on Kyprolis, which received FDA approval in July 2012 for advanced multiple myeloma in certain patients. «The key to the trading action at Amgen over the next six months is probably data on Kyprolis," Schoenebaum said, adding that this is «very important because the stock kind of took it on the chin late last year with concerns around this drug.»
For the full year, Amgen posted a 17-percent increase in net income of $5.1 billion, on revenue of $18.7 billion, which was 8 percent higher than in 2012. CEO Robert Bradway noted that «Amgen delivered financially and strategically» last year, adding that the company is «excited about our prospects for long-term growth." For the year ahead, Amgen forecasts earnings per share of $7.90 to $8.20 on revenue between $19.2 billion and $19.6 billion. Analysts expect earnings per share of $8.18 and revenue of $19.6 billion.
The company reported Phase III results Tuesday from the LAPLACE-2 trial evaluating its PCSK9 inhibitor evolocumab in combination with statin therapy in patients with high cholesterol. The findings indicate that evolocumab met the study’s co-primary endpoints of percent reduction from baseline of LDL cholesterol at week 12 and mean percent reduction from baseline in LDL cholesterol at weeks 10 and 12.