Amgen Inc ( (AMGN) ) has released its Q4 earnings. Here is a breakdown of the information Amgen Inc presented to its investors.
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Amgen Inc., a leader in the biotechnology sector, is renowned for its innovative therapies targeting cancer, heart disease, osteoporosis, inflammatory diseases, and rare diseases. The company recently released its financial results for the fourth quarter and full year of 2024, highlighting significant growth in both sales and earnings. Product sales increased by 11% in the fourth quarter and 19% for the year, driven by strong volume growth and the successful integration of products from its Horizon Therapeutics acquisition. However, GAAP earnings per share saw a decline due to higher operating expenses and mark-to-market losses on equity investments.
Amgen’s performance in 2024 was marked by a robust increase in revenue, totaling $33.4 billion for the year, up 19% from 2023. This growth was primarily fueled by a 23% increase in product sales volume. The company reported that ten of its products experienced double-digit sales growth, with Repatha, BLINCYTO, and TEZSPIRE among the top performers. Despite the positive revenue trends, Amgen faced challenges with decreased GAAP earnings per share, which fell by 39% due to increased operating expenses related to the Horizon acquisition and significant equity investment losses.
The company’s non-GAAP earnings per share rose by 6% over the full year, reflecting a balance between rising revenues and elevated costs. Notably, Amgen achieved $10.4 billion in free cash flow, an indicator of its strong cash generation capabilities. The company also made strategic moves to reduce its debt by $4.5 billion and continued its share repurchase program, reflecting confidence in its financial outlook.
Looking ahead, Amgen is optimistic about its future, with projected revenues for 2025 expected to range between $34.3 billion and $35.7 billion. The company is also advancing several promising therapies in its pipeline and intends to focus on expanding its portfolio and maintaining its position as a leader in the biotechnology industry.
