NASDAQ$AMGN
Amgen Inc · Q2 2020 earnings
Q2 2020 earnings · · Investor relations
Briefing
Amgen's financial performance in Q2 2020 showed revenue growth despite challenges posed by the COVID-19 pandemic, driven by increased unit demand and strategic acquisitions.
Amgen reported a 6% increase in total revenues to $6.2 billion for Q2 2020, driven by higher unit demand, although partially offset by lower net selling prices. GAAP EPS decreased by 15% to $3.05, primarily due to amortization costs from the Otezla acquisition, while non-GAAP EPS increased by 7% to $4.25. The company reaffirmed its 2020 total revenue guidance at $25.0-$25.6 billion and revised its EPS guidance to $10.73-$11.43 on a GAAP basis and $15.10-$15.75 on a non-GAAP basis.
- Total revenues increased by 6% to $6.2 billion, driven by higher unit demand.
- GAAP EPS decreased by 15% to $3.05, impacted by Otezla acquisition costs.
- Non-GAAP EPS increased by 7% to $4.25, driven by increased revenues and fewer weighted-average shares outstanding.
- Free cash flow increased to $2.7 billion, driven primarily by the timing of tax payments.
Headline financials
Revenue & EPS history
Amgen · Revenue · Quarterly
$6.21B
Revenue by segment
Amgen · $5.4B total across 16 segments · Q2 2020
- Enbrel$1.25B-8.6%23.1%
- Prolia$659M-5.6%12.2%
- Neulasta$593M-28.0%11.0%
- Otezla$561M—10.4%
- XGEVA$435M-12.8%8.1%
- Aranesp$387M-11.2%7.2%
- KYPROLIS$253M-5.2%4.7%
- Repatha$200M+31.6%3.7%
- Vectibix$195M-0.5%3.6%
- Nplate$193M-4.0%3.6%
- Parsabiv$186M+10.7%3.4%
- MVASI$172M—3.2%
- EVENITY$101M+260.7%1.9%
- BLINCYTO$93M+19.2%1.7%
- AMJEVITA/AMGEVITA$62M+19.2%1.1%
- Other products$60M-24.1%1.1%
Forward guidance
Amgen reaffirmed its 2020 total revenue guidance at $25.0 billion to $25.6 billion, and revised its EPS guidance to $10.73-$11.43 on a GAAP basis and $15.10-$15.75 on a non-GAAP basis.
Tailwinds
- Total revenues are expected to be in the range of $25.0 billion to $25.6 billion.
- Capital expenditures are projected to be approximately $600 million.
- The quarterly dividend is maintained at $1.60 per share.
- Share repurchases will be executed opportunistically.
- AMG 510 (sotorasib) is expected to have initial data from a potentially pivotal Phase 2 monotherapy study in patients with advanced non-small cell lung cancer (NSCLC) in H2 2020.
Headwinds
- Share repurchases will be at the lower end of the previous guidance of $3 billion to $5 billion.
- Sales of negatively affected products fell most early in the second quarter with sales beginning to recover in the latter weeks of the quarter.
- Prolia sales decreased 6% year-over-year driven by lower unit demand as a result of fewer office visits by osteoporosis patients.
- We anticipate a slowdown in reported sales in the third quarter as the first half of 2020 benefited from larger shipments to Astellas, our partner in Japan, to ensure they had appropriate inventory.
- Neulasta sales decreased 28% year-over-year driven by the impact of biosimilar competition on net selling price and unit demand.
Historical earnings impact
How earnings announcements have historically affected this stock's price.
Avg. return before/after earnings
Based on 20 quarterly earnings reports · overlaid with Q2 2020
+0.3%
Avg return
Earnings day
+0.0%
Avg return
5 days after
+0.1%
Avg return
30 days after
53%
39 / 73 earnings
Positive
+12.2%
Q1 2024
Best reaction
-8.7%
Q3 2016
Worst reaction
| Quarter | Report date | Reaction (Day 0) | +5 days | +30 days |
|---|---|---|---|---|
| Q1 2026 | +0.9% | -4.4% | -2.7% | |
| Q4 2025 | +3.0% | +11.0% | +9.1% | |
| Q3 2025 | +7.7% | +9.1% | +11.2% | |
| Q2 2025 | -5.1% | -5.0% | -5.5% | |
| Q1 2025 | -1.1% | -2.8% | +1.6% | |
| Q4 2024 | +6.5% | +2.0% | +12.4% | |
| Q3 2024 | +1.3% | +0.3% | -10.5% | |
| Q2 2024 | -3.9% | -0.8% | -0.3% | |
| Q1 2024 | +12.2% | +8.3% | +10.3% | |
| Q4 2023 | -8.1% | -9.6% | -15.3% | |
| Q3 2023 | -0.9% | +2.5% | +2.5% | |
| Q2 2023 | +5.6% | +13.2% | +11.4% | |
| Q1 2023 | +0.4% | -1.2% | -9.2% | |
| Q4 2022 | -2.1% | -2.6% | -6.7% | |
| Q3 2022 | +0.0% | +8.7% | +6.1% | |
| Q2 2022 | -0.4% | +0.5% | -1.9% | |
| Q1 2022 | -4.7% | -7.6% | +2.2% | |
| Q4 2021 | +8.5% | +2.7% | +4.2% | |
| Q3 2021 | +4.0% | +1.9% | -4.1% | |
| Q2 2021 | -4.8% | -4.0% | -5.8% | |
| Q1 2021 | -7.4% | -6.2% | -7.9% | |
| Q4 2020 | -1.4% | -1.7% | -7.7% | |
| Q3 2020 | -2.5% | -1.5% | +0.6% | |
| Q2 2020 | -1.9% | -3.5% | -0.3% | |
| Q1 2020 | -2.0% | +0.3% | -2.5% | |
| Q4 2019 | -4.9% | -2.4% | -12.1% | |
| Q3 2019 | +2.9% | +6.3% | +14.4% | |
| Q2 2019 | +6.0% | +6.3% | +17.5% | |
| Q1 2019 | -2.8% | -2.1% | -6.7% | |
| Q4 2018 | -3.7% | -2.5% | -1.0% | |
| Q3 2018 | +2.4% | -0.6% | +7.5% | |
| Q2 2018 | -0.3% | +1.8% | +1.9% | |
| Q1 2018 | +0.1% | +1.6% | +1.9% | |
| Q4 2017 | +0.5% | -5.1% | -0.5% | |
| Q3 2017 | -2.1% | -3.2% | -5.7% | |
| Q2 2017 | -2.9% | -3.6% | -6.1% | |
| Q1 2017 | -1.2% | -1.3% | -5.9% | |
| Q4 2016 | +4.9% | +4.5% | +12.9% | |
| Q3 2016 | -8.7% | -11.5% | -8.5% | |
| Q2 2016 | +2.2% | +3.9% | +2.6% | |
| Q1 2016 | -1.7% | — | — | |
| Q4 2015 | +1.5% | — | — | |
| Q3 2015 | -0.9% | — | — | |
| Q2 2015 | +3.0% | — | — | |
| Q1 2015 | +1.9% | — | — | |
| Q4 2014 | -3.2% | — | — | |
| Q3 2014 | +6.7% | — | — | |
| Q2 2014 | +6.0% | — | — | |
| Q1 2014 | -3.2% | — | — | |
| Q4 2013 | +0.5% | — | — | |
| Q3 2013 | +1.8% | — | — | |
| Q2 2013 | -1.0% | — | — | |
| Q1 2013 | -7.5% | — | — | |
| Q4 2012 | -0.8% | — | — | |
| Q3 2012 | +0.8% | — | — | |
| Q2 2012 | +7.6% | — | — | |
| Q1 2012 | +0.2% | — | — | |
| Q4 2011 | -0.8% | — | — | |
| Q3 2011 | +4.9% | — | — | |
| Q2 2011 | -3.0% | — | — | |
| Q1 2011 | -1.5% | — | — | |
| Q4 2007 | +0.7% | — | — | |
| Q4 2010 | +0.7% | — | — | |
| Q3 2008 | +0.7% | — | — | |
| Q3 2010 | -0.9% | — | — | |
| Q2 2010 | -0.4% | — | — | |
| Q1 2009 | +1.5% | — | — | |
| Q1 2010 | +1.2% | — | — | |
| Q4 2009 | +0.5% | — | — | |
| Q3 2009 | +1.6% | — | — | |
| Q4 2008 | +3.8% | — | — | |
| Q2 2009 | +3.8% | — | — | |
| Q2 2008 | +3.8% | — | — |
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