Amgen Beats Q4 Estimates, Shares Rise on Strong Sales

Amgen's Strong Q4 Performance Exceeds Forecasts

Biotechnology firm Amgen announced fourth-quarter financial results that surpassed Wall Street expectations, driven by higher drug sales and a lower effective tax rate. The company reported a 9% year-over-year revenue increase to $9.9 billion, beating the LSEG data estimate of $9.5 billion. Adjusted earnings per share were $5.29, significantly exceeding the projected $4.73.

Market Reaction and 2026 Outlook

Following the report, Amgen's shares climbed approximately 2% in after-hours trading. This positive sentiment was bolstered by a strong forecast for 2026, with projected revenue between $37 billion and $38.4 billion, ahead of analyst consensus. Performance across its portfolio was mixed; cholesterol drug Repatha saw sales surge 44%, while arthritis drug Enbrel experienced a 48% decline. The company is advancing its pipeline with Phase 3 trials for its experimental obesity drug, MariTide.

Summary and Key Takeaways

Amgen's robust Q4 earnings and optimistic 2026 guidance signal confidence in its market strategy. Investors will closely monitor the sales trajectory of key products and the development of its promising weight-loss drug candidates as primary indicators of future growth.

FAQ

Q: Why did Amgen's Q4 earnings beat expectations?
A: The performance was primarily driven by a 9% revenue increase to $9.9 billion, higher product sales volume, and a significantly lower corporate tax rate.

Q: What was the market's reaction to Amgen's report?
A: Amgen's shares increased by approximately 2% in after-hours trading following the release of the positive financial results.

Source: Investing.com