Amgen Posts Higher 1Q Revenue, Swings to Loss
By Paul Ziobro
Amgen posted higher revenue, but swung to a first-quarter loss, driven by a drop in value of its investment in BeiGene and other expenses from its Horizon Therapeutics acquisition.
The biotechnology company on Thursday reported a loss of $113 million, or 21 cents a share, compared with a profit of $2.84 billion, of $5.28 a share, in the same quarter a year earlier.
Adjusted earnings came in at $3.96 a share. Analysts polled by FactSet expected $3.88 a share.
Revenue rose about 22% to $7.45 billion, in line with analyst estimates.
Amgen said product sales grew 22%, on 25% growth in sales volume. Ten of its products grew revenue at a double digit rate, including Repatha, Tezspire and Evenity.
The top-line performance included $914 million in sales from its $27.8 billion acquisition of Horizon which closed in October. Excluding sales from Horizon, product sales were still up 6%, with volume up 9%.
Amgen said the quarter's loss reflected a mark-to-market loss on its equity investment in the oncology company BeiGene. It also logged higher operating expenses, including higher amortization expense from Horizon-acquired assets and other incremental expenses.
Amgen lowered by $100 million the bottom-end of its full-year revenue guidance, which now calls for a range between $32.5 billion and $33.8 billion. It expects a per-share profit between $7.15 and $8.40, down from a prior outlook between $8.42 and $9.87. Its adjusted per-share guidance range was narrowed by 10 cents on either end to between $19 and $20.20.
Write to Paul Ziobro at paul.ziobro@wsj.com
(END) Dow Jones Newswires
May 02, 2024 16:42 ET (20:42 GMT)
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