Amgen quarterly profit beats Wall Street view on new product sales

Amgen quarterly profit beats Wall Street view on new product sales

Amgen Inc on Thursday reported a better-than-expected second quarter profit and raised its full-year forecast, as growth of newer drugs like cholesterol fighter Repatha and osteoporosis drug Prolia offset weakness in older products.

FILE PHOTO: An Amgen sign is seen at the company's office in South San Francisco
FILE PHOTO: An Amgen sign is seen at the company's office in South San Francisco, California, U.S., October 21, 2013. REUTERS/Robert Galbraith/File Photo

REUTERS: Amgen Inc on Thursday reported a better-than-expected second quarter profit and raised its full-year forecast, as growth of newer drugs like cholesterol fighter Repatha and osteoporosis drug Prolia offset weakness in older products.

The world's largest biotechnology company also announced replacements for its head of research and development and retiring global commercial operations chief.

Amgen posted adjusted earnings of US$3.83 per share. Analysts on average expected US$3.54 per share, according to Thomson Reuters I/B/E/S.

The company increased its 2018 earnings forecast to US$13.30 to US$14 per share, up from its previous view of US$12.80 to US$13.70.

Net earnings in the quarter rose 7 percent to US$2.3 billion, or US$3.48 a share, from US$2.15 billion, or US$2.91 a share, a year earlier.

Overall revenue for the quarter revenue rose 4 percent to US$6.06 billion, with product sales up 2 percent to US$5.68 billion.

Sales of rheumatoid arthritis drug Enbrel fell 11 percent to US$1.3 billion, about in line with Wall Street estimates.

Sales of the potent but expensive cholesterol drug Repatha have begun to take off, with sales up 78 percent to US$148 million. They have been held back since the drug's 2015 approval by an unwillingness of insurers and pharmacy benefit managers to authorize its use for most patients.

Prolia sales rose 21 percent to US$610 million.

Amgen did not report early sales of Aimovig, the new migraine preventer that won U.S. approval in May. Amgen offered all new patients two free months of the medicine.

Amgen announced that longtime research chief Sean Harper is stepping down and will be replaced by David Reese, currently senior vice president of translational sciences and oncology at the company.

Murdo Gordon, who left his role as Bristol-Myers Squibb's chief commercial officer earlier this week, will replace Tony Hooper as executive vice president of global commercial operations in September, the company said.

(Reporting By Michael Erman and Deena Beasley; editing by Deena Beasley)

Source: Reuters

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