Amgen — Third Quarter 2026 Earnings Summary

Financial Performance:

• Total revenues increased 8% year-over-year to $10.4 billion for the third quarter of 2026.
• Product sales grew 8% year-over-year to $9.88 billion, driven by volume growth.
• GAAP earnings per share (EPS) increased 19% to $7.08, up from $5.93 in the prior year quarter.
• GAAP operating income rose to $3.7 billion from $2.5 billion, with the operating margin increasing 9.9 percentage points to 37.5%.
• Non-GAAP EPS increased 14% to $6.45, up from $5.64 in the prior year quarter.
• Non-GAAP operating income increased to $4.7 billion from $4.3 billion, with the operating margin rising 0.2 percentage points to 47.3%.
• Free cash flow generated was $3.7 billion in the third quarter of 2026, compared to $4.2 billion in the third quarter of 2025.
• Cash and cash equivalents totaled $13.2 billion as of September 30, 2026.
• Debt outstanding was $54.0 billion as of September 30, 2026.

Guidance and Future Outlook:

• Full-year 2026 total revenue is expected to be between $38.9 billion and $39.7 billion.
• Full-year 2026 GAAP EPS is projected to be between $18.34 and $19.28, with a tax rate between 14.5% and 16.0%.
• Full-year 2026 non-GAAP EPS is projected to be between $22.90 and $23.70, with a tax rate between 15.0% and 16.5%.
• Full-year 2026 capital expenditures are expected to be approximately $2.6 billion.
• Full-year 2026 share repurchases are expected not to exceed $3.0 billion.

Business Segments and Product Lines:

• Seventeen products delivered at least double-digit sales growth in the third quarter.
• Seventeen products are annualizing at more than $1 billion based on third-quarter sales.
• General Medicine: Repatha sales increased 37% to $1,085 million; EVENITY sales increased 39% to $751 million; Prolia sales decreased 45% to $632 million due to biosimilar competition.
• Rare Disease: UPLIZNA sales increased 191% to $451 million; KRYSTEXXA sales increased 31% to $419 million; TEPEZZA sales decreased 6% to $526 million; TAVNEOS sales decreased 2% to $105 million.
• Inflammation: TEZSPIRE sales increased 43% to $538 million; Enbrel sales increased 5% to $611 million; Otezla sales decreased 18% to $481 million; AMJEVITA/AMGEVITA sales increased 24% to $191 million; PAVBLU sales increased 41% to $300 million.
• Oncology: IMDELLTRA sales increased 128% to $406 million; BLINCYTO sales increased 27% to $496 million; Vectibix sales increased 18% to $335 million; Nplate sales increased 3% to $472 million; KYPROLIS sales decreased 8% to $330 million; XGEVA sales decreased 47% to $288 million; MVASI sales decreased 21% to $168 million.
• Established Products: Sales of Aranesp, Neulasta, and Parsabiv increased 14% to $606 million.

Market and Competitive Landscape:

• Prolia and XGEVA sales declines were driven by the global launch of multiple biosimilars.
• Enbrel sales were impacted by U.S. Medicare Part D price setting effective in 2026 under the Inflation Reduction Act.
• The company continues to engage with the FDA regarding TAVNEOS, believing it demonstrates clinical effectiveness and a favorable benefit-risk profile.
• Subcutaneous blinatumomab studies remain on partial clinical hold by the FDA, with discussions underway to reopen them.

Risks and Challenges:

• Sales of certain products are affected by pricing pressure, government actions, and reimbursement policies.
• Biosimilar competition has impacted sales of Prolia and XGEVA.
• Regulatory challenges exist regarding the potential voluntary withdrawal of TAVNEOS from the U.S. market and the partial clinical hold on subcutaneous blinatumomab.
• Manufacturing supply limits could constrain sales of certain products.
• Intellectual property protection may be challenged or invalidated.

Management Commentary and Tone:

• Robert A. Bradway, Chairman and CEO, stated the company delivered a strong quarter with long-term growth strategy producing results across the enterprise.
• Management expressed confidence in Amgen's ability to deliver durable growth well into the next decade, citing the strength of the commercial portfolio, clinical advances, and a promising late-stage pipeline.
• The tone regarding the pipeline is positive, highlighting multiple Phase 3 studies and data presentations for MariTide, Repatha, IMDELLTRA, and others.

Other Key Points:

• A third-quarter 2026 dividend of $2.52 per share was declared, representing a 6% increase from the same period in 2025.
• No share repurchases were made under the stock repurchase program during the third quarter of 2026.
• MariTide (maridebart cafraglutide) is in multiple Phase 3 studies for chronic weight management, cardiovascular outcomes, heart failure, and obstructive sleep apnea.
• Repatha demonstrated a 20% reduction in all-cause mortality and a 27% reduction in 3-P MACE in the VESALIUS-CV trial.
• IMDELLTRA received an FDA update to its Prescribing Information reducing monitoring time for the first two doses.
• IMDELLTRA results from the DeLLphi-305 study showed a 58% reduction in the risk of death when added to IMFINZI in first-line maintenance therapy for small cell lung cancer.
• Dazodalibep achieved statistically significant improvements in systemic disease activity in a Phase 3 study for Sjögren's disease.
• Daxdilimab showed statistically significant improvements in disease activity in a Phase 2 study for discoid lupus erythematosus.
• Several biosimilar candidates (ABP 206, ABP 234, ABP 692, ABP 938) are in various stages of clinical trials or regulatory review.