Amgen's Full Year 2012 Revenues Increased 11 Percent To $17.3 Billion And Adjusted Earnings Per Share (EPS) Increased 22 Percent To $6.51

Full Year 2012 GAAP EPS Were $5.52

2013 Total Revenues and Adjusted EPS Expected to be in the Range of $17.8-$18.2 Billion and $6.85-$7.15, Respectively

THOUSAND OAKS, Calif., Jan. 23, 2013 /PRNewswire/ -- Amgen (NASDAQ:AMGN) today announced financial results for the fourth quarter and full year of 2012. Key results include:

  • For the full year, total revenues increased 11 percent to $17,265 million, with 9 percent product sales growth driven by strong performance across the portfolio. Adjusted EPS grew 22 percent to $6.51 due to 15 percent adjusted operating income growth and lower shares outstanding. 
  • For the fourth quarter, total revenues increased 11 percent to $4,421 million, with product sales growing at the same rate. Adjusted EPS grew 16 percent to $1.40 due to 11 percent adjusted operating income growth and lower shares outstanding. 
  • GAAP EPS were $1.01 in the fourth quarter compared to $1.08 a year ago, and were $5.52 for the full year compared to $4.04 in 2011. Full year 2011 was negatively impacted by a previously disclosed charge for a legal settlement reserve.
  • Free cash flow for the full year was $5.2 billion compared to $4.5 billion in 2011.
  • The Company announced that it has initiated Phase 3 studies for AMG 145 in subjects with high levels of low-density lipoprotein (LDL) cholesterol. 

"We achieved strong operating performance in 2012 as we delivered for patients and created value for shareholders," said Robert A. Bradway, chairman and chief executive officer at Amgen.  "We enter 2013 with good momentum, a broad late-stage pipeline and a continued focus on building our business internationally."


 

 

Year-over-Year


 

Year-over-Year

$Millions, except EPS and percentages


 

Q4 '12


 

Q4 '11


 

YOY Δ


 

FY '12


 

FY '11


 

YOY Δ


 

 

 

 

 

 

 

 

 

 

 

 

 

Total Revenues


 

$4,421


 

$3,973


 

11%


 

$17,265


 

$15,582


 

11%

Adjusted Net Income


 

1,088


 

1,039


 

5%


 

5,119


 

4,858


 

5%

Adjusted EPS


 

1.40


 

1.21


 

16%


 

6.51


 

5.33


 

22%


 

 

 

 

 

 

 

 

 

 

 

 

 

GAAP Net Income


 

788


 

934


 

(16%)


 

4,345


 

3,683


 

18%

GAAP EPS


 

$1.01


 

$1.08


 

(6%)


 

$5.52


 

$4.04


 

37%

References in this release to "adjusted" measures, measures presented "on an adjusted basis" or to free cash flow refer to non-GAAP financial measures.  These adjustments and other items are presented on the attached reconciliations.

 

Product Sales Performance

  • Total product sales increased 9 percent for the full year, driven by strong performance across the portfolio.  Product sales increased 11 percent for the fourth quarter of 2012 versus the fourth quarter of 2011 driven by Enbrel® (etanercept), XGEVA® (denosumab) and Prolia® (denosumab).
  • Combined Neulasta® (pegfilgrastim) and NEUPOGEN® (Filgrastim) sales declined 1 percent for the fourth quarter of 2012 versus the fourth quarter of 2011, and increased 3 percent for the full year.
    • Global Neulasta sales for the fourth quarter of 2012 versus the fourth quarter of 2011 were flat as price increases were offset by unit declines and unfavorable inventory changes. Sales increased 4 percent for the full year mainly due to price increases.
    • Global NEUPOGEN sales for the fourth quarter of 2012 versus the fourth quarter of 2011 declined 3 percent driven by a decrease in unit demand from loss of share to biosimilars in Europe. Sales were flat for the full year as price increases offset unit declines.
  • ENBREL sales for the fourth quarter of 2012 versus the fourth quarter of 2011 increased 23 percent driven by increases in the average net sales price and unit demand. Sales increased 14 percent for the full year due mainly to price increases and unit growth.
  • Aranesp® (darbepoetin alfa) sales decreased 9 percent for the fourth quarter of 2012 versus the fourth quarter of 2011 and 11 percent for the full year due to changes in practice patterns.  Sequentially, sales were down 2 percent. 
  • EPOGEN® (epoetin alfa) sales for the fourth quarter of 2012 versus the fourth quarter of 2011 decreased 1 percent driven by a reduction in dose utilization, offset largely by a reduction in customer discounts and favorable changes in accounting estimates. Sales for the full year decreased 5 percent as unit declines were offset partially by a reduction in customer discounts and favorable changes in accounting estimates.
  • Sensipar®/Mimpara® (cinacalcet) sales increased 19 percent for the fourth quarter of 2012 versus the fourth quarter of 2011 and 18 percent for the full year due to unit growth and price increases.
  • Combined sales of Vectibix® (panitumumab) and Nplate® (romiplostim) increased 15 percent for the fourth quarter of 2012 versus the fourth quarter of 2011 and 17 percent for the full year due to unit growth.
  • XGEVA sales increased 7 percent on a sequential basis and 113 percent for the full year due to unit growth.
  • Prolia sales increased 40 percent on a sequential basis and 133 percent for the full year due to unit growth.  

 

Product Sales Detail by Product and Geographic Region

$Millions, except percentages


 

Q4 '12


 

Q4 '11


 

YOY Δ


 

 

US

ROW

TOTAL


 

TOTAL


 

TOTAL


 

 

 

 

 

 

 

 

 

Neulasta®/ NEUPOGEN®


 

$1,026

$280

$1,306


 

$1,319


 

(1%)

Neulasta®


 

775

219

994


 

998


 

0%

NEUPOGEN®


 

251

61

312


 

321


 

(3%)

Enbrel®


 

1,086

75

1,161


 

945


 

23%

Aranesp®


 

187

302

489


 

538


 

(9%)

EPOGEN®


 

479

0

479


 

486


 

(1%)

Sensipar® / Mimpara®


 

177

79

256


 

216


 

19%

Vectibix®


 

30

61

91

Posted: January 2013


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