Amgen Posts Upbeat Q2 Results, Lifts 2015 Guidance

Shares of

gained over 2 percent in after-hours trading after the company reported better-than-expected results for its second quarter and lifted its full-year outlook. The Thousand Oaks, California-based company posted a quarterly net profit of $1.65 billion, or $2.15 per share, versus a year-ago profit of $1.55 billion, or $2.01 per share. Excluding special items, the company's earnings came in at $2.57 per share. Its revenue rose 3.7 percent to $5.37 billion. However, analysts were expecting earnings of $2.43 per share on revenue of $5.32 billion. The average estimate among 55 Estimize users was for earnings of $2.55 per share and revenue of $5.41 billion. Amgen's sales of Kyprolis jumped 53 percent to $119 million in the quarter. Prolia sales rose 29 percent to $340 million, while XGeva revenue gained 11 percent to $331 million in the quarter. Sales of Enbrel climbed 8 percent to $1.35 billion in the quarter. Neulasta sales gained 2 percent to $1.15 billion in the latest quarter, while Neupogen sales shrank 14 percent to $256 million. Aranesp sales fell 7 percent to $479 million, while EPOGEN sales declined 4 percent to $491 million in the latest quarter. Its adjusted operating margin expanded by around 2 percentage points to 49 percent. Research & Development expenses shrank 6 percent in the quarter, while Selling, General & Administrative expenses rose 2 percent. During the second quarter, Amgen repurchased 3.3 million shares of common stock at a total cost of $0.5 billion. "Focused execution with our growth products drove record revenues in the second quarter, and expense discipline further leveraged earnings and our ability to invest in new and forthcoming launches," said Robert A. Bradway, chairman and chief executive officer. "Our pipeline continues to deliver, with Repatha approval in the European Union and Kyprolis approval for relapsed multiple myeloma in the United States. We are on track to deliver on our long-term objectives for patients and shareholders." For 2015, Amgen now projects adjusted earnings of $9.55 to $9.80 per share, versus its earlier forecast of $9.35 to $9.65 per share. It now expects revenue of $21.1 billion to $21.4 billion, versus prior outlook of $20.9 billion to $21.3 billion. Amgen shares gained 2.32 percent to $175.68 in the after-hours trading session.