Mar 31, 2020

Amgen Q1 2020 Earnings Report

Amgen's financial performance was driven by increased unit demand, offset by lower net selling prices.

Key Takeaways

Amgen reported an 11% increase in total revenues to $6.2 billion for Q1 2020 compared to Q1 2019. GAAP EPS decreased by 3% to $3.07, while non-GAAP EPS increased by 17% to $4.17. The company generated $2.0 billion in free cash flow during the quarter and reaffirmed its 2020 total revenue guidance.

Total revenues increased by 11% to $6.2 billion due to higher unit demand.

GAAP EPS decreased by 3% to $3.07, influenced by Otezla acquisition costs.

Non-GAAP EPS increased by 17% to $4.17, driven by higher revenues and fewer shares outstanding.

The company generated $2.0 billion in free cash flow.

Total Revenue
$6.16B
Previous year: $5.56B
+10.9%
EPS
$4.17
Previous year: $3.56
+17.1%
Gross Profit
$4.65B
Previous year: $4.5B
+3.2%
Cash and Equivalents
$7.69B
Previous year: $7.36B
+4.5%
Free Cash Flow
$1.99B
Previous year: $1.73B
+15.2%
Total Assets
$61.7B
Previous year: $64B
-3.6%

Amgen

Amgen

Amgen Revenue by Segment

Amgen Revenue by Geographic Location

Forward Guidance

Amgen reaffirmed its full-year 2020 guidance for total revenues and non-GAAP EPS.

Positive Outlook

  • Total revenues are expected to be in the range of $25.0 billion to $25.6 billion.
  • GAAP EPS is projected to be between $10.65 and $11.45.
  • The GAAP tax rate is anticipated to be in the range of 10.5% to 11.5%.
  • Non-GAAP EPS is expected to be in the range of $14.85 to $15.60.
  • The non-GAAP tax rate is projected to be between 13.5% and 14.5%.

Revenue & Expenses

Visualization of income flow from segment revenue to net income