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Dec 31, 2020

Amgen Q4 2020 Earnings Report

Amgen reported a 7% increase in total revenue, driven by higher volume growth, but faced a decrease in GAAP EPS due to amortization of costs associated with the Otezla acquisition.

Key Takeaways

Amgen's Q4 2020 financial results showed a 7% increase in total revenues to $6.6 billion, driven by volume growth. However, GAAP EPS decreased by 3% to $2.76, primarily due to Otezla acquisition costs. Non-GAAP EPS increased by 5% to $3.81. The company's 2021 revenue guidance is $25.8-$26.6 billion.

Total revenues increased by 7% to $6.6 billion, driven by higher volume growth.

GAAP EPS decreased by 3% to $2.76, impacted by Otezla acquisition amortization.

Non-GAAP EPS increased by 5% to $3.81, driven by increased revenues.

Product sales increased 8% globally, driven by 13% volume growth across the portfolio.

Total Revenue
$6.63B
Previous year: $6.2B
+7.1%
EPS
$3.81
Previous year: $3.64
+4.7%
Gross Profit
$5.04B
Previous year: $4.94B
+1.9%
Cash and Equivalents
$6.27B
Previous year: $6.04B
+3.8%
Free Cash Flow
$1.98B
Previous year: $2.33B
-14.9%
Total Assets
$62.9B
Previous year: $59.7B
+5.4%

Amgen

Amgen

Amgen Revenue by Segment

Forward Guidance

Amgen anticipates total revenues between $25.8 billion and $26.6 billion for 2021. The company projects GAAP EPS to be in the range of $12.12 to $13.17 and non-GAAP EPS in the range of $16.00 to $17.00.

Positive Outlook

  • Total revenues in the range of $25.8 billion to $26.6 billion.
  • GAAP EPS in the range of $12.12 to $13.17.
  • Non-GAAP EPS in the range of $16.00 to $17.00.
  • Capital expenditures to be approximately $900 million.
  • Share repurchases in the range of $3.0B to $4.0B subject to our Board's authorization.

Revenue & Expenses

Visualization of income flow from segment revenue to net income