Analyst Conference Summary |
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biotechnology
|
Amgen
|
Product sales $ millions |
Q3 2023 |
Q2 2023 |
Q3 2022 |
y/y % |
Prolia | $986 |
$1,028 |
$862 |
14% |
Repatha | 406 |
424 |
309 |
31% |
Aimovig | 94 |
82 |
107 |
-12% |
Evenity | 307 |
281 |
201 |
53% |
Lumakras | 52 |
77 |
35 |
-71% |
Neulasta | 124 |
236 |
247 |
-50% |
Otezla | 567 |
600 |
627 |
-10% |
Epogen | 50 |
61 |
136 |
-63% |
Enbrel | 1,035 |
1,068 |
1,106 |
-6% |
Arenesp | 323 |
365 |
358 |
10% |
Vectibix | 252 |
248 |
247 |
2% |
Nplate | 419 |
310 |
288 |
45% |
Xgeva | 519 |
530 |
495 |
5% |
Kyprolis | 349 |
346 |
318 |
10% |
Blincyto | 220 |
206 |
142 |
55% |
Parsabiv | 95 |
87 |
100 |
-5% |
Tezspire | 161 |
133 |
55 |
193% |
Tavneos | 37 |
30 |
0 |
na |
Amgevita | 152 |
150 |
117 |
30% |
Kanjinti | 20 |
50 |
72 |
-72% |
Mvasi | 213 |
197 |
209 |
2% |
other | 167 |
174 |
166 |
1% |
Cash and equivalents balance ended at $34.7 billion, up sequentially from $34.2 billion. Operating cash flow $2.8 billion. Capital expenditures $0.2 billion. Free cash flow was $2.5 billion. At the end of quarter debt was $60.5 billion. No shares were repurchased in the quarter. Dividend payments were $1.1 billion.
A Phase 2b study of efavaleukin alfa in ulcerative colitis continues to enroll patients. In Q2 2023 a Phase 2b study of efavaleukin alfa (AMG 592), an interleukin-2 (IL-2) mutein Fc fusion protein, in SLE was stopped for futility.
In April 2023, the European Commission granted marketing authorization for Bekemv (eculizumab, formerly ABP 959), a biosimilar to Soliris (eculizumab). Bekemv is the first biosimilar to Soliris approved by the EC. Later in Q2 the FDA accepted the BLA for 959.
See also the Amgen pipeline.
GAAP cost of sales was $1.81 billion. Research and development expense was $1.08 billion; selling general and administrative expense $1.35 billion; and other operating expense $644 million, for total operating expenses of $4.88 billion. Operating income was $2.02 billion. Interest expense was $759 million, other income $685 million, income taxes $217 million.
Q&A selective summary:
Obesity, 133 profile, 786? With 133 we believe we have a differentiated mechanism of action. Rapidly enrolled Phase 2 arms, data next year. Pleased with Phase 1 data. AMG786 is orthogonal, will see some data next year, there is a high bar in the field. We have some preclinical molecules as well.
Guidance change, all from Horizon? Not breaking down the revenue, we continue to see strength in our base business.
Horizon revenue outlooks for specific therapies? Not providing 2024 guidance. But Horizon has a lot of positive leading indicators. Tepezza label update from FDA in April is getting traction with payers, opthalmologists, and endocrinologists. We are also expanding Tepezz outside the U.S., including our recent approval in Brazil. Krystexxa and Uplizna are doing really well.
AMG786 dropped cohort? We are not worried about suicide ideation. Dosing is adjusted as we move through Phase 1 trials.
Tepezza growth plan? Working on educating physicians, widening it from the base at launch. New prescribers are up 50% y/y. Working on improving payer policies.
Otezla dermatology strategy? Several new competitive launches this year, all with generous free drug programs. Topical patients who would normally moved to an oral switched to a free, new topical, or to a free oral. Now topicals are pulling back on free drugs. Beginning to see new growth from topical conversions. We should be able to give better guidance as we see the course of free program reductions.
Considerable conversation about details of the weight-loss market.
Believes has reached a tipping point for Repatha sales, with doctors and payers.
More Analyst Conference Pages:
AGEN |
AGIO |
ALNY |
AMAT |
APRE |
ARWR |
BIIB |
BMY |
CDTX |
CLDX |
FATE |
GILD |
GLYC |
ILMN |
INCY |
INO |
IONS |
MCHP |
MRNA |
PLX |
REGN |
RNA |
SANA |
SGEN |
SYRS |
TSVT |
VRTX |
VSTM |
WBA |
Disclaimer: My analyst call summaries may include both condensations of statements made by company representatives and my own analysis. They are not covered by any warranty. I cannot guarantee anything said by company representatives is true. I try not to make errors, but it is possible. These are my personal notes that I use as the basis for my Seeking Alpha articles. They are not advice.
Copyright 2023 William P. Meyers