Strong Contribution from Growth Drivers
Six key growth drivers generated ~70% of product sales in Q1 and grew 24% year-over-year in aggregate, providing momentum to offset losses of exclusivity.
April 30th, 2026
Summary
- Earnings Call Date:
- 2026-04-30
- Change Since:
- +2.67%
- Next Earnings Date:
- 2026-07-30
Earnings Call Sentiment
PositiveThe call conveyed a broadly positive tone: Amgen reported modest overall product sales growth (4%) while its six key growth drivers delivered strong momentum (24% aggregate growth and ~70% of sales), the company raised full-year revenue and EPS guidance, generated substantial free cash flow, and highlighted significant pipeline progress (notably Meritide, olpasiran, Imdeltra, TEPEZZA) and AI-driven R&D productivity gains. Material challenges were acknowledged, including steep declines in legacy osteoporosis brands (Prolia/XGEVA), rising cost-of-sales pressure, regulatory and trial uncertainties (Tabneos/paused blinatumomab enrollment), and a potentially material IRS audit adjustment for tax years 2016–2018. Overall, the positive commercial momentum, strengthened guidance, robust cash generation, and advancing late-stage pipeline outweigh the notable headwinds and risks discussed during the call.
Company Guidance
Amgen raised its 2026 guidance, now targeting total revenues of $37.1–$38.5 billion and non‑GAAP EPS of $21.70–$23.10; it also expects other revenue of $1.7–$1.8 billion, non‑GAAP OI&E expense of $2.2–$2.3 billion, a non‑GAAP tax rate of 15.0–16.5%, and a full‑year non‑GAAP operating margin of roughly 45–46% of product sales (Q1 non‑GAAP operating margin was 45% and Q2 is expected to be in line with Q1). The company reiterated capex of about $2.6 billion for 2026 (Q1 capex was $700 million), said share repurchases will not exceed $3 billion, and noted Q1 metrics including $1.5 billion free cash flow, non‑GAAP R&D up 16% YoY, non‑GAAP cost of sales at 19.5% of product sales, and $480 million of non‑GAAP OI&E expense in the quarter (including an approximately $90 million gain); the guidance excludes any potential business‑development transactions.
Overall Product Sales Growth and Broad Product Strength
Total product sales grew 4% year-over-year; 16 products achieved double-digit growth and 17 products are annualizing at $1 billion or more in sales.
Repatha: Large Sales Increase and Outcomes Evidence
Repatha Q1 sales of $876 million, up 34% YoY; VESALIUS-CV subgroup data showed a 31% reduction in major cardiovascular events in high-risk diabetes patients and nominal reductions in cardiovascular and all-cause mortality (32% and 24% respectively).
Evenity and Bone Franchise Momentum
Evenity sales rose 27% YoY to $562 million (U.S. +35% YoY), holding a 65% U.S. bone-builder market share; ~320,000 U.S. patients treated to date and strong positioning in Japan (>900,000 patients, >55% share).
Rare Disease and Specialty Growth
Rare disease portfolio grew 25% YoY to $1.2 billion; Eplisna sales increased 188% YoY to $262 million; TEPEZZA U.S. sales grew 29% YoY to $490 million with >25,000 patients treated since launch and positive Phase III data for on-body injector supporting subcutaneous dosing.
Oncology and Biosimilars Performance
Innovative oncology portfolio grew 25% YoY to $1.8 billion (Imdeltra $258 million; Blincyto $415 million, +12% YoY); biosimilars grew 14% YoY to $835 million (PABLUE $280 million in Q1).
Financial Strength and Improved Guidance
Non-GAAP operating margin was 45%; generated $1.5 billion in free cash flow in Q1; increased 2026 guidance to $37.1B–$38.5B revenue and non-GAAP EPS $21.70–$23.10.
Investing in R&D and Manufacturing
Non-GAAP R&D spending increased 16% YoY in Q1 to support late-stage assets (Meritide, Imdeltra, olpasiran); Q1 capex of $700 million with expected full-year capex of ~$2.6 billion to scale manufacturing, including for Meritide launch.
Pipeline Progress: Meritide and Olpasiran
Meritide advancing with multiple Phase III studies including switch and long-term maintenance (evaluating every 8- and 12-week dosing) and three-step dose escalation improving GI tolerability; olpasiran progressing in Phase III with >95% Lp(a) reductions and initiation of OCEANA CCTA study.
AI and R&D Productivity Gains
AI initiatives reportedly accelerated antibody lead optimization by ~50%, improved clinical site enrollment rates (up to 3x in some cases), reduced production line clearance time from ~30 minutes to ~2 minutes per batch, and produced early regulatory-documentation efficiencies.
Operator
My name is Julianne, and I will be your conference facilitator today for the Amgen Inc. Q1 2026 Earnings Conference Call. All lines have been placed on mute to prevent any background noise. There will be a question and answer session at the conclusion of the last speaker's prepared remarks. In order to ensure that everyone has a chance to participate, we would like to request that you limit yourself to asking one question during the Q&A session. To ask a question, please press star followed by one on your telephone keypad. To withdraw your question, please press star 1 again. I would now like to introduce Casey Capparelli, Vice President of Investor Relations.
Mr. Capparelli, you may now begin.
Casey Capparelli
Thank you, Julianne. Good afternoon, everyone, and welcome to our 2026 earnings call. Robert A. Bradway will lead the call today and be followed by a broader review of our performance by Murdo Gordon, James E. Bradner, and Peter H. Griffith. Through the course of our discussion today, we will use non-GAAP financial measures to describe our performance, and have provided appropriate reconciliations within the materials that accompany this call. We will also make some forward-looking statements which are qualified by our Safe Harbor statement, and please note that actual results can vary materially.
Over to you, Bob.
Robert A. Bradway
Good afternoon, and thank you for joining us. We had a strong first quarter and are well positioned to achieve our objectives for the year. Recall, we previously described 2026 as a springboard year for Amgen Inc., a year in which we expect our rapidly growing products to o...
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