Key Highlights

  • Amgen reported second-quarter revenue of 10.1 billion dollars, up 10% year over year and ahead of the 9.4 billion dollar consensus estimate.
  • Adjusted earnings per share of 6.29 dollars beat the 5.60 dollar consensus, while GAAP earnings per share rose 65% to 4.37 dollars.
  • Six key growth products grew 26% collectively year over year, generating nearly 70% of second-quarter product sales, with 22 products posting double-digit sales growth.
  • Free cash flow reached 3.5 billion dollars, nearly double the 1.9 billion dollars generated in the same period last year.

Broad-Based Growth Drives a Strong Quarter

Amgen (NASDAQ:AMGN) reported second-quarter total revenues of 10.1 billion dollars, up 10% year over year and ahead of the 9.4 billion dollar consensus estimate, with product sales growing 9% on volume gains. Adjusted earnings per share of 6.29 dollars topped the 5.60 dollar consensus estimate, while GAAP earnings per share rose 65% to 4.37 dollars from 2.65 dollars in the prior-year period, reflecting the combination of higher revenue and improved operating leverage.

The company's six key growth drivers collectively grew 26% year over year, generating nearly 70% of total second-quarter product sales, while 22 individual products delivered double-digit sales growth and 17 products are now annualizing at more than 1 billion dollars in sales based on current quarterly run rates. This breadth of growth across the portfolio suggests Amgen's performance is not dependent on any single product, reducing concentration risk relative to companies with narrower revenue bases.

Newer Products Offset Pressure From Biosimilar Competition

Several of Amgen's newer and expanding products posted particularly strong growth, with Repatha sales up 37% to 953 million dollars and EVENITY sales up 38% to 714 million dollars, both driven by volume increases. UPLIZNA sales surged 90% to 335 million dollars, while oncology treatment IMDELLTRA more than doubled, rising 115% to 288 million dollars, reflecting continued adoption following recent regulatory approvals in multiple markets.

These gains were partially offset by declines in several legacy products facing biosimilar competition, with Prolia sales falling 32% to 759 million dollars and XGEVA sales dropping 34% to 352 million dollars, both reflecting lower volume and pricing as biosimilar alternatives have launched globally. Enbrel sales declined 4% to 580 million dollars, with the company specifically citing Medicare Part D price setting under the Inflation Reduction Act as a contributing factor to lower net selling prices, illustrating how policy changes are directly affecting certain segments of the portfolio.

Cash Generation Strengthens While Full-Year Guidance Reflects Continued Confidence

Amgen generated 3.5 billion dollars in free cash flow during the quarter, nearly double the 1.9 billion dollars generated in the same period last year, aided by the absence of a repatriation tax payment that had affected the prior-year quarter alongside improved current-period business performance. Cash and cash equivalents totaled 14.0 billion dollars as of June 30, while total debt outstanding stood at 57.3 billion dollars, reflecting the company's continued management of a leveraged balance sheet following prior acquisition activity.

The company reaffirmed its full-year 2026 guidance, projecting total revenues between 38.2 billion and 39.4 billion dollars and non-GAAP earnings per share between 22.30 and 23.50 dollars. Notably, the company did not repurchase any shares during the second quarter, despite full-year guidance allowing for up to 3.0 billion dollars in repurchases, suggesting the company may be prioritizing other capital uses, such as continued investment in its clinical pipeline, during this specific period.

Conclusion

Amgen's second-quarter results reflect broad-based strength across its growth portfolio, with newer treatments in rare disease and oncology more than offsetting continued biosimilar-driven erosion in legacy products like Prolia and XGEVA. The company's reaffirmed full-year guidance and substantial free cash flow generation suggest confidence in sustaining this growth trajectory, even as the balance between newer product momentum and established product decline continues shaping the overall revenue mix. Whether Amgen's extensive late-stage pipeline, including its MariTide obesity program, translates into the next wave of growth drivers is likely to be a key focus for investors in coming quarters.