S&P 500 (NYSE:SPY) component Amgen Inc. (NASDAQ:AMGN) reported its results for the first quarter. Amgen is a biotechnology medicines company that discovers, develops, manufactures, and markets medicines for grave illnesses.
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Amgen Earnings Cheat Sheet for the First Quarter
Results: Net income for Amgen Inc. rose to $1.18 billion ($1.48 per share) vs. $1.13 billion ($1.20 per share) in the same quarter a year earlier. This marks a rise of 5.2% from the year-earlier quarter.
Revenue: Rose 9.2% to $4.05 billion from the year-earlier quarter.
Actual vs. Wall St. Expectations: Amgen Inc. beat the mean analyst estimate of $1.43 per share. It beat the average revenue estimate of $3.93 billion.
Quoting Management: “We delivered strong sales and earnings during the first quarter, reflecting broad strength across the portfolio,” said Kevin Sharer, chairman & CEO. “The pipeline is developing well and the business is in good shape to address the opportunities and challenges ahead,” concluded Sharer.
Last quarter’s profit increase breaks a streak of four consecutive quarters of year-over-year profit drops. In the fourth quarter of the last fiscal year, net income fell 8.6% from the year earlier, while the figure fell 63.3% in the third quarter of the last fiscal year, 2.7% in the second quarter of the last fiscal year and 3.6% in the first quarter of the last fiscal year.
Revenue has risen the past four quarters. Revenue increased 3.4% to $3.97 billion in the fourth quarter of the last fiscal year. The figure rose 3.4% in the third quarter of the last fiscal year from the year earlier and climbed 4.1% in the second quarter of the last fiscal year from the year-ago quarter.
The company topped expectations last quarter after falling short of forecasts in the fourth quarter of the last fiscal year with net income of $1.19 versus a mean estimate of net income of $1.24 per share.
Looking Forward: Analysts appear increasingly optimistic about the company’s results for the next quarter. The average estimate for the second quarter has moved up from $1.48 a share to $1.49 over the last sixty days. For the fiscal year, the average estimate has moved up from $5.93 a share to $5.94 over the last thirty days.
(Company fundamentals provided by Xignite Financials. Earnings estimates provided by Zacks)
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