
Amgen's latest quarter showed that biotech is still very much alive and profitable. The company delivered a strong set of results, beating estimates across the board. Revenue hit $8 billion, up 9% from a year ago. Product sales rose 11%, driven by a healthy 14% bump in volume, and margins expanded nicely too, to 45.7%. The stock is up just over 5% year-to-date, outperforming a sector that's mostly been asleep at the wheel.
The quarter was driven by strength across a broad mix of products. Prolia, the osteoporosis giant, still pulled in over $1.1 billion despite looming biosimilar pressure. Repatha, their cholesterol treatment, surged 27% year-on-year, helped by a 41% jump in volumes as insurers ease access requirements. Blincyto, Evenity, and Tezspire all posted double-digit growth, and the newly launched Tavneos (from the Horizon acquisition) saw sales up 76%. In total, 14 different drugs recorded double-digit volume growth. This is not just a one-drug story, it's a sign of depth in the portfolio.
Biosimilars are also starting to earn their keep. Sales from this portfolio jumped 35% to $735 million, with new launches like Wezlana (a Stelara biosimilar) and Pavblu (a copy of Eylea) already contributing meaningful revenue. For years, biosimilars were dismissed as low-margin placeholders, but Amgen seems to have found a way to make them work.
And then there's the obesity pipeline, where everyone wants a piece of the Novo/Lilly pie. Amgen's MariTide stands out with a once-a-month autoinjector design, offering a potential convenience edge. Phase three trials are underway, and if efficacy data holds up, this could be a material catalyst down the line.
There are a few soft spots: Kyprolis (for multiple myeloma) is feeling the heat from competitors, Enbrel (rheumatoid arthritis) is sliding as expected, and some products like Otezla (plaque psoriasis) and Lumakras (lung cancer) are growing slower than hoped.
Amgen is quietly executing on a playbook we like: a broad portfolio, smart capital allocation, measured R&D bets, and now a real shot at the obesity market. It's not flashy, but it's high quality. We like Amgen as a long-term compounder with optional upside, steady now, but with catalysts that could surprise tomorrow.