Amgen Q2 - Steady growth

Vestact-recommended biopharma company Amgen had second quarter results out on Tuesday. They were largely in line with market expectations, other than a very modest shortfall on profits. They made $4.97 per share instead of $5.00, I kid you not.

Revenues were up nicely, by 20.2% year-on-year, to $8.4 billion, thanks to a big acquisition in late 2023. Without the addition of the Horizon products, sales rose 5%.

Amgen makes a wide range of crucial drugs for treating cholesterol, psoriasis, inflammation, arthritis, cancer and other rarer, unfortunate conditions. Sales of most of their products were fine, with a surge from both Prolia and Repatha, which was especially pleasing. If you want to know what those two drugs do, email me. Or Google it.

The Amgen share price has done well in the past year (up about 25%) thanks mostly to a new product in their pipeline called MariTide. The full name is Maridebart cafraglutide - lol, thanks for asking.

MariTide, is a "multi-specific molecule that inhibits the gastric inhibitory polypeptide receptor (GIPR) and activates the glucagon like peptide 1 (GLP-1) receptor". In short, MariTide is a once-a-month injection for weight loss, that is dramatically effective, and acts very quickly.

A phase 2 study of MariTide is ongoing in obese adults with, or without, type 2 diabetes. The results so far have been fantastic. They are moving on to the final, phase 3 study shortly.

If all goes well, MariTide will go on sale in 2027, and become a blockbuster. That would make them a third entrant to the obesity drug market currently dominated by Eli Lilly and Novo Nordisk.

We always tell you that investing requires patience. Holding Amgen shares is a good example of what we mean.