Amgen (Nasdaq:AMGN) reported Q1 2026 EPS of USD 5.15, beating consensus estimates, as Repatha delivered 34% growth, MariTide Phase 3 trials expanded, and AI integration accelerated drug discovery and Manufacturing productivity across the enterprise.

Key Highlights

  • Amgen reported Q1 2026 EPS of USD 5.15, beating consensus of USD 4.76 and rising 5% year over year.
  • Revenue of USD 8.62 billion rose 6% year over year, broadly in line with Wall Street expectations despite headwinds from Patent expirations.
  • Repatha delivered USD 876 million in quarterly sales, a 34% year-over-year increase, surpassing analyst estimates of USD 835 million.
  • Amgen raised its full-year 2026 Revenue guidance to USD 37.1 billion to USD 38.5 billion and non-GAAP EPS to USD 21.70 to USD 23.10.
  • MariTide Phase 3 programme expanded with two new studies, including a switching trial from weekly injectable GLP-1 therapies.

Earnings Performance and Valuation Context

Amgen (Nasdaq:AMGN) delivered a credible first quarter in what management has described as a springboard year, reporting Revenue of USD 8.62 billion and adjusted EPS of USD 5.15 against consensus expectations of USD 4.76. The EPS beat of 7.29% reflects both operational discipline and a portfolio increasingly weighted toward higher-growth Assets. Free Cash Flow came in at USD 1.5 billion, and the non-GAAP Operating Margin held at 45%, a level the company expects to sustain through the second quarter.

With a Market Capitalisation near USD 340 per share in aftermarket trading, Amgen's valuation is being tested against a dual narrative: near-term resilience through Patent erosion cycles and longer-term optionality from MariTide and a deepening AI-driven R&D infrastructure. The stock rose 2.4% in regular trading before giving back approximately 2% after hours, a reaction that likely reflects the modest scale of the guidance raise rather than any fundamental deterioration.

Growth Drivers Offsetting Patent Headwinds

Amgen's six key growth drivers, which include Repatha, Evenity, Tezspire, its rare disease portfolio, innovative oncology, and Biosimilars, collectively generated USD 5.6 billion in Q1 sales, representing nearly 70% of total product sales and growing 24% year over year in aggregate. This performance is central to management's thesis that the company can grow through a period of meaningful Patent expiration.

Repatha was the standout. Sales of USD 876 million, up 34% year over year, were driven by updated ACC/AHA dyslipidemia guidelines reinforcing earlier treatment thresholds and by VESALIUS-CV trial data demonstrating a 31% reduction in major cardiovascular events in high-risk primary prevention patients with diabetes. New-to-Brand prescriptions in the United States rose 44% in the quarter, with gains across both cardiology and primary care. Repatha is now the only PCSK9 inhibitor with positive outcomes data in both high-risk primary and secondary prevention settings, a structural Competitive Advantage that continues to widen its addressable market.

Evenity posted sales of USD 562 million, up 27% year over year, maintaining a 65% share of the US bone builder market. Uplizna grew 188% to USD 262 million, while TEPEZZA rose 29% to USD 490 million. Innovative oncology, led by IMDELLTRA and BLINCYTO, generated USD 1.8 billion, up 25% year over year. These figures underscore the portfolio breadth that insulates Amgen from the erosion of legacy products such as Prolia, where sales fell 34% to USD 727 million following biosimilar competition.

MariTide: A Differentiated Entry into the Obesity Market

MariTide, Amgen's antibody-peptide conjugate targeting GLP-1 and GIP receptors, remains the company's most consequential pipeline asset. Unlike weekly injectables, MariTide is designed for monthly or less frequent administration, potentially as few as four to six injections per year. This dosing convenience, if supported by phase III efficacy and tolerability data, could serve as a meaningful differentiator in a market currently dominated by Novo Nordisk and Eli Lilly.

Two new Phase 3 studies were announced during the quarter. The first evaluates long-term weight maintenance using extended dosing intervals of every eight or twelve weeks. The second evaluates switching from weekly semaglutide or tirzepatide to MariTide, a study designed to address the large population of patients already on GLP-1 therapy who may seek a less frequent alternative. Management also noted that three-step dose escalation has further reduced rates of nausea and vomiting compared to prior protocols, and that GI side effects, when observed, are short in duration, comparable to weekly GLP-1 agents, with none of the trough-to-peak fluctuations associated with shorter half-life medicines. Phase 3 enrolment is progressing well, and Amgen expects the programme to inform both initiation and switching decisions for physicians.

AI as an Operational and Scientific Accelerator

Amgen's integration of artificial intelligence across its enterprise is progressing in ways that carry tangible operational relevance. In R&D, antibody lead optimisation has accelerated by 50% through AI-assisted lead discovery. A proprietary clinical trial site selection model has improved enrolment rates by up to three times in certain programmes. Large language models and agentic AI are being applied to regulatory filing preparation, with early results in data ingestion and document drafting.

In Manufacturing, AI-enabled automation has reduced production line clearance time from approximately 30 minutes to around two minutes per batch run. These are not theoretical capabilities but operationally deployed tools that carry implications for both R&D productivity and cost structure over the medium term. Jay Bradner, newly appointed to lead AI and data activities across the enterprise following the retirement of David Reese, described these as early innings, with meaningful further potential.

Risks Worth Monitoring

Ongoing IRS tax litigation covering the years 2010 to 2015 remains unresolved, with a decision expected no earlier than the second half of 2026. A draft notice of proposed adjustment for the 2016 to 2018 period was received in April, with the IRS asserting adjustments related to profit allocation between the United States and Puerto Rico. Amgen disputes the methodology and maintains its tax reserves are appropriate, but the financial exposure, if adverse, could be material. The FDA's proposal to withdraw approval of Tavneos remains an open Regulatory Risk, though Amgen has submitted a label amendment and indicated it will continue to defend the product's benefit-risk profile. Accelerating biosimilar competition in legacy products, particularly Prolia and Xgeva, will continue to weigh on reported product sales through the remainder of 2026.