10-Q · August 4, 2026
Amgen delivered a strong Q2, with $10.054B of revenue and $6.29 EPS beating consensus by 6.7% and 12.3%, respectively, while free cash flow increased to $3.489B. Revenue growth accelerated both sequentially and year…
Earnings analysis · 10-Q
AMGN earnings analysis
Filed November 3, 2026 · Our reading of the company's report
The latest report
Amgen delivered a strong Q3, with revenue of $10.365 billion and diluted EPS of $6.45 beating consensus by $321 million and $0.68, respectively. Operating margin rose to 37.5%, although free cash flow of $3.654 billion…
Read full summary
Amgen delivered a strong Q3, with revenue of $10.365 billion and diluted EPS of $6.45 beating consensus by $321 million and $0.68, respectively. Operating margin rose to 37.5%, although free cash flow of $3.654 billion declined 14.0% year over year. FY2026 revenue guidance is $38.9 billion-$39.7 billion and GAAP EPS guidance is $18.34-$19.28, while Medicare pricing, 340B changes and the TAVNEOS regulatory proceeding remain significant risks.
Gross and operating margin
How much of each revenue dollar the business keeps.
One point per quarterly or annual filing. Both margins are shares of that report's revenue.
How we read each report
Our analysis across the last few reports.
Our model's reading of each filing, not the share price or the market's reaction. Annual and quarterly reports each occupy one position.
Reported figures
- Earnings per share
- $6.45
- Operating margin
- 37.5%
What stood out
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Revenue reached a quarterly record
Q3 revenue was $10.365 billion, up approximately 3.1% from $10.05 billion in Q2 2026 and 8.4% from $9.56 billion in Q3 2025, while exceeding the $10.044 billion consensus estimate by $321 million.
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Operating margin expanded sharply
Operating margin expanded to 37.5%, up 250 basis points from 35.0% in Q2 2026 and 1,110 basis points from 26.4% in Q3 2025.
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EPS beat consensus by $0.68
Diluted EPS was $6.45, up from $4.37 in Q2 2026 and $5.93 in Q3 2025, and exceeded the $5.77 consensus estimate by $0.68.
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Cash generation remained substantial
Free cash flow was $3.654 billion, up from $3.49 billion in Q2 2026 but down from $4.248 billion in Q3 2025, a year-over-year decline of approximately 14.0%.
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FY2026 outlook was raised
FY2026 guidance calls for revenue of $38.9 billion-$39.7 billion and GAAP EPS of $18.34-$19.28; non-GAAP EPS guidance is $22.90-$23.70.
What to watch
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Medicare pricing pressure is expanding
CMS Medicare Part D pricing for ENBREL became effective January 1, 2026, while Otezla pricing begins in January 2027; the filing states ENBREL pricing has negatively affected profitability and expects Otezla pricing to do so beginning in 2027. Repatha could become subject to Medicare price setting as early as January 2029.
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TAVNEOS faces material regulatory risk
TAVNEOS remains subject to a proposed FDA withdrawal after CDER issued the proposal on April 27, 2026; the European Commission revoked its EU marketing authorization in August 2026. The filing also states that fatal VBDS cases have been reported and that the product will remain on the market during the process.
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340B discounts may increase
340B exposure is broadening: 23 states have enacted manufacturer mandates and no fewer than 17 states introduced similar legislation in 2026. Amgen's HRSA-approved one-year rebate pilot begins in January 2027 for ENBREL and Otezla, but the filing warns that duplicate discounts and improper utilization may continue to pressure sales and profitability.
Management's outlook
FY2026 guidance is $38.9 billion-$39.7 billion of revenue and $18.34-$19.28 of GAAP EPS; the filing materials do not quantify the change versus the prior outlook. Non-GAAP EPS guidance is $22.90-$23.70.
Earlier filings 4
10-Q · April 30, 2026
Amgen's Q1 2026 results show strong performance with revenues of $8.618 billion and EPS of $5.15, both exceeding estimates. The company has raised its annual revenue guidance to a range of $37.1 billion to $38.5 billion…
10-K · February 13, 2026
Amgen reported product sales of $35,148 million in 2025, up from $32,026 million in 2024, and continues to broaden its clinical footprint with multiple regulatory approvals and positive Phase 3 data (Repatha…
10-Q · August 6, 2025
Amgen reported a strong quarter with total revenues of $9,179 million (Q2 2025) versus $8,388 million in Q2 2024 and diluted EPS of $2.65 versus $1.38 a year ago. Gross margin expanded to 67.2% and operating margin to…
This is our reading of a public filing, not the filing itself. Analysis can contain errors; check the source document for full context.