Amgen Inc.: PharmaVitae Profile

Introduction

This analysis examines the historical and forecast performance for Amgen in the ethical pharmaceutical sector. The profile encompasses global company strategy, portfolio and pipeline analysis and assessment of financial performance, with 1-6 year sales forecasts for key drugs. An interactive forecasting and analysis tool provides continually updated quantitative and qualitative information.Scope

Highlights

Reasons to Purchase

• Benchmark Amgen's performance against key rivals in the ethical pharmaceutical sector
• Assess how Amgen's commercial performance out to 2013 will be impacted by recent safety concerns relating to the ESA product class
• Analyze Amgen's diversification strategy which will be heavily reliant on the launch of denosumab indicated for osteoporosis and bone metastases

• CHAPTER 1 ABOUT THIS PROFILE
  • Executive summary
  • Quarterly news update
  • Company introduction
  • Company sales
  • Company financials
  • Key products and competitors
  • Data sourcing
  • Sales data
  • Analyst consensus
• CHAPTER 2 EXECUTIVE SUMMARY
  • Key findings
  • Prescription pharmaceutical sales performance, 2001-13
  • Financial performance, 2001-13
  • Amgen: PharmaVitae forecasts at a glance
  • Strategic insight
  • 2001-07 rapid sales growth: driven by blockbuster franchises, with lifecycle management underpinning the company's success
  • Early product development sets the scene
  • Product lifecycle management boost sales growth
  • Acquisitions a further driver
  • Overall revenue growth propels Amgen to the forefront of biotechnology, placing the company in Big Pharma territory
  • 2001-07 rapid cost growth - operating profit lags behind revenue growth
  • 2007-13 slowing revenue growth, tightening up of costs
  • Key franchise hit by damaging clinical trial data
  • Amgen cost cutting
  • Cost cutting will improve profitability as key franchises lose sales momentum
  • By cutting costs Amgen removes some risk associated with denosumab
  • SWOT analysis
  • Strengths
  • Weaknesses
  • Opportunities
  • Threats
• CHAPTER 3 QUARTERLY NEWS UPDATE
  • Product developments
  • Deals and alliances
  • Product deals
  • Technology deals
  • M&A activity
  • Company announcements
  • Future product milestones
• CHAPTER 4 COMPANY INTRODUCTION
  • Key findings
  • Background
  • Key corporate developments
  • M&A history
  • Abgenix acquisition
  • Alantos & Ilypsa
  • Current corporate structure
  • Pharmaceuticals
• CHAPTER 5 COMPANY SALES
  • Key findings
  • Prescription pharmaceutical sales and growth rate analysis, 2001-13
  • Product analysis
  • Product analysis, 2001-07
  • Product analysis, 2007-13
  • Therapy area analysis
  • Therapy area analysis, 2001-07
  • Therapy area analysis, 2007-13
  • Therapy area focus, 2001-13
  • Geographic analysis
  • Geographic analysis, 2001-07
  • Geographic analysis, 2007-13
  • Geographic focus, 2001-13
  • Launch/core/expiry analysis
  • Explanation of launch/core/expiry analysis
  • Launch analysis, 2007-13
  • Core analysis, 2007-13
  • Expiry analysis, 2007-13
  • Launch/core/expiry configuration, 2007-13
  • Molecule type analysis
  • Molecule type analysis, 2001-07
  • Molecule type analysis, 2007-13
  • Externalization analysis
  • Externalization analysis, 2001-07
  • Externalization analysis, 2007-13
• CHAPTER 6 COMPANY FINANCIALS
  • Key findings
  • Reconciliation between PharmaVitae-formatted prescription pharma sales and company-reported total sales, 2001-07
  • Financial statements, 2001-07
  • Profit and loss account, 2001-07
  • Balance sheet, 2001-07
  • Operating costs and profit analysis
  • Operating costs and profit analysis, 2001-07
  • Operating cost ratio and profit margin analysis, 2001-07
  • Operating cost ratio and profit margin analysis, 2007-13
  • Operating costs and profit analysis, 2007-13
  • Return on capital employed analysis
  • Capital employed analysis, 2001-07
  • Capital employed analysis, 2001-07
  • Return on capital employed (RoCE) analysis, 2001-07
  • Market capitalization analysis
  • Market capitalization analysis, 2001-07
  • Total shareholder returns analysis, 2001-07
• CHAPTER 7 KEY PRODUCTS AND COMPETITORS
  • Key findings
  • Overview
  • Product profiles
  • Neulasta
  • Lifecycle management strategy: Neulasta the gold standard
  • Biosimilars to threaten Neupogen and in doing so, impact Neulasta in Europe
  • Aranesp
  • Marketed for both chronic kidney disease (CKD) related anemia and chemotherapy related anemia
  • Safety fears of ESAs will impact Amgen's key franchise
  • Sales growth from hematology will offset oncology decline to some extent
  • Increasing competitive threat from ex-US martkets
  • Enbrel
  • Gold standard in rheumatoid arthritis - successful indication broadening the growth driver
  • Increasing competition from Humira set to restrict Enbrel sales growth
  • Epogen
  • First to market
  • Main use in CKD-related anemia
  • Epogen off-label use in oncology a significant portion of revenues
  • General downtrend due to safety fears and expected increasing focus on Aranesp
  • Denosumab
  • Denosumab (musculoskeletal)
  • Denosumab shows superior dosing and efficacy over Fosamax
  • Dosing frequency a key factor for success
  • Denosumab (oncology)
  • Significant opportunity in oncology- targeting Zometa's market
  • Safety benefits associated with denosumab
• CHAPTER 8 APPENDIX
  • R&D pipeline
  • References
  • Abbreviations
• List of Tables
  • Table 1: Amgen - PharmaVitae forecasts at a glance
  • Table 2: Amgen's total costs outpacing revenue growth
  • Table 3: Amgen key product developments, 2008
  • Table 4: Amgen product deals and alliances, 2008
  • Table 5: Amgen technology deals and alliances, 2008
  • Table 6: Amgen M&A activity, 2008
  • Table 7: Amgen company announcements, 2008
  • Table 8: Amgen future product milestones, 2008-10
  • Table 9: Amgen product portfolio overview ($m), 2001-07
  • Table 10: Amgen product portfolio overview ($m), 2007-13
  • Table 11: Amgen, therapy portfolio overview ($m), 2001-07
  • Table 12: Amgen, therapy portfolio overview ($m), 2007-13
  • Table 13: Amgen, portfolio overview by geographic region ($m), 2001-07
  • Table 14: Amgen, portfolio overview by geographic region ($m), 2007-13
  • Table 15: Amgen, launch portfolio overview ($m), 2007-13
  • Table 16: Amgen, core portfolio overview ($m), 2007-13
  • Table 17: Amgen, expiry portfolio overview ($m), 2007-13
  • Table 18: Amgen, portfolio overview by molecule type ($m), 2001-07
  • Table 19: Amgen, product portfolio overview by molecule type ($m), 2007-13
  • Table 20: Amgen, product portfolio overview by source ($m), 2001-07
  • Table 21: Amgen, product portfolio overview by source ($m), 2007-13
  • Table 22: Amgen, sales by business unit ($m), 2001-07
  • Table 23: Amgen profit and loss account ($m), 2001-07
  • Table 24: Amgen balance sheet ($m), 2001-07
  • Table 25: Amgen operating revenue/cost analysis ($m), 2001-07
  • Table 26: Amgen operating cost ratio analysis (% of total revenues), 2001-07
  • Table 27: Amgen operating cost ratio analysis (% of total revenues), 2007-13
  • Table 28: Amgen operating revenue/cost analysis ($m), 2007-13
  • Table 29: Amgen capital employed ($m), 2001-07
  • Table 30: Amgen EBIT return on capital employed ($m), 2001-07
  • Table 31: Amgen pre-tax return/Capital employed driver analysis (%), 2001-07
  • Table 32: Amgen market capitalization ($ billion), 2001-07
  • Table 33: Amgen total shareholder returns (annual %), 2001-07
  • Table 34: Key products overview
  • Table 35: Neulasta: overview
  • Table 36: Neulasta: sales forecast ($m), 2007-13
  • Table 37: Aranesp: overview
  • Table 38: Aranesp (oncology): sales forecast ($m), 2007-13
  • Table 39: Aranesp (hematology): sales forecast ($m), 2007-13
  • Table 40: Enbrel: overview
  • Table 41: Enbrel: sales forecast ($m), 2007-13
  • Table 42: Remicade vs. Enbrel key approvals
  • Table 43: Remicade vs. Enbrel vs. Humira key approvals
  • Table 44: Epogen: overview
  • Table 45: Epogen (hematology): sales forecast ($m), 2007-13
  • Table 46: Epogen (oncology): sales forecast ($m), 2007-13
  • Table 47: denosumab: overview
  • Table 48: denosumab (musculoskeletal): sales forecast ($m), 2007-13
  • Table 49: denosumab (oncology): sales forecast ($m), 2007-13
  • Table 50: Amgen's R&D pipeline (Phase I-registration)
• List of Figures
  • Figure 1: Amgen prescription pharmaceutical performance, sales ($m) and growth rate (%), 2001-13
  • Figure 2: Amgen's financial performance ($m), 2001-13
  • Figure 3: Overview of Amgen's strong historical sales growth
  • Figure 4: Amgen's switching strategy from high sales growth to controlled cost expenditure ($m), 2001-13
  • Figure 5: Amgen SWOT analysis
  • Figure 6: Amgen timeline
  • Figure 7: M&A/divestment history
  • Figure 8: Current corporate structure
  • Figure 9: Amgen prescription pharmaceutical performance, sales ($m) and growth rate (%), 2001-13
  • Figure 10: Amgen key sales growth driver & resistors ($m), 2001-07
  • Figure 11: Amgen key sales growth drivers & resistors ($m), 2007-13
  • Figure 12: Amgen prescription pharmaceutical sales by therapy area ($m), 2001-13
  • Figure 13: Amgen prescription pharma sales by therapy area (% of total), 2001-13
  • Figure 14: Amgen prescription pharmaceutical sales by geographic region ($m), 2001-13
  • Figure 15: Amgen drivers and resistors by geographic region ($m), 2001-07
  • Figure 16: Amgen drivers and resistors by geographic region ($m), 2007-13
  • Figure 17: Amgen prescription pharmaceutical sales by geographic region (% of total), 2001-13
  • Figure 18: Amgen launch/core/expiry configuration ($m), 2007-13
  • Figure 19: Amgen prescription pharmaceutical sales by molecule type ($m), 2001-13
  • Figure 20: Amgen growth drivers & resistors by molecule type ($m), 2007-13
  • Figure 21: Amgen prescription pharmaceutical sales by source ($m), 2001-13
  • Figure 22: Amgen growth drivers & resistors by source ($m), 2001-07
  • Figure 23: Amgen growth drivers & resistors by source ($m), 2007-13
  • Figure 24: Amgen operating revenue/cost analysis ($m), 2001-13
  • Figure 25: Amgen operating cost ratio analysis (% of total revenues), 2001-13
  • Figure 26: Amgen return on capital employed, EBIT margin and capital turnover, 2001-07
  • Figure 27: Return on capital employed formula
  • Figure 28: Amgen market capitalization ($ billion), 2001-07
  • Figure 29: Amgen total shareholder returns vs. S&P 500 ($m), 2001-07