Amgen raises full-year earnings and revenue outlook

Investing.com -- Shares in Amgen (NASDAQ:AMGN) rose in premarket U.S. trading on Friday after the U.S. biotech company improved its annual earnings and revenue forecast, and said it expects to close its planned multibillion-dollar acquisition of Horizon Therapeutics (NASDAQ:HZNP) by mid-December.

The California-based group raised its guidance for adjusted earnings per share in 2023 to a range of $17.80 to $18.80, up from its previous outlook of $17.40 to $18.60. Revenue is also expected to come in at between $26.6 billion to $27.4 billion this year, a slight uptick from a prior estimated band of $26B to $27.2B.

Amgen flagged that the revised forecast does not include any impact from the $27.8B Horizon deal, which is currently facing a lawsuit from the U.S. Federal Trade Commission.

The FTC has previously warned that "rampant consolidation" in the pharmaceutical industry, such as the Amgen-Horizon tie-up, could lead to higher prices for patients. Amgen has said it will present its case in court in September.

"Management's commentary was somewhat limited, reiterating their confidence in legal proceedings with the FTC and their continued enthusiasm around the [Horizon] deal," said analysts at Baird in a note.

Meanwhile, Amgen reported income excluding items of $5.00 per share on revenue of $6.99B in the second quarter. Both figures topped estimates thanks in part to solid demand for its cholesterol and osteoporosis treatments.