Amgen shares fall as 2019 guidance disappoints

Shares of US biotech major Amgen (Nasdaq: AMGN) dipped 2.43% to $187.45 in after-hours trading yesterday, when the company released its financial results for 2018.

For the full year, total revenues increased 4% to $23.7 billion, with 3% product sales growth. Generally accepted accounting principles (GAAP) earnings per share (EPS) increased to $3.01 in the fourth quarter and to $12.62 for the full year driven by higher total revenues, a lower tax rate as the prior year was impacted by US tax reform and lower weighted-average shares outstanding.

For the fourth quarter, total revenues increased 7% to $6.2 billion versus $5.84 billion, forecast by Refinitiv. For the fourth quarter, GAAP operating income increased 6% to $2.4 billion and GAAP operating margin decreased 0.6 percentage points to 39.7 %. For the full year, GAAP operating income increased 3% to $10.3 billion and GAAP operating margin decreased 0.3 percentage points to 45.5%. Earnings per share were $3.42, versus $3.27, forecast by Refinitiv US biotech major Amgen (Nasdaq: