⚠ Commodity Economics in a Premium CompanyLow threat

Amgen (AMGN) — threat to the moat

Biosimilars add revenue at prices set by buyers and rivals, and a larger share of them would lower Amgen's average margin.

Biosimilars are a sensible business for a company that knows how to make biologics. They are also a different kind of business from the one that earns Amgen its margins. An original drug is priced on its value to patients; a biosimilar is priced below an original and then below its rivals.

Biosimilars as a share of total revenues (%)2.4%20198.4%20216.8%20238.2%2025Amgen results releases; calculated, 2019-2021 understated
About one dollar in twelve.

The cost shows in the trend. Amgen's biosimilar band fell from $2,177 million in 2021 to $1,831 million in 20221, about 16%2, as the cancer copies faced competition. It recovered only through new launches. The disclosed biosimilars inside other products grew just 2% in 20253.

Amgen does not report profit by product4, so the margin on this business is unknown. But the direction is clear from the company's own warning that multiple launches produce accelerated net price declines for both the reference and the biosimilar products5. A copy maker earns an original's margin only while it is alone.

The biosimilar business also adds to the rebate and chargeback lines that already take 54% of gross sales6. Selling to hospitals and benefit managers on price means paying discounts to get onto formularies.

The concern is dilution. If biosimilars grow as a share of revenue, from about 8.2% of total revenues in 20257, while Amgen's originals decline, the company's average margin will fall even if its sales hold. A rise above 12% of revenue without a matching rise in original drugs would mean Amgen is becoming a lower-margin company.

References
  1. Moat Explorer calcAmgen's biosimilar band fell from $2,177 million in 2021 to $1,831 million in 2022, about 16%, as the cancer copies faced competition.
    Moat Explorer calculation from Amgen's reported product sales and financial statements ($ millions unless stated). Sales deductions: 2019 rebates 6,825 + chargebacks 7,090 + other 1,292 = 15,207; 2025 21,697 + 16,988 + 3,298 = 41,983; 41,983 / 35,148 = 1.19 times net product sales; implied gross product sales 35,148 + 41,983 = 77,131. Growth 2019-2025: deductions 41,983 / 15,207 = 2.76 times; net product sales 35,148 / 22,204 = 1.58 times (up 58%); rebates 21,697 / 6,825 = 3.18 times; chargebacks 16,988 / 7,090 = 2.4 times. Wholesalers 2025 gross: 26,253 + 20,986 + 12,562 = 59,801; 59,801 / 36,751 = 1.63 times total revenues; McKesson 26,253 / 36,751 = 71%. ENBREL: 2,226 / 5,433 - 1 = -59%; share of product sales 5,226 / 22,204 = 23.5% (2019), 2,226 / 35,148 = 6.3% (2025). ENBREL + Otezla 2025: 2,226 + 2,265 = 4,491; 4,491 / 36,751 = 12%. Otezla sales 2020-2025: 2,195 + 2,249 + 2,288 + 2,188 + 2,126 + 2,265 = 13,311; impairment 1,200 / 13,400 = 9%. Horizon products: 2023 448 + 272 + 65 + 164 = 949; 2024 1,851 + 1,185 + 379 + 758 = 4,173; 2025 1,903 + 1,340 + 655 + 719 = 4,617, 4,617 / 27,800 = 16.6%; Q2 2026 576 + 400 + 335 + 149 = 1,460, x4 = 5,840. TEPEZZA + KRYSTEXXA 2025 1,903 + 1,340 = 3,243; KRYSTEXXA 1,340 / 1,185 - 1 = 13.1%; TEPEZZA 1,903 / 1,851 - 1 = 2.8%; UPLIZNA 655 / 379 - 1 = 72.8%; H1 2026 262 + 335 = 597; ultra-rare 719 / 758 - 1 = -5.1%; UPLIZNA + ultra-rare 655 + 719 = 1,374. TAVNEOS H1 2026 119 + 150 = 269. Acquisitions: 13.4 + 3.9 + 27.8 = 45.1 bn; acquired products 2025 2,265 + 459 + 4,617 = 7,341, 7,341 / 36,751 = 20%. Interest 2,755 / 9,080 = 30%. Net debt 30 June 2026: 57.3 - 13.989 = 43.3 bn. Goodwill + intangibles 18,680 + 22,276 = 40,956, 40,956 / 90,586 = 45%. EPS gap 21.84 - 14.23 = 7.61. R&D 7,272 / 4,784 - 1 = 52%; 7,272 / 36,751 = 19.8%. Growth drivers 2025: Repatha 3,016 + EVENITY 2,100 + TEZSPIRE 1,478 + BLINCYTO 1,559 = 8,153 (2024: 2,222 + 1,563 + 972 + 1,216 = 5,973; 2023: 1,635 + 1,160 + 567 + 861 = 4,223; 2021: 1,117 + 530 + 0 + 472 = 2,119; 2019: 661 + 189 + 0 + 312 = 1,162); 8,153 / 5,973 - 1 = 36.5%, about 37%; 8,153 / 36,751 = 22%. Repatha 3,016 / 661 = 4.6 times, 3,016 / 2,222 - 1 = 36%; EVENITY 2,100 / 189 = 11 times; BLINCYTO 1,559 / 312 = 5.0 times. KYPROLIS 1,412 / 1,503 - 1 = -6%; KYPROLIS + Nplate 1,412 + 1,524 = 2,936, 2,936 / 6,660 = 44%; BLINCYTO + IMDELLTRA 1,559 + 627 = 2,186; Q2 2026 472 + 288 = 760. IMDELLTRA run rate 288 x 4 = 1,152, 1,152 / 6,498 = 18%. Biosimilars: 2025 AMJEVITA 597 + PAVBLU 700 + WEZLANA 273 + MVASI 771 + in other products 683 = 3,024; 3,024 / 35,148 = 8.6% of product sales; 3,024 / 36,751 = 8.2% of total revenues; PAVBLU 700 / 3,024 = 23%; AMJEVITA 597 / 761 - 1 = -22%; band 2022 1,831 / 2,177 - 1 = -16%; in other products 683 / 667 - 1 = 2%; WEZLANA and other biosimilars added (273 - 27) + (683 - 667) = 262; Q2 2026 155 + 287 + 61 + 153 + 199 = 855; Q2 2025 133 + 130 + 35 + 191 + 172 = 661; 855 / 661 - 1 = 29%; shares of total revenues 568 / 23,362 = 2.4% (2019), 2,177 / 25,979 = 8.4% (2021), 1,916 / 28,190 = 6.8% (2023). Bands 2025: general medicine and bone 3,016 + 2,100 + 4,414 + 2,084 = 11,614 (31.6%); inflammation and rare disease 2,226 + 2,265 + 1,478 + 1,903 + 1,340 + 655 + 459 + 719 = 11,045 (30.1%); oncology 1,559 + 627 + 1,175 + 1,412 + 363 + 1,524 = 6,660 (18.1%); biosimilars 3,024 (8.2%); established and other 1,389 + 435 + 353 + (1,311 - 683 = 628) + 1,603 = 4,408 (12.0%); total 36,751. 2019 bands 5,457; 5,404; 2,895; 568; 9,038; total 23,362. General medicine 11,614 / 5,457 = 2.1 times, 11,614 / 10,384 - 1 = 11.8%; inflammation 2020 7,191, 2024 10,870 / 7,535 - 1 = 44%, 2025 11,045 / 10,870 - 1 = 1.6%, non-ENBREL-Otezla 11,045 - 4,491 = 6,554; oncology 6,660 / 2,895 = 2.3 times, 6,660 / 5,685 - 1 = 17.2%; established 4,408 / 9,038 = 0.49. Q2 bands 2026 vs 2025: general medicine 953 + 714 + 759 + 352 = 2,778 vs 696 + 518 + 1,122 + 532 = 2,868, down 3%; Repatha + EVENITY 1,667 vs 1,214; denosumab 1,111 vs 1,654, down 33%; inflammation 3,167 vs 604 + 618 + 342 + 505 + 349 + 176 + 110 + 183 = 2,887, up 9.7%; oncology 1,953 vs 384 + 134 + 305 + 378 + 90 + 369 = 1,660, up 17.7%; established and other 632 + (351 - 199) + 517 = 1,301 vs 359 + 82 + 92 + (334 - 172) + 408 = 1,103, up 18%. Denosumab 2025 4,414 + 2,084 = 6,498, 6,498 / 36,751 = 17.7%; Q1 2026 727 + 411 = 1,138; H1 2026 1,486 + 763 = 2,249 vs 2,221 + 1,098 = 3,319. Neulasta 435 / 4,534 - 1 = -90%. Geography: US 25,656 / 35,148 = 73%; rest of world 9,492 / 35,148 = 27.0%; Q2 2026 2,547 / 9,537 = 26.7%; AMJEVITA 129 / 155 = 83.2%; Aranesp 258 / 352 = 73.3%; ENBREL 6 / 580 = 1.0%. Novartis-facing 2025 3,016 + 2,265 + 2,226 + 1,524 + 1,478 = 10,509, 10,509 / 36,751 = 29%. Other revenues 1,603 / 36,751 = 4.4%. Receivables 9,570 / 6,782 - 1 = 41%. Guidance midpoints: (37.0 + 38.4) / 2 = 37.7; (37.1 + 38.5) / 2 = 37.8; (38.2 + 39.4) / 2 = 38.8; non-GAAP EPS (22.30 + 23.50) / 2 = 22.90. IRS: 3.6 + 5.1 + 2.0 = 10.7 bn before interest; offsets 0.9 + 2.2 = 3.1 bn; 10.7 / 7.711 = 1.4 times 2025 net income; 10.7 / 224.15 = 4.8% of market value. Trailing free cash flow 8,100 - 2,891 + 4,966 = 10,175; 10,175 / 224,150 = 4.5%. Shares 538.8 / 629.6 - 1 = -14%. Gross margin (total revenues - cost of sales) / total revenues: (28,190 - 8,451) / 28,190 = 70.0% (2023); (33,424 - 12,858) / 33,424 = 61.5% (2024); (36,751 - 12,037) / 36,751 = 67.2% (2025). Pre-tax income 2025 7,711 + 1,265 = 8,976. Total revenues 36,751 / 21,662 = 1.70 times 2015. Market value 224.15 / 176.25 - 1 = 27% in 2026; added 224.15 - 176.25 = 47.9 bn against 176.25 - 122.45 = 53.8 bn in 2015-2025. Trailing net income 7,711 - 3,162 + 4,194 = 8,743; trailing revenue 36,751 - 17,328 + 18,672 = 38,095 - revenue bands, biosimilars and denosumab. — 2015-2026 · publ. September 2026 · source ↗
    Method: Arithmetic on figures reported in Amgen's Forms 10-K, 10-Q, results releases and market data; operands shown in the source line.
  2. Moat Explorer calcAmgen's biosimilar band fell from $2,177 million in 2021 to $1,831 million in 2022, about 16%, as the cancer copies faced competition.
    Moat Explorer calculation from Amgen's reported product sales and financial statements ($ millions unless stated). Sales deductions: 2019 rebates 6,825 + chargebacks 7,090 + other 1,292 = 15,207; 2025 21,697 + 16,988 + 3,298 = 41,983; 41,983 / 35,148 = 1.19 times net product sales; implied gross product sales 35,148 + 41,983 = 77,131. Growth 2019-2025: deductions 41,983 / 15,207 = 2.76 times; net product sales 35,148 / 22,204 = 1.58 times (up 58%); rebates 21,697 / 6,825 = 3.18 times; chargebacks 16,988 / 7,090 = 2.4 times. Wholesalers 2025 gross: 26,253 + 20,986 + 12,562 = 59,801; 59,801 / 36,751 = 1.63 times total revenues; McKesson 26,253 / 36,751 = 71%. ENBREL: 2,226 / 5,433 - 1 = -59%; share of product sales 5,226 / 22,204 = 23.5% (2019), 2,226 / 35,148 = 6.3% (2025). ENBREL + Otezla 2025: 2,226 + 2,265 = 4,491; 4,491 / 36,751 = 12%. Otezla sales 2020-2025: 2,195 + 2,249 + 2,288 + 2,188 + 2,126 + 2,265 = 13,311; impairment 1,200 / 13,400 = 9%. Horizon products: 2023 448 + 272 + 65 + 164 = 949; 2024 1,851 + 1,185 + 379 + 758 = 4,173; 2025 1,903 + 1,340 + 655 + 719 = 4,617, 4,617 / 27,800 = 16.6%; Q2 2026 576 + 400 + 335 + 149 = 1,460, x4 = 5,840. TEPEZZA + KRYSTEXXA 2025 1,903 + 1,340 = 3,243; KRYSTEXXA 1,340 / 1,185 - 1 = 13.1%; TEPEZZA 1,903 / 1,851 - 1 = 2.8%; UPLIZNA 655 / 379 - 1 = 72.8%; H1 2026 262 + 335 = 597; ultra-rare 719 / 758 - 1 = -5.1%; UPLIZNA + ultra-rare 655 + 719 = 1,374. TAVNEOS H1 2026 119 + 150 = 269. Acquisitions: 13.4 + 3.9 + 27.8 = 45.1 bn; acquired products 2025 2,265 + 459 + 4,617 = 7,341, 7,341 / 36,751 = 20%. Interest 2,755 / 9,080 = 30%. Net debt 30 June 2026: 57.3 - 13.989 = 43.3 bn. Goodwill + intangibles 18,680 + 22,276 = 40,956, 40,956 / 90,586 = 45%. EPS gap 21.84 - 14.23 = 7.61. R&D 7,272 / 4,784 - 1 = 52%; 7,272 / 36,751 = 19.8%. Growth drivers 2025: Repatha 3,016 + EVENITY 2,100 + TEZSPIRE 1,478 + BLINCYTO 1,559 = 8,153 (2024: 2,222 + 1,563 + 972 + 1,216 = 5,973; 2023: 1,635 + 1,160 + 567 + 861 = 4,223; 2021: 1,117 + 530 + 0 + 472 = 2,119; 2019: 661 + 189 + 0 + 312 = 1,162); 8,153 / 5,973 - 1 = 36.5%, about 37%; 8,153 / 36,751 = 22%. Repatha 3,016 / 661 = 4.6 times, 3,016 / 2,222 - 1 = 36%; EVENITY 2,100 / 189 = 11 times; BLINCYTO 1,559 / 312 = 5.0 times. KYPROLIS 1,412 / 1,503 - 1 = -6%; KYPROLIS + Nplate 1,412 + 1,524 = 2,936, 2,936 / 6,660 = 44%; BLINCYTO + IMDELLTRA 1,559 + 627 = 2,186; Q2 2026 472 + 288 = 760. IMDELLTRA run rate 288 x 4 = 1,152, 1,152 / 6,498 = 18%. Biosimilars: 2025 AMJEVITA 597 + PAVBLU 700 + WEZLANA 273 + MVASI 771 + in other products 683 = 3,024; 3,024 / 35,148 = 8.6% of product sales; 3,024 / 36,751 = 8.2% of total revenues; PAVBLU 700 / 3,024 = 23%; AMJEVITA 597 / 761 - 1 = -22%; band 2022 1,831 / 2,177 - 1 = -16%; in other products 683 / 667 - 1 = 2%; WEZLANA and other biosimilars added (273 - 27) + (683 - 667) = 262; Q2 2026 155 + 287 + 61 + 153 + 199 = 855; Q2 2025 133 + 130 + 35 + 191 + 172 = 661; 855 / 661 - 1 = 29%; shares of total revenues 568 / 23,362 = 2.4% (2019), 2,177 / 25,979 = 8.4% (2021), 1,916 / 28,190 = 6.8% (2023). Bands 2025: general medicine and bone 3,016 + 2,100 + 4,414 + 2,084 = 11,614 (31.6%); inflammation and rare disease 2,226 + 2,265 + 1,478 + 1,903 + 1,340 + 655 + 459 + 719 = 11,045 (30.1%); oncology 1,559 + 627 + 1,175 + 1,412 + 363 + 1,524 = 6,660 (18.1%); biosimilars 3,024 (8.2%); established and other 1,389 + 435 + 353 + (1,311 - 683 = 628) + 1,603 = 4,408 (12.0%); total 36,751. 2019 bands 5,457; 5,404; 2,895; 568; 9,038; total 23,362. General medicine 11,614 / 5,457 = 2.1 times, 11,614 / 10,384 - 1 = 11.8%; inflammation 2020 7,191, 2024 10,870 / 7,535 - 1 = 44%, 2025 11,045 / 10,870 - 1 = 1.6%, non-ENBREL-Otezla 11,045 - 4,491 = 6,554; oncology 6,660 / 2,895 = 2.3 times, 6,660 / 5,685 - 1 = 17.2%; established 4,408 / 9,038 = 0.49. Q2 bands 2026 vs 2025: general medicine 953 + 714 + 759 + 352 = 2,778 vs 696 + 518 + 1,122 + 532 = 2,868, down 3%; Repatha + EVENITY 1,667 vs 1,214; denosumab 1,111 vs 1,654, down 33%; inflammation 3,167 vs 604 + 618 + 342 + 505 + 349 + 176 + 110 + 183 = 2,887, up 9.7%; oncology 1,953 vs 384 + 134 + 305 + 378 + 90 + 369 = 1,660, up 17.7%; established and other 632 + (351 - 199) + 517 = 1,301 vs 359 + 82 + 92 + (334 - 172) + 408 = 1,103, up 18%. Denosumab 2025 4,414 + 2,084 = 6,498, 6,498 / 36,751 = 17.7%; Q1 2026 727 + 411 = 1,138; H1 2026 1,486 + 763 = 2,249 vs 2,221 + 1,098 = 3,319. Neulasta 435 / 4,534 - 1 = -90%. Geography: US 25,656 / 35,148 = 73%; rest of world 9,492 / 35,148 = 27.0%; Q2 2026 2,547 / 9,537 = 26.7%; AMJEVITA 129 / 155 = 83.2%; Aranesp 258 / 352 = 73.3%; ENBREL 6 / 580 = 1.0%. Novartis-facing 2025 3,016 + 2,265 + 2,226 + 1,524 + 1,478 = 10,509, 10,509 / 36,751 = 29%. Other revenues 1,603 / 36,751 = 4.4%. Receivables 9,570 / 6,782 - 1 = 41%. Guidance midpoints: (37.0 + 38.4) / 2 = 37.7; (37.1 + 38.5) / 2 = 37.8; (38.2 + 39.4) / 2 = 38.8; non-GAAP EPS (22.30 + 23.50) / 2 = 22.90. IRS: 3.6 + 5.1 + 2.0 = 10.7 bn before interest; offsets 0.9 + 2.2 = 3.1 bn; 10.7 / 7.711 = 1.4 times 2025 net income; 10.7 / 224.15 = 4.8% of market value. Trailing free cash flow 8,100 - 2,891 + 4,966 = 10,175; 10,175 / 224,150 = 4.5%. Shares 538.8 / 629.6 - 1 = -14%. Gross margin (total revenues - cost of sales) / total revenues: (28,190 - 8,451) / 28,190 = 70.0% (2023); (33,424 - 12,858) / 33,424 = 61.5% (2024); (36,751 - 12,037) / 36,751 = 67.2% (2025). Pre-tax income 2025 7,711 + 1,265 = 8,976. Total revenues 36,751 / 21,662 = 1.70 times 2015. Market value 224.15 / 176.25 - 1 = 27% in 2026; added 224.15 - 176.25 = 47.9 bn against 176.25 - 122.45 = 53.8 bn in 2015-2025. Trailing net income 7,711 - 3,162 + 4,194 = 8,743; trailing revenue 36,751 - 17,328 + 18,672 = 38,095 - revenue bands, biosimilars and denosumab. — 2015-2026 · publ. September 2026 · source ↗
    Method: Arithmetic on figures reported in Amgen's Forms 10-K, 10-Q, results releases and market data; operands shown in the source line.
  3. Moat Explorer calcThe disclosed biosimilars inside other products grew just 2% in 2025.
    Moat Explorer calculation from Amgen's reported product sales and financial statements ($ millions unless stated). Sales deductions: 2019 rebates 6,825 + chargebacks 7,090 + other 1,292 = 15,207; 2025 21,697 + 16,988 + 3,298 = 41,983; 41,983 / 35,148 = 1.19 times net product sales; implied gross product sales 35,148 + 41,983 = 77,131. Growth 2019-2025: deductions 41,983 / 15,207 = 2.76 times; net product sales 35,148 / 22,204 = 1.58 times (up 58%); rebates 21,697 / 6,825 = 3.18 times; chargebacks 16,988 / 7,090 = 2.4 times. Wholesalers 2025 gross: 26,253 + 20,986 + 12,562 = 59,801; 59,801 / 36,751 = 1.63 times total revenues; McKesson 26,253 / 36,751 = 71%. ENBREL: 2,226 / 5,433 - 1 = -59%; share of product sales 5,226 / 22,204 = 23.5% (2019), 2,226 / 35,148 = 6.3% (2025). ENBREL + Otezla 2025: 2,226 + 2,265 = 4,491; 4,491 / 36,751 = 12%. Otezla sales 2020-2025: 2,195 + 2,249 + 2,288 + 2,188 + 2,126 + 2,265 = 13,311; impairment 1,200 / 13,400 = 9%. Horizon products: 2023 448 + 272 + 65 + 164 = 949; 2024 1,851 + 1,185 + 379 + 758 = 4,173; 2025 1,903 + 1,340 + 655 + 719 = 4,617, 4,617 / 27,800 = 16.6%; Q2 2026 576 + 400 + 335 + 149 = 1,460, x4 = 5,840. TEPEZZA + KRYSTEXXA 2025 1,903 + 1,340 = 3,243; KRYSTEXXA 1,340 / 1,185 - 1 = 13.1%; TEPEZZA 1,903 / 1,851 - 1 = 2.8%; UPLIZNA 655 / 379 - 1 = 72.8%; H1 2026 262 + 335 = 597; ultra-rare 719 / 758 - 1 = -5.1%; UPLIZNA + ultra-rare 655 + 719 = 1,374. TAVNEOS H1 2026 119 + 150 = 269. Acquisitions: 13.4 + 3.9 + 27.8 = 45.1 bn; acquired products 2025 2,265 + 459 + 4,617 = 7,341, 7,341 / 36,751 = 20%. Interest 2,755 / 9,080 = 30%. Net debt 30 June 2026: 57.3 - 13.989 = 43.3 bn. Goodwill + intangibles 18,680 + 22,276 = 40,956, 40,956 / 90,586 = 45%. EPS gap 21.84 - 14.23 = 7.61. R&D 7,272 / 4,784 - 1 = 52%; 7,272 / 36,751 = 19.8%. Growth drivers 2025: Repatha 3,016 + EVENITY 2,100 + TEZSPIRE 1,478 + BLINCYTO 1,559 = 8,153 (2024: 2,222 + 1,563 + 972 + 1,216 = 5,973; 2023: 1,635 + 1,160 + 567 + 861 = 4,223; 2021: 1,117 + 530 + 0 + 472 = 2,119; 2019: 661 + 189 + 0 + 312 = 1,162); 8,153 / 5,973 - 1 = 36.5%, about 37%; 8,153 / 36,751 = 22%. Repatha 3,016 / 661 = 4.6 times, 3,016 / 2,222 - 1 = 36%; EVENITY 2,100 / 189 = 11 times; BLINCYTO 1,559 / 312 = 5.0 times. KYPROLIS 1,412 / 1,503 - 1 = -6%; KYPROLIS + Nplate 1,412 + 1,524 = 2,936, 2,936 / 6,660 = 44%; BLINCYTO + IMDELLTRA 1,559 + 627 = 2,186; Q2 2026 472 + 288 = 760. IMDELLTRA run rate 288 x 4 = 1,152, 1,152 / 6,498 = 18%. Biosimilars: 2025 AMJEVITA 597 + PAVBLU 700 + WEZLANA 273 + MVASI 771 + in other products 683 = 3,024; 3,024 / 35,148 = 8.6% of product sales; 3,024 / 36,751 = 8.2% of total revenues; PAVBLU 700 / 3,024 = 23%; AMJEVITA 597 / 761 - 1 = -22%; band 2022 1,831 / 2,177 - 1 = -16%; in other products 683 / 667 - 1 = 2%; WEZLANA and other biosimilars added (273 - 27) + (683 - 667) = 262; Q2 2026 155 + 287 + 61 + 153 + 199 = 855; Q2 2025 133 + 130 + 35 + 191 + 172 = 661; 855 / 661 - 1 = 29%; shares of total revenues 568 / 23,362 = 2.4% (2019), 2,177 / 25,979 = 8.4% (2021), 1,916 / 28,190 = 6.8% (2023). Bands 2025: general medicine and bone 3,016 + 2,100 + 4,414 + 2,084 = 11,614 (31.6%); inflammation and rare disease 2,226 + 2,265 + 1,478 + 1,903 + 1,340 + 655 + 459 + 719 = 11,045 (30.1%); oncology 1,559 + 627 + 1,175 + 1,412 + 363 + 1,524 = 6,660 (18.1%); biosimilars 3,024 (8.2%); established and other 1,389 + 435 + 353 + (1,311 - 683 = 628) + 1,603 = 4,408 (12.0%); total 36,751. 2019 bands 5,457; 5,404; 2,895; 568; 9,038; total 23,362. General medicine 11,614 / 5,457 = 2.1 times, 11,614 / 10,384 - 1 = 11.8%; inflammation 2020 7,191, 2024 10,870 / 7,535 - 1 = 44%, 2025 11,045 / 10,870 - 1 = 1.6%, non-ENBREL-Otezla 11,045 - 4,491 = 6,554; oncology 6,660 / 2,895 = 2.3 times, 6,660 / 5,685 - 1 = 17.2%; established 4,408 / 9,038 = 0.49. Q2 bands 2026 vs 2025: general medicine 953 + 714 + 759 + 352 = 2,778 vs 696 + 518 + 1,122 + 532 = 2,868, down 3%; Repatha + EVENITY 1,667 vs 1,214; denosumab 1,111 vs 1,654, down 33%; inflammation 3,167 vs 604 + 618 + 342 + 505 + 349 + 176 + 110 + 183 = 2,887, up 9.7%; oncology 1,953 vs 384 + 134 + 305 + 378 + 90 + 369 = 1,660, up 17.7%; established and other 632 + (351 - 199) + 517 = 1,301 vs 359 + 82 + 92 + (334 - 172) + 408 = 1,103, up 18%. Denosumab 2025 4,414 + 2,084 = 6,498, 6,498 / 36,751 = 17.7%; Q1 2026 727 + 411 = 1,138; H1 2026 1,486 + 763 = 2,249 vs 2,221 + 1,098 = 3,319. Neulasta 435 / 4,534 - 1 = -90%. Geography: US 25,656 / 35,148 = 73%; rest of world 9,492 / 35,148 = 27.0%; Q2 2026 2,547 / 9,537 = 26.7%; AMJEVITA 129 / 155 = 83.2%; Aranesp 258 / 352 = 73.3%; ENBREL 6 / 580 = 1.0%. Novartis-facing 2025 3,016 + 2,265 + 2,226 + 1,524 + 1,478 = 10,509, 10,509 / 36,751 = 29%. Other revenues 1,603 / 36,751 = 4.4%. Receivables 9,570 / 6,782 - 1 = 41%. Guidance midpoints: (37.0 + 38.4) / 2 = 37.7; (37.1 + 38.5) / 2 = 37.8; (38.2 + 39.4) / 2 = 38.8; non-GAAP EPS (22.30 + 23.50) / 2 = 22.90. IRS: 3.6 + 5.1 + 2.0 = 10.7 bn before interest; offsets 0.9 + 2.2 = 3.1 bn; 10.7 / 7.711 = 1.4 times 2025 net income; 10.7 / 224.15 = 4.8% of market value. Trailing free cash flow 8,100 - 2,891 + 4,966 = 10,175; 10,175 / 224,150 = 4.5%. Shares 538.8 / 629.6 - 1 = -14%. Gross margin (total revenues - cost of sales) / total revenues: (28,190 - 8,451) / 28,190 = 70.0% (2023); (33,424 - 12,858) / 33,424 = 61.5% (2024); (36,751 - 12,037) / 36,751 = 67.2% (2025). Pre-tax income 2025 7,711 + 1,265 = 8,976. Total revenues 36,751 / 21,662 = 1.70 times 2015. Market value 224.15 / 176.25 - 1 = 27% in 2026; added 224.15 - 176.25 = 47.9 bn against 176.25 - 122.45 = 53.8 bn in 2015-2025. Trailing net income 7,711 - 3,162 + 4,194 = 8,743; trailing revenue 36,751 - 17,328 + 18,672 = 38,095 - revenue bands, biosimilars and denosumab. — 2015-2026 · publ. September 2026 · source ↗
    Method: Arithmetic on figures reported in Amgen's Forms 10-K, 10-Q, results releases and market data; operands shown in the source line.
  4. ReportedAmgen does not report profit by product, so the margin on this business is unknown.
    Amgen Form 10-K for fiscal 2025 - Item 1 business: products, collaborations, staff and pipeline. — FY2025 · publ. 13 February 2026 · source ↗
  5. ReportedBut the direction is clear from the company's own warning that multiple launches produce accelerated net price declines for both the reference and the biosimilar products.
    Amgen Form 10-K for fiscal 2025 - Item 1 patents, biosimilars and competitors. — FY2025 · publ. 13 February 2026 · source ↗
  6. ReportedThe biosimilar business also adds to the rebate and chargeback lines that already take 54% of gross sales.
    Amgen Form 10-K for fiscal 2025 - Item 1 patents, biosimilars and competitors. — FY2025 · publ. 13 February 2026 · source ↗
  7. Moat Explorer calcIf biosimilars grow as a share of revenue, from about 8.2% of total revenues in 2025, while Amgen's originals decline, the company's average margin will fall even if its sales hold.
    Moat Explorer calculation from Amgen's reported product sales and financial statements ($ millions unless stated). Sales deductions: 2019 rebates 6,825 + chargebacks 7,090 + other 1,292 = 15,207; 2025 21,697 + 16,988 + 3,298 = 41,983; 41,983 / 35,148 = 1.19 times net product sales; implied gross product sales 35,148 + 41,983 = 77,131. Growth 2019-2025: deductions 41,983 / 15,207 = 2.76 times; net product sales 35,148 / 22,204 = 1.58 times (up 58%); rebates 21,697 / 6,825 = 3.18 times; chargebacks 16,988 / 7,090 = 2.4 times. Wholesalers 2025 gross: 26,253 + 20,986 + 12,562 = 59,801; 59,801 / 36,751 = 1.63 times total revenues; McKesson 26,253 / 36,751 = 71%. ENBREL: 2,226 / 5,433 - 1 = -59%; share of product sales 5,226 / 22,204 = 23.5% (2019), 2,226 / 35,148 = 6.3% (2025). ENBREL + Otezla 2025: 2,226 + 2,265 = 4,491; 4,491 / 36,751 = 12%. Otezla sales 2020-2025: 2,195 + 2,249 + 2,288 + 2,188 + 2,126 + 2,265 = 13,311; impairment 1,200 / 13,400 = 9%. Horizon products: 2023 448 + 272 + 65 + 164 = 949; 2024 1,851 + 1,185 + 379 + 758 = 4,173; 2025 1,903 + 1,340 + 655 + 719 = 4,617, 4,617 / 27,800 = 16.6%; Q2 2026 576 + 400 + 335 + 149 = 1,460, x4 = 5,840. TEPEZZA + KRYSTEXXA 2025 1,903 + 1,340 = 3,243; KRYSTEXXA 1,340 / 1,185 - 1 = 13.1%; TEPEZZA 1,903 / 1,851 - 1 = 2.8%; UPLIZNA 655 / 379 - 1 = 72.8%; H1 2026 262 + 335 = 597; ultra-rare 719 / 758 - 1 = -5.1%; UPLIZNA + ultra-rare 655 + 719 = 1,374. TAVNEOS H1 2026 119 + 150 = 269. Acquisitions: 13.4 + 3.9 + 27.8 = 45.1 bn; acquired products 2025 2,265 + 459 + 4,617 = 7,341, 7,341 / 36,751 = 20%. Interest 2,755 / 9,080 = 30%. Net debt 30 June 2026: 57.3 - 13.989 = 43.3 bn. Goodwill + intangibles 18,680 + 22,276 = 40,956, 40,956 / 90,586 = 45%. EPS gap 21.84 - 14.23 = 7.61. R&D 7,272 / 4,784 - 1 = 52%; 7,272 / 36,751 = 19.8%. Growth drivers 2025: Repatha 3,016 + EVENITY 2,100 + TEZSPIRE 1,478 + BLINCYTO 1,559 = 8,153 (2024: 2,222 + 1,563 + 972 + 1,216 = 5,973; 2023: 1,635 + 1,160 + 567 + 861 = 4,223; 2021: 1,117 + 530 + 0 + 472 = 2,119; 2019: 661 + 189 + 0 + 312 = 1,162); 8,153 / 5,973 - 1 = 36.5%, about 37%; 8,153 / 36,751 = 22%. Repatha 3,016 / 661 = 4.6 times, 3,016 / 2,222 - 1 = 36%; EVENITY 2,100 / 189 = 11 times; BLINCYTO 1,559 / 312 = 5.0 times. KYPROLIS 1,412 / 1,503 - 1 = -6%; KYPROLIS + Nplate 1,412 + 1,524 = 2,936, 2,936 / 6,660 = 44%; BLINCYTO + IMDELLTRA 1,559 + 627 = 2,186; Q2 2026 472 + 288 = 760. IMDELLTRA run rate 288 x 4 = 1,152, 1,152 / 6,498 = 18%. Biosimilars: 2025 AMJEVITA 597 + PAVBLU 700 + WEZLANA 273 + MVASI 771 + in other products 683 = 3,024; 3,024 / 35,148 = 8.6% of product sales; 3,024 / 36,751 = 8.2% of total revenues; PAVBLU 700 / 3,024 = 23%; AMJEVITA 597 / 761 - 1 = -22%; band 2022 1,831 / 2,177 - 1 = -16%; in other products 683 / 667 - 1 = 2%; WEZLANA and other biosimilars added (273 - 27) + (683 - 667) = 262; Q2 2026 155 + 287 + 61 + 153 + 199 = 855; Q2 2025 133 + 130 + 35 + 191 + 172 = 661; 855 / 661 - 1 = 29%; shares of total revenues 568 / 23,362 = 2.4% (2019), 2,177 / 25,979 = 8.4% (2021), 1,916 / 28,190 = 6.8% (2023). Bands 2025: general medicine and bone 3,016 + 2,100 + 4,414 + 2,084 = 11,614 (31.6%); inflammation and rare disease 2,226 + 2,265 + 1,478 + 1,903 + 1,340 + 655 + 459 + 719 = 11,045 (30.1%); oncology 1,559 + 627 + 1,175 + 1,412 + 363 + 1,524 = 6,660 (18.1%); biosimilars 3,024 (8.2%); established and other 1,389 + 435 + 353 + (1,311 - 683 = 628) + 1,603 = 4,408 (12.0%); total 36,751. 2019 bands 5,457; 5,404; 2,895; 568; 9,038; total 23,362. General medicine 11,614 / 5,457 = 2.1 times, 11,614 / 10,384 - 1 = 11.8%; inflammation 2020 7,191, 2024 10,870 / 7,535 - 1 = 44%, 2025 11,045 / 10,870 - 1 = 1.6%, non-ENBREL-Otezla 11,045 - 4,491 = 6,554; oncology 6,660 / 2,895 = 2.3 times, 6,660 / 5,685 - 1 = 17.2%; established 4,408 / 9,038 = 0.49. Q2 bands 2026 vs 2025: general medicine 953 + 714 + 759 + 352 = 2,778 vs 696 + 518 + 1,122 + 532 = 2,868, down 3%; Repatha + EVENITY 1,667 vs 1,214; denosumab 1,111 vs 1,654, down 33%; inflammation 3,167 vs 604 + 618 + 342 + 505 + 349 + 176 + 110 + 183 = 2,887, up 9.7%; oncology 1,953 vs 384 + 134 + 305 + 378 + 90 + 369 = 1,660, up 17.7%; established and other 632 + (351 - 199) + 517 = 1,301 vs 359 + 82 + 92 + (334 - 172) + 408 = 1,103, up 18%. Denosumab 2025 4,414 + 2,084 = 6,498, 6,498 / 36,751 = 17.7%; Q1 2026 727 + 411 = 1,138; H1 2026 1,486 + 763 = 2,249 vs 2,221 + 1,098 = 3,319. Neulasta 435 / 4,534 - 1 = -90%. Geography: US 25,656 / 35,148 = 73%; rest of world 9,492 / 35,148 = 27.0%; Q2 2026 2,547 / 9,537 = 26.7%; AMJEVITA 129 / 155 = 83.2%; Aranesp 258 / 352 = 73.3%; ENBREL 6 / 580 = 1.0%. Novartis-facing 2025 3,016 + 2,265 + 2,226 + 1,524 + 1,478 = 10,509, 10,509 / 36,751 = 29%. Other revenues 1,603 / 36,751 = 4.4%. Receivables 9,570 / 6,782 - 1 = 41%. Guidance midpoints: (37.0 + 38.4) / 2 = 37.7; (37.1 + 38.5) / 2 = 37.8; (38.2 + 39.4) / 2 = 38.8; non-GAAP EPS (22.30 + 23.50) / 2 = 22.90. IRS: 3.6 + 5.1 + 2.0 = 10.7 bn before interest; offsets 0.9 + 2.2 = 3.1 bn; 10.7 / 7.711 = 1.4 times 2025 net income; 10.7 / 224.15 = 4.8% of market value. Trailing free cash flow 8,100 - 2,891 + 4,966 = 10,175; 10,175 / 224,150 = 4.5%. Shares 538.8 / 629.6 - 1 = -14%. Gross margin (total revenues - cost of sales) / total revenues: (28,190 - 8,451) / 28,190 = 70.0% (2023); (33,424 - 12,858) / 33,424 = 61.5% (2024); (36,751 - 12,037) / 36,751 = 67.2% (2025). Pre-tax income 2025 7,711 + 1,265 = 8,976. Total revenues 36,751 / 21,662 = 1.70 times 2015. Market value 224.15 / 176.25 - 1 = 27% in 2026; added 224.15 - 176.25 = 47.9 bn against 176.25 - 122.45 = 53.8 bn in 2015-2025. Trailing net income 7,711 - 3,162 + 4,194 = 8,743; trailing revenue 36,751 - 17,328 + 18,672 = 38,095 - revenue bands, biosimilars and denosumab. — 2015-2026 · publ. September 2026 · source ↗
    Method: Arithmetic on figures reported in Amgen's Forms 10-K, 10-Q, results releases and market data; operands shown in the source line.
Sources
Generated September 28, 2026