Amgen 4th-qtr net profit plunges 16% but sales up; gets boost from fiscal cliff legislation

USA-based Amgen (Nasdaq: AMGN), the world's largest biotechnology firm, posted financials after markets closed yesterday showing that, for the fourth quarter of 2012, net income fell 16% to $788 million from the prior-year period, as higher costs for production, marketing, research and other items offset higher sales for many of its biologic medicines. Total revenues increased 11% to $4.42 billion, with product sales growing at the same rate. Adjusted earnings per share grew 16% to $1.40 due to 11% adjusted operating income growth and lower shares outstanding.

For the full year, total revenues increased 11% to $17.27 billion, with 9% product sales growth driven by strong performance across the portfolio. Adjusted EPS grew 22% to $6.51 due to 15% adjusted operating income growth and lower shares outstanding. GAAP EPS was $1.01 in the fourth quarter compared to $1.08 a year ago, and $5.52 for the full year compared to $4.04 in 2011. Full year 2011 was negatively impacted by a previously disclosed charge for a legal settlement reserve.