Amgen 2013 Annual Report Download - page 45

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Forward-looking statements
This report and other documents we file with the SEC contain forward-looking statements that are based on current expectations, estimates, forecasts
and projections about us, our future performance, our business or others on our behalf, our beliefs and our management’s assumptions. In addition, we, or
others on our behalf, may make forward-looking statements in press releases or written statements, or in our communications and discussions with investors
and analysts in the normal course of business through meetings, webcasts, phone calls and conference calls. Such words as “expect,” “anticipate,” “outlook,”
“could,” “target,” “project,” “intend,” “plan,” “believe,” “seek,” “estimate,” “should,” “may,” “assume” and “continue,” as well as variations of such words
and similar expressions are intended to identify such forward-looking statements. These statements are not guarantees of future performance and involve
certain risks, uncertainties and assumptions that are difficult to predict. We describe our respective risks, uncertainties and assumptions that could affect the
outcome or results of operations in Item 1A. Risk Factors. We have based our forward-looking statements on our management’s beliefs and assumptions based
on information available to our management at the time the statements are made. We caution you that actual outcomes and results may differ materially from
what is expressed, implied or forecast by our forward-looking statements. Reference is made in particular to forward-looking statements regarding product
sales, regulatory activities, clinical trial results, reimbursement, expenses, earnings per share (EPS), liquidity and capital resources, trends and planned
dividends and stock repurchases. Except as required under the federal securities laws and the rules and regulations of the SEC, we do not have any intention
or obligation to update publicly any forward-looking statements after the distribution of this report, whether as a result of new information, future events,
changes in assumptions or otherwise.
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The following management’s discussion and analysis (MD&A) is intended to assist the reader in understanding Amgen’s business. MD&A is provided
as a supplement to, and should be read in conjunction with, our consolidated financial statements and accompanying notes. Our results of operations
discussed in MD&A are presented in conformity with accounting principles generally accepted in the United States (GAAP).
Amgen is committed to unlocking the potential of biology for patients suffering from serious illnesses by discovering, developing, manufacturing and
delivering innovative human therapeutics. This approach begins by using tools like advanced human genetics to unravel the complexities of disease and
understand the fundamentals of human biology.
Amgen focuses on areas of high unmet medical need and leverages its biologics manufacturing expertise to strive for solutions that improve health
outcomes and dramatically improve people's lives. A biotechnology pioneer since 1980, Amgen has grown to be the world's largest independent biotechnology
company, has reached millions of patients around the world and is developing a pipeline of medicines with breakaway potential. Amgen operates in one
business segment: human therapeutics. Therefore, our results of operations are discussed on a consolidated basis.
Our principal products include Neulasta ®, NEUPOGEN®, ENBREL, Aranesp®, EPOGEN®, XGEVA®, Prolia® and Sensipar®/Mimpara®. For
additional information about our products, see Item 1. Business — Marketing, Distribution and Selected Marketed Products.
Revenues increased 8% driven by strong performance across the portfolio. Product sales grew 10% in the United States and 8% in the rest of the world
(ROW). We also continued paying quarterly dividends in 2013, and in December 2013, we declared a dividend of $0.61 per share of common stock payable
in March 2014, representing a 30% increase over the quarterly dividend paid in each of the past four quarters. In addition to delivering strong operating results,
we invested heavily in the business in 2013 and that is reflected in our pipeline advancements. We had positive readouts for evolocumab, talimogene
laherparepvec and trebananib and also made progress on our biosimilars as we commenced pivotal trials for three of our six programs. We are now present in
more than 75 countries including Japan, China and other emerging markets. This expansion was helped, in part, by our reacquiring rights to filgrastim and
pegfilgrastim in Eastern Europe, Latin America, Asia, the Middle East and Africa, effective January 1, 2014. Finally, we added Kyprolis ® to our marketed
products portfolio through the acquisition of Onyx and in-licensed the U.S. commercial rights to ivabradine from Servier.
We expect 2014 to be a data-rich year with various opportunities to continue growing our business. We believe the currently approved indications for
XGEVA® and Prolia® represent significant commercial opportunities. Longer-term growth may also be achieved by the successful development of 10
innovative molecules in our later stage pipeline, including Kyprolis ® and evolocumab in both the United States and internationally. (See Item 1. Business
— Research and Development and Selected Product Candidates.) Additionally, longer-term growth may be achieved by continued expansion into emerging
markets and through strategic business development opportunities. Our continued focus on increasing cost efficiencies will assist in providing the necessary
resources to fund many of these future opportunities.
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