Amgen Earnings Reveal Biosimilar Impact and Government Price Controls
Amgen's second-quarter 2026 results reflect a pharmaceutical market in transition. The Thousand Oaks, California-based biotech firm reported total revenues of $10.1 billion in Q2 2026, up 10% year-over-year. Product sales grew 9%, driven by volume growth, while GAAP diluted earnings per share rose 65% to $4.37, and non-GAAP diluted EPS increased a more modest 4% to $6.29.
The numbers show what biosimilar entry looks like at scale. Prolia posted a 32% year-over-year sales decline, and XGEVA fell 34%, both attributed to lower volume and lower net selling prices as multiple biosimilars launched globally. Amgen said more entrants are expected.
The Inflation Reduction Act's Medicare Part D price-setting mechanism is now operational for the first time. The IRA's Medicare Drug Price Negotiation Program set Maximum Fair Prices for ten high-expenditure Part D drugs in 2026, which was the first negotiated prices in the program's history, according to the Centers for Medicare and Medicaid Services.