Amgen (AMGN) reported that third-quarter 2026 revenue rose 8% year over year to $10.4 billion and GAAP operating margin widened 9.9 percentage points year over year to 37.5%, even as revenue growth cooled from the prior quarter’s pace.

Total revenues increased 8% to $10.4 billion from a year earlier, after a 10% increase to $10.1 billion in the second quarter. Product sales grew 8%, which the company said was driven by volume growth. GAAP earnings per share rose 19% from $5.93 to $7.08, which the company attributed to higher revenues. GAAP operating income increased from $2.5 billion to $3.7 billion.

Non-GAAP results told a different margin story. Non-GAAP EPS increased 14% from $5.64 to $6.45, primarily from higher revenues, partially offset by higher operating expenses. Non-GAAP operating income rose from $4.3 billion to $4.7 billion, and non-GAAP operating margin increased 0.2 percentage points year over year to 47.3%, compared with a 0.5-point year-over-year decline to 48.4% in the second quarter.

On a GAAP basis, total operating expenses decreased 5% year-over-year. Cost of sales as a percentage of product sales fell 5.5 percentage points, which the company said was driven by lower amortization from acquisition-related assets and lower manufacturing costs, partially offset by higher profit share expense and sales-mix changes. Research and development expenses increased 11%, which the company said reflected higher spend in research and early pipeline, including business development. Other operating expenses were $76 million. The GAAP tax rate decreased 0.5 percentage points to 17.5%.

On a non-GAAP basis, total operating expenses increased 8%. Non-GAAP cost of sales as a percentage of product sales rose 1.1 percentage points to 19.3%. The non-GAAP tax rate decreased 2.3 percentage points to 15.9%.

Seventeen products delivered at least double-digit sales growth in the third quarter, and seventeen products were annualizing at more than $1 billion based on third-quarter sales. Repatha (evolocumab) sales increased 37% year-over-year to $1,085 million, matching the 37% year-over-year growth to $953 million in the second quarter. EVENITY (romosozumab-aqqg) sales increased 39% to $751 million.

Prolia (denosumab) sales decreased 45% year-over-year to $632 million, after a 32% decline to $759 million in the second quarter, as multiple biosimilars launched globally. The company said the decrease was driven by 23% lower volume, with the remainder split equally between lower net selling price and changes to estimated sales deductions. XGEVA (denosumab) sales decreased 47% to $288 million.

UPLIZNA (inebilizumab-cdon) sales increased 191% year-over-year to $451 million, after 90% growth to $335 million in the second quarter, primarily from volume. KRYSTEXXA (pegloticase) sales increased 31% to $419 million. TEZSPIRE (tezepelumab-ekko) sales increased 43% to $538 million. TEPEZZA (teprotumumab-trbw) sales decreased 6% to $526 million, after a 14% increase in the second quarter. The company attributed the third-quarter decrease to lower inventory levels. Otezla (apremilast) sales decreased 18% to $481 million. TAVNEOS (avacopan) sales decreased 2% to $105 million, after a 36% increase in the second quarter.

Free cash flow was $3.7 billion in the third quarter of 2026 versus $4.2 billion in the third quarter of 2025, which the company said was driven by changes in working capital, with the year-earlier quarter benefiting from the timing of rebates and collections. Cash and cash equivalents totaled $13.2 billion and debt outstanding totaled $54.0 billion as of September 30, 2026. There were no share repurchases in the quarter.

For full-year 2026, the company expects total revenues of $38.9 billion to $39.7 billion, GAAP EPS of $18.34 to $19.28, and non-GAAP EPS of $22.90 to $23.70.