AM

Amgen Inc. stock research

Dec 31, 2024

FY2024 Q4

Amgen (AMGN) Gross Margin — Quarter Ended Dec 31, 2024

In the current quarter, revenue increased over the prior quarter and the same quarter last year, while gross profit rose accordingly. Cost of revenue declined from the prior quarter and was unchanged from the year-ago period, resulting in a higher gross margin compared to both periods.

Gross margin takeaway

Quarter ended Dec 31, 2024 · FY2024 Q4

In the current quarter, revenue increased over the prior quarter and the same quarter last year, while gross profit rose accordingly. Cost of revenue declined from the prior quarter and was unchanged from the year-ago period, resulting in a higher gross margin compared to both periods.

  • The margin improvement was driven by a combination of higher revenue and a reduced cost of revenue relative to the prior quarter, while cost of revenue remained flat compared to the year-ago quarter.
  • Gross margin strengthened compared to both the immediately preceding quarter and the same quarter one year earlier.

Gross margin snapshot

The selected quarter's reported revenue, gross profit, direct costs, and margin comparisons.

Gross margin

65.7%

Gross profit

$6.0B

Revenue

$9.1B

Cost of revenue

$3.1B

Quarter-over-quarter change

+4.7 pts

Year-over-year change

+3.7 pts

Quarterly gross margin trend

A four-quarter view of the revenue and direct-cost bridge behind gross margin.

PeriodRevenueGross profitCost of revenueGross margin
Mar 31, 2024$7.4B$4.2B$3.2B57.0%
Jun 30, 2024$8.4B$5.2B$3.2B61.4%
Sep 30, 2024$8.5B$5.2B$3.3B61.1%
Dec 31, 2024$9.1B$6.0B$3.1B65.7%

Quarterly comparisons

Compare the selected margin with the preceding quarter and the same fiscal quarter one year earlier.

Previous-quarter change

Sep 30, 2024

+4.7 pts

Year-over-year change

Dec 31, 2023

+3.7 pts

What the margin says

Filing-constrained interpretation of margin direction, comparisons, and what to monitor next.

The margin improvement was driven by a combination of higher revenue and a reduced cost of revenue relative to the prior quarter, while cost of revenue remained flat compared to the year-ago quarter.

Gross margin strengthened compared to both the immediately preceding quarter and the same quarter one year earlier.

Monitor whether the cost of revenue remains stable as revenue grows, given its role in the current margin expansion.

AMGN Gross Margin — Quarter Ended Dec 31, 2024