By Deena Beasley

(Reuters) -Amgen on Tuesday stated its second-quarter revenue slipped 1% as greater bills, together with prices associated to improvement of its experimental weight problems drug MariTide, offset a 20% enhance in income pushed by the biotechnology firm’s October acquisition of uncommon illness drugmaker Horizon Therapeutics (NASDAQ:).

Amgen (NASDAQ:) reported adjusted earnings of $4.97 per share, which was 3 cents shy of the typical analyst estimate, in line with LSEG information.

Quarterly income of $8.39 billion was barely forward of the $8.37 billion forecast by analysts.

“The quarter total seems to be pretty uneventful,” Mizuho analyst Salim Syed stated in a analysis word, including that the earnings miss was pushed by barely weaker margins and a barely greater share depend.

Amgen shares, which closed up 1% at $328.95, have been down 2% after hours.

Second-quarter gross sales of ldl cholesterol drug Repatha rose 25% to $532 million, whereas gross sales of older rheumatoid arthritis drug Enbrel fell 15% to $902 million.

Gross sales of Tepezza, Horizon’s thyroid eye illness drug, rose 7% from a 12 months earlier to $479 million, whereas gout drug Krystexxa noticed gross sales rise 20% to $294 million.

Excluding Horizon’s medicine, Amgen stated product gross sales grew 5%.

Traders are targeted on progress with the weight-loss drug MariTide. The corporate stated it expects to have preliminary information from a mid-stage trial of the drugs late this 12 months.

It additionally plans to start human testing of a special weight problems drug candidate earlier than the tip of the 12 months.

For MariTide, “we’re laser targeted on making ready to shortly launch a broad Part 3 program in weight problems, obesity-related circumstances and diabetes,” Amgen Chief Monetary Officer Peter Griffith stated in an interview.

Some analysts have forecast the marketplace for new medicine for weight reduction reaching $130 billion a 12 months by the early 2030s.

Griffith stated Amgen raised its capital spending goal for full-year 2024 to $1.3 billion from $1.1 billion due partially to funding in MariTide and its manufacturing.

Amgen additionally raised the decrease finish of its 2024 income outlook to a spread of $32.8 billion to $33.8 billion from a earlier low finish forecast of $32.5 billion.

Amgen narrowed its 2024 adjusted earnings estimate and now expects a revenue of $19.10 to $20.10 per share, in contrast with its earlier view of $19.00 to $20.20.

Analysts have forecast 2024 earnings per share of $19.51 on income of $33.1 billion.