Amgen Inc

Vertex is trying to expand its product base beyond cystic fibrosis. It holds molecules in the oncology, respiratory, pain, spinal cord, and influenza spaces.

Celgene has been working on its immunomodulatory backbone drugs to develop combination therapies for use in treating all lines of multiple myeloma.

Amgen (AMGN) is expecting to strengthen Repatha’s brand position in the global cardiovascular market in 2016 through a multi-pronged strategy.

In 1Q16, Amgen expects to have data from its Phase 3 clinical trial exploring the use of innovative drug romosozumab for treating post-menopausal osteoporosis.

Amgen expects Kyprolis to continue capturing the global multiple myeloma (or MM) market in 2016. The drug has established itself as a backbone therapy for relapsed MM.

AbbVie (ABBV) has continued to improve its operational efficiency, which is expected to result in a net profit margin of 29.8%, a YoY increase of 6.3%. In 3Q15, AbbVie realized a net proft margin of 30.4%.

Revlimid (lenalidomide) is one of Celgene’s (CELG) main revenue drivers. It had revenues of $1.4 billion in 3Q15, excluding the adverse impact of foreign exchange fluctuations.

In partnership with Bristol-Myers Squibb, AbbVie is exploring elotuzumab to treat relapsed refractory multiple myeloma. The drug also received a breakthrough therapy designation from the FDA on May 19, 2014.

Let’s discuss BioMarin’s business model. It derives revenue from three sources, including product revenue. The latter accounts for ~98% of total revenue.

The FDA advisory committee has given an unfavorable opinion to Kyndrisa. But most analysts estimate the probability of FDA approval for the drug to be about 50%.

Alexion Pharmaceuticals’ Kanuma is an innovative enzyme replacement therapy for patients suffering with lysosomal acid lipase deficiency (or LAL-D).

On November 24, Novartis announced that the European Commission had approved Entresto as a therapy for adult patients suffering from symptomatic chronic heart failure with reduced ejection fraction.

Novo Nordisk (NVO) is a leader in diabetes care with 90 years of experience coupled with a strong workforce of 39,700 in 75 countries around the world.

Mature biotechnology companies generally earn EBITDA margins of about 30% to 40%.

While mature biotechnology companies with drugs in multiple disease segments earn an average of 30%–40% EBITDA, margins of companies targeting only rare diseases can vary due to unique business models.

Alexion Pharmaceuticals (ALXN) has strengthened its drug pipeline by diversifying its research programs across the metabolic disorder segment.

As part of its research and development, Vertex Pharmaceuticals (VRTX) has been actively exploring new cystic fibrosis (or CF) drugs as well as other indications for its existing drug Kalydeco.

On July 2, 2015, the FDA (U.S. Food and Drug Administration) approved Orkambi, a combination drug of lumacaftor and ivacaftor, for treating cystic fibrosis (or CF) patients.

Vertex Pharmaceuticals’ (VRTX) business model includes revenues in three areas: products, royalties, and collaboration. There’s significant variability in royalty and collaboration revenues.

AbbVie’s business model involves generating revenues through the sale of pharmaceutical products, which target some of the world’s most serious diseases.

With a market capitalization of $100.7 billion, AbbVie is a major US biopharmaceutical company. AbbVie competes with Amgen, Gilead Sciences, and Bristol-Myers Squibb .

Amgen’s key risks include market erosion due to generic competition for Neulasta and Neupogen. Its restructuring also involves a reduction of about 3,500–4,000 employees.

Enhancing its manufacturing capability, Amgen has launched a next-generation bio-manufacturing facility in Singapore and plans to set up more in the coming years.

As it is still relatively difficult to introduce biosimilars, Amgen plans to enter the US market by leveraging experience of biosimilars in the European market.

Amgen (AMGN) has adopted a well-structured research and development strategy focused on inflammation, metabolism, bone, and cardiovascular diseases.

Amgen offers various nephrology drugs such as Epogen, Aranesp, Sensipar, and Mimpara. Both Epogen and Aranesp have been facing squeezed profits from tight competition.

With a market capitalization of $50.7 billion, Regeneron is one of the country’s major biotechnology companies. Its products and pipeline candidates focus on cancer, eye diseases, and cardiovascular diseases.

Amgen’s (AMGN) business model generates revenues in two ways: product sales and other revenues mainly comprised of royalties and corporate partner income.

An overview of global biotechnology company Amgen shows a market capitalization of $127.2 billion. Headquartered in Thousand Oaks, California, Amgen has a presence in 75 countries.

Celgene’s EBITDA margins were lower than those of its competitors. Its R&D investment appears to be higher than its peers, and its SG&A expenses have risen.

Celgene has consistently delivered breakthrough innovations in biotechnology and has as actively pursued acquisitions of companies for access to compounds.

Gilead Sciences’ business model consists of product sales in the HIV and HCV markets, as well as royalty, contract, and other revenues.

The strong leadership of Gilead’s talented scientists has enabled the company to consistently deliver innovative therapies in the market.

One of the world’s leading biotechnology companies, Biogen specializes in manufacturing and marketing therapies to treat serious ailments related to the nervous system, immune system, and blood.

A leader in the development of multiple sclerosis treatments, Biogen earned 82.5% of its total revenues from its MS drugs in 2014.

The biotechnology sector is witnessing intense competition with big pharmaceutical companies entering into collaborations and mergers and acquisitions with biotechnology companies.

There’s no complete cure for rheumatoid arthritis, so most RA drugs are part of disease-management therapy. Humira accounts for 23.5% of the RA market share.

After 2012, the biotechnology industry (IBB) had a period of solid growth, mainly driven by novel scientific inventions and aggressive commercial distribution.

Bristol-Myers Squibb’s (BMY) immunoscience franchise deals with medicines that help defend the body against invading pathogens like bacteria, viruses, and cancer cells.

The biotechnology industry will witness 12 blockbuster drugs worth $67 billion in annual revenues lose their patents by 2020. This is the so-called patent cliff.

A drug approval process is required in order for a new drug to enter the market. Companies with new drugs in later stages of the approval process are more likely to earn a positive cash flow in the next few years.

The aging Baby Boomer population in the United States is one of the social factors driving the US healthcare industry. By 2030, Americans over 55 will be 31% of the population.

Compared to pure-play pharmaceutical companies, the biotechnology industry is more sensitive to economic factors such as changes in GDP, interest rates, and exchange rates.

The type of business model a biotechnology company selects depends on technical capability, availability of resources, and competition in the industry.

The two main classifications for drugs are chemical compound drugs and biologics. Medicinal drugs are broadly classified as prescription drugs and over-the-counter drugs.

Biotechnology is simply ‘technology based on biology.’ The biotechnology industry includes food technology, genetic research, healthcare, and environmental technology.