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Amgen Inc. shares rose almost 15% in Thursday's extended session after the drugmaker reported adjusted results that exceeded expectations and executives said they are "very encouraged" by preliminary findings from an injectable weight-loss drugs study.

Amgen's Injectable Obesity Medication

According to CNBC, Amgen is competing with Novo Nordisk and Eli Lilly for the lucrative weight loss medicine market, estimated to be worth $100 billion by the end of the decade. However, the company has other potential to take a portion of the market.

Amgen is developing MariTide, an injectable obesity medication that is now in mid-stage trials in obese or overweight people without diabetes. The firm will share preliminary data from the trial later this year, and Amgen's chief scientific officer, JayBradner stated that Amgen is "very pleased" with the results thus far.

The business stated that it is collaborating with authorities to develop a late-stage study for the therapy. Amgen announced Thursday that it is preparing a stage two study of the medication in diabetic therapy as well.

Amgen is also developing other weight-management medicines. The drugmaker's oral treatment, AMG-786, is the second weight loss medication to be stopped in the last year.

In December, Pfizer discontinued a twice-daily version of its obesity medication, danuglipron, after patients experienced difficulty tolerating the treatment in a midstage trial. The business is now developing a once-daily version of the medicine.

Amgen anticipates that patients will use a handheld autoinjector to administer MariTide once a month, or perhaps less often. Amgen abandoned plans further to develop its oral weight-loss medication in favor of MariTide.

Amgen Faces Profit Loss

Amgen lost $113 million, or 21 cents per share, during the period, compared to earnings of $2.8 billion, or $5.28 per share, in the first quarter of 2023.

It attributed the loss to greater operational expenditures, notably those associated with its acquisition of Horizon Therapeutics. The deal, which encountered regulatory obstacles, was finalized in October.

Adjusted for one-time factors, Amgen earned $3.96 per share, above FactSet's estimate of $3.88 per share. The drugmaker's sales increased 22% to $7.45 billion, matching the FactSet estimate. Product sales also increased by 22%.

Amgen's cholesterol medicine, Repatha, had a 33% year-over-year growth in sales to $517 million, the firm reported. Its Prolia osteoporosis medicine produced $999 million in sales in the quarter, an 8% increase year on year, MarketWatch reported.