Amphastar 2025 Q3 Earnings Beats Revenue Estimates, Net Income Dips 57.1%

Amphastar (AMPH) reported mixed third-quarter 2025 results, with revenue growth outpacing expectations but net income declining sharply. The company’s strategy of leveraging new product launches and strategic partnerships showed promise, though earnings pressure remains a concern. Management emphasized long-term growth through expanded therapeutic offerings and domestic manufacturing capabilities.

Revenue

Amphastar’s total revenue rose 1.6% year-over-year to $191.84 million in Q3 2025, exceeding the $187 million consensus estimate. This growth was driven by double-digit sales of BAQSIMI® and the August 2025 launch of iron sucrose injection, which expanded affordable treatment access. However, pricing pressures and competition impacted segments like Epinephrine and Glucagon.

Earnings/Net Income

The company’s GAAP net income fell to $17.35 million, or $0.37 per share, a 57.1% decline from $40.43 million in Q3 2024. Adjusted non-GAAP net income improved to $44.7 million, or $0.93 per share, surpassing estimates. Despite strong revenue performance, the EPS decline of 54.2% highlights challenges in translating top-line growth to profitability.

Post-Earnings Price Action Review

The strategy of buying AMPH shares after a revenue raise and holding for 30 days showed mixed outcomes over the past three years. While Q2 2024 and Q4 2023 quarters saw gains, Q4 2024 resulted in a loss. Immediate post-report volatility remained pronounced, with prices fluctuating sharply. For example, the Q3 2025 report, released on May 7, 2025, saw shares range between $23.3 and $25.86 over 30 days.

CEO Commentary

Dr. Jack Zhang highlighted double-digit BAQSIMI® growth and the iron sucrose injection launch as key drivers. He emphasized leveraging domestic manufacturing and a new licensing agreement with Nanjing Anji Biotechnology for oncology and ophthalmology peptides. The CEO expressed confidence in sustained commercial momentum and long-term value creation.

Guidance

Amphastar did not provide specific financial guidance but reiterated confidence in BAQSIMI® and iron sucrose injection growth. Strategic pipeline expansion via the Anji partnership and cost-control efforts are expected to bolster revenue and market share.

Additional News

1. FDA Approval & Launch: Amphastar’s iron sucrose injection received FDA approval and launched in August 2025, contributing $2.4 million in Q3 revenue.

2. Licensing Agreement: A strategic deal with Nanjing Anji Biotechnology to develop three novel peptides targeting oncology and ophthalmology was announced.

3. Corporate Restructuring: The company assumed global distribution responsibilities for BAQSIMI® in 2025, shifting related revenues to product income.

Image Caption: Amphastar’s iron sucrose injection and BAQSIMI® growth drive recent revenue performance.

Amphastar’s stock has underperformed the S&P 500 this year, down 31.8% versus the index’s 15.6% gain. Analysts remain cautiously optimistic, with a median price target of $35.00, implying a 27.7% upside from recent levels. The Zacks Rank #3 (Hold) reflects mixed earnings estimate revisions. Investors should monitor the impact of new product launches and pipeline advancements on future performance.