Amgen Inc.'s second-quarter earnings call Monday marked an upbeat note for the company, which raised its earnings and revenue guidance for the year.

The company saw revenue increase 1 percent from a year ago, to $3.76 billion in the second quarter, and earnings per share decreased 3 percent, to 87 cents. Leaders were optimistic for the year after good stability in the first half.

Amgen raised its guidance from a range of $14.2 billion to $14.6 billion up to a range of $14.6 billion to $14.9 billion. That would put the company closer to its revenue of $14.8 billion in 2007.

Without charges related to stock option expenses, legal proceedings and acquisition and restructuring expenses, the company estimates earnings per share would have been $1.14. That beat analyst estimates of $1.02 a share.

Chief Executive Kevin Sharer said there is a strong possibility Amgen can grow this year, something that wouldn't have seemed possible a year ago.

Amgen has weathered a tough storm since safety questions were first raised about anemia drugs. The company's top drug, Aranesp, is an anemia drug, as is the first drug produced by Amgen, Epogen.

Safety warnings on labels and changes in how the drugs are administered and paid for resulted in huge drops in revenue for the company.

In the second quarter, Aranesp sales continued to decline, with worldwide sales down 13 percent from a year ago.

After a major restructuring last year that included buyouts, layoffs and a halt to expansion plans, Amgen was able to end 2007 with a 4 percent increase in revenue and 14 percent increase in earnings per share.

"We are not totally through this phase, but the worst is clearly behind us, and the future looks very bright," Sharer said.

Amgen had been criticized for depending too heavily on a few best-selling drugs.

Roger Perlmutter, executive vice president of research and development, said the company has been working toward more diversification since he arrived in 2001. It has achieved some with new drugs introduced in recent years, but there is even more potential riding on the drugs now in development.

"There's still more to talk about," he said.

"We should see some very interesting data over the next year or so that will really underscore how diverse the pipeline is."

One drug that could go before the U.S. Food and Drug Administration by the end of this year is being hailed as the company's next possible blockbuster.

Amgen saw a boost in its stock price after news Friday that denosumab, a drug to treat bone loss, had been successful in preventing breaks in patients.

Amgen is testing denosumab for use in patients with osteoporosis as well as cancer patients. The drug works by keeping the body from breaking down and absorbing bone.

In previous studies, the drug proved to increase bone density in the patients who took it.

Two studies have now shown that the increase in bone density translates into fewer breaks.

Monday morning, the stock price was up by about 15 percent, opening at $62 a share after closing at $53.92 Friday. Trading volume was more than six times the normal daily average.

Amgen announced its earnings after the market closed, with Amgen stock up $6.56 at $60.48. After the news was released, the company's stock continued to climb in after-hours trading.

Some analysts upgraded their recommendations on Amgen stock Monday. Rodman & Renshaw upgraded it from "market perform" to "market outperform," and Jefferies & Co. upgraded it from "hold" to "buy."

On the Net:

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