On Wednesday, Biogen Inc BIIB reported first-quarter adjusted EPS of $3.67, up 8%, beating the consensus of $3.44.
The company reported sales of $2.29 billion, down 7% year over year and missing the consensus of $2.31 billion.
Multiple sclerosis revenue of $1.1 billion decreased by 4% (down 4% on constant currency). Multiple sclerosis drug Tysabri sales were down to $431.3 million from $472.8 million.
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Rare disease revenue decreased 4% year over year (down 4% CC) to $423.9 million. Spinraza’s revenue fell to $341.3 million from $443.3 million a year ago.
Revenues from Skyclarys, acquired via Reata acquisition, reached $78 million during the quarter, with patient identification and access progressing in the U.S. and the E.U. launch underway.
The company said Leqembi (Alzheimer’s drug) launch uptake accelerated with first-quarter global in-market sales of approximately $19 million, nearly triple the fourth quarter of 2023, and patients on therapy increasing nearly 2.5 times since the end of 2023.
A significant increase in new patient starts was observed in March, contributing to over 20% of cumulative patients on Leqembi.
Postpartum depression drug Zurzuvae’s launch shows encouraging early trends.
Guidance: For the fiscal year 2024, Biogen reaffirms adjusted EPS Of $15.00-$16.00 versus consensus of $15.48, up around 5% versus 2023 at the mid-point.
The company expects 2024 total revenue to decline by a low- to mid-single-digit percentage, with operating income expected to grow at a low-double-digit percentage.
Biogen expects core pharmaceutical revenue (product revenue + Leqembi) to be flat vs. 2023.
William Blair writes that the Leqembi launch continues to face logistical and clinical perception headwinds and has been slower than initially anticipated.
The analyst notes that the bottom-line beat is largely driven by Biogen’s push to reset its cost basis through the “Fit for Growth” savings initiative.
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Price Action: BIIB shares are up 4.47% at $201.81 at the last check Wednesday.