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Biogen beat Wall Street’s first-quarter expectations even as revenue from the drugmaker’s biggest product group tumbled.
Sales of Biogen's multiple sclerosis treatments, which include Tecfidera and Tysabri, fell 19% to $1.12 billion compared to last year’s quarter, the company said Tuesday.
Sales of the drugmaker’s spinal muscular atrophy treatment Spinraza also dropped 6% to $443 million in the quarter. Biogen also booked an $18-million loss from Alzheimer’s disease treatments, as the company spent money to help launch Leqembi from the Japanese drugmaker Eisai.
The U.S. Food and Drug Administration approved Leqembi in January for patients with mild or early cases of dementia.
The loss Biogen booked in that category was expected this early in Leqembi’s launch, Mizuho Securities USA analyst Salim Syed said in a research note.
But he also noted that revenue from the multiple sclerosis category came in “a bit weaker than expected” even though sales of those drugs can start the year slow.
Overall, a drop in sales costs and income tax expense helped balance the sales hits for Biogen.
The drugmaker’s profit grew nearly 28% to $388 million in the first quarter, and adjusted earnings totaled $3.40 per share. Total revenue slipped 3% to $2.46 billion.
Analysts expected earnings of $3.28 per share on $2.34 billion in revenue, according to FactSet.
Biogen also said Tuesday that it still expects adjusted earnings this year to range between $15 and $16 per share.
FactSet says analysts expect earnings of $15.48 per share.
Shares of Cambridge, Massachusetts-based Biogen Inc. fell nearly 2% to $287.52 after markets opened Tuesday. Broader indexes slipped less than 1%.