Back to top

Image: Bigstock

Don't Overlook Insmed (INSM) International Revenue Trends While Assessing the Stock

Read MoreHide Full Article

Did you analyze how Insmed (INSM - Free Report) fared in its international operations for the quarter ending June 2025? Given the widespread global presence of this biopharmaceutical developing inhaled treatments for patients battling rare lung diseases, scrutinizing the trends in international revenues becomes imperative to assess its financial strength and future growth possibilities.

In the current era of a tightly interconnected global economy, the proficiency of a company to penetrate international markets significantly influences its financial health and trajectory of growth. For investors, the key is to grasp how reliant a company is on overseas markets, as this provides insights into the durability of its earnings, its ability to exploit different economic cycles, and its overall growth capabilities.

Participation in global economies acts as a defense against economic difficulties at home and a pathway to more rapidly developing economies. However, it also comes with the complexities of dealing with fluctuating currencies, geopolitical risks and different market dynamics.

While analyzing INSM's performance for the last quarter, we found some intriguing trends in revenues from its overseas segments that Wall Street analysts commonly model and monitor.

The company's total revenue for the quarter amounted to $107.42 million, marking an increase of 18.9% from the year-ago quarter. We will next turn our attention to dissecting INSM's international revenue to get a clearer picture of how significant its operations are outside its main base.

A Closer Look at INSM's Revenue Streams Abroad

Of the total revenue, $30.67 million came from Japan during the last fiscal quarter, accounting for 28.6%. This represented a surprise of +17.97% as analysts had expected the region to contribute $26 million to the total revenue. In comparison, the region contributed $22.1 million, or 23.8%, and $21.11 million, or 23.4%, to total revenue in the previous and year-ago quarters, respectively.

Europe and rest of world accounted for 7.5% of the company's total revenue during the quarter, translating to $8.06 million. Revenues from this region represented a surprise of +22.74%, with Wall Street analysts collectively expecting $6.57 million. When compared to the preceding quarter and the same quarter in the previous year, Europe and rest of world contributed $6.5 million (7%) and $5.44 million (6%) to the total revenue, respectively.

Prospective Revenues in International Markets

For the current fiscal quarter, it is anticipated by Wall Street analysts that Insmed will post revenues of $115.68 million, which reflects an increase of 23.8% the same quarter in the previous year. The revenue contributions are expected to be 23.9% from Japan ($27.63 million), and 6% from Europe and rest of world ($6.9 million).

For the entire year, the company's total revenue is forecasted to be $466.02 million, which is an improvement of 28.1% from the previous year. The revenue contributions from different regions are expected as follows: Japan will contribute 22.8% ($106.23 million), and Europe and rest of world 5.7% ($26.72 million) to the total revenue.

In Conclusion

Relying on international markets for revenues, Insmed faces both prospects and perils. Thus, tracking the company's international revenue trends is essential for accurately projecting its future trajectory.

In an era of growing international ties and escalating geopolitical disputes, financial analysts on Wall Street pay keen attention to these developments to fine-tune their earnings estimations for businesses operating across borders. It's important to note, however, that a range of additional variables, like a company's local market status, also play a crucial role in shaping these forecasts.

Here at Zacks, we put a great deal of emphasis on a company's changing earnings outlook, as empirical research has shown that's a powerful force driving a stock's near-term price performance. Quite naturally, the correlation is positive here -- an upward revision in earnings estimates drives the stock price higher.

The Zacks Rank, our proprietary stock rating mechanism, demonstrates a notable performance history confirmed through external audits. It effectively utilizes the power of earnings estimate revisions to act as a predictor of a stock's price performance in the near term.

At present, Insmed holds a Zacks Rank #3 (Hold). This ranking implies that its near-term performance might mirror the overall market movement. You can see the complete list of today's Zacks Rank #1 (Strong Buy) stocks here >>>> .

A Look at Insmed's Recent Stock Price Performance

Over the past month, the stock has gained 11.6% versus the Zacks S&P 500 composite's 2.7% increase. The Zacks Medical sector, of which Insmed is a part, has declined 3.3% over the same period. The company's shares have increased 60.8% over the past three months compared to the S&P 500's 13.2% increase. Over the same period, the sector has declined 1.8%


See More Zacks Research for These Tickers


Normally $25 each - click below to receive one report FREE:


Insmed, Inc. (INSM) - free report >>

Published in