We use cookies to understand how you use our site and to improve your experience. This includes personalizing content and advertising. To learn more, click here. By continuing to use our site, you accept our use of cookies, revised Privacy Policy and Terms of Service.
You are being directed to ZacksTrade, a division of LBMZ Securities and licensed broker-dealer. ZacksTrade and Zacks.com are separate companies. The web link between the two companies is not a solicitation or offer to invest in a particular security or type of security. ZacksTrade does not endorse or adopt any particular investment strategy, any analyst opinion/rating/report or any approach to evaluating individual securities.
If you wish to go to ZacksTrade, click OK. If you do not, click Cancel.
Biogen (BIIB) Q1 Earnings Beat, Sales Miss, Shares Down
Read MoreHide Full Article
Biogen Inc.’s (BIIB - Free Report) reported first-quarter 2018 earnings per share of $6.05, which beat the Zacks Consensus Estimate of $5.93 by 2%. Moreover, the bottom line rose 16% year over year.
Sales came in at $3.13 billion, up 11% from the year-ago period. However, the metric marginally missed the Zacks Consensus Estimate of $3.15 billion. The top line, excluding hemophilia revenues, grew 15% year over year.
We remind investors that last year,Biogen spun off its hemophilia business into a new company called Bioverativ. Earlier this January, Sanofi (SNY - Free Report) announced that it has entered into an agreement with Bioverativ to buy the latter for $11.6 billion.
Shares of Biogen were down more than 2.5% in pre-market trading. The stock has declined 19.3% this year so far, underperforming the industry’s 9% decrease.
Quarter in Detail
Biogen’s multiple sclerosis (MS) revenues were $2.1 billion (down 4% year over year) in the reporter quarter including approximately $77 million in royalties on the sales of Roche’s (RHHBY - Free Report) MS drug, Ocrevus. Per a deal with Roche, Biogen is entitled to receive royalties on U.S. sales of Ocrevus.
Oral MS drug Tecfidera’s sales increased 3% year over year but decreased 8% sequentiallyto $987 million. The other MS drug Tysabri’s sales declined 15% year over year but was flat sequentially with $462 million.
Combined interferon revenues (Avonex and Plegridy) in the first quarter were $550 million, down 15% both year over year and sequentially. Avonex revenues declined 16% from the year-ago period to $451 million. Plegridy contributed $100 million to revenues, which decreased 11% year over year and 20%, sequentially.
U.S. Interferon revenues are experiencing declining trends due to patients transitioning to other oral MS therapies as well as due to higher discounts and allowance.
Zinbryta, launched in collaboration with AbbVie (ABBV - Free Report) , contributed $1 million to revenues in the first quarter compared with $12 million in fourth-quarter 2017.
Notably, in March 2018, Biogen announced the decision to withdraw Zinbryta from the markets, within less than two years of its FDA approval, due to growing safety concerns and limited commercial adoption of the drug because of its restrictive label. Both companies decided to discontinue the drug’s marketing on grounds of its complex and evolving benefit/risk profile.
Biogen’s newest drug Spinraza (spinal muscular atrophy) logged revenues of $364 million in the first quarter, almost in line with the previous one.
Spinraza U.S. sales were $188 million in the first quarter, decreasing 13.8% sequentially. However, in the ex-U.S. markets, Spinraza recorded sales of $176 million, up 22% sequentially. Significantly, the number of patients receiving Spinraza grew 16% in the United States and 56% outside the United States in the quarter under review compared with the preceding period.
The company said that Spinraza international revenues were mainly grossed from Germany, Turkey and Japan.
In the first quarter of 2018, Biogen recorded biosimilar revenues of $128 million compared with $122 million in the fourth quarter of 2017.
Revenues from Anti-CD20 therapeutic programs, which include Biogen’s shares of Rituxan and Gazyva operating profits, climbed 30.1% from the year-ago period to $443.2 million.
The R&D spend increased 18% year over year but decreased 15% sequentially to $497 million. On the other hand, while SG&A spend were up 3% year over year, it decreased 10% sequentially to $497 million.
Will You Make a Fortune on the Shift to Electric Cars?
Here's another stock idea to consider. Much like petroleum 150 years ago, lithium power may soon shake the world, creating millionaires and reshaping geo-politics. Soon electric vehicles (EVs) may be cheaper than gas guzzlers. Some are already reaching 265 miles on a single charge.
With battery prices plummeting and charging stations set to multiply, one company stands out as the #1 stock to buy according to Zacks research.
Image: Bigstock
Biogen (BIIB) Q1 Earnings Beat, Sales Miss, Shares Down
Biogen Inc.’s (BIIB - Free Report) reported first-quarter 2018 earnings per share of $6.05, which beat the Zacks Consensus Estimate of $5.93 by 2%. Moreover, the bottom line rose 16% year over year.
Sales came in at $3.13 billion, up 11% from the year-ago period. However, the metric marginally missed the Zacks Consensus Estimate of $3.15 billion. The top line, excluding hemophilia revenues, grew 15% year over year.
We remind investors that last year,Biogen spun off its hemophilia business into a new company called Bioverativ. Earlier this January, Sanofi (SNY - Free Report) announced that it has entered into an agreement with Bioverativ to buy the latter for $11.6 billion.
Shares of Biogen were down more than 2.5% in pre-market trading. The stock has declined 19.3% this year so far, underperforming the industry’s 9% decrease.
Quarter in Detail
Biogen’s multiple sclerosis (MS) revenues were $2.1 billion (down 4% year over year) in the reporter quarter including approximately $77 million in royalties on the sales of Roche’s (RHHBY - Free Report) MS drug, Ocrevus. Per a deal with Roche, Biogen is entitled to receive royalties on U.S. sales of Ocrevus.
Oral MS drug Tecfidera’s sales increased 3% year over year but decreased 8% sequentiallyto $987 million. The other MS drug Tysabri’s sales declined 15% year over year but was flat sequentially with $462 million.
Combined interferon revenues (Avonex and Plegridy) in the first quarter were $550 million, down 15% both year over year and sequentially. Avonex revenues declined 16% from the year-ago period to $451 million. Plegridy contributed $100 million to revenues, which decreased 11% year over year and 20%, sequentially.
U.S. Interferon revenues are experiencing declining trends due to patients transitioning to other oral MS therapies as well as due to higher discounts and allowance.
Zinbryta, launched in collaboration with AbbVie (ABBV - Free Report) , contributed $1 million to revenues in the first quarter compared with $12 million in fourth-quarter 2017.
Notably, in March 2018, Biogen announced the decision to withdraw Zinbryta from the markets, within less than two years of its FDA approval, due to growing safety concerns and limited commercial adoption of the drug because of its restrictive label. Both companies decided to discontinue the drug’s marketing on grounds of its complex and evolving benefit/risk profile.
Biogen’s newest drug Spinraza (spinal muscular atrophy) logged revenues of $364 million in the first quarter, almost in line with the previous one.
Spinraza U.S. sales were $188 million in the first quarter, decreasing 13.8% sequentially. However, in the ex-U.S. markets, Spinraza recorded sales of $176 million, up 22% sequentially. Significantly, the number of patients receiving Spinraza grew 16% in the United States and 56% outside the United States in the quarter under review compared with the preceding period.
The company said that Spinraza international revenues were mainly grossed from Germany, Turkey and Japan.
In the first quarter of 2018, Biogen recorded biosimilar revenues of $128 million compared with $122 million in the fourth quarter of 2017.
Revenues from Anti-CD20 therapeutic programs, which include Biogen’s shares of Rituxan and Gazyva operating profits, climbed 30.1% from the year-ago period to $443.2 million.
The R&D spend increased 18% year over year but decreased 15% sequentially to $497 million. On the other hand, while SG&A spend were up 3% year over year, it decreased 10% sequentially to $497 million.
Biogen Inc. Price, Consensus and EPS Surprise
Biogen Inc. Price, Consensus and EPS Surprise | Biogen Inc. Quote
Zacks Rank
Biogen carries a Zacks Rank #3 (Hold). You can see the complete list of today’s Zacks #1 Rank (Strong Buy) stocks here.
Will You Make a Fortune on the Shift to Electric Cars?
Here's another stock idea to consider. Much like petroleum 150 years ago, lithium power may soon shake the world, creating millionaires and reshaping geo-politics. Soon electric vehicles (EVs) may be cheaper than gas guzzlers. Some are already reaching 265 miles on a single charge.
With battery prices plummeting and charging stations set to multiply, one company stands out as the #1 stock to buy according to Zacks research.
It's not the one you think.
See This Ticker Free >>