Biogen (BIIB) - Get Biogen Inc. Report on Wednesday posted third-quarter earnings that beat Wall Street forecasts and also upped its full-year profit forecast amid strong expected demand for its Alzheimer's treatment, which was recently approved by the U.S. Food and Drug Administration.
Biogen reported net income of $318.1 million, or $2.22 a share, down from $701.5 million, or $4.46 a share, in the year-earlier period. On an adjusted basis, the company earned $4.77 a share, above the $4.09 a share expected by analysts polled by FactSet.
Revenue totaled $2.78 billion, down 18% from a year earlier but slightly ahead of the FactSet consensus estimate of $2.7 billion.
Sales of Biogen's MS drug Tecfidera totaled $498.6 million, down from $953.1 million a year earlier, while sales of its other MS drug, Avonex, rang in at $301.3 million, down from $380.5 million in the year-ago quarter.
At the same time, Biogen CEO Michel Vounatsos noted that the company’s Aduhelm Alzheimer's treatment, while delayed, has “long-term potential.”
The FDA in June approved Aduhelm for the treatment of Alzheimer’s using its accelerated approval pathway, which can be used for a drug for a serious or life-threatening illness that provides a meaningful therapeutic advantage over existing treatments.
Biogen "...has continued to execute well across its leading MS, SMA and biosimilars businesses, and we are particularly encouraged by the ongoing launch of Vumerity,” Vounatsos, said, adding that Biogen’s partnership with Sage Therapeutics (SAGE) - Get SAGE Therapeutics, Inc. Report in pursuing a filing for depression drug zuranolone also showed potential promise.
Indeed, Biogen now expects to post full-year earnings of between $18.85 and $19.35 a share, up from its previous guidance of per-share earnings of between $17.50 and $19. Revenue is now expected to come in at between $10.8 billion and $10.9 billion, up from previous guidance of between $10.65 billion and $10.85 billion.
Capital expenditures are expected to fall to between $250 million and $300 million vs. previous estimates of between $375 million and $425 million.
At last check, shares of Biogen were u 1.89% at $273.20.