Biogen’s first quarter 2024 earnings report presented a mixed performance, with the company exceeding adjusted earnings per share (EPS) expectations but slightly missing revenue estimates. Adjusted EPS came in at $3.67, surpassing the consensus estimate of $3.43, while revenue for the quarter was $2.29 billion, just below the consensus estimate of $2.31 billion. Despite the revenue shortfall, Biogen’s net income experienced a 10% increase to $561 million compared to the same quarter last year. The company’s GAAP operating income saw a 10% increase, and adjusted operating income grew by 24%, signaling efficiency gains from its Fit for Growth program and research and development prioritization.
The introduction of LEQEMBI, a new Alzheimer’s treatment, showed promise with first quarter global in-market sales of approximately $19 million, nearly tripling since the fourth quarter of 2023. The company also noted a significant increase in new patient starts in March, which contributed to over 20% of cumulative patients now on LEQEMBI.
Looking ahead, Biogen reaffirmed its full-year 2024 financial guidance, projecting an adjusted EPS range of $15.00 to $16.00, which would represent approximately 5% growth at the mid-point compared to 2023. This forecast falls slightly below the consensus of $15.49. The company continues to expect a low- to mid-single digit percentage decline in total revenue versus 2023 but anticipates operating income to grow by a low-double digit percentage with a mid-single digit percentage point operating margin improvement.
Despite the mixed results, Biogen’s leadership remains focused on returning to sustainable growth and enhancing value for patients and shareholders. The company’s stock saw a 0.9% increase following the earnings release, reflecting investor confidence in Biogen’s long-term prospects.
