In its first-quarter report released on Wednesday, Biogen announced a profit that surpassed analysts’ expectations. The Cambridge-based drug maker achieved this success through cost-cutting initiatives and strong sales of its much-anticipated Alzheimer’s drug, Leqembi. Developed in collaboration with Eisai, Leqembi is the first treatment approved by the US Food and Drug Administration (FDA) that has been shown to modestly slow the progression of Alzheimer’s disease in patients with mild cognitive impairment. The drug’s launch, while initially slow, gained momentum in the first quarter, generating sales of $19 million. Notably, this amount exceeded the $14 million predicted by analysts and $10 million generated throughout all of last year. Leading the charge, Biogen’s chief executive Christopher Viehbacher expressed optimism, stating, “We see momentum building at a steady pace for Leqembi.” While Biogen did not disclose the exact number of patients currently taking Leqembi, they reported that approximately 2,000 individuals nationwide were using the drug in February. Furthermore, the total number of patients on the drug has since risen to nearly 2.5 times what it was at the end of 2023, Notably, March saw a significant increase in new patients, who now account for over 20% of the total patients on the drug. With an annual price tag of $26,500 per patient, Leqembi’s sales have been bolstered by Medicare’s agreement to cover the cost for enrollees who meet specific criteria, including a diagnosis of mild Alzheimer’s and documented evidence of amyloid plaques in the brain. In a strategic move since Viehbacher’s appointment as CEO in late 2022, Biogen has implemented cost-cutting measures, including eliminating over 1,000 jobs. These measures have contributed to Biogen’s overall financial performance, allowing the company to report an adjusted profit of $3.67 per share for the first quarter, exceeding analysts’ estimates of $3.45 per share.
Biogen’s Q1 Profit Beats Estimates as Leqembi Sales Surpass Expectations
