Key Takeaways:
Biogen reported second-quarter revenue of $2.74B and adjusted earnings per share of $3.60, beating consensus estimates on both metrics as its growth portfolio of newer drugs surpassed legacy multiple sclerosis sales for the first time.
"The growth portfolio has reached an inflection point, now contributing more than half of total revenue," the company said in its earnings release. The milestone reflects momentum from Skyclarys, Zurzuvae and the recently acquired Apellis portfolio, which includes the kidney disease drug Empaveli and the eye treatment Syfovre.
Adjusted net income fell 33 percent year over year to $536.2M, reflecting one-time in-process research and development charges tied to the Apellis acquisition and a felzartamab licensing deal. The prior-year quarter included adjusted EPS of $5.47.
Revenue from legacy MS drugs — Tecfidera, Tysabri and Spinraza — continued to decline as generic and biosimilar competition intensified, the company said. That pressure was offset by strong sequential growth from Vumerity, Skyclarys and higher Alzheimer's collaboration revenue from Leqembi, which Biogen co-markets with Eisai.
The Apellis acquisition, completed earlier this year, added Empaveli for paroxysmal nocturnal hemoglobinuria and Syfovre for geographic atrophy to Biogen's commercial portfolio. The company also recorded initial contributions from felzartamab, an investigational antibody it licensed for immunoglobulin A nephropathy.
Biogen raised its full-year 2026 adjusted EPS guidance by $0.60, signaling confidence that the growth portfolio's trajectory will sustain. The company did not disclose a revised revenue range.
The guidance raise suggests management expects the portfolio transition to continue accelerating. Investors will watch the Q2 earnings call later today for updated segment-level margins and the initial contribution from the Apellis assets.
This article is for informational purposes only and does not constitute investment advice.
