Biogen Q2 2024 Earnings Report
Key Takeaways
Biogen reported second quarter 2024 total revenue of $2.5 billion, GAAP diluted EPS of $4.00 and Non-GAAP diluted EPS of $5.28. The company is raising its full year 2024 financial guidance.
Total revenue was flat at actual currency and up 1% at constant currency year-over-year.
Core pharmaceutical revenue (product revenue + LEQEMBI) up 5% at actual currency and 6% at constant currency year-over-year.
GAAP and Non-GAAP operating income grew 34% and 43%, respectively, year-over-year (excluding PRV sale, GAAP and Non-GAAP operating income grew 18% and 30%, respectively).
LEQEMBI launch delivered accelerated sequential growth with second quarter global in-market sales of approximately $40 million, including U.S. in-market sales of approximately $30 million.
Biogen
Biogen
Biogen Revenue by Segment
Biogen Revenue by Geographic Location
Forward Guidance
Biogen is increasing its full year 2024 financial guidance.
Positive Outlook
- Non-GAAP EPS now expected to be between $15.75 and $16.25, representing EPS growth of approximately 9% at the mid-point versus full year 2023
- Now expect total revenue to decline by a low-single digit percentage versus 2023 with core pharmaceutical revenue expected to be roughly flat versus 2023
- Now expect operating income to grow at a mid- to high-teen percentage versus 2023 with expected mid-single digit percentage operating margin improvement
- Expects to reinvest the proceeds from the sale of one of the Company's two priority review vouchers in growth initiatives in 2024.
- Expects an improvement in the cost of sales as a percentage of total revenue for 2024 compared to 2023 driven by product mix and significantly lower idle capacity charges.
Challenges Ahead
- Total revenue is expected to decline by a low-single digit percentage versus 2023.
- Further declines in multiple sclerosis product revenue are expected.
- Financial guidance does not include any impact from potential acquisitions or large business development transactions or pending and future litigation.
- Guidance does not include any impact of potential tax or healthcare reform.
- Biogen may incur charges, realize gains or losses, or experience other events or circumstances in 2024 that could cause any of these assumptions to change and/or actual results to vary from this financial guidance.
Revenue & Expenses
Visualization of income flow from segment revenue to net income