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Dec 31, 2019

Biogen Q4 2019 Earnings Report

Biogen reported strong execution across its core business areas with resilience in MS, continued growth for SPINRAZA, and an expanded biosimilars business in Q4 2019.

Key Takeaways

Biogen reported Q4 2019 revenues of $3.671 billion, a 4% increase compared to Q4 2018. GAAP diluted EPS was $8.08, a 71% increase, while Non-GAAP diluted EPS was $8.34, a 19% increase. Full year 2019 revenues were $14.378 billion, a 7% increase year-over-year.

Total revenues reached $3.671 billion, a 4% increase year-over-year.

GAAP diluted EPS increased by 71% to $8.08.

Non-GAAP diluted EPS increased by 19% to $8.34.

Company plans to submit a regulatory filing for aducanumab in Alzheimer’s disease.

Total Revenue
$3.67B
Previous year: $3.53B
+4.1%
EPS
$8.34
Previous year: $6.99
+19.3%
Effective Tax Rate
16%
GAAP R&D
$692M
GAAP SG&A
$665M
Gross Profit
$3.22B
Previous year: $3.04B
+6.1%
Cash and Equivalents
$4.48B
Previous year: $1.22B
+265.5%
Free Cash Flow
$1.96B
Previous year: $1.67B
+17.4%
Total Assets
$27.2B
Previous year: $25.3B
+7.7%

Biogen

Biogen

Biogen Revenue by Segment

Biogen Revenue by Geographic Location

Forward Guidance

Biogen announced its full year 2020 financial guidance, which includes revenue expected to be approximately $14.0 billion to $14.3 billion and Non-GAAP diluted EPS is expected to be between $31.50 and $33.50.

Positive Outlook

  • Revenue is expected to be approximately $14.0 billion to $14.3 billion.
  • GAAP and Non-GAAP R&D expense is expected to be approximately 15% to 16% of total revenue.
  • GAAP and Non-GAAP SG&A expense is expected to be approximately 19.5% to 20.5% of total revenue.
  • GAAP and Non-GAAP tax rate is expected to be approximately 18% to 19%.
  • GAAP diluted EPS is expected to be between $29.50 and $31.50.

Challenges Ahead

  • Financial guidance does not include any impact from potential acquisitions or large business development transactions.
  • Guidance assumes no generic competition in the U.S. for TECFIDERA in 2020
  • Guidance assumes no change to foreign exchange rates.
  • Guidance assumes additional commercial and R&D expenses related to aducanumab
  • Guidance assumes closing of the proposed transaction with Pfizer Inc., and a stable share count.

Revenue & Expenses

Visualization of income flow from segment revenue to net income