10-KPeriod: FY2009

BIOGEN INC. Annual Report, Year Ended Dec 31, 2009

Filed February 9, 2010For Securities:BIIB

Summary

Biogen Idec Inc. (BIIB) reported robust revenue growth in 2009, primarily driven by strong performance from its key products AVONEX and TYSABRI, alongside contributions from RITUXAN. Total revenues reached $4.38 billion, with net income attributable to Biogen Idec Inc. increasing by a significant 23.9% to $970.1 million. The company demonstrated substantial investment in research and development, with R&D expenses rising by nearly 20% to $1.28 billion, reflecting its commitment to pipeline advancement in neurology, oncology, and immunology. Financially, Biogen Idec maintained a strong liquidity position with approximately $2.46 billion in cash, cash equivalents, and marketable securities. The company also actively returned capital to shareholders through share repurchases, totaling $751.2 million in 2009 under its repurchase programs. Management highlighted continued growth expectations for TYSABRI and AVONEX, while also navigating competitive pressures and regulatory developments in the biotechnology sector. The company announced a CEO transition, with the current CEO set to retire in June 2010, and initiated a search for a successor.

Financial Highlights

57 data points
Beta

Revenue

$4.38B

91.3% Gross Margin

Net Income

$970.13M

22.2% Net Margin

EPS (Diluted)

$3.35

Total Assets

$8.55B

Cash & Equivalents

$581.89M

Free Cash Flow

$909.25M

Financial Statements
Beta
Revenue$4.38B
Cost of Revenue$382.10M
Gross Profit$4.00B
R&D Expenses$1.28B
SG&A Expenses$911.03M
Operating Expenses$3.08B
Operating Income$1.30B
Interest Expense$35.80M
Net Income$970.13M
EPS (Basic)$3.37
EPS (Diluted)$3.35
Shares Outstanding (Basic)287.36M
Shares Outstanding (Diluted)289.48M

Key Highlights

  • 1Total revenues increased by 6.8% to $4.38 billion in 2009.
  • 2Net income attributable to Biogen Idec Inc. grew by 23.9% to $970.1 million.
  • 3AVONEX revenues increased 5.5% to $2.32 billion, and TYSABRI revenues surged 31.8% to $776.0 million.
  • 4Research and development expenses increased 19.7% to $1.28 billion, indicating continued investment in pipeline development.
  • 5The company generated $1.07 billion in cash flow from operations.
  • 6Biogen Idec repurchased $751.2 million of its common stock in 2009.
  • 7CEO James C. Mullen announced his retirement, effective June 8, 2010.

Frequently Asked Questions

Biogen Idec's revenue growth in 2009 was primarily driven by increases in worldwide AVONEX revenues (up 5.5% to $2.32 billion) and continued strong growth for TYSABRI (up 31.8% to $776.0 million). Revenue from RITUXAN also contributed significantly, with Biogen's share of revenue totaling $1.09 billion.

Biogen Idec significantly increased its R&D spending by 19.7% to $1.28 billion in 2009. This investment reflects the company's focus on advancing its pipeline of novel therapeutics, particularly in its core areas of neurology, oncology, and immunology.

As of December 31, 2009, Biogen Idec maintained a strong financial position with approximately $2.46 billion in cash, cash equivalents, and marketable securities. Total borrowings remained stable at around $1.1 billion. The company generated substantial operating cash flow and has adequate resources to fund its operations and strategic initiatives.

Yes, Biogen Idec announced that its President and CEO, James C. Mullen, will retire on June 8, 2010. The company has initiated a search for his successor.