Summary
Biogen Inc. reported strong financial results for the second quarter and first six months of 2015, demonstrating significant year-over-year growth. Total revenues for the three months ended June 30, 2015, increased by 6.9% to $2.59 billion, driven by a robust performance in product revenues, which grew 6.4% to $2.20 billion. This growth was largely fueled by TECFIDERA, which saw a substantial 26.1% increase in revenue, alongside contributions from newer products like PLEGRIDY, ALPROLIX, and ELOCTATE. The company also benefited from an 11.3% rise in its share of profits from unconsolidated joint businesses, primarily RITUXAN and GAZYVA. Despite increased R&D spending, Biogen effectively managed its cost structure, leading to a 5.4% decrease in total costs and expenses for the quarter compared to the prior year. This operational efficiency, coupled with strong revenue growth, resulted in a notable increase in profitability, with diluted earnings per share rising to $3.93 from $3.01 in the comparable period of 2014. The company's balance sheet remains strong, with a significant increase in cash, cash equivalents, and marketable securities to $4.47 billion, underscoring its solid financial health and capacity for future investments and shareholder returns.
Financial Highlights
53 data points| Revenue | $2.59B |
| Cost of Revenue | $286.10M |
| Gross Profit | $2.31B |
| SG&A Expenses | $491.90M |
| Operating Expenses | $1.36B |
| Operating Income | $1.23B |
| Interest Expense | $5.80M |
| Net Income | $927.30M |
| EPS (Basic) | $3.94 |
| EPS (Diluted) | $3.93 |
| Shares Outstanding (Basic) | 235.30M |
| Shares Outstanding (Diluted) | 235.70M |
Key Highlights
- 1Total revenues increased by 6.9% to $2.59 billion for the three months ended June 30, 2015, compared to the prior year.
- 2Product revenues grew by 6.4% to $2.20 billion for the quarter, primarily driven by a 26.1% increase in TECFIDERA sales.
- 3Share of profits from unconsolidated joint businesses increased by 11.3% to $337.5 million, reflecting strong performance in RITUXAN and GAZYVA.
- 4Total costs and expenses decreased by 5.4% to $1.36 billion, aided by lower amortization of acquired intangible assets and SG&A expenses.
- 5Diluted earnings per share (EPS) increased significantly to $3.93 from $3.01 in the comparable period of 2014.
- 6Cash, cash equivalents, and marketable securities grew to $4.47 billion as of June 30, 2015, demonstrating strong liquidity.
- 7Biogen completed the acquisition of Convergence Pharmaceuticals in February 2015, expanding its pipeline in neuropathic pain.