Summary
Regeneron Pharmaceuticals, Inc. (REGN) in its 2010 10-K filing highlights a diversified pipeline with one marketed product, ARCALYST®, for rare autoinflammatory conditions (CAPS). The company is heavily invested in late-stage clinical development with three key candidates: rilonacept for gout flares, VEGF Trap-Eye for eye diseases (in collaboration with Bayer HealthCare), and aflibercept (VEGF Trap) for oncology (in collaboration with sanofi-aventis). Regeneron leverages its proprietary VelociSuite™ technology for antibody discovery, with an expanded collaboration with sanofi-aventis aiming to advance numerous new antibody candidates into clinical development over the next eight years. The company's financial health relies significantly on collaboration revenues, with substantial research and development expenses driving ongoing losses, a pattern expected to continue in the near term. Despite these losses, Regeneron maintains a healthy cash position, supported by significant upfront and milestone payments from its major partners. Investors should note the company's ongoing reliance on strategic collaborations for both funding and development, as well as the inherent risks associated with drug development, regulatory approvals, and market competition.
Financial Highlights
39 data points| Revenue | $379.27M |
| Cost of Revenue | $1.69M |
| Gross Profit | $377.58M |
| R&D Expenses | $398.76M |
| SG&A Expenses | $52.92M |
| Operating Expenses | $453.37M |
| Operating Income | -$74.10M |
| Interest Expense | $2.34M |
| Net Income | -$67.83M |
| EPS (Basic) | $-0.85 |
Key Highlights
- 1ARCALYST® (rilonacept) sales increased to $20.0 million in 2009 from $10.7 million in 2008 for the treatment of rare Cryopyrin-Associated Periodic Syndromes (CAPS).
- 2Three late-stage (Phase 3) clinical development programs are underway: rilonacept for gout flares, VEGF Trap-Eye for wet AMD, DME, and CRVO (in collaboration with Bayer HealthCare), and aflibercept (VEGF Trap) for oncology (in collaboration with sanofi-aventis).
- 3Regeneron's proprietary VelociSuite™ technology platforms, including VelocImmune®, are central to its discovery and development of fully human monoclonal antibodies.
- 4The expanded antibody collaboration with sanofi-aventis aims to advance an average of four to five new antibody product candidates into clinical development annually for the next eight years.
- 5Collaboration revenue significantly increased to $314.5 million in 2009 from $185.2 million in 2008, primarily driven by the sanofi-aventis and Bayer HealthCare partnerships.
- 6Research and development expenses rose to $398.8 million in 2009 from $274.9 million in 2008, reflecting increased investment in clinical programs and the sanofi-aventis antibody collaboration.
- 7The company reported a net loss of $67.8 million for 2009, a slight improvement from a net loss of $79.1 million in 2008, with total assets of $741.2 million and cash/marketable securities of $390.0 million at year-end 2009.