Summary
Regeneron Pharmaceuticals, Inc. reported third-quarter and year-to-date results for the period ending September 30, 2022, showing a decrease in total revenues compared to the prior year, largely driven by a significant drop in REGEN-COV sales. Despite this, the company demonstrated robust growth in key products like Dupixent and EYLEA, with Dupixent sales up 40% year-over-year. Operationally, R&D expenses increased, reflecting ongoing investments in the pipeline, and SG&A expenses also rose, partly due to increased commercialization efforts for Libtayo after its global rights acquisition. The company's balance sheet remains strong, with substantial cash and marketable securities. Significant investments were made in acquiring the worldwide rights for Libtayo, impacting cash flows. The company continues its share repurchase program, with approximately $1.186 billion remaining authorized. Investors should note the ongoing litigation concerning Praluent and EYLEA patents, as well as various government investigations. The company's future performance is heavily reliant on the continued success of EYLEA and Dupixent, alongside the progression of its pipeline products.
Financial Highlights
46 data points| Revenue | $2.94B |
| R&D Expenses | $911.30M |
| SG&A Expenses | $529.10M |
| Operating Expenses | $1.71B |
| Operating Income | $1.22B |
| Interest Expense | $15.30M |
| Net Income | $1.32B |
| EPS (Basic) | $12.31 |
| EPS (Diluted) | $11.66 |
| Shares Outstanding (Basic) | 106.90M |
| Shares Outstanding (Diluted) | 112.80M |
Key Highlights
- 1Total revenues for the nine months ended September 30, 2022, decreased by 21% to $8.76 billion from $11.12 billion in the prior year, primarily due to the cessation of REGEN-COV sales.
- 2Net product sales of Dupixent increased by 41% for the nine months ended September 30, 2022, reaching $6.23 billion. EYLEA net product sales in the U.S. also grew by 12% to $4.77 billion.
- 3Research and Development (R&D) expenses increased by 20% year-over-year for the nine months ended September 30, 2022, to $2.55 billion, reflecting continued investment in pipeline development.
- 4Selling, General, and Administrative (SG&A) expenses increased by 15% for the nine months ended September 30, 2022, to $1.46 billion, driven by increased headcount and commercialization efforts for Libtayo.
- 5Net income for the nine months ended September 30, 2022, decreased by 46% to $3.14 billion from $5.85 billion in the prior year, largely due to the decline in REGEN-COV revenue and increased R&D expenses.
- 6The company acquired the exclusive worldwide rights for Libtayo from Sanofi for $900 million, which was a significant investing activity for the period.
- 7Regeneron maintained a strong liquidity position, ending the period with $3.49 billion in cash and cash equivalents and $9.50 billion in marketable securities.