10-QPeriod: Q1 FY2025

REGENERON PHARMACEUTICALS, INC. Quarterly Report for Q1 Ended Mar 31, 2025

Filed April 29, 2025For Securities:REGN

Summary

Regeneron Pharmaceuticals, Inc. reported mixed results for the first quarter of 2025. Total revenues decreased slightly year-over-year to $3.03 billion from $3.15 billion, primarily driven by a significant decline in U.S. EYLEA sales due to competitive pressures and the transition to EYLEA HD. However, this was partially offset by strong growth in Dupixent and a solid performance from EYLEA HD in the U.S. Net income increased to $808.7 million, or $7.27 per diluted share, compared to $722.0 million, or $6.27 per diluted share, in the prior year's quarter. This improvement was supported by an increase in collaboration revenue, particularly from Sanofi, and a favorable shift in other income (expense), net. The company also announced its first quarterly cash dividend and continued its share repurchase program, signaling a commitment to returning capital to shareholders.

Financial Highlights

46 data points
Beta

Revenue

$3.03B

Net Income

$808.70M

26.7% Net Margin

EPS (Diluted)

$7.27

Total Assets

$37.55B

Cash & Equivalents

$3.09B

Free Cash Flow

$1.05B

Financial Statements
Beta
Revenue$3.03B
R&D Expenses$1.33B
SG&A Expenses$633.00M
Operating Expenses$2.44B
Operating Income$591.70M
Net Income$808.70M
EPS (Basic)$7.58
EPS (Diluted)$7.27
Shares Outstanding (Basic)106.70M
Shares Outstanding (Diluted)111.20M

Key Highlights

  • 1Total revenues declined 3.7% to $3.03 billion, mainly due to a 39% drop in U.S. EYLEA sales.
  • 2Net income rose 12% to $808.7 million, with diluted EPS increasing to $7.27 from $6.27.
  • 3Collaboration revenue increased 27% to $1.18 billion, driven by strong performance in the Sanofi collaboration (Dupixent and Kevzara).
  • 4U.S. EYLEA HD sales showed strong growth, up 111% to $306.8 million, though total EYLEA and EYLEA HD sales declined 16% due to the drop in EYLEA.
  • 5Research and development expenses increased by 6.3% to $1.33 billion.
  • 6The company declared its first quarterly cash dividend of $0.88 per share.
  • 7Regeneron continued its share repurchase program, buying back $1.05 billion of common stock in the quarter.

Frequently Asked Questions

The primary driver of the revenue decline was the significant decrease in U.S. EYLEA sales, which fell by 39% year-over-year. This was attributed to competitive pressures, loss of market share to compounded bevacizumab due to affordability constraints, and the ongoing transition of patients to EYLEA HD.

Collaboration revenues increased significantly by 27% to $1.18 billion. This growth was primarily fueled by Regeneron's share of profits from the Sanofi collaboration, particularly from Dupixent sales, which increased by 32% to $1.02 billion.

Regeneron anticipates continued pressure on EYLEA sales due to competition and the transition to EYLEA HD. While EYLEA HD demonstrated strong growth in the U.S., the company faces ongoing competition from other anti-VEGF products and biosimilars. Regulatory decisions for extended dosing intervals and a pre-filled syringe for EYLEA HD are pending.

The declaration of its first quarterly cash dividend of $0.88 per share in February 2025 signals Regeneron's increasing financial strength and commitment to returning capital to shareholders. This move is often viewed positively by investors as it indicates confidence in future cash flows.