Biogen second-quarter profit has beatenforecast by announcing revenue for the second quarter of $3.08bn.
The company also raised its forecasts for full-year results, and is now expecting full year revenue of approximately $11.5bn to $11.8bn.
The positive results are due to the sells of Spinraza,spinal muscular atrophy (SMA) drug, as Reuters explains: “the expensive drug, priced at $125,000 per injection in the first year of use, brought in a whopping $203 million, compared with consensus estimates of $70 million, compiled by Evercore ISI.”
Spinraza could become one of the company’s “largest commercial assets, shifting the center of gravity for Biogen beyond MS”, CEO Michel Vounatsos said in a post-earnings conference call.
Spinraza, which costs $750,000 for the first year of therapy, is the latest addition to Biogen’s portfolio, but the bulk of the company’s revenue comes from its roster of multiple sclerosis (MS) treatments.
Sales of Tecfidera, Biogen’s leading MS drug, came in at $1.11 billion, just ahead of consensus estimates of $1.02 billion.
Revenue from its other MS drugs Avonex and Plegridy came in at $691 million, above consensus estimates of $666 million.
Biogen, which spun off its hemophilia business in February, said on Tuesday its MS drug business would continue to be the primary driver of future cash flow even as it the company aimed to develop more neuroscience drugs.
Biogen indeed announced will also focus on developing rare disorder drugs and acquiring late-stage assets.
The company would explore deals of “all sizes”, and the largest transaction could be in $10 billion to $12 billion range, Vounatsos said.