Regeneron Pharmaceuticals Delights Investors with Impressive Earnings and Promising New Drug Data

Regeneron Pharmaceuticals, a leading pharmaceutical company, has presented investors with a double dose of good news. The company’s latest earnings have surpassed expectations, while data reveals a strong market reception for their newly launched high-dose version of the popular drug, Eylea.

Despite a slight dip in stock price from an early high of $973.99 to $954.52, only a 0.3% loss was reported by late morning trading.

Regeneron is proactively securing its position ahead of the impending expiration of the patent for its best-selling macular degeneration treatment, Eylea. To mitigate the impact, the company has introduced a high-dose version, set to be available from 2023. Importantly, the patent for the high-dose variant will outlast the expiration of the original product’s patent.

While combined sales of both versions of Eylea fell slightly below expectations, this outcome was anticipated by Regeneron in early January. However, TD Cowen analyst Tyler Van Buren has hailed the quarter’s sales of Eylea HD at $123 million as “very strong.” With a remarkable 186% increase compared to the previous quarter, these sales figures indicate positive market reception.

FactSet reports that total revenue for this quarter reached $3.4 billion, surpassing the estimated consensus of $3.3 billion. Furthermore, non-GAAP diluted earnings for the quarter were reported at an impressive $11.86, significantly exceeding the projected consensus estimate of $10.73.

Eylea HD Sets New Standard-of-Care for Eye Diseases, Boosting Regeneron’s Stock

Regeneron Pharmaceuticals is confident that its revolutionary treatment, Eylea HD, will establish itself as the go-to therapy for patients with wet age-related macular degeneration and diabetic eye diseases. This bold claim was made by CEO Leonard Schleifer during an investor call on Friday, where he expressed his satisfaction with the treatment’s successful launch.

One obstacle hampering Eylea HD sales in the past year was the absence of a permanent reimbursement code. However, this issue will finally be resolved in April when healthcare providers can take advantage of the newly designated J-Code for billing to Medicare. Reimbursement is a crucial factor for physicians, and having a permanent J-Code instills greater confidence in prescribing Eylea HD, according to Regeneron executive Marion McCourt.

Regeneron’s stock has seen a significant uptick of 10% this year and an impressive 29% over the past 12 months. This surge can partly be attributed to the successful rollout of Eylea HD and the remarkable sales growth of Dupixent, an anti-inflammatory drug that Regeneron developed in collaboration with Sanofi.

The company reported an impressive $3.2 billion in Dupixent sales for the quarter, marking a 31% increase compared to the same period last year.

Overall, Regeneron Pharmaceuticals appears to be on a promising trajectory with its breakthrough treatments, Eylea HD and Dupixent. The introduction of a permanent reimbursement code and consistently strong sales figures indicate a bright future for both patients and investors alike.