Biogen’s first quarter results outpaced Wall Street’s expectations, prompting a positive market reaction. Management highlighted the expanding contribution from its newer neurology and rare disease products, such as LEQEMBI, SKYCLARYS, and ZURZUVAE, which now comprise nearly half of product revenue. CEO Chris Viehbacher described this as evidence of a “new Biogen” emerging, with these products gaining commercial traction and benefiting from expanded approvals, particularly in Europe and Brazil. Management also pointed to ongoing strength in the U.S. demand for SPINRAZA and VUMERITY, despite competitive pressures and generic launches weighing on the legacy multiple sclerosis franchise.
Is now the time to buy BIIB? Find out in our full research report (it’s free).
Biogen (BIIB) Q1 CY2025 Highlights:
- Revenue: $2.43 billion vs analyst estimates of $2.24 billion (6.1% year-on-year growth, 8.6% beat)
- Adjusted EPS: $3.02 vs analyst estimates of $2.99 (1% beat)
- Adjusted EBITDA: $966.7 million vs analyst estimates of $851.7 million (39.8% margin, 13.5% beat)
- Management lowered its full-year Adjusted EPS guidance to $15 at the midpoint, a 4.6% decrease
- Operating Margin: 15.6%, down from 24.4% in the same quarter last year
- Market Capitalization: $18.65 billion
While we enjoy listening to the management's commentary, our favorite part of earnings calls are the analyst questions. Those are unscripted and can often highlight topics that management teams would rather avoid or topics where the answer is complicated. Here is what has caught our attention.
Our Top 5 Analyst Questions Biogen’s Q1 Earnings Call
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Brian Abrahams (RBC Capital Markets) asked about LEQEMBI’s European rollout and reimbursement process. CEO Chris Viehbacher said launch will be market-by-market, and expects complexity due to incremental budget impact, but noted EMA’s thorough review could support reimbursement discussions.
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Evan Seigerman (BMO Capital Markets) inquired about the impact of the subcutaneous LEQEMBI formulation on U.S. uptake. Viehbacher explained it should benefit patients and physicians by enabling at-home administration and reducing treatment burden, particularly in rural areas.
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Tim Anderson (Bank of America) questioned competition with Lilly’s Kisunla and physician behavior around continued treatment. Viehbacher responded that treatment duration will vary by patient and physician, and the market will likely expand rather than shift share between products.
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Chris Schott (JPMorgan) probed business development strategy amid volatile biotech markets. Viehbacher noted more opportunities for collaboration as funding tightens, but emphasized ongoing patience and discipline in deal-making.
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Geoff Meacham (Citibank) asked about manufacturing capacity and partnering opportunities. Viehbacher and CFO Robin Kramer confirmed Biogen is open to leveraging its U.S. and Swiss facilities for external partnerships beyond internal needs.
Catalysts in Upcoming Quarters
In upcoming quarters, the StockStory team will be watching (1) the commercial trajectory of LEQEMBI, especially with the planned subcutaneous launch and broader patient outreach, (2) the rate of MS franchise erosion as new generics enter major markets, and (3) the pace at which late-stage pipeline assets advance into and through pivotal trials. Execution on these fronts, along with potential regulatory and tariff developments, will be critical benchmarks for Biogen’s evolving strategy.
Biogen currently trades at $127.25, up from $121.01 just before the earnings. In the wake of this quarter, is it a buy or sell? Find out in our full research report (it’s free).
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