(Reuters) -Biogen beat Wall Street estimates for third-quarter profit, helped by better-than-expected sales of some of its multiple sclerosis treatments.
The company, however, cut its annual profit forecast as it expects to take a hit of $1.25 per share from research and development charges related to certain acquisitions in the fourth quarter.
Biogen said it is pursuing deals to build its early-stage pipeline amid declining sales of its once top-selling multiple sclerosis medicines in the face of stiff competition in a crowded treatment market.
“We expect to announce at least another one, if not two, further research-stage deals by the end of the year,” CEO Christopher Viehbacher said on a call to discuss results.
Biogen shares were up over 2% in afternoon trading.
Earlier this year, Biogen had licensed Vanqua Bio’s experimental drug targeting inflammatory disorders for up to $1.06 billion.
For the third quarter, Biogen reported steady growth for its keenly watched Alzheimer’s treatment, Leqembi, which has struggled with a slow start due to concerns over cost, efficacy and side effects.
Global sales of Leqembi, developed with Japan’s Eisai, rose over 80% in the quarter to about $121 million from a year earlier. Its U.S. sales grew nearly 10% to $69 million.
A weekly under-the-skin injection version of Leqembi received U.S. approval in August, offering a convenient at-home administration option for patients after an initial series of intravenous infusions.
Biogen expects adjusted 2025 per-share profit of between $14.50 and $15.00, down from its prior view of between $15.50 and $16.00.
It earned $4.81 per share for the quarter, topping expectations of $3.88 per share.
Sales of multiple sclerosis drugs, including Vumerity, rose nearly 1% to $1.06 billion, beating a combined estimate of $950.69 million, according to estimates compiled by LSEG.
Its rare disease portfolio – which includes genetic disorder drug Skyclarys and spinal muscular atrophy drug Spinraza – brought in sales of $533 million in the quarter, up nearly 8% from a year earlier.
(Reporting by Mariam Sunny and Christy Santhosh in Bengaluru; Editing by Anil D’Silva and Maju Samuel)
