Biogen(BIIB) - 2024 Q4 - Annual Results

Financial Performance - Fourth quarter 2024 total revenue was $2.5 billion, representing a 3% growth year-over-year; full year 2024 total revenue was$ 9.7 billion, a 2% decline year-over-year[1][5] - GAAP diluted EPS for Q4 2024 was $1.83, a 7% increase year-over-year; full year 2024 GAAP diluted EPS was$ 11.18, a 40% increase year-over-year[1][5] - Non-GAAP diluted EPS for Q4 2024 was $3.44, a 17% increase year-over-year; full year 2024 Non-GAAP diluted EPS was$ 16.47, a 12% increase year-over-year[1][5] - Total revenue for the twelve months ended December 31, 2024, was $7,213.5 million, compared to$ 7,246.7 million in 2023, indicating a decrease of approximately 0.5%[43] - Non-GAAP net income attributable to Biogen Inc. for Q4 2024 was $502.4 million, up from$ 430.3 million in Q4 2023, representing a 16.8% increase[49] - Net income attributable to Biogen Inc. for the twelve months ended December 31, 2024, was $1,632.2 million, compared to$ 1,161.1 million for 2023, reflecting a significant increase of 40.5%[33] Revenue Breakdown - LEQEMBI generated approximately $87 million in global in-market sales during Q4 2024, with U.S. sales around$ 50 million[4][5] - SKYCLARYS revenue for Q4 2024 was approximately $102 million, with U.S. revenue impacted by channel inventory and Medicare discount dynamics[4][5] - Revenue from Multiple Sclerosis (MS) products totaled$ 4,349.8 million for the twelve months ended December 31, 2024, down from $4,661.9 million in 2023, reflecting a decline of about 6.7%[41] - The revenue from SPINRAZA for the twelve months ended December 31, 2024, was$ 1,573.2 million, compared to $1,741.2 million in 2023, a decrease of approximately 9.7%[41] - OCREVUS royalties for Q4 2024 were$ 353.7 million, up from $338.0 million in Q4 2023, representing an increase of about 4.9%[43] - TYSABRI revenue for the twelve months ended December 31, 2024, was$ 1,715.0 million, compared to $1,876.9 million in 2023, a decline of approximately 8.6%[41] - The total revenue from biosimilars for the twelve months ended December 31, 2024, was$ 793.1 million, compared to $770.0 million in 2023, showing an increase of about 3.0%[41] Cost and Expenses - Research and development expenses for the year were$ 2,041.8 million, down from $2,462.0 million in 2023, showing a decrease of 17.1%[33] - Total cost of sales (Non-GAAP) for Q4 2024 was$ 540.5 million, down from $586.8 million in Q4 2023, reflecting a decrease of 7.9%[46] - Research and development expenses (Non-GAAP) for Q4 2024 were$ 528.2 million, a slight decrease from $568.1 million in Q4 2023[46] - Total selling, general and administrative expenses (Non-GAAP) for Q4 2024 were$ 672.5 million, compared to $587.9 million in Q4 2023, an increase of 14.4%[46] Cash and Debt Position - As of December 31, 2024, Biogen had cash and cash equivalents totaling approximately$ 2.4 billion and total debt of approximately $6.3 billion, resulting in net debt of approximately$ 3.9 billion[19] - The company’s cash and cash equivalents rose to $2,375.0 million as of December 31, 2024, compared to$ 1,049.9 million a year earlier, indicating a substantial increase of 126.5%[35] Future Outlook - Full year 2025 financial guidance projects Non-GAAP diluted EPS between $15.25 and$ 16.25, with total revenue expected to decline by a mid-single digit percentage compared to 2024[3][14] - The company anticipates a multi-billion dollar potential from its late-stage pipeline, indicating strong future growth prospects[25] - Biogen aims to enhance its commercial portfolio for long-term sustainable growth, focusing on strategic elements and disciplined business development[25] - The company is actively pursuing new product launches, including LEQEMBI, which is expected to contribute significantly to future revenues[25] Product Development and Initiatives - Biogen initiated a second Phase 3 study for Dapirolizumab pegol in systemic lupus erythematosus, with positive results from the first Phase 3 study presented at a major conference[4][5] - In February 2025, Royalty Pharma plc agreed to provide up to $250 million in R&D funding for litifilimab, with potential future royalties based on net sales[20] - New product QALSODY became commercially available in the U.S. in Q2 2023 and is expected to contribute to future revenue growth as it becomes available in the E.U. in Q2 2024[38] Other Financial Metrics - Free cash flow for the twelve months ended December 31, 2024, was$ 2,721.8 million, significantly higher than $1,270.2 million for the same period in 2023[55] - The effective tax rate (Non-GAAP) for Q4 2024 was 12.2%, compared to 17.0% in Q4 2023[48] - The company reported a net cash provided by operating activities of$ 760.9 million for Q4 2024, a significant increase from $12.5 million in Q4 2023[55]