BEIGENE(ONC) - 2025 Q1 - Quarterly Report

Financial Performance - Total revenues for the first quarter of 2025 increased by 48.6% to $1.117 billion, compared to$751.7 million in the same period of 2024[92] - BRUKINSA global sales reached $792 million, reflecting a 62$563.2 million[96] - TEVIMBRA revenue increased by 17.8% to $171.2 million in the first quarter of 2025[97] - Gross margin on global product sales improved to 85.1$251.2 million in the prior year[92] - GAAP net income improved to $1.3 million for the first quarter of 2025, compared to a loss of$251.2 million in the prior-year period[109] - Basic and diluted earnings per share for the first quarter of 2025 were $0.00 and$0.01 per American Depositary Share, respectively, compared to a basic loss of $0.19 per share in the prior-year period[108] - Adjusted earnings per share - basic improved to$0.10 for the first quarter of 2025, compared to a loss of $0.11 in the prior-year period[110] Expenses and Costs - Operating expenses increased by 6$941.2 million, with research and development expenses rising by 4.6%[93] - Research and development expense increased by $21.2 million, or 4.6$481.9 million for the three months ended March 31, 2025, compared to $460.6 million for the same period in 2024[99] - External research and development expenses rose by$19.4 million, or 11.3%, to $190.8 million, driven by increased costs in development programs[99] - Selling, general and administrative expenses increased by$31.9 million, or 7.5%, to $459.3 million for the three months ended March 31, 2025, from$427.4 million in the prior-year period[104] Cash Flow and Debt - Cash, cash equivalents, and restricted cash totaled $2.53 billion as of March 31, 2025, down from$2.64 billion at the end of 2024[111] - Total debt decreased to $923.6 million as of March 31, 2025, from$1.02 billion at the end of 2024, with $97.1 million paid down in the first quarter[111] - Cash provided by operating activities improved by$352.7 million in Q1 2025 compared to Q1 2024, driven by significantly improved revenue and a $325.6 million increase in gross margin[114] - Net cash used in investing activities decreased to$121.9 million in Q1 2025 from $209.8 million in Q1 2024, primarily due to a reduction in capital expenditures[115] - Financing activities used$33.8 million in cash in Q1 2025, a significant decrease from $162.3 million provided in Q1 2024, mainly due to a net reduction in short-term debt borrowings[116] - The company expects to repay approximately$763.5 million of loans in the next 12 months, with refinancing dependent on prevailing interest rates and credit spreads[117] - As of March 31, 2025, total debt obligations due in the next twelve months amount to $763.5 million, with long-term debt obligations at$160.2 million[124] Collaborations and Strategic Developments - Collaboration revenue rose by 84.8% to $8.7 million, primarily from agreements with Novartis and Amgen[94] - The company secured shareholder approval to rename itself to BeOne Medicines Ltd. and to redomicile to Switzerland[92] - The company has a remaining co-development funding commitment of$295.1 million under the Amgen collaboration for oncology pipeline assets[126] Market and Economic Factors - The U.S. Patent and Trademark Office invalidated claims of Pharmacyclics LLC's patent, benefiting the company's competitive position[89] - A 100-basis point increase in interest rates would increase annual pre-tax interest expense by approximately $6.2 million, given$624.9 million of outstanding floating rate debt[132] - The RMB appreciated approximately 0.6% against the U.S. dollar in Q1 2025, while it depreciated approximately 2.8% in the year ended December 31, 2024[133] Future Outlook - The company plans to host an Investor R&D Day on June 26, 2025, to discuss advancements in its late-stage hematology and solid tumor pipelines[92]