Genmab(US:GMAB)2025-05-08 15:19Financial Performance - Genmab's revenue for Q1 2025 increased by 19% to $715 million, up from $603 million in Q1 2024, driven by higher royalties from DARZALEX and Kesimpta[6] - Royalty revenue rose by 30% to $589 million in Q1 2025, compared to $452 million in Q1 2024, primarily due to increased net sales of DARZALEX and Kesimpta[6] - Operating profit for Q1 2025 was $188 million, an increase from $116 million in Q1 2024[10] - Net profit for Q1 2025 was $195 million, slightly up from $192 million in Q1 2024[10] - Genmab maintains its 2025 revenue guidance of $3.34 billion to $3.66 billion, with a projected midpoint of $3.5 billion[11] - Total costs and operating expenses for Q1 2025 were $527 million, an increase of 8% from $487 million in Q1 2024[10] - Milestone revenue decreased to $12 million in Q1 2025 from $50 million in Q1 2024, a decline of 76% due to a significant milestone achieved in the prior year[83] - Collaboration revenue increased to $16 million in Q1 2025 from $14 million in Q1 2024, a 14% increase driven by higher net sales of Tivdak[85] Product Sales and Royalties - Net sales of DARZALEX by J&J were $3,237 million in the first three months of 2025[58] - Net sales of DARZALEX were $3,237 million in Q1 2025, a 20% increase from $2,692 million in Q1 2024, with royalty revenue of $450 million[76] - Net sales of Kesimpta were $899 million in Q1 2025, a 41% increase from $637 million in Q1 2024, generating $90 million in royalty revenue[79] - Global net sales of EPKINLY/TEPKINLY were $90 million in Q1 2025, a 73% increase from $52 million in Q1 2024, driven by strong growth in 3L+ DLBCL and expansion to 3L+ FL[86] Research and Development - Genmab's product pipeline includes over 10 antibody products in clinical development, with ongoing collaborations for EPKINLY and Tivdak[20] - Epcoritamab (approved as EPKINLY and TEPKINLY) has received regulatory approvals in multiple territories including the U.S. and Europe for adult patients with relapsed or refractory DLBCL after two or more lines of systemic therapy[24] - Genmab has a broad clinical development program for Epcoritamab, including five ongoing Phase 3 trials and additional trials in planning[26] - Acasunlimab (GEN1046) is designed to induce an antitumor immune response and is currently recruiting for a Phase 3 trial in metastatic NSCLC[30] - Rinatabart Sesutecan (Rina-S) has shown a confirmed objective response rate of 55.6% in heavily pre-treated ovarian cancer patients during a Phase 2 trial[32] - GEN1059, a bispecific antibody targeting EpCAM and 4-1BB, is in a Phase 1/2 clinical trial for solid tumors[43] - GEN1160, a CD70-targeted ADC, is currently recruiting for a Phase 1/2 clinical study in advanced renal cell carcinoma and nasopharyngeal carcinoma[40] - GEN1286, an ADC targeting EGFR and cMet, is in a Phase 1/2 clinical study for advanced solid tumors[44] Financial Position - Genmab's cash and cash equivalents at the end of Q1 2025 were $1.619 billion, compared to $2.127 billion at the end of Q1 2024[10] - Total assets as of March 31, 2025, were $6,586 million, an increase from $6,414 million on December 31, 2024[108] - Shareholders' equity increased by $159 million, or 3%, to $5,296 million as of March 31, 2025, compared to $5,137 million on December 31, 2024[111] - Cash provided by operating activities increased by $68 million to $287 million in the first three months of 2025, driven by higher operating profit[103] - Total financial income decreased to $101 million in the first three months of 2025 from $168 million in the same period of 2024, primarily due to lower gains on marketable securities[95] - The company reported a basic net profit per share of $3.06 for the first three months of 2025, compared to $2.96 in the same period of 2024[119] Shareholder Actions - During the first three months of 2025, Genmab acquired 316,630 of its own shares, representing approximately 0.5% of share capital, at a total cost of $63 million[164] - The company initiated a share buy-back program to reduce capital and fulfill commitments under the RSU program, authorized to acquire up to 10% of share capital until March 11, 2030[163] - For the first three months of 2025, Genmab granted 633,505 RSUs with a weighted average fair value of DKK 1,602.57, compared to 436,774 RSUs with a fair value of DKK 2,015.91 in the same period of 2024[159] Legal and Regulatory Matters - Genmab is facing legal challenges, including a patent infringement complaint from Chugai and a trade secret complaint from AbbVie, but has not recorded any provisions related to these matters[173][175] Strategic Direction - The company aims to transform the lives of patients with innovative antibody therapeutics by 2030, focusing on next-generation antibody technology platforms[179] - Genmab has entered multiple strategic collaborations to support the expansion of its innovative pipeline[50]