Biogen Inc. · NASDAQ:BIIB
Biogen — Q3 2024 Earnings Presentation
30 slides from Biogen's earnings presentation, Oct 30, 2024
Slide 1: Third Quarter 2024 Financial Results and Business Update
Third Quarter 2024 Financial Results and Business Update October 30, 2024
Slide 2: Forward-looking statements
Forward-looking statements This presentation and the discussions during this conference call contain forward-looking statements, relating to: our strategy and plans; potential of, and expectations for, our commercial business and pipeline programs; capital allocation and investment strategy; clinica
Slide 3: Non-GAAP financial information
Non-GAAP financial information This presentation and the discussions during this conference call include certain financial measures that were not prepared in accordance with accounting principles generally accepted in the U.S. (GAAP), including adjusted net income, adjusted diluted earnings per shar
Slide 4: Biogen call participants
Biogen call participants Christopher A. Priya Singhal, M.D., Alisha A. Alaimo Michael McDonnell Viehbacher M.P.H. President and Chief Head of Development Chief Financial Officer President and Head of Executive Officer North America 4
Slide 5: Key Highlights
Key Highlights Christopher A. Viehbacher President and Chief Executive Officer 5
Slide 6: Building a New Biogen, poised for sustainable growth
Building a New Biogen, poised for sustainable growth Advancing product Building a late-stage pipeline with Strengthening financial launches multi-billion-dollar potential profile Continuing momentum as quarterly Advancing key programs across Right-size the expense base launch revenue offsets year-ov
Slide 7: Key late-stage programs have the potential to deliver significant revenue
Key late-stage programs have the potential to deliver significant revenue Dapirolizumab BIIB080 Litifilimab Felzartamab pegol Early AD CLE SLE AMR SLE IgAN PMN Up to Potential peak ~$14B revenue to Biogen* Note: BIIB080 is licensed from Ionis Pharmaceuticals, Inc; Dapirolizumab pegol is being develo
Slide 8: Development Update
Development Update Priya Singhal, M.D., M.P.H. Head of Development 8
Slide 9: Pioneering with the aim of transforming innovation into novel medicines for patients
Pioneering with the aim of transforming innovation into novel medicines for patients Strategic Objectives 1. Sustain and continue building leadership in Alzheimer’s disease 2. Prepare for leadership in immunology and rare disease with key data in late-stage assets 3. Accelerate earlier stage R&D pro
Slide 10: Potential to expand leadership in Alzheimer's with continued innovation
Potential to expand leadership in Alzheimer’s with continued innovation across disease stage and targets Pre-symptomatic AD MCI due to AD / Mild AD LEQEMBI IV Maintenance FDA decision expected January 2025 LEQEMBI LEQEMBI AI – Subcutaneous Maintenance AHEAD 3-45 Study Filing expected to complete imm
Slide 11: Unique opportunity to build an industry-leading immunology pipeline
Unique opportunity to build an industry-leading immunology pipeline in areas of significant unmet need Systemic Lupus Erythematosus Program MoA Phase 1 Phase 2 Phase 3 • SLE is estimated to affect >3 million individuals worldwide1 Dapirolizumab Anti-CD40L pegol – SLE fab • Many patients require gluc
Slide 12: Positive phase 3 underscores the potential of Dapi in SLE
Positive phase 3 underscores the potential of Dapi to be a first-in-class biologic to address unmet need in SLE Dapirolizumab pegol is a PEG-conjugated antigen-binding fragment lacking an Fc domain that inhibits CD40L signalling Phase 3 Results ✓ Met the primary endpoint showing a statistically sign
Slide 13: Phase 3 data highlight potential for higher-dose nusinersen in SMA
Phase 3 data highlight potential for investigational higher-dose nusinersen to maximize efficacy in SMA Investigational higher dose nusinersen DEVOTE Study results show that higher dose nusinersen: comprises a more rapid loading regimen and higher maintenance dose • Slows neurodegeneration faster vs
Slide 14: Continued execution with key milestones achieved across a broad, diverse pipeline
Continued execution with key milestones achieved across a broad, diverse pipeline Phase 1 Phase 2 Phase 3 Approved Development Milestones BIIB113 (OGA inhibitor) BIIB080 (tau ASO)^ Lecanemab (Aβ mAb)* Lecanemab (Aβ mAb)* Early AD Early AD Preclinical AD Early AD • Dapirolizumab pegol in SLE: Positiv
Slide 15: Pipeline has the potential to deliver high value medicines with several expected milestones
Pipeline has the potential to deliver high value medicines with several expected milestones over the coming years 2024-2026 2027-2029 2030+ HD nusinersen (SMA) dapirolizumab pegol (SLE) BIIB080 (AD) LEQEMBI (AI-SC initiation) felzartamab (IgAN) BIIB091 (MS) LEQEMBI (AI-SC maintenance) felzartamab (P
Slide 16: Financial Update
Financial Update Michael McDonnell Chief Financial Officer 16
Slide 17: Third quarter 2024 key financial highlights
Third quarter 2024 key financial highlights ✓ Third quarter 2024 total revenue $2.5 billion; GAAP diluted EPS of $2.66 and Non-GAAP diluted EPS of $4.08 ✓ New product launches each delivered sequential revenue growth; Total revenue from product launches in the third quarter continued to offset year-
Slide 18: Third quarter 2024 revenue highlights
Third quarter 2024 revenue highlights Constant ($ in Millions) Q3 2024 Q3 2023 Y/Y Currency* Multiple sclerosis product revenue1 $1,054 $1,159 (9%) (9%) Total rare disease revenue2 $495 $450 10% 10% Biosimilars revenue $197 $194 1% 0% Other product revenue3 $24 $2 NMF NMF Total product revenue $
Slide 19: Third quarter 2024 financial results summary
Third quarter 2024 financial results summary ($ in Millions except EPS, Shares in Millions) Q3 2024 Q3 2023 Δ Y/Y Total Revenue $2,466 $2,530 (3%) GAAP Cost of Sales* $639 $660 3% % of revenue 26% 26% Non-GAAP Cost of Sales* $593 $660 10% % of revenue 24% 26% GAAP R&D Expense $543 $736 26% Non-GAAP
Slide 20: Balance sheet and cash flow
Balance sheet and cash flow Balance Sheet Cash Flow (as of September 30, 2024) (Q3 2024) $1.7B Cash and marketable securities $936M Net cash flow from operations $6.3B Debt $35M Capital expenditures $4.6B Net debt $901M Free cash flow* * Free cash flow is defined as net cash flow from operations les
Slide 21: Updated full year 2024 financial guidance
Updated full year 2024 financial guidance Prior FY 2024 Guidance Updated FY 2024 Guidance $15.75 to $16.25 $16.10 to $16.60 Non-GAAP Diluted EPS Reflecting growth of ~9% at the mid-point* Reflecting growth of ~11% at the mid-point* * Versus reported full year 2023 Please see Biogen’s Q3 2024 earning
Slide 22: Questions & Answers
Questions & Answers 22
Slide 23: Appendix
Appendix 23
Slide 24: Consolidated Statement of Income
Consolidated Statement of Income (unaudited, in millions, except per share amounts) 24
Slide 25: Consolidated Balance Sheets
Consolidated Balance Sheets (unaudited, in millions) 25
Slide 26: Product Revenue (US and Rest of World) & Total Revenue
Product Revenue (US and Rest of World) & Total Revenue (unaudited, in millions) 26
Slide 27: GAAP to Non-GAAP Reconciliation
GAAP to Non-GAAP Reconciliation Operating Expense, Other (Income) Expense, net and Income Tax (unaudited, in millions, except effective tax rate) Use of Non-GAAP Financial Measures We supplement our GAAP consolidated financial statements and GAAP financial measures with other financial measures, suc
Slide 28: GAAP to Non-GAAP Reconciliation
GAAP to Non-GAAP Reconciliation Net Income & Diluted EPS (unaudited, in millions, except per share amounts) 28
Slide 29: GAAP to Non-GAAP Reconciliation
GAAP to Non-GAAP Reconciliation Revenue Change at Constant Currency vs Q3 2023 (unaudited, in millions) 29
Slide 30: GAAP to Non-GAAP Reconciliation
GAAP to Non-GAAP Reconciliation Free Cash Flow (unaudited, in millions) 30