February 6, 2026
Finance

Biogen Surges to 52-Week Peak Amid Strong Alzheimer’s Drug Revenue Growth

Fiscal 2025 results exceed investor expectations driven by LEQEMBI and rare disease portfolio expansion

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Summary

Biogen Inc. reported fourth-quarter fiscal 2025 financial results that surpassed market expectations, highlighted by robust sales growth in Alzheimer’s treatment LEQEMBI and rare disease drugs. The company posted adjusted EPS of $1.99, well above the consensus estimate of $1.59, while revenues totaled $2.28 billion, exceeding forecasted $2.20 billion despite a year-over-year decline. Looking ahead, Biogen projects fiscal 2026 earnings between $15.25 and $16.25 per share and anticipates a modest revenue decrease due to declines in some Multiple Sclerosis (MS) products, partly offset by growth in other segments.

Key Points

Biogen reported adjusted EPS of $1.99 in Q4 fiscal 2025, surpassing the consensus estimate of $1.59.
Total revenue for the quarter was $2.28 billion, beating expectations despite a 7% year-over-year decline.
Alzheimer’s drug LEQEMBI collaboration revenue increased 54%, reaching approximately $134 million in global in-market sales.
Rare disease drugs, including Skyclarys and Zurzuvae, showed significant demand growth with revenues of $133.4 million and $66 million respectively in Q4, both up from the previous year.
Biogen Inc. (NASDAQ: BIIB) delivered better-than-anticipated financial results for the fourth quarter of fiscal 2025, buoyed by substantial growth in its Alzheimer’s treatment and rare disease drug portfolios. The company posted an adjusted earnings per share (EPS) of $1.99, surpassing analyst expectations that had forecasted $1.59. Quarterly revenues reached $2.28 billion, outpacing the consensus estimate of $2.20 billion, though reflecting a 7% decrease compared to the prior year on both reported and constant currency bases.

On the drug performance front, Biogen’s growth products' revenue increased 19% year-over-year, a gain that effectively offset the declines recorded in certain Multiple Sclerosis (MS) therapies, excluding revenue from the MS drug Vumerity. Collaboration revenue related to the Alzheimer’s disease medication LEQEMBI reached $47 million, with Eisai, Biogen’s partner, reporting in-market sales escalating approximately 54% to about $134 million globally. Approximately $78 million of these sales were attributed to the United States, indicating continued uptake in that market.

Revenues from MS treatments totaled $917 million, down 14% year-over-year and by 15% on a constant currency basis. The MS drug Tysabri contributed $397.5 million in sales, marking a decline from $415.4 million in the prior year period. The rare disease segment registered a 4% decrease in revenue to $514.6 million, matching the percentage decline on a constant currency basis. In particular, Spinraza’s sales decreased to $356.2 million from $421.4 million one year prior. The decline in Spinraza sales for the quarter is linked to shipment timing effects outside the United States, with full-year revenue down marginally by 2% compared to fiscal 2024.

The acquisition of Reata Pharmaceuticals expanded Biogen’s pipeline, with Skyclarys, a treatment for Friedreich’s Ataxia, generating $133.4 million during the quarter, up from $102.2 million the previous year. Patient numbers globally on Skyclarys therapy increased by roughly 30% in 2025. U.S. sales contributed about $89 million for the quarter, driven by rising demand, while ex-U.S. sales were approximately $44 million, reflecting ongoing demand growth alongside a one-time adjustment for reimbursement.

Additionally, Zurzuvae, Biogen’s postpartum depression treatment, posted estimated fourth-quarter revenue of roughly $66 million, illustrating sustained demand growth. Vumerity sales grew by 3% year-over-year in the quarter, achieving $181.1 million.

Biogen’s President and CEO, Christopher Viehbacher, highlighted that the company's 2025 financial performance was underpinned by strong execution and a focus on financial discipline. He underscored revenue contributions nearing $1 billion from the combined products LEQEMBI, Skyclarys, Zurzuvae, and Qalsody, alongside pipeline advancements and resilience within Biogen’s MS franchise.

Looking forward to fiscal 2026, Biogen projects earnings per share in a range of $15.25 to $16.25, exceeding the consensus of $14.92 per share. The company anticipates revenues to decline by a mid-single-digit percentage relative to 2025. This decrease is primarily expected from continued declines in MS products excluding Vumerity, which could fall by a mid-teen percentage. The company also foresees ongoing low double-digit percentage declines in biosimilar revenues. However, growth product sales are expected to partially offset these declines.

Additional expected contributions include contract manufacturing revenues estimated at approximately $300 million for both the first and second halves of 2026.

Following the earnings release, Biogen’s stock rose 4.28% to $193.29, reaching a new 52-week high, signaling positive investor sentiment around the company’s growth trajectory and outlook.
Risks
  • Revenue declines are expected in Multiple Sclerosis drugs excluding Vumerity, projected to decrease by a mid-teen percentage in fiscal 2026.
  • Biosimilar product revenues are anticipated to continue falling by low double-digit percentages.
  • Timing effects impacted Spinraza shipment outside the U.S., indicating potential volatility in rare disease revenues depending on shipment schedules.
Disclosure
Education only / not financial advice
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