Prominent biotechnology company Biogen (BIIB) delivered a standout performance in the stock market on Wednesday. The company released its latest quarterly earnings report. Despite significantly lowering its full-year guidance, investors responded positively to the better-than-expected quarterly results, actively buying the stock. By the end of the trading day, Biogen’s share price had risen by 6%.
Biogen’s total revenue for the first quarter of 2026 reached $2.48 billion, a 2% increase year-over-year, surpassing the market consensus of $2.25 billion. The improvement in profitability was even more notable. On a non-GAAP basis, the company’s net profit attributable to shareholders grew by 19% to just over $529 million, equivalent to earnings of $3.57 per share, while the average analyst estimate was only $2.95 per share.
As its name suggests, Biogen’s “growth products” portfolio was the primary driver of the year-over-year revenue increase. Sales of Leqembi, a drug for early-stage Alzheimer’s disease, surged 74% to $168 million. Other products achieving double-digit growth include Skyclarys, which is currently the only drug approved by the U.S. Food and Drug Administration for the treatment of Friedreich’s ataxia, a neurodegenerative disease.
On the less positive side, Biogen lowered its full-year earnings guidance. The company now expects adjusted net income per share of $14.25 to $15.25, a reduction of $1 at both ends of the range compared to the previous guidance of $15.25 to $16.25. This is primarily due to the anticipated impact of in-process research and development expenses from an acquisition. On the revenue front, Biogen continues to expect a mid-single-digit decline compared to 2025.
However, these forecasts do not include the pending acquisition of fellow industry player Apellis Pharmaceuticals, a transaction valued at $5.6 billion that is expected to close in the near term.
Biogen is continuing its long-term transformation, shifting away from a company focused on multiple sclerosis treatments toward other more promising therapies. In recent years, the company has faced several challenges, including biosimilar competition in its multiple sclerosis business and commercial setbacks in the Alzheimer’s disease market.
Nevertheless, new product launches and label expansions may help drive revenue growth. Take Leqembi as an example. First approved in 2023, the drug has since received additional approvals, notably as a subcutaneous injection for maintenance dosing. This means patients can receive treatment at home without needing to visit a healthcare facility for intravenous infusions, which could help increase the drug’s utilization rate. Additionally, Leqembi may soon receive approval for subcutaneous administration for initiation therapy. Last year, Biogen’s share of revenue from this drug was $178 million, a 197% increase year-over-year.
Biogen has also received approval for a high-dose formulation of Spinraza, which has demonstrated higher efficacy in clinical trials and requires fewer initial doses. Other newer products, such as Skyclarys and Zurzuvae for postpartum depression, may also help the company resume robust revenue growth.
