Biogen Sees Higher Adj. EPS, Weak Revenues In FY24; Stock Down In Pre-market

(RTTNews) - Biotechnology company Biogen Inc. (BIIB), while reporting weak results in its fourth quarter, on Monday said it expects to return to adjusted earnings per share growth in fiscal 2024, but lower revenues.

In pre-market activity on Nasdaq, Biogen shares were losing around 5.3 percent to trade at $231.75.

For the full year, the company projects adjusted earnings per share of $15 to $16, representing growth of approximately 5 percent from last year at the mid-point. In fiscal 2023, adjusted earnings per share declined 17 percent from last year to $14.72.

Analysts on average expect the company to report earnings of $15.65 per share, according to figures compiled by Thomson Reuters. Analysts' estimates typically exclude special items.

Biogen expects operating income to grow at a low-double digit percentage with mid-single digit percentage point operating margin expansion.

Meanwhile, total revenue is expected to decline by a low- to mid-single digit percentage, while core pharmaceutical revenue would be relatively flat. Further declines in multiple sclerosis product revenue are expected to be offset by increases in revenue from new product launches.

In its fourth quarter, Biogen's earnings decreased from last year and missed the Street estimates.

The company's earnings came in at $249.7 million, or $1.71 per share. This compares with $550.4 million, or $3.79 per share, in last year's fourth quarter.

Adjusted earnings were $430.3 million or $2.95 per share for the period. Analysts had expected the company to earn $3.18 per share.

The company's revenue for the quarter fell 5.9 percent to $2.39 billion from $2.54 billion last year.

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