Tysabri revenue rises despite fall in patient numbers
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Biogen Idec, Elan's research partner on multiple sclerosis treatment Tysabri, has reported stronger third-quarter results than expected -- but data related to the MS drug was mixed.
Revenue from sales of Tysabri rose 21pc to $207m (€139m), but there was a decline in the weekly number of new patients.
According to Geoffrey Meacham, an analyst at JP Morgan, only 223 net new patients were added per week in the latest quarter -- down from 262 a week in the second quarter.
"Overall, we thought the quarter looked okay on a revenue basis for Tysabri, but lower new adds were a negative surprise," said Mr Meacham.
Biogen said yesterday it has determined that the risk for patients of developing a potentially deadly brain infection known as PML increases with the number of Tysabri infusions received.
Label
The company said that, together with Elan, it is discussing the possibility of changing the drug's label to reflect the increased risk of PML with duration of treatment.
The firm said net profit rose 34pc to $278m or 95c a share, from $207m or 70c a share a year earlier. Revenue rose 3pc to $1.12bn.
Excluding one-time items, the company earned $1.12 a share.
Analysts were on average expecting $1.04, according to Thomson Reuters.
Revenue from Avonex, the company's main product for treating multiple sclerosis, rose 1pc to $580m. US sales of the drug rose 8pc to $348m. The company said its board had authorised a $1bn share repurchase programme.
It said this was in addition to the six million shares remaining from its previous share repurchase authorisation.
Shares
"While we have used the prior programme principally for share stabilisation, this new $1bn authorisation is intended to reduce our shares outstanding with the objective of returning excess cash to shareholders," the company said.
Biogen said it expects to report 2009 revenue in the mid to high single-digit range.
It expects earnings excluding one-time items to be above $3.85 a share and net earnings to be above $2.97 a share.
Elan reports third-quarter results later today. (Additional reporting Reuters)
- Ailish O'Hora
Irish Independent
