Regeneron Pharmaceuticals Reports Q2 Revenue Down 44% Year-over-Year, Net Income Slumps 73%

Intelligent Finance APP learned on August 3 that before the U.S. stock market opened, Regeneron Pharmaceuticals, Inc. (REGN.US) announced its second-quarter financial results. The data showed that Regeneron Pharmaceuticals' Q2 revenue was $2.857 billion, a year-on-year decrease of 44%, but still better than market expectations; net profit was $852 million, a year-on-year decrease of 73%; Non-GAAP earnings per share were $9.77, exceeding market expectations, compared with $25.80 in the same period last year.

In the second quarter, revenue excluding REGEN-COV, Regeneron's antibody cocktail for COVID-19, increased by 20% year-over-year. During 2022, REGEN-COV was not sold in the U.S. because, as of December 31, 2021, the company had completed the final delivery of the product under its agreement with the U.S. government.

In the second quarter, the U.S. net sales of the ophthalmic treatment drug EYLEA reached a record $1.62 billion, a year-over-year increase of 14%; the global net sales of the atopic dermatitis drug Dupixent reached $2.09 billion, a year-over-year increase of 40%.

Regeneron Pharmaceuticals Updates 2022 Financial Guidance. The company now expects full-year GAAP R&D expenses to be $3.485 billion - $3.655 billion, compared to the previous expectation of $3.27 billion - $3.5 billion; product sales gross margin to be 90% - 91%, compared to the previous expectation of 89% - 91%; capital expenditures to be $620 million to $670 million, compared to the previous expectation of $630 million - $700 million.

"We are pleased with our financial performance in the second quarter of 2022, with revenue growth of 20% excluding the contribution from REGEN-COV. This demonstrates the continued strength of our core business," said Robert E. Landry, Vice President and Chief Financial Officer of Regeneron Pharmaceuticals, Inc.

Landry stated, "In addition, we have updated our full-year 2022 financial guidance, primarily to reflect the recently completed acquisition of global rights to Libtayo from Sanofi. We believe this transaction will create significant shareholder value over time. In the second half of 2022, we look forward to advancing our pipeline through important clinical data readouts in oncology and ophthalmology, along with continued commercial execution and disciplined capital allocation to create value for shareholders."

As of press time, Regeneron Pharmaceuticals was up 2.09% in pre-market trading.