(Reuters) -Biogen raised its annual profit forecast on Thursday, betting on strong demand for its rare disease drugs such as Skyclarys to offset declining sales of its older multiple sclerosis drugs.
Shares of the drugmaker rose nearly 8% in premarket trading.
The company has focused on deals, cost-cutting measures and newer drugs to address investor pressure for growth, amid declining sales of its aging multiple sclerosis drugs and slow take-up of its Alzheimer’s treatment Leqembi.
Biogen said it does not expect President Donald Trump’s tariff threats to have a material impact on its annual outlook, even if the exemption for pharmaceuticals were to be removed, as a significant portion of its U.S. revenue comes through domestic manufacturing.
The company has been expanding its U.S. presence to mitigate any potential tariff impact with a $2 billion investment in its key North Carolina manufacturing facility last week.
On an adjusted basis, Biogen expects 2025 profit between $15.50 and $16.00 per share, compared with its previous forecast of $14.50 to $15.50.
It earned $5.47 per share in the second quarter, topping analysts’ average estimate of $3.86 per share, according to data compiled by LSEG.
U.S. sales of Leqembi, which the company sells with Japan’s Eisai, were $63 million for the second quarter. The Wall Street consensus estimate was at $60.5 million, according to brokerage Jefferies.
(Reporting by Mariam Sunny in Bengaluru; Editing by Shailesh Kuber)
