Oct 30 (Reuters) - Biogen cut its annual profit forecast on Thursday, as it expects to take a hit of $1.25 per share from R&D related charges tied to certain acquisitions in the fourth quarter.
Biogen shares dropped 2.3% in premarket trading.
The drugmaker, however, beat Wall Street estimates for third-quarter profit, helped by better-than-expected sales of its multiple sclerosis treatments, which now face stiff competition in a crowded treatment market.
Biogen has also reported steady growth for its keenly-watched Alzheimer's treatment Leqembi, which has struggled with a slow start due to concerns over cost, efficacy and side effects.
Global sales of Leqembi, developed with Japan's Eisai, rose over 80% from a year earlier to about $121 million. Its U.S. sales grew nearly 10% to $69 million.
A weekly under-the-skin injection version of Leqembi received U.S. approval in August, offering a convenient at-home administration option for patients who have completed an initial series of intravenous infusions.
Biogen expects the expanded approval to open up more infusion chairs for new patients who need to start on the treatment. It is also shifting its marketing strategy to target newly diagnosed patients.
On an adjusted basis, Biogen expects 2025 per-share profit of between $14.50 and $15.00, compared with its prior view of between $15.50 and $16.00. It said the new forecast reflects a positive impact of 25 cents per share from an expected stronger business outlook for the full year.
Analysts were expecting full-year profit of $15.80 per share, according to estimates compiled by LSEG.
It earned $4.81 per share for the quarter, compared with expectations of $3.88 per share.
Sales of multiple sclerosis drugs such as Tecfidera rose nearly 1% to $1.06 billion, beating a combined estimate of $950.69 million, according to estimates compiled by LSEG.
Its rare disease portfolio – which includes genetic disorder drug Skyclarys, spinal muscular atrophy drug Spinraza and ALS drug Qalsody – brought in sales of $533 million in the second quarter, up nearly 8% from a year earlier.