Regeneron Q1 Earnings Top, Sales Up on Dupixent & Eylea HD Strength (Revised)
π Regeneron reported Q1 2026 adjusted EPS of $9.47, beating the consensus estimate of $8.52 and rising from $8.22 in the prior year.
π° Total revenues grew 19% year-over-year to $3.6 billion, driven by strong performance from Eylea HD and increased Dupixent profits.
π Despite revenue outperformance, shares traded lower due to a year-over-year decline in GAAP earnings and a 5.2% drop this year versus the industry's 1.5%.
π Eylea sales in the U.S. plunged 36% to $473 million due to competition from Roche's Vabysmo and patient transition to higher-dose Eylea HD.
π Eylea HD generated $468 million in U.S. revenue, up 52% year-over-year, though sales were impacted by lower wholesaler inventory levels at quarter-end.
π€ Collaboration revenues totaled $1.9 billion, a 24% increase from the prior quarter, with Sanofi contributing $1.6 billion and Bayer contributing $287 million.
π Dupixent sales increased 33% year-over-year to $4.9 billion globally, driving significant profit growth for Regeneron's collaboration segment with Sanofi.
π¬ Libtayo sales reached $438 million, up 54% year-over-year, while Praluent net sales in the U.S. were $67 million.
π Gross margin on net product sales improved slightly to 86% from 85%.
π§ͺ Adjusted R&D expenses rose 19% to $1.4 billion due to pipeline advancements in hematology-oncology and other therapeutic areas.
πΈ The company repurchased $803 million of common stock in Q1, with $688 million remaining under existing buyback programs as of March 31, 2026.
π In April 2026, the board authorized a new share repurchase program allowing for an additional $3.0 billion in buybacks.
πΆ Dupixent received FDA and European Commission approval in April 2026 for treating chronic spontaneous urticaria in children aged two to 11 years.
π€§ Dupixent was approved in February 2026 as the first treatment for allergic fungal rhinosinusitis in adults and children aged six and older.
π The FDA approved extending Eylea HD dosing intervals up to 20 weeks for wAMD and DME patients after one year of sustained response.
π Regeneron resubmitted its application for the Eylea HD pre-filled syringe at a site now owned by Novo Nordisk following a re-inspection.
𧬠The FDA granted accelerated approval to Otarmeni, a gene therapy for severe hearing loss caused by OTOF gene variants, under the National Priority Voucher Program.
π A new drug application for cemdisiran in myasthenia gravis was submitted using a rare pediatric disease priority review voucher.
β οΈ Eylea sales remain under pressure from Roche's Vabysmo, which offers a differentiated mechanism inhibiting both Ang-2 and VEGF-A pathways.
π₯ Regeneron is strengthening its oncology portfolio with Libtayo label expansions to offset headwinds in the ophthalmology segment.
π The Zacks Rank for Regeneron is currently #3 (Hold).
- Regeneron reported first-quarter 2026 adjusted earnings per share (EPS) of $9.47, which comfortably beat the Zacks Consensus Estimate of $8.52.
- Total revenues grew 19% year over year to $3.6 billion, driven by higher sales of Eylea HD and increased Dupixent profits.
- Eylea HD generated revenues of $468 million in the United States, up 52% year over year, backed by higher sales volumes driven by increased demand.
- Dupixent's sales increased 33% year over year to $4.9 billion, driving collaboration revenues with Sanofi that increased 36% to $1.6 billion.
- Total Libtayo sales were $438 million, up 54% year over year, significantly beating the Zacks Consensus Estimate of $361 million.
- Gross margin on net product sales improved to 86% from 85%, demonstrating operational efficiency.
- The FDA approved Dupixent for chronic spontaneous urticaria in children aged two to 11 years, expanding its market reach and pediatric indications.
- The FDA approved extending Eylea HD dosing intervals up to 20 weeks for wAMD and DME patients, enhancing its dosing flexibility and potential patient adherence.
- Regeneron received accelerated approval for Otarmeni (lunsotogene parvec), the first gene therapy cleared under the FDA Commissioner's National Priority Voucher Program.
- The company repurchased $803 million worth of its common stock in Q1, with an additional $3.0 billion authorized for share buybacks in April 2026.
- Shares traded lower despite earnings beat, having lost 5.2% year-to-date compared to an industry decline of only 1.5%.
- GAAP earnings declined due to share count reductions, even though adjusted EPS beat estimates.
- Eylea sales in the U.S. fell 36% year over year to $473 million amid competition from Roche's Vabysmo and patient transitions to Eylea HD.
- Bayer collaboration revenues were $287 million, down 17% year over year.
- Adjusted R&D expenses increased 19% year over year to $1.4 billion due to pipeline advancements.
- A decision on a second PFS manufacturing application for Eylea HD was not made by the April 2026 target action date and remains under review, with an update expected in Q2 2026.
- Eylea sales were negatively impacted by lower wholesaler inventory levels at the end of the first quarter of 2026 compared to the end of the fourth quarter of 2025.