Regeneron Pharmaceuticals, Inc.

(NASDAQ Global Select)
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Bullish +55

Regeneron Q1 Earnings Top, Sales Up on Dupixent & Eylea HD Strength (Revised)

AI-generated analysis

πŸ“ˆ Q1 2026 adjusted EPS reached $9.47, beating the consensus estimate of $8.52 and rising from $8.22 in the year-ago quarter.

πŸ’° Total revenues increased 19% year-over-year to $3.6 billion, driven by Dupixent and Eylea HD strength.

πŸ‘οΈ Eylea U.S. sales dropped 36% to $473 million due to competition from Roche's Vabysmo and patient transition to Eylea HD.

πŸš€ Eylea HD revenues surged 52% year-over-year to $468 million in the U.S., beating consensus estimates.

🀝 Collaboration revenues with Sanofi and Bayer rose 24% to $1.9 billion, boosted by Dupixent profits.

πŸ’‰ Libtayo oncology sales jumped 54% to $438 million, significantly outperforming the $361 million consensus.

πŸ“œ FDA approved Dupixent for chronic spontaneous urticaria in children aged 2-11 and allergic fungal rhinosinusitis.

⏳ Eylea HD dosing intervals were extended up to 20 weeks for wAMD and DME patients after one year of response.

🧬 Otarmeni received accelerated FDA approval as the first gene therapy under the National Priority Voucher Program.

πŸ’Έ Company repurchased $803 million in stock during Q1 and authorized an additional $3.0 billion buyback program.

Bullish Signals
  • Adjusted EPS of $9.47 comfortably beat the Zacks Consensus Estimate of $8.52, demonstrating strong bottom-line execution.
  • 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 $468 million in U.S. revenue, a 52% increase year-over-year, indicating successful adoption of the new formulation.
  • Dupixent global sales increased 33% to $4.9 billion, driving collaboration revenues with Sanofi up 36% to $1.6 billion.
  • Libtayo sales surged 54% to $438 million, beating estimates and highlighting the strength of the oncology franchise.
  • Regeneron received multiple regulatory wins in Q1 2026, including pediatric approvals for Dupixent and extended dosing for Eylea HD.
  • Gross margin on net product sales improved to 86% from 85%, reflecting operational efficiency.
  • The company executed $803 million in share repurchases and authorized an additional $3.0 billion buyback, signaling confidence in capital allocation.
Risk Factors
  • GAAP earnings declined year-over-year despite adjusted beat, contributing to a 5.2% stock decline compared to the industry's 1.5% drop.
  • Eylea U.S. sales plunged 36% to $473 million due to intense competition from Roche's Vabysmo and patient transition to Eylea HD.
  • Eylea HD sales were negatively impacted by lower wholesaler inventory levels at the end of Q1 compared to Q4 2025.
  • Bayer collaboration revenues decreased 17% year-over-year to $287 million, adding drag to total collaboration income.
  • Praluent net sales in the U.S. were only $67 million, indicating limited growth in this specific franchise compared to others.
Full Analysis
Regeneron Pharmaceuticals (REGN) reported first-quarter 2026 adjusted earnings per share of $9.47, surpassing the Zacks Consensus Estimate of $8.52 and exceeding the prior year's $8.22. Total revenues grew 19% year-over-year to $3.6 billion, driven by strong performance in its key franchises Dupixent and Eylea HD, though GAAP earnings declined due to share count reductions. The company's flagship ophthalmology drug, Eylea, faced a 36% decline in U.S. sales to $473 million amid competition from Roche's Vabysmo and patient transitions to the higher-dose Eylea HD. Conversely, Eylea HD revenues surged 52% to $468 million in the U.S., while collaboration revenues with Sanofi and Bayer rose 24% to $1.9 billion, fueled by a 33% increase in Dupixent global sales. Regeneron continues to diversify its portfolio with significant growth in oncology; Libtayo sales jumped 54% to $438 million, beating estimates. The company received multiple regulatory approvals in early 2026, including expanding Dupixent for pediatric chronic spontaneous urticaria and allergic fungal rhinosinusitis, and extending Eylea HD dosing intervals up to 20 weeks. Despite the stock trading lower due to GAAP declines, Regeneron executed $803 million in share repurchases during Q1 and authorized an additional $3.0 billion buyback program. The company maintains a diversified revenue base with gross margins inching up to 86%, supported by advancements in hematology-oncology and complement-mediated disease pipelines.