Dell falls as soft current quarter guide offsets Q2 beat, full-year outlook lift
Investing.com -- BioArctic reported strong second-quarter results, boosted by rising royalties from Alzheimer’s drug Leqembi and a new strategic partnership with Novartis.
Net revenues jumped to SEK 392.1 million from SEK 49.8 million a year earlier, including SEK 162.5 million in Leqembi royalties. The result is in line with BioArctic’s previous announcements.
Operating profit reached SEK 179.1 million, compared with a loss of SEK 75.8 million last year, while profit for the period was SEK 96.6 million versus a loss of SEK 68.4 million.
Earnings per share (EPS) came in at SEK 1.09, reversing a negative SEK 0.77.
Cash flow from operating activities rose sharply to SEK 1,147.1 million, lifting cash and short-term investments to SEK 1,916.1 million at the end of June.
Chief executive Gunilla Osswald called the quarter “very positive,” highlighting strong Leqembi momentum, with royalties up nearly threefold from the same period last year.
She also pointed to a newly signed collaboration with Novartis , under which the two companies will develop a new neurodegeneration drug candidate by combining BioArctic’s BrainTransporter technology with a Novartis antibody.
The agreement includes a $30 million upfront payment, potential milestones worth up to $772 million, and royalties on future global sales, with Novartis assuming full responsibility for development and commercialization if it exercises its option.
" BioArctic has delivered Q2 revenue in line with prior announcements, and reiterated its goal to become sustainably profitable (we expect profitability from FY 2025 onwards)," RBC Capital Markets analyst Natalia Webster said in a note.
"We expect shares to be broadly neutral this morning and look for further colour around the recently announced Novartis deal and additional licensing opportunities for its BrainTransporter platform, as well as expectations for the European launch on the call," she added.