Biogen at Goldman Sachs Conference: Strategic Shifts and Pipeline Progress

On Tuesday, 10 June 2025, at the Goldman Sachs 46th Annual Global Healthcare Conference 2025, Biogen Inc. (NASDAQ:BIIB) provided insights into its strategic direction and ongoing challenges. CFO Robin Kramer highlighted the company’s investments in product launches and its expansion into immunology and nephrology. While Biogen is optimistic about pipeline developments, it faces hurdles in product access and market dynamics.

Key Takeaways

• Biogen expects to achieve $800 million in net cost savings by year-end through its Fit for Growth program.
• The company is advancing nine programs in Phase 3 or Phase 3-ready stages, focusing on neuroscience and rare diseases.
• Operational challenges include logistical issues with Lykembi’s launch, addressed through innovative solutions like blood-based biomarkers.
• Biogen’s strategic shift includes reallocating $250 million from its MS portfolio to support new product launches.
• The company is exploring AI to enhance patient identification and improve operational efficiency.

Financial Results

• Net Cost Savings: Biogen anticipates $800 million in savings by the end of 2025, driven by its Fit for Growth initiative.
• SG&A Rotation: A strategic reallocation of $250 million from the MS portfolio to support four key product launches, maintaining consistent year-over-year SG&A expenses.
• Margin Trajectory: Focus on COGS optimization to improve margins, particularly for new products like Lykembi.
• R&D Costs: Biogen is seeking cost offsets as it completes transactions to support its research and development efforts.

Operational Updates

• Pipeline Progress: Nine programs are in Phase 3 or Phase 3-ready stages, with a focus on neuroscience and rare diseases.
• Hai Bio Acquisition: Biogen’s expansion into nephrology and kidney disease, adding three indications, supported by its West Coast hub.
• Lykembi Launch: Addressing challenges with blood-based biomarkers and subcutaneous dosing to improve patient access.
• Rare Disease Day: Upcoming event to highlight the potential of pipeline assets acquired through the Hibio acquisition.
• AI Deployment: Utilizing AI to identify patients and optimize resource allocation.

Future Outlook

• Pipeline Readouts: Anticipating a steady flow of readouts starting next year, including tau and lupus programs.
• Alzheimer’s Research: Emphasis on presymptomatic population studies, with a Phase 3 readout expected in 2028.
• Rare Disease Focus: Continued emphasis on assets from the Hibio acquisition, with detailed discussions planned in upcoming webcasts.
• European Expansion: Early stages of Skyclaris launches in Europe, with potential EU launch for Zizurove under consideration.

Q&A Highlights

• Diagnostic Tests: Transition to blood-based biomarker tests to reduce reliance on PET scans for Alzheimer’s diagnosis.
• EU Pricing Discussions: Tariffs and drug pricing policies are not significantly impacting EU negotiations.
• Neurology Access: Strategies to address limited neurologist availability by enabling PCPs to use blood-based biomarkers for patient triage.
• Lupus Programs: Optimism about lupus program opportunities despite historical challenges in the field.

In conclusion, Biogen’s strategic focus on growth and pipeline potential was evident at the conference. For a complete understanding, readers are encouraged to refer to the full transcript.

Full transcript - Goldman Sachs 46th Annual Global Healthcare Conference 2025:

Salveen Richter, biotechnology analyst, Goldman Sachs: Great. Good morning, everyone. Thank you so much for joining us. I’m Salveen Richter, biotechnology analyst at Goldman Sachs, and really pleased to have with us Robin Kramer, CFO of Biogen. To start, Robin, you recently moved within the financial team to take on the CFO role at the same time as the company’s been working through a Fit for Growth program and other changes to the organization.

Maybe help us understand, as we look at Biogen today and the outlook from here with regard to your various levers, how do you think the foundation is at this point with regard to overall structure? And then we can jump into the programs from here.

Robin Kramer, CFO, Biogen: Great. Thank you for having me, Salveen. Just a little bit of business to do. I have to say that before we begin, I’d like to note that we’re going to be making forward looking statements, which may involve risks and uncertainties that may cause actual results to differ materially. And I encourage you to review the Risk Factors section of the SEC filings so I can put that business aside.

So it really has been an interesting journey for me at Biogen. So as Salveen mentioned, I joined the company about six years ago but transitioned into the CFO role in March. And really, since Chris has joined us, it’s been really exciting to see the evolution of Biogen in executing the revised strategy that we had. And as I think about the activities that we’ve done over the last two years, whether that’s really investing in the four launches that we have underway as well as rightsizing and derisking our pipeline and really moving from being really focused on neuroscience to branching out to cover immunology and nephrology. And so that’s been a big initiative for us to really take a look at what we had in the pipeline, but then importantly also deploying capital to bring new assets into the pipeline as part of that derisking.

And then as you mentioned, we did take a look at our cost structure and looked to rightsize that. But almost more importantly, think about how we rotate our investments in OpEx from supporting the MS business to supporting the new areas of growth opportunities for the company. So it was as much about that redeployment of our capital as it was to get our cost base and structure into a more foundational standpoint. An element of that is also bringing a new culture to Biogen about how we think about the pipeline and risk. And it’s really been exciting to see that transition happen over the last two years.

So as I look at where we stand today, I think we’re in a really good, sound foundational standpoint to then look at, in the future, deploying our capital to focus on near term growth opportunities as well as investing in the pipeline for that medium to longer term growth.

Salveen Richter, biotechnology analyst, Goldman Sachs: So in the context of that medium to longer term growth, recognizing that you are trying to offset some of the MS franchise here, How do you feel about the R and D effort as it currently stands with the various reads that are going to start playing out next year? But also speak to BD as a lever here in the context of what you could

Robin Kramer, CFO, Biogen: Yeah. So it’s pretty exciting to have nine programs that are in phase three or phase three ready, which I think is a pretty unique opportunity for us. And part of that has been fostered by the business development. For example, we completed the Hai Bio acquisition last year. And that brought us into the area of nephrology and kidney disease.

And with that acquisition, we ended up with three indications and potential for more. So we’re looking for, as we’re deploying capital in the future, across the full spectrum of the pipeline. So Jane Grogan, who heads up our research organization in the first quarter, rightsized the internal resources we had allocated to pre IND development activities so that we can then also partner externally. So some of our capital deployment will be looking to bring assets in, in that pre IND stage through partnership as well as acquiring assets. And then additionally, as we look at the medium to longer term, bringing in additional assets that will support that medium to longer term growth, focused in the new spectrum that we have, which is the focus on not only neuroscience but nephrology and immunology.

And then also in contemplating where we stand today and when the timing of those assets in the pipeline will be reading out, also looking for potential opportunities that have near term growth opportunity as we think about the growth trajectory of the company, both near and mid and long term.

Salveen Richter, biotechnology analyst, Goldman Sachs: And how is the firm, I guess, balanced now in terms of these various verticals of disease areas versus just being kind of a neuro disease focused company in the past? Do you feel that you’ve kind of filled it vertically with regard to talent?

Robin Kramer, CFO, Biogen: Yeah. So I think the great thing is that the areas that we’re looking to focus on are leveraging some existing expertise that we have both in the R and D and the commercial footprint because we do have an expertise in rare. And so as we’re looking at assets and we’re contemplating how does it fit into the portfolio both from development but as we think about go to market opportunities. The newer area for us in sort of nephrology and immunology, we have through the Hibio acquisition, we actually dealt with that acquisition a bit differently than we have others. We didn’t fully integrate it, but rather created our West Coast hub and sought to retain the personnel that came with that acquisition, including Travis and Uptal, who the CEO and the head of development there.

And that was a twofold benefit. One, we’re bringing in expertise in that vertical that we’re looking to go into. But also, had the two pipeline programs were going into phase three. And we wanted to make sure that we didn’t disrupt that submissions that are associated with the phase three and getting those trials executed. So in a combination with retaining that talent from that acquisition but also looking to fill out the go to market early prelaunch activities, we’re starting to hire people that are in those verticals as we move forward and because of

Salveen Richter, biotechnology analyst, Goldman Sachs: the conviction we have around these assets that are in the pipeline. Can you also touch on your strategy with regard to what’s playing out on potential changes with regard to tariffs and drug pricing policies. So on the manufacturing side, Leukembi is manufactured to a degree in Switzerland. So maybe help us understand how you’re thinking about that. But also two launches that one which is underway right now in Europe with Skyclaris and then a launch that could play out with Leukembi.

So help us think about that pricing dynamic for Europe.

Robin Kramer, CFO, Biogen: It’s been a pretty exciting time to come into the CFO role between tariffs and the most favored nation pricing. There is this reference pricing potentially out there. So it’s a consideration as we go into the discussion.

Salveen Richter, biotechnology analyst, Goldman Sachs: Just curious, when you are having these discussions within the EU, are they understanding and receptive to potential change that could play out here?

Robin Kramer, CFO, Biogen: What I would say is that I don’t think it weighs heavily into how they’re negotiating with us. So I would say it’s more on how we strategically are thinking about how we’re negotiating with them. And it’s their the ecosystem there and the budgets that they have don’t are not necessarily flexible. So as they’re understanding of what’s going on here. But I would say that it’s not as though they’re changing their mindset as they’re in the negotiations.

But it reflects on how perspective as we’re doing our side of the negotiation.

Salveen Richter, biotechnology analyst, Goldman Sachs: So pivoting over here to Lykembi and the launch here, while the drug is inflecting steadily, as you’ve noted, there have been logistical challenges that have played out. And I kind of want to break them down based on some of the changes that are playing out with offerings on the Alzheimer’s side. But access to neurologists how do you see yourself working through that in the context of opening up the PCP market with both the blood based biomarker test but also subcutaneous dosing versus even being able to kind of expand the neurologist effort, I guess, in a broader way? Like how do you think these two populations will work symbiotically on the forward?

Robin Kramer, CFO, Biogen: Yeah. So we are seeing improvement in the ecosystem. But there’s still a fixed number of neurologists and a very large patient population. So we do think that the introduction of the blood based biomarkers as a mechanism for diagnostic, potentially in lieu of the PET scans, allows potentially the physicians that are in the primary care role to be doing some of the triage so that the potential patients flowing into the neurologist’s office are those more likely to be able to come on drug. So that’s one potential opportunity.

As well as during at the neurologist, having a more efficient diagnostic process even within the neurologist side. I think that complemented with the potential for the subcutaneous maintenance and induction opportunities for Lykkembe with maintenance potentially here in the next quarter or so and then induction in the part of next year can also both be a better patient experience and journey but also potentially create a situation where the neurologists have a more efficient means of getting the patients on drug and maintaining them on drug. So we do think it has an opportunity to make it a smoother process and help to get more throughput on the number of patients that are able to be diagnosed and get neurologist appointments.

Salveen Richter, biotechnology analyst, Goldman Sachs: And with the approval of blood based biomarker tests or diagnostics here, Do you see a coexistence with PET scans and to what degree on the forward? So how much of this will come from the physicians needing to monitor the patients and wanting checks with regard to this versus infrastructural aspects that could be playing out by various players beyond you and the diagnostic manufacturer. I’m just trying to understand if there’s any way that bottleneck can be alleviated too as we look forward.

Robin Kramer, CFO, Biogen: I think that the potential is that, like any diagnostic or a new mechanism coming into play, that over a period of time that people become more comfortable and confident that that can be used in lieu of the PET scan. I think initially, it’s probably a transition and a level of being able to build that confidence within the neurologist community, likely with those that are doing more treatment or have more patients being those that are sort of the early adopters in the realm of introducing that the blood based biomarker testing. And we and Eisai are connected with the diagnostic companies as we’re looking to get that fully deployed because we have the expertise as it relates to working with neurologists. But we’re taking proactive approach and thinking about how those might be introduced into the standard of care.

Salveen Richter, biotechnology analyst, Goldman Sachs: So how are you working with a company like Fuji Ray Bio or others that get their tests approved here in terms of using their tests or recommending use of their tests?

Robin Kramer, CFO, Biogen: Yes. So we’re in the I would call it the early stages of working with them and partnering with us and Eisai and partnering with them to get that adoption going with the neurologist. But it’s in the early planning stage as they are just now seeking and getting the approvals from the FDA.

Salveen Richter, biotechnology analyst, Goldman Sachs: Got it. Since the approval in January, what does the for IV maintenance look like?

Robin Kramer, CFO, Biogen: Yeah, so it’s early going. The patients sort of eligible for transitioning to maintenance is a fairly limited pool of patients. So it’s a few 100 that we’re seeing but making progress and having them continue on drug. So early going, though.

Salveen Richter, biotechnology analyst, Goldman Sachs: Just going back to the diagnostic here, the blood based biomarker test, what is the comfort level among PCP providers with the use of this as a diagnosis for Alzheimer’s based on your field checks?

Robin Kramer, CFO, Biogen: Well, in many cases, they’re using it currently even with the PET scan. And so I think there’s an element of it already being in the care process. So I think we think that that’s an opportunity to launch and set in motion using them in a more fundamental way as this is an alternative for PET scans. So they are currently being used. I think the opportunity is that having two potential tests that receive FDA approval and have that correlation, I think, will set in motion an opportunity to have it

Salveen Richter, biotechnology analyst, Goldman Sachs: as an alternative for the PET scan. And how are you thinking about the longer term trajectory from here? As you look to these tests as well as subcu entering the market, do you think we’ll see a deeper inflection in growth?

Robin Kramer, CFO, Biogen: Yeah. I think in the near term, what we’ve said is we expect steady progression in growth, as we’ve been seeing quarter over quarter, and that the combination of these, both the blood based biomarkers testing and the subcutaneous administration, have the opportunity at a point in

Salveen Richter, biotechnology analyst, Goldman Sachs: the future to create more of an inflection from a patient progression standpoint. Maybe moving to the preclinical Alzheimer’s disease opportunity, can you frame this opportunity for us logistically? How does diagnosis of patients without symptoms work? And how are you thinking of the patient motivation to start treatment in this population?

Robin Kramer, CFO, Biogen: Yeah. So we’re excited about our study. I had three, four, five that we and Eisai are embarking on that’s focused on that pre symptomatic population. We’ve completed enrollment. It’s about 1,400 patients.

And we think that it has an opportunity to really make a difference in thinking about the possibility of preventing the onset of the disease. And so based on the endpoints that we’ve set, we think it can provide that answer to the question of can you prevent the actual deterioration and cognitive deterioration and have really an opportunity to prevent the disease from actually manifesting itself.

Salveen Richter, biotechnology analyst, Goldman Sachs: And thoughts on the read through from the Eli Lilly study that could read out as well with regard to your program?

Robin Kramer, CFO, Biogen: Yeah. So this may be one where a rising tide raises all boats, as I said earlier today, and that it would be, I think, a positive if they had favorable results. We do think that our study will provide better information as it relates to the presymptomatic population because that’s the area of focus for us and that our study is focused on whether or not you can prevent the disease from manifesting rather than just having the study indicate that you can slow the progression. So we think there’s a unique aspect to our study, but we’re also monitoring and cognizant of Lilly’s study.

Salveen Richter, biotechnology analyst, Goldman Sachs: And your trial is expected to read out in 2028. Is there any potential for an interim here earlier than that?

Robin Kramer, CFO, Biogen: So our base case is that 2028 will be when we’ll do the readout. But we always have the option of considering something else. But for right now, the baseline is 2028 readout.

Salveen Richter, biotechnology analyst, Goldman Sachs: We’re also looking to Novo Nordisk three data for semaglutide in Alzheimer’s that’s supposed to read out in the half. What are the Biogen thoughts here on the GLP-one mechanism for Alzheimer’s disease?

Robin Kramer, CFO, Biogen: Yeah. So we are also interested in seeing what the readout is there. And we’re focused on the safety element and understanding sort of the muscle mass elements of that and safety profile. And it doesn’t remove plaque. So then the question is, is it more of a complementary to the A betas?

And so we’ll be monitoring to see what that outcome is. But that’s how we’re looking at it, what’s the safety profile and whether or not it is potentially a complement to the A beta.

Salveen Richter, biotechnology analyst, Goldman Sachs: Outside of Alzheimer’s, it does seem like you’re set up for a steady cadence of readouts starting next year. So maybe frame for us as we look at the two ones that are playing out next year, tau, what’s the outlook for this program targeting tau with your ASO? But also with lupus, you have two assets that you’re advancing here. So how do these options, I guess, differ from each other? And also just the ability to kind of read through to proof of concept based on what you’ve seen to date?

Robin Kramer, CFO, Biogen: Yeah. So we were really excited about the early readout on the tau program. And it’s the opportunity there, we think, is potentially a game changer. And the team is very excited about having that potential card turnover for next year and having multiple mechanism of action and focus not only on abeta but tau, think, is really important from our investment and focus in neuroscience and Alzheimer’s in particular. And for lupus?

Salveen Richter, biotechnology analyst, Goldman Sachs: What’s that? For the lupus program.

Robin Kramer, CFO, Biogen: Oh, Okay. From a lupus, actually, we’re pretty excited because there’s been so many failures there. And the readout on DAPI for SLE really having positive results coming out of that phase three and then embarking on the phase three program. It’s a significant area of unmet need. And I think between the DAPI program that we have but also the litafilimab that’s focused on SLE and CLE.

And basically, you have this population of approximately 5,000,000 patients. And there’s very little on the way of therapeutics for them. And so a significant unmet need. And then actually, through the Hibio acquisition, we also have an additional indication that’s focused on lupus. So we’ve been very excited about the results we’ve seen to date on those trials.

We think it’s a significant unmet need. And we’re looking forward to the readouts that are underway there.

Salveen Richter, biotechnology analyst, Goldman Sachs: And you’re also hosting a rare disease day shortly. Frame for us what you’re looking to get across to the investor base out of that presentation.

Robin Kramer, CFO, Biogen: Yeah. So as we look at the excitement and the conviction that we have in our pipeline assets, we think it’s important to spend some time sharing with the investors why we do have that conviction and excitement around the pipeline assets and what the market opportunity is and what the unmet need is. And our webcast will be actually tomorrow, and it’ll be focused on the assets we acquired via the Hibio acquisition, so selzarimab, and focused on the rare and the kidney diseases, so with AMR, PMN, and IGAN. And so the team will spend some time talking about exactly what we believe makes our programs unique, how they fit in the overall therapeutic environment, particularly IGAM because there is competitive a lot of competitive activity there. But sharing what we think is unique about our assets and what that market opportunity and unmet need is.

So Travis and Uptal will be conducting the majority of the webcast, but it will be opened with Chris and closed So this will be one in a series that we’re looking to do. So we’ll focus on the FELSA assets. And then next, we’ll focus on the lupus assets in the fall. But more to come, but we’re excited about the opportunity to share more about the pipeline to the investor community.

Salveen Richter, biotechnology analyst, Goldman Sachs: Great. Is there anything else that you want to highlight from the pipeline, including the Stoke program?

Robin Kramer, CFO, Biogen: Yes. So the Stoke acquisition or collaboration that we announced in the first quarter, we’re excited about that because it’s an opportunity, again, that plays to our sweet spot both from an R and D and a commercial perspective. It’s focused on Dravet syndrome. And it’s an opportunity for us to bring to bear our ex U. S.

Commercial operations to collaborate with Stoke. So they were looking for a partner to as they looked to bring the asset potentially to market ex U. S. As well as to partner with them on the Phase III program that’s in progress. So fits right in that sweet spot in the therapeutic areas we’re focused on, but also really leveraging what we think are unique assets to the organization in our R and D and our go to market perspective from a rare disease side.

Salveen Richter, biotechnology analyst, Goldman Sachs: Heading back to the operational and business side, you plan to realize about $800,000,000 in net cost savings by the end of the year. What is your goal for Biogen’s margin trajectory post?

Robin Kramer, CFO, Biogen: Yeah. So our Fit for Growth program, we’re in the last year of execution on that. We’ve actually executed all the activities necessary to yield the $1,000,000,000 growth and $800,000,000 net in savings. I think the great thing about that program is it was focused on optimizing the cost structure, but almost more importantly, in taking resources and reallocating from the MS portfolio into the launch for launch products. And so our SG and A, when you look at it year over year, is roughly consistent, but it’s one of those still waters run deep because about we had a rotation of about two fifty million dollars in spend out of the MS and towards supporting the four launch products.

So we think as we look at the cost structure and the base that we’re largely where we need to be from a foundational standpoint but always focused on continuous improvement, including activities around cost of goods and margin optimization. But also as we complete transactions, looking at opportunities for offsets to the extent they come bearing R and D costs. So the margin improvement and we’re because we have four launches going on, and normally, in your initial years of launch, your margin is a little more challenged on those products than when you get moving and you get the titers optimized. So we have initiatives around COGS and optimization, including with Lekembi. And that will be a continued area of focus, but also continuing to focus on the rest of the OpEx areas on an ongoing basis even after Fit for Growth.

Salveen Richter, biotechnology analyst, Goldman Sachs: Can you touch on the three launches and how those are progressing outside of Lekembi, and in particular for SkyClaris? Should we really assume more of a steady state at this point with minimal growth from here in The U. S. Whereas like the bulk of your growth is coming from an ex U. S?

Yes.

Robin Kramer, CFO, Biogen: So we’re in various stages of the launches. The U. S. Launch, I would call it the steady growth phase. So the initial bolus of patients waiting to get on drug therapy have been brought on therapy.

But we are in the initial stages of the launches in Europe. But those are progressing in a similar fashion from bringing those initial bolus of patients onto therapy. And we recently received approval in Brazil, which we think will be another important market for Skyclaris. So as it relates to US, I would say steady growth. Alicia has been deploying new tactics from a patient finding perspective.

And this is one area where we’re actually using AI to assist us in thinking about identifying patients using patient data sets. So we’re employing the needle in the haystack, I think. So we’re using some new technology approaches there. But early stage on the launch is ex US and Brazil to come. And SPINRAZA and Zizurove, if you want

Salveen Richter, biotechnology analyst, Goldman Sachs: to touch on those?

Robin Kramer, CFO, Biogen: Yeah. So SPINRAZA has actually been very resilient. We from both interactions with patients and the health care providers that efficacy is important to them. And we think that SPINRAZA has a great story as it relates to efficacy. So it’s been very resilient even in light of the competitive dynamics in that area.

And currently, we’re awaiting a PDUFA date for the high dose administration on SPINRAZA, which we think is an opportunity to again demonstrate the meeting the patient’s unmet need in that area. So we think that’s an opportunity. And then within our pipeline, we have a program called BIIB115, which is sort of a next gen from an SMA perspective. So it’s an area that’s critically important to us. We’ve been very pleased with the performance of SPINRAZA in a very competitive market.

So it’s been so we’re continuing to invest in that area. You had another one, right?

Salveen Richter, biotechnology analyst, Goldman Sachs: It’s a survey.

Robin Kramer, CFO, Biogen: Oh, it’s a survey. So I’m pretty passionate about this one. So the survey is focused on postpartum depression. And at this point, we’ve treated over ten thousand patients. And so that has actually overperformed what our expectations were from a US launch perspective.

And we’re in the early stages of considering where we potentially will launch in the EU. So that’s under assessment is underway.

Salveen Richter, biotechnology analyst, Goldman Sachs: Great. Well, with that, Robin, thank you so much. Thank you. Thanks, Theresa.

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