Biogen Shares Climb 6% Following Q1 Earnings Beat and Strategic Pivot

Biogen (NASDAQ: BIIB) saw its shares rise 6% on Wednesday after reporting first-quarter 2026 results that surpassed analyst expectations on both the top and bottom lines. The results underscore the company's ongoing transition away from its legacy multiple sclerosis franchise toward a more diversified portfolio of high-potential neurodegenerative treatments. Total revenue for the quarter reached $2.48 billion, representing a 2% year-over-year increase and beating the consensus forecast of $2.25 billion. Profitability showed a more significant jump, with non-GAAP attributable net income rising 19% to $529 million, or $3.57 per share, comfortably exceeding the $2.95 per share projected by analysts. The company's growth products were the primary drivers of the revenue improvement. Sales of Leqembi, which targets early Alzheimer's disease, surged 74% to $168 million. Additionally, Skyclarys, the only FDA-approved medication for Friedreich's ataxia, recorded double-digit growth. Despite the quarterly beat, Biogen lowered its full-year adjusted net income guidance to a range of $14.25 to $15.25 per share, down from the previous forecast of $15.25 to $16.25. Management attributed this reduction to anticipated in-process research and development charges associated with the pending $5.6 billion acquisition of Apellis Pharmaceuticals. Looking ahead, Biogen expects overall revenue to decline at a mid-single-digit percentage rate compared to 2025. However, these projections do not yet include the contributions from Apellis Pharmaceuticals, a deal that is expected to close in the near future as the company continues its long-term strategic transformation.