WILMINGTON - Incyte (NASDAQ:INCY) Corporation (NASDAQ:INCY), a global biopharmaceutical company, reported first-quarter earnings that fell short of Wall Street expectations, alongside a revenue forecast for the full year that also missed analyst estimates.
The company's shares declined by 1% following the announcement, indicating a modest market reaction to the news.
In the first quarter of 2024, Incyte posted adjusted earnings per share (EPS) of $0.64, which was below the analyst consensus of $0.82. Total revenue for the quarter reached $880.89 million, a 9% increase YoY but still under the expected $925 million.
The company's flagship product, Jakafi® (ruxolitinib), saw a slight decline of 1% YoY in net product revenues, totaling $572 million, despite a 5% increase in total paid patients. Opzelura® (ruxolitinib), another key product, continued to perform well with a 52% surge in net product revenues, reaching $86 million due to strong demand in the treatment of atopic dermatitis and vitiligo.
Looking ahead, Incyte provided full-year 2024 revenue guidance in the range of $2.69 to $2.75 billion. This forecast falls significantly short of the analyst consensus of $4.12 billion. The company's CEO, Hervé Hoppenot, attributed the quarter's revenue growth to patient demand for Opzelura® and Jakafi® in the U.S. However, he also noted that the growth was offset by an inventory drawdown for Jakafi and typical first-quarter net pricing dynamics.
Incyte's strategic moves in the quarter included the acquisition of Escient Pharmaceuticals and its pipeline of oral MRGPR antagonists, with the potential to treat multiple mast cell-mediated diseases. The company also announced several clinical and regulatory milestones, such as the FDA's Priority Review acceptance for axatilimab for the treatment of chronic graft-versus-host disease and the presentation of multiple abstracts at the American Academy of Dermatology Annual Meeting.
Despite the earnings and guidance miss, Incyte remains focused on its clinical pipeline and strategic acquisitions to drive future growth. The company's management is confident in the clinical utility of its novel compounds and the potential to address a range of conditions, as emphasized by CEO Hoppenot in his statement on the quarter's performance and strategic initiatives.
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