Biogen Idec Inc has announced that its profit from the first quarter was up by 12%, thanks to strong sales from Tecfidera, its pill based treatment for multiple sclerosis, which drove revenues higher.
The company raised is outlook for earnings for this year. Biogen now expects its adjusted earnings to be between $11.35 and $11.45 per share on growth in revenue of between 26% and 28%.
The company had previously released forecasts for adjusted earnings of between $11 and $11.20 per share on estimated growth in revenue of between 22% and 25%.
The MS drug has been accepted by many patients seeking drugs that are easier to administer, despite having received approval after two oral drugs by rival companies had been given approval.
In the most recent quarter, Tecfidera sales were $506 million. The new MS treatment is an important part of the goal Biogen has of becoming a dominant maker of treatments for multiple sclerosis, which are a group of medications commanding high prices and ones that are taken for a number of years by patients.
For the most recent quarter, Biogen reported its profit to be $479.95 million equal to $2.02 per share, which was up from $426.6 million equal to $1.79 per share for last year during the same reporting period.
Excluding amortization as well as some other items, earnings per share were up from $1.97 to $2.47.
Biogen also said that earnings per share were lowered by close to 35 cents due to an expense for research and development of more than $118 million that was related to its new collaboration agreement for Alzheimer’s disease with Eisai.
Revenue for Biogen surged to over $2.13 billion, an increase of more than 51%.
Analyst estimated that earnings would be $2.55 per share with revenue coming in at just over $2 billion.
Biogen stock has increased in 2014 by over 9.5%.
