Pharmaceutical Industry Update: Earnings Reports Reveal Mixed Results and Market Challenges

Alnylam Faces High Expectations Despite Strong Sales

Alnylam Pharmaceuticals, a top performer in the biotech sector this year, reported quarterly revenues of $1.25 billion, surpassing analyst estimates by nearly $300 million. The company's key drug Amvuttra generated $685 million in sales, outperforming expectations of $622 million. This success led Alnylam to boost its financial forecasts for the year.

Despite these positive results, Alnylam's shares fell by almost 7% following the earnings report. Analysts attribute this decline to sky-high investor expectations and the company's already expensive share price. Alnylam's market value, which had nearly doubled in 2025 to over $50 billion, may have set a high bar for performance.

The company also disclosed a subpoena related to its government price reporting, though no allegations of wrongdoing were made. This news likely contributed to the stock's downward movement.

Biogen's Growth Products Show Modest Gains

Biogen's latest earnings report revealed total revenue of just over $2.5 billion for the third quarter, slightly exceeding Wall Street expectations. The company's established multiple sclerosis drugs continued to perform well, accounting for about 40% of overall revenue.

However, Biogen's newer "launch" products showed more modest results. Zurzuvae, a postpartum depression medication, generated $55 million in sales. Skyclarys, used to treat a rare neuromuscular condition, brought in $133 million. The closely watched Alzheimer's drug Leqembi recorded global sales of $121 million, with $69 million coming from the U.S. market.

Biogen adjusted its annual forecast, now expecting total revenue to be flat to up 1% for the year. The company also lowered its earnings per share estimates due to recent deals. Analysts described the earnings as "fairly unremarkable" and noted that Leqembi may not be the growth driver some had hoped for.

Neurocrine Biosciences Faces Investor Concerns Despite Strong Sales

Neurocrine Biosciences reported a 28% year-over-year increase in net sales for the third quarter, with its two main products, Ingrezza and Crenessity, bringing in a combined $785 million. Despite this strong performance, the company's shares fell by as much as 9% following the earnings announcement.

Analysts attribute this surprising stock slide to several factors. Neurocrine announced plans to invest an additional $150 million in expanding sales teams for Ingrezza and Crenessity, which may have raised concerns about future profit margins. The company also disclosed a civil investigative demand from the Department of Justice regarding the sale and marketing of Ingrezza, potentially unsettling some investors.

Commercial uncertainties, such as pricing dynamics for Ingrezza and the ongoing launch of Crenessity, may have overshadowed what analysts described as objectively "good" quarterly results.

Bristol Myers Squibb's Mixed Results and Cobenfy Challenges

Bristol Myers Squibb's earnings report presented a mixed picture, with most products in its "growth" portfolio beating Wall Street expectations. However, the company's new schizophrenia drug Cobenfy showed underwhelming performance, generating $43 million in third-quarter sales.

Cobenfy, acquired through a $14 billion deal, has seen gradually rising sales but faces investor scrutiny. Bristol Myers is currently conducting three large trials testing the drug for psychosis in Alzheimer's disease patients, with results from the first study expected by year-end.

Despite concerns surrounding Cobenfy, Bristol Myers saw its shares rise 7% following the earnings report, buoyed by increased financial guidance and better-than-expected quarterly revenue.