Regeneron Pharmaceuticals Beats Q1 Estimates on Dupixent Strength; Shares Fall on Eylea Concerns
New York — Regeneron Pharmaceuticals reported better-than-expected first-quarter revenue and profit, driven by strong demand for its blockbuster eczema treatment Dupixent. However, shares fell nearly 6% as investors reacted to ongoing challenges surrounding its eye drug Eylea.
Dupixent Continues to Drive Growth
The company’s performance was bolstered by robust sales of Dupixent, which Regeneron co-develops with Sanofi. Quarterly sales of the drug reached $4.88 billion, surpassing analyst expectations of $4.59 billion.
Dupixent remains a key growth engine for the company, helping offset weakness in other parts of its portfolio.
Eylea Weakness Weighs on Investor Sentiment
Despite the earnings beat, investor concerns centered on Eylea, Regeneron’s flagship eye treatment, which continues to face headwinds:
- Total Eylea sales declined 10% to $941 million
- The higher-dose version, Eylea HD, grew 52% year-over-year to $468 million, but declined sequentially
- Inventory adjustments are expected to impact second-quarter sales by approximately $20 million
The drug is also facing increasing competition from lower-cost alternatives and rival therapies such as Roche’s Vabysmo.
Regulatory Delays Add Pressure
Further weighing on sentiment is regulatory uncertainty around Eylea HD. The U.S. Food and Drug Administration has yet to make a decision on a new manufacturing-related application, missing its April 2026 target date.
The company expects a decision in the second quarter, following earlier setbacks tied to manufacturing issues at a facility previously operated by Catalent.
Earnings Beat Fails to Reassure
Regeneron reported adjusted earnings of $9.47 per share, exceeding analyst estimates of $8.94. However, the strong results were not enough to offset investor concerns about product concentration and future growth visibility.
Analysts pointed to a lack of clarity around pipeline development and long-term successors to Dupixent as a key factor behind the stock decline.
Strategic Focus on Transition and Pipeline
Regeneron is actively working to transition patients to Eylea HD while managing inventory levels and competitive pressures. At the same time, the company faces increasing scrutiny over its ability to diversify revenue streams beyond its leading therapies.
Outlook
While Dupixent continues to deliver strong growth, the company’s near-term outlook will depend heavily on:
- Stabilizing Eylea performance
- Resolving regulatory delays
- Advancing pipeline candidates to support long-term growth
The mixed market reaction highlights investor focus on sustainability and diversification, even as current financial performance remains strong.
