Alkermes plc
Q1 2025 Earnings
Market Reaction
S&P 500 over the same 30 days: +6.74%.
Did ALKS Beat Earnings? Q1 2025 Results
Alkermes delivered a mixed first quarter for 2025, posting an earnings miss alongside a modest revenue beat as the expiration of a key royalty agreement continued to weigh heavily on the bottom line. The company reported revenue of $306.51 million, edging past the $304.11 million consensus by 0.79%, though that figure still represented a 12.5% decline year-over-year as the loss of royalties on INVEGA SUSTENNA slashed manufacturing and royalty revenues nearly in half. Earnings per share of $0.13 fell well short of the $0.24 consensus estimate, a miss of 46.90%, with GAAP net income sliding to $22.46 million from $38.95 million a year ago. Bright spots included LYBALVI, which delivered 23% revenue growth and 22% prescription growth, helping lift proprietary product net sales to $244.49 million. Management reaffirmed full-year guidance of $1.34 billion to $1.43 billion in total revenues and GAAP net income of $175 million to $205 million, while investors watch closely for topline results from the ALKS 2680 narcolepsy study expected early in the third quarter.
- LYBALVI revenue grew 23% and total prescriptions grew 22% year-over-year
- Proprietary product net sales increased to $244.5M from $233.5M year-over-year
- Manufacturing and royalty revenue declined due to expiration of INVEGA SUSTENNA royalty in August 2024
- SG&A expenses decreased to $171.7M from $179.7M year-over-year
“Our first quarter financial performance provides a solid foundation to deliver on our financial guidance for the year. We are in a strong position in this dynamic macroeconomic environment and remain focused on executing on the strategic objectives that we believe will drive the future value of the company.”
Alkermes CEO, on the earnings call
Forward Guidance & Outlook
Alkermes reiterated its full-year 2025 financial expectations: total revenues of $1,340M–$1,430M, COGS of $185M–$205M, R&D expense of $305M–$335M, SG&A expense of $655M–$685M, GAAP net income of $175M–$205M, EBITDA of $215M–$245M, Adjusted EBITDA of $310M–$340M, and an effective tax rate of approximately 17%. Expected proprietary product net sales: VIVITROL $440M–$460M, ARISTADA $335M–$355M, LYBALVI $320M–$340M. Topline results from the Vibrance-1 phase 2 study of ALKS 2680 in narcolepsy type 1 are expected early in Q3 2025, with Vibrance-2 data expected in the fall.
ALKS YoY Financials
ALKS Revenue by Segment
Figures from SEC filings and company reports. Not investment advice.