Eisai . Stock Earnings Reports

Eisai reported solid Q3 FY2024 results: consolidated revenue ¥601.2bn (up 9% YoY) and operating profit ¥55.4bn (up 48% YoY). Pharmaceutical revenue rose on strength of three core products — LEQEMBI, LENVIMA and DAYVIGO — with LEQEMBI identified as the largest growth driver. LEQEMBI: global Q3 revenue ¥29.6bn, cumulative U.S. patients ~13,500, Japan cumulative patients ~6,800; company remains on track to achieve its FY2024 LEQEMBI target of ¥42.5bn. Key near-term catalysts for LEQEMBI pathway expansion include FDA approval of IV maintenance dosing (q4w maintenance after 18 months), ongoing PDUFA review for a subcutaneous auto‑injector (PDUFA Aug 31) and development/implementation of blood‑based biomarkers (BBM). Manufacturing and cost-efficiency initiatives for LEQEMBI are underway and management expects per‑unit cost to decline as volumes rise. Oncology: LENVIMA continues to grow (¥248.1bn YTD, +11% YoY; ~+8.4% on local currency basis) and remains a core margin driver despite Medicare Part D redesign headwinds. R&D spend remained elevated but efficient (R&D 20.8% of revenue; after partner reimbursements ~¥164.2bn). Guidance: consolidated full‑year forecast unchanged at this time, with management starting a cost‑structure review aimed at improving profitability going forward. Management reiterated the goal that LEQEMBI (as a product) is expected to become profitable by FY2026. Key risks: ongoing CHMP/European review questions, execution of pathway expansion (infusion capacity, diagnostics adoption), potential impact from U.S. Medicare policy changes, and emerging competitors (management says current impact has been minimal).