In This Article:
-
Revenue: $2.77 billion in Q1 2025, a 3% increase compared to Q1 2024.
-
US Revenue Growth: 9% year-over-year increase driven by patient demand and new product launches.
-
Ex-US Revenue: Declined by 5% year-over-year, impacted by illegal copy product in Russia.
-
CASGEVY Revenue: $14 million included in Q1 total revenue.
-
Collaboration Revenue: $10 million included in Q1 total revenue.
-
Non-GAAP R&D and SG&A Expenses: $1.23 billion, a 21% increase from Q1 2024.
-
Non-GAAP Operating Income: $1.18 billion, down from $1.34 billion in Q1 2024.
-
Non-GAAP Earnings Per Share: $4.06, compared to $4.76 in Q1 2024.
-
Cash and Investments: $11.4 billion at the end of Q1 2025.
-
Share Repurchase: Approximately $425 million spent to repurchase over 930,000 shares in Q1 2025.
-
2025 Revenue Guidance: Raised to $11.85 billion to $12 billion, representing approximately 8% growth at the midpoint.
-
Non-GAAP Effective Tax Rate: 18.8% for Q1 2025.
Release Date: May 05, 2025
For the complete transcript of the earnings call, please refer to the full earnings call transcript.
Positive Points
-
Vertex Pharmaceuticals Inc (NASDAQ:VRTX) reported a 3% year-over-year revenue growth, reaching $2.77 billion in Q1 2025.
-
The company successfully launched ALYFTREK, a new CF medicine, and JOURNAVX, a novel non-opioid for acute pain, both receiving positive feedback.
-
VRTX is expanding its patient base with the global launch of CASGEVY, a gene-edited therapy for sickle cell disease and beta-thalassemia.
-
The company is advancing its R&D pipeline with four programs in pivotal development, setting up potential filings in 2026.
-
VRTX raised the low end of its 2025 total revenue guidance, now expecting $11.85 billion to $12 billion, indicating confidence in continued growth.
Negative Points
-
Ex-US revenue declined by 5% year-over-year, impacted by an illegal copy product in Russia.
-
Non-GAAP operating income decreased from $1.34 billion in Q1 2024 to $1.18 billion in Q1 2025, primarily due to increased operating expenses.
-
The Phase 1/2 study of VX-522 for CF patients was temporarily paused due to a tolerability issue, delaying progress.
-
The company faces challenges in securing broad and sustainable payer coverage for JOURNAVX, impacting early revenue realization.
-
Gross to net for JOURNAVX is significantly impacted by patient assistance programs, affecting early financial performance.
Q & A Highlights
Q: What has been the feedback on utilizing sweat chloride as a biomarker for ALYFTREK, and how does it influence switching from TRIKAFTA? A: Reshma Kewalramani, CEO, noted that sweat chloride is not routinely used in clinical practice to assess CFTR function, although it's well understood. Stuart Arbuckle, COO, added that the compelling aspects of ALYFTREK include its noninferiority to TRIKAFTA, improvements in CFTR function, additional mutations covered, and the convenience of once-daily dosing.