Vertex Raises Revenue Guidance as New Therapies Gain Traction
The biotechnology company raised its full-year revenue outlook to a range of $13.1 billion to $13.2 billion.
Vertex Pharmaceuticals Inc (VRTX) reported second-quarter revenue that accelerated as its expanding portfolio of specialized therapies grew.
The quarter marked a shift in the company's growth trajectory, driven by the commercial scaling of new products and a strategic expansion into endocrinology.
Total revenue rose 12% year-over-year to $3.33 billion. This growth accelerated from the 8% increase reported in the first quarter, when revenue reached $2.99 billion.
Growth was supported by the performance of newer assets. CASGEVY revenue reached $76 million, a 151% increase compared to the second quarter of 2024 and a 78% increase sequentially. JOURNAVX revenue rose to $50 million, more than quadrupling the $12 million reported in the same period last year.
Operating costs rose alongside the product launches. Combined non-GAAP R&D, AIPR&D, and SG&A expenses increased to $1.43 billion from $1.24 billion in the prior-year quarter due to the JOURNAVX launch and the build-out of its renal franchise. The non-GAAP effective tax rate also rose to 21.1% from 19.4%.
Vertex raised its full-year 2024 total revenue guidance to between $13.1 billion and $13.2 billion, up from the previous range of $12.95 billion to $13.1 billion.
The company expanded its regulatory footprint as the U.S. FDA approved CASGEVY for children aged two years and older with SCD or TDT. Additionally, the FDA accepted the BLA submission for povetacicept for adults with IgAN, with a PDUFA target action date of November 30, 2024.
In July 2024, Vertex entered into a definitive agreement to acquire Crinetics Pharmaceuticals for $85.00 per share in cash, representing an equity value of approximately $10.0 billion.