Vertex tops Q1 profit estimates on robust demand for cystic fibrosis treatments (updated)

Crispr Therapeutics AG

06/05/2024 23:33

(Adds executive comments in paragraphs 5, 9 and 11)
    By Pratik Jain
       May 6 (Reuters) - Vertex Pharmaceuticals  VRTX.O  beat
Wall Street estimates for first-quarter profit on Monday, driven
by robust uptake for its blockbuster cystic fibrosis treatments.
    Cystic fibrosis (CF) - an inherited disorder that causes
severe damage to the lungs, digestive system and other organs -
affects an estimated 105,000 people across 94 countries,
according to data from U.S.-based CF Foundation.
    Vertex reported adjusted earnings per share of $4.76 on
revenue of $2.69 billion, topping market estimates $4.06 on
revenue of $2.58 billion, according to LSEG data, for the
quarter ended March 31.    
    The drugmaker reiterated its annual revenue forecast of
between $10.55 billion and $10.75 billion. 
    The total product revenue guidance includes expectations
around contribution in the second half of the year from the
commercial launch of Casgevy in approved indications and
geographies, CFO Charles Wagner said on an earnings conference
call.
    The Boston, Massachusetts-based company's gene therapy,
branded as Casgevy, earlier this year earned a second U.S.
approval to treat a rare blood disorder requiring regular blood
transfusions, after it was greenlighted in December for sickle
cell disease. 
    As of mid-April, Vertex said it activated more than 25
authorized treatment centers globally and multiple patients
across all regions, where it has approval, have initiated cell
collection. Five patients have already had cells collected. 
    The company co-developed Casgevy with Swiss-American firm
CRISPR Therapeutics  CRSP.BN .
    The gene therapy maker also signed multiple agreements with
both commercial and government health insurance providers in the
U.S. to provide access to Casgevy. 
    "In the U.S. commercial market, we have contracts in place
for over 200 million lives or nearly 65% of total lives", Vertex
COO Stuart Arbuckle said.  
    "In the government Medicaid sector, we have policies in
place or active contract negotiations ongoing with 18 states and
in the meantime all states have confirmed their intent to
provide case-by-case coverage", Arbuckle added. 

 (Reporting by Pratik Jain and Sriparna Roy in Bengaluru;
Editing by Krishna Chandra Eluri)
 ((Pratik.Jain@thomsonreuters.com;))