Why did REGN's Q2 earnings exceed expectations?

Regeneron Pharmaceuticals Inc. (REGN) reported robust Q2 2024 earnings, exceeding market expectations due to several key factors: 1. **Strong Revenue Growth**: Total revenue increased by 12%, reaching $3.55 billion, surpassing the consensus estimate of $3.39 billion. This growth was driven by significant contributions from key products such as EYLEA HD, Dupixent, and Libtayo. 2. **Notable Product Sales Growth**: - EYLEA HD and EYLEA Combined Net Sales: $1.53 billion, a 2.3% growth year-over-year. - Dupixent Global Revenues: $3.56 billion, a 29% growth on a constant currency basis. - Libtayo Global Net Product Sales: $297 million, a 43% increase on a constant currency basis. 3. **Collaboration Revenues Boost**: Sanofi Collaboration Revenue: $1.1 billion, with $988 million from collaboration profits, a 32% increase year-over-year. Bayer Collaboration Revenue: $375 million, with $353 million from net profits outside the US. 4. **Operational Efficiency**: Despite increased operating expenses and competitive pressures, Regeneron maintained profitability, with a net income of $1.4 billion, a 13% increase year-over-year, and a diluted net income per share of $11.56, a 13% increase year-over-year. Regeneron's Q2 earnings exceeded expectations due to strong revenue growth from key products, notable contributions from collaboration revenues, and effective management of operating expenses amidst competitive pressures.