Biomarin 2025 Q3 Earnings Severe Net Loss Amid Revenue Growth

Biomarin reported mixed results for its fiscal 2025 Q3, with revenue growth outpacing expectations while earnings declined sharply. The company raised full-year revenue guidance but cut profit forecasts. Investors will scrutinize its strategic shift to divest underperforming assets and focus on core therapies.

Revenue

Biomarin’s total revenue rose 4.1% year-over-year to $776.13 million, driven by strong performance in enzyme therapies and skeletal conditions. Net product revenues accounted for $760.81 million, with VOXZOGO and PALYNZIQ contributing significant growth. Royalty and other revenues added $15.32 million, reflecting a 29% year-over-year increase. However, ROCTAVIAN’s sales plummeted to $3 million, down 57.1% from the prior year, prompting a strategic divestment.

Earnings/Net Income

The company swung to a net loss of $30.74 million ($0.16 per share) in Q3 2025, a 129.0% deterioration from a $106.08 million profit in the same period last year. The loss was exacerbated by $221 million in IPR&D charges from the Inozyme Pharma acquisition. Despite robust revenue, the earnings shortfall underscores operational pressures and strategic restructuring costs.

Price Action

Shares of Biomarin edged up 0.17% in the latest trading day but declined 0.59% for the week and 0.67% month-to-date.

Post-Earnings Price Action Review

The stock’s muted post-earnings response reflects investor caution amid the company’s profit warning and strategic overhauls. While revenue growth in core therapies like VOXZOGO and PALYNZIQ offers optimism, the sharp net loss and revised guidance dampened short-term enthusiasm. Analysts note the market is pricing in the divestiture of ROCTAVIAN and the high R&D costs associated with Inozyme, which could weigh on near-term performance.

CEO Commentary

CEO Alexander Hardy emphasized progress in enzyme therapies and skeletal conditions, highlighting over 20% growth in PALYNZIQ and VOXZOGO. He reiterated the decision to divest ROCTAVIAN to streamline operations and maintain patient access. Hardy expressed confidence in the company’s ability to drive long-term value through disciplined innovation and strategic investments.

Guidance

Biomarin raised full-year 2025 revenue guidance to $3.15–$3.2 billion, citing strong performance in core therapies. However, it revised non-GAAP operating margin and EPS guidance downward to 26–27% and $3.50–$3.60, respectively, due to IPR&D charges. The company remains focused on cash flow generation to support innovation and growth in its flagship products.

Additional News

Biomarin announced plans to divest ROCTAVIAN, its gene therapy for hemophilia A, to refocus on high-growth areas. The company also acquired Inozyme Pharma for $2.4 billion, gaining access to BMN 401, a late-stage enzyme replacement therapy for ENPP1 deficiency. Pipeline advancements include regulatory filings for PALYNZIQ in PKU adolescents and clinical trials for VOXZOGO in hypochondroplasia. These moves underscore Biomarin’s commitment to expanding its rare disease portfolio through strategic acquisitions and R&D.

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Financial Highlights

- Revenue Growth: $776.13 million (4.1% YoY)

- Key Drivers: VOXZOGO ($218M, +14.7% YoY), PALYNZIQ ($109M, +19.8% YoY)

- Challenges: ROCTAVIAN ($3M, -57.1% YoY), Aldurazyme ($54M, -24% YoY)

- Guidance: Revenue $3.15–$3.2B (midpoint raised), EPS $3.50–$3.60 (midpoint cut)

Biomarin’s Q3 results reflect a strategic realignment, balancing revenue growth with operational restructuring. While core therapies like VOXZOGO and PALYNZIQ demonstrate strong demand, the company faces near-term profitability headwinds. Investors will monitor the ROCTAVIAN divestiture and Inozyme integration for long-term value creation.