argenx SE

Product net sales in the second quarter were $1.5 billion, up 60% year over year and 17% quarter over quarter. By region, sales were $1.3 billion in the U.S., $102 million in Japan, $136 million across the rest of world, and $5 million from supply to Zai Lab in China. Total operating expenses were $1 billion; combined R&D and SG&A were $903 million. Operating profit was $494 million, up 146% year over year. The company ended the quarter with $5.2 billion in cash, cash equivalents and current financial assets, up more than $744 million from the start of the year. Management said the U.S. market grew 15% quarter over quarter and Japan sales grew 55% quarter over quarter, including an approximately $25 million one-off benefit from a distribution model change. No formal revenue or EPS guidance was given on the call; management said the remainder of the year should see a quarter shape similar to prior years, with seronegative contributing early and ocular MG filing on track, and they expect continued operating margin expansion and cash generation over time.

Karen Massey said the quarter showed strong execution and marked the company’s 18th consecutive quarter of growth. She framed the business around expanding VYVGART in MG and CIDP, entering seronegative gMG, and preparing for the next wave with myositis and empasiprubart. Her tone was confident and forward-looking, emphasizing Vision 2030, 10 labeled indications, and the goal of building a long-term growth platform beyond 2030.

Karl Gubitz said second-quarter product net sales reached $1.5 billion, with operating profit of $494 million and cash of $5.2 billion at quarter-end. He noted total operating expenses of $1 billion and combined R&D plus SG&A of $903 million, calling the higher spend deliberate to support multiple mid- and late-stage programs and commercialization. He also said U.S. gross-to-net and net pricing were similar to prior quarters, and that the company remains on track for increasing operating margins, sustained earnings growth, and significant cash generation.

Analysts focused on how seronegative gMG could affect growth, and management said the launch is very early but already showing strong patient and HCP response, broader prescribing interest, and about 55% commercial lives covered within 10 weeks. Questions on ocular MG elicited a response that filing is moving forward with urgency and that approval would add another growth leg because the population is already served by neurologists familiar with VYVGART. The myositis discussion centered on trial design and statistics; management said IMNM and DM are now analyzed independently, with separate filing paths, while Luc Truyen said they will not disclose a specific alpha value and will wait for the data readout.