Regeneron Pharmaceuticals, Inc.

Regeneron reported second-quarter total revenue of $4.3 billion, up 17% year over year, and non-GAAP diluted EPS of $14.29, up 11%, on net income of $1.5 billion. Non-GAAP gross margin on net product sales was 87%, while GAAP gross margin was 78% and was pressured by unabsorbed manufacturing costs tied to the temporary interruption at the Limerick facility, which had resumed normal production by quarter-end. Dupixent global net product sales were $6 billion, up 38% constant currency; EYLEA HD U.S. net sales were $596 million, up 52%; Libtayo worldwide sales were $489 million, up 29%; EYLEA U.S. sales were $412 million, down 45%; and Evkeeza sales were $53 million, up 29%. Free cash flow was $1.4 billion through the first half of 2026, and the company ended the quarter with $15.1 billion of cash and marketable securities net of debt. Regeneron said it made modest refinements to 2026 guidance but did not give detailed numerical updates on the call; it expects Sanofi collaboration revenue to step up in the third quarter now that the Sanofi development balance has been fully repaid, and it expects EYLEA demand to decline sequentially in the low to mid-teens in the second half of 2026 while EYLEA HD demand grows in the low to mid-teens in the third and fourth quarters.

Leonard Schleifer framed the quarter as another strong execution period, emphasizing that the company now has two straight quarters of double-digit top- and bottom-line growth. He highlighted Dupixent’s long runway, EYLEA HD’s continued conversion, and Libtayo’s momentum, while stressing that Regeneron’s value comes from a broad, diversified pipeline rather than dependence on any single asset. His tone was confident and upbeat, but he also repeatedly stressed disciplined capital allocation, saying the company is open to M&A and external opportunities as long as they are strategically sensible and not overpaid.

Chris Fenimore said revenue grew 17% to $4.3 billion and EPS rose 11% to $14.29, helped by stronger Sanofi collaboration revenue, U.S. EYLEA HD growth, and global Libtayo growth. He noted Sanofi collaboration revenue hit an all-time high of $2.2 billion, with $2 billion from Regeneron’s share of collaboration profits, and said the full repayment of the Sanofi development balance should cause collaboration revenue to step up starting in the third quarter. He also gave key cost and cash figures: R&D was $1.5 billion, SG&A was $574 million, non-GAAP gross margin was 87%, GAAP gross margin was 78%, free cash flow was $1.4 billion through the first half, and cash and marketable securities net of debt were $15.1 billion. Regeneron also repurchased $1.2 billion of stock in the quarter, $2 billion in the first half, and had $2.5 billion of authorization remaining.

Analysts focused on cash deployment, the potential for additional Sanofi collaboration assets, the EYLEA HD prefilled syringe review, cemdisiran’s launch potential in gMG, and differentiation in obesity and MASH. Management said it is not opposed to M&A but is opposed to overpaying, and that it is actively evaluating both internal and external opportunities with discipline. On Sanofi, management said discussions are ongoing about follow-on Dupixent-related assets and possible structural adjustments, while on EYLEA HD the company said it is working with multiple contract manufacturers and still expects a path to approval by year-end or sooner. On cemdisiran, management pointed to efficacy, safety and quarterly dosing as key differentiators, and said the switch market is an obvious opportunity but the product may also compete across broader patient segments because of convenience and sustained control.