Key facts
- Roche's second-quarter revenue reached 15.6 billion Swiss francs ($19.2 billion).
- Vabysmo, an eye drug, experienced a slower-than-expected recovery in the U.S.
- Regeneron's competing high-dose Eylea faced a manufacturing delay before approval.
- Vabysmo's U.S. market share grew to 19% by the end of September.
- Roche recorded 1.6 billion Swiss francs ($1.8 billion) in Vabysmo sales through the first nine months of the year.
Roche Holding AG reported second-quarter revenue of 15.6 billion Swiss francs ($19.2 billion), narrowly missing the average analyst estimate of 15.5 billion francs. The company's growth was impacted by a slower-than-anticipated recovery for its blockbuster eye drug, Vabysmo, particularly in the U.S. market. This slowdown occurred as a rival drug's manufacturer reportedly stopped funding patient-support foundations that aided drug access.
Despite the overall sales performance, Vabysmo has been gaining U.S. market share, increasing from 15% in the first six months of the year to 19% by the end of September. For the first nine months of the year, Vabysmo generated 1.6 billion Swiss francs ($1.8 billion) in sales, marking nearly six-fold growth since its January 2022 launch. Quarterly sales for Vabysmo were approximately 13% higher than analysts' consensus forecasts.
The competitive landscape includes Regeneron, whose high-dose Eylea received approval for a formulation that can be injected every eight to 16 weeks. However, this approval was delayed by two months due to a manufacturing issue. Analysts suggest that Roche's strong Vabysmo sales could put pressure on Regeneron's Eylea in the near term, while also indicating a market openness to longer-acting branded drugs, which could eventually benefit Regeneron's high-dose version.