🐂 Not all bull runs are created equal. November’s AI picks include 5 stocks up +20% eachUnlock Stocks

DARZALEX sees $2.9 billion in Q2 sales, Genmab to earn royalties

EditorAhmed Abdulazez Abdulkadir
Published 17/07/2024, 12:24
GMAB
-

COPENHAGEN - Genmab A/S (NASDAQ:GMAB) reported on Wednesday that DARZALEX® (daratumumab), a medication used in the treatment of multiple myeloma, achieved worldwide net sales of USD 2,878 million in the second quarter of 2024. The sales include both the intravenous and subcutaneous (SC) formulations, the latter marketed as DARZALEX FASPRO® in the United States.

In detail, the U.S. accounted for USD 1,641 million of the sales, while the remaining USD 1,237 million was generated internationally. Genmab is entitled to royalties from these global sales, as part of their licensing agreement with Janssen Biotech, Inc., a Johnson & Johnson company, which holds the exclusive license to develop, manufacture, and commercialize the drug.

The Danish biotechnology firm, established in 1999 and headquartered in Copenhagen, has been a key player in the development of antibody therapeutics. Genmab's portfolio includes a range of innovative treatments designed to improve the lives of patients with serious diseases, particularly cancer. With a presence across North America, Europe, and Asia Pacific, the company has been committed to advancing healthcare with its proprietary pipeline of drugs.

The financial success of DARZALEX is a testament to Genmab's 25-year history of developing next-generation antibody technology platforms. The company's vision for 2030 involves transforming the treatment landscape for cancer and other serious diseases with what they term "knock-your-socks-off" (KYSO®) antibody medicines.

In other recent news, Genmab A/S has been the subject of several notable developments. RBC Capital upgraded Genmab's stock from Sector Perform to Outperform, citing a strong product pipeline and potential for growth despite the eventual phase-out of its drug Darzalex. The firm's new price target of DKK 2,400 indicates a potential upside of over 30%.

Genmab's investigational drug, Epcoritamab, received a positive opinion from the Committee for Medicinal Products for Human Use (CHMP), a crucial step towards potential marketing authorization in the European Union. The drug also gained FDA approval for the treatment of relapsed or refractory follicular lymphoma, leading to stock upgrades by H.C. Wainwright and BTIG.

In the first quarter of 2024, Genmab's revenue growth was driven by robust sales of DARZALEX and KESIMPTA. The company also completed a $1.8 billion acquisition of ProfoundBio, Inc., acquiring global rights to three clinical-stage candidates and novel ADC technology platforms. Genmab successfully concluded its share buyback program, underscoring the company's commitment to creating value for its shareholders.

InvestingPro Insights

As Genmab A/S (NASDAQ:GMAB) continues to make strides with DARZALEX® sales, the company's financial health and stock market performance provide additional context for investors. With a robust market capitalization of $16.88 billion, Genmab stands out in the biotechnology sector. The company's strategic management of its finances is evident as it holds more cash than debt, a reassuring sign for stakeholders concerned about long-term stability and growth potential.

From a valuation standpoint, Genmab trades at a price-to-earnings (P/E) ratio of 21.68. While this may suggest a premium relative to near-term earnings growth, it's important to consider the company's position in the competitive biotechnology landscape and its potential for future profitability. Notably, analysts predict that Genmab will be profitable this year, and the company has been profitable over the last twelve months, which aligns with its vision of transforming treatment landscapes with innovative medicines.

Investors looking for steady performers might appreciate that Genmab's stock generally trades with low price volatility, which can be a desirable trait during uncertain market conditions. Additionally, the company's liquid assets exceed its short-term obligations, indicating a solid liquidity position that can support ongoing operations and research development.

For those interested in deeper analysis and additional insights, there are 10 more InvestingPro Tips available for Genmab on InvestingPro. Subscribers can use the coupon code PRONEWS24 to get up to 10% off a yearly Pro and a yearly or biyearly Pro+ subscription, providing access to an even broader range of metrics and professional investment tools.

This article was generated with the support of AI and reviewed by an editor. For more information see our T&C.

Latest comments

Risk Disclosure: Trading in financial instruments and/or cryptocurrencies involves high risks including the risk of losing some, or all, of your investment amount, and may not be suitable for all investors. Prices of cryptocurrencies are extremely volatile and may be affected by external factors such as financial, regulatory or political events. Trading on margin increases the financial risks.
Before deciding to trade in financial instrument or cryptocurrencies you should be fully informed of the risks and costs associated with trading the financial markets, carefully consider your investment objectives, level of experience, and risk appetite, and seek professional advice where needed.
Fusion Media would like to remind you that the data contained in this website is not necessarily real-time nor accurate. The data and prices on the website are not necessarily provided by any market or exchange, but may be provided by market makers, and so prices may not be accurate and may differ from the actual price at any given market, meaning prices are indicative and not appropriate for trading purposes. Fusion Media and any provider of the data contained in this website will not accept liability for any loss or damage as a result of your trading, or your reliance on the information contained within this website.
It is prohibited to use, store, reproduce, display, modify, transmit or distribute the data contained in this website without the explicit prior written permission of Fusion Media and/or the data provider. All intellectual property rights are reserved by the providers and/or the exchange providing the data contained in this website.
Fusion Media may be compensated by the advertisers that appear on the website, based on your interaction with the advertisements or advertisers.
© 2007-2024 - Fusion Media Limited. All Rights Reserved.