Biogen completed the acquisition of HI-Bio for approximately $1.15 billion at closing, expanding its pipeline in immunology with felzartamab. The acquisition included $1.6 billion of IPR&D related to felzartamab across multiple indications.

Biogen entered into a lease agreement for a new corporate headquarters in Cambridge, MA, with an initial lease term of 15.5 years. This signals a long-term commitment to the area and supports future growth.

Biogen entered into a collaboration and license agreement with Stoke Therapeutics to co-develop and commercialize zorevunersen, an investigational ASO for Dravet syndrome. Biogen made an upfront payment of $165.0 million to Stoke.

Biogen's Fit for Growth program is expected to generate approximately $1.0 billion in gross operating expense savings by the end of 2025. Cumulative restructuring charges incurred in connection with the program totaled approximately $300.0 million as of March 31, 2025.

LEQEMBI received approvals in the EU, China, and Japan, and the FDA approved a monthly IV maintenance dosing. These approvals indicate progress in expanding the availability of this Alzheimer's treatment.

Biogen and Sage agreed not to pursue further development of zuranolone for the treatment of adults with MDD. This decision was based on the significant new investment and time expected to be needed to conduct additional studies required to support approval.

Multiple TECFIDERA generic entrants are now in North America, Brazil and certain European countries and have deeply discounted prices compared to TECFIDERA. The generic competition for TECFIDERA has significantly reduced our TECFIDERA revenue and we expect that TECFIDERA revenue will continue to decline.

A biosimilar entrant of TYSABRI was approved in the U.S. and the E.U. in 2023. We expect that future sales of TYSABRI may be adversely affected by the entrance of this biosimilar.

The IRA's drug pricing controls and Medicare Part D redesign may have an adverse impact on our sales, particularly for our products that are more substantially reliant on Medicare reimbursement. We anticipate the IRA Medicare Part D redesign will have a modest net unfavorable impact to our 2025 revenue, ranging from approximately $50.0 million to $100.0 million.

MS revenue decreased $122.9 million, or 11.4% YoY, due to increased competition. This includes generic entrants for TECFIDERA and a biosimilar entrant for TYSABRI.

The decrease in biosimilar revenue was primarily due to a decrease in sales volumes related to IMRALDI, the unfavorable impact of foreign currency exchange and a decrease in pricing due to competitive pressures in Europe. We continue to work with our third-party contract manufacturers for IMRALDI and BENEPALI to address supply constraints.

Rare disease revenue increased $139.4 million, or 32.9% YoY, driven by new product launches, including global SKYCLARYS revenue of $123.9 million and global QALSODY revenue of $15.5 million.

Selling, general and administrative expense decreased $9.0 million, or 1.5%, primarily due to the continued realization of cost-reduction measures in connection with our Fit for Growth program.

Global supply chain disruptions, such as strikes, work stoppages, port congestion, port closures, trade restrictions, capacity constraints and other logistical problems, may affect our ability to do business.

Cost of sales increased $87.1 million, or 16.1%, primarily due to higher contract manufacturing revenue and approximately $51.4 million in SKYCLARYS amortization costs.

Biogen entered into a collaboration and license agreement with Stoke Therapeutics to co-develop and commercialize zorevunersen, an investigational ASO for Dravet syndrome. This collaboration expands Biogen's focus on new therapeutic modalities.

The acquisition of HI-Bio included felzartamab, an anti-CD38 antibody, which is currently being evaluated for three leading indications. This acquisition augments our pipeline and builds on our expertise in immunology.

We began construction of a new gene therapy, clinical packaging and other manufacturing facility in RTP, North Carolina to support our gene therapy pipeline across multiple therapeutic areas.

Net cash flow provided by operating activities decreased 53.1% YoY, primarily due to lower net income and an upfront payment of $165.0 million to Stoke in connection with a collaboration agreement.

We entered into a funding agreement with Royalty Pharma under which we will receive up to $200.0 million in 2025 and up to $50.0 million in 2026 to co-fund our development costs for the litifilimab program.

There were no share repurchases of our common stock during the three months ended March 31, 2025. Approximately $2.1 billion remained available under our 2020 Share Repurchase Program as of March 31, 2025.

The new corporate headquarters lease in Cambridge, MA, signals a long-term commitment to the area and likely incorporates modern sustainability standards in its design and operation.

The company is subject to changing and evolving rules and interpretations, which could require us to incur substantial costs associated with compliance or to alter one or more of our business practices.

The company acknowledges the importance of responsible sourcing and ethical labor practices, but supply chain disruptions and reliance on third parties present ongoing challenges.

Economic conditions remain vulnerable as markets continue to be impacted in part by elevated inflation, higher interest rates, extreme weather events, global supply chain uncertainties and risks associated with geopolitical conflicts.

We expect the IRA's drug pricing controls and Medicare Part D redesign may have an adverse impact on our sales, particularly for our products that are more substantially reliant on Medicare reimbursement.

Cybersecurity threats and incidents are increasing in their frequency, sophistication and intensity, and are becoming increasingly difficult to detect. Data privacy or security breaches also pose a risk that sensitive data may be exposed to unauthorized persons or to the public.