BeOne Medicines Ltd. Q4 FY2025 earnings call

John Euler emphasized Brukinza's superiority in CLL with long-term survival data, setting a new standard. Aaron Rosenberg provided financial results, noting gross margin improvement, operating expenses growth, and 2026 guidance. Lai Wong discussed R&D progress, including Sonos' global approvals, BTK integrator advancement, solid tumor progress, and over 17 new molecule entities into clinic in past two years, plus focus on four priorities in 2026: deepen CLL leadership, expand hematological malignancies, establish solid tumors power, and advance immunology assets

In 2025, Brukinza's global revenues were $3.9 billion, growing 49%. In Q4, product revenue reached $1.5 billion, up 32% year-over-year. Brukinza global revenues in Q4 were $1.1 billion, up 38%. Tovembra had an 18% increase. In-license products grew 9% year-over-year. The US was the largest market with $850 million in revenue, up 38% y-o-y. China revenue was $399 million, up 11%. Europe contributed $174 million, up 53% y-o-y. Rest of world markets grew 74%. Gross margin improved to 87% from ~84% prior year. Operating expenses grew 12% to $4.2 billion. Income from operations was $447 million. Net income was $287 million. Non-GAAP income from operations was $1.1 billion in 2025. Full year 2025 free cash flow was over $940 million

Anticipate 2026 revenue between $6.2 billion to $6.4 billion. GAAP gross margin expected in high 80% range. Operating expenses on GAAP basis between $4.7 billion to $4.9 billion. GAAP operating income expected between $700 million to $800 million. Non-GAAP operating income expected between $1.4 billion to $1.5 billion. Potential reversal of valuation allowance could bring material tax benefit

Current fixed-duration therapies have liabilities like high infection risk, inferior PFS compared to Brukinza. Competitors entering CMS drug price negotiation program may pose challenges

Q: Michael Schmidt asked about BTK inhibitor market net pricing development and competition from CMS.

A: John responded on Brukinza's differentiated value.

Q: Yaron Werber asked about competition from AV and Sunro's MCL market.

A: Matt and Xiaobin responded.

Q: Zi Chen asked about immunology pipeline strategy.

A: Lai responded.

Q: Nigal asked about ZS as fixed duration regimen and revenue impact.

A: John and Aaron responded.

Q: Rennie Benjamin asked about BTK degrader development timeline.

A: Amit responded.

Q: Sean Laman asked about Brookings' growth runway.

A: Aaron responded.

Q: Chen Chen asked about B7H4 ADC phase three.

A: Mark responded.

Q: Leonard Timoshev asked about BTK degrader phase three studies.

A: Amit responded.

Q: Rebecca Liang asked about future sales split between Brukinza and Sunro.

A: John responded