Key Highlights

  • Net income was USD 1,948.7 million, or USD 18.45 per diluted share, compared with USD 13.62 a year earlier.
  • Collaboration Revenue reached a record USD 2.7 billion, including USD 2.6 billion from the company's share of collaboration profits.
  • Nine-month free Cash Flow was USD 2.9 billion, and cash and securities net of Debt were USD 16.2 billion.
  • The company expects to record the full USD 1 billion Sanofi upfront payment as collaboration revenue in the fourth quarter.

Record Collaboration Revenue

Regeneron Pharmaceuticals, Inc. (NASDAQ:REGN) reported third-quarter 2026 Net Income of USD 1,948.7 million, or USD 18.45 per diluted share, compared with USD 1,460.0 million, or USD 13.62. Nine-month net income was USD 3,972.8 million, or USD 37.37 per diluted share, versus USD 3,660.3 million, or USD 33.61.

Collaboration revenue reached an all-time high of USD 2.7 billion, including USD 2.6 billion from the company's share of collaboration profits. That share rose 77% on continued Dupixent sales growth and completion of the Sanofi development balance repayment in the second quarter, so the company recorded its full share of profits for the first time.

Sanofi and Bayer Details

Under the recently amended antibody collaboration, Regeneron and Sanofi share equally the development and commercialization costs, and global profits, of four next-generation antibodies. Costs are co-funded as incurred, so there is no development balance, and the existing economic terms for Dupixent and Kevzara are unchanged. The company expects to record the USD 1 billion upfront payment in full as collaboration revenue in the fourth quarter, with future milestones recognized in the period achieved.

Net sales of EYLEA 8 mg and EYLEA outside the United States were USD 643 million, including USD 384 million of EYLEA 8 mg. Bayer collaboration revenue was USD 267 million, of which USD 212 million was the share of net profits outside the United States. Other revenues rose 57% to USD 310 million, including USD 253 million from ARCALYST profits and Ilaris royalties, with a cumulative catch-up of about USD 60 million in Ilaris royalties that does not recur in the fourth quarter.

Expenses, Cash and Guidance

Research and development expense was USD 1.7 billion on pipeline advancement and clinical Manufacturing timing. Selling, general and administrative expense was USD 588 million, up 9%. The effective tax rate was 15%, higher mainly on the geographic mix of income driven by Sanofi collaboration revenue.

The company deployed nearly USD 3 billion across repurchases, Business development and dividends in the first nine months, including USD 2.3 billion to repurchase 3.2 million shares, and projects full-year repurchases near USD 3 billion, with USD 2.2 billion remaining under authorization. Management made modest refinements to 2026 guidance, and projects 2027 R&D expense to rise by a mid-teens percentage as it advances registrational programs in myeloma, anticoagulation and obesity and emerging mid-stage programs such as postural orthostatic tachycardia syndrome, with nearly 15 Phase 3 trials.

Pipeline and Cash Deployment Checkpoints

Items to follow include the fourth-quarter recognition of the Sanofi upfront payment, Dupixent growth, EYLEA 8 mg sales outside the United States, the pace of repurchases and the registrational program starts planned for 2027.