Biogen missed Wall Street sales projections for its Alzheimer's medicine Aduhelm in the third quarter on Wednesday, as the company struggles to sell the treatment to hospitals and convince insurers to pay it.
According to statistics, the company made $300,000 in medicine sales, compared to analysts' average projections of $10.79 million.
As it grapples with rising competition for its primary revenue sources, Biogen has put its hopes on Aduhelm, the first new treatment for the memory-robbing condition in nearly 20 years.
However, the $56,000-per-year treatment is gaining traction at a slower pace than predicted.
Several commercial insurers are holding off on covering the medicine until the US Centers for Medicare & Medicaid Services (CMS) issues more guidance, while several large hospitals have refused to utilize it.
In January 2022, the CMS will issue an early opinion on whether or not it will fund Aduhelm's costs, with a final decision due in April.
Meanwhile, the treatment's clearance by the US Food and Drug Administration via the fast approval process has been hotly disputed, with US senators requesting more information about the decision last month.
Revenue dipped to $2.78 billion in the quarter, down from $3.38 billion the year before.
