AbbVie's immunology and neuroscience franchises carry another beat-and-raise quarter

AbbVie reported third-quarter results on 30 October, with worldwide net revenues of $17.404 billion, up 10.3% on a reported basis. It lifted its full-year adjusted earnings per share guidance to $13.95 to $13.99, from $13.76 to $13.96. The two therapy areas Tx Weekly cares most about, immunology and neuroscience, did most of the work.

Immunology: Skyrizi and Rinvoq keep absorbing Humira's decline

Immunology revenue came to $9.165 billion, up 16.3%. Skyrizi brought in $5.776 billion and Rinvoq $2.706 billion, while Humira fell 31.2% to $683 million. BioSpace reports that Skyrizi grew 23% and Rinvoq 24%, and that chief commercial officer Jeffrey Stewart raised Skyrizi's full-year guidance to $21.8 billion, the third increase this year.

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The pipeline behind those brands is filling out too. AbbVie's release lists FDA approval of subcutaneous Skyrizi induction in Crohn's disease, positive Phase 3 INTREPID data for lutikizumab in hidradenitis suppurativa, Phase 3 vitiligo data for Rinvoq through week 76, and completion of its acquisition of Apogee Therapeutics.

Neuroscience: the fastest-growing franchise

Neuroscience revenue rose 19.4% to $3.389 billion. Vraylar passed $1 billion in the quarter ($1.068 billion, up 14.3%), Botox Therapeutic brought in $1.080 billion, and the migraine pair grew quickly: Qulipta was up 38.2% to $398 million and Ubrelvy up 26.9% to $449 million. Parkinson's drug Vyalev added $286 million. The release also lists FDA approval of tavapadon, branded Juvmo, for Parkinson's disease, and positive Phase 3 LUNA data for Qulipta in menstrual migraine.

"In neuroscience, we're on track to deliver growth of 20% this year, which has made us the industry leader." Rob Michael, Chairman and CEO, AbbVie, on the earnings call (via BioSpace)

What comes next: bolt-ons, not mega-deals

According to BioSpace, Michael said AbbVie has plenty of financial room for the deals it wants, but signalled a preference for bolt-on acquisitions that add depth rather than another Allergan-sized purchase. Leerink Partners told BioSpace that AbbVie has the leverage to keep dealing despite net debt of around $60 billion. The one soft spot was aesthetics, where Juvederm sales fell 12%.

The bigger picture

AbbVie is the clearest example of a large pharma that has replaced a mega-blockbuster with two newer immunology brands and then built a second growth engine in CNS. With Skyrizi guidance raised again and a stated appetite for bolt-ons in its core areas, smaller I&I and neuroscience biotechs with Phase 2 or 3 assets are the obvious targets.

What it means for hiring

Bolt-on M&A in immunology and neuroscience usually means integration work: we'd expect demand for alliance managers, clinical operations leads and medical affairs people who can absorb a newly acquired programme quickly.
Migraine and Parkinson's growth plus a new Parkinson's launch suggest AbbVie will keep building neuroscience field and medical teams. That tends to pull experienced CNS MSLs and brand leads away from smaller companies.
For biotechs with I&I or CNS assets, a buyer this active is a reason to make sure BD, CMC and clinical data packages are deal-ready, which usually means senior BD and regulatory hires earlier than planned.

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