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Biotech / Medical : Biogen
BIIB 167.63+1.8%Nov 14 9:30 AM EST

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To: Harold Engstrom who wrote (760)10/6/1998 10:01:00 AM
From: Hong-Lee Yu  Read Replies (1) of 1686
 
Harold,

I now believe that BGEN's EPS for 1999 will be close (may even above) to 3.0 as you suggested earlier. My calculation is as follows: We should see at least 120M revenue from Avonex in Q4 and 580M in 1999 (130M, 140M, 150M, 160M respectively). Royalty is 180M. Gross margin: 86.5%, R & D: 210M, tax rate: 33% and S G & A: 18% (this quarter is 18.8% and the co's goal is 17%).

Revenue
Royalty 180M
Avonex 580
Interest 30
Total: 790

Expenses:
COG: 102.6
S G & A 136.8
R & D 210
Total: 450

Pretax: 340M
After tax: 227.8
EPS: 2.92
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