FAST NEWS: Legend Biotech cancer drug posts strong first-quarter sales

The latest: Legend Biotech Corp. (LEGN.US), a cell therapy subsidiary of Genscript Biotech Corp. (1548.HK), announced Tuesday it recorded net sales of approximately $72 million in the first quarter for its Carvykti cancer drug.

Looking up: Legend’s first-quarter sales for Carvykti were up 30.9% from $55 million in last year’s fourth quarter.

Take Note: Legend Biotech is commercializing Carvykti with Janssen Biotech, a subsidiary of Johnson & Johnson (JNJ.US), in an agreement that requires Legend to share 50% of overseas sales of the drug with Janssen.

Digging Deeper: Carvykti is the first CAR-T cell therapy developed by a Chinese company, and gained global reach through a 2017 partnership between Legend and Janssen. Before the drug’s approval, Legend had been spending heavily on R&D, which weighed on Genscript’s profits. Following the product’s approval by the U.S. Food and Drug Administration (FDA), it has accumulated net sales of $206 million in the year since its launch.

Market Reaction: Legend Biotech fell 4.6% to $52.24 in New York on Tuesday, but still trades near its 52-week high. Genscript closed up 5% at HK$21 by the midday break in Hong Kong on Wednesday. The stock now trades in the middle of its 52-week range.

Translation by Jony Ho

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