Investing.com -- Ipsen (EPA: IPN ) on Wednesday reported strong sales growth of 11.7% in the first quarter of 2025, driven by a strong performance across its therapeutic areas, including growing contributions from key products like Iqirvo and Bylvay.

The company saw total sales increase by 11.6% at constant exchange rates (CER), reflecting momentum from its strong pipeline and therapeutic portfolio.

This growth was complemented by the regulatory submission of Tovorafenib to the European Medicines Agency (EMA) for pediatric low-grade glioma, marking an important milestone in the company’s oncology efforts.

Ipsen also confirmed its full-year 2025 guidance, projecting more than 5% sales growth at constant currency, with a core operating margin of over 30%, despite challenges posed by increased generic competition impacting Somatuline sales in the U.S. and Europe.

“That sets a minimum 2025 EBIT of €1,125m assuming a minimal Fx impact. Our forecast of €1,155m is 3% ahead of the minimum guidance threshold,” said analysts at RBC Capital Markets in a note.

David Loew, Ipsen’s chief executive in a statement flagged strong top-line growth and advancements in the pipeline, particularly in the Rare Cholestatic Liver disease franchise, which now includes two innovative medicines targeting five indications.

Loew also stressed that 2025 would be a pivotal year for Ipsen, with multiple product launches and several significant milestones expected across its portfolio.

Tovorafenib’s submission to the EMA is an important part of the company’s pipeline progress. Ipsen sees this submission as a major step in expanding its oncology offering, particularly for pediatric low-grade gliomas.

While the first-quarter results were strong, Ipsen remains mindful of potential challenges. The company has adjusted its guidance to reflect expected pressures on Somatuline sales due to growing generic competition in the U.S. and Europe.

This is expected to impact total sales in these markets. However, Ipsen’s overall financial outlook remains positive, with expectations of more than 5% growth in sales at constant currency for the full year.

Ipsen’s core operating margin is projected to exceed 30% of total sales, which incorporates additional R&D expenses related to early- and mid-stage external innovation opportunities.

However, this projection excludes any potential impact from business development transactions related to late-stage programs, including those in Phase III clinical trials or beyond.