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Harmony Biosciences Q3 revenue misses estimates, profit falls on royalty charges

By Reuters News


Overview

  • Neuroscience drugmaker's Q3 product revenue rose 12% yr/yr but missed analyst expectations

  • Q3 pretax profit missed analyst estimates

  • Net income declined yr/yr due to higher milestone and royalty charges


Outlook

  • Harmony Biosciences reiterates 2026 WAKIX net revenue guidance of $1.0 bln to $1.04 bln

  • Company expects Phase 1b BP-205 data in Q1 2027, Phase 2 studies to start by mid-2027

  • Pitolisant GR NDA under FDA review; potential launch in 1H 2027, PDUFA date April 1, 2027


Result Drivers

  • PATIENT DEMAND - Co attributed Q3 WAKIX revenue growth to strong patient demand, with 400 net patient additions in the quarter

  • COMMERCIAL EXPANSION - Harmony said expansion of field sales, remote sales, field reimbursement and patient outreach teams supported demand-driven growth

  • ROYALTY CHARGES - Co said increased cost of product sold was primarily due to new royalties related to the Novitium license agreement


Company press release:


Key Details

Metric

Beat/Miss

Actual

Consensus Estimate

Q3 Product Revenue

Miss

$268.92 mln

$273.08 mln (12 Analysts)

Q3 Net Income

$48.20 mln

Q3 Pretax Profit

Miss

$59.25 mln

$85.44 mln (11 Analysts)

Q3 Gross Profit

$188.23 mln

Q3 Operating Income

$54.20 mln


Analyst Coverage

  • The current average analyst rating on the shares is "buy" and the breakdown of recommendations is 8 "strong buy" or "buy", 3 "hold" and 1 "sell" or "strong sell"

  • The average consensus recommendation for the pharmaceuticals peer group is "buy"

  • Wall Street's median 12-month price target for Harmony Biosciences Holdings, Inc. is $49.50, about 33.7% above its November 3 closing price of $37.02

  • The stock recently traded at 8 times the next 12-month earnings vs. a P/E of 9 three months ago


Reuters Recommended Reads

  • Nov 2 - Neurocrine Biosciences Q3 revenue jumps 41% on strong INGREZZA, CRENESSITY, VYKAT XR demand

  • Nov 2 - Travere Q3 product sales nearly double on FILSPARI growth

  • Nov 2 - Krystal Biotech Q3 product revenue rises 30% on VYJUVEK demand


For questions concerning the data in this report, contact Estimates.Support@lseg.com. For any other questions or feedback, contact reuters.support@thomsonreuters.com.


(This story was created using Reuters automation and AI based on LSEG and company data. It was checked and edited by a Reuters journalist prior to publication.)

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