Krystal Biotech (KRYS) Q1 2026 earnings summary

Executive summary

• Achieved global net revenue of $116.4 million in Q1 2026, up 32% year-over-year, driven by VYJUVEK growth in the U.S., Europe, and Japan, with $846.7 million cumulative sales since launch.

• Net income rose 57% to $55.9 million, with diluted EPS of $1.83, up from $1.20 in Q1 2025.

• Maintained strong gross margin of 95% and reported 11th consecutive quarter of positive EPS.

• Over $1 billion in cash and investments as of March 31, 2026, supporting ongoing pipeline and commercial expansion.

• Multiple clinical milestones expected in 2026, including two registrational study readouts and additional data updates.

Financial highlights

• Net revenue for Q1 2026 was $116.4 million, including $87.5 million from the U.S. and $28.9 million from Europe and Japan.

• Gross margin reached 95%, up from 94% in Q1 2025.

• Net income was $55.9 million, up from $35.7 million in Q1 2025; EPS was $1.91 basic and $1.83 diluted.

• R&D expenses were $15.3 million and SG&A expenses $41.0 million, both higher year-over-year due to increased headcount and launch support.

• Cash and investments totaled over $1 billion at quarter end.

Outlook and guidance

• Non-GAAP combined R&D and SG&A expense guidance for 2026 remains $175–$195 million, excluding stock-based compensation.

• Expect continued global revenue growth, with launches in Italy and Spain anticipated in 2H 2026, pending pricing negotiations.

• Two registrational study readouts and multiple additional clinical data updates expected before year-end.

• Cash reserves expected to fund operations for at least the next 12 months.