Phathom Pharmaceuticals (PHAT) Q1 2026 earnings summary

Executive summary

• Q1 2026 net revenues more than doubled year-over-year to $58.3 million, driven by strong VOQUEZNA adoption among gastroenterologists and robust commercial execution for GERD and H. pylori indications.

• Covered prescriptions grew 91% year-over-year, with total prescriptions up 115%, reflecting the impact of a new cash pay option for Medicare patients and strong GI market focus.

• Net loss for Q1 2026 narrowed to $30.4 million from $94.3 million in Q1 2025, reflecting higher revenues and reduced operating expenses.

• Cash and cash equivalents stood at $180.9 million as of March 31, 2026, expected to fund operations for at least the next twelve months.

• Maintaining 2026 revenue guidance and confident in achieving operating profitability by Q3 2026, with positive cash flow targeted for 2027.

Financial highlights

• Q1 2026 net revenues: $58.3 million, up 104% year-over-year and 1% sequentially.

• Gross margin approximately 80%, in line with guidance.

• Cash operating expenses (excluding stock-based compensation): $56.2 million, down 43% year-over-year.

• Net loss per share improved to $(0.37) from $(1.31) year-over-year; non-GAAP net loss per share was $(0.18).

• Net cash used in operating activities was ~$15 million in Q1 2026.

Outlook and guidance

• 2026 net revenue guidance maintained at $320–$345 million.

• Gross to net discount expected to remain within 55%-59%; gross margin to stay near 80%.

• Cash operating expenses for 2026 projected at $235–$255 million.

• Operating profitability (excluding stock-based compensation) targeted by Q3 2026 and for the full year, with positive cash flow in 2027.

• Existing cash and anticipated revenues expected to fund operations for at least the next twelve months.