third quarter 2026
Filed Nov 5, 2026Amphastar Pharmaceuticals Reports Financial Results for the Three Months Ended September 30, 2026
Third-quarter net revenues increased 8% and GAAP net income increased to $37,763 (in thousands), but gross margin declined to 48.0% from 51.4% as lower pricing in higher-margin products and IMS remediation-related manufacturing costs weighed on profitability.
Key metrics
shortened, hover for the filing’s print| Metric | Value | q/q | y/y |
|---|---|---|---|
| Net revenues, three months ended September 30GAAP | $207.6M | – | 8 % |
| Cost of revenues, three months ended September 30GAAP | $108.0M | – | 16 % |
| Gross profit, three months ended September 30GAAP | $99.63M | – | 1 % |
| Gross margin, three months ended September 30GAAP | 48.0% | – | – |
| Selling, distribution, and marketing expenses, three months ended September 30GAAP | $11.93M | – | 4 % |
| General and administrative expenses, three months ended September 30GAAP | $16.84M | – | (57) % |
| Research and development expenses, three months ended September 30GAAP | $20.08M | – | (10) % |
| Total operating expenses, three months ended September 30GAAP | $48.86M | – | – |
| Income from operations, three months ended September 30GAAP | $50.77M | – | – |
| Interest income, three months ended September 30GAAP | $2.29M | – | 2 % |
| Interest expense, three months ended September 30GAAP | −$6.76M | – | 8 % |
| Other income (expenses), net, three months ended September 30GAAP | $2.76M | – | NM |
| Total non-operating expenses, net, three months ended September 30GAAP | −$1.71M | – | (55) % |
| Income before income taxes, three months ended September 30GAAP | $49.06M | – | – |
| Income tax provision, three months ended September 30GAAP | $11.30M | – | – |
| Net income, three months ended September 30GAAP | $37.76M | – | – |
| Basic EPS, three months ended September 30GAAP | $0.89 | – | – |
| Diluted EPS, three months ended September 30GAAP | $0.87 | – | – |
| Adjusted non-GAAP net income, three months ended September 30non-GAAP | $49.27M | – | – |
| Adjusted non-GAAP basic EPS, three months ended September 30non-GAAP | $1.16 | – | – |
| Adjusted non-GAAP diluted EPS, three months ended September 30non-GAAP | $1.14 | – | – |
| Net revenues, nine months ended September 30GAAP | $562.7M | – | – |
| Cost of revenues, nine months ended September 30GAAP | $299.3M | – | – |
| Gross profit, nine months ended September 30GAAP | $263.4M | – | – |
| Total operating expenses, nine months ended September 30GAAP | $159.3M | – | – |
| Income from operations, nine months ended September 30GAAP | $104.1M | – | – |
| Net income, nine months ended September 30GAAP | $74.53M | – | – |
| Diluted EPS, nine months ended September 30GAAP | $1.67 | – | – |
| Adjusted non-GAAP net income, nine months ended September 30non-GAAP | $109.5M | – | – |
| Adjusted non-GAAP diluted EPS, nine months ended September 30non-GAAP | $2.45 | – | – |
| Cash flow provided by operating activities, nine months ended September 30, 2026GAAP | $142.5M | – | – |
Segments
| Segment | Revenue | q/q | y/y |
|---|---|---|---|
| BAQSIMI®Sales increased primarily due to an increase in unit volumes, contributing $7.4 million in sales driven by continued marketing efforts. A lower average selling price impacted sales of approximately $2.2 million. | $58.80M | – | 10 % |
| Primatene MIST®A higher average selling price contributed $1.6 million in sales following a price increase effective in the second quarter of 2026, and higher unit volumes contributed $1.0 million in sales. | $31.46M | – | 9 % |
| LidocaineSales increased primarily due to increased unit volumes resulting from an increase in demand caused by other supplier shortages. | $16.64M | – | 29 % |
| EpinephrineSales decreased primarily due to lower unit volumes of the pre-filled syringe product, resulting from slower product releases associated with ongoing remediation efforts at IMS. | $15.27M | – | (19) % |
| GlucagonSales decreased primarily due to a lower average selling price as a result of increased competition. | $8.57M | – | (37) % |
| Ipratropium bromideStrong sales followed the launch in the second quarter of 2026. | $6.64M | – | N/A |
| Other productsTeriparatide sales were $6.4 million following its December 2025 launch, and API sales from ANP contributed $6.2 million. These gains were partly offset by lower sales of several IMS-manufactured products amid remediation activities. | $70.21M | – | 9 % |
Amounts quoted below without a unit are in thousands, as in the filing’s tables. Per-share figures are as printed.
Capital returns
- On November 4, 2026, the Board of Directors authorized a $50 million increase to the Company’s share buyback program.
- The share buyback program is expected to continue for an indefinite period of time.
- The primary goal of the program is to offset dilution created by the Company’s equity compensation programs.
What drove it
- BAQSIMI® unit-volume growth and Primatene MIST® pricing and demand supported third-quarter revenue growth.
- Recently launched ipratropium bromide and teriparatide contributed to sales.
- API sales from ANP contributed $6.2 million.
- General and administrative expense declined primarily because the prior-year quarter included a $23.1 million litigation provision.
- Other income (expenses), net changed primarily because of foreign currency fluctuation and mark-to-market adjustments relating to the interest rate swap contract.
Concerns
- Gross margin was 48.0%, compared with 51.4% in the prior-year quarter.
- Lower average selling prices for BAQSIMI®, glucagon, and epinephrine multi-dose vial products affected higher-margin products.
- Manufacturing expenses increased due to IMS remediation efforts in response to the FDA warning letter and expansion of the Rancho Cucamonga manufacturing facility.
- Epinephrine sales declined due to slower pre-filled syringe product releases associated with IMS remediation efforts.
- Glucagon sales declined due to increased competition.
What to watch
- The pace of IMS remediation activities and associated product releases.
- The effect of pricing, chargebacks, rebates, and customer mix on BAQSIMI® sales.
- Commercial contribution from ipratropium bromide and teriparatide launches.
- Progress of one ANDA and one biosimilar insulin candidate filed with the FDA, targeting a combined market size exceeding $1.6 billion.
- Execution of the expanded $50 million share buyback authorization.
Balance sheet and cash flow
- Cash and cash equivalents were $204,588 (in thousands) as of September 30, 2026, compared with $170,177 (in thousands) as of December 31, 2025.
- Short-term investments were $26,046 (in thousands) as of September 30, 2026, compared with $112,635 (in thousands) as of December 31, 2025.
- Long-term debt, net of current portion and unamortized debt issuance costs, was $610,497 (in thousands) as of September 30, 2026, compared with $608,749 (in thousands) as of December 31, 2025.
- Current portion of long-term debt was $2,505 (in thousands) as of September 30, 2026, compared with $1,641 (in thousands) as of December 31, 2025.
- Cash flow provided by operating activities for the nine months ended September 30, 2026, was $142.5 million.
Analysis
Amphastar reported third-quarter net revenues of $207,608 (in thousands), compared with $191,840 (in thousands) in the prior-year quarter. Growth was led by BAQSIMI®, Primatene MIST®, lidocaine, ipratropium bromide, and other products. BAQSIMI® benefited from unit volumes, while Primatene MIST® benefited from both a second-quarter 2026 price increase and higher in-store demand. Ipratropium bromide continued to contribute after its second-quarter 2026 launch, and other products benefited from teriparatide and API sales from ANP.
The revenue mix also contained material offsets. Epinephrine revenue was $15,273 (in thousands), down 19 %, as slower releases of the pre-filled syringe product were associated with IMS remediation. Glucagon revenue was $8,575 (in thousands), down 37 %, due primarily to lower average selling prices amid increased competition. The company also cited lower BAQSIMI® pricing from chargebacks, rebates, and customer-mix changes.
Profitability showed a sharp divergence between gross profit and operating expense. Gross profit was $99,629 (in thousands), up 1 %, while gross margin declined to 48.0% from 51.4%. Lower pricing in higher-margin products and higher manufacturing expense related to IMS remediation and the Rancho Cucamonga facility expansion were the primary pressures. Income from operations nevertheless rose to $50,773 (in thousands) from $25,320 (in thousands), as general and administrative expense fell following a $23.1 million litigation provision recorded in the third quarter of 2025.
GAAP net income was $37,763 (in thousands), or $0.87 diluted EPS, while adjusted non-GAAP net income was $49,265 (in thousands), or $1.14 diluted EPS. For the nine months ended September 30, 2026, net revenues were $562,682 (in thousands), GAAP net income was $74,531 (in thousands), and cash flow provided by operating activities was $142.5 million. The balance sheet reported $204,588 (in thousands) of cash and cash equivalents and $610,497 (in thousands) of long-term debt, net of current portion and unamortized debt issuance costs.
No financial outlook was provided in the release. Capital allocation included a Board authorization on November 4, 2026 for a $50 million increase to the indefinite share buyback program, whose stated primary purpose is to offset equity-compensation dilution. Investors should focus on the durability of BAQSIMI® and Primatene MIST® demand, the sales ramp of newer launches, product availability during IMS remediation, and whether pricing and manufacturing pressures continue to weigh on gross margin.
Management, verbatim
Our third quarter results demonstrate the strength of Amphastar’s diversified portfolio and the commercial platform we have built. Record sales of BAQSIMI ® and Primatene MIST ® , together with contributions from recently launched products, supported continued revenue growth and further strengthened the foundation for our long-term strategy. During the quarter, we continued to advance programs across our complex generic, biosimilar, and proprietary pipelines while investing in the manufacturing, quality and development capabilities needed to support future growth. We remain focused on disciplined execution, strengthening our operations, and deploying capital in ways that we believe can create sustainable long-term value for our shareholders,
Dr. Jack Zhang, President and Chief Executive Officer
Not in the filing
stated, not guessed- Forward financial guidance was not provided.
- Previous-period outlook was not provided, so no comparison with prior guidance is available.
- Prior-quarter figures and sequential changes were not provided for the reported metrics.
- Free cash flow was not provided.
- Capital expenditures were not provided.
- Dividend information was not provided.
- A reported income tax rate was not provided.
- Third-quarter operating cash flow was not provided.
- Share repurchase dollars and shares repurchased during the reported period were not provided.
Written by an AI language model from the company’s SEC earnings filing (Form 8-K Item 2.02, or Form 6-K for a foreign private issuer). Every figure was checked against the filing text, and a metric whose value, prior period and change do not add up is dropped from the metrics. The model can still misread a table, in the metrics or in the text, so check a number in the filing before you rely on it. Consensus estimates, price targets and share-price reactions are not shown because they are not in the filing. AI-generated research, not investment advice.