third quarter of 2026
Filed Oct 29, 2026Incyte reported total revenue of $1.56 billion and total net sales of $1.32 billion in the third quarter of 2026, each an increase of 14% compared to the third quarter of 2025, and raised 2026 net sales guidance for Opzelura, Hematology and Oncology, and total net sales.
Commercial revenue and net sales grew 14%, led by Opzelura and the Hematology and Oncology portfolio, and the Company raised three net-sales outlook categories. However, a $1.23 billion IPR&D expense related to the Vega Therapeutics acquisition drove GAAP and non-GAAP operating losses and net losses for the quarter.
Key metrics
shortened, hover for the filing’s print| Metric | Value | q/q | y/y |
|---|---|---|---|
| Three Months Ended September 30, 2026 Total GAAP revenuesGAAP | $1.56B | – | 14 % |
| Nine Months Ended September 30, 2026 Total GAAP revenuesGAAP | $4.50B | – | 24 % |
| Three Months Ended September 30, 2026 Total net salesGAAP | $1.32B | – | 14 % |
| Nine Months Ended September 30, 2026 Total net salesGAAP | $3.91B | – | 25 % |
| Three Months Ended September 30, 2026 Total royalty revenuesGAAP | $191.0M | – | 12 % |
| Nine Months Ended September 30, 2026 Total royalty revenuesGAAP | $516.9M | – | 14 % |
| Three Months Ended September 30, 2026 Milestone and contract revenuesGAAP | $49.8M | – | 11 % |
| Nine Months Ended September 30, 2026 Milestone and contract revenuesGAAP | $78M | – | 56 % |
| Three Months Ended September 30, 2026 Cost of salesGAAP | $108.7M | – | – |
| Three Months Ended September 30, 2026 Cost of salesnon-GAAP | $102.2M | – | – |
| Three Months Ended September 30, 2026 Research and development expensesGAAP | $1.79B | – | 254% |
| Three Months Ended September 30, 2026 Research and development expensesnon-GAAP | $1.75B | – | 274% |
| Three Months Ended September 30, 2026 Selling, general and administrative expensesGAAP | $364.3M | – | 11% |
| Three Months Ended September 30, 2026 Selling, general and administrative expensesnon-GAAP | $339.1M | – | 10% |
| Three Months Ended September 30, 2026 Operating (loss) incomeGAAP | −$708.4M | – | decreased 260% |
| Three Months Ended September 30, 2026 Operating (loss) incomenon-GAAP | −$629.7M | – | decreased 226% |
| Nine Months Ended September 30, 2026 Operating incomeGAAP | $290.7M | – | – |
| Nine Months Ended September 30, 2026 Operating incomenon-GAAP | $537.0M | – | – |
| Three Months Ended September 30, 2026 Net (loss) incomeGAAP | −$784.8M | – | – |
| Three Months Ended September 30, 2026 Net (loss) incomenon-GAAP | −$730.8M | – | – |
| Nine Months Ended September 30, 2026 Net incomeGAAP | $104.1M | – | – |
| Nine Months Ended September 30, 2026 Net incomenon-GAAP | $287.0M | – | – |
| Three Months Ended September 30, 2026 Basic EPSGAAP | $ (3.86) | – | – |
| Three Months Ended September 30, 2026 Diluted EPSGAAP | $ (3.86) | – | – |
| Three Months Ended September 30, 2026 Basic EPSnon-GAAP | $ (3.60) | – | – |
| Three Months Ended September 30, 2026 Diluted EPSnon-GAAP | $ (3.60) | – | – |
| Nine Months Ended September 30, 2026 Basic EPSGAAP | $ 0.52 | – | – |
| Nine Months Ended September 30, 2026 Diluted EPSGAAP | $ 0.50 | – | – |
| Nine Months Ended September 30, 2026 Basic EPSnon-GAAP | $ 1.43 | – | – |
| Nine Months Ended September 30, 2026 Diluted EPSnon-GAAP | $ 1.37 | – | – |
Segments
| Segment | Revenue | q/q | y/y |
|---|---|---|---|
| JakafiPrimarily driven by a 12% increase in paid demand and growth across all indications. | $826.5M | – | 4 % |
| OpzeluraIncreased patient demand in both AD and vitiligo and improvements in net pricing resulting from the Opzelura line extension settlement in the second quarter. | $254.9M | – | 36 % |
| Iclusig | $33.53M | – | (11 %) |
| Pemazyre | $21.18M | – | (7 %) |
| Minjuvi/MonjuviIncreased demand. | $54.63M | – | 30 % |
| NiktimvoIncreased demand. | $67.37M | – | 47 % |
| ZynyzIncreased demand. | $58.33M | – | 157 % |
| Hematology and Oncology portfolioDriven by increased demand for Niktimvo, Zynyz and Monjuvi/Minjuvi. | $235M | – | 38% |
| Jakavi royalty revenues | $132.5M | – | 5 % |
| Olumiant royalty revenues | $39.05M | – | 5 % |
| Tabrecta royalty revenues | $6.83M | – | 5 % |
| Other royalty revenues | $12.65M | – | 582 % |
Amounts quoted below without a unit are in thousands, as in the filing’s tables. Per-share figures are as printed.
full year 2026 outlook
- RevenueTotal net sales $5,210 - $5,300 million
- Operating expensesTotal GAAP R&D and SG&A operating expenses: Unchanged; $4,915 - $4,995 million. Total Non-GAAP R&D and SG&A operating expenses: Unchanged; $4,625 - $4,695 million.
- NoteJakafi net sales: Unchanged; $3,220 - $3,270 million.
- NoteOpzelura net sales: $1,100 - $1,120 million.
- NoteHematology and Oncology net sales: $890 - $910 million.
What drove it
- Total net sales increased 14% over the prior-year comparable period, driven by increased demand across marketed products.
- Jakafi net sales were supported by a 12% increase in paid demand and growth across all indications.
- Opzelura growth reflected increased patient demand in AD and vitiligo and improved net pricing following the second-quarter line extension settlement.
- Hematology and Oncology portfolio growth was driven by increased demand for Niktimvo, Zynyz and Monjuvi/Minjuvi.
- The Company raised full-year 2026 guidance for total net sales, Opzelura net sales and Hematology and Oncology net sales.
- The July acquisition of Vega Therapeutics added latarcibart, a Phase 3 VWD asset, to the late-stage pipeline.
Concerns
- GAAP operating loss was $ (708,361) (in thousands) and GAAP net loss was $ (784,803) (in thousands) in the third quarter, following prior-year income.
- GAAP R&D expenses increased 254%, primarily driven by a one-time $1.23 billion IPR&D expense related to the Vega Therapeutics acquisition.
- Iclusig net sales declined (11 %) and Pemazyre net sales declined (7 %) from the prior-year quarter.
- Enrollment in the Phase 3 MAESTRA-2 study in platinum-resistant ovarian cancer was discontinued as the Company shifted focus toward the first-line maintenance ovarian cancer setting.
- Latarcibart Phase 3 VIVID-6 topline data are anticipated in early 2029, while INCB161734 PDAC Phase 3 topline data are anticipated in 2028 and INCA33890 Phase 3 topline data are anticipated in 2029.
What to watch
- Phase 3 data for povorcitinib in prurigo nodularis and ruxolitinib cream in hidradenitis suppurativa anticipated in the fourth quarter of 2026.
- Potential European Commission decision for povorcitinib in hidradenitis suppurativa anticipated in the fourth quarter of 2026 and potential U.S. approval and launch anticipated in the first quarter of 2027.
- Data from the Phase 1 cohort of INCA033989 in treatment-naïve myelofibrosis anticipated in the fourth quarter of 2026.
- Potential U.S. approval and launch of Monjuvi/Minjuvi in newly diagnosed DLBCL anticipated in the first quarter of 2027.
- Initiation of EXCALIBUR-MF2 by year end 2026 and MAESTRA-3 in the fourth quarter of 2026.
Balance sheet and cash flow
- Cash, cash equivalents and marketable securities as of September 30, 2026: $3,854,572 (in thousands), compared to $3,580,604 (in thousands) as of December 31, 2025.
- Accounts receivable as of September 30, 2026: $ 1,237,027 (in thousands), compared to $ 1,024,407 (in thousands) as of December 31, 2025.
- Inventory as of September 30, 2026: $ 475,836 (in thousands), compared to $ 443,292 (in thousands) as of December 31, 2025.
- Finance lease liabilities as of September 30, 2026: $ 31,762 (in thousands), compared to $ 34,715 (in thousands) as of December 31, 2025.
- Acquisition-related contingent consideration as of September 30, 2026: $ 92,000 (in thousands), compared to $ 121,000 (in thousands) as of December 31, 2025.
- No operating cash flow or free cash flow was reported in the filing.
Analysis
Incyte delivered $1.56 billion of total GAAP revenues and $1.32 billion of total net sales in the third quarter, each up 14% from the comparable 2025 period. Commercial growth was broad across the portfolio. Jakafi sales rose 4% to $827 million, supported by a 12% increase in paid demand, while Opzelura sales increased 36% to $255 million. The Hematology and Oncology portfolio contributed $235 million of sales, up 38%, driven by Niktimvo, Zynyz and Monjuvi/Minjuvi.
The reported quarter was materially affected by the Vega Therapeutics acquisition. GAAP R&D expense was $1.79 billion, up 254%, including a one-time $1.23 billion IPR&D expense related to the acquisition. This resulted in GAAP operating loss of $ (708,361) (in thousands) and GAAP net loss of $ (784,803) (in thousands), versus GAAP operating income and net income in the year-earlier quarter. Management stated that excluding the Vega acquisition upfront consideration, GAAP R&D expense increased 11% and GAAP operating income increased 18%, primarily reflecting late-stage development investment and revenue growth.
The mix of commercial growth remained favorable outside Jakafi. Opzelura benefited from patient demand in atopic dermatitis and vitiligo as well as improved net pricing following the second-quarter line extension settlement. Niktimvo, Zynyz, and Monjuvi/Minjuvi supported Hematology and Oncology growth, although Iclusig and Pemazyre sales declined (11 %) and (7 %), respectively. Cost of sales represented 8% of total net sales, while GAAP SG&A increased 11%, primarily due to pre-launch activities.
Management raised full-year 2026 guidance for total net sales to $5,210 - $5,300 million, Opzelura net sales to $1,100 - $1,120 million, and Hematology and Oncology net sales to $890 - $910 million. Jakafi net-sales guidance and GAAP and non-GAAP R&D and SG&A operating-expense guidance were reaffirmed. The Company ended September 30, 2026 with $3,854,572 (in thousands) in cash, cash equivalents and marketable securities, compared with $3,580,604 (in thousands) at December 31, 2025.
Pipeline execution is the principal near-term focus. The Company expects Phase 3 data in the fourth quarter of 2026 for povorcitinib in prurigo nodularis and ruxolitinib cream in hidradenitis suppurativa, alongside a potential European Commission decision for povorcitinib in hidradenitis suppurativa. It also expects INCA033989 Phase 1 data in treatment-naïve myelofibrosis in the fourth quarter, while several larger registrational programs have data timelines extending through 2028 and 2029.
Management, verbatim
Our third quarter was marked by strong commercial performance, meaningful pipeline progress and important regulatory achievements.
Bill Meury, Chief Executive Officer, Incyte
Net sales growth was strong in both the U.S. and internationally, creating a durable core business beyond Jakafi.
Bill Meury, Chief Executive Officer, Incyte
With important clinical, regulatory and commercial catalysts ahead, we are well positioned to create long-term value for patients and shareholders.
Bill Meury, Chief Executive Officer, Incyte
Not in the filing
stated, not guessed- Previous-release outlook was not provided, so actual performance versus prior guidance was not assessed.
- Gross margin was not reported.
- Operating cash flow was not reported.
- Free cash flow was not reported.
- Debt was not reported.
- Share repurchases, dividends and other capital-return activity were not reported.
- Tax rate was not reported.
- Prior-quarter comparisons were not reported for the financial metrics.
- Cash-flow statement was not included.
- No CFO commentary was 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 is checked against the filing text, and a metric the filing does not print, or 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.