AcquisitionsAug 6, 2026, 07:08 AM
Ligand Completes XOMA Royalty Acquisition; Raises 2026 EPS Guidance
AI Summary
Ligand Pharmaceuticals reported strong second-quarter 2026 financial results, with royalty revenue increasing 32% and adjusted diluted EPS growing 48% year-over-year. The company also raised the low end of its full-year 2026 adjusted EPS guidance, reflecting stronger synergies from the recently completed acquisition of XOMA Royalty and benefits from a $700 million convertible debt financing. The XOMA acquisition significantly expanded Ligand's royalty portfolio, adding over 120 commercial, clinical, and preclinical-stage assets.
Key Highlights
- Completed XOMA Royalty acquisition on July 14, 2026, adding over 120 assets.
- Q2 2026 royalty revenue grew 32% year-over-year to $48.0 million.
- Q2 2026 total revenues and income increased 34% year-over-year to $63.7 million.
- Q2 2026 adjusted diluted EPS rose 48% year-over-year to $2.37.
- Raised 2026 adjusted EPS guidance to $9.00-$9.50 (previously $8.50-$9.50).
- Completed $700 million 0% convertible senior notes due 2031.
- XOMA acquisition expected to add $0.50 to $1.50 per share to 2026 and 2027 adjusted EPS.
- Cash, cash equivalents, and short-term investments were $1.36 billion as of June 30, 2026.
Price Impact
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