| Metric | Value ($ M) | Q1 FY25 |
|---|---|---|
| Revenue | 51.72 | 14.1% |
| Total Income | 51.72 | 14.1% |
| Expenditure | 34.35 | 57.9% |
| PBT | -24.26 | 51.6% |
| Net Profit | -13.35 | 68.5% |
| OPM | 33.58% | 113.47pp |
| NPM | -25.80% | 67.84pp |
| EPS | -0.67 | 69.7% |
Ligand Reports Q1 2026 Financial Results; Royalty Revenue Up 56%
07 May 2026 · 7 May, 4:38 pm
Summary
Ligand Pharmaceuticals reported strong first-quarter 2026 results, driven by a 56% year-over-year increase in royalty revenue. Total revenues and income rose by 14% to $51.7 million. Adjusted net income grew by 30% to $34.6 million, or $1.63 per diluted share. The company reaffirmed its 2026 full-year financial guidance, anticipating adjusted earnings per diluted share of $8.50 to $9.50 and royalty revenue between $225 million and $250 million. Ligand's CEO highlighted the pending acquisition of XOMA Royalty Corporation and the FDA approval of Filspari as key drivers for future growth.
Key Highlights
- 1
Ligand's royalty revenue grew by 56% year-over-year in the first quarter of 2026.
- 2
Total revenues and income for the first quarter of 2026 increased by 14% to $51.7 million.
- 3
Royalties for the first quarter of 2026 were $43.0 million, up from $27.5 million in the same period of 2025.
- 4
Adjusted net income for the first quarter of 2026 was $34.6 million, or $1.63 per diluted share, representing growth of 30% and 23%, respectively.
- 5
Ligand reaffirms its 2026 full-year financial guidance, expecting adjusted earnings per diluted share of approximately $8.50 to $9.50.
- 6
The company anticipates full-year 2026 royalty revenue to be in the range of $225 million to $250 million.
- 7
Ligand had cash, cash equivalents, and short-term investments of $779.4 million as of March 31, 2026.
Management Comments
Todd Davis
“The first few months of 2026 have already proven to be highly productive and transformative for Ligand,” said Todd Davis, CEO of Ligand. “In April, we announced a definitive agreement to acquire XOMA Royalty Corporation (“XOMA Royalty” or “XOMA”), a highly complementary business that we expect to accelerate both near and long-term growth. Upon closing, the transaction will add more than 120 commercial, clinical and preclinical-stage assets to our royalty portfolio, including seven commercial assets and 14 late-stage programs, and meaningfully diversify Ligand across therapeutic areas, stages of development, and biopharma partners. We were also pleased to see the full FDA approval of Filspari in focal segmental glomerulosclerosis (“FSGS”), a transformative milestone that further strengthens one of our most valuable royalty assets. Filspari is now the largest royalty contributor within our commercial portfolio and, as the first and only FDA-approved medicine for this rare and serious kidney disease, is well positioned to be a key driver of long-term royalty growth.”
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