Rigel Pharmaceuticals Q2 revenue rises on strong product demand

Overview

• Biotechnology firm's Q2 revenue rose, with net product sales up 14% yr/yr

• Q2 net income fell from prior year due to absence of $40 mln non-cash revenue

• Company expanded portfolio with VEPPANU in-license and raised 2026 revenue outlook

Outlook

• Rigel raises 2026 total revenue guidance to $285-$295 mln, up from $275-$290 mln

• Company expects 2026 net product sales of $255-$265 mln, excluding VEPPANU

• Rigel forecasts 2026 contract revenues of $30 mln, up from $20-$25 mln prior view

Result Drivers

• TAVALISSE SALES GROWTH - TAVALISSE net product sales rose 18% yr/yr to $47.4 mln in Q2

• REZLIDHIA SALES GROWTH - REZLIDHIA net product sales increased 27% yr/yr to $8.9 mln in Q2

• MILESTONE PAYMENT - Co received $4 mln regulatory milestone payment from Kissei for olutasidenib application in Japan

Company press release: ID:nPn9sHJZva

Key Details

Analyst Coverage

• The current average analyst rating on the shares is "buy" and the breakdown of recommendations is 3 "strong buy" or "buy", 2 "hold" and no "sell" or "strong sell"

• The average consensus recommendation for the pharmaceuticals peer group is "buy"

• Wall Street's median 12-month price target for Rigel Pharmaceuticals Inc is $55.00, about 46.9% above its August 3 closing price of $37.43

• The stock recently traded at 10 times the next 12-month earnings vs. a P/E of 7 three months ago

Reuters Recommended Reads

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(This story was created using Reuters automation and AI based on LSEG and company data. It was checked and edited by a Reuters journalist prior to publication.)