INCY Q4 Earnings Miss Estimates, Revenues Beat on Higher Product Sales

Incyte Corporation INCY reported fourth-quarter 2025 adjusted earnings of $1.80 per share, which missed the Zacks Consensus Estimate of $1.94, primarily due to higher operating expenses. The company had reported adjusted earnings of $1.43 per share in the year-ago quarter.

Total revenues in the fourth quarter were $1.51 billion, which grew 28% year over year, driven primarily by the sustained performance of its lead drug, Jakafi (ruxolitinib), and increased sales of Opzelura (ruxolitinib) cream on strong launch and demand. The top line beat the Zacks Consensus Estimate of $1.35 billion.

Incyte shares are trading slightly down in the pre-market hours today, likely due to the mixed nature of the earnings results. All percentages mentioned below are on a reported basis.

INCY's Q4 Results in Detail

Revenues from the sale of Jakafi, a first-in-class JAK1/JAK2 inhibitor approved for polycythemia vera, myelofibrosis and refractory acute graft-versus-host disease (GVHD), came in at $828.2 million, up 7% from the year-ago quarter, owing to an 11% increase in paid demand. Jakafi's sales beat the Zacks Consensus Estimate of $800 million.

Opzelura (ruxolitinib) cream, approved for atopic dermatitis and vitiligo, generated $207.3 million in sales, which rose 28% year over year, and beat the Zacks Consensus Estimate of $195.9 million. The year-over-year rise in sales was driven by increased patient demand and refills in the United States for both its approved indications.

The newly approved medicine Zynyz (retifanlimab-dlwr) generated sales of $31.7 million, which significantly increased from the year-ago quarter and beat the Zacks Consensus Estimate of $21.7 million. The company obtained accelerated approval for Zynyz to treat metastatic or recurrent locally advanced Merkel cell carcinoma. Net product revenues of Iclusig were $34.2 million, up 25% year over year. The figure beat the Zacks Consensus Estimate of $30.7 million. Pemazyre generated $23.4 million in sales, reflecting a year-over-year increase of 1%. The figure also surpassed the Zacks Consensus Estimate of $22.9 million.

Minjuvi's revenues totaled $41.9 million, up 28% year over year. The figure marginally beat the Zacks Consensus Estimate of $41.2 million. Incyte gained worldwide exclusive global rights for tafasitamab from MorphoSys AG, which is marketed as Monjuvi in the United States and as Minjuvi in the ex-U.S. markets in 2024.

Incyte and partner Syndax Pharmaceuticals obtained FDA approval for axatilimab-csfr, an anti-CSF-1R antibody, for the treatment of GVHD after the failure of at least two prior lines of systemic therapy in adult and pediatric patients weighing at least 40 kg. The candidate was approved under the brand name Niktimvo. The drug is Incyte’s second approved treatment for chronic GVHD (third-line) and was launched in the United States during the first quarter of 2025. The drug recorded $56 million in sales in the fourth quarter of 2025, up 22% sequentially, driven by strong uptake.

Shares of Incyte have gained 37.7% in the past six months compared with the industry’s 25.6% growth.

Jakafi is marketed by Incyte in the United States and by Novartis NVS as Jakavi in ex-U.S. markets. Jakavi royalty revenues from Novartis for commercialization in ex-U.S. markets rose 14% to $130.2 million. Jakavi royalties beat the Zacks Consensus Estimate of $123.7 million.

Incyte also receives royalties from the sales of Tabrecta (capmatinib) for the treatment of adult patients with metastatic non-small-cell lung cancer. Its partner, Novartis, has exclusive worldwide development and commercialization rights for Tabrecta. Royalty revenues from the drug’s sales amounted to $7.1 million, up 14% year over year. However, the reported figure missed the Zacks Consensus Estimate of $8.6 million.

Olumiant’s (baricitinib) product royalty revenues from Eli Lilly LLY totaled $43.2 million, up 12% year over year. The figure beat the Zacks Consensus Estimate of $40.1 million. Incyte has a collaboration agreement with Eli Lilly for Olumiant. The drug is a once-daily oral JAK inhibitor discovered by Incyte and licensed to LLY. It is approved for several types of autoimmune diseases.

Adjusted research and development (R&D) expenses totaled $575.2 million, up 37% year over year. This increase was primarily due to continued investment in late-stage development assets.

Adjusted selling, general and administrative (SG&A) expenses were $365.3 million, up 22% from the prior-year quarter’s number, primarily due to costs associated with the U.S. oncology product launches in 2025 and timing of certain other expenses.

INCY’s cash, cash equivalents and marketable securities amounted to $3.6 billion as of Dec. 31, 2025, compared with the $2.9 billion recorded as of Sept. 30, 2025.

INCY's Full-Year Results

For 2025, Incyte generated revenues of $5.14 billion, reflecting around 21% growth year over year. The figure beat the Zacks Consensus Estimate of $4.97 billion.

For the same period, the company reported adjusted earnings of $6.80 per share, which marginally missed the Zacks Consensus Estimate of $6.87.

Incyte Corporation Price, Consensus and EPS Surprise

Incyte Corporation price-consensus-eps-surprise-chart | Incyte Corporation Quote

INCY’s 2026 Guidance

The company expects Jakafi revenues in the range of $3.22-$3.27 billion in 2026. Opzelura net product revenues are expected in the band of $750-$790 million in 2025. Net product revenues for 2026 are expected to be in the range of $4.77-$4.94 billion.

Total adjusted R&D expenses and SG&A expenses are expected in the range of $3.205-$3.375 billion.

INCY's Zacks Rank & Stock to Consider

Incyte currently carries a Zacks Rank #3 (Hold).

A better-ranked stock in the biotech sector is Alkermes ALKS, sporting a Zacks Rank #1 (Strong Buy) at present. You can see the complete list of today’s Zacks #1 Rank stocks here.

Over the past 60 days, 2026 EPS estimates for Alkermes have increased from $1.54 to $1.91. Shares of ALKS have gained 31.2% over the past six months.

Alkermes’ earnings beat estimates in three of the trailing four quarters, missing on the remaining occasion, with the average surprise being 4.58%.

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This article originally published on Zacks Investment Research (zacks.com).

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