Analyst Conference Summary

biotechnology

conference date: July 28, 2026 @ 5:00 AM Pacific Time
for quarter ending: June 30, 2026 (Q2, second quarter 2026)

Forward-looking statements

Overview: Great revenue growth, raised full year guidance.

Basic data (GAAP):

Revenue was $1.67 billion, up 31% sequentially from $1.27 billion, and up 37% from $1.22 billion in the year-earlier period.

Net income was $586 million, up 93% sequentially from $303 million, and up 45% from $405 million year-earlier.

Diluted EPS was $2.81, up 91% sequentially from $1.47, and up 38% from $2.04 year-earlier.

Guidance:

Total revenue guidance for 2026 was raised substantially to $5.13 to $5.26 billion. But also raised non-GAAP operating expenses substantially to $4.625 to $4.695 billion, narrowing the profit margin. The agreement with CMS, resulted in a total estimated incremental impact on Opzelura net sales for the full year 2026 of $300 - $310 million which includes the reversal of previously established accrual balances through the first quarter of 2026. The new op ex expense is higher due to acquisition related expenses.

Conference Highlights:

Bill Meury, Incyte CEO, said "Our second quarter was marked by broad-based sales growth, continued pipeline progress and strategic business development. Every marketed product contributed to growth, reflecting the strength of our commercial portfolio and execution. We also recently strengthened our Hematology franchise through the acquisition of latarcibart, a potentially transformative medicine for von Willebrand disease currently in Phase 3 development. With ten data readouts expected in the second half of 2026, alongside product launches through early next year, we are well positioned for our next phase of growth." Preparing to end dependence on Jakafi, which loses patent protection in 2028, but XR could extend life. There are 10 key data readouts remaining in 2026.

Total sales were up 17% y/y excluding the favorable CMS adjustment.

On April 28, 2026 positive Phase 3 results were announced for povorcitinib for nonsegmental vitiligo. The NDA for HS was accepted in the US in Q1 2026, with possible launch in Q1 2027. Could launch in EU in late 2026. Phase 3 study data (STOP-PN1 and STOP-PN2) of povorcitinib for patients with moderate to severe prurigo nodularis (PN) is expected Q4 2026.

In Q2 2026 the revenue increase was driven partly by a one-time, non-cash benefit of $246 million associated with the reversal of previously established accrual balances through March 31, 2026, for Opzelura.

In Q2 2026 "Jakafi XR was approved by the FDA for the treatment of adults with intermediate or high-risk myelofibrosis (MF) and adults with polycythemia vera (PV) who have had an inadequate response to or are intolerant to hydroxyurea, as well as for adults and children aged 12 years and older with steroid-refractory acute GVHD or chronic GVHD after failure of one or two lines of systemic therapy." Introduction of Jakafi XR are going well.

In Q2 2026 positive Phase 3 results for Monjuvi in combo with R-CHOP for first line diffuse large B-cell lymphoma (DLBCL) or HGBL were presented at ASCO and published in The Lancet. Global regulatory submissions are underway. Could launch in US in Q1 2027. Approved in Japan in combo with lenalidomide.

In Q2 Incye discontinued further development of INCB160058 to prioritize its next-generation JAK2V617F-targeted pipeline.

In Q3 2026 Latarcibart positive Phase 1/2 data for von Willebrand disease was presented. Now being studied in a Phase 3 trial.

In 2H 2027 Phase 1 data for INCB123667 for recurrent epithelial ovarian cancer will be presented at ESMO. A Phase 3 trial in first-line ovarian cancer maintenance is expencted to launch.

In Q2 Opzelura for moderate AD was given a positive opinion by the CHMP. Opzelura new patient starts are going well.

In July 2026, Incye announced a global collaboration and license agreement with Halozyme to support the subcutaneous formulation development of INCA033989 utilizing Halozyme's proprietary ENHANZE Technology.

In July 2026, Incyte completed the acquisition of Vega Therapeutics. This adds latarcibart, a novel investigational monoclonal antibody in Phase 3 development for patients with VWD, to its late-stage pipeline. Incyte acquired all outstanding shares of Vega Therapeutics for $1.25 billion. Parent company Star Therapeutics will be eligible to receive up to $750 million in additional payments if sales milestones are met.

In Q2 2026, Incye granted Mirum Pharmaceuticals, worldwide rights to zilurgisertib, an ALK2 inhibitor in development for fibrodysplasia ossificans progressiva (FOP). Incyte received an upfront payment and is eligible to receive additional development and regulatory milestone payments, as well as sales-based milestones and tiered royalties in the mid-to-high single digit percent range on worldwide net sales.

In Q1 2026 the Phase 1 dosing of the amorphous solid dispersion formulation of INCB160058 started. The trial is for myeloproliferative neoplasms with a JAK2V617F mutation. Data due in late 2026. In Q1 2026, clinical data from a Phase 1 trial evaluating INCB161734 for advanced/metastatic pancreatic ductal adenocarcinoma (PDAC) as monotherapy or in combination with chemotherapy were presented at the ASCO-GI meeting. Plans to initiate a Phase 3 study evaluating INCB161734 in first-line patients with metastatic PDAC in combination with chemotherapy versus chemotherapy alone.

In Q1 2026 initiated a Phase 3 study (DAWN-303) evaluating INCB161734 as a first-line treatment for metastatic pancreatic ductal adenocarcinoma (PDAC) in combination with standard-of-care chemotherapy (mFOLFIRINOX or GEMNabP) versus chemotherapy alone.

INCA033989 (mutCALR) planned registrational Phase 3 study in essential thrombocythemia (ET) is on track to begin in 2026. Phase 1 data from ET and MF trials due in 2026. Also plans Phase 1 study in mutCALR patients of the subcutaneous version.

Phase 2 data for Niktimvo, axatilimab in combination with ruxolitinib, in patients with newly diagnosed chronic GVHD is expected in the second half of 2026. Currently Niktimvo is capturing about one-third of third line GVHD market.

Jakafi patent protection now expected to expire towards the end of 2028. Jakafi XR regulatory decision in US expected mid 2026. But Opzelura protected until 2040. And will try to move Jakafi patients to Jakafi XR.

Product revenue was $1.49 billion; royalties $175 million; milestone and contract revenue $11 million.

Jakafi royalty revenue is from sales by Novartis outside the U.S.

Non-GAAP numbers: Net income $643 million, up 72% sequentially from $374 million, and up 106% from $312 million year-earlier. Diluted EPS $3.09, up 71% sequentially from $1.81, and up 97% from $1.57 year-earlier.

Cash and equivalents ended at $4.54 billion, up sequentially from $4.0 billion. No debt.

Incyte has numerous other trials in multiple therapies and indications underway, plus preclinical agents.

See also Incyte pipeline.

GAAP operating expenses were: cost sales $105 million. $517 million for research and development; $352 million for selling, general and administrative expenses; $0 million asset impairment; $2.5 million loss for change in value of a contingent consideration. Total costs $976 billion. Leaving income from operations of $698 million. Interest and other income was $38 million. Gain on investment was $10 million. Other $6 million. Income taxes $166 million.

Q&A Selective Summary:

MF trial design FDA discussions? Two regulatory paths in MF, the normal one and one with new endpoints. 989 has a novel mechanism of action, with extraordinaty hemaglobin level benefits. There is also disease monifcation benefits. So we want to have endpoints that reflect these benefits. First for second-line MF sometime this year.

Any more capacity for acquisitions, R&D as percent of sales? Our job is to keep this pipeline moving, so we are still looking for opportunities that meet our strategic targets. We are not looking for a fixed margin percentage. Every line item helps with the growth strategy. We think our investments are really smart, but if we are wrong about something we drop it. We have four assets that could move Incyte way beyond Jakafi.

989 timeline? Completed healthy volunteer work. Did sub-q development. Clear path forward. Important to add optionality. Offering another option with the enhanced technology.

KRASG12D competition? 734, the G12D inhibitor, should combine well with standard of care. At ESMO will provide data on 50 patients. Phase 3 for pancreatic cancer is ongoing, we appear to be neck and neck with our competitor. If things go well it could work in colorectal as well as pancreatic cancer. Pancreatic cancer is not likely to become a winner take all market. Populations vary, it would be about matching the right drug with the biology.

Latarsibart? Favorable feedback from KOLs. Impressive clinical profile. It has the potential to be transformative for patients.

Jakafi XR? Accelerating formulary access. On track. Payer reimbursement is already there. Demand is picking up. Could be 3% to 5% of demand by end of year.

734 data success criteria? We expanded the patient cohort to derisk. Benchmarks are existing chemotherapy and our competitors. We believe we have, potentially, a best in class agent. For colorectal could also be best in class.

890 for frontline colorectal cancer? Best single TGFBR2xPD1agent activity for MSS colorectal with liver mestatis. We believe supports front line strategy. We have done some work on other tumor types.

Gross to net was in the low 60s, with the settlement is now in the high 60s. We need to continue volume growth while managing the price in 2027.

OpenIcon Analyst Conference Summaries Main Page

Incyte at Openicon

Search

More Analyst Conference Pages: