Ionis Pharmaceuticals Q2 Earnings Call Highlights

Second-quarter revenue rose to $268 million, with commercial revenue reaching $119 million, driven mainly by DAWNZERA and early TRYNGOLZA sales. Ionis reaffirmed its 2026 revenue outlook of $875 million to $900 million and ended the quarter with $2.1 billion in cash and investments. TRYNGOLZA’s U.S. launch expanded into severe hypertriglyceridemia after FDA approval, generating $5 million in second-quarter sales. Ionis expects payer coverage to broaden through 2026 and 2027 and continues to project more than $3 billion in potential peak annual revenue. Eplontersen failed to meet the primary endpoint in the phase III ATTR cardiomyopathy study, though Ionis reported TTR reductions and nominally significant results in the monotherapy subgroup. The company is awaiting detailed results while advancing catalysts including zilganersen, pelacarsen, ulefnersen and bepirovirsen. Ionis Pharmaceuticals reported second-quarter revenue growth driven by commercial products and partnered research programs, while highlighting the recent U.S. approval and early launch progress for TRYNGOLZA in severe hypertriglyceridemia. Chief Executive Officer Brett Monia said the company entered the second half of 2026 with commercial momentum, a growing wholly owned pipeline and a goal of reaching cash-flow breakeven in 2028. He also acknowledged that the phase III CARDIO-TTRansform study of eplontersen in ATTR cardiomyopathy did not meet its primary efficacy endpoint in the overall population. Chief Financial Officer Beth Hougen said second-quarter revenue was $268 million, while first-half revenue totaled $514 million. Excluding a $280 million one-time payment from Ono in the first half of 2025, revenue rose 56% in the second quarter and 69% in the first half from the comparable periods a year earlier. Commercial revenue reached $119 million in the second quarter and $226 million for the first six months of 2026, increases of 15% and 27%, respectively. Hougen said the gains were primarily driven by DAWNZERA sales. TRYNGOLZA generated $5 million in second-quarter product sales and $32 million in first-half sales. DAWNZERA generated $26 million in second-quarter sales and $42 million in first-half sales. Second-quarter DAWNZERA sales increased 63% from the first quarter. Research and development revenue was $149 million in the second quarter and $288 million year to date. Ionis ended the quarter with $2.1 billion in cash equivalents and short-term investments. The company reaffirmed its 2026 revenue outlook of $875 million to $900 million. It continues to expect TRYNGOLZA sales of $100 million to $110 million and DAWNZERA sales of $110 million to $120 million for the year. Ionis expects operating expenses to rise in the low-teens percentage range, with a projected non-GAAP operating loss of $425 million to $475 million and year-end cash above $1.6 billion. Ionis said TRYNGOLZA was approved last month as the first and only FDA-approved medicine to reduce triglycerides and the risk of acute pancreatitis in adults with severe hypertriglyceridemia, or sHTG. The company said it received prescriptions on the day of approval and placed both the 50-milligram and 80-milligram doses in distribution channels within about one week. Kyle Jenne, chief global product strategy officer, said the launch has begun with prescriptions from cardiologists, endocrinologists, lipidologists and primary-care physicians. Ionis estimates that about 3 million people in the U.S. have s...