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Total Revenue: $3.3 billion in Q2 2026, up 12% year-over-year.
CF Revenue: Global CF revenue grew 11% year-over-year in Q2 2026.
CASGEVY Revenue: $76 million in Q2 2026, up over 150% year-over-year.
JOURNAVX Revenue: $50 million in Q2 2026, up from $12 million in Q2 2025.
Gross Margin: 85.6% in Q2 2026, with full-year guidance of just under 86%.
R&D Expense: $889 million in Q2 2026, up 1% year-over-year.
SG&A Expense: $520 million in Q2 2026, up 45% year-over-year.
Non-GAAP EPS: $4.73 in Q2 2026, up 5% year-over-year.
Cash and Investments: Approximately $13.6 billion at end of Q2 2026.
Full-Year 2026 Revenue Guidance: Raised to $13.1 billion to $13.2 billion.
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For the complete transcript of the earnings call, please refer to the full earnings call transcript.
Vertex Pharmaceuticals Inc (NASDAQ:VRTX) reported strong second-quarter 2026 results with total revenue growing 12% year-over-year, driven by robust performance in its cystic fibrosis portfolio and contributions from newer products like CASGEVY and JOURNAVX.
The company's CF franchise continues to lead, with ALYFTREK exceeding $1 billion in revenue in the first half of 2026 and showing strong uptake in the US and Europe, including rapid adoption in Germany and the UK.
CASGEVY momentum is building, with revenue of $76 million in Q2 2026, a 75% sequential increase, and more infusions in the first half of 2026 than in all of 2025, supported by expanded pediatric approvals and strong reimbursement agreements.
JOURNAVX is gaining traction with Q2 revenue of $50 million, sequential growth of 70%, and prescription growth of 45%, with over 535,000 prescriptions in the quarter and expanding payer coverage to 260 million lives.
The pipeline is advancing rapidly, including the FDA acceptance of the BLA for povetacicept in IgAN with a November 30 PDUFA date, completion of enrollment in the GLO Phase 2 study for VX-407 in ADPKD, and the clearance of the IND for VX-017, a universal donor islet cell therapy for type 1 diabetes.
The proposed acquisition of Crinetics Pharmaceuticals is expected to add a fifth pillar in rare endocrine diseases, with a peak sales opportunity of about $5 billion, and is expected to be accretive to non-GAAP operating income by 2029.
Gross margin declined sequentially to 85.6% in Q2 2026, reflecting product mix and manufacturing network investments, with expectations of further pressure in the second half of the year.
SG&A expenses increased 45% year-over-year due to commercial investments in pain and renal launches, which could pressure near-term profitability.
JOURNAVX revenue is impacted by higher-than-expected use of the PSP program due to payer restrictions, leading to a delay in gross-to-net normalization to the first half of 2027.
The company faces high competition in the IgAN space, with competitors showing strong eGFR stabilization data, which could impact povetacicept's market share despite its promising profile.
The type 1 diabetes program experienced a voluntary pause for manufacturing analysis, and the timeline for launching zimislecel or VX-017 remains uncertain, with plans to be updated later this year.
The Crinetics acquisition, while strategic, will add to operating expenses and is not expected to be accretive until 2029, potentially diluting near-term earnings.
Q: What is the status of the OLYMPUS Phase 2/3 study for povetacicept in primary membranous nephropathy (PMN), and what was the basis for the dose selection? A: Reshma Kewalramani (CEO and President) confirmed that the Phase 2 portion of the OLYMPUS study is complete and the Phase 3 portion has been initiated. The IDMC selected the 80 mg subcutaneous dose every four weeks for Phase 3. The decision was based on the DSMB's review of efficacy data on the biomarker PLA2R (the equivalent biomarker in membranous to Gd-IgA1 in IgAN) and full access to safety results. The choice aligns with the Ruby 3 results, which showed the 80 mg dose produced a very nice reduction in PLA2R.
Q: What are the key drivers and bottlenecks for the JOURNAVX launch, and what is the outlook for gross-to-net normalization? A: Duncan McKechnie (Chief Commercial Officer) stated that the launch is progressing well, with 260 million covered lives (180 million unrestricted) and 1,400 hospital pathways. The primary bottleneck is physician education on minor restrictions like quantity limits and prior authorizations, which currently triggers the PSP program more than forecast. As education improves, the PSP will be triggered less frequently, leading to more revenue recognition. The company now expects gross-to-net to normalize in line with other branded oral medicines in the first half of 2027.
Q: What clinical attributes is Vertex looking for in its next-generation CFTR modulators (VX-828, VX-581, VX-272) to advance them beyond ALYFTREK? A: Reshma Kewalramani (CEO and President) explained that the bar for advancing any next-gen asset is exceptionally high. The key attributes are improved efficacy, specifically getting more patients to sweat chloride levels below 30 millimoles per liter (the carrier threshold), across all genotypes. Additionally, the molecules must have once-daily dosing, excellent drug-like properties, and a favorable drug-drug interaction profile. The potential for reduced monitoring will depend on clinical trial results, but safety and tolerability remain paramount.
Q: What data would be required from the AMPLITUDE interim analysis for inaxaplin to support a filing for accelerated approval in APOL1-mediated kidney disease (AMKD)? A: Reshma Kewalramani (CEO and President) clarified that Vertex has an agreement with the FDA for a potential accelerated approval based on the primary endpoint at the time of the interim analysis, which is the one-year GFR (glomerular filtration rate) slope. While proteinuria data will also be examined, the formal agreement with the agency is based on the one-year GFR endpoint.
Q: How does Vertex view the competitive landscape in acute pain with new NaV1.8 entrants, and what is the potential impact of the VX-017 (Type O) program on the Type 1 diabetes launch timeline? A: Reshma Kewalramani (CEO and President) noted that Vertex has long anticipated competitors following its NaV1.8 work, but believes its molecule, Journavx, has the right efficacy, safety, and drug-like properties. She is excited about the potential of a NaV1.7/1.8 combination. Regarding T1D, the company is working to accelerate the VX-017 (Type O) program, which targets a market of ~120,000 patients (double the Type A market). They are considering regulatory and commercial strategies to potentially bring Type O to market first or very close behind zimislecel, with updated plans and timelines expected in the second half of 2026.
Q: How should we think about the path to the $500 million non-CF revenue goal for 2026, given the Q2 contributions from CASGEVY and JOURNAVX? A: Charles Wagner (COO and CFO) confirmed that the first half of 2026 delivered approximately $200 million in combined revenue from CASGEVY and JOURNAVX. While CASGEVY has been the larger contributor so far, he declined to provide specific guidance on the balance of the year but expressed high confidence in achieving the $500 million-plus target.
Q: In light of competitor data showing eGFR stabilization in IgAN, how does Vertex view the differentiation for povetacicept? A: Reshma Kewalramani (CEO and President) stated that the competitor data reinforces the correlation between significant proteinuria reduction and GFR stabilization. She believes povetacicept's profile, which includes numerically the best proteinuria reduction (52% from baseline), over 70% reductions in hematuria and Gd-IgA1, combined with its patient-centric once-monthly, small-volume autoinjector administration, positions it as a potentially best-in-class therapy.
Q: What are the expectations for the upcoming AMPLIFY Phase 2 basket study results for inaxaplin, and how should they be interpreted in the context of AMPLITUDE? A: Reshma Kewalramani (CEO and President) explained that AMPLIFY is a Phase 2 basket study in expanded AMKD populations: patients with two APOL1 alleles and diabetes, and patients with two APOL1 alleles and modest proteinuria (0.2-0.7 g). The study is complete, and results are expected this fall. The key questions are whether inaxaplin can alter proteinuria in these distinct populations. These are different from the AMPLITUDE population, which is why they were kept separate, and the results will provide valuable learnings about the drug's potential in broader patient groups.
Q: What would constitute good data from the proof-of-concept study in myotonic dystrophy type 1 (DM1), and how does Vertex's approach differ from competitors? A: Reshma Kewalramani (CEO and President) stated that the Phase 2 study will look at splicing and functional endpoints like vHOT (hand opening/closing time) and QMT (quantitative muscle testing). The key differentiator is Vertex's mechanism of action: an oligonucleotide linked to a circular peptide with a nuclear localizing domain, which allows it to enter the cell and nucleus effectively. This approach avoids the safety and tolerability concerns associated with other delivery mechanisms used by competitors.
Q: What is the average prescription duration for JOURNAVX, and has it changed since launch? A: Duncan McKechnie (Chief Commercial Officer) confirmed
For the complete transcript of the earnings call, please refer to the full earnings call transcript.