Sarepta Therapeutics, Inc.
SRPT · Nasdaq
Sep 2026
Next quarter
Reports Nov 5, 2026, after the close.
Consensus is $0.17 EPS for Sep 2026 across 4 estimates, ranging $0.01 to $0.43.
SRPT Jun 2026
- 23.53%
- +5.34%
- $0.34
- $0.42
- —
- $328.69M
Reported results
- $328.69M
- $13.29M
- 4.04%
- -$4.89M
- -$0.05
Highlights
- Revenue: Total revenue was $401.3 million, down 34% year over year and up from $330.5 million in Q1; net product revenue was $328.7 million, comprising $230.6 million from PMO products and $98.1 million from ELEVIDYS.
- EPS: Reported EPS was $0.42 versus consensus of $0.34, a 23.53% surprise; GAAP diluted EPS was $(0.05), while non-GAAP diluted EPS was $0.64.
- ELEVIDYS pressure: ELEVIDYS product revenue fell 65% year over year from $281.9 million to $98.1 million as the label was limited to ambulatory patients following 2025 safety events.
- PMO stability: PMO product revenue was essentially flat year over year at $230.6 million versus $231.3 million, partially offsetting the decline in ELEVIDYS.
- Operating discipline: GAAP operating income was $13.3 million and non-GAAP operating income was $86.5 million, supported by a 55% year-over-year reduction in R&D expense to $91.3 million and a 22% reduction in SG&A to $107.6 million.
- Guidance: Sarepta narrowed 2026 total net product revenue guidance to $1.2 billion-$1.3 billion, toward the lower end of its prior $1.2 billion-$1.4 billion range, and reduced combined non-GAAP R&D and SG&A guidance to $800 million-$850 million from $800 million-$900 million.
- Pipeline milestones: DM1 and FSHD Phase 1/2 multiple-ascending-dose cohort readouts remain on track for the second half of 2026; full enrollment of ELEVIDYS ENDEAVOR Cohort 8 is expected by year-end, with 12-week data targeted for Q1 2027.
- Balance sheet and litigation: Cash, cash equivalents, restricted cash and investments totaled approximately $945.0 million at quarter-end, while Sarepta recorded a $39.0 million patent-litigation contingency charge tied to an agreement in principle.
- Leadership and regulatory change: Michael Severino became CEO effective July 28, replacing Doug Ingram, and the FDA accepted applications seeking traditional approval for AMONDYS 45 and VYONDYS 53 despite ESSENCE missing statistical significance on its primary endpoint.
Analysis
Sarepta's second quarter was a profitable but sharply smaller commercial quarter, with revenue and GAAP earnings below the year-ago period but a reported EPS beat against the supplied consensus. Total revenue was $401.3 million, down 34% from $611.1 million in Q2 2025 and up 21% from $330.5 million in Q1 2026. GAAP net loss was $4.9 million, compared with net income of $196.9 million a year ago and $331.0 million in Q1; GAAP diluted EPS was $(0.05), while the supplied reported EPS metric was $0.42 versus $0.34 expected. Non-GAAP operating income was $86.5 million, versus $162.8 million a year ago.
The print was defined by the continued reset in ELEVIDYS, cost reduction and a more milestone-heavy pipeline story. ELEVIDYS product revenue declined 65% year over year to $98.1 million after the label removed non-ambulatory patients, while PMO revenue held broadly stable at $230.6 million. R&D fell 55% to $91.3 million and SG&A fell 22% to $107.6 million following restructuring and pipeline reprioritization. First-half revenue of $1.13 billion was down 17%, but collaboration revenue included $365.0 million from Roche option and Japan milestones. Sarepta narrowed full-year product revenue guidance to $1.2 billion-$1.3 billion and is now operating under new CEO Michael Severino ahead of important DM1, FSHD and ELEVIDYS data.
ELEVIDYS and PMO sales
- ELEVIDYS: Product revenue was $98.1 million, down $183.7 million, or 65%, from Q2 2025. The decline reflected lower demand after 2025 safety events and the updated label restricting treatment to ambulatory patients.
- PMO products: Revenue from EXONDYS 51, VYONDYS 53 and AMONDYS 45 was $230.6 million, essentially unchanged from $231.3 million a year earlier. U.S. PMO revenue was $198.6 million and rest-of-world revenue was $32.0 million.
- Roche supply: Contract manufacturing revenue more than doubled to $54.4 million from $27.0 million, but Roche product cost of sales also rose to $58.2 million from $21.8 million because of quality-related batch write-offs, scrapped and expired materials and higher shipment volumes.
Profitability and restructuring
- Operating income: GAAP operating income was $13.3 million, down from $115.6 million in Q2 2025 and $358.4 million in Q1 2026. Non-GAAP operating income was $86.5 million versus $162.8 million a year ago.
- Expense reductions: R&D declined 55% year over year to $91.3 million, primarily because of lower manufacturing and clinical spending, restructuring-related headcount reductions and pipeline reprioritization. SG&A fell 22% to $107.6 million.
- Reported earnings: GAAP net loss was $4.9 million, including a $39.0 million patent-litigation contingency charge and $15.0 million of net other expense. Non-GAAP net income was $78.6 million, or $0.64 per diluted share, versus $215.2 million, or $2.02, in Q2 2025.
Guidance and liquidity
- 2026 revenue outlook: Net product revenue guidance was narrowed to $1.2 billion-$1.3 billion from $1.2 billion-$1.4 billion, with management indicating expectations toward the lower end of the previous range.
- Cost outlook: Combined non-GAAP R&D and SG&A guidance was reduced to $800 million-$850 million from $800 million-$900 million.
- Cash position: Cash, cash equivalents, restricted cash and investments were approximately $945.0 million at June 30, compared with $953.8 million at December 31, 2025. Operating cash use was $5.6 million in the first half, versus $322.1 million in the prior-year period.
- Funding obligations: First-half cash uses included a $200.0 million payment for the second Arrowhead DM1 milestone, a $50.0 million annual Arrowhead license fee and continued ELEVIDYS inventory and manufacturing commitments.
Pipeline and leadership
- siRNA programs: Additional data from the Phase 1/2 DM1 and FSHD programs, SRP-1003 and SRP-1001, remain planned for the second half of 2026. Sarepta is transitioning sponsorship of both studies from Arrowhead.
- ELEVIDYS development: Full enrollment of ENDEAVOR Cohort 8 is expected by year-end 2026, followed by 12-week data in Q1 2027. The study is central to the potential pathway for non-ambulatory dosing.
- Huntington's disease: Sarepta began dosing in INSIGHTT, its first-in-human Phase 1 study of SRP-1005, and enrolled the first patient during the quarter.
- Management transition: Michael Severino became CEO and joined the board effective July 28, while Doug Ingram retired and will remain an adviser through the end of 2026.
Regulatory and litigation
- PMO approvals: The FDA accepted Sarepta's supplemental applications seeking conversion of AMONDYS 45 and VYONDYS 53 from accelerated to traditional approval, supported by ESSENCE data, real-world evidence and safety information.
- ESSENCE risk: The confirmatory trial's primary endpoint did not reach statistical significance, leaving potential for future FDA action on labeling, accelerated approvals or market availability.
- Patent litigation: Sarepta recorded a $39.0 million contingency charge after reaching an agreement in principle to resolve certain patent litigation. The potential settlement remained subject to negotiation and definitive documentation at the time of reporting.
- ELEVIDYS constraints: The product carries a boxed warning for acute serious liver injury and acute liver failure, and non-ambulatory U.S. shipments remain suspended pending further data and FDA discussions.
