Key Highlights

  • Net product Revenue of USD 84.72 million rose 71%, just below the consensus estimate of USD 84.82 million.
  • Net loss per share of USD 0.16 compared with a consensus estimate of a USD 0.11 loss.
  • Gross Margin was about 78% after one-time charges, and operating loss narrowed to USD 0.1 million from USD 15.3 million.
  • Cash stood at USD 184.6 million, and 2026 revenue guidance of USD 310 million to USD 325 million was maintained.

Phathom Pharmaceuticals, Inc. (NASDAQ:PHAT) reported third quarter 2026 net product revenue of USD 84.72 million, up 71% from USD 49.50 million a year earlier and 14% from the prior quarter. The figure landed just below the consensus estimate of USD 84.82 million. Net loss per share was USD 0.16, wider than the consensus estimate of a USD 0.11 loss but much narrower than the USD 0.41 loss a year earlier, as the net loss fell to USD 13.9 million from USD 30.0 million.

Margins, Spending and Prescription Mix

Gross profit rose to USD 66.4 million from USD 43.3 million, a margin of about 78%. The Chief Financial and Business Officer said the margin came in below guidance because of one-time charges in cost of revenue, and that no added pressure is seen in distribution costs. Operating expenses were USD 66.4 million, with Research and Development of USD 8.7 million and selling, general and administrative costs of USD 57.7 million, reflecting added clinical trial costs and the Access First initiative. Interest expense, largely tied to the revenue interest financing agreement, was USD 15.4 million.

President and Chief Executive Officer Steve Basta said the company posted its second consecutive quarter of operating profit excluding stock-based compensation, at USD 5.8 million, on cash operating expenses of USD 60.5 million. About 380,000 prescriptions were filled in the quarter, of which roughly 248,000, or 65%, were covered and 132,000 were cash pay. Covered Volume grew 19% from the prior quarter and cash volume grew 6%.

Guidance and Exclusivity Questions

The company maintained full year 2026 revenue guidance of USD 310 million to USD 325 million, a gross-to-net discount toward the lower part of a 55% to 59% range, gross margin of about 80%, and cash operating expenses of USD 235 million to USD 245 million, which management says are tracking toward the lower part of the range. Durable positive Cash Flow is targeted for 2027.

On the exclusivity front, BDR Pharmaceuticals sued the FDA on October 21, 2026, challenging how the agency applied the GAIN Act to extend new chemical entity exclusivity for VOQUEZNA tablets, which the FDA had recognized through May 3, 2032. A second purported generic filer has indicated it intends to move to consolidate its case with BDR. The FDA opened a 30 day public docket on October 23, and Phathom has intervened to defend its position.

Dated Items and Metrics Behind the Next Update

Several items carry specific dates or numbers. Top-line data from the phase II pHalcon-EoE trial is scheduled for the fourth quarter, with a 12 week histologic endpoint, while data from the phase III as-needed non-erosive GERD study is targeted for the first quarter of 2028. The 30 day FDA docket opened October 23 runs through late November.

Financial markers include the revenue interest financing cash hold requirement of about USD 119 million that began on October 1, 2026, against USD 184.6 million of cash. Access First progress can also be tracked through the covered share of prescriptions at 65%, the new USD 0 copay offered only through BlinkRx, and a fourth quarter revenue range implied by guidance of roughly USD 93 million to USD 108 million.