YUTREPIA's launch trajectory has eclipsed competitors. What is the current split between major centers and smaller community prescribers, and how has this evolved?

Major centers were early adopters and remain a mainstay, but the balance is shifting towards community prescribers. The sales force expansion aims to further penetrate the community market, including pulmonologists who see ILD patients but may not consider PH. The product's superior profile is driving adoption. “the balance is definitely changing a bit more towards what we call the community, but the centers are still the largest cohort. And of course, they actually are still growing as well.”

How large is the PH-ILD opportunity, and what are the expectations for future income tax payments?

The inhaled prostacyclin market is $2 billion, split evenly between PH and PH-ILD. The PH-ILD market is massively underpenetrated, with potential well in excess of $2 billion to $3 billion on its own, and a total PAH/PH-ILD market potential of $6 billion. The company expects to continue recording income tax expense due to increasing profitability, as part of its goal to grow sales and reinvest profits. “just across PH and PH-ILD, there's a potential -- and again, with clear line of sight without a lot of exaggeration or hyperbole to $6 billion in revenue.”

Are there emerging trends in patients switching to YUTREPIA, and is there a chance to achieve the $1 billion revenue run rate before 2027?

The market is experiencing an 'inhaled renaissance' led by YUTREPIA's tolerability and ability to dose higher. Many practitioners are switching from oral prostacyclins due to YUTREPIA's direct administration and reduced systemic side effects. The company is not providing updated run rate guidance but expressed strong confidence in achieving at least $1 billion in net revenue by 2027, citing continued momentum and market share gains. “The construct of using pumps and even oral prostacyclins, especially given their significant GI intolerability has allowed the market to take a look at YUTREPIA in a different perspective.”

LQDA

Liquidia (LQDA) Q1 FY26 earnings call: guidance and Q&A

Earnings call· Mar 2026 (Q1 FY26)· Health Care· May 11, 2026

Source: earnings call transcript

Executive summary

Liquidia Corporation Q1 FY26 — YUTREPIA Drives Strong Growth and Profitability

Liquidia Corporation delivered a strong first quarter, driven by the continued commercial success and market leadership of YUTREPIA. The company achieved its third consecutive quarter of profitability, with significant growth in net product sales and adjusted EBITDA. This financial strength allows for self-funded reinvestment into pipeline expansion, including the pivotal Phase III RESPIRE study for L606 and exploration of broader indications, positioning the company for sustained future growth.

Highlights

YUTREPIA net product sales reached $129.9 million in Q1 FY26, up 44% sequentially from Q4 FY25.
Non-GAAP adjusted EBITDA was approximately $71.2 million in Q1 FY26, nearly tripling from $27.3 million in Q4 FY25.
The company achieved its third consecutive quarter of profitability, with net income of $52.9 million.
YUTREPIA has exceeded $0.5 billion in annualized net revenue run rate in less than one full year on the market.
Cash and cash equivalents increased by $32.1 million to $222.8 million at the end of Q1 FY26.

Concerns

327 litigation outcome

Guidance & targets

Category	Target	Timeline	Confidence
Net revenue	at least $1 billion high materiality	FY27	High
L606 Phase III RESPIRE study	first patient to imminently come through high materiality	Short-term	High
Transition study from parenteral therapy to YUTREPIA	initiating some time in 2026-2027 medium materiality	FY26-FY27	Medium
PH-COPD program initiation	won't get going until '27 at best medium materiality	FY27	Medium

Segment performance

Segment	Revenue	YoY	QoQ	Margin
YUTREPIA YUTREPIA net product sales showed strong sequential growth, driven by increasing depth of prescriptions and market leadership in the inhaled prostacyclin category. The product is establishing itself as a preferred therapy due to its differentiated profile. Unique patient prescriptions since launch (as of April 30): ~4,500Patients started on therapy since launch (as of April 30): ~3,750Physicians prescribed since launch: ~980Physicians prescribed to 5+ patients (since end of Feb): ~270 (25% growth)PH vs PH-ILD prescription split: 50/50Naive vs transitions prescription split: 75/25Pull-through rate: ~85%	$129.9M	—	44%	—

Risks & headwinds

327 litigation outcome Ongoing

Unquantified

Mitigation:Management remains confident in its arguments and believes any read-through from the Hikma vs. Amarin case would be favorable.

What to watch in Q2 FY26

YUTREPIA sustained growth trajectory

next quarter

Current 44% sequential growth in Q1 FY26

Target Sustained growth consistent with launch trajectory

Why it matters

Continued strong growth in YUTREPIA sales is essential for achieving the $1 billion net revenue target by 2027 and demonstrating market leadership.

I think if we sustain the growth that we've seen since the beginning of launch and you just take that at your average, I think everything we've predicted around 2027 being $1 billion in net revenues, still holds true for us.

Find out whether LQDA delivers this. Inve re-checks your case every morning.

Q&A highlights

Can you elaborate on the drivers of YUTREPIA's accelerating growth, including patient types and prescriber segments? Also, is there any read-across from the Hikma vs Amarin case to the 327 litigation?

Growth is largely sustained and consistent, driven by increasing depth of prescriptions from physicians who try YUTREPIA and then preferentially use it. The product's profile (targeted delivery, minimized intolerance, higher dosing) is key. PH and PH-ILD scripting is 50/50, naive vs transitions 75/25. The Hikma case focuses on induced infringement, which is relevant to Liquidia's case, and management believes any read-through would be favorable.

“I think if there's any read-through from Hikma, we also feel that potentially would go in our favor as well.”

asked by Amy Li · answered by Roger Jeffs

3 min read 6 chapters

Detailed narrative

YUTREPIA Commercial Performance and Market Leadership

YUTREPIA has demonstrated strong commercial momentum, leading the growth of the inhaled prostacyclin category in PAH and PH-ILD. In its third full quarter on the market, YUTREPIA achieved $129.9 million in net product sales, representing 44% sequential growth. The product has garnered approximately 4,500 unique patient prescriptions and started 3,750 patients on therapy since launch, with 980 physicians prescribing.

The number of physicians prescribing to 5 or more patients grew 25% to 270 since February, indicating increasing depth of prescription and YUTREPIA becoming a foundational therapy.

Pipeline Expansion and Future Growth Drivers

Liquidia is actively broadening its clinical opportunities to expand the franchise value of its portfolio. This includes recruiting into Cohort B of the ASCENT study to transition inadequate responders from Tyvaso DPI to YUTREPIA, and actively screening patients for the pivotal Phase III RESPIRE study of L606 for PH-ILD.

Additionally, the company is advancing clinical programs to explore YUTREPIA's role in other serious pulmonary and vascular diseases such as IPF, PPF, PH-COPD, and scleroderma associated Raynaud's phenomenon, with a PH-COPD study anticipated to begin in 2027.

Financial Strength and Self-Funding Model

The company has established a profitable, self-funded business in a short period, delivering its third consecutive quarter of profitability. Net income reached $52.9 million and non-GAAP adjusted EBITDA was $71.2 million in Q1 FY26. This financial strength allows Liquidia to reinvest profits into new manufacturing capacity, YUTREPIA and L606 clinical studies, and other growth initiatives, rather than relying on capital markets.

Cash and cash equivalents grew to $222.8 million, reinforcing the ability to fund future priorities.

PH-ILD Market Opportunity and Strategy

The PH-ILD market is seen as significantly underpenetrated, with a potential value well in excess of $2 billion to $3 billion on its own, contributing to a total PAH and PH-ILD market opportunity of $6 billion. Liquidia's strategy involves driving awareness among community pulmonologists, who often see ILD patients but may not actively screen for PH.

The company is expanding its sales force to reach these physicians, educate them on PH-ILD, and encourage diagnosis or referral to specialized centers, leveraging recent data showing 50-75% of ILD patients have a PH component.

Litigation Update and Read-Across from Hikma Case

The company remains confident in its arguments regarding the 327 litigation concerning United Therapeutics' patents. While not directly comparable, the Hikma vs. Amarin case, which focuses on induced infringement and certain conduct, presents parallels that Liquidia believes could potentially favor its position. Management expressed bullishness on the outcome of the opinion when rendered, suggesting any read-through from Hikma would likely be positive for Liquidia.

Switching Trends and Product Profile Advantages

YUTREPIA is experiencing a 'renaissance' in inhaled therapy, driven by its product profile which offers superior tolerability and allows for higher dosing, leading to better patient outcomes. Practitioners are increasingly switching patients from oral prostacyclins due to YUTREPIA's direct lung administration, minimized off-target systemic side effects, and ability to achieve higher therapeutic exposures.

Studies are planned to facilitate transitions from oral prostacyclins and parenteral therapies, including those on sotatercept, to YUTREPIA.

Summary of the company's earnings call; see how call summaries are prepared. Not investment advice.