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    NBIX
    Earnings call· Jun 2026(Q2 FY26)

    NEUROCRINE BIOSCIENCES Q2 FY26 earnings call NBIX

    Jul 30, 2026 Source

    Executive summary

    Neurocrine Biosciences Q2 FY26 — Record Sales and Pipeline Advancement

    Neurocrine Biosciences delivered a record second quarter, driven by strong performance across its diversified commercial portfolio, including INGREZZA, CRENESITY, and the newly acquired VYKAT XR. The company is successfully executing its strategy of commercial growth, pipeline advancement, and disciplined capital deployment, positioning it for long-term value creation. Integration of VYKAT XR is progressing, with expectations for sequential growth exiting 2026, while key Phase III data readouts for osavampator and direclidine are anticipated in 2027.

    Highlights

    5

    • Net product sales exceeded $950 million, representing nearly 40% year-over-year growth.

    • INGREZZA net sales were $716 million, up 15% year-over-year, driven by record new patient additions and sustained demand.

    • Full-year INGREZZA guidance raised from $2.7B-$2.8B to $2.825B-$2.875B.

    • CRENESITY net sales were $184 million, with prescriber base nearly tripling year-over-year and 15% estimated diagnosed patient population prescribed.

    • VYKAT XR pro forma net sales were $94 million, with Neurocrine recognizing $54 million from May 18, immediately accretive to non-GAAP earnings.

    Concerns

    2

    • Approximately $150 million of acquisition-related costs for Soleno acquisition, with $130 million recognized in Q2.

    • VYKAT XR discontinuation rates tracked in line with expectations following initial launch bolus, requiring continued market development.

    Guidance & targets

    9
    CategoryTargetConfidence
    Full-year INGREZZA net sales
    $2.825 billion to $2.875 billion
    high materiality
    High
    VYKAT XR sequential quarterly growth
    Sequential quarterly growth
    medium materiality
    High
    osavampator Phase III top-line data readout
    Top-line data readout
    high materiality
    High
    direclidine first Phase III study readout
    First Phase III study readout
    high materiality
    High
    direclidine second Phase III study readout
    Second Phase III study readout
    high materiality
    High
    NBIP-01435 Phase II study start
    Start Phase II study
    medium materiality
    High
    NBI-2118 (CRF2 agonist) signal-seeking study readout
    Signal-seeking study readout
    medium materiality
    High
    Friedreich's ataxia gene therapy clinical development
    Starting clinical development
    medium materiality
    High
    Friedreich's ataxia gene therapy data in patients
    Actual data in patients
    medium materiality
    High

    Segment performance

    3
    SegmentRevenueYoYQoQMargin
    INGREZZA
    Strong performance driven by record new patient additions and sustained underlying demand, leading to raised full-year guidance.
    New patient additions: Record highTotal prescriptions: All-time high
    		$716 million15%——
    CRENESITY
    Continued strong launch execution with consistent new patient starts, expanding prescriber adoption, and high persistence and compliance.
    Estimated diagnosed patient population prescribed: 15%Prescriber base: Nearly tripled compared to 1 year ago
    		$184 million———
    VYKAT XR
    Neurocrine recognized sales from May 18, 2026, following the Soleno acquisition. Integration is progressing, with expectations for sequential growth exiting 2026.
    Pro forma net sales (Q2 FY26): $94 millionNew patient demand: Fairly consistent with Q1 FY26Discontinuation rates: In line with expectations following initial launch bolus
    		$54 million———

    Operational metrics

    8
    Total revenue
    $950 millionUp nearly 40% year-over-year
    Q2 FY26

    Total revenue reflecting contributions from INGREZZA, CRENESITY, and VYKAT XR.

    Non-GAAP EPS
    $2.85
    Q2 FY26

    Non-GAAP earnings per share for the quarter.

    Acquisition-related costs
    $150 million$130 million recognized in Q2 FY26
    FY26

    Expected costs related to the Soleno acquisition, including transaction and integration.

    Cash and no debt
    $500 million
    End of Q2 FY26

    Cash balance after financing the Soleno acquisition.

    VYKAT XR IP estate duration
    Mid-2040s
    Long-term

    Intellectual property protection for VYKAT XR.

    CRENESITY patient weeks of exposure
    Over 35,000
    Cumulative

    Exposure data from CAHtalyst open-label studies, supporting long-term safety.

    CRENESITY patient affordability
    Over 90%
    Current

    Percentage of patients paying $10 or less per month for CRENESITY.

    Non-GAAP operating income
    Over 30%
    Current

    Indication of the company's profitability.

    Industry KPIs

    9
    MetricValueDetails
    Launch access metricsExcellent
    Pipeline read out calendarMultiple readouts
    Product franchise net sales$716 millionUSD
    Regulatory approvals filingsEMA filing withdrawn
    Peak long term sales guidanceBlockbuster potential
    Therapeutic drug market shareMarket leader
    Prescription volume new startsRecord new patient additions
    Clinical trial efficacy safety dataMeaningful and durable improvements
    Cumulative patients uptake since launch15%%

    Deals & partnerships

    1
    Soleno TherapeuticsAcquisition of Soleno Therapeutics, adding VYKAT XR to Neurocrine's portfolio.$2.9 billion

    Neurocrine financed the transaction with cash on hand, ending Q2 with approximately $500 million in cash and no debt. VYKAT XR is a first-in-class, first-in-disease medicine for Prader-Willi syndrome with IP extending to mid-2040s.

    Risks & headwinds

    3
    IRA implementation impact on INGREZZA2029

    Not yet quantified

    Mitigation: Ongoing discussions with payers; expectation of continued strong access for MFP-adjacent products; leveraging market leadership in VMAT2 category.

    VYKAT XR integration and discontinuation ratesNear-term

    Discontinuation rates tracked in line with expectations following initial launch bolus

    Mitigation: Improving messaging and education for caregivers, patients, and physicians; focusing on appropriate patient selection, titration, and setting realistic efficacy expectations; leveraging Neurocrine's resources and support for the VYKAT team.

    Competitive landscape in CAHFuture

    Vertex acquired a potential future competitor (atumelnant)

    Mitigation: CRENESITY has a high bar with strong efficacy, safety, multiple formulations, wide age range, and multiple years of clinical data; continued focus on growing CRENESITY as the standard of care.

    What to watch in Q3 FY26

    5

    VYKAT XR sequential growth

    Q3 FY26 and beyond
    CurrentQ2 FY26 sales of $54M (Neurocrine recognized)
    TargetSequential growth

    Why it matters

    To confirm successful integration of the acquired asset and its contribution to overall revenue growth.

    Integration has progressed well and expect to drive sequential quarterly growth exiting 2026.

    Q&A highlights

    7

    What is the visibility on INGREZZA pricing dynamics for next year, especially with AUSTEDO MFP, and how much additional cost might be incurred to maintain access?

    Management stated that 70% of Medicare lives are covered in 2026 with consistent pricing expected. They anticipate ample opportunity for strong access in 2027 and 2028 for MFP-adjacent products. It's too early to quantify additional costs for maintaining access next year.

    “I think where we are right now is we do see a process and the path moving forward is not just us but others that there'll be a place for MFP adjacent products for Medicare beneficiaries.”

    asked by Paul Matteis · answered by Kyle Gano

    2 min read6 chapters

    Detailed Narrative

    01

    Commercial Portfolio Strength and Diversification

    Neurocrine's commercial portfolio, comprising INGREZZA, CRENESITY, and VYKAT XR, achieved record net product sales exceeding $950 million in Q2 FY26, marking nearly 40% year-over-year growth. This performance underscores the company's successful transition from a single-product focus to a diversified commercial engine. The strong sales provide financial flexibility to invest in innovation and strategic opportunities, reinforcing Neurocrine's leadership in rare disease and endocrinology.

    02

    VYKAT XR Acquisition and Integration

    The acquisition of Soleno and its product VYKAT XR for approximately $2.9 billion was financed with cash on hand, adding a first-in-class medicine for Prader-Willi syndrome to Neurocrine's portfolio. VYKAT XR contributed $54 million in sales from May 18, 2026, and is immediately accretive to non-GAAP earnings. Integration efforts are progressing, with management optimistic about driving sequential quarterly growth exiting 2026 and confident in VYKAT XR's potential to become a third blockbuster product.

    03

    Pipeline Advancement and Future Milestones

    The company's pipeline continues to advance, with significant clinical milestones expected in 2027. These include Phase III top-line data readouts for osavampator in major depressive disorder and direclidine in schizophrenia. Neurocrine is also progressing its next-generation CRENESITY asset (NBIP-01435) towards a Phase II study and has multiple muscarinic and obesity programs in development, including a CRF2 agonist (NBI-2118) with a signal-seeking study readout expected next year.

    04

    INGREZZA Performance and Market Dynamics

    INGREZZA delivered $716 million in net sales, up 15% year-over-year, driven by record new patient additions and sustained demand. The full-year guidance for INGREZZA was raised to $2.825 billion to $2.875 billion. Management expects continued strong access for INGREZZA in 2027 and 2028 despite potential IRA/MFP impacts, noting the overall VMAT2 market continues to grow double-digit year-over-year.

    05

    CRENESITY Launch Trajectory and Long-Term Data

    CRENESITY generated $184 million in net sales, reflecting strong launch execution, consistent new patient starts, and expanding prescriber adoption. Approximately 15% of the estimated diagnosed patient population has been prescribed CRENESITY, and its prescriber base has nearly tripled year-over-year. Two-year data from the CAHtalyst open-label studies demonstrated meaningful and durable improvements in cardiometabolic outcomes, bone health, quality of life, and pediatric growth, reinforcing its favorable long-term safety profile.

    06

    Muscarinic Franchise Strategy

    Neurocrine is building a robust muscarinic franchise with four distinct assets. Direclidine (NBI-568) is in Phase III for schizophrenia and Phase II for bipolar mania. NBI-570, an M4-preferring M1/M4 dual, is in Phase II for schizophrenia with potential for a long-acting injectable. NBI-569, another M1/M4 dual, is in an early study for Alzheimer's disease psychosis, and NBI-567 will soon start a Phase II study for Alzheimer's cognition. All are orthosteric agonists designed to be selective and avoid add-back medications for side effect management.

    AI-generated summary of the company’s earnings call. Not investment advice.