Krystal Biotech (KRYS) reports Q2 2026 earnings and revenue beats as VYJUVEK sales increase 24.1%.
Stock Earnings Results
August 3, 2026
Table of Contents
August 3, 2026
Krystal Biotech, Inc. (NASDAQ: KRYS) reported second-quarter 2026 results above expectations, supported by higher VYJUVEK revenue, stronger net income, a 95% gross margin, a large cash position, and several upcoming pipeline readouts.
Krystal Biotech is a commercial-stage biotechnology company focused on genetic medicines for diseases with high unmet medical needs. Its first commercial product, VYJUVEK, is approved in the United States, Europe, and Japan for dystrophic epidermolysis bullosa.
The company reported diluted EPS of $1.79, above estimates of $1.70, representing a 5.3% earnings surprise. Revenue came in at $119.22 million, above estimates of $119.05 million, with revenue growth of 24.1%.
Product revenue increased 24% year-over-year to $119.2 million.
Net income increased to $54.8 million from $38.3 million in the prior-year quarter.
Diluted EPS increased to $1.79 from $1.29.
Basic EPS was $1.85.
Income from operations increased to $58.4 million from $39.4 million.
Gross margin was 95%.
Cost of goods sold declined to $6.4 million from $7.2 million.
VYJUVEK global net product revenue was $119.2 million in the quarter.
Since launch, VYJUVEK has generated $965.9 million in global revenue.
The company said U.S. demand remained durable, helped by broad reimbursement access and increasing use of VYJUVEK as a lifelong wound management therapy.
Krystal has secured more than 730 reimbursement approvals for VYJUVEK.
The prescriber base expanded to more than 640 unique prescribers by the end of the quarter.
VYJUVEK continued gaining momentum in Germany, France, and Japan.
Krystal said physician engagement, patient starts, and prescription demand were increasing across its initial international launch markets.
The company is also advancing pricing and reimbursement discussions across Europe.
Commercial launches in Spain and Italy remain expected before year-end.
Pricing discussions are also underway in the United Kingdom after VYJUVEK was approved by the UK Medicines and Healthcare products Regulatory Agency in May.
Krystal expects to file additional marketing authorization applications in the second half of 2026, including in Switzerland and Australia.
Krystal expects multiple clinical data readouts in the second half of 2026.
KB803, the company’s ophthalmology candidate for corneal abrasions in dystrophic epidermolysis bullosa patients, is on track for a top-line data readout in the fourth quarter of 2026.
KB407, the company’s cystic fibrosis candidate, is expected to complete enrollment of about five patients and report interim study results before year-end.
KB111, the company’s Hailey-Hailey disease candidate, is expected to enroll about seven patients and report interim study results before year-end.
The company also expects an interim clinical update for intratumoral KB707 in Gorlin syndrome later this year.
Krystal reported interim clinical results from the KYANITE-1 Phase 1/2 dose expansion cohort at ASCO.
The study evaluated inhaled KB707 plus pembrolizumab in patients with advanced non-small cell lung cancer.
The combination showed an objective response rate of 31% and a disease control rate of 75% in a late-line setting.
Krystal said responses were durable, with median duration of response and progression-free survival not reached as of the data cutoff.
The company expects to report updated interim clinical results and potential registrational study plans in the first half of 2027.
Cash, cash equivalents, and investments totaled $1.1 billion at June 30.
That gives Krystal financial flexibility to support VYJUVEK commercialization and continue advancing its pipeline.
Research and development expenses were $14.5 million, roughly flat from $14.4 million in the prior-year quarter.
Selling, general, and administrative expenses increased to $39.9 million from $35.1 million.
For full-year 2026, Krystal expects non-GAAP combined R&D and SG&A expense of $175 million to $195 million.
Krystal Biotech delivered another strong quarter.
Revenue beat expectations, diluted EPS topped estimates, VYJUVEK revenue increased 24%, and the company ended the quarter with $1.1 billion in cash and investments. The business remains profitable while continuing to fund several clinical programs across dermatology, ophthalmology, respiratory disease, oncology, and aesthetics.
The key question is whether Krystal can turn VYJUVEK’s commercial success into a multi-product genetic medicines business.
Platforms like LevelFields track layoffs, market catalyst, activist investors, leadership changes, dividend increases, margin expansion, and stock reactions together, helping investors identify when biotech stocks are moving on commercial execution or pipeline catalysts.
Join LevelFields now to be the first to know about events that affect stock prices and uncover unique investment opportunities. Choose from events, view price reactions, and set event alerts with our AI-powered platform. Don't miss out on daily opportunities from 6,300 companies monitored 24/7. Act on facts, not opinions, and let LevelFields help you become a better investor.
AI scans for events proven to impact stock prices, so you don't have to.
LEARN MORE