Total revenues for the fourth quarter rose 39% year-over-year to $59.7 million, driven primarily by a 45% increase in royalty revenue to $50.5 million from stronger sales of Filspari, Capvaxive and Ohtuvayre. Adjusted net income climbed to $42.7 million, or $2.02 per diluted share, while GAAP net income reached $44.8 million.

Full-year revenues reached $268.1 million, up from $167.1 million in 2024, with royalties up 48% to $161.0 million, Captisol sales of $40.2 million and contract revenue of $66.9 million. Research and development expenses rose to $81.2 million, reflecting one-time charges for royalty financing agreements with Castle Creek Biosciences and Orchestra BioMed.

Management reiterated targets of $245-$285 million in revenues and $8.00-$9.00 in adjusted EPS for 2026, underscoring confidence in the royalty portfolio and the strength of the pipeline of investment opportunities. The guidance reflects expected continued growth from existing partnerships and recent out-licensing successes.

The company ended 2025 with $733.5 million in cash, cash equivalents and short-term investments, providing ample liquidity to fund high-value asset acquisitions and support ongoing clinical and development programs. This strong balance sheet positions Ligand to pursue strategic opportunities and drive long-term shareholder value.