Journey Medical (DERM) Q1 2026 earnings summary

Executive summary

• Total revenues for Q1 2026 rose 21% year-over-year to $16.0 million, driven by EMROSI/Emrosi® sales growth and improved prescription volumes.

• Net loss narrowed to $2.2 million from $4.1 million in Q1 2025, reflecting improved operating performance.

• Cash and cash equivalents increased to $27.2 million as of March 31, 2026.

• EMROSI/Emrosi® prescription volumes grew, with nearly 30,000 prescriptions in Q1 2026 and expanded payer coverage.

• Agreements with all three major PBM-owned GPOs now provide EMROSI/Emrosi® access to over 169 million commercial lives in the U.S.

Financial highlights

• EMROSI/Emrosi® generated $6.3 million in Q1 2026 revenue, up from $2.1 million year-over-year.

• Gross margin was 61%, down from 63.5% due to a $1.3 million non-cash API inventory write-down; excluding this, gross margin would have been ~69%.

• SG&A expenses decreased to $10.1 million from $10.6 million year-over-year.

• Adjusted EBITDA turned positive at $0.6 million ($0.02/share), up from negative $0.9 million ($0.04/share) in Q1 2025.

• Cash flow from operations was $2.9 million, up from $(2.8) million in Q1 2025.

Outlook and guidance

• Expectation of continued positive adjusted EBITDA and operating leverage as EMROSI/Emrosi® and other brands scale.

• Management expects strong financial progress throughout 2026, with further revenue and profitability growth anticipated.

• Substantial doubt remains about the ability to continue as a going concern due to recurring losses.

• Management continues to evaluate capital structure and may seek additional financing or strategic transactions.

• Two new niche dermatology products targeted for launch in 2026, expected to add incremental revenue.