Knight Therapeutics (GUD) Q4 2025 earnings summary

Executive summary

• Achieved record revenues of CAD 452 million (up 24% year-over-year) and adjusted EBITDA of CAD 73 million in 2025, with cash flow from operations of CAD 69 million.

• Growth driven by Paladin and Sumitomo acquisitions, key promoted products, and portfolio expansion, including over 50 new assets and major launches across Canada and Latin America.

• Expanded Canadian infrastructure and portfolio, positioning Canada as a major contributor to future revenue and profitability.

• Multiple regulatory approvals and product launches across Canada and Latin America, with a robust pipeline awaiting approval.

• Over 250,000 patients served across territories in 2025.

Financial highlights

• Q4 2025 revenues reached CAD 133.2 million (up 42% year-over-year), with adjusted EBITDA of CAD 24.4 million (up 63%).

• Full-year 2025 revenues grew by CAD 87 million (24%) to CAD 452 million; adjusted EBITDA rose by CAD 15 million (26%) to CAD 73 million.

• Adjusted gross margin improved to 51% in Q4 2025 (from 47% in Q4 2024) and 48% for the year (from 47% in 2024); reported gross margin declined to 44% due to hyperinflation and inventory adjustments.

• Cash and marketable securities at year-end totaled CAD 95 million, with net cash position improving to CAD 27 million.

• Net loss of CAD 5.4 million versus net income of CAD 4.3 million in 2024, mainly due to higher operating expenses and amortization.

Outlook and guidance

• 2026 revenue guidance set at CAD 490–510 million, with adjusted EBITDA expected at approximately 15% of revenues.

• At least 10 new product launches planned for 2026, continuing the momentum of 13 launches over the past two years.

• Operating expenses anticipated to increase due to expanded portfolio and launch activities.

• Guidance assumes no material impact from hyperinflation accounting in Argentina and no major supply, regulatory, or geopolitical disruptions.