Sarepta Therapeutics (SRPT) Q2 2026 earnings summary

Executive summary

• Achieved GAAP and non-GAAP operating profitability in Q2 2026, with GAAP operating income of $13.3M and non-GAAP operating income of $86.5M, reflecting disciplined execution and a durable base business.

• Appointed new CEO, Michael Severino, M.D., effective July 2026, following Doug Ingram's retirement, to drive strategic continuity and growth.

• Q2 2026 total revenues were $401.3M, down 34% year-over-year, mainly due to a 65% drop in ELEVIDYS sales after safety events and label changes restricting use to ambulatory patients.

• Cash and investments increased by $197M during Q2, ending at $945M, supporting financial flexibility and ongoing investments.

• Advanced siRNA pipeline and key clinical milestones remain on track, including data readouts for DM1, FSHD, and full enrollment of ENDEAVOR Cohort 8.

Financial highlights

• Q2 2026 net product revenue was $328.7M ($98.1M ELEVIDYS, $230.6M PMO franchise).

• Gross margin on net product revenues was 75% in Q2 2026.

• Q2 2026 GAAP net loss was $4.9M; non-GAAP net income was $78.6M; non-GAAP diluted EPS was $0.64.

• Q2 2026 cost of sales was $149.4M, down 2% year-over-year.

• Combined non-GAAP R&D and SG&A expenses were $165M in Q2 2026, reflecting lean operations.

Outlook and guidance

• FY 2026 total net product revenue guidance narrowed to $1.2–$1.3B, trending toward the lower end.

• Collaboration and other revenue guidance raised to $550–$600M, mainly from contract manufacturing and Roche milestone payments.

• Combined non-GAAP R&D and SG&A expense guidance narrowed to $800–$850M for FY 2026.

• Second half 2026 net product revenue expected to be modestly lower than first half due to timing of patient progression and enrollment forms.