XOMA Corporation (XOMA) Q1 2026 earnings summary

Executive summary

• Expanded royalty portfolio to over 120 assets, doubling since 2023, anchored by seven commercial-stage products and 14 in Phase 3 or registrational stages.

• Completed 9 acquisitions since 2024, including Generation Bio, and entered a definitive merger agreement with Ligand for $39.00 per share plus a CVR, expected to close in Q3 2026.

• Portfolio received $16.1 million in commercial payments in Q1 2026, with net income of $4.5 million and total income of $12.3 million, down from $15.9 million in Q1 2025 due to lower milestone and contract revenue.

• Focused on early- to mid-stage clinical assets, differentiating from peers by targeting smaller, high-growth opportunities.

Financial highlights

• FY2025 portfolio receipts exceeded $50M, with positive cash flow from operations and royalty receipts growing 68% year-over-year; four programs each contributed over $1.5M.

• $16M share repurchase retired approximately 648,000 shares at an average price of $24.75; cumulative repurchases since 2024 total $16.3 million.

• Ended 2025 with $83M in cash and a fully diluted market cap of $469M; as of March 31, 2026, cash and equivalents totaled $85.6M, with $53.1M in restricted cash.

• Net cash provided by operating activities was $6.1 million in Q1 2026.

Outlook and guidance

• Anticipates commercial sales ramps and regulatory decisions for key assets such as Vabysmo, Ojemda, and Miplyffa in 2026, with management expecting increased royalty income from these assets.

• Expects continued business development and portfolio expansion, with multiple late-stage and early-stage pipeline events.

• Current financial resources are believed sufficient to fund planned operations and obligations for at least one year.

• Additional operating expenses are anticipated in 2026 related to the proposed Ligand merger.