Zymeworks (ZYME) Q3 2026 earnings summary

Executive summary

• Q3 2026 revenue was $256.5M, including a $250M Jazz milestone for Ziihera’s U.S. first-line GEA approval; net income was $173.7M and diluted EPS was $2.28.

• FY 2026 revenue guidance rose to $337M–$351M and Adjusted EBITDA guidance to $176M–$190M.

• Theravance added YUPELRI economics and VIBATIV royalties; the Roche ZW209 collaboration offers milestone and royalty potential.

• Strategy emphasizes royalty and asset aggregation, focused R&D, partnerships and selective acquisitions; FY 2026 profitability is expected, but not consistent quarterly profitability near to medium term.

Financial highlights

• Q3 revenue was $256.5M vs. $27.6M; operating income was $177.6M vs. an operating loss of $22.1M; net income was $173.7M vs. a net loss of $19.6M.

• 9M revenue was $263.5M vs. $103.5M; operating income was $88.3M vs. an operating loss of $48.4M; net income was $84.5M vs. a net loss of $39.9M.

• Q3 R&D was $36.1M vs. $35.6M; SG&A was $42.7M vs. $14.1M, reflecting acquisition costs, severance, professional fees and higher stock compensation.

• 9M R&D was $98.0M, down $7.8M YoY; SG&A was $77.1M, up $31.0M, mainly from acquisition-related severance, fees and stock compensation.

• Adjusted EBITDA was $215.3M in Q3 vs. negative $13.5M; 9M Adjusted EBITDA was $153.0M vs. negative $21.3M.

Outlook and guidance

• FY 2026 revenue guidance increased to $337M–$351M from $278M–$292M; Adjusted EBITDA guidance increased to $176M–$190M from $114M–$128M, excluding future transactions.

• Guidance is subject to expiration or termination of the Roche collaboration HSR waiting period, expected in Q4 2026.

• Existing cash plus the $250M Jazz milestone collected in October is expected to fund operating and capital needs for at least 12 months from filing; assessment excludes contingent milestones and strategic transactions.

• Annual R&D expense, excluding stock-based compensation, is expected to trend lower over several years; collaborations are intended to share later-stage development costs.

• A $100M TRELEGY ELLIPTA milestone is expected in Q1 2027, conditional on 2026 global sales thresholds; up to $190M in additional Ziihera GEA regulatory milestones remains possible.