Overview

* Ligand Q2 revenue rises 15% yr/yr, driven by 57% royalty revenue growth

* Company raises 2025 revenue guidance to $200 mln-$225 mln, adjusted EPS to $6.70-$7.00

* Ligand reports Q2 GAAP net income of $4.8 mln, improving from last year's loss

Outlook

* Ligand raises 2025 revenue guidance to $200 mln - $225 mln

* Company increases adjusted EPS forecast to $6.70 - $7.00

* Ligand expects royalties of $140 mln - $150 mln

* Company revises contract revenue guidance to $25 mln - $35 mln

Result Drivers

* ROYALTY REVENUE - 57% increase in royalty revenue driven by Recordati's Qarziba and Travere Therapeutics' Filspari

* R&D - Expenses were $6.6 million for the second quarter of 2025, compared with $5.4 million for the same period in 2024

Key Details

Metric Beat/Mis Actual Consensu

s s

Estimate

Q2 EPS $0.24

Q2 Net $4.85

Income mln

Q2 Basic $0.25

EPS

Q2 $8.44

Operatin mln

g Income

Q2 $11.22

Pretax mln

Profit

Analyst Coverage

* The current average analyst rating on the shares is "buy" and the breakdown of recommendations is 7 "strong buy" or "buy", no "hold" and no "sell" or "strong sell"

* The average consensus recommendation for the pharmaceuticals peer group is "buy"

* Wall Street's median 12-month price target for Ligand Pharmaceuticals Inc ( LGND ) is $142.00, about 0.3% below its August 6 closing price of $142.40

* The stock recently traded at 22 times the next 12-month earnings vs. a P/E of 17 three months ago

Press Release:

(This story was created using Reuters automation and AI based on LSEG and company data. It was checked and edited by a Reuters journalist prior to publication.)