Nov 12 (Reuters) -

Overview

* Medexus fiscal Q2 2026 revenue of $24.7 mln missed analyst expectations

* Company's adjusted EBITDA decreased due to GRAFAPEX investments and Rupall competition

* Gross margin improved to 55.7% from 53.7% year-over-year

Outlook

* Medexus expects GRAFAPEX to be accretive to cash flows by fiscal Q3 2026

* Company anticipates GRAFAPEX revenue to exceed $100 mln within five years

Result Drivers

* GRAFAPEX PERFORMANCE - GRAFAPEX exceeded expectations with strong patient demand since its February 2025 launch, contributing $3.1 mln in Q2 revenue

* INVESTMENTS IN GRAFAPEX - Significant investments in GRAFAPEX personnel and infrastructure, totaling $6.0 mln, are expected to be accretive to cash flows by fiscal Q3 2026

* RUPALL AND GLEOLAN IMPACT - Revenue decline due to reduced Rupall sales from generic competition and termination of US Gleolan Agreement

Key Details

Metric Beat/Mis Actual Consensu

s s

Estimate

Q2 Miss $24.74 $25.60

Revenue mln mln (4

Analysts

)

Q2 Net -$315,00

Income 0

Q2 $4.35

Adjusted mln

EBITDA

Analyst Coverage

* The current average analyst rating on the shares is "buy" and the breakdown of recommendations is 5 "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 Medexus Pharmaceuticals Inc ( MEDXF ) is C$6.00, about 55% above its November 12 closing price of C$2.70

Press Release:

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