Journey Medical Corporation Reports Third Quarter 2026 Financial Results and Recent Corporate Highlights

Rhea-AI Summary

Journey Medical (Nasdaq: DERM) reported third-quarter 2026 revenue of $19.0 million, up 8% from the prior-year quarter. Emrosi revenue rose 84% to $9.0 million, with approximately 40,000 total prescriptions. Gross margin increased to 69% from 67%. GAAP net loss narrowed to $1.315 million, or $0.05 per share, from $2.315 million, or $0.09 per share.

Selling, general and administrative expenses rose to $12.593 million from $12.054 million, including a $1.744 million vendor settlement expense. Non-GAAP adjusted EBITDA increased to $3.516 million from $1.389 million. For the first nine months, revenue reached $53.438 million versus $45.779 million, while net loss narrowed to $3.857 million from $10.184 million. Cash fell to $22.323 million at September 30, 2026, from $24.090 million at year-end 2025. Journey expects its expanded sales force and additional health-plan formulary coverage to support further Emrosi adoption.

20 points · 0 major

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0 major · 7 points

Hollow bars mark forward-looking points. How the balance works

Positive

• Moderate pointThird-quarter revenue increased 8% year over year to $19.0 million from $17.6 million.
• Moderate pointEmrosi third-quarter revenue rose 84% year over year to $9.0 million.
• Moderate pointThird-quarter GAAP net loss narrowed to $1.315 million, or $0.05 per share, from $2.315 million, or $0.09.
• Moderate pointThird-quarter non-GAAP adjusted EBITDA increased to $3.516 million from $1.389 million a year earlier.
• Minor pointThird-quarter gross margin improved to 69% from 67% a year earlier.

15 minor points

• Minor pointNine-month revenue increased to $53.438 million from $45.779 million in 2025.
• Minor pointNine-month GAAP net loss narrowed to $3.857 million, or $0.14 per share, from $10.184 million, or $0.43.
• Minor pointThird-quarter operating loss narrowed to $530,000 from $1.529 million a year earlier.
• Minor pointNine-month operating loss narrowed to $1.566 million from $7.729 million a year earlier.
• Minor pointThird-quarter EBITDA, earnings before interest, taxes, depreciation and amortization, turned positive at $433,000 versus negative $468,000.
• Minor pointNine-month EBITDA turned positive at $1.488 million versus negative $4.607 million a year earlier.
• Minor pointNine-month non-GAAP adjusted EBITDA reached $7.001 million versus negative $23,000 a year earlier.
• Minor pointThird-quarter research and development expense declined to $51,000 from $287,000 a year earlier.
• Minor pointNine-month research and development expense declined to $105,000 from $326,000 a year earlier.
• Minor pointNine-month selling, general and administrative expenses declined to $33.590 million from $34.505 million.
• Minor pointAcquired-intangible amortization declined year over year to $969,000 for the quarter and $3.064 million for nine months.
• Minor pointInterest expense declined year over year to $919,000 for the quarter and $2.717 million for nine months.
• Minor pointEmrosi prescriptions totaled approximately 40,000 in the third quarter of 2026.
• Minor pointEmrosi unique prescribers increased again during the third quarter.
• Minor point. Forward-looking: it has not happened yet and may not happen.Expanded sales force and additional formulary coverage are expected by Journey to support further Emrosi adoption.

Negative

• Moderate pointVendor settlement expense added a one-time $1.744 million charge in the third quarter. 1.4% of market cap
• Moderate pointCost of goods sold, excluding acquired-intangible amortization, rose year over year to $5.884 million quarterly and $18.245 million year-to-date.
• Moderate pointCurrent liabilities increased to $53.520 million at September 30, 2026, from $37.442 million at year-end.
• Moderate pointShort-term term loan balance reached $7.500 million at September 30, 2026, versus none at year-end. 6% of market cap
• Moderate pointCommon shares outstanding increased to 22,225,645 at September 30, 2026, from 21,144,655 at year-end, diluting holders.

2 minor points

• Minor pointCash and cash equivalents fell to $22.323 million at September 30, 2026, from $24.090 million at year-end.
• Minor pointThird-quarter selling, general and administrative expenses rose to $12.593 million from $12.054 million a year earlier.

News Explained

The third-quarter balance sheet reports 22,225,645 common shares issued and outstanding at September 30, 2026, up from 21,144,655 at December 31, 2025; for an existing holder whose share count did not change, that means a smaller fraction of common shares outstanding.

Key Figures

Total revenue: $19.0 million; up 8% Emrosi revenue: $9.0 million; increased 84% Gross margin: 69% +5 more

Total revenue

$19.0 million; up 8%

Q3 2026; compared with $17.6 million in Q3 2025

Emrosi revenue

$9.0 million; increased 84%

Q3 2026 compared with Q3 2025

Gross margin

69%

Q3 2026, compared with 67% in the prior-year quarter

GAAP net loss

$1.3 million

Q3 2026, compared with $2.3 million in Q3 2025

Net loss per share

$(0.05)

Basic and diluted, Q3 2026; compared with $(0.09) in Q3 2025

Adjusted EBITDA

$3.516 million

Q3 2026, compared with $1.389 million in Q3 2025

Cash and cash equivalents

$22.3 million

At September 30, 2026, compared with $24.1 million at December 31, 2025

Emrosi total prescriptions

Approximately 40,000

Q3 2026

Previous Earnings Reports

2 past events · Latest: Aug 12

Same Type 2 events

1. Aug 12

   Q2 earnings

   24h Move

   +8.4%

   Revenue grew and net loss narrowed; the stock had a positive next-day reaction.

2. May 13

   Q1 earnings

   24h Move

   +3.1%

   Revenue grew and net loss narrowed; the stock had a positive next-day reaction.

24h Move is the share-price change in the day after each event; other market factors may also have contributed.

Key Terms

ebitda, gaap, non-gaap

3 terms

ebitda financial

"positive EBITDA and Adjusted EBITDA for both the three and nine-month periods"

EBITDA stands for earnings before interest, taxes, depreciation, and amortization. It measures a company's profitability by focusing on the money it makes from its core operations, ignoring expenses like taxes and accounting adjustments. Investors use EBITDA to compare how well different companies are performing financially, as it provides a clearer picture of operational success without the influence of financial structure or accounting choices.

View in glossary

gaap financial

"The Company’s GAAP Net Loss narrowed to $1.3 million"

GAAP, or Generally Accepted Accounting Principles, are a set of standardized rules and guidelines that companies follow when preparing their financial statements. They ensure consistency, transparency, and comparability across different companies, making it easier for investors to understand and compare financial information accurately. This helps investors make informed decisions based on trustworthy and uniform financial reports.

View in glossary

non-gaap financial

"The Company’s non-GAAP results in the table below reflect positive EBITDA"

Non-GAAP refers to financial measures that companies use to show their earnings or performance without including certain expenses or income that are often added back to give a different picture. It matters because it can make a company's results look better or more favorable, but it may also hide important costs, so investors need to look at both GAAP (official rules) and non-GAAP numbers to get a full understanding.

View in glossary

AI-generated analysis. How Rhea-AI works. Not financial advice.

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Total revenues were $19.0 million for the third quarter of 2026

Emrosi^® revenues of $9.0 million increased 84% compared to the third quarter of 2025

Company to hold conference call today at 4:30 p.m. ET

SCOTTSDALE, Ariz., Nov. 12, 2026 (GLOBE NEWSWIRE) -- Journey Medical Corporation (Nasdaq: DERM) (“Journey Medical,” “the Company,” “we” or “our”), a commercial-stage pharmaceutical company focused on developing, selling and marketing FDA-approved prescription pharmaceutical products for the treatment of dermatological conditions, today announced financial results and recent corporate highlights for the third quarter ended September 30, 2026.

“We continued to make progress during the third quarter, delivering year-over-year revenue growth, a higher gross margin, and positive EBITDA,” said Claude Maraoui, Journey Medical’s Co-Founder, President and Chief Executive Officer. “Third quarter sales of Emrosi®, our best-in-class oral rosacea treatment, increased by 84% compared to the prior-year period, driven by growth in prescription demand and continued improvement in the mix of prescriptions reimbursed by health plans. The number of unique prescribers writing for Emrosi® increased again during the third quarter and strong refill trends on top of new prescription growth are fueling momentum behind the brand and indicate high patient satisfaction with the product. Our recently expanded sales force and increasing formulary additions with national health plans are expected to facilitate further adoption and market penetration. Building on this progress and with over $22 million in cash, we believe we are well-positioned to advance our mission of delivering value to our dermatology customers and their patients while building long-term shareholder value.”

Financial Results:

• Total revenues were $19.0 million for the third quarter of 2026, an 8% increase from $17.6 million for the third quarter of 2025. The increase was driven by continued commercial demand momentum for Emrosi^®, which generated revenues of $9.0 million for the quarter ended September 30, 2026.
  
  
• The Company’s gross margin⁽¹⁾ was 69% for the third quarter of 2026, compared to 67% for the prior-year quarter.
  
  
• SG&A was $12.6 million for the third quarter of 2026, an increase of $0.5 million from the third quarter of 2025, primarily due to a one-time expense of $1.7 million recognized upon resolution of a dispute with a former vendor, offset by a reduction in launch-related spending for Emrosi® compared to the prior year quarter.
  
  
• The Company’s GAAP Net Loss narrowed to $1.3 million, or $(0.05) per share basic and diluted, for the third quarter of 2026, compared to a net loss of $2.3 million, or $(0.09) per share basic and diluted, for the third quarter of 2025.
  
  
• The Company’s non-GAAP results in the table below reflect positive EBITDA and Adjusted EBITDA for both the three and nine-month periods ended September 30, 2026.
  
  
• At September 30, 2026, the Company had $22.3 million in cash and cash equivalents, as compared to $24.1 million in cash and cash equivalents at December 31, 2025.
  
  

Recent Corporate Highlights:

• Emrosi^® total prescriptions (TRx) were approximately 40,000 for the third quarter of 2026.
  
  

Conference Call and Webcast Information

Journey Medical management will conduct a conference call and audio webcast on November 12, 2026, at 4:30 p.m. ET.

To listen to the conference call, interested parties within the U.S. should dial 1-866-777-2509 (domestic) or 1-412-317-5413 (international). All callers should dial in approximately 10 minutes prior to the scheduled start time and ask to be joined into the Journey Medical conference call. Participants can register for the conference call here: https://dpregister.com/sreg/10213114/1052fc6b3ac. Please note that registered participants will receive their dial-in number upon registration.

A live audio webcast can be accessed on the News and Events page of the Investors section of Journey Medical’s website, www.journeymedicalcorp.com, and will remain available for replay for approximately 30 days after the meeting.

(1) We define gross margin as total revenue less cost of goods sold divided by total revenue.

About Journey Medical Corporation
Journey Medical Corporation (Nasdaq: DERM) (“Journey Medical”) is a commercial-stage pharmaceutical company that primarily focuses on developing, selling and marketing FDA-approved prescription pharmaceutical products for the treatment of dermatological conditions through its efficient sales and marketing model. The Company currently markets nine branded FDA-approved prescription drugs that help treat and heal common skin conditions. The Journey Medical team comprises industry experts with extensive experience in developing and commercializing some of dermatology’s most successful prescription brands. Journey Medical is located in Scottsdale, Arizona and was founded by Fortress Biotech, Inc. (Nasdaq: FBIO). Journey Medical’s common stock is registered under the Securities Exchange Act of 1934, as amended, and the company files periodic reports with the U.S. Securities and Exchange Commission (“SEC”). For additional information about Journey Medical, visit www.journeymedicalcorp.com.

Forward-Looking Statements
This press release may contain “forward-looking statements” within the meaning of Section 27A of the Securities Act of 1933, as amended, and Section 21E of the Securities Exchange Act of 1934, as amended. As used below and throughout this press release, the words “the Company”, “we”, “us” and “our” may refer to Journey Medical. Such statements include, but are not limited to, any statements relating to our growth strategy and product development programs and any other statements that are not historical facts. The words “anticipate,” “believe,” “continue,” “estimate,” “may,” “expect,” “will,” “could,” “project,” “intend,” “potential” and similar expressions are generally intended to identify forward-looking statements. Forward-looking statements are based on management’s current expectations and are subject to risks and uncertainties that could negatively affect our business, operating results, financial condition and stock price. Factors that could cause actual results to differ materially from those currently anticipated include: the fact that our products and product candidates are subject to time and cost intensive regulation and clinical testing and as a result, may never be successfully developed or commercialized; a substantial portion of our sales derive from products that may become subject to third-party generic competition because their period of exclusivity has ended or they are without patent protection, subjecting them to the potential introduction of new competitor products and/or an increase in market share of existing competitor products, either of which could have a significant adverse impact on our operating income; we operate in a heavily regulated industry, and we cannot predict the impact that any future legislation or administrative or executive action may have on our operations; our revenue is dependent mainly upon sales of our dermatology products and any setback relating to the sale of such products could impair our operating results; competition could limit our products’ commercial opportunity and profitability, including competition from manufacturers of generic versions of our products; the risk that our products do not achieve broad market acceptance, including by government and third-party payors; our reliance on third parties for several aspects of our operations; our dependence on our ability to identify, develop, and acquire or in-license products and integrate them into our operations, at which we may be unsuccessful; the dependence of the success of our business, including our ability to finance our company and generate additional revenue, on the successful commercialization of Emrosi^® and the successful development, regulatory approval and commercialization of any future product candidates that we may develop, in-license or acquire; clinical drug development is very expensive, time consuming, and uncertain and our clinical trials may fail to adequately demonstrate the safety and efficacy of our current or any future product candidates; our competitors could develop and commercialize products similar or identical to ours; risks related to the protection of our intellectual property and our potential inability to maintain sufficient patent protection for our technology and products; our business and operations would suffer in the event of computer system failures, cyber-attacks, or deficiencies in our or our third parties’ cybersecurity; the substantial doubt expressed about our ability to continue as a going concern; the effects of major public health issues, epidemics or pandemics on our product revenues and any future clinical trials; our potential need to raise additional capital; Fortress controls a voting majority of our common stock, which could be detrimental to our other shareholders; as well as other risks described in Part I, Item 1A, “Risk Factors,” in our Annual Report on Form 10-K for the year ended December 31, 2025, subsequent Reports on Form 10-Q, and our other filings we make with the SEC. We expressly disclaim any obligation or undertaking to release publicly any updates or revisions to any forward-looking statements contained herein to reflect any change in our expectations or any changes in events, conditions or circumstances on which any such statement is based, except as may be required by law, and we claim the protection of the safe harbor for forward-looking statements contained in the Private Securities Litigation Reform Act of 1995.

Company Contact:
Jaclyn Jaffe
(781) 652-4500
ir@jmcderm.com

Media Relations Contact:
Tony Plohoros
6 Degrees
(908) 591-2839
tplohoros@6degreespr.com

JOURNEY MEDICAL CORPORATION Unaudited Condensed Consolidated Balance Sheets ($ in thousands except for share and per share amounts)
	September 30,				December 31,
		2026				2025
ASSETS
Current assets
Cash and cash equivalents	$	22,323			$	24,090
Accounts receivable, net of reserves		47,387				29,783
Inventory		7,772				9,624
Prepaid expenses and other current assets		1,782				3,376
Total current assets		79,264				66,873
Intangible assets, net		24,541				27,605
Operating lease right-of-use asset, net		41				111
Total assets	$	103,846			$	94,589
LIABILITIES AND STOCKHOLDERS' EQUITY
Current liabilities
Accounts payable	$	9,396			$	8,851
Due to related party		812				455
Accrued expenses		35,352				27,567
Accrued interest		416				398
Income taxes payable		-				70
Term loan, short-term		7,500				-
Operating lease liability, short-term		44				101
Total current liabilities		53,520				37,442
Term loan, long-term, net of discount		18,077				25,277
Operating lease liability, long-term		-				18
Total liabilities		71,597				62,737
Stockholders' equity
Common stock, $.0001 par value, 50,000,000 shares authorized, 22,225,645 and 21,144,655 shares issued and outstanding as of September 30, 2026 and December 31, 2025, respectively		2				2
Common stock - Class A, $.0001 par value, 50,000,000 shares authorized, 6,000,000 shares issued and outstanding as of September 30, 2026 and December 31, 2025		1				1
Additional paid-in capital		134,561				130,307
Accumulated deficit		(102,315	)			(98,458	)
Total stockholders' equity		32,249				31,852
Total liabilities and stockholders' equity	$	103,846			$	94,589

JOURNEY MEDICAL CORPORATION Unaudited Condensed Consolidated Statements of Operations ($ in thousands except for share and per share amounts)
​		Three-Month Periods Ended								Nine-Month Periods Ended
		September 30,								September 30,
		2026				2025				2026				2025
Revenue:	​	​		​	​	​				​		​	​	​
Product revenue, net	$	18,925				17,025				52,685				45,173
Other revenue		42				606				753				606
Total revenue		18,967				17,631				53,438				45,779
Operating expenses	​	​		​	​	​		​	​	​		​	​	​
Cost of goods sold – (excluding amortization of acquired intangible assets)	​	5,884				5,755				18,245				15,484
Amortization of acquired intangible assets		969				1,064				3,064				3,193
Research and development	​	51				287				105				326
Selling, general and administrative	​	12,593				12,054				33,590				34,505
Total operating expenses	​	19,497		​	​	19,160		​	​	55,004		​	​	53,508
Loss from operations	​	(530	)	​	​	(1,529	)	​	​	(1,566	)	​	​	(7,729	)
Other expense (income)
Interest income		(140	)			(154	)			(451	)			(441	)
Interest expense	​	919				937				2,717				2,765
Foreign exchange transaction losses		6				3				10				71
Total other expense	​	785		​	​	786		​	​	2,276		​	​	2,395
Loss before income taxes	​	(1,315	)	​	​	(2,315	)	​	​	(3,842	)	​	​	(10,124	)
Income tax expense		-				-				15				60
Net loss	$	(1,315	)	​	$	(2,315	)	​	$	(3,857	)	​	$	(10,184	)
Net loss per common share:
Basic and diluted	$	(0.05	)	​	$	(0.09	)	​	$	(0.14	)	​	$	(0.43	)
Weighted average number of common shares:
Basic and diluted		28,069,125				24,959,114				27,625,414				23,628,921

Use of Non-GAAP Measures:

In addition to the GAAP financial measures as presented in our Form 10-Q that will be filed with the Securities and Exchange Commission (“SEC”), the Company has, in this press release, included certain non-GAAP measurements, including EBITDA, Adjusted EBITDA, Adjusted EBITDA per share basic and Adjusted EBITDA per share diluted. We define EBITDA as net income (loss) excluding interest, taxes and depreciation and amortization and we define Adjusted EBITDA as net income (loss) excluding interest, taxes and depreciation, less certain other non-cash and/or infrequent items not considered to be normal, recurring operating expenses, including, share-based compensation expense, vendor dispute settlement expense, amortization and impairments of acquired intangible assets, inventory step-ups from the purchases of intangible assets and products, severance, and foreign exchange transaction losses.

In particular, we exclude the following matters for the reasons more fully described below:

• Share-Based Compensation Expense: We exclude share-based compensation from our adjusted financial results because share-based compensation expense, which is non-cash, although a recurring expense, fluctuates from period to period based on factors that are not within our control, such as our stock price on the dates share-based grants are issued.
• Vendor Dispute Settlement Expense: We have excluded the expense of $1.7 million in connection with our payment under a settlement arrangement with a former vendor because we consider this to be a one-time, non-recurring expense.

Beginning in the first quarter of 2026, we no longer exclude short-term research and development expenses (including any one-time license and milestone payments) from our Non-GAAP Adjusted EBITDA results. Prior period Non-GAAP Adjusted EBITDA results have been revised to reflect this change.

Adjusted EBITDA per share basic and Adjusted EBITDA per share diluted are determined by dividing the resulting Adjusted EBITDA by the number of shares outstanding on an actual and fully diluted basis.

Management believes the use of these non-GAAP measures provides meaningful supplemental information regarding the Company’s performance because (i) they allow for greater transparency with respect to key measures used by management in its financial and operational decision-making, (ii) they exclude the impact of non-cash or, when specified, non-recurring items that are not directly attributable to the Company’s core operating performance and that may obscure trends in the Company’s core operating performance and (iii) they are used by institutional investors and the analyst community to help analyze the Company's results. However, Adjusted EBITDA, Adjusted EBITDA per share basic, Adjusted EBITDA per share diluted and any other non-GAAP financial measures should be considered as a supplement to, and not as a substitute for, or superior to, the corresponding measures calculated in accordance with GAAP. Further, non-GAAP financial measures used by the Company and the manner in which they are calculated may differ from the non-GAAP financial measures or the calculations of the same non-GAAP financial measures used by other companies, including the Company’s competitors.

The table below provides a reconciliation from GAAP to non-GAAP measures:

JOURNEY MEDICAL CORPORATION (unaudited) Reconciliation of GAAP to Non-GAAP Adjusted EBITDA ($ in thousands except for share and per share amounts)
	Three-Month Periods Ended								Nine-Month Periods Ended
	September 30,								September 30,
		2026				2025				2026				2025
GAAP Net Loss	$	(1,315	)		$	(2,315	)		$	(3,857	)		$	(10,184	)
EBITDA:
Interest		779				783				2,266				2,324
Taxes		-				-				15				60
Amortization of acquired intangible assets		969				1,064				3,064				3,193
EBITDA		433				(468	)			1,488				(4,607	)
Non-GAAP Adjusted EBITDA:
Non-Cash Components:
Share-based compensation		1,333				1,854				3,759				4,513
Non-Core and Infrequent Components:
Vendor dispute settlement expense		1,744				-				1,744				-
Foreign exchange transaction losses		6				3				10				71
Non-GAAP Adjusted EBITDA	$	3,516			$	1,389			$	7,001			$	(23	)
Net loss & Non-GAAP Adjusted EBITDA per common share:
Basic
GAAP Net Loss	$	(0.05	)		$	(0.09	)		$	(0.14	)		$	(0.43	)
Non-GAAP Adjusted EBITDA	$	0.13			$	0.06			$	0.25			$	(0.00	)
Diluted
GAAP Net Loss	$	(0.05	)		$	(0.09	)		$	(0.14	)		$	(0.43	)
Non-GAAP Adjusted EBITDA	$	0.12			$	0.05			$	0.24			$	(0.00	)
Weighted average number of common shares:
GAAP - Basic & Diluted		28,069,125				24,959,114				27,625,414				23,628,921
Non-GAAP - Basic		28,069,125				24,959,114				27,625,414				23,628,921
Non-GAAP - Diluted		30,123,446				28,280,253				29,688,175				23,628,921

FAQ

AI-generated questions and answers. How Rhea-AI works. Not financial advice.

What were Journey Medical's third-quarter 2026 revenue and earnings?

Journey Medical reported $19.0 million in revenue and a GAAP net loss of $1.315 million, or $0.05 per basic and diluted share. Revenue increased 8% from $17.6 million in the prior-year quarter, while net loss narrowed from $2.315 million, or $0.09 per share.

How much did Emrosi sales grow in Journey Medical's third quarter of 2026?

Emrosi revenue increased 84% year over year to $9.0 million in the third quarter of 2026. Total prescriptions were approximately 40,000 for the quarter.

How did Journey Medical change its adjusted EBITDA calculation in 2026?

Beginning in the first quarter of 2026, Journey Medical stopped excluding short-term research and development expenses, including one-time license and milestone payments, from non-GAAP adjusted EBITDA. Prior-period results were revised to reflect that change.

What adjustments did Journey Medical make to third-quarter 2026 EBITDA?

Journey Medical added back $1.333 million of share-based compensation, $1.744 million of vendor settlement expense and $6,000 of foreign exchange transaction losses. These adjustments increased EBITDA of $433,000 to non-GAAP adjusted EBITDA of $3.516 million.