Jazz Pharmaceuticals Announces Third Quarter 2026 Financial Results

Higher revenue guidance accompanied increased expense and tax-rate forecasts following the completed Actio acquisition.

Rhea-AI Summary

Jazz Pharmaceuticals (JAZZ) reported third-quarter 2026 revenue of $1,243.0 million, up 10% year over year, and raised its full-year revenue outlook. Guidance increased to $4,775–$4,850 million from $4,600–$4,750 million. A $754.2 million acquired research and development expense accompanied the Actio acquisition; quarterly GAAP results swung to a $483.4 million net loss from $251.4 million net income.

Xywav sales rose 12%, while Epidiolex/Epidyolex sales fell 2%. Ziihera received FDA approval and launched for first-line HER2-positive advanced gastroesophageal adenocarcinoma. Jazz generated $1.3 billion in operating cash during the first nine months. It issued $1.25 billion of exchangeable notes, repurchased $225 million of shares and authorized a new $500 million buyback. At September 30, cash, cash equivalents and investments were $2.9 billion against $5.6 billion of long-term debt principal.

26 points · 1 major

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1 major · 19 points

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

Positive

• Major point. Forward-looking: it has not happened yet and may not happen.2026 revenue guidance raised to $4,775–$4,850 million from $4,600–$4,750 million.
• Moderate pointThird-quarter revenue rose 10% year over year to $1,243.0 million from $1,126.1 million.
• Moderate pointXywav quarterly sales rose 12% year over year to $482.8 million; approximately 425 net patients added.
• Moderate pointZepzelca quarterly sales rose 32% year over year to $104.4 million, driven by first-line maintenance combination uptake.
• Moderate pointModeyso quarterly sales increased to $61.1 million from $11.0 million a year earlier.
• Moderate pointZiihera FDA approval and launch expanded treatment to first-line HER2-positive unresectable locally advanced or metastatic gastroesophageal adenocarcinoma.
• Moderate pointHERIZON-GEA-01 final analysis showed statistically significant overall survival benefit for Ziihera plus chemotherapy.
• Moderate pointNCCN guidelines added Ziihera with chemotherapy, with or without tislelizumab, as a preferred first-line regimen.
• Moderate pointActio acquisition completed in September 2026, adding ABS-1230 (JZP6979) to the rare epilepsy portfolio.
• Moderate pointQuarterly GAAP gross margin improved to 91.1% from 88.6% a year earlier.
• Moderate pointQuarterly GAAP selling, general and administrative expenses decreased to $407.9 million from $530.6 million a year earlier.
• Moderate pointOperating cash generation totaled $1.3 billion for the nine months ended September 30, 2026.
• Moderate pointExchangeable senior notes raised $1.25 billion in principal financing. 8.9% of market cap
• Moderate point. Forward-looking: it has not happened yet and may not happen.New share repurchase authorization permits up to $500 million, excluding brokerage commissions, with no expiration date. 3.6% of market cap
• Moderate pointTerm Loan B amendment reduced the applicable margin by 50 basis points and extended maturity to May 2033.

11 minor points

• Minor pointNine-month revenue increased to $3,520.2 million from $3,069.6 million in 2025.
• Minor pointNine-month GAAP net income reached $2.5 million versus a $559.6 million loss; EPS was $0.04 versus $(9.18).
• Minor pointRylaze/Enrylaze quarterly sales increased to $106.3 million from $99.9 million a year earlier.
• Minor pointDefitelio/defibrotide quarterly sales increased to $60.7 million from $51.7 million a year earlier.
• Minor pointZiihera quarterly sales increased to $20.6 million from $8.3 million a year earlier.
• Minor pointZiihera plus tislelizumab and chemotherapy achieved 27-month median overall survival; nearly 40% survived three years, irrespective of PD-L1 status.
• Minor pointABS-1230 early clinical trial demonstrated seizure reductions in children with KCNT1-related epilepsy.
• Minor point. Forward-looking: it has not happened yet and may not happen.ABS-1230 initial patient data are expected at a medical meeting in 4Q26.
• Minor point. Forward-looking: it has not happened yet and may not happen.Modeyso Phase 3 ACTION interim survival analysis is anticipated in 1H27, based on current event accrual.
• Minor point. Forward-looking: it has not happened yet and may not happen.2026 adjusted gross-margin guidance increased to 90.5%–91.5% from 90%–91%.
• Minor pointCompleted share repurchases returned $225 million, exhausting the July 2024 authorization.

Negative

• Major pointAcquired research and development expense rose to $754.2 million from $42.5 million in the prior-year quarter. 5.4% of market cap
• Moderate point. Forward-looking: it has not happened yet and may not happen.New exchangeable debt carries a 1.875% rate, matures in 2032 and introduces potential share dilution.
• Moderate pointLong-term debt principal totaled $5.6 billion at September 30, versus $2.9 billion in cash, cash equivalents and investments.
• Moderate pointZepzelca second-line indication was removed through an FDA-approved label supplement on September 30, 2026.
• Moderate point. Forward-looking: it has not happened yet and may not happen.2026 GAAP effective tax-rate guidance increased to 20%–30% from 0%–10%.

14 minor points

• Minor pointQuarterly GAAP net loss was $483.4 million versus $251.4 million income; EPS was $(7.48) versus $4.08.
• Minor pointEpidiolex/Epidyolex quarterly sales decreased 2% year over year to $295.4 million.
• Minor pointXyrem quarterly sales fell to $31.2 million from $35.7 million a year earlier.
• Minor pointVyxeos quarterly sales fell to $34.0 million from $37.6 million a year earlier.
• Minor pointHigh-sodium oxybate authorized-generic quarterly royalties decreased to $38.4 million from $52.9 million a year earlier.
• Minor pointOther quarterly royalty and contract revenue decreased to $8.1 million from $8.8 million a year earlier.
• Minor pointOther quarterly product revenue fell to zero from $6.9 million a year earlier.
• Minor pointQuarterly GAAP research and development expenses increased to $211.9 million from $198.2 million a year earlier.
• Minor pointQuarterly restructuring expenses of $34 million were included in GAAP selling, general and administrative expenses.
• Minor pointQuarterly GAAP income tax shifted to $24.5 million expense from a $242.4 million benefit a year earlier.
• Minor point. Forward-looking: it has not happened yet and may not happen.2026 GAAP selling, general and administrative expense guidance rose to $1,544–$1,597 million from $1,506–$1,556 million.
• Minor point. Forward-looking: it has not happened yet and may not happen.2026 GAAP research and development expense guidance rose to $819–$876 million from $818–$873 million.
• Minor point. Forward-looking: it has not happened yet and may not happen.2026 adjusted effective tax-rate guidance increased to 19.5%–21.5% from 11.5%–13.5%.
• Minor pointOral cannabidiol capsule application remains pending, with an FDA target action date of April 16, 2027.

News Explained

Jazz amended and extended its Term Loan B in the third quarter, reducing the applicable margin by 50 basis points and moving maturity five years to May 2033; the company expects the lower margin to generate cash-interest savings while maintaining cash reserves.

Key Figures

Total revenue: $1,243.0 million FY2026 revenue guidance: $4.775–$4.85 billion GAAP net loss: ($483.4 million) +5 more

Total revenue

$1,243.0 million

3Q26

FY2026 revenue guidance

$4.775–$4.85 billion

Raised full-year total revenue guidance

GAAP net loss

($483.4 million)

3Q26

Non-GAAP adjusted net loss

($250.8 million)

3Q26

Acquired IPR&D expense

$754 million

3Q26; value allocated to ABS-1230 in the Actio acquisition

Cash from operations

$1.3 billion

First nine months of 2026

Median overall survival

27 months

Ziihera plus tislelizumab and chemotherapy in HERIZON-GEA-01

Overall survival hazard ratio

0.65

Longer follow-up of Ziihera plus tislelizumab and chemotherapy

Previous Earnings Reports

1 past event · Latest: Aug 03

Same Type 1 event

1. Aug 03

   2Q26 earnings

   24h Move

   +4.0%

   Raised 2026 revenue guidance to $4.60–$4.75 billion after reporting second-quarter results.

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

Key Terms

pdufa, nda, hazard ratio, exchangeable senior notes, +1 more

5 terms

pdufa regulatory

"The PDUFA target action date for our New Drug Application (NDA)"

PDUFA is the Prescription Drug User Fee Act, the U.S. law under which drug companies pay fees that fund the FDA's review of new medicines. In company news the term usually appears as the PDUFA date, the target deadline by which the FDA aims to decide on a drug application; that date tells investors when to expect the approval or rejection decision for the product.

nda regulatory

"New Drug Application (NDA) for the oral cannabidiol capsule formulation"

An NDA, or nondisclosure agreement, is a legal contract that keeps certain information private between parties. It’s like a promise not to share sensitive details, helping protect business ideas, strategies, or data from being leaked or used without permission. For investors, NDAs help ensure that confidential information remains secure, enabling trust and open communication during business discussions.

hazard ratio medical

"showed an improved overall survival (OS) hazard ratio of 0.65"

A hazard ratio is a way scientists compare the chance of something happening over time between two groups, like patients taking different medicines. If the ratio is high, it means one group is more likely to experience the event sooner or more often, which helps determine how effective a treatment is or how risky a situation might be.

exchangeable senior notes financial

"$1.25 billion aggregate principal amount of 1.875% exchangeable senior notes"

Exchangeable senior notes are loans a company issues that promise regular interest payments and have priority over other debts, but can be swapped by the holder for shares of a different company. Think of it as lending money with an option to trade the loan for someone else’s stock; investors weigh the steady income and higher repayment priority against the chance of receiving shares that dilute ownership or fluctuate in value. These features affect a company’s credit risk, potential dilution, and appeal to different investors.

ipr&d financial

"acquired in-process research and development (IPR&D) expense of $754 million"

In-process research and development (IPR&D) is the value a buyer assigns to ongoing drug, product, or technology projects acquired before they are finished. It matters to investors because this intangible asset represents potential future revenue and carries high uncertainty—like purchasing a half-built house that could become a valuable home or require expensive work—and it affects a buyer’s reported assets, future write-downs, and earnings when projects fail or succeed.

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

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– Broad commercial execution drives record quarterly revenues of $1.2 billion (+10% YoY) –

– Company raises full year 2026 total revenue guidance –

– Ziihera^® launched in HER2+ 1L mGEA –

– Xywav^® revenues grew 12% YoY with 425 net patient adds in 3Q26 –

– Closed Actio acquisition, adding ABS-1230 (JZP6979) to rare epilepsy portfolio –

DUBLIN, Nov. 2, 2026 /PRNewswire/ -- Jazz Pharmaceuticals plc (Nasdaq: JAZZ) today announced financial results for the third quarter of 2026 (3Q26).

"Our third-quarter performance reflects sustained execution across the business and gives us confidence to raise our full-year total revenue guidance," said Renee Gala, president and chief executive officer of Jazz Pharmaceuticals. "At the same time, we continue to strengthen the drivers of our future growth, with the approval and rapid launch of Ziihera in first-line HER2-positive GEA and the acquisition of Actio, which adds ABS-1230 and deepens our pipeline in rare, refractory epilepsies. Jazz is moving with momentum and urgency to advance practice-changing medicines that deliver meaningful benefit for patients and durable value for shareholders."

Recent Key Highlights

• Achieved total revenues of $1.2 billion in 3Q26, reflecting 10% year-over-year (YoY) growth.
• Received U.S. Food and Drug Administration (FDA) approval and rapidly launched Ziihera-based combinations in first-line (1L) gastroesophageal adenocarcinoma (GEA).
• Presented final analysis from the HERIZON-GEA-01 trial at European Society for Medical Oncology Congress 2026 (ESMO), demonstrating sustained survival benefit at three years. Longer follow-up of Ziihera plus tislelizumab and chemotherapy showed an improved overall survival (OS) hazard ratio of 0.65, further supporting Ziihera-based combinations as standard-of-care.
• Closed acquisition of Actio Biosciences, Inc. (Actio), adding ABS-1230 (JZP6979) to rare epilepsy portfolio.
• Generated $1.3 billion in cash from operations in the first nine months of 2026.
• Raised 2026 total revenue guidance to a range of $4.775 - $4.85 billion.

Business Updates

Xywav (calcium, magnesium, potassium, and sodium oxybates) oral solution:

• Xywav net product sales increased 12% YoY to $483 million in 3Q26.
• Robust new patient growth drove revenue, with approximately 425 net patient adds in 3Q26. There were approximately 17,550 active patients exiting the quarter, comprised of approximately 11,375 narcolepsy patients and approximately 6,175 idiopathic hypersomnia patients.
• Continued physician and patient demand for the differentiated benefits of low-sodium Xywav.

Epidiolex/Epidyolex^® (cannabidiol):

• Epidiolex/Epidyolex net product sales decreased 2% YoY to $295 million in 3Q26. The 3Q26 growth rate was negatively affected by lower U.S. gross-to-net deductions in 3Q25 and lower levels of inventory build in 3Q26 due to wholesaler buying patterns.
• The PDUFA target action date for our New Drug Application (NDA) for the oral cannabidiol capsule formulation is April 16, 2027.

Ziihera (zanidatamab-hrii): 

• Ziihera net product sales were $21 million in 3Q26.
• Ziihera received FDA approval on August 25, 2026, and was launched promptly for the first-line treatment of adult patients with HER2-positive (HER2+) unresectable locally advanced or metastatic GEA.
• Promising early demand from first full month of 1L GEA launch with ~40% increase in average demand vials per selling day and a threefold increase in new ordering accounts, 80% of which are community based.
• Positive results from the second and final OS analysis for the HERIZON-GEA-01 trial were presented at ESMO. Mature HERIZON-GEA-01 results showed Ziihera plus chemotherapy delivered statistically significant and clinically meaningful OS benefit. Nearly 40% of patients were alive at three years with Ziihera plus tislelizumab and chemotherapy, irrespective of PD-L1 status, achieving a median OS of 27 months.
• NCCN Clinical Practice Guidelines in Oncology^® (NCCN Guidelines^®) for Gastric Cancer, and Esophageal and Esophagogastric Junction Cancers, were updated to include Ziihera (zanidatamab-hrii) in combination with chemotherapy, with and without Tevimbra^® (tislelizumab-jsgr), as a preferred regimen for first-line treatment of adult patients with HER2+ unresectable locally advanced or metastatic GEA.

Modeyso™ (dordaviprone): 

• Modeyso net product sales were $61 million in 3Q26 with approximately 725 patients having received Modeyso from product launch in August 2025 through the end of 3Q26.
• The company anticipates the OS interim analysis for the event-driven Phase 3 ACTION trial in 1H27, based on the current pace of event accrual.

Zepzelca^® (lurbinectedin): 

• Zepzelca net product sales increased 32% YoY to $104 million in 3Q26, driven by continued uptake of the Zepzelca and atezolizumab combination in the 1L maintenance extensive-stage small-cell lung cancer setting, partially offset by a decline in second-line use.
• On September 30, 2026, the FDA approved the label supplement removing the second-line indication.

Actio Acquisition: 

• Completed the Actio acquisition in September 2026, adding ABS-1230 (JZP6979) to rare epilepsy portfolio.
• Potential first-in-class precision therapy for KCNT1-related epilepsy which has demonstrated meaningful seizure reductions in an early clinical proof-of-concept trial in children with KCNT1 epilepsy.
• Currently being evaluated in the ongoing Phase 1b/2a KYRON trial designed to serve as a registrational study to support an NDA submission in the U.S.
• Expect to present initial patient data at a medical meeting in 4Q26.

Capital Structure
In the third quarter of 2026, the company completed a private placement of $1.25 billion aggregate principal amount of 1.875% exchangeable senior notes due 2032 (2032 notes). Concurrent with this transaction, the company repurchased $225 million of its ordinary shares. The company paid for the repurchases with existing cash on hand, and the share repurchases were effected under, and completely exhausted, the company's share repurchase program announced in July 2024. In October 2026, the board of directors approved a new share repurchase program with no expiration date pursuant to which the company may repurchase its ordinary shares for up to an aggregate purchase price of $500 million, exclusive of any brokerage commissions.

Additionally, in the third quarter, the company amended and extended the company's Term Loan B, reducing the applicable margin by 50 basis points and extending the maturity by five years to May 2033, which is expected to generate cash interest savings and maintain cash reserves.

Financial Highlights

	Three Months Ended September 30,				Nine Months Ended September 30,
(In millions, except per share amounts)	2026		2025		2026		2025
Total revenues	$     1,243.0		$     1,126.1		$     3,520.2		$     3,069.6
GAAP net income (loss)	$       (483.4)		$        251.4		$            2.5		$       (559.6)
Non-GAAP adjusted net income (loss)	$       (250.8)		$        500.7		$        565.1		$        101.0
GAAP earnings (loss) per share	$         (7.48)		$          4.08		$          0.04		$         (9.18)
Non-GAAP adjusted earnings (loss) per share	$         (3.88)		$          8.13		$          8.23		$          1.63

GAAP net loss and non-GAAP adjusted net loss in 3Q26 included acquired in-process research and development (IPR&D) expense of $754 million representing the value allocated to ABS-1230 (JZP6979) in the Actio acquisition, which impacted our results by $11.32 per share and $11.03 per share on a GAAP and non-GAAP adjusted basis, respectively.

Reconciliations of applicable GAAP reported to non-GAAP adjusted information are included at the end of this press release.

Total Revenues

	Three Months Ended September 30,				Nine Months Ended September 30,
(In millions)	2026		2025		2026		2025
Xywav	$        482.8		$        431.4		$     1,362.2		$     1,191.5
Xyrem	31.2		35.7		92.9		108.3
Sleep	514.0		467.1		1,455.1		1,299.8
Epidiolex/Epidyolex	295.4		302.6		837.3		772.0
Epilepsy	295.4		302.6		837.3		772.0
Zepzelca	104.4		79.3		311.2		216.8
Rylaze/Enrylaze	106.3		99.9		309.5		294.8
Defitelio/defibrotide	60.7		51.7		170.1		140.5
Modeyso	61.1		11.0		150.7		11.5
Vyxeos	34.0		37.6		92.0		112.0
Ziihera	20.6		8.3		49.3		16.3
Oncology	387.1		287.8		1,082.8		791.9
Other	—		6.9		2.7		25.7
Product sales, net	1,196.5		1,064.4		3,377.9		2,889.4
High-sodium oxybate AG royalty revenue	38.4		52.9		116.9		155.9
Other royalty and contract revenues	8.1		8.8		25.4		24.3
Total revenues	$     1,243.0		$     1,126.1		$     3,520.2		$     3,069.6

Total revenues increased 10% YoY in 3Q26 primarily due to higher Xywav, Zepzelca and Ziihera net product sales and the inclusion of Modeyso net product sales, following FDA approval in August 2025.

Operating Expenses and Income Tax Expense (Benefit)

	Three Months Ended September 30,				Nine Months Ended September 30,
(In millions, except percentages)	2026		2025		2026		2025
GAAP:
Cost of product sales	$       110.6		$       128.9		$       361.1		$       349.8
Gross margin on total revenues	91.1 %		88.6 %		89.7 %		88.6 %
Selling, general and administrative	$       407.9		$       530.6		$    1,149.8		$    1,403.0
% of total revenues	32.8 %		47.1 %		32.7 %		45.7 %
Research and development	$       211.9		$       198.2		$       615.4		$       568.8
% of total revenues	17.0 %		17.6 %		17.5 %		18.5 %
Acquired in-process research and development	$       754.2		$         42.5		$       831.2		$       947.9
Gain on sale of priority review voucher	$            —		$            —		$      (122.8)		$            —
Income tax expense (benefit)	$         24.5		$      (242.4)		$         48.7		$      (277.4)
Effective tax rate	(5.3) %		N/A(1)		94.9 %		33.2 %

_________________________
1.	Not a meaningful metric due to minimal profit before tax in this period.

 

	Three Months Ended September 30,				Nine Months Ended September 30,
(In millions, except percentages)	2026		2025		2026		2025
Non-GAAP adjusted:
Cost of product sales	$       105.1		$         83.2		$       290.2		$       229.2
Gross margin on total revenues	91.5 %		92.6 %		91.8 %		92.5 %
Selling, general and administrative	$       328.0		$       460.1		$       979.7		$    1,242.7
% of total revenues	26.4 %		40.9 %		27.8 %		40.5 %
Research and development	$       188.9		$       169.9		$       546.1		$       496.7
% of total revenues	15.2 %		15.1 %		15.5 %		16.2 %
Acquired in-process research and development	$       754.2		$         42.5		$       831.2		$       947.9
Income tax expense (benefit)	$         72.1		$      (178.8)		$       187.7		$      (100.1)
Effective tax rate	(40.3) %		(55.5) %		24.9 %		N/A(1)

_________________________
1.	Not a meaningful metric due to minimal profit before tax in this period.

Changes in operating expenses and income tax expense (benefit) in 3Q26 over the prior year period are primarily due to the following:

• Cost of product sales, on a GAAP basis, decreased in 3Q26, primarily due to the full recognition of the inventory fair value step-up in the second quarter of 2026, partially offset by higher royalty expenses, driven by higher revenues of Modeyso and Zepzelca. Cost of product sales, on a non-GAAP adjusted basis, increased in 3Q26, primarily due to the higher royalty expenses.
• Selling, general and administrative (SG&A) expenses, on a GAAP and non-GAAP adjusted basis, decreased in 3Q26, primarily due to litigation settlements of $152 million in 3Q25, partially offset, on a GAAP basis, by restructuring expenses of $34 million included in 3Q26.
• Research and development (R&D) expenses, on a GAAP and non-GAAP adjusted basis, increased in 3Q26, reflecting continued investment in our pipeline portfolio and evidence generation.
• Acquired IPR&D of $754 million, on a GAAP and non-GAAP adjusted basis, in 3Q26, represents the value allocated to ABS-1230 (JZP6979) in the Actio acquisition.
• We recognized an income tax expense, on a GAAP and non-GAAP adjusted basis, in 3Q26 compared to an income tax benefit in 3Q25, which included a benefit of $206 million on recognition of certain U.S. federal and state deferred tax assets acquired through our acquisition of Chimerix.

Cash Flow and Balance Sheet
As of September 30, 2026, cash, cash equivalents and investments were $2.9 billion, and the outstanding principal balance of the company's long-term debt was $5.6 billion. In addition, the company had undrawn borrowing capacity under a revolving credit facility of $885 million. For the nine months ended September 30, 2026, the company generated $1.3 billion of cash from operations reflecting strong business performance and continued financial discipline.

2026 Financial Guidance
Jazz Pharmaceuticals has updated its full-year financial guidance, as shown in the table below, including raising its full-year 2026 revenue guidance, increasing its GAAP SG&A expense guidance to include restructuring expenses, and updating its effective tax rate guidance range to reflect the impact of the acquired IPR&D expense associated with the Actio acquisition.

	Guidance provided as of
(In millions)	November 2, 2026		August 3, 2026
Total Revenues	$4,775 - $4,850		$4,600 - $4,750

GAAP:

(In millions, except percentages)	November 2, 2026		August 3, 2026
Gross margin %	89% - 90%		89% - 90%
SG&A expenses	$1,544 - $1,597		$1,506 - $1,556
R&D expenses	$819 - $876		$818 - $873
Effective tax rate	20% - 30%		0% - 10%
Weighted-average diluted shares outstanding	69 - 70		69 - 70

Non-GAAP adjusted:

(In millions, except percentages)	November 2, 2026		August 3, 2026
Gross margin %	90.5% - 91.5%1		90% - 91%
SG&A expenses	$1,330 - $1,3701		$1,330 - $1,370
R&D expenses	$725 - $7751		$725 - $775
Effective tax rate	19.5% - 21.5%1		11.5% - 13.5%
Weighted-average diluted shares outstanding	69 - 70		69 - 70

___________________________
1.	See "Non-GAAP Financial Measures" below. Reconciliations of non-GAAP adjusted guidance measures are included in the table titled "Reconciliation of 2026 GAAP to Non-GAAP Guidance Measures."

Conference Call Details

Jazz Pharmaceuticals will host an investor conference call and live audio webcast today at 4:30 p.m. ET to provide a business and financial update and discuss its 2026 third quarter results.

Interested parties may register for the call here or via the Investors section of the Jazz Pharmaceuticals website at www.jazzpharmaceuticals.com. To ensure a timely connection, it is recommended that participants register at least 15 minutes prior to the scheduled webcast.

A replay of the webcast will be available via the Investors section of the Jazz Pharmaceuticals website at www.jazzpharmaceuticals.com.

About Jazz Pharmaceuticals

Jazz Pharmaceuticals plc (NASDAQ: JAZZ) is a global biopharma company whose purpose is to innovate to transform the lives of patients and their families. We are dedicated to developing life-changing medicines for people with rare disease — often with limited or no therapeutic options. We have a diverse portfolio of medicines, including leading therapies addressing epilepsies, cancers and sleep disorders. Our patient-focused and science-driven approach powers pioneering research and development advancements across our robust pipeline of innovative therapeutics. Jazz is headquartered in Dublin, Ireland with research and development laboratories, manufacturing facilities and employees in multiple countries committed to serving patients worldwide. Please visit www.jazzpharmaceuticals.com for more information.

Non-GAAP Financial Measures

To supplement Jazz Pharmaceuticals' financial results and guidance presented in accordance with U.S. generally accepted accounting principles (GAAP), the company uses certain non-GAAP (also referred to as adjusted or non-GAAP adjusted) financial measures in this press release that exclude certain items that are included in the most directly comparable GAAP financial measures, as detailed in the accompanying tables. The company believes that each of these non-GAAP financial measures provides useful supplementary information to, and facilitates additional analysis by, investors and analysts and that each of these non-GAAP financial measures, when considered together with the company's financial information prepared in accordance with GAAP, can enhance investors' and analysts' ability to meaningfully compare the company's results from period to period, to its forward-looking guidance, and to identify operating trends in the company's business. In addition, these non-GAAP financial measures are regularly used by investors and analysts to model and track the company's financial performance. Jazz Pharmaceuticals' management also regularly uses these non-GAAP financial measures internally to understand, manage and evaluate the company's business and to make operating decisions, and compensation of executives is based in part on certain of these non-GAAP financial measures. These non-GAAP financial measures are not meant to be considered in isolation or as a substitute for comparable GAAP measures; should be read in conjunction with the company's consolidated financial statements prepared in accordance with GAAP; have no standardized meaning prescribed by GAAP; and are not prepared under any comprehensive set of accounting rules or principles in the reconciliation tables that follow. Because of the non-standardized definitions of non-GAAP financial measures, the non-GAAP financial measures as used by Jazz Pharmaceuticals in this press release and the accompanying tables have limits in their usefulness to investors and may be calculated differently from, and therefore may not be directly comparable to, similarly titled measures used by other companies.

Cautionary Note Concerning Forward-Looking Statements

This press release contains "forward-looking statements" within the meaning of the safe harbor provisions of the U.S. Private Securities Litigation Reform Act of 1995, including, but not limited to, statements related to: the company's growth prospects and future financial and operating results, including the company's 2026 financial guidance and the company's expectations related thereto, including with respect to anticipated catalysts; the company's advancement of pipeline programs and the timing of development activities, regulatory activities, approvals, and submissions related thereto; the prospective benefits of the company's acquisition of Actio and the potential of ABS-1230 (now JZP6979) for the treatment of KCNT1-related epilepsy; the company's expectations with respect to its regulatory submissions, including its NDA for a cannabidiol oral capsule formulation for potential use in existing approved Epidiolex/Epidyolex formulations and its NDA for JZP6979 in KCNT1-related epilepsy; and the company's development, regulatory and commercialization strategy, including the company's expectation of portfolio expansion through business development and its research and development engine; the company's expectations with respect to its products and product candidates and the potential of the company's products and product candidates and the potential regulatory path related thereto; the company's capital allocation and corporate development strategy; the commercial potential of the company's products; the company's views and expectations relating to its patent portfolio; and other statements that are not historical facts. These forward-looking statements are based on the company's current plans, objectives, estimates, expectations and intentions and inherently involve significant risks and uncertainties.

Actual results and the timing of events could differ materially from those anticipated in such forward-looking statements as a result of these risks and uncertainties, which include, without limitation, risks and uncertainties associated with: maintaining or increasing sales of, and revenue from, Xywav, Epidiolex/Epidyolex, Ziihera, Modeyso, Zepzelca and other lead marketed products; effectively launching and commercializing the company's other products and product candidates; the successful completion of development and regulatory activities with respect to the company's product candidates; obtaining and maintaining adequate coverage and reimbursement for the company's products; the time-consuming and uncertain regulatory approval process; the costly and time-consuming pharmaceutical product development process and the uncertainty of clinical success; global economic, financial, and healthcare system disruptions; protecting and enhancing the company's intellectual property rights and the company's commercial success being dependent upon the company obtaining, maintaining and defending intellectual property protection and exclusivity for its products and product candidates; delays or problems in the supply or manufacture of the company's products and product candidates; the company's ability to realize the anticipated benefits from its acquisition of Actio; complying with applicable U.S. and non-U.S. regulatory requirements; government investigations, legal proceedings and other actions; identifying and consummating corporate development transactions, financing these transactions and successfully integrating acquired products, product candidates and businesses; the company's ability to realize the anticipated benefits of its collaborations and license agreements with third parties; the sufficiency of the company's cash flows and capital resources; the company's ability to achieve targeted or expected future financial performance and results and the uncertainty of future tax, accounting and other provisions and estimates; the company's ability to meet its projected long-term goals and objectives, in the time periods that the company anticipates, or at all, and the inherent uncertainty and significant judgments and assumptions underlying the company's long-term goals and objectives; fluctuations in the market price and trading volume of the company's ordinary shares; and other risks and uncertainties affecting the company, including those described from time to time under the caption "Risk Factors" and elsewhere in the company's Securities and Exchange Commission filings and reports, including the company's Annual Report on Form 10-K for the year ended December 31, 2025, Quarterly Report on Form 10-Q for the quarter ended September 30, 2026 and future filings and reports by the company. Other risks and uncertainties of which the company is not currently aware may also affect the company's forward-looking statements and may cause actual results and the timing of events to differ materially from those anticipated.

 

JAZZ PHARMACEUTICALS PLC
CONDENSED CONSOLIDATED STATEMENTS OF INCOME (LOSS)
(In millions, except per share amounts)
(Unaudited)
	Three Months Ended September 30,				Nine Months Ended September 30,
	2026		2025		2026		2025
Revenues:
Product sales, net	$      1,196.5		$      1,064.4		$      3,377.9		$      2,889.4
Royalties and contract revenues	46.5		61.7		142.3		180.2
Total revenues	1,243.0		1,126.1		3,520.2		3,069.6
Operating expenses:
Cost of product sales (excluding amortization of acquired developed technologies)	110.6		128.9		361.1		349.8
Selling, general and administrative	407.9		530.6		1,149.8		1,403.0
Research and development	211.9		198.2		615.4		568.8
Intangible asset amortization	171.8		168.4		514.1		484.9
Acquired in-process research and development	754.2		42.5		831.2		947.9
Gain on sale of priority review voucher	—		—		(122.8)		—
Total operating expenses	1,656.4		1,068.6		3,348.8		3,754.4
Income (loss) from operations	(413.4)		57.5		171.4		(684.8)
Interest expense, net	(45.5)		(48.6)		(122.5)		(149.7)
Foreign exchange gain (loss)	—		0.1		2.4		(1.9)
Income (loss) before income tax expense (benefit) and equity in loss of investees	(458.9)		9.0		51.3		(836.4)
Income tax expense (benefit)	24.5		(242.4)		48.7		(277.4)
Equity in loss of investees	—		—		0.1		0.6
Net income (loss)	$       (483.4)		$        251.4		$           2.5		$       (559.6)
Net income (loss) per ordinary share:
Basic	$         (7.48)		$          4.14		$          0.04		$         (9.18)
Diluted	$         (7.48)		$          4.08		$          0.04		$         (9.18)
Weighted-average ordinary shares used in per share calculations - basic	64.7		60.7		63.3		61.0
Weighted-average ordinary shares used in per share calculations - diluted	64.7		61.6		68.6		61.0

 

JAZZ PHARMACEUTICALS PLC
CONDENSED CONSOLIDATED BALANCE SHEETS
(In millions)
(Unaudited)
	September 30, 2026		December 31, 2025
ASSETS
Current assets:
Cash and cash equivalents	$       2,036.4		$       1,391.9
Investments	820.0		1,050.0
Accounts receivable, net of allowances	873.7		830.7
Inventories	454.0		417.0
Prepaid expenses	170.9		152.5
Other current assets	258.4		323.9
Total current assets	4,613.4		4,166.0
Property, plant and equipment, net	224.8		199.9
Operating lease assets	67.2		58.9
Intangible assets, net	4,173.7		4,429.5
Goodwill	1,802.8		1,829.3
Deferred tax assets, net	998.7		869.1
Deferred financing costs	6.1		7.6
Other non-current assets	111.0		99.0
Total assets	$      11,997.7		$      11,659.3
LIABILITIES AND SHAREHOLDERS' EQUITY
Current liabilities:
Accounts payable	$          380.3		$         122.1
Accrued liabilities	1,076.4		1,034.2
Current portion of long-term debt	1,017.3		1,029.9
Income taxes payable	59.2		56.3
Total current liabilities	2,533.2		2,242.5
Long-term debt, less current portion	4,552.1		4,328.4
Operating lease liabilities, less current portion	60.7		50.9
Deferred tax liabilities, net	506.1		594.5
Other non-current liabilities	153.8		124.4
Total shareholders' equity	4,191.8		4,318.6
Total liabilities and shareholders' equity	$      11,997.7		$      11,659.3

 

JAZZ PHARMACEUTICALS PLC
SUMMARY OF CASH FLOWS
(In millions)
(Unaudited)
	Nine Months Ended September 30,
	2026		2025
Net cash provided by operating activities	$       1,330.0		$          993.3
Net cash used in investing activities	(605.8)		(1,137.8)
Net cash used in financing activities	(79.3)		(948.8)
Effect of exchange rates on cash and cash equivalents	(0.4)		6.5
Net increase (decrease) in cash and cash equivalents	$          644.5		$      (1,086.8)

 

JAZZ PHARMACEUTICALS PLC
RECONCILIATIONS OF GAAP REPORTED TO NON-GAAP ADJUSTED INFORMATION
(In millions, except per share amounts)
(Unaudited)
	Three Months Ended September 30,								Nine Months Ended September 30,
	2026				2025				2026				2025
	Net Loss		Diluted Loss Per Share (LPS)		Net Income		Diluted Earnings Per Share (EPS)		Net Income		Diluted EPS		Net Income (Loss)		Diluted EPS / (LPS)
GAAP reported	$  (483.4)		$    (7.48)		$    251.4		$     4.08		$      2.5		$     0.04		$  (559.6)		$    (9.18)
Intangible asset amortization	171.8		2.66		168.4		2.73		514.1		7.49		484.9		7.83
Share-based compensation expense	73.8		1.14		88.1		1.43		221.6		3.23		220.3		3.56
Acquisition accounting inventory fair value step-up	—		—		40.4		0.66		54.1		0.79		107.3		1.73
Restructuring and other costs	34.2		0.53		—		—		34.2		0.50		—		—
Gain on sale of PRV	—		—		—		—		(122.8)		(1.79)		—		—
Integration related expenses1	0.4		0.01		16.0		0.26		0.4		0.01		25.4		0.41
Income tax effect of above adjustments	(47.6)		(0.74)		(63.6)		(1.03)		(139.0)		(2.04)		(177.3)		(2.86)
Effect of potentially dilutive ordinary shares on non-GAAP adjusted EPS	—		—		—		—		—		—		—		0.14
Non-GAAP adjusted	$   (250.8)		$    (3.88)		$    500.7		$     8.13		$    565.1		$     8.23		$    101.0		$     1.63
Weighted-average ordinary shares used in diluted per share calculations - GAAP	64.7				61.6				68.6				61.0
Dilutive effect of employee equity incentive and purchase plans	—				—				—				0.9
Weighted-average ordinary shares used in diluted per share calculations - GAAP and non-GAAP	64.7				61.6				68.6				61.9

________________________________________________
1.	Integration related expenses with respect to the Actio acquisition and the Chimerix acquisition.

JAZZ PHARMACEUTICALS PLC
RECONCILIATIONS OF GAAP REPORTED TO NON-GAAP ADJUSTED INFORMATION - CERTAIN LINE ITEMS
(In millions, except percentages)
(Unaudited)
	Three months ended September 30, 2026
	Cost of product sales		Gross margin		SG&A		R&D		Intangible asset amortization		Acquired IPR&D		Interest expense, net		Income tax expense		Effective tax rate
GAAP Reported	$   110.6		91.1 %		$   407.9		$   211.9		$    171.8		$   754.2		$    45.5		$    24.5		(5.3) %
Non-GAAP Adjustments:
Intangible asset amortization	—		—		—		—		(171.8)		—		—		—		—
Share-based compensation expense	(5.5)		0.4		(45.4)		(22.9)		—		—		—		—		—
Restructuring and other costs	—		—		(34.2)		—		—		—		—		—		—
Integration related expenses	—		—		(0.3)		(0.1)		—		—		—		—		—
Income tax effect of above adjustments	—		—		—		—		—		—		—		47.6		(35.0)
Total of non-GAAP adjustments	(5.5)		0.4		(79.9)		(23.0)		(171.8)		—		—		47.6		(35.0)
Non-GAAP Adjusted	$   105.1		91.5 %		$   328.0		$   188.9		$       —		$   754.2		$    45.5		$    72.1		(40.3) %
	Three months ended September 30, 2025
	Cost of product sales		Gross margin		SG&A		R&D		Intangible asset amortization		Acquired IPR&D		Interest expense, net		Income tax benefit		Effective tax rate
GAAP Reported	$   128.9		88.6 %		$   530.6		$   198.2		$    168.4		$    42.5		$   48.6		$  (242.4)		N/A(1)
Non-GAAP Adjustments:
Intangible asset amortization	—		—		—		—		(168.4)		—		—		—		—
Share-based compensation expense	(5.0)		0.4		(61.3)		(21.8)		—		—		—		—		—
Integration related expenses	(0.3)		—		(9.2)		(6.5)		—		—		—		—		—
Acquisition accounting inventory fair value step-up	(40.4)		3.6		—		—		—		—		—		—		—
Income tax effect of above adjustments	—		—		—		—		—		—		—		63.6		N/A(1)
Total of non-GAAP adjustments	(45.7)		4.0		(70.5)		(28.3)		(168.4)		—		—		63.6		N/A(1)
Non-GAAP Adjusted	$    83.2		92.6 %		$   460.1		$   169.9		$        —		$    42.5		$   48.6		$  (178.8)		(55.5) %

_________________________
1.	Not a meaningful metric due to minimal GAAP profit before tax in this period.

 

JAZZ PHARMACEUTICALS PLC
RECONCILIATIONS OF GAAP REPORTED TO NON-GAAP ADJUSTED INFORMATION - CERTAIN LINE ITEMS
(In millions, except percentages)
(Unaudited)
	Nine months ended September 30, 2026
	Cost of product sales		Gross margin		SG&A		R&D		Intangible asset amortization		Gain on sale of PRV		Acquired IPR&D		Interest expense, net		Income tax expense		Effective tax rate
GAAP Reported	$ 361.1		89.7 %		$         1,149.8		$ 615.4		$   514.1		$ (122.8)		$ 831.2		$ 122.5		$   48.7		94.9 %
Non-GAAP Adjustments:
Intangible asset amortization	—		—		—		—		(514.1)		—		—		—		—		—
Share-based compensation expense	(16.8)		0.5		(135.6)		(69.2)		—		—		—		—		—		—
Acquisition accounting inventory fair value step-up	(54.1)		1.6		—		—		—		—		—		—		—		—
Restructuring and other costs	—		—		(34.2)		—		—				—		—		—		—
Integration related expenses	—		—		(0.3)		(0.1)		—		—		—		—		—		—
Gain on sale of PRV	—		—		—		—		—		122.8		—		—		—		—
Income tax effect of above adjustments	—		—		—		—		—		—		—		—		139.0		(70.0)
Total of non-GAAP adjustments	(70.9)		2.1		(170.1)		(69.3)		(514.1)		122.8		—		—		139.0		(70.0)
Non-GAAP Adjusted	$ 290.2		91.8 %		$  979.7		$ 546.1		$       —		$     —		$ 831.2		$ 122.5		$ 187.7		24.9 %
	Nine months ended September 30, 2025
	Cost of product sales		Gross margin		SG&A		R&D		Intangible asset amortization		Acquired IPR&D		Interest expense, net		Income tax benefit		Effective tax rate
GAAP Reported	$  349.8		88.6 %		$  1,403.0		$    568.8		$   484.9		$  947.9		$  149.7		$  (277.4)		33.2 %
Non-GAAP Adjustments:
Intangible asset amortization	—		—		—		—		(484.9)		—		—		—		—
Share-based compensation expense	(13.0)		0.4		(144.0)		(63.3)		—		—		—		—		—
Integration related expenses	(0.3)		—		(16.3)		(8.8)		—		—		—		—		—
Acquisition accounting inventory fair value step-up	(107.3)		3.5		—		—		—		—		—		—		—
Income tax effect of above adjustments	—		—		—		—		—		—		—		177.3		N/A(1)
Total of non-GAAP adjustments	(120.6)		3.9		(160.3)		(72.1)		(484.9)		—		—		177.3		N/A(1)
Non-GAAP Adjusted	$   229.2		92.5 %		$  1,242.7		$    496.7		$       —		$  947.9		$  149.7		$  (100.1)		N/A(1)

_________________________
1.	Not a meaningful metric due to minimal non-GAAP profit before tax in this period.

 

JAZZ PHARMACEUTICALS PLC
RECONCILIATION OF 2026 GAAP TO NON-GAAP GUIDANCE MEASURES
	Projected Range
(In millions, except percentages)	Low		High
GAAP gross margin on total revenues	89 %		90 %
Acquisition accounting inventory fair value step-up	1 %		1 %
Share-based compensation expense	0.5 %		0.5 %
Non-GAAP gross margin on total revenues	90.5 %		91.5 %
GAAP SG&A expenses	$              1,544		$              1,597
Share-based compensation expense	(176)		(186)
Restructuring and other costs	(34)		(34)
Integration related expenses	(4)		(7)
Non-GAAP SG&A expenses	$               1,330		$               1,370
GAAP R&D expenses	$                 819		$                 876
Share-based compensation expense	(93)		(98)
Integration related expenses	(1)		(3)
Non-GAAP R&D expenses	$                 725		$                 775
GAAP effective tax rate	20 %		30 %
Income tax effect of GAAP to non-GAAP reconciling items	(0.5) %		(8.5) %
Non-GAAP effective tax rate	19.5 %		21.5 %

Contacts:

Investors:
InvestorInfo@jazzpharma.com
Ireland +353 1 634 7800
U.S. +1 650 496 2717

Media:
CorporateAffairsMediaInfo@jazzpharma.com
Ireland +353 1 637 2141
U.S. +1 215 867 4948

 

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SOURCE Jazz Pharmaceuticals plc

FAQ

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

What is Jazz Pharmaceuticals' updated 2026 revenue guidance?

Jazz expects $4,775–$4,850 million in full-year 2026 revenue, increased from its previous range of $4,600–$4,750 million.

Why did Jazz Pharmaceuticals report a third-quarter 2026 loss?

The quarterly results included $754.2 million of acquired in-process research and development expense allocated to ABS-1230 in the Actio acquisition. The GAAP net loss was $483.4 million, compared with $251.4 million net income a year earlier.

What is the next regulatory milestone for Jazz Pharmaceuticals' oral cannabidiol capsule?

The FDA target action date for the oral cannabidiol capsule new drug application is April 16, 2027.

When does Jazz Pharmaceuticals expect the Modeyso ACTION trial interim analysis?

Jazz anticipates the event-driven Phase 3 ACTION trial's interim overall survival analysis in 1H27, based on the current pace of event accrual.

What study is Jazz Pharmaceuticals using to advance ABS-1230 after acquiring Actio?

ABS-1230 is being evaluated in the ongoing Phase 1b/2a KYRON trial, designed to serve as a registrational study supporting a U.S. new drug application. Jazz expects to present initial patient data at a medical meeting in 4Q26.