Ironwood Pharmaceuticals (IRWD) investor relations material

Executive summary

• Q2 2026 LINZESS U.S. net sales reached $282.3 million, up 14% year-over-year, with year-to-date sales at $555 million, marking 44% growth, driven by demand and improved net price.

• Full-year 2026 guidance for LINZESS U.S. net sales raised to $1.15–$1.2 billion, reflecting over 30% year-over-year growth; total revenue guidance increased to $460–$485 million and adjusted EBITDA to over $310 million.

• FDA approved LINZESS for functional constipation in pediatric patients aged two and older in May 2026, expanding its market as the first and only Rx for this indication.

• Apraglutide advanced with the initiation of the STARS-2 confirmatory Phase III trial for SBS-IF in June 2026; enrollment is underway.

• Successfully repaid $200 million in convertible notes at maturity in June 2026 using cash on hand, demonstrating strong cash flow and balance sheet management.

Financial highlights

• Q2 2026 total revenue was $113 million, up from $85.2 million in Q2 2025, primarily from U.S. LINZESS collaboration revenue.

• GAAP net income for Q2 2026 was $51.3 million ($0.31 per share basic/diluted), up from $23.6 million in Q2 2025.

• Adjusted EBITDA for Q2 2026 was $83 million, up from $50.1 million in Q2 2025.

• Cash and cash equivalents at quarter-end were $79.1 million, down from $215.5 million at year-end 2025, reflecting debt repayment.

• Total costs and expenses decreased to $33.7 million in Q2 2026 from $39.9 million in Q2 2025.

Outlook and guidance

• LINZESS U.S. net sales guidance increased to $1.15–$1.2 billion for 2026, with total revenue guidance at $460–$485 million and adjusted EBITDA expected to exceed $310 million.

• Guidance increase driven by improved net price and mid-single digit percentage demand growth.

• Expect more consistent sequential quarterly net sales growth, with Q4 projected as the strongest quarter.

• R&D and SG&A expenses anticipated to rise in H2 2026 due to STARS-2 trial ramp-up.

• Cash, expected operating inflows, and borrowing capacity are anticipated to meet operating needs for at least the next twelve months.