Legend Biotech (LEGN) Q2 2026 earnings summary

Executive summary

• Achieved first quarter of company-wide profitability on both IFRS and adjusted basis, driven by 52% year-over-year revenue growth and strong CARVYKTIⓇ sales, with net trade sales reaching $657 million, up 50% year-over-year, and significant growth in both U.S. (32%) and ex-U.S. (128%) markets.

• Leadership transition occurred with appointment of an interim CEO, while strategic priorities remain unchanged: maximize CARVYKTIⓇ, advance next-gen pipeline, and strengthen execution.

• Expanded CARVYKTIⓇ access to 348 global sites and 19 markets, including a launch in Ireland, and continued to penetrate earlier lines of therapy.

• Presented compelling early efficacy and safety data for in vivo CAR-T platform, including first clinical proof-of-concept for LB2501 (100% ORR, 83.3% CR at higher dose in B-cell NHL) and first-in-human data for LB2102 (28.6% ORR, 78.6% DCR at higher dose in SCLC/LCNEC).

• Strengthened balance sheet with $212 million net proceeds from public offering; cash and equivalents at $965 million as of June 30, 2026, with no long-term debt.

Financial highlights

• Total revenue was $387.5 million in Q2 2026, up 52% year-over-year, driven by CARVYKTIⓇ demand and commercial expansion.

• Adjusted net income was $63.1 million, or $0.16 per diluted share, compared to $10.1 million or $0.03 per share in the prior year.

• Gross margin on net product sales improved to 58%, up from 41% in Q1 2026 and 57% year-over-year, reflecting unwinding of one-time manufacturing costs.

• Operating income was $57.7 million, compared to a loss of $21.9 million in Q2 2025; operating margin improved to +15% from -9%.

• Ended the quarter with $965 million in cash equivalents and no long-term debt, bolstered by a $212 million equity offering.

Outlook and guidance

• Expect to maintain adjusted net income profitability for the remainder of 2026, with company-wide profitability anticipated in 2026.

• Project continued sequential global revenue growth in Q3 and Q4, with Q4 benefiting from an extra selling week and greater international expansion.

• Anticipate Q3 gross margin in the lower 50% range, rebounding to mid-50% in Q4.

• IND submission for LB2501 planned for Q4 2026, with additional in vivo data to be presented at future conferences.

• Continued investment in pipeline and manufacturing capacity expansion.