Apellis Pharmaceuticals Reports 61% Revenue Growth and Net Income Turnaround in Latest Quarter

Apellis Pharmaceuticals, Inc. reported significant financial improvements in its latest quarterly filing, with total revenue reaching $268.3 million for the three months ended March 31, 2026, a 61% increase from $166.8 million in the same period last year. This growth was driven by a 28% rise in product revenue, which totaled $192.0 million, primarily from sales of its two marketed products, EMPAVELI and SYFOVRE. EMPAVELI generated $41.3 million in revenue, up from $19.7 million, while SYFOVRE saw a notable increase to $150.7 million from $130.2 million. Additionally, licensing and other revenue surged to $76.3 million, compared to $16.9 million in the prior year, largely due to milestone payments and product supply agreements with Sobi.

The company also reported a net income of $18.7 million, a significant turnaround from a net loss of $92.2 million in the previous year. This improvement reflects a net operating income of $26.5 million, compared to a loss of $83.3 million in the same quarter of 2025. Operating expenses decreased by 3% to $241.8 million, driven by reductions in research and development costs, which fell to $77.0 million from $86.4 million, and selling, general, and administrative expenses, which decreased to $124.3 million from $129.3 million.

In terms of strategic developments, Apellis announced a proposed acquisition by Biogen Inc. on March 31, 2026, under which Biogen will acquire all outstanding shares of Apellis for $41.00 per share, plus contingent value rights. This acquisition is expected to close in mid-2026, pending regulatory approvals and other customary conditions. The merger is anticipated to enhance Apellis's capabilities in commercializing its products and expanding its market presence.

Operationally, Apellis has made strides in expanding its product offerings and market reach. The company is focusing on the commercialization of EMPAVELI and SYFOVRE, with plans to explore international markets, including Australia, where SYFOVRE received marketing approval in January 2025. The company is also advancing its clinical pipeline, with ongoing trials for EMPAVELI in new indications such as primary focal segmental glomerulosclerosis and delayed graft function.

Looking ahead, Apellis expects to continue generating revenue from its product sales while managing its operating expenses. The company believes its cash and cash equivalents, totaling $405.2 million as of March 31, 2026, along with anticipated revenues from EMPAVELI and SYFOVRE, will be sufficient to fund its operations for at least the next twelve months. However, the company acknowledges the inherent risks and uncertainties in the biotechnology industry, including the need for additional capital to support ongoing research and development efforts.