Keenova Therapeutics Reports 95.7% Revenue Growth to $517.2 Million in Q2 2026

Keenova Therapeutics plc reported significant financial results for the second quarter of 2026, with net sales reaching $517.2 million, a 95.7% increase from $264.3 million in the same period last year. For the first half of 2026, net sales totaled $985.5 million, up from $471.5 million in the prior year. The surge in revenue was primarily driven by the acquisition of products from Endo, contributing $227.1 million and $433.4 million to the respective quarterly and semi-annual figures. However, the company also reported a substantial operating loss of $203.1 million for the quarter, compared to a loss of $7.1 million in the previous year, largely due to a non-cash impairment charge of $207.7 million related to the divestiture of its Percocet and Endocet businesses.

The company's cost of sales for the second quarter increased to $235.2 million from $113.6 million, reflecting higher inventory fair value step-up amortization and intangible asset amortization. Selling, general, and administrative expenses also rose sharply to $243.8 million, up from $116.4 million, driven by increased compensation costs and higher advertising and professional services expenses. Research and development expenses increased to $25.0 million from $18.0 million, as the company continued to invest in its product pipeline, particularly for XIAFLEX.

Keenova's operational metrics showed a notable increase in customer engagement, with Acthar Gel sales rising by 16.9% and 28.8% for the three and six months ended June 30, 2026, respectively. The company also reported a significant uptick in the adoption of its SelfJect device, contributing to the growth in Acthar Gel sales. The company’s employee headcount has increased as a result of the Business Combination with Endo, which has expanded its operational capabilities.

In terms of strategic developments, Keenova completed the sale of its Percocet and Endocet businesses to Par Health on July 31, 2026, for an upfront payment of $25 million, with additional earnout payments based on future gross profits. This divestiture is part of the company's strategy to exit the opioid market and focus on its branded therapeutics portfolio. The company also announced positive results from a Phase 3 clinical trial of XIAFLEX for plantar fibromatosis, which met its primary endpoint and several secondary endpoints, indicating potential for future growth in this therapeutic area.

Looking ahead, Keenova anticipates continued revenue growth driven by its expanded product portfolio and ongoing clinical developments. The company expects to leverage its cash position of $963.7 million as of June 30, 2026, to support its operations and strategic initiatives. However, the company also acknowledges the challenges posed by increased competition and regulatory scrutiny in the pharmaceutical sector, which may impact future performance.