Tarsus Pharmaceuticals Reports 152% Revenue Growth to $102.7 Million in Latest Quarter

Tarsus Pharmaceuticals, Inc. reported significant financial performance in its latest 10-Q filing for the quarter ending June 30, 2025, with total revenues reaching $102.7 million, a 152% increase from $40.8 million in the same period last year. The surge in revenue was primarily driven by product sales of XDEMVY, which accounted for $102.7 million in net sales, reflecting the successful launch of the product for treating Demodex blepharitis. The company dispensed approximately 91,000 bottles of XDEMVY during the quarter, compared to 37,000 bottles in the prior year, indicating strong market adoption.

Operating expenses for the quarter totaled $124.8 million, up from $74.1 million in the previous year, largely due to increased selling, general, and administrative costs, which rose by $44.2 million. This increase was attributed to higher payroll and marketing expenses as Tarsus expanded its commercial efforts for XDEMVY. The company reported a net loss of $20.3 million for the quarter, a notable improvement from the $33.3 million loss recorded in the same quarter of 2024.

In terms of strategic developments, Tarsus launched XDEMVY in August 2023 after receiving FDA approval, marking a pivotal moment for the company. The product has quickly become one of the fastest-growing launches in the prescription eye drop segment. The company has also engaged in a direct-to-consumer advertising campaign, which has significantly increased consumer awareness and engagement, with website traffic rising nearly 400% since the beginning of 2025. Additionally, over 20,000 eye care professionals are now prescribing XDEMVY, surpassing the company's initial target of 15,000.

Operationally, Tarsus has seen a substantial increase in its customer base and product engagement metrics. The company has achieved broader commercial, Medicare, and Medicaid reimbursement for XDEMVY, covering over 90% of lives. The gross-to-net discount for the product is approximately 45%. As of June 30, 2025, Tarsus had cash, cash equivalents, and marketable securities totaling $381.1 million, providing a solid financial foundation to support ongoing operations and future growth initiatives.

Looking ahead, Tarsus anticipates continued growth driven by the commercialization of XDEMVY and the advancement of its pipeline, which includes investigational products for ocular rosacea and Lyme disease prophylaxis. The company expects to incur significant operating expenses as it expands its clinical development programs and continues to build its commercial infrastructure. Management remains focused on achieving profitability while navigating the challenges of the biopharmaceutical landscape.