Alkermes (ALKS) Q3 2026 Earnings
GAAP diluted EPS includes $29.8 million of costs related to the acquisition of Avadel (including $28.7 million in cost of goods sold, largely LUMRYZ inventory fair value step-up), $19.7 million amortization of acquired intangible assets, $27.6 million interest expense on acquisition debt, $0.6 million change in fair value of contingent consideration, and a $1.55 million income tax benefit
How Did ALKS Stock React to Q3 2026 Earnings?
Did ALKS Beat Earnings? Q3 2026 Results
No. Alkermes reported Q3 2026 earnings of $0.09 a share on Nov 3, 2026, missing the $0.25 consensus estimate by 63.5%. Revenue was $480.1M against a $464.9M estimate.
Alkermes plc. delivered a split quarter for the three months ended September 2026, beating revenue expectations while falling well short on earnings, as acquisition costs from its February 2026 purchase of Avadel Pharmaceuticals weighed heavily on the bottom line. Revenue climbed 21.8% year over year to $480.13 million, clearing the $464.93 million consensus by 3.27%, with the narcolepsy drug LUMRYZ contributing $89.90 million in its first full reporting period under Alkermes ownership. GAAP diluted EPS of $0.09 missed the $0.25 consensus by 63.55%, reflecting $28.70 million in LUMRYZ inventory fair-value step-up costs, $19.70 million in intangible amortization, and $27.60 million in interest expense on acquisition debt, all of which compressed GAAP operating income to $36.00 million from $89.10 million a year earlier. Despite the profit squeeze, management held its full-year 2026 guidance steady, projecting total revenues of $1.73 billion to $1.84 billion and adjusted EBITDA of $370 million to $410 million, while pointing to a series of orexin pipeline data readouts as a key catalyst in the year ahead.
- Addition of LUMRYZ revenue ($89.9M) following the Avadel acquisition closed Feb. 12, 2026
- VIVITROL revenue included approximately $8M of gross-to-net favorability from favorable patient mix
- ARISTADA revenue included approximately $4M of inventory benefit from shipment timing and approximately $3M of gross-to-net favorability
- LYBALVI total prescriptions grew 18% year over year; revenue included approximately $2M of inventory benefit
- Avadel-related costs of $29.8M, including $28.7M in cost of goods sold, pressured GAAP profitability
- Amortization of acquired intangible assets of $19.7M and interest expense of $27.6M related to the acquisition
- Higher R&D spending ($121.1M vs $81.7M) to advance orexin programs
- Lower manufacturing and royalty revenues ($62.9M vs $76.8M)
“We delivered solid commercial and financial performance in the third quarter while continuing to advance our portfolio of orexin 2 receptor agonists in central disorders of hypersomnolence and other neuropsychiatric conditions.”
Alkermes CEO, on the earnings call
What Is Alkermes's Outlook?
Alkermes reiterated its 2026 financial expectations from July 28, 2026: total revenues of $1,730–$1,840 million; cost of goods sold of $320–$340 million (including about $105 million of LUMRYZ inventory step-up expected to be expensed in 2026); R&D expenses of $445–$485 million; SG&A of $890–$930 million; amortization of intangibles of $75–$85 million; change in fair value of contingent consideration of ~$25 million; net interest expense of $75–$85 million; GAAP net loss of $(95)–$(115) million; EBITDA of $75–$95 million; Adjusted EBITDA of $370–$410 million; and a net tax benefit of ~$0. Product net sales are expected at $460–$480 million for VIVITROL, $380–$400 million for LYBALVI, $365–$385 million for ARISTADA, and $315–$335 million for LUMRYZ (Feb. 12 to Dec. 31, 2026). LYBALVI gross-to-net deductions are expected to be about 45% in 2027. Management expects several important orexin clinical data readouts over the year ahead.
ALKS YoY Financials
| Metric | Q3 2026 | Q3 2025 | Year over year |
|---|---|---|---|
| Revenue | $480.1M | $394.2M | +21.8% |
| Operating Income | $36.0M | $89.1M | −59.6% |
| Net Income | $16.3M | $82.8M | −80.3% |
ALKS Revenue by Segment
Figures from SEC filings and company reports. Not investment advice.