Krystal Biotech Inc
Q2 2025 Earnings
Market Reaction
Did KRYS Beat Earnings? Q2 2025 Results
Krystal Biotech delivered a mixed second quarter for 2025, beating on revenue while falling short on the bottom line, as accelerating commercial momentum for VYJUVEK ran ahead of Wall Street's sales expectations even as earnings disappointed. The gene therapy for dystrophic epidermolysis bullosa generated $96.04 million in revenue, clearing the $91.96 million consensus by 4.44% and marking a 36.6% increase from the year-ago period, yet diluted EPS of $1.29 missed the $1.44 estimate by 10.15%, weighed against elevated operating costs. Gross margin held firm at 93%, and operating income surged to $39.31 million from just $8.57 million a year ago, underscoring strong revenue leverage as cumulative VYJUVEK sales crossed $525.40 million since launch. Looking ahead, the company is targeting European market entries in Germany in Q3 2025 and France in Q4 2025, alongside a Japan launch before year-end, though at least one analyst has already trimmed near-term revenue forecasts citing patient pausing trends that could pressure Q3 results.
- Strong VYJUVEK revenue growth driven by over 575 U.S. reimbursement approvals and 82% patient compliance
- 93% gross margin on VYJUVEK product revenue
- Absence of litigation settlement charges in Q2 2025 vs. $12.5 million in Q2 2024
- Cumulative VYJUVEK revenue of $525.4 million since Q3 2023 launch
“With the approval of VYJUVEK in Europe and Japan, we are on the cusp of a global expansion that will build on our U.S. sales momentum and dramatically expand VYJUVEK access to DEB patients around the world.”
Krystal Biotech CEO, on the earnings call
Forward Guidance & Outlook
The company is targeting first European launches in Germany in Q3 2025 and France in Q4 2025, and expects to launch VYJUVEK in Japan before year-end 2025. An interim molecular data readout for Cohort 3 of the KB407 cystic fibrosis trial is expected before year-end. Jeune Aesthetics intends to submit its décolleté-specific photonumeric scale to the FDA and align on the KB304 Phase 2 protocol in 2H 2025, enabling a potential Phase 2 start in 1H 2026. The Phase 2 portion of the KB105 study for lamellar ichthyosis is expected to initiate in 2026. Full-year 2025 non-GAAP combined R&D and SG&A expense is guided at $150.0–$175.0 million (excluding stock-based compensation).
KRYS YoY Financials
KRYS Revenue by Segment
Figures from SEC filings and company reports. Not investment advice.