Jazz Pharmaceuticals plc reported full‑year 2025 revenue of $4.3 billion, up 5% from $4.069 billion in 2024, and a fourth‑quarter revenue of $1.20 billion, a 10% increase from $1.10 billion in Q4 2024. The company posted a non‑GAAP adjusted earnings per share of $8.38 for the year, down from $20.90 in 2024, while Q4 non‑GAAP EPS was $6.64 versus an estimate of $6.65, a miss of $0.01. Management guided 2026 total revenue to $4.25 billion–$4.50 billion, below analyst consensus of $4.6 billion.
Revenue in the fourth quarter beat consensus estimates of $1.19 billion, driven by strong demand for Xywav and Epidiolex and the launch of Modeyso. The Q4 EPS miss of $0.01 was largely attributable to higher‑than‑expected operating costs and a modest decline in margin from 21.2% to 20.8% compared with the same quarter last year.
The full‑year EPS decline reflects a combination of higher R&D spending, increased competition in the rare sleep franchise, and a shift in product mix toward lower‑margin oncology and epilepsy products. The company’s operating margin for the year was 17.6%, up from 15.1% in 2024, indicating that cost control has offset some of the margin pressure.
Xywav and Epidiolex continued to drive revenue growth, with Xywav reaching its highest quarterly revenue ever and Epidiolex achieving blockbuster status. The launch of Modeyso added a new revenue stream, while the rare sleep franchise faces headwinds from generic high‑sodium oxybate entrants. The pipeline, highlighted by the HERIZON‑GEA‑01 data for zanidatamab, positions Jazz for future growth in rare oncology.
Renee Gala, President and CEO, said, "2025 was an exceptional year for Jazz, representing our 21st consecutive year of top‑line growth and underscoring our commitment to operational excellence as we deliver meaningful innovation for patients." Philip Johnson, CFO, added, "Full‑year 2025 non‑GAAP adjusted net income of approximately $522 million and non‑GAAP adjusted EPS of $8.38."
Management’s 2026 revenue guidance signals a cautious outlook, with expectations of double‑digit growth in rare oncology and epilepsy revenue driven by Epidiolex, Modeyso, and Ziihera, but a potential decline in the rare sleep franchise due to generic competition. Investors responded positively to the Q4 revenue beat but tempered their enthusiasm by the modest guidance and the significant decline in full‑year EPS.
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