Key Highlights

  • Net loss per share of USD 0.37 was narrower than the USD 0.68 loss in the consensus estimate.
  • Revenue rose 24% to USD 69.8 million, above the USD 69.20 million consensus estimate, helped by HETLIOZ shipment timing.
  • Operating expenses fell 18% from the second quarter to USD 93.3 million as Phase III and launch work wound down.
  • Cash and marketable securities totaled USD 140.5 million, and full-year revenue guidance is above USD 240 million.

Vanda Pharmaceuticals Inc. (NASDAQ:VNDA) reported third-quarter 2026 revenue of USD 69.8 million, up 24% from USD 56.3 million a year earlier and 38% from USD 50.5 million in the second quarter. The result edged above a consensus estimate of USD 69.20 million. The GAAP net loss was USD 22.6 million, or USD 0.37 per share, narrower than the USD 0.68 loss in the consensus estimate and flat with the prior-year loss of USD 22.6 million, or USD 0.38 per share.

Chief executive Mihael Polymeropoulos tied the growth to continued Fanapt momentum and early sales of the newly launched NEREUS, while pointing to lower spending as major clinical and launch preparation activities conclude. The second-quarter net loss had been USD 62.5 million, so the sequential improvement came from USD 19.3 million of added revenue and USD 21.0 million of lower operating expenses.

Product Sales and Cost Trends

Fanapt net sales rose 24% to USD 38.8 million, with total prescriptions up 25% and new-to-brand prescriptions up 18%. HETLIOZ sales climbed 21% to USD 21.7 million and included about USD 7.0 million of orders shipped on June 29 that arrived on July 1. PONVORY sales grew 10% to USD 7.7 million, and NEREUS contributed USD 1.6 million, up 60% from the second quarter. The company cautioned that HETLIOZ sales may fall in future periods, potentially by a wide margin, given generic competition and inventory swings at specialty pharmacies.

Total operating expenses were USD 93.3 million, up 7% from USD 87.5 million a year earlier. Selling, general and administrative expense was USD 59.6 million and research and development was USD 27.6 million. Through nine months, operating expenses were USD 309.6 million, up 15%, and the net loss widened to USD 133.6 million from USD 79.3 million. Cash fell USD 29.5 million in the quarter and USD 123.4 million since year-end, which included a USD 10 million milestone payment to Eli Lilly after the NEREUS approval.

Pipeline, Regulatory Calendar and Guidance

Vanda updated its 2026 revenue guidance to above USD 240 million, against USD 172.1 million booked through nine months. The company anticipates operating expenses to decrease further in coming quarters as remaining Phase III and launch activities conclude. BYSANTI, approved by the FDA in the first quarter for bipolar I disorder and schizophrenia, is scheduled to launch in the fourth quarter and carries data exclusivity through February 20, 2031.

Positive Phase III results were reported for NEREUS in preventing vomiting linked to GLP-1 therapy and for HETLIOZ in Delayed Sleep-Wake Phase Disorder. Vanda plans to discuss both datasets with the FDA and to submit supplemental applications. A BYSANTI study in major depressive disorder has enrolled 55% of its 500-patient target, with results projected in the first half of 2027.

Items to Monitor

Five items carry dates. The FDA action date for the Quimilza application in generalized pustular psoriasis is December 12, 2026. A five-day FDA hearing on HETLIOZ for jet lag disorder runs from December 14 to December 18. Briefing in the NEREUS gastroparesis appeal before the D.C. Circuit is due for completion in mid-November, and the HETLIOZ insomnia appeal awaits a decision after September oral argument. On the numbers, the revenue guidance of above USD 240 million implies more than USD 67.9 million in the fourth quarter, against USD 69.8 million in the third, while cash stands at USD 140.5 million.