Key Highlights

  • FY26 Revenue was $383.7 million, down 6% on FY25, while underlying EBITDA fell 27% to $34.2 million.
  • Reported Net Profit After Tax was $31.2 million, a turnaround from a $90.1 million loss in FY25, driven by a $125.6 million non-cash earn-out Liability reassessment gain.
  • Gross Margin expanded 410 basis points to 64.7%, supported by disciplined pricing and portfolio mix.
  • Cash and marketable securities fell to $80.0 million from $100.4 million, reflecting earn-out payments and Cosette transaction and litigation costs.

Mayne Pharma Group Limited (ASX:MYX) reported FY26 revenue of $383.7 million, down 6% on FY25's $408.1 million. Despite the revenue decline, Gross Profit was broadly flat at $248.1 million, with gross margin expanding 410 basis points to 64.7% on what the company described as disciplined pricing, portfolio mix and channel execution. Total direct segment contribution was $107.1 million, down 2% on the prior year.

Underlying EBITDA, which excludes earn-out reassessments, litigation and restructuring charges and other one-off items, was $34.2 million, down 27% on FY25's $47.0 million. The company attributed the decline to general Business disruption arising from the Cosette transaction process and subsequent legal matters, combined with a deliberate step-up in Women's Health sales and Marketing Investment during the second half.

Statutory Profit Driven by Non-Cash Earn-Out Gain

Reported EBITDA was $141.4 million, up 668% on FY25's $18.4 million, while reported Net Profit After Tax was $31.2 million, compared with a $90.1 million loss in FY25, an improvement of $121.3 million. This turnaround was primarily driven by a $125.6 million non-cash gain from the reassessment of an earn-out liability. Operating Cash Flow from continuing operations was $34.5 million, down 24% on FY25, excluding transaction and litigation costs.

CEO Aaron Gray said FY26 was a year in which the company strengthened the foundations of the business and positioned it for long-term growth, noting that while the Cosette transaction process and subsequent legal matters placed real demands on management focus and caused general disruption, the company used the year to invest with conviction in its Women's Health sales and promotional capability.

Segment Performance Across Women's Health, Dermatology and International

Women's Health revenue was $174.3 million, down 2% on the prior year, with gross profit of $138.0 million, down 3%, and gross margin of 79%, down 1 percentage point. Within the segment, BIJUVA total prescriptions rose 26% with net sales up 20% to US$15.0 million, while NEXTSTELLIS Demand cycles grew 15% with net sales of US$45.2 million, up 6%. ANNOVERA net sales declined 13% to US$25.7 million, which the company attributed to persistent product returns, prompting a shift to alternate sales channels with a more favourable returns profile.

Dermatology and DistributeRx segment revenue was $138.7 million, down 10% on the prior year, though gross profit rose 7% to $88.7 million and gross margin expanded 19 percentage points to 64%, delivering direct contribution growth of 11% to $44.5 million despite the lower segment revenue. The company's International segment reported revenue of $70.7 million, down 7%, with gross profit flat at $21.3 million and direct contribution down 38% to $4.6 million, reflecting the transition from lower to higher margin products within the portfolio.

DistributeRx Launch and Cash Position

Mayne Pharma launched DistributeRx, its direct-to-patient distribution platform, in March 2026, with Adelaide Apothecary serving as its licensed pharmacy arm. In its first full quarter, DistributeRx generated 62,000 total prescriptions, an increase of 63% versus the prior comparative period, with new prescriptions increasing 104% to 42,000. On 18 May 2026, the company announced that Adelaide Apothecary will relocate and expand to a new automated Facility in Lexington, Kentucky, lifting capacity to more than 2.5 million prescriptions per annum across two phases, with operations expected to commence in early 2027.

Cash and marketable securities closed at $80.0 million at 30 June 2026, down from $100.4 million a year earlier, a reduction of $20.4 million reflecting $25.7 million of earn-out payments, $12.6 million of Cosette transaction and litigation costs net of $14.4 million in recovered costs, $8.1 million of discontinued operations outflows, and $8.4 million of capital leases, net capex and other items. Underlying EBITDA of $34.2 million represented a 7.9% increase on the $31.7 million previously anticipated on 31 July, reflecting the company's decision to treat a portion of retention-related share-based expense as part of continuing operations adjustments.

Conclusion

Mayne Pharma's FY26 results reflect a year shaped by disruption from the Cosette transaction process alongside deliberate investment in its Women's Health portfolio and the launch of its DistributeRx platform. While total revenue and underlying EBITDA both declined, the statutory return to profit, aided by a substantial non-cash earn-out reassessment gain, together with early growth signals from DistributeRx and continued momentum in BIJUVA and NEXTSTELLIS, form the basis of the company's stated commercial momentum heading into FY27.