Incyte Raises 2026 Sales Outlook as Q3 Revenue Rises 14%

Incyte Corp. (NASDAQ: INCY) reported a 14% increase in third-quarter 2026 revenue and raised its full-year net sales forecast, as rapid growth from Opzelura and its hematology and oncology portfolio reduced the company’s reliance on Jakafi. GAAP research and development expense climbed sharply, however, largely because of costs associated with the acquisition of Vega Therapeutics.

Revenue for the quarter ended Sept. 30 reached $1.56 billion, up from $1.37 billion a year earlier. Net product sales increased 14% to $1.32 billion, while royalty revenue rose 12% to $191 million and milestone and contract revenue totaled $50 million.

Incyte increased its 2026 total net sales guidance to between $5.21 billion and $5.30 billion, compared with its previous range of $5.13 billion to $5.26 billion. The company now expects Opzelura sales of $1.10 billion to $1.12 billion and hematology and oncology portfolio sales of $890 million to $910 million. Its Jakafi forecast remained unchanged at $3.22 billion to $3.27 billion.

Non-Jakafi portfolio expands

Jakafi, including the immediate-release and extended-release formulations, generated $827 million in third-quarter sales, up 4% year over year. Demand increased 12%, with growth across polycythemia vera, myelofibrosis and graft-versus-host disease. Jakafi XR contributed $15 million, reflecting adoption among both new and existing patients, while channel inventory remained within the normal range.

Sales from Incyte’s core business excluding Jakafi rose 37% to $490 million and represented more than 35% of quarterly net sales. Management said this part of the portfolio has the potential to generate $3 billion to $4 billion in sales by 2030.

Opzelura sales increased 36% to $255 million. U.S. sales climbed 45% to $208 million, supported by 24% prescription growth, an expanded sales force, engagement with nurse practitioners and physician assistants, and improved access. Sales outside the U.S. rose 5% to $47 million. Incyte also launched Opzelura for moderate atopic dermatitis in Europe during the quarter.

The company’s other hematology and oncology products produced $235 million in sales, up 38%. Niktimvo sales rose 47% to $67 million, Zynyz increased 157% to $58 million, and Monjuvi and Minjuvi advanced 30% to $55 million.

Acquisition costs lift GAAP R&D expense

Third-quarter GAAP R&D expense increased to $1.79 billion from $507 million. The total included $1.24 billion of upfront, milestone and acquisition-related costs, primarily associated with Vega Therapeutics. Ongoing R&D expense rose 9% to $552 million. Incyte said R&D expense excluding Vega-related acquired in-process research and development grew 11% from the prior-year quarter.

GAAP selling, general and administrative expense increased 11% to $364 million, while cost of goods sold rose 10% to $109 million. Total costs, expenses and other items reached $2.27 billion, compared with $922 million a year earlier.

Incyte left its full-year operating expense guidance unchanged. It expects combined GAAP R&D and SG&A expenses of $4.92 billion to $5.00 billion and non-GAAP expenses of $4.63 billion to $4.70 billion. The GAAP outlook includes the Vega acquisition’s upfront cost and incremental investment in latarcibart, while the non-GAAP range excludes estimated stock-based compensation.

Late-stage pipeline milestones approach

Incyte highlighted several planned regulatory and clinical milestones. The company anticipates European approval and launch of povorcitinib for moderate-to-severe hidradenitis suppurativa in the fourth quarter of 2026, subject to regulatory approval, following a positive opinion from the European Medicines Agency’s Committee for Medicinal Products for Human Use. A U.S. approval decision and launch are anticipated in the first quarter of 2027. Phase 3 data for povorcitinib in prurigo nodularis and ruxolitinib cream in mild-to-moderate hidradenitis suppurativa are expected in the fourth quarter.

In hematology, a Phase 3 study of the mutant CALR antibody INCA033989 is underway in second-line essential thrombocythemia, and Incyte plans to begin a Phase 3 trial in second-line myelofibrosis in the fourth quarter. Phase 1 data in first-line myelofibrosis are also expected during the quarter. A Phase 3 program for latarcibart in von Willebrand disease is expected to produce topline data in early 2029.

The company is also expanding its gastrointestinal oncology pipeline. A Phase 3 trial of KRAS G12D inhibitor INCB161734 in first-line pancreatic ductal adenocarcinoma is underway, with topline data expected in 2028. Additional Phase 3 studies in adjuvant pancreatic cancer and second- or third-line colorectal cancer are planned for 2027. For INCA33890, a TGFβR2×PD-1 bispecific antibody, Phase 3 data in first-line microsatellite-stable colorectal cancer are expected in 2029.

Execution of these plans remains subject to clinical, regulatory and commercial risks. Incyte identified potential setbacks including insufficient trial data or enrollment, regulatory delays, safety or efficacy issues, competition, pricing and reimbursement restrictions, dependence on partners and third parties, intellectual-property challenges, and higher-than-expected expenses.