Amphastar Posts Adjusted Earnings of $1.14 per Share and Revenue of $207.608 Million
Key Facts
Amphastar Pharmaceuticals reported on November 5 results for the third quarter ended September 30, 2026, with revenue of $207.608 million and adjusted diluted earnings of $1.14 per share. The company said revenue increased 8% from the same quarter a year earlier, while adjusted net income rose to $49.265 million from $44.696 million. GAAP net income was $37.763 million, or $0.87 per diluted share. The results put sales and adjusted earnings growth alongside a decline in gross margin. The company attributed revenue growth to record sales of key products and contributions from recently launched products.
Revenue was $207.608 million, compared with $191.840 million in the third quarter of 2025, an increase of $15.768 million. Adjusted diluted earnings per share rose to $1.14 from $0.93, and adjusted net income increased to $49.265 million from $44.696 million. On a GAAP basis, net income rose to $37.763 million from $17.350 million, while diluted earnings per share increased to $0.87 from $0.37. The year-over-year comparison shows improvement in income and earnings measures alongside revenue expansion. The company statement provided no further details here on each product’s contribution to these figures.
Chief Executive Jack Zhang said, "Record sales of BAQSIMI and Primatene MIST, along with contributions from recently launched products, supported continued revenue growth." His explanation ties sales growth to the performance of specific products, as well as contributions from newer products. In the second quarter, Amphastar said it had reached its first annual BAQSIMI sales threshold under the asset purchase agreement with Eli Lilly, after recording sales of $175.0 million during the contract year. Reaching the threshold made a payment of $100.0 million to Lilly due in the third quarter. That obligation provides financial context for BAQSIMI’s performance, which the CEO later described as record sales in the third quarter.
Gross margin did not keep pace with revenue growth, falling to 48.0% in the third quarter from 51.4% a year earlier. The company said prices for some higher-margin products declined and manufacturing costs increased. It linked part of the rise in expenses to remediation work at the IMS facility in response to a warning letter from the U.S. Food and Drug Administration. Costs related to expansion at the Rancho Cucamonga facility also weighed on margin. The decline highlights how sales growth came alongside production and remediation burdens that limited overall profitability.
Operating cash flow was $142.5 million for the nine months ended September 30, 2026. That figure covers the first nine months of the year, unlike the revenue and income results reported for the third quarter alone. In a separate decision, the board on November 4 authorized a $50 million increase in the share repurchase program. The company said the program is expected to continue for an indefinite period and is primarily intended to offset dilution from stock-based compensation programs. The decision adds a new allocation for repurchases alongside the reported operating results.
Amphastar shares closed at $28.02 on November 4, then ended the November 5 session at $27.66, according to EL7 data. The second close came on the day the company announced its third-quarter results. The session data available here are limited to the closing prices, with no documented lows or highs. The reported figures combine annual growth in revenue and income, a decline in gross margin, and an increase in the repurchase program. The company said the program will continue for an indefinite period, with its primary focus on offsetting the impact of stock-based compensation.