Pacira revenue falls 1.6% to $176.653 million despite growth in sales of its two leading products
Key Facts
Pacira BioSciences reported revenue of $176.653 million for the third quarter ended September 30, 2026, compared with $179.516 million in the same period of 2025, a decline of about 1.6%. The company’s quarterly report showed diluted earnings per share rose to $0.70 from $0.12 a year earlier. Net income was $28.521 million, compared with $5.432 million in the third quarter of 2025. Product performance varied during the quarter: the company’s two leading products posted modest growth, while sales of another product declined and royalty revenue recorded a year earlier disappeared. The results reflect improved earnings alongside a contraction in total revenue, with an accounting gain included in operating results.
EXPAREL sales rose to $142.510 million from $139.902 million in the year-earlier quarter, an annual increase of 2%, according to the report. Pacira attributed the growth to a 2% increase in total vials sold. The company said a shift in product mix weighed on sales growth, but did not halt the year-over-year increase. ZILRETTA sales were $29.760 million, compared with $28.982 million, up 3%. The company linked the increase to a 3% rise in net selling price, indicating that its stated growth driver differed from the vial-volume growth supporting EXPAREL.
By contrast, iovera° sales fell to $1.982 million from $6.465 million, down 69% year over year. Pacira completed the sale of the business to Zimmer on July 31, 2026, and stopped recording iovera° revenue after the deal closed. The current quarterly comparison therefore includes a period in which the company no longer recorded revenue related to the business following its sale. Pacira also recorded no royalty revenue during the quarter, compared with $1.476 million in the third quarter of 2025. In contrast, it recorded service revenue of $1.217 million, after recording none in the year-earlier period.
Operating income was $22.272 million in the third quarter, compared with $6.362 million in the same period of 2025. Pacira said operating results included a $14.4 million gain from reducing its estimate of the contingent consideration liability related to the Flexion acquisition. The company said the adjustment followed lower sales forecasts through the end of the milestone eligibility period on December 31, 2030. The accounting gain puts part of the improvement in operating income and net income in context, alongside product results and revenue recorded during the quarter. For the first nine months of 2026, net cash provided by operating activities was $133.210 million, compared with $108.305 million in the same period a year earlier.
The company received $73.560 million from the sale of the iovera° business during the first nine months of 2026, according to its quarterly report. In an August update, Pacira had lowered its full-year revenue guidance to a range of $735–760 million from a previous range of $745–770 million following the sale. It maintained its EXPAREL sales forecast of $600–620 million for fiscal 2026 in that update. The current quarter’s results come amid a reset of annual guidance following the iovera° divestiture, while sales of the other two products continued to grow at annual rates of 2% and 3%, respectively. When announcing the acquisition deal, Viatris said EXPAREL and ZILRETTA complement its fast-acting meloxicam opportunity and that it expects to expand their presence in selected markets through its international infrastructure.
Viatris agreed in a deal announced on October 8 to acquire Pacira for $36.50 per share in cash, valuing total equity at $1.65 billion. The deal was expected to close before the end of 2026, subject to customary conditions. The buyer launched a tender offer on October 30 to purchase every outstanding share at the same cash price. Completion of the merger requires, according to the quarterly report, the tender of shares representing more than 50% of outstanding shares by the offer’s expiration. EL7 data showed PCRX shares closed at $36.42 on November 5, 2026, while completion of the tender offer and its conditions remain the next milestone for shareholders.