Sarepta Raises Low End of 2026 Revenue Outlook by $50 Million
Key Facts
Sarepta Therapeutics raised the low end of its 2026 net product revenue outlook by $50 million, to a range of $1.25 billion to $1.3 billion, citing strong performance from its PMO products. The company announced the change alongside third-quarter results, which included total revenue of $381.4 million. That was a decline of $18 million, or 5%, from the same period in 2025, when revenue was $399.4 million. The company attributed the decrease mainly to lower ELEVIDYS sales volume. Contract manufacturing revenue rose, offsetting part of the impact of lower therapy sales.
Net product revenue was $323.8 million for the quarter, comprising $240.3 million from PMO products and $83.5 million from ELEVIDYS. The breakdown underscores PMO's weight in the revenue base behind the increase to the annual outlook's low end. The company said the overall decline was mainly linked to lower ELEVIDYS sales after updated labeling limited the therapy to patients who are ambulatory. It added that a $31.4 million increase in contract manufacturing revenue moderated the decline. The increase stemmed from higher commercial supplies of ELEVIDYS shipped to Roche.
Sarepta recorded a GAAP net loss of $28.5 million, compared with a loss of $50.6 million in the third quarter of 2025. Diluted earnings per share on an unadjusted basis were $0.13, following a loss of $0.13 per share a year earlier. Investing.com reported that adjusted earnings per share of $0.13 exceeded the analyst estimate of $0.11 by $0.02. Revenue of $381.4 million also topped the consensus estimate of $353.25 million. The results show improvement in net loss and per-share earnings from the year-earlier period, despite the annual decline in revenue.
On operations, the GAAP operating loss was about $9.0 million, compared with a loss of $103.4 million in the third quarter of 2025. Unadjusted GAAP operating income was $22.9 million, versus a loss of $35.7 million a year earlier. Cost of sales included a $62 million charge tied to non-cancelable manufacturing obligations with Catalent. The charge relates to inventory the company chose not to manufacture, according to its statement. In its expense guidance, the company lowered the upper end of its combined unadjusted 2026 research and development, and selling, general and administrative expense outlook by $25 million, to a range of $800–825 million.
Cash, restricted cash and investments totaled $998.7 million on September 30, 2026, compared with $953.8 million on December 31, 2025. The figures put liquidity in the context of the quarterly results and the company's annual outlook, while management said commercial execution continued to show strength. Chief Executive Michael Severino described upcoming DM1 and FSHD data as “important opportunities” to test the impact of the company's platform. Sarepta expects multiple ascending-dose data for its SRP-1003 candidate for DM1 and SRP-1001 candidate for FSHD in the fourth quarter of 2026. It said it is preparing to advance both programs into Phase 3, with the data and strategic discussions with the FDA to guide the final regulatory strategy.
For ELEVIDYS, the Associated Press reported that the FDA added a prominent warning in November 2025 about the risk of fatal liver failure and limited approved use to patients aged 4 years and older who remain ambulatory. Sarepta linked the impact of the updated labeling to lower therapy sales volume in 2026. The company expects fourth-quarter ELEVIDYS revenue to be similar to its third-quarter level. It noted the natural variability in revenue from a one-time gene therapy. SRPT shares closed at $17.57 on November 5, 2026.