Krystal Biotech (NASDAQ:KRYS) Announces Quarterly Earnings Results, Beats Expectations By $0.09 EPS

Krystal Biotech (NASDAQ:KRYS) released its quarterly earnings results on Monday. The company reported $1.79 earnings per share (EPS) for the quarter, beating analysts’ consensus estimates of $1.70 by $0.09, FiscalAI reports. Krystal Biotech had a net margin of 53.92% and a return on equity of 19.25%. The company had revenue of $119.22 million for the quarter, compared to the consensus estimate of $120.93 million.

Here are the key takeaways from Krystal Biotech’s conference call:

• VYJUVEK revenue rose 24% year over year to $119.2 million, with U.S. net revenue reaching $91.6 million and gross margin improving to 95%.
• U.S. commercial momentum remains strong, with more than 730 reimbursement approvals surpassing the company’s initial 60% penetration target; management sees additional opportunity among community-based and currently undiagnosed patients.
• The pipeline is advancing toward multiple catalysts, including readouts for the registrational DEB ocular study later this year, neurotrophic keratitis enrollment completion by year-end, and potential registrational starts in cystic fibrosis, Hailey-Hailey disease, and NSCLC in 2027.
• International demand and treatment volumes are increasing, but reported European and Japanese revenue was broadly flat because of accruals tied to German pricing negotiations; management expects key pricing outcomes in Germany, Italy, and Spain by year-end, while France may extend into 2027.
• Krystal ended the quarter with more than $1.1 billion in cash and investments and maintained its 2026 non-GAAP R&D and SG&A expense guidance of $175 million to $195 million.

Krystal Biotech Trading Down 8.4%

NASDAQ KRYS opened at $312.57 on Tuesday. The company’s 50-day moving average price is $339.96 and its 200-day moving average price is $296.59. The stock has a market cap of $9.21 billion, a PE ratio of 41.79 and a beta of 0.53. Krystal Biotech has a 12 month low of $130.50 and a 12 month high of $382.54.

Insider Transactions at Krystal Biotech

In related news, insider Suma Krishnan sold 25,000 shares of the business’s stock in a transaction that occurred on Thursday, June 4th. The stock was sold at an average price of $308.11, for a total value of $7,702,750.00. Following the completion of the sale, the insider owned 1,378,155 shares in the company, valued at approximately $424,623,337.05. The trade was a 1.78% decrease in their ownership of the stock. The sale was disclosed in a document filed with the Securities & Exchange Commission, which is accessible through the SEC website. The transaction was executed under a pre-arranged Rule 10b5-1 trading plan. Also, EVP John Charles Thomas sold 1,000 shares of the stock in a transaction that occurred on Thursday, June 25th. The stock was sold at an average price of $347.27, for a total value of $347,270.00. Following the completion of the transaction, the executive vice president directly owned 1,000 shares in the company, valued at approximately $347,270. This trade represents a 50.00% decrease in their position. The SEC filing for this sale provides additional information. The transaction was executed under a pre-arranged Rule 10b5-1 trading plan. Insiders have sold a total of 26,642 shares of company stock valued at $8,243,923 in the last quarter. 13.10% of the stock is currently owned by company insiders.

Institutional Investors Weigh In On Krystal Biotech

Hedge funds have recently made changes to their positions in the company. Royal Bank of Canada raised its holdings in shares of Krystal Biotech by 145.2% in the first quarter. Royal Bank of Canada now owns 1,628 shares of the company’s stock valued at $294,000 after acquiring an additional 964 shares in the last quarter. AQR Capital Management LLC increased its holdings in Krystal Biotech by 29.9% during the first quarter. AQR Capital Management LLC now owns 12,131 shares of the company’s stock valued at $2,187,000 after buying an additional 2,792 shares during the period. MIRAE ASSET GLOBAL ETFS HOLDINGS Ltd. raised its stake in Krystal Biotech by 4.5% in the first quarter. MIRAE ASSET GLOBAL ETFS HOLDINGS Ltd. now owns 15,893 shares of the company’s stock worth $2,870,000 after buying an additional 688 shares in the last quarter. Empowered Funds LLC bought a new stake in Krystal Biotech during the 1st quarter valued at $218,000. Finally, Cetera Investment Advisers lifted its position in shares of Krystal Biotech by 107.9% during the second quarter. Cetera Investment Advisers now owns 4,344 shares of the company’s stock valued at $597,000 after buying an additional 2,255 shares during the last quarter. 86.29% of the stock is currently owned by hedge funds and other institutional investors.

Wall Street Analysts Forecast Growth

Several analysts have recently issued reports on KRYS shares. Jefferies Financial Group restated a “buy” rating and set a $474.00 target price on shares of Krystal Biotech in a research report on Monday, July 13th. HC Wainwright raised their price objective on Krystal Biotech from $310.00 to $361.00 and gave the company a “buy” rating in a research note on Tuesday, June 16th. Wall Street Zen downgraded Krystal Biotech from a “buy” rating to a “hold” rating in a research report on Saturday, June 20th. Citigroup increased their price target on Krystal Biotech from $371.00 to $378.00 and gave the company a “buy” rating in a report on Tuesday, May 5th. Finally, Evercore reaffirmed an “outperform” rating and set a $300.00 price objective on shares of Krystal Biotech in a research note on Tuesday, May 5th. Ten investment analysts have rated the stock with a Buy rating and two have assigned a Hold rating to the company’s stock. According to data from MarketBeat.com, the company has an average rating of “Moderate Buy” and an average price target of $360.67.

More Krystal Biotech News

Here are the key news stories impacting Krystal Biotech this week:

• Positive Sentiment: Krystal reported diluted earnings of $1.79 per share, above the $1.73 consensus estimate and up from $1.29 a year earlier. Net income increased to $54.8 million, while VYJUVEK revenue rose 24% year over year to $119.2 million. Krystal Biotech Q2 earnings report
• Positive Sentiment: VYJUVEK demand remained strong, with more than 730 reimbursement approvals and over 640 prescribers. The company expects launches in Spain and Italy before year-end and additional marketing applications in the second half of 2026. Krystal Biotech Announces Second Quarter Results
• Positive Sentiment: The balance sheet remains strong, with $1.1 billion in cash and investments. Investors are also anticipating several pipeline milestones, including KB803 corneal-abrasion data in the fourth quarter and additional updates across respiratory, oncology and dermatology programs.
• Neutral Sentiment: Management projected 2026 non-GAAP research and development plus selling, general and administrative expenses of $175 million to $195 million as VYJUVEK expands internationally. Krystal Biotech operating expense guidance
• Negative Sentiment: Quarterly revenue of $119.2 million was below the approximately $121.8 million analyst forecast. That shortfall appears to have outweighed the EPS beat, particularly given KRYS’s premium valuation.
• Negative Sentiment: SG&A expenses increased to $39.9 million from $35.1 million a year earlier. In addition, pricing and reimbursement negotiations in Germany and France may delay international revenue realization, with discussions extending into late 2026 and 2027. Krystal Biotech shares and revenue miss

Krystal Biotech Company Profile

Krystal Biotech, Inc is a clinical-stage biotechnology company focused on developing gene therapies for rare dermatological diseases. Headquartered in Pittsburgh, Pennsylvania, the company applies proprietary viral vector delivery technology to enable topical administration of corrective genes directly to the skin. By targeting the underlying genetic causes of inherited skin disorders, Krystal Biotech seeks to address areas of high unmet medical need with potentially transformative treatments.

The company’s lead product candidate, KB103, is designed to deliver a functional COL7A1 gene to patients with dystrophic epidermolysis bullosa (DEB), a severe and often debilitating blistering condition.