DERM

Image source: The Motley Fool. Wednesday, Aug. 12, 2026 at 4:30 p.m. ET Senior Director of Corporate Operations - Jaclyn Jaffe Co-Founder, President and Chief Executive Officer - Claude Maraoui Chief Financial Officer - Joseph Benesch Chief Operating Officer and General Counsel - Ramsey Alloush Operator: Ladies and gentlemen, thank you for standing by. Good afternoon, and welcome to Journeys Medical's Second Quarter 26 Financial Results and Corporate Update Conference Call. At this time, all participants are in a listen-only mode. Should you need assistance, please signal a conference specialist by pressing the star key followed by 0. Participants of this call are advised that the audio of this conference call is being broadcast live over the Internet and is also being recorded for playback purposes. A webcast replay of this call will be available approximately 1 hour after the end of the call for approximately 30 days. I would now like to turn the call over to Jaclyn Jaffe. The company's Senior Director of Corporate Operations. Please go ahead, Jaclyn. Jaclyn Jaffe: Good afternoon, and thank you for participating in today's conference call. Joining me from Journey Medical's leadership team are Claude Maraoui, Co-Founder, President and Chief Executive Officer Joseph Benesch, Chief Financial Officer and Ramsey Alloush, Chief Operating Officer and General Counsel will participate in the Q&A portion of the call. During this call, management will be making forward looking statements, including statements that address, among other things, Journey Medical's expectations for future performance, operational results, financial condition, and the receipt of regulatory approvals. Forward-looking statements involve risks and other factors, that may cause actual results to differ materially from those statements. For information about these risks, please refer to the risk factors described in Journey Medical's most recently filed periodic reports on Form 10 and Form 10 Q. the Form 8-Ks filed with the SEC today and the company's press release that accompanies this call, particularly the cautionary statements in it. Today's conference call includes non GAAP financial measures that Journey Medical believes can be useful in evaluating its performance. You should not consider this additional information in isolation or as a substitute for results prepared in accordance with GAAP. For a reconciliation of this non GAAP financial measure, to net loss, its most directly comparable GAAP financial measure, Please see the reconciliation table located in the company's earnings press release. The content of this call contains time sensitive information that is accurate only as of today, Wednesday, 08/12/2026. Except as required by law, Journey Medical disclaims any obligation to publicly update or revise any information to reflect events or circumstances that occur after this call. It is now my pleasure to turn the call over to Claude Maraoui, Co-Founder, President, and Chief Executive Officer of Journey Medical. Claude Maraoui: Thank you, Jaclyn. and good afternoon to everyone on the call today. We continue to make solid progress in our business in the second quarter, as we delivered strong revenue growth and improved profitability during the period. Amrozi revenues were $8.1 million in Q2, up significantly year over year and sequentially from the first quarter. On higher prescription volume improving payer reimbursement and a significant step up in the number of dermatology writers prescribing the brand. These metrics not only trended positively, but also showed acceleration, and we expect this progress to continue in the coming quarters. Our total net product revenues for the second quarter rose by 23% year over year while operating expenses increased by less than 1% compared to Q2 of last year. We remain focused on delivering strong top line growth and leveraging our proven dermatology commercial infrastructure. We are executing on these initiatives and as a result, we generated positive EBITDA in the second quarter. With this performance, we continue to believe that 2026 will be a breakout year for Journey Medical with respect to both revenue growth and profitability. Amrozi prescriptions totaled approximately 36 thousand in the second quarter, up from about 30 thousand total prescriptions in the first quarter of this year. This represents approximately 20% sequential quarterly growth for the product. Which is up from the 11% sequential quarterly prescription growth seen last quarter. Importantly, the growth is being driven by new prescriptions in addition to refills with successive increases in NRx on a monthly basis. In June, we saw a strong increase with over 5.3 thousand new prescriptions filled, up from an average of 4.7 thousand NRxs the preceding 3 months. This was an all time monthly high for the product. We reported last quarter that approximately 3.7 thousand unique dermatology prescribers had written a prescription for Amrozi. Today, I am pleased to report that there are now over 4.5 thousand unique prescribers writing for the brand. This is more than a 40% increase in Amrozi prescribers from the 3.2 thousand prescribers that we had at the end of 2025. We believe that these accelerating trends are encouraging and demonstrate that as more prescribers and patients gain experience with Amrozi, product loyalty will increase and the franchise value will continue to compound. As we had planned, we hired an additional 5 dermatology sales professionals into our commercial organization during the second quarter. These experienced representatives joined the company in late July and were recently deployed into the field. The time to fill these relatively large sales territories could not be better. And we expect that contributions from these new representatives will add to our already strong market penetration efforts. With over 15 thousand dermatologists in the United States, there is significant room for us to grow our base of prescribers. We are increasing our peer to peer marketing activities and we remain active at key dermatology medical conferences to expand awareness of Amrozi's superior clinical benefits in the treatment of rosacea. The superior head to head efficacy results demonstrated in our Phase III clinical trials comparing Amrozi to the only other branded oral rosacea treatment, Oracea, continue to be central in driving adoption throughout the dermatology community. Amrozi's placebo-like safety and tolerability profile is proving to be durable, which is another important factor in recruiting new prescribers. From the patient perspective, Amrozi's rapid onset of action and superior skin clearing effects compared to Oracea are key and real world patient experiences are supporting a growing base of loyal end users. Helping us to further broaden awareness of Amrozi in the market, we expect to announce new journal publications for the product in the coming quarters. And we believe that Amrozi has potential to be incorporated into the consensus treatment guidelines for rosacea. The payer community is also taking note of Amrozi's early success in the market. And we are continuing to make progress with the downstream health plans. Importantly, the calculated average selling price for Amrozi based on prescriptions increased in Q2 over Q1. After increasing previously in Q1 over Q4, as reimbursed prescriptions are becoming an increasing part of the business mix. As Amrozi's formulary status improves, we believe that our ASP will continue to rise. Earlier this year, we completed our agreements with all the top 3 GPOs in the nation bringing planned access for Amrozi to over 169 million of the 192 million covered commercial lives in The U. S. With those agreements in place, our focus is to pursue high quality formulary coverage with the downstream health plans. Meaning a single step-edit or better. We made good progress in the second quarter as the percentage of commercial lives with high quality formulary coverage increased from 34% in Q1 to 38% currently. Supporting this positive trend, a large national health plan placed Amrozi on its formulary in early August. And we expect to see traction from that addition this quarter. And now, I will turn the call over to our CFO, Joe Benesch, to review our second quarter financial results. Joseph Benesch: Thank you, Claude. and good afternoon to everyone on the call. I will now review our financial results for the second quarter of 26. Total revenue for the quarter was $18.5 million compared to $15 million in the second quarter of 2025. Reflecting a 23% increase from period to period. This growth was primarily driven by momentum from continued demand for Amrozi. Which generated $8.1 million in net revenue for the quarter. Turning to gross margin. We reported a 67% margin for the second quarter of 26. Consistent with the prior year quarter. SG&A expenses were $10.9 million for the quarter, compared to $11.9 million in the second quarter of 2025. The decrease was primarily due to the impact of launch related spending for Amrozi in the prior year quarter. Our GAAP net loss narrowed to $0.3 million or $0.01 per share basic and diluted compared to a net loss of $3.8 million or $0.16 per share basic and diluted for 2Q 2025. On a non GAAP basis, both EBITDA and adjusted EBITDA were positive for the 6 month periods ended. 06/30/2026. EBITDA reflected net income of $1.4 million and $1.1 million for the second quarter and the 6 month period ended 06/30/2026, respectively. Compared to net losses, of $1.9 million and $4.1 million for the prior year quarter and the prior year to date period respectively. Adjusted EBITDA which is generally our EBITDA number less noncash share based compensation expense, reflected net income of $2.9 million and $3.5 million for the second quarter and the 6 month period ended 06/30/2026, respectively. Depicting net losses of $0.5 million and $1.4 million for the prior year quarter and the prior year to date period, respectively. We ended the quarter with $25.6 million in cash, compared to $24.1 million as of 12/31/2025. In summary, second quarter results reflect the continued execution of our plan to become sustainably EBITDA positive. Through revenue growth, margin improvement and expense optimization. Which we intend to remain focused on. Thank you very much. I will now turn the call back over to Claude. Claude Maraoui: Thank you, Joe. The second quarter was another productive period for Journey Medical. With clear progress made on our business objectives. We are delivering on our goal to generate positive EBITDA for the remainder of the year and with our net product sales growing significantly faster than our expenses. We are making solid progress toward becoming sustainably earnings and cash flow positive. Amrozi continues to gain market share in the rosacea treatment segment with prescription growth accelerating in Q2 our base of new prescribers increasing at an impressive rate. With total prescriptions growing by 20% sequentially, from the first quarter of this year, we believe that the promise of Amrozi is beginning to be realized broadly in the market. Importantly, patient experiences are validating that the superior benefits in our Phase 3 clinical trials are highly clinically meaningful. We remain focused on achieving high prescriber and patient satisfaction rates as this is the cornerstone of our efforts to build a strong base and deliver compounding growth for the brand. With market momentum building, our payer coverage continues to improve as well. The trends of higher ASPs since the beginning of the year is a reflection of that progress. Amrozi was added to the formulary of a major national health plan earlier this month and with other payer initiatives in various stages of progress, we continue to expect our ASP to improve throughout the back half of the year fueling Amrozi sales growth. With our business moving in the right direction, we believed it was the perfect time to expand our commercial organization and we did so by recently hiring and deploying 5 new sales professionals to fill new territories. We also executed on launching a niche dermatology product late in the second quarter called Urox Cream. Our new sales professionals and this new addition to our product lineup are expected to augment our efforts to grow company revenues. With Amrozi remaining as high priority detail in the Journey portfolio. With regards to business development activities, we continue to explore out licensing opportunities for the commercial rights to our patented products in non U. S. Territories. In addition to the potential to in license assets to expand our dermatology product offering, and increase value for the company. We continue to expect that 2026 will be a breakout year for Journey Medical. And we will remain committed to delivering on our core objectives. To improve the lives of patients, offer innovative treatment options to dermatology healthcare providers, and to create long term value for our shareholders. Thank you, Operator, we are now ready to open the lines for Q&A. Operator: The question-and-answer session. If you are using a speakerphone, please pick up your handset before pressing the keys. At this time, we will pause momentarily to assemble our roster. The first question today comes from Scott Henry with Alliance Global Partners. Please go ahead. Scott Henry: Thank you, and good afternoon. Claude, you gave a lot of color on Amrozi, as I am just going to ask a couple of follow-up questions. So bear with me. Were there any inventory movements in the quarter that can sometimes inflate or even deflate that ASP on specific quarter? Claude Maraoui: None. No. Scott Henry: Okay. So I mean, oftentimes, I will see this where the ASP is drifting up, but it is not a straight line, but you sound pretty confident that we could get because this was about a 10% boost over first quarter, which is fantastic. But it sounds like you are looking for sequential gains the next couple of quarters as well. Is that correct interpretation? Claude Maraoui: that is correct. I think you will see good progress from really, from Q4 last year, Q1, to Q2, and our expectation is that we will continue to gain better ASPs as more reimbursement from our payer strategy gets implemented and more reimbursements happening through the insurance companies. Scott Henry: Okay. Great. And I do not know if you can speak to the seasonality. I mean, the Q2 was great. And you had some significant gains, but it is kind of plateaued for the past couple of weeks around 3 thousand a week. Is there any seasonality where we may get a boost coming out of the summer months? Any thoughts on that? Claude Maraoui: Yeah, it is a good question. Fair question. You know, as I am looking at market data and just looking in the past 6, 7 quarters of the total market, pretty consistent throughout. You would anticipate from summer going into winter with the cold weather coming into play in the next several months that there are some changes. it is minimal, and I would not put a lot of seasonality to it. Now we have had good growth consistent throughout the whole year. You will see some weeks, Scott, that there is know, maybe several weeks that are the same level and then we get a bump up. And that is what we have seen with this brand on a consistent basis as we have launched it here in 2026. So okay. You know, we just got Symphony numbers for example, for July. So we had about 13 thousand prescriptions for Amrozi in June and now we have approximately 14 thousand. So we have increased it in a good fashion. New prescriptions are up. The trends are very strong. We hit about 5.3 thousand new prescriptions. The last 3 months preceding that was about 4.7 thousand. So the trends are very positive. And in my opening remarks, we talked about unique prescribers I will tell you, from closing out 2025, we had about 3.2 thousand prescribers. We moved that up to approximately 3.7 thousand prescribers. Ending Q1 and we are close to 4.5 thousand+ prescribers right now. So more physicians are jumping on, and it is really looking positive. Scott Henry: Okay. So, yes, some great momentum going there. Just shifting gears, a couple of the other products. QBREXZA was down a little bit in the quarter. that is kind of the second product that really matters here now. How do you see that product? Is that a flattish product, or should we think about that as a declining product? Just want to hear your thoughts on the big picture long term view on QBREXZA in these next, you know, 4 to 6 quarters. Claude Maraoui: Yeah. Sure. You know, QBREXZA is a fantastic product. Very meaningful to the company. Right now, it is second out of the bag in terms of promotion with our field sales force. Obviously, Amrozi is first out of the bag. And, you know, we have great contribution from QBREXZA very consistent over the time that we have had it. It brings in roughly about $25 million to $26 million You will see some up and down quarters with the brand. And this past 1 was a little bit light. You know, I would attribute that to probably a few things. You know, 1 is patient mix payer mix. Right? We do not control that blend that is happening during the quarter. So that is certainly a big part of it. I think you will have some residual effects from insurance deductible resets from the beginning of the year. That leak into Q2. We are going into a very good strong season for, hyperhidrosis, the hotter summer months. And, again, we had an extremely strong month of June. We hit over 14 thousand+ prescriptions, about 14.5 thousand to be exact. As I mentioned with Amrozi, we just got the July numbers. And we are just shy of the 15 thousand mark. So demand is increasing. Patient satisfaction with the brand is extremely high. And, you know, it is just very convenient. You can use this brand any time of the day or evening. there is no restrictions. And, you know, the simple use of it, Scott, makes it very friendly. The fact that there is no aluminum containing ingredients in the brand makes it very appealing to a lot of people. So the brand is growing and we see great contribution. So I would expect with consistent consistency that you have seen over the last couple of years with this. Scott Henry: Okay, great. I will wrap it up there. Thank you for taking the questions. Claude Maraoui: Thank you. Operator: The next question comes from Mayank Mamtani with B. Riley Securities. Please go ahead. Mayank Mamtani: Yes. Good afternoon, team. Thanks for taking my questions, and congrats on a lot of progress here. Maybe on the operating leverage, if I could start there. Your SG&A stayed unchanged, while obviously you are reporting on very strong commercial KPIs. You know, was wondering in second half with all the you know, corporate developments you talked about including niche launch, should we expect a step up in SG&A starting with 3Q? And I have a few follow-ups after that. Claude Maraoui: Sure. Joe, would you like to take that 1? Joseph Benesch: Yes, sure. So the answer is yes, somewhat, right? You are not going to see any surprises, but you know, we do have some marketing programs, some advertising programs. Will probably implement the third, fourth quarter. But overall, I expect to see the percentage of revenue from SG&A pretty consistent. Mayank Mamtani: Okay. And then Claude, you talked about the major national plan added in early August. Was obviously wondering how, you know, that impacts net ASP in second half, or what you have seen already relative to, you know, this nice improvement you have seen in first and second quarter And I was also wondering on the refill rate that continues to climb up. Is there like a year end number that is in your mind, you can see kind of how trends are telling you and is there any like how your unique prescriber, you know, number also is moving? How many physicians are writing Amrozi? Is there maybe correlation between the 2 these 2 big KPIs you are tracking? Claude Maraoui: Sure. I will start with the latter 2. Parts of your question there. Refill rates are very important. We have been very committed on being on message in terms of our Phase III clinical trials. Our commercial team is executing talking about a 4-month trial. And I think it is resonating extremely well with our prescribers. So if they are prescribing Amrozi, which again, continue to see more and more prescribers each quarter, And then depending on how they are giving the refills, if it is 1 prescription plus 3 refills, that is according to our Phase 3 clinical trials. But dermatologists are artists. Patients, come in and present their rosacea in different parts, phases, to the physician. So they are gonna vary on how many refills they get and what they are comfortable with. So that is gonna go up and down. And as we get these new prescribers on board, once they get those patients back are going to get more and more comfortable with the brand. So refill rates are important. The month of July that just came in, again, an all-time high with 14 thousand prescriptions. Our refill rate, for that particular month for example, is at 1.5 plus the regular fill you are at about 2.5 right now if you think about it. But you can also see a surge in new prescriptions. As I mentioned, we were averaging about 4.7 thousand new prescriptions a month. Now we moved that up to about 5.3 thousand. Prescriptions. So the refill rate, even though that is compounding now with more physicians using this and giving refills to their patients, The refill rate is important, but I think you have to look at total prescriptions and that line continues to demonstrate very strong positive growth. So I would tell you that is how I would think about it. Mayank. In terms of the new national health care plan, I am gonna ask Ramsey to jump in here and talk about that a little bit. Ramsey Alloush: And then potential for the rest of the year. Sure. Hi, Mayank, and thanks for the thanks for the question. And I think the question was, with this new national formulary onboard, what is our sort of expectation from a improvement on ASP. Obviously, it is an upward trajectory it is a very large national plan. As you know, as of April, we had signed all 3 major GPOs So in the second quarter, we did have some number of lives come over from that third GPO. This will be in addition to that. This is a separate, you know, national formulary in which we were able to get Amrozi on formulary for. So we do expect improvement. We talk about 38% quality of the 192 million lives having access to Amrozi with a single step therapy or better. And so, you know, adding this new national formulary is gonna increase that number Right? So from the 70+ million lives, it is going to go up from there. We think that is the least amount of friction that a patient really should have to be able to get a prescription through the adjudication process and pick up their prescription. We do have a number, and we have said this previously, a number of other sort of negotiations and presentations going on with other large national formularies. We think the fact that we were able to be successful with a positive add with the 1 we were just recently added to, should help us in our momentum going forward. And, yeah, we expect we expect good milestones to be hit. Throughout Q3 into Q4 and obviously into 2028 as well. Mayank Mamtani: Great. And my final question, you know, on the ex-U.S. out-licensing efforts, including for Amrozi, is there anything IP related or thoughts like that maybe also playing a role there? Or is it just you know, these things can take a little while especially, you know, ex US where our dynamics are very different. Thanks so much for taking my question. Ramsey Alloush: Yeah. And, Claude, if you do not mind, I can I can take the outlicensing question as well? Sure. Yeah. You know, as you as you may know, Amrozi, those are our patented brands in which we acquired. We acquired Global Rights. We maintain global patent portfolio for all of those brands. QBREX is available in Japan with our partners, Maruho. And we did additional outlicensing in Korea, Taiwan, and other ASEAN countries. Amzeeq is available in China with our partners, Qdia, commercially available. They launched about a year ago. We continue to have additional conversations without licensing with those brands, but more importantly, Amrozi, right? And in terms of, you know, ongoing negotiations, I can I what I can tell you is that they are happening, on a on a consistent basis? We do have IP, as I mentioned, globally, which includes Europe, Canada, Australia, New Zealand, Japan and other parts of Asia. So in terms of the robustness of the IP and the market opportunity, it is there. But as you kind of mentioned, it does take some time, right, to get to the meeting of the minds, to have the right structure in place. To make sure all of the right political climate is in place given, you know, certain new legislative or administer executive order actions that are kind of ongoing. Obviously, our primary focus is you know, making Amrozi the standard of care, the gold standard in The US for rosacea. We certainly think, and we have ongoing discussions with other companies, that there is a great opportunity in those regions as well. So we will continue to update as, you know, as we go. And, obviously, once you know, something definitive is available. Very helpful. Mayank Mamtani: Thank you, guys. Ramsey Alloush: Sure. Operator: The next question comes from Brandon Folkes with H. C. Wainwright. Please go ahead. Brandon Folkes: Hi, thanks for taking my questions and congrats on the quarter. Maybe just 2 from me, staying on Amrozi. You look to be making very good progress here on the gross to net And, obviously, on volume. But maybe just, you know, where is the remaining friction in access today, including payer access? You know, especially that friction that you believe you could remove or loosen over the next 12 months. And then secondly, from me, just having a look at your 10-Q, you know, Urox I believe that is how you pronounce it. Apologies if not. Can you just give us more color on your expectations for that product? Maybe when it launched in the quarter? And how you envision that product growing over time? Thank you. Claude Maraoui: Yes, certainly. Brandon, we want and you nailed it. Urox is the correct name 10% Cortamiton. This is an anti-itch, antipruritic product. it is nonsteroidal, nonhistaminic and fragrance free. We worked, diligently to change this formula This is a brand that we picked up a number of years ago from another pharmaceutical company, and we really believe it is an enhanced formulation. And it will be welcomed in the dermatology community for their patients that suffer from significant itching. We trained our commercial team in June, and we launched the brand in July. So brand new, out there. When you take a look at our portfolio, this is coming in right behind QBREXZA in the third position. So, Amrozi first, QBREXZA second and then followed by Urox right now. So it is brand new. it is just starting out. We are starting to see some traction. We are getting some positive feedback from our dermatology base of physicians. So we like what we are hearing so far. But again, it is relatively early. And, we think it is going to be, you know, a good strong contributor to our base business. Nothing in terms of giving any guidance here, but we are going to be obviously tracking prescriptions and physician counts and all the major, KPIs that you would think regarding the brand. So, that is where it is at right now. It is in the compensation plan. For our commercial team, so there is focus and attention. And promotion happening behind it. In terms of I believe you wanted to maybe, look at more managed care and some of the points that we are having in the discussions with the various payers. Is that correct? Brandon Folkes: Yes. Thank you. Claude Maraoui: Okay. Yes. Ramsey, did you want to jump back in here for please? Ramsey Alloush: Sure. Yes. And I think more specifically, Brandon, you were looking at where friction is out in the market in terms of you know, barriers, if you will, Um, and we talk again. We talk about what the quality of lives are, and that is that 72 million that 38%. We also talked about access, which is pathway to a prescription, and that is more like a 169 million lives. So if you look at the delta between the 2, you are gonna see that, you know, the let's call it 80 to 90 more million lives, right, that potentially have access to Amrozi might have a larger barrier, right, in terms of that friction That could be, for example, a prior auth or a double step that is in place, right? So our job is identifying where those bottlenecks are, and we have been doing that on a consistent basis. And speaking with those plans to see what it takes to get Amrozi down to sort of our benchmark, which is that quality single step therapy or better. Obviously, from a clinical perspective, we have a strong value proposition. There are other drugs obviously available to them in the market. From a rosacea, you know, treatment standpoint. And, you know, our category, again, we are saying a single step through any of those either oral or topical agents. Typically, prescribers do prescribe for a rosacea, They are using an oral, and they may also supplement with a with a topical. But again, you know, with our head-to-head data, the fact that our drug works in essentially half the time as Oracea, right, 8 weeks, we achieved the results greater than what Oracea did in our study in 16 weeks. With strong value proposition, not only from a clinical perspective, but from a financial perspective. And this is resonating very well with the payers. But this is not a very highly managed category, right, in terms of rosacea and kind of what payers have on their plates, right, when you think of GLP ones, other oncology, rare disease, orphan drugs. So, you know, it takes a little bit more time. We are having again, we have great contacts with the important plans that we think are gonna make the difference that for example, may have a double step or a PA and why we think it is not appropriate to have sort of that in place for our drug given the data and the financial profile for it. And so, yeah, I would say you know, the strict scripts that are going through with those, are still gonna continue to grow through, but they could go through at a higher rate, which, you know, covered, which is gonna improve our reimbursement if we are able to remove and reduce those barriers, and that is what we are gonna continue to do through Q3, Q3, Q4, and into 2028 as well. Claude Maraoui: Yeah. Brandon, you know, in terms of negotiation, that is what our market access team is doing. I think Ramsey set it up very well here. But we are negotiating potential look backs. It could be 6 months, 12 months, a year plus. Those, you know, if they have tried a topical or if they have tried an oral, we are playing with the and or part of it here. So again, I think where we stand today at about 38% quality, 1 step-edit or less, Is a good position. We could certainly increase that number, significantly. But we are holding to our strategy of trying to get the least resistance in to simply get the patients on what we believe to be the, best treatment for rosacea orally right now. So those are the types of things that we go back and forth with. And we think taking that time is important and it makes a lot of business sense. Operator: As a reminder, if you would like to ask a question. The next question comes from Thomas Flaten with Lake Street. Please go ahead. Thomas Flaten: Hey. Good afternoon, guys. Congrats on the Amrozi performance. Just a few from me. Claude, with respect to the new reps that were hired can I assume those were white space hires, or are you already territory splitting? Claude Maraoui: So the you know, out of the 5, most of them are in white space, but we do have some areas where the number of dermatologists and penetration is better served with splitting it. So you have a little mix of both, Tom. Thomas Flaten: Got it. And then with respect to physician utilization, have they cued in on a specific element of your efficacy, I mean time or overall resolution, erythema, that is the driving reasons for their use? Claude Maraoui: You know, in terms of just physician feedback, it is astounding. How they are looking at the efficacy. The superiority factor that we have that the FDA gave us is resonating well with patients And when the physicians are seeing them back a month or 2 after their initial prescription, the, reinforcement from the patient and what the clearance rate is, is rather incredible. Again, we are doing the what Oracea did in half the time, and I think that is really a major part of it. Plus, you know, the other factor is you are talking about a fantastic safety profile, very tolerable. They are not getting that pushback that they could have had for example, with acne and immediate release minocycline, they are not getting that same pushback with this proprietary formulation of Amrozi. So they like what they are getting. Thomas Flaten: And I think they are building confidence. And then back to the physicians again, if I may. Are there specific subtypes of rosacea patients that they are primarily using it on, or are they kind of using it more broadly than having identified a subtype? Claude Maraoui: Well, we are we are indicated for papulopustular rosacea. So certainly, you know, that severe moderate to severe We are our indication allows us to go broader, but you are talking about moderate and severe patients. I would say, are what they are putting Amrozi in that category. And I am generalizing here. But I would tell you that would be where the niche is for the brand right now. Operator: This concludes our question-and-answer session. and concludes the conference call today. Thank you for attending today's presentation. You may now disconnect. Before you buy stock in Journey Medical, consider this: The Motley Fool Stock Advisor analyst team just identified what they believe are the 10 best stocks for investors to buy now… and Journey Medical wasn’t one of them. The 10 stocks that made the cut are built for long-term growth and could produce monster returns in the coming years. Consider when Netflix made this list on December 17, 2004... if you invested $1,000 at the time of our recommendation, you’d have $419,408!* Or when Nvidia made this list on April 15, 2005... if you invested $1,000 at the time of our recommendation, you’d have $1,348,694!* That performance is why people listen. 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Journey Medical (DERM) Q2 2026 Earnings Call Transcript was originally published by The Motley Fool

Our analysts just identified a stock with the potential to be the next Nvidia. Tell us how you invest and we'll show you why it's our #1 pick. Tap here. Achieved positive EBITDA in Q2 2026, driven by a 23% year-over-year increase in total net product revenue while maintaining flat operating expenses. Amrozi revenue reached $8.1 million, fueled by a 20% sequential increase in total prescriptions and a significant expansion of the unique prescriber base to over 4.5 thousand. Performance attribution is centered on Amrozi's superior head-to-head efficacy data against Oracea, which management reports is driving high patient satisfaction and rapid clinical onset. Improved profitability was supported by a rising Average Selling Price (ASP) as the company successfully transitioned more prescriptions to reimbursed channels. Strategic commercial expansion included hiring five additional dermatology sales professionals to target white space and high-density territories. Market access improved as high-quality formulary coverage (single step-edit or better) reached 38% of commercial lives, up from 34% in the previous quarter. Management expects 2026 to be a 'breakout year' with sustainable EBITDA and cash flow positivity projected for the remainder of the year. ASP is anticipated to continue its upward trajectory through the second half of 2026 as recent national health plan additions begin to impact the business mix. Future growth will be supported by the launch of Urox Cream, a non-steroidal anti-itch product deployed to the sales force in July 2026. Strategic focus remains on converting the remaining 80-90 million commercial lives with access from high-friction status (prior authorizations) to high-quality coverage. The company is actively pursuing out-licensing opportunities for patented products in non-U.S. territories and exploring potential in-licensing of new dermatology assets. SG&A expenses decreased year-over-year primarily due to the absence of one-time launch-related spending for Amrozi incurred in Q2 2025. Management noted that while QBREXZA revenue can fluctuate due to payer mix and deductible resets, demand remains strong with July prescriptions nearing 15 thousand. The company successfully integrated with all top three GPOs, providing planned access to 169 million out of 192 million covered commercial lives in the U.S. One stock. Nvidia-level potential. 30M+ investors trust Moby to find it first. Get the pick. Tap here. Management confirmed there were no inventory movements inflating Q2 results and expressed confidence in sequential ASP gains through the end of the year. Growth is expected to stem from the implementation of new payer strategies and increased reimbursement from insurance companies. Management indicated that while winter weather can impact rosacea, the market remains largely consistent, and they do not anticipate significant seasonality. July data showed continued momentum with approximately 14 thousand total prescriptions, maintaining the upward trend from June's all-time high. The primary bottleneck is the 'delta' of approximately 80-90 million lives that have access but face high friction like double-step therapy or prior authorizations. Management is leveraging Amrozi's 8-week efficacy data (versus 16 weeks for competitors) to negotiate the removal of these clinical and financial barriers. The five new sales representatives are a mix of white space hires and territory splits in high-penetration areas. Physicians are primarily utilizing Amrozi for moderate-to-severe papulopustular rosacea, citing the superior safety profile and clearance rates as key drivers.

This article first appeared on GuruFocus. Total Revenue: $18.5 million in Q2 2026, a 23% increase from $15 million in Q2 2025. Emrosi Revenue: $8.1 million in Q2, up significantly year-over-year and sequentially. Gross Margin: 67% for Q2 2026, consistent with the prior year quarter. SG&A Expenses: $10.9 million in Q2 2026, down from $11.9 million in Q2 2025. GAAP Net Loss: Narrowed to $300,000, or $0.01 per share, compared to a net loss of $3.8 million, or $0.16 per share, in Q2 2025. EBITDA: Positive at $1.4 million for Q2 2026, compared to a net loss of $1.9 million in the prior year quarter. Adjusted EBITDA: Positive at $2.9 million for Q2 2026, compared to a net loss of $500,000 in Q2 2025. Cash Position: $25.6 million as of June 30, 2026, up from $24.1 million at the end of 2025. Emrosi Prescriptions: Approximately 36,000 in Q2, up 20% sequentially from about 30,000 in Q1. Emrosi Prescribers: Over 4,500 unique dermatology prescribers, a 40% increase from 3,200 at the end of 2025. Warning! GuruFocus has detected 3 Warning Signs with DERM. Is DERM fairly valued? Test your thesis with our free DCF calculator. Release Date: August 12, 2026 For the complete transcript of the earnings call, please refer to the full earnings call transcript. Emrosi revenues surged to $8.1 million in Q2 2026, up significantly year-over-year and sequentially, driven by a 20% sequential increase in total prescriptions and an all-time monthly high of over 5,300 new prescriptions in June. The company achieved positive EBITDA and adjusted EBITDA for both the second quarter and first half of 2026, with GAAP net loss narrowing to just $300,000 from $3.8 million in the prior year quarter. The prescriber base for Emrosi expanded by over 40% since the end of 2025, reaching more than 4,500 unique dermatology prescribers, indicating growing adoption and loyalty. Payer access improved, with Emrosi added to a major national health plan's formulary in early August, and the percentage of commercial lives with high-quality formulary coverage increased from 34% in Q1 to approximately 38%. The company successfully launched Eurax Cream in July 2026, adding a new revenue stream and expanding its dermatology portfolio, while also hiring five new sales representatives to drive further market penetration. Total revenue grew 23% year-over-year to $18.5 million, while operating expenses increased by less than 1%, demonstrating strong operating leverage and cost discipline. The company remains unprofitable on a GAAP basis, reporting a net loss of $300,000 for Q2 2026, though significantly narrowed from the prior year. QBREXZA, a key secondary product, experienced a slight revenue decline in the quarter, attributed to patient and payer mix, as well as residual effects from insurance deductible resets. Despite progress, only 38% of commercial lives have high-quality formulary coverage (single step edit or better), leaving significant friction in payer access for the remaining lives. The company faces ongoing challenges in negotiating favorable formulary placements, with some plans requiring prior authorizations or double step edits, which can impede prescription growth. The launch of Eurax Cream is still in early stages, with no clear revenue guidance provided, and its contribution to overall growth remains uncertain. The company's cash position of $25.6 million is modest, and continued investment in sales force expansion and marketing programs may pressure liquidity if revenue growth does not sustain. Q: Claude, you gave a lot of color on ASP. Were there any inventory movements in the quarter that can sometimes inflate or even deflate that ASP on a specific quarter? And it sounds like you're looking for sequential gains in ASP over the next couple of quarters as well. Is that the correct interpretation?A: Claude Maraoui (CEO): There were no inventory movements in the quarter. We expect to continue to see good progress in ASP from Q4 last year through Q1 and Q2, and we anticipate this trend to continue as more reimbursement from our payer strategy gets implemented and more prescriptions are processed through insurance companies. Q: Maybe on the operating leverage, if I could start there. Your SG&A stayed unchanged while obviously you are reporting on very strong commercial KPIs. I was wondering in second half with all the corporate developments you talked about, including niche launch, should we expect a step up in SG&A starting with 3Q?A: Joseph Benesch (CFO): The answer is yes, somewhat. You're not going to see any surprises, but we do have some marketing programs and advertising programs that we'll probably implement in the third and fourth quarter. However, overall, I expect to see the percentage of revenue from SG&A remain pretty consistent. Q: You talked about the major national plan added in early August. I was obviously wondering how that impacts net ASP in second half or what you have seen already relative to this nice improvement you've seen in first and second quarter. And I was also wondering on the refill rate that continues to climb up, is there a year-end number that's in your mind?A: Claude Maraoui (CEO) & Ramsey Alloush (COO): Refill rates are very important, and we have been very committed to being on message regarding our Phase III clinical trials. The month of July was an all-time high with 14,000 prescriptions, and our refill rate for that particular month is at 1.5 plus the regular fill, so you're at about 2.5 right now. Regarding the new national health plan, it's a very large national formulary that we were able to get Emrosi on. We expect this to increase our quality of lives from the current 38% of the 192 million covered lives, and we expect good milestones to be hit throughout Q3 into Q4. Q: Staying on Emrosi, you look to be making very good progress here on the gross to net and obviously on volume. But maybe just where is the remaining friction in access today, including payer access, especially that friction that you believe you could remove or loosen over the next 12 months?A: Ramsey Alloush (COO): If you look at the delta between our quality of lives (38%, or 72 million lives) and our access (169 million lives), you're going to see that the roughly 80-90 million more lives that potentially have access to Emrosi might have a larger barrier in terms of friction. That could be a prior auth or a double step that's in place. Our job is identifying where those bottlenecks are and speaking with those plans to see what it takes to get Emrosi down to our benchmark of a quality single-step therapy or better. With our head-to-head data showing our drug works in essentially half the time as Oracea, this is resonating very well with the payers, and we're going to continue to work on removing those barriers through Q3, Q4, and into 2028. Q: With respect to the new reps that were hired, can I assume those were white space hires? Or are you already territory splitting?A: Claude Maraoui (CEO): Out of the five, most of them are in white space, but we do have some areas where the number of dermatologists and the penetration is better well-served with splitting it. So you have a little mix of both. Q: With respect to physician utilization, have they cued in on a specific element of your efficacy? I mean, time or overall resolution erythema, that's the driving reason for their use?A: Claude Maraoui (CEO): In terms of physician feedback, it is astounding how they are looking at the efficacy. The superiority factor that the FDA gave us is resonating well with patients. We're doing what Oracea did in half the time, and I think that's really a major part of it. Plus, the other factor is the fantastic safety profile that is very tolerable. They're not getting that pushback they could have had with other formulations, so they like what they're getting and building confidence. Q: And then back to the physicians again, if I may. Are there specific subtypes of rosacea patients that they're primarily using it on? Or are they kind of using it more broadly than having identified a subtype?A: Claude Maraoui (CEO): We're indicated for papulopustular rosacea, so certainly that severe, moderate-to-severe. Our indication allows us to go broader, but you're talking about moderate and severe patients, I would say, are what they're putting Emrosi in that category. That would be where the niche is for the brand right now. Q: QBREXZA was down a little bit in the quarter. How do you see that product? Is that a flattish product? Or should we think about that as a declining product? Just wanted to hear your thoughts on the big picture, long-term view on QBREXZA in these next four to six quarters.A: Claude Maraoui (CEO): QBREXZA is a fantastic product and very meaningful to the company. It brings in roughly about $25 million to $26 million. You'll see some up and down quarters with the brand, and this past one was a little bit light. I would contribute that to patient mix and payer mix. We are going into a very good, strong season for hyperhidrosis, the hotter summer months. We hit over 14,500 prescriptions in June, and we're just shy of the 15,000 mark for July. So demand is increasing, and patient satisfaction with the brand is extremely high. I would expect consistency that you've seen over the last couple of years with this. Q: On the ex-US out-licensing efforts, including for Emrosi, is there anything IP-related or of sorts like that may also be playing a role there? Or is it just these things can take a little while, especially ex-US where dynamics are very different?A: Ramsey All For the complete transcript of the earnings call, please refer to the full earnings call transcript.

Interested in Journey Medical Corporation? Here are five stocks we like better. Revenue and profitability improved significantly: Second-quarter revenue rose 23% year over year to $18.5 million, while the GAAP net loss narrowed to $300,000. The company also delivered positive EBITDA of $1.4 million and adjusted EBITDA of $2.9 million. EMROSI momentum accelerated: Prescriptions reached approximately 36,000 in the quarter, up 20% sequentially, while more than 4,500 dermatology providers have prescribed the rosacea treatment. Broader payer access and improving formulary coverage are expected to support further selling-price growth. Commercial expansion continues: Journey Medical added five dermatology sales representatives, launched Eurax Cream and continued evaluating international out-licensing and portfolio in-licensing opportunities. Management expects to remain EBITDA-positive for the rest of 2026. Journey Medical (NASDAQ:DERM) reported higher second-quarter revenue and a sharply narrower net loss as sales of its rosacea treatment EMROSI continued to grow, supported by rising prescription volume, broader prescriber adoption and improving payer reimbursement. Total revenue for the second quarter of 2026 rose 23% year over year to $18.5 million, compared with $15 million in the prior-year period. EMROSI generated $8.1 million in net revenue during the quarter, Chief Financial Officer Joseph Benesch said. The company’s GAAP net loss narrowed to $300,000, or $0.01 per share, from $3.8 million, or $0.16 per share, a year earlier. → SoundHound AI Sends a Loud Signal After Its Q2 Earnings Beat Journey Medical also reported positive EBITDA and adjusted EBITDA for both the second quarter and first half of 2026. Second-quarter EBITDA was $1.4 million, compared with an EBITDA loss of $1.9 million in the prior-year quarter, while adjusted EBITDA was $2.9 million, compared with an adjusted EBITDA loss of $500,000 a year earlier. Co-Founder, President and Chief Executive Officer Claude Maraoui said EMROSI prescriptions totaled approximately 36,000 in the second quarter, up from about 30,000 in the first quarter. That represented roughly 20% sequential growth, accelerating from the 11% sequential growth reported in the prior quarter. → AST SpaceMobile Earnings Just Reminded Investors How Risky Space Can Be New prescriptions contributed to the growth. In June, more than 5,300 new EMROSI prescriptions were filled, compared with an average of 4,700 new prescriptions in each of the preceding three months. Maraoui said June marked an all-time monthly high for new prescriptions. The number of dermatology providers prescribing the product also expanded. More than 4,500 unique dermatology prescribers have now written an EMROSI prescription, up from approximately 3,700 at the end of the first quarter and 3,200 at the end of 2025, according to management. → First Solar’s Profit Engine Faces a New Policy Test in Washington During the question-and-answer session, Maraoui said July prescription data showed approximately 14,000 EMROSI prescriptions, compared with about 13,000 in June. He said the company has not observed meaningful seasonality in the overall rosacea market and characterized prescription trends as strong. Management attributed EMROSI adoption to its Phase III head-to-head results against Oracea, the other branded oral rosacea treatment cited on the call. Maraoui said dermatologists have responded to the product’s efficacy, rapid onset and tolerability profile. He said EMROSI is indicated for papulopustular rosacea and is being used particularly among moderate-to-severe patients. Journey Medical said the calculated average selling price for EMROSI increased in the second quarter from the first quarter, following an increase in the first quarter from the fourth quarter of 2025. Maraoui said there were no inventory movements during the quarter that affected the selling-price trend. The company has agreements with the three largest U.S. group purchasing organizations, providing plan access to more than 169 million of 192 million covered commercial lives, management said. The percentage of commercial lives with what the company defines as high-quality formulary access—single-step therapy or better—increased to approximately 38% from 34% in the first quarter. A large national health plan added EMROSI to its formulary in early August. Chief Operating Officer and General Counsel Ramsey Alloush said the addition should further improve access and support average selling price growth. The company continues discussions with other plans to reduce barriers such as prior authorization requirements and multi-step treatment edits. Alloush said the company believes EMROSI’s clinical data and financial profile have resonated with payers, though it expects formulary negotiations to take time. Management said it expects selling prices to continue improving during the second half as more reimbursed prescriptions enter the mix. Gross margin was 67%, unchanged from the year-earlier quarter. Selling, general and administrative expense declined to $10.9 million from $11.9 million, primarily reflecting launch-related EMROSI spending in the prior-year period. Benesch said the company expects some higher SG&A spending in the second half tied to marketing and advertising programs, but he expects SG&A as a percentage of revenue to remain relatively consistent. Journey Medical ended the quarter with $25.6 million in cash, up from $24.1 million at Dec. 31, 2025. The company added five dermatology sales representatives during the second quarter. The representatives joined in late July and were deployed into the field, with most placed in white-space territories and some supporting territory splits in areas with a higher concentration of dermatologists. Journey Medical also launched Eurax Cream, a 10% crotamiton anti-itch treatment, in July after training its commercial team in June. Maraoui described the product as non-steroidal, non-histaminic and fragrance-free. He said it is currently the third promotional priority behind EMROSI and QBREXZA, and that it is beginning to show early traction without providing sales guidance. Regarding QBREXZA, Maraoui said the product remains a meaningful contributor and has historically generated roughly $25 million to $26 million in revenue. While its second-quarter performance was lighter, he cited patient and payer mix as factors and said June prescriptions exceeded 14,000, with July prescriptions just below 15,000. Management also said it continues to explore out-licensing opportunities for its patented products outside the U.S., particularly EMROSI, while evaluating potential in-licensing opportunities to expand its dermatology portfolio. Maraoui said the company expects 2026 to be a “breakout year” for revenue growth and profitability and is focused on remaining EBITDA-positive for the rest of the year. Journey Medical Corp, headquartered in Fairfield, New Jersey, is a commercial dermatology company focused on acquiring, developing and marketing prescription dermatology products in the United States. Since its incorporation in 2019, the company has built a portfolio of both branded and generic topical therapies designed to address a range of skin conditions, including acne, atopic dermatitis, fungal infections and inflammatory lesions. The company's product lineup features antibiotic/anti-inflammatory combinations and corticosteroid-based formulations delivered through proprietary gel, cream and foam vehicles. This instant news alert was generated by narrative science technology and financial data from MarketBeat in order to provide readers with the fastest reporting and unbiased coverage. Please send any questions or comments about this story to [email protected]. The article "Journey Medical Q2 Earnings Call Highlights" was originally published by MarketBeat. View MarketBeat's top stocks for August 2026.

Interested in Fortress Biotech, Inc.? Here are five stocks we like better. Revenue grew 23% year over year to $18.5 million, led by Emrosi, which generated $8.1 million in quarterly revenue. Emrosi prescriptions rose about 20% sequentially to 36,000, while the number of dermatology prescribers exceeded 4,500. Payer access and pricing improved as commercial coverage with single-step edits or better increased to approximately 38% of covered lives, up from 34% in the first quarter. Management expects reimbursement gains to continue supporting Emrosi’s average selling price. Profitability strengthened significantly: second-quarter EBITDA reached $1.4 million and adjusted EBITDA was $2.9 million, compared with losses a year earlier, while the GAAP net loss narrowed to $300,000. Management continues to view 2026 as a potential breakout year. Journey Medical reported higher second-quarter revenue and improved profitability, driven by continued prescription growth and improving payer reimbursement for its rosacea treatment Emrosi. Chief Executive Officer Claude Maraoui said the company generated positive EBITDA in the second quarter and continues to expect 2026 to be a “breakout year” for both revenue growth and profitability. Total net product revenue rose 23% year over year, while operating expenses increased by less than 1%, according to management. → SoundHound AI Sends a Loud Signal After Its Q2 Earnings Beat Total revenue for the second quarter was $18.5 million, up from $15 million in the comparable period of 2025. Chief Financial Officer Joseph Benesch said the increase was primarily attributable to commercial demand for Emrosi, which generated $8.1 million in net revenue during the quarter. Emrosi prescriptions totaled approximately 36,000 in the second quarter, compared with about 30,000 in the first quarter, representing roughly 20% sequential growth. Maraoui said the quarterly increase accelerated from 11% sequential prescription growth in the prior quarter. → AST SpaceMobile Earnings Just Reminded Investors How Risky Space Can Be New prescriptions also increased. The company recorded more than 5,300 new Emrosi prescriptions in June, compared with an average of about 4,700 during the prior three months. Management described June as an all-time monthly high for new prescriptions. In July, Maraoui said Symphony data showed approximately 14,000 Emrosi prescriptions, up from roughly 13,000 in June. The number of unique dermatology prescribers for Emrosi exceeded 4,500, up from approximately 3,700 at the end of the first quarter and 3,200 at the end of 2025. Maraoui said the company sees substantial opportunity to expand that base, citing more than 15,000 dermatologists in the U.S. → First Solar’s Profit Engine Faces a New Policy Test in Washington Journey Medical added five dermatology sales professionals during the second quarter. The representatives joined in late July and were deployed in the field, with most assigned to previously uncovered territories and some placed in areas where management split existing territories due to dermatologist concentration and market penetration. Management said Emrosi’s calculated average selling price increased in the second quarter from the first quarter, following an increase in the first quarter from the fourth quarter of 2025. Maraoui attributed the trend to a growing portion of prescriptions receiving reimbursement. During the question-and-answer session, Maraoui said there were no inventory movements that affected the second-quarter average selling price. He said the company expects sequential pricing gains to continue as its payer strategy produces more reimbursement through insurance plans. Journey Medical completed agreements with the three largest group purchasing organizations earlier this year, providing plan access for Emrosi across more than 169 million of 192 million covered commercial lives in the U.S. The company is now focused on securing what it considers high-quality formulary coverage, defined as a single-step edit or better. The share of commercial lives with that level of coverage increased to approximately 38% from 34% in the first quarter. Ram Alloush, Journey Medical’s chief operating officer and general counsel, said a large national health plan added Emrosi to its formulary in early August. He said the addition should increase the number of patients with lower-friction access and support average selling price improvement. Alloush said remaining access barriers can include prior authorization requirements or double-step therapy requirements. The company is working with plans to reduce those barriers, arguing that Emrosi’s clinical and financial profile supports less restrictive coverage. Journey Medical reported a 67% gross margin in the second quarter, unchanged from the prior-year quarter. Selling, general and administrative expense declined to $10.9 million from $11.9 million a year earlier, which Benesch said primarily reflected launch-related Emrosi spending in the prior-year period. The company’s GAAP net loss narrowed to $300,000, or $0.01 per basic and diluted share, from a loss of $3.8 million, or $0.16 per basic and diluted share, a year earlier. EBITDA was positive at $1.4 million in the second quarter, versus a $1.9 million loss in the prior-year quarter. Adjusted EBITDA was positive at $2.9 million, compared with a $500,000 loss a year earlier. Cash totaled $25.6 million at June 30, compared with $24.1 million at Dec. 31, 2025. Benesch said some marketing and advertising programs could increase SG&A in the second half, though he expects SG&A as a percentage of revenue to remain generally consistent. Maraoui said Qbrexza remains a meaningful product for the company and is the second priority for its field sales force after Emrosi. He said Qbrexza has historically generated approximately $25 million to $26 million and that quarterly performance may fluctuate based on patient and payer mix. Demand increased in June and July, with prescriptions surpassing 14,500 in June and nearing 15,000 in July, according to management. The company also launched Eurax Cream, a 10% crotamiton anti-itch treatment, in July after training its commercial team in June. Maraoui said the non-steroidal, non-histaminic and fragrance-free product is now the third promotional priority behind Emrosi and Qbrexza. While management said early physician feedback has been positive, it did not provide revenue guidance for Eurax. Journey Medical is also exploring out-licensing opportunities for patented products outside the U.S. Alloush said the company holds global rights and patent portfolios for Emrosi, Qbrexza, Amzeeq and Zilxi. He said discussions regarding additional international partnerships are ongoing, particularly for Emrosi, although reaching agreements can take time. Maraoui said Emrosi remains the company’s highest commercial priority and that Journey Medical intends to continue pursuing revenue growth, expanded payer access and sustainable profitability. Fortress Biotech, Inc is a clinical‐stage biopharmaceutical company focused on acquiring, developing and commercializing novel pharmaceutical and biotechnology products. Headquartered in New York, the company operates through a network of majority‐owned subsidiaries that target areas of high unmet medical need, including oncology, rare diseases and dermatology. Fortress Biotech's business model emphasizes in‐licensing or acquiring promising drug candidates and coordinating their development through specialized affiliate companies, allowing for flexible capital allocation and focused management of individual programs. Through its portfolio of subsidiaries, Fortress Biotech advances a diversified pipeline spanning small molecules, biologics and cell therapies. This instant news alert was generated by narrative science technology and financial data from MarketBeat in order to provide readers with the fastest reporting and unbiased coverage. Please send any questions or comments about this story to [email protected]. The article "Fortress Biotech Q2 Earnings Call Highlights" was originally published by MarketBeat. View MarketBeat's top stocks for August 2026.

Total revenues were $18.5 million for the second quarter of 2026, reflecting 23% growth from the prior-year quarter Emrosi® revenues were $8.1 million for the second quarter of 2026 Strong revenue growth and disciplined cost management continue drive to profitability Company to hold conference call today at 4:30 p.m. ET SCOTTSDALE, Ariz., Aug. 12, 2026 (GLOBE NEWSWIRE) -- Journey Medical Corporation (Nasdaq: DERM) (“Journey Medical,” “the Company,” “we” or “our”), a commercial-stage pharmaceutical company focused on developing, selling and marketing FDA-approved prescription pharmaceutical products for the treatment of dermatological conditions, today announced financial results and recent corporate highlights for the second quarter ended June 30, 2026. Claude Maraoui, Journey Medical’s Co-Founder, President and Chief Executive Officer, said, “We delivered solid performance in the second quarter, highlighted by 23% total net revenue growth, year over year, and continued progress toward profitability, driven by revenue growth and ongoing disciplined investment in our dermatology commercial infrastructure. Momentum behind Emrosi® remains strong, with sales of the product up significantly compared to both the prior-year period and the first quarter of this year. Prescription demand and payer coverage for Emrosi® are increasing as we establish the product as the best-in-class oral treatment for patients suffering from rosacea. With this progress and over $25 million in cash, we believe that we are well-positioned to execute on our strategy and deliver strong financial performance going forward.” Financial Results: Total revenues were $18.5 million for the second quarter of 2026, a 23% increase from $15.0 million for the second quarter of 2025. The increase was driven by continued commercial demand momentum for Emrosi®, which generated revenues of $8.1 million for the quarter ended June 30, 2026. The Company’s gross margin(1) was 67% for the second quarter of 2026, consistent with the prior-year quarter. Selling, general and administrative expenses were $10.9 million for the second quarter of 2026, a decrease of $1.0 million from the second quarter of 2025, primarily due to a reduction in launch-related spending for Emrosi® compared to the prior year quarter. The Company’s GAAP Net Loss narrowed to $0.3 million, or $(0.01) per share basic and diluted, for the second quarter of 2026, compared to a net loss of $3.8 million, or $(0.16) per share basic and diluted, for the second quarter of 2025. The Company’s non-GAAP results in the table below reflect positive EBITDA and Adjusted EBITDA for both the three and six-month periods ended June 30, 2026. At June 30, 2026, the Company had $25.6 million in cash and cash equivalents, as compared to $24.1 million in cash and cash equivalents at December 31, 2025. Recent Corporate Highlights: Emrosi® total prescriptions (TRx) were approximately 36,000 for the second quarter of 2026, compared to approximately 30,000 for the first quarter of 2026 and 27,000 for the fourth quarter of 2025. Conference Call and Webcast Information Journey Medical management will conduct a conference call and audio webcast on August 12, 2026, at 4:30 p.m. ET. To listen to the conference call, interested parties within the U.S. should dial 1-866-777-2509 (domestic) or 1-412-317-5413 (international). All callers should dial in approximately 10 minutes prior to the scheduled start time and ask to be joined into the Journey Medical conference call. Participants can register for the conference call here: https://dpregister.com/sreg/10210876/1048acbd764. Please note that registered participants will receive their dial-in number upon registration. A live audio webcast can be accessed on the News and Events page of the Investors section of Journey Medical’s website, www.journeymedicalcorp.com, and will remain available for replay for approximately 30 days after the meeting. (1)  We define gross margin as total revenue less cost of goods sold divided by total revenue. About Journey Medical CorporationJourney Medical Corporation (Nasdaq: DERM) (“Journey Medical”) is a commercial-stage pharmaceutical company that primarily focuses on developing, selling and marketing FDA-approved prescription pharmaceutical products for the treatment of dermatological conditions through its efficient sales and marketing model. The Company currently markets nine branded FDA-approved prescription drugs that help treat and heal common skin conditions. The Journey Medical team comprises industry experts with extensive experience in developing and commercializing some of dermatology’s most successful prescription brands. Journey Medical is located in Scottsdale, Arizona and was founded by Fortress Biotech, Inc. (Nasdaq: FBIO). Journey Medical’s common stock is registered under the Securities Exchange Act of 1934, as amended, and the company files periodic reports with the U.S. Securities and Exchange Commission (“SEC”). For additional information about Journey Medical, visit www.journeymedicalcorp.com. Forward-Looking StatementsThis press release may contain “forward-looking statements” within the meaning of Section 27A of the Securities Act of 1933, as amended, and Section 21E of the Securities Exchange Act of 1934, as amended. As used below and throughout this press release, the words “the Company”, “we”, “us” and “our” may refer to Journey Medical. Such statements include, but are not limited to, any statements relating to our growth strategy and product development programs and any other statements that are not historical facts. The words “anticipate,” “believe,” “continue,” “estimate,” “may,” “expect,” “will,” “could,” “project,” “intend,” “potential” and similar expressions are generally intended to identify forward-looking statements. Forward-looking statements are based on management’s current expectations and are subject to risks and uncertainties that could negatively affect our business, operating results, financial condition and stock price. Factors that could cause actual results to differ materially from those currently anticipated include: the fact that our products and product candidates are subject to time and cost intensive regulation and clinical testing and as a result, may never be successfully developed or commercialized; a substantial portion of our sales derive from products that may become subject to third-party generic competition because their period of exclusivity has ended or they are without patent protection, subjecting them to the potential introduction of new competitor products and/or an increase in market share of existing competitor products, either of which could have a significant adverse impact on our operating income; we operate in a heavily regulated industry, and we cannot predict the impact that any future legislation or administrative or executive action may have on our operations; our revenue is dependent mainly upon sales of our dermatology products and any setback relating to the sale of such products could impair our operating results; competition could limit our products’ commercial opportunity and profitability, including competition from manufacturers of generic versions of our products; the risk that our products do not achieve broad market acceptance, including by government and third-party payors; our reliance on third parties for several aspects of our operations; our dependence on our ability to identify, develop, and acquire or in-license products and integrate them into our operations, at which we may be unsuccessful; the dependence of the success of our business, including our ability to finance our company and generate additional revenue, on the successful commercialization of Emrosi® and the successful development, regulatory approval and commercialization of any future product candidates that we may develop, in-license or acquire; clinical drug development is very expensive, time consuming, and uncertain and our clinical trials may fail to adequately demonstrate the safety and efficacy of our current or any future product candidates; our competitors could develop and commercialize products similar or identical to ours; risks related to the protection of our intellectual property and our potential inability to maintain sufficient patent protection for our technology and products; our business and operations would suffer in the event of computer system failures, cyber-attacks, or deficiencies in our or our third parties’ cybersecurity; the substantial doubt expressed about our ability to continue as a going concern; the effects of major public health issues, epidemics or pandemics on our product revenues and any future clinical trials; our potential need to raise additional capital; Fortress controls a voting majority of our common stock, which could be detrimental to our other shareholders; as well as other risks described in Part I, Item 1A, “Risk Factors,” in our Annual Report on Form 10-K for the year ended December 31, 2025, subsequent Reports on Form 10-Q, and our other filings we make with the SEC. We expressly disclaim any obligation or undertaking to release publicly any updates or revisions to any forward-looking statements contained herein to reflect any change in our expectations or any changes in events, conditions or circumstances on which any such statement is based, except as may be required by law, and we claim the protection of the safe harbor for forward-looking statements contained in the Private Securities Litigation Reform Act of 1995. Company Contact:Jaclyn Jaffe (781) [email protected] Media Relations Contact:Tony Plohoros6 Degrees(908) [email protected] Use of Non-GAAP Measures: In addition to the GAAP financial measures as presented in our Form 10-Q that will be filed with the Securities and Exchange Commission (“SEC”), the Company has, in this press release, included certain non-GAAP measurements, including EBITDA, Adjusted EBITDA, Adjusted EBITDA per share basic and Adjusted EBITDA per share diluted. We define EBITDA as net income (loss) excluding interest, taxes and depreciation and amortization and we define Adjusted EBITDA as net income (loss) excluding interest, taxes and depreciation, less certain other non-cash and/or infrequent items not considered to be normal, recurring operating expenses, including, share-based compensation expense, amortization and impairments of acquired intangible assets, inventory step-ups from the purchases of intangible assets and products, severance, and foreign exchange transaction losses. In particular, we exclude the following matters for the reasons more fully described below: Share-Based Compensation Expense: We exclude share-based compensation from our adjusted financial results because share-based compensation expense, which is non-cash, although a recurring expense, fluctuates from period to period based on factors that are not within our control, such as our stock price on the dates share-based grants are issued. Beginning in the first quarter of 2026, we no longer exclude short-term research and development expenses (including any one-time license and milestone payments) from our Non-GAAP Adjusted EBITDA results. Prior period Non-GAAP Adjusted EBITDA results have been revised to reflect this change. Adjusted EBITDA per share basic and Adjusted EBITDA per share diluted are determined by dividing the resulting Adjusted EBITDA by the number of shares outstanding on an actual and fully diluted basis. Management believes the use of these non-GAAP measures provides meaningful supplemental information regarding the Company’s performance because (i) they allow for greater transparency with respect to key measures used by management in its financial and operational decision-making, (ii) they exclude the impact of non-cash or, when specified, non-recurring items that are not directly attributable to the Company’s core operating performance and that may obscure trends in the Company’s core operating performance and (iii) they are used by institutional investors and the analyst community to help analyze the Company's results. However, Adjusted EBITDA, Adjusted EBITDA per share basic, Adjusted EBITDA per share diluted and any other non-GAAP financial measures should be considered as a supplement to, and not as a substitute for, or superior to, the corresponding measures calculated in accordance with GAAP. Further, non-GAAP financial measures used by the Company and the manner in which they are calculated may differ from the non-GAAP financial measures or the calculations of the same non-GAAP financial measures used by other companies, including the Company’s competitors. The table below provides a reconciliation from GAAP to non-GAAP measures:

Company to host conference call to discuss financial results and provide a corporate update on August 12, 2026 at 4:30 p.m. ET SCOTTSDALE, Ariz., Aug. 05, 2026 (GLOBE NEWSWIRE) -- Journey Medical Corporation (“Journey Medical” or the “Company”) (Nasdaq: DERM), a commercial-stage pharmaceutical company primarily focused on developing, selling and marketing U.S. Food and Drug Administration (“FDA”)-approved prescription pharmaceutical products for the treatment of dermatological conditions, today announced the Company will release its second quarter 2026 financial results after the U.S. financial markets close on Wednesday, August 12, 2026. Journey Medical management will conduct a conference call and audio webcast on Wednesday, August 12, 2026 at 4:30 p.m. ET. To listen to the conference call, interested parties within the U.S. should dial 1-866-777-2509 (domestic) or 1-412-317-5413 (international). All callers should dial in approximately 10 minutes prior to the scheduled start time and ask to join the Journey Medical conference call. Participants can register for the conference by navigating to https://dpregister.com/sreg/10210876/1048acbd764. Please note that registered participants will receive their dial-in number upon registration. A live audio webcast can be accessed on the News and Events page of the Investors section of Journey Medical’s website, www.journeymedicalcorp.com, and will remain available for replay for approximately 30 days after the conference call. About Journey Medical CorporationJourney Medical Corporation (Nasdaq: DERM) (“Journey Medical”) is a commercial-stage pharmaceutical company that primarily focuses on developing, selling and marketing FDA-approved prescription pharmaceutical products for the treatment of dermatological conditions through its efficient sales and marketing model. The Company currently markets nine branded FDA-approved prescription drugs that help treat and heal common skin conditions. The Journey Medical team comprises industry experts with extensive experience in developing and commercializing some of dermatology’s most successful prescription brands. Journey Medical is located in Scottsdale, Arizona and was founded by Fortress Biotech, Inc. (Nasdaq: FBIO). Journey Medical’s common stock is registered under the Securities Exchange Act of 1934, as amended, and it files periodic reports with the U.S. Securities and Exchange Commission (“SEC”). For additional information about Journey Medical, visit www.journeymedicalcorp.com. Company Contact:Jaclyn Jaffe Journey Medical Corporation(781) [email protected] Media Relations Contact:Tony Plohoros6 Degrees(908) [email protected]

Our analysts just identified a stock with the potential to be the next Nvidia. Tell us how you invest and we'll show you why it's our #1 pick. Tap here. Achieved 21% year-over-year revenue growth driven by Emrosi's scaling trajectory, despite severe winter weather impacts on the East Coast during Q1. Secured agreements with all three major PBM-owned group purchasing organizations (GPOs), providing access to approximately 85% of U.S. commercial lives. Observed a significant shift in the refill-to-new-prescription ratio from 1:1 at year-end 2025 to 1.5:1, indicating high patient satisfaction and product loyalty. Expanded the unique prescriber base to over 3,700, up from 3,200 at the end of 2025, as Phase III head-to-head efficacy data against Oracea gains market awareness. Realized meaningful operating leverage as revenue growth outpaced expense growth, supported by a transition from initial launch investments to ongoing commercial execution. Maintained a disciplined cost structure with SG&A expenses decreasing year-over-year while simultaneously increasing commercial reach and frequency. Anticipates generating positive EBITDA for the remainder of 2026 and the foreseeable future, supported by improving revenue per prescription. Plans to add five new sales professionals by early Q3 to support the potential launch of two new niche dermatology products later this year. Focusing on converting 'access' into 'quality coverage' by negotiating for single-step edit requirements or better with national and regional health plans. Expects to publish up to three new journal publications in 2026 to support Emrosi's inclusion in consensus treatment guidelines for rosacea. Actively exploring out-licensing opportunities for patented products in non-U.S. territories and potential in-licensing of new assets to expand the portfolio. Reported a $1.3 million non-cash charge to cost of sales related to a write-down of API inventory from the 2021 Qbrexza acquisition. Management noted that while GPO contracts provide access, individual health plans must still conduct internal reviews before full formulary inclusion is realized. Acknowledged typical Q1 seasonality and the impact of co-pay bridging programs on initial net pricing as the company works toward stable reimbursement levels. One stock. Nvidia-level potential. 30M+ investors trust Moby to find it first. Get the pick. Tap here. Management clarified that while 170 million lives have access, only about 34% currently have 'quality coverage' defined as a single-step edit or better. The company is in deep discussions with national formularies to improve this quality of coverage throughout 2027. Clinical superiority and faster onset of action are the primary levers being used in financial modeling discussions with payers. Revenue per prescription increased from $188 in Q4 to $202 in Q1, with management targeting a long-term stable net range of 20% to 40%. Increased coverage is expected to reduce reliance on co-pay bridging programs, which will naturally enhance average selling prices (ASPs). April Symphony data showed an all-time high of over 11,400 prescriptions, suggesting momentum is accelerating into Q2. The two new niche products are intended to provide incremental value to the base business without distracting from Emrosi or Qbrexza. One product targets the anti-itch market, while the second is a life-cycle management asset for an existing brand. Sales force compensation remains weighted toward the top two brands to ensure no shift in promotional focus.

This article first appeared on GuruFocus. Release Date: May 13, 2026 For the complete transcript of the earnings call, please refer to the full earnings call transcript. Journey Medical Corp (NASDAQ:DERM) reported a 21% year-over-year increase in total net product revenues for Q1 2026. Omrosi revenues grew significantly, reaching $6.3 million, marking a 26% increase from Q4 2025. The company achieved positive adjusted EBITDA for the quarter, highlighting operational efficiency. Journey Medical Corp (NASDAQ:DERM) secured agreements with the three largest PBM-owned group purchasing organizations, expanding Omrosi's access to 169 million commercial lives. The refill-to-new prescription ratio for Omrosi improved, indicating strong patient satisfaction and brand loyalty. Gross margin decreased to 61% from 63.5% due to a $1.3 million non-cash charge related to inventory write-down. The company reported a GAAP net loss of $2.2 million for the quarter, although this was an improvement from the previous year. There is still a reliance on co-pay bridging programs, indicating challenges in achieving full reimbursement. The company faces seasonality challenges, which could impact prescription volumes during different times of the year. Despite progress, there is still ongoing work needed to improve Omrosi's tier positioning and quality of coverage with major health plans. Warning! GuruFocus has detected 5 Warning Signs with DERM. Is DERM fairly valued? Test your thesis with our free DCF calculator. Q: Can you provide some direction on the trajectory for MROSI and legacy products for the rest of the year? A: Unidentified_6: Our base business, excluding Imrosi, is expected to remain steady and consistent in 2026. We anticipate adding up to two new niche products this year, which should contribute incremental revenue. The main focus is on AMROSI, which is expected to drive significant growth beyond last year's $61 million in revenues. Q: How is the conversation progressing regarding insurance coverage, and where do you stand on tier positioning and prior authorization criteria with major plans? A: Unidentified_7: We have completed contracts with all three major GPOs, allowing us to engage in deeper discussions with national formularies. We are in advanced discussions with some national formularies and expect to improve coverage for AMROSI. Currently, about 34% of the 190 million commercial lives have access to MROSI with a single step or better. Q: Can you comment on the trends for refill rates and net price improvements for MROSI in the second quarter? A: Unidentified_6: We are meeting internal expectations with a growing refill rate, now at 1.4 refills per new prescription. We expect this to increase as brand momentum builds. Our managed care coverage improvements should enhance ASPs, and we are seeing positive growth from Q4 to Q1. Q: How do you plan to integrate two additional products into the sales reps' portfolio while MROSI is still growing? A: Unidentified_6: The focus remains on MROSI and Kubrexa, with the new products being added as a third priority. These niche products are expected to add incremental value without distracting from the primary focus on MROSI and Kubrexa. Q: What impact does seasonality have on rosacea prescriptions, and how are current trends? A: Unidentified_6: There is some seasonality, but it is not significant enough to pinpoint specific quarters. We continue to see prescription growth, with April numbers reaching an all-time high of over 11,400 prescriptions. The product's efficacy and increasing prescriber base are driving momentum. For the complete transcript of the earnings call, please refer to the full earnings call transcript.