Ligand Pharmaceuticals Reports Strong Q1 Results, Reiterates FY25 Guidance

Ligand Pharmaceuticals reported strong first-quarter 2025 results with total revenues of $45.3 million, surpassing analyst estimates and marking a 46% increase from the prior year, primarily driven by a 44% rise in royalty revenues and increased Captisol sales. Despite the revenue growth, the company posted a GAAP net loss of $42.5 million due mainly to a $44.3 million one-time charge related to a royalty financing agreement with Castle Creek Biosciences. Ligand's strategic transactions, including a merger agreement with Channel Therapeutics and ongoing royalty financing arrangements, aim to bolster its commercial portfolio and pipeline. The company reiterated its fiscal 2025 guidance, projecting adjusted earnings between $6.00 and $6.25 per share and revenues of $180 million to $200 million, aligning closely with analyst estimates. Ligand's royalty aggregation strategy and partnerships continue to demonstrate resilience amid a challenging biopharmaceutical financing environment. The company’s stock has experienced mixed performance, with recent earnings results beating revenue and EPS estimates but with some volatility in market response.