Harmony 2025 Q2 Earnings Strong Performance as Net Income Surges 243%

Harmony Biosciences reported strong Q2 2025 earnings, exceeding expectations with a significant increase in net income. The company reaffirmed its 2025 revenue guidance of $820 million to $860 million, with Q2 results in line with these expectations. Key financial milestones, including ZYN002 Phase III progress, remain on track.

Revenue
Harmony's total revenue surged 16.0% year-over-year to $200.49 million in Q2 2025, driven entirely by its net product sales, which accounted for the full $200.49 million in revenue. This growth underscores the robust performance of its core offerings and reinforces the company’s market position.

Earnings/Net Income
Earnings per share (EPS) experienced a dramatic 245.0% increase to $0.69 in Q2 2025 from $0.20 in Q2 2024. The company's net income also soared by 243.2%, reaching $39.78 million, a new six-year high for the fiscal Q2 period. This significant earnings jump highlights strong operational performance and cost discipline.

Price Action
The stock of Harmony has seen mixed recent performance: up 2.07% on the latest trading day, down 1.44% for the week, but up 8.64% month-to-date, reflecting market volatility following the earnings release.

Post-Earnings Price Action Review
A strategy of purchasing Harmony shares following the Q2 2025 earnings report, which showed strong revenue growth, and holding for 30 days has historically underperformed significantly. Over the past three years, this strategy yielded a negative return of -53.97%, far below the 48.58% benchmark return. The negative excess return of -102.55% and a compound annual growth rate (CAGR) of -23.49% indicate a strategy that has failed to capitalize on the company’s financial success.

CEO Commentary
Jeffrey M. Dayno, CEO of Harmony Biosciences, emphasized the company’s unique position as a self-funding biotech with a robust late-stage pipeline. He highlighted the sustained growth of WAKIX, with $200.5 million in Q2 net revenue, and expressed confidence in achieving over $1 billion in narcolepsy sales. Dayno also noted the momentum in pipeline programs, including Phase III trials for ZYN002 in Fragile X syndrome and next-generation pitolisant formulations.

Guidance
Harmony reaffirmed its full-year 2025 revenue guidance of $820 million to $860 million, with continued net revenue growth expected. The company also anticipates milestone payments totaling $29 million related to its ZYN002 program and orexin-2 research, reinforcing its financial and developmental strength for the remainder of the year.

Additional News
In the three weeks leading up to and following the Q2 2025 earnings report, Harmony Biosciences made several key announcements. On August 5, 2025, the company reported strong financial results and reaffirmed its revenue guidance, while also announcing it is on track to release top-line data from its Phase III trial of ZYN002 in Fragile X syndrome by Q3 2025. Earlier, on April 3, 2025, the company appointed Ron Philip, a seasoned biotech leader, to its Board of Directors. In June 2025, Harmony presented preclinical data on BP1.15205 at SLEEP 2025, demonstrating promising wake-promoting and cataplexy-suppressing effects in narcolepsy. Additionally, the company reached a favorable settlement in ANDA litigation, strengthening its patent position.