Krystal Biotech Plummets 14.04% on Record $290M Trading Volume Ranks 382nd Amid Surging Revenue and Regulatory Momentum

Krystal Biotech (NASDAQ: KRYS) closed 2025/8/4 with a 14.04% decline, despite a 216.94% surge in trading volume to $290 million, ranking 382nd in the market. The stock’s sharp drop followed the release of Q2 2025 financial results, which highlighted $96 million in VYJUVEK revenue—a 36.5% year-over-year increase—and a $820.8 million cash balance. Regulatory progress includes VYJUVEK’s approval in Japan for dystrophic epidermolysis bullosa (DEB) treatment from birth, with a planned 2025 launch, and European expansion targets in Germany (Q3) and France (Q4).

Operational metrics underscored the company’s momentum: 82% patient compliance with VYJUVEK’s weekly regimen and over 575 U.S. reimbursement approvals. However, the stock’s decline may reflect investor caution ahead of key clinical readouts in respiratory (CF and AATD) and ophthalmology (corneal abrasions) trials. Inhaled KB707 for lung cancer reported a 36% objective response rate in pre-treated patients, while Jeune Aesthetics’ KB304 showed phase 1 improvements for décolleté wrinkles, advancing to phase 2.

Financially, Krystal’s Q2 net income rose 145% to $38.3 million ($1.33/share), driven by a 93% gross margin. The robust cash position supports ongoing trials and global commercialization, but near-term pipeline progress will likely dictate share performance. The company’s HSV-1 vector platform faces validation across multiple tissues, with upcoming data from lung, eye, and skin trials critical to unlocking long-term value.

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