Collegium 2025 Q2 Earnings Beats Expectations as Revenue Surges 29%

Collegium (COLL) delivered stronger-than-expected results in Q2 2025, with revenue rising sharply and full-year guidance raised. The company raised its 2025 net revenue and adjusted EBITDA forecasts, citing robust performance in ADHD treatments and pain portfolio growth.

Revenue
Collegium’s total revenue surged 29.4% year-over-year to $188 million in Q2 2025, driven by strong performance in both the ADHD and pain portfolios. The ADHD business, led by Jornay PM, generated $32.6 million in net revenue, a 23% increase in prescriptions year-over-year. Meanwhile, the pain portfolio delivered $155.4 million in net revenue, up 7% year-over-year, with each of its core products—Belbuca, Xtampza ER, and Nucynta Franchise—posting growth. Belbuca net revenue increased 1% to $52.6 million, Xtampza ER rose 18% to $52.6 million, and Nucynta Franchise climbed 4% to $46.4 million.

Earnings/Net Income
Despite robust revenue growth, net income declined to $11.98 million in Q2 2025, or $0.38 per share, compared to $19.61 million, or $0.60 per share, in Q2 2024—a 36.7% drop in EPS and a 38.9% decline in net income. The earnings shortfall was primarily attributed to rising operating expenses and a higher tax burden.

Price Action
Collegium’s stock gained momentum post-earnings, climbing 4.64% during the latest trading day and 10.31% over the prior week. Month-to-date, it advanced 4.34%.

Post-Earnings Price Action Review
A strategy of buying Collegium shares following a revenue increase quarter-over-quarter and holding for 30 days has historically outperformed the market. Over the past three years, the approach delivered a 65.77% return, significantly outperforming the benchmark’s 49.71% gain. The strategy exhibited a 18.95% CAGR with a 0.00% maximum drawdown, indicating strong risk-adjusted returns, though its Sharpe ratio of 0.48 and 39.57% volatility highlight moderate risk exposure.

CEO Commentary
CEO Vikram Karnani highlighted strong execution across Collegium’s strategic pillars: record revenue from Jornay PM, portfolio optimization, and capital deployment for shareholder value. He noted a strong first-half performance, with anticipation for a robust back-to-school season and second-half growth for ADHD treatments. CFO Colleen Tupper emphasized the company’s improved EBITDA and cash flow, citing the recent completion of a $25 million accelerated share repurchase and the new $150 million buyback program.

Guidance
Collegium raised its full-year 2025 net revenue guidance to $745–$760 million, with adjusted EBITDA expected to reach $440–$455 million. Jornay PM net revenue is now forecasted at $140–$145 million, up from previous guidance of at least $135 million. The company also revised adjusted operating expenses to $225–$235 million and expects to grow full-year revenue by 19%, with adjusted EBITDA rising 12% compared to 2024.

Additional News
Collegium’s board authorized a $150 million share repurchase program through 2026, following a $25 million accelerated buyback completed in July. The company also announced the appointment of Gino Santini as Chairman of the Board and the addition of Dr. Carlos Paya as a director. The firm will also participate in four major investor conferences in late August and September 2025. With $222.2 million in cash and equivalents at the end of Q2, Collegium remains well-positioned for strategic growth and capital deployment initiatives.