Halozyme Therapeutics 2025 Q2 Earnings Surpasses Expectations, Net Income Surges 77%

Halozyme Therapeutics reported stellar Q2 2025 earnings, surpassing expectations with a 77% increase in net income and a 41% year-over-year revenue jump. The company raised its full-year revenue guidance for the second time this year, reflecting strong performance and accelerating royalty growth.

Revenue
Halozyme’s total revenue surged to $325.72 million in Q2 2025, a 40.8% increase from $231.35 million in the same period last year. Royalty revenue led the charge, reaching $205.64 million, driven by blockbuster subcutaneous therapies such as DARZALEX SC, Phesgo, and VYVGART Hytrulo. Product sales, net, contributed $81.51 million, while revenues under collaborative agreements added $38.57 million, rounding out the company’s diversified revenue streams.

Earnings/Net Income
Net income soared to $165.16 million in Q2 2025, a 77.1% increase from $93.25 million in 2024 Q2. Earnings per share (EPS) also rose sharply, climbing to $1.36 from $0.73, representing an 86.3% year-over-year gain. The company achieved its highest Q2 net income in 20 years, reflecting robust profitability.

Price Action
HALO shares posted strong gains across timeframes: up 1.25% on the latest trading day, 2.98% for the week, and 12.61% month-to-date.

Post-Earnings Price Action Review
Despite a 41% year-over-year revenue increase, the buy-and-hold strategy post-earnings underperformed the benchmark with a CAGR of 4.94%, lagging by 33.58%. The strategy, however, exhibited a Sharpe ratio of 0.12 and a maximum drawdown of 0.00%, making it low-risk and suitable for conservative investors.

CEO Commentary
Dr. Helen Torley, President and CEO, highlighted the company’s “exceptional” second-quarter performance, attributing the success to a 65% year-over-year rise in royalty revenue and new regulatory approvals. She emphasized Halozyme’s durable high-margin royalty model and global demand for its ENHANZE technology. Torley also noted $303 million in share repurchases and a balanced capital allocation strategy.

Guidance
Halozyme raised its 2025 guidance, projecting total revenue of $1.275–$1.355 billion (26–33% YOY growth), Adjusted EBITDA of $865–$915 million (37–45% growth), and Non-GAAP Diluted EPS of $6.00–$6.40 (42–51% growth). A third $250 million share repurchase under its $750 million plan was announced, reflecting confidence in cash generation and growth.

Additional News
Halozyme Therapeutics increased its 2025 revenue guidance to $1.355 billion, driven by accelerating royalty growth and new product catalysts. The company reported Q2 revenue of $326 million, a 41% year-over-year increase, citing strong performance from blockbuster subcutaneous therapies. A $250 million share repurchase tranche was completed, and a second $250 million tranche was initiated under its $750 million plan. Despite facing ongoing IP litigation with Merck and potential regulatory challenges from the Inflation Reduction Act (IRA), the company remains optimistic, with growth catalysts including the approval of RYBREVANT subcutaneous in Europe and first-time approvals for Opdivo subcutaneous and VYVGART Hytrulo in CIDP in Europe.