Earnings

ADMA's Profit Jumps On One Drug While A $125 Million Revolver Draw Funds Buybacks

ASCENIV lifted third-quarter net income to $49.9 million, but long-term debt reached $191.6 million and a securities suit advanced.

Matteo Parrino Jonathan Ponciano

Matteo Parrino, Jonathan Ponciano

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ADMA's Profit Jumps On One Drug While A $125 Million Revolver Draw Funds Buybacks

ADMA Biologics, which makes plasma-derived immune globulin medicines, earned $49.9 million in the third quarter, up from $36.4 million a year earlier, and nearly all the growth traces to a single product, ASCENIV. The company's 10-Q, filed Wednesday, also shows the buybacks behind its per-share gains were paid for with borrowing, while a securities class action has moved into a new phase.

One drug carries the quarter

ASCENIV revenue rose $29.3 million to $124.7 million from the year-earlier quarter, a 30.7% gain. BIVIGAM, the company's other intravenous immune globulin, fell 35.2% to $15.4 million, which the filing attributes to new non-ADMA IVIG products. Total revenue rose 5.1% to $141.1 million.

Gross margin reached 70.8%, against 56.3% a year earlier, which the company ties to the higher-margin ASCENIV mix and its yield-enhanced manufacturing process. The filing says new competing products entered the market with aggressive pricing, including extended payment terms, rebates and discounts, and warns that results could suffer if that continues.

In an earnings release, the company reiterated full-year revenue guidance of at least $530 million and raised its floors for adjusted net income to at least $180 million and adjusted EBITDA to at least $275 million.

Buybacks financed with a revolver

On March 2, 2026, ADMA borrowed $125.0 million on its JPMorgan revolving facility to fund an accelerated share repurchase. Long-term debt stands at $191.6 million at September 30, 2026, versus $69.3 million at December 31, 2025, and treasury stock rose to $213.7 million from $32.1 million. Of the $197.2 million outstanding under the facility, $191.6 million falls due in 2028, per the filing's maturity table.

Basic weighted shares fell to 223.7 million from 238.6 million a year earlier, so basic earnings per share of $0.22, against $0.15, reflects a smaller share count as well as higher profit. Interest expense rose to $3.4 million from $1.7 million, and the company ascribes the increase to the March borrowing. It says it is on track for a 2026 repurchase target of $200 million or more.

For the first nine months, cash paid for treasury stock was $180.3 million, while operating cash flow was $105.2 million.

Lawsuits move forward

A putative securities class action filed July 10 by Lisa Mazzarino, which names the company, CEO Adam Grossman, Vice Chairman Jerrold Grossman and former CFO Brad Tade, now has a lead plaintiff. On October 16, the court appointed two Seafarers benefit plans. Both sides will soon suggest timing to the court for the next pleading and a likely dismissal bid by the defendants. The company calls the claims without merit.

Three derivative suits, which accuse current and former executives and directors of breaching fiduciary duties, were consolidated September 21, and the company intends to seek a stay pending the class action. Three stockholders have also demanded to inspect books and records, and they could bring additional derivative suits. The company has recorded no accrual for any of it.

The company also said in the 10-Q that in October the FDA gave constructive feedback on its pre-IND package for SG-001, a pneumococcal antibody candidate, and it plans to advance preparations for an IND submission.

Sources

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