Ardelyx CEO Says 'We All Need To Be Patient' On Xphozah Outlook As Revenue Rises 7% To $29.2 Million
Xphozah sales grew 7% to $29.2 million while paid prescriptions rose 22%, and 2026 guidance of $110 million to $120 million stands.
Ardelyx's dialysis drug Xphozah brought in $29.2 million in the third quarter, up 7% from a year earlier, while paid prescriptions rose 22%, CEO Mike Raab said on the company's earnings call Tuesday. Asked when a longer-term revenue target might return, Raab said investors should wait until a reimbursement transition period ends.
Waiting out the Tdapa period
An analyst asked what Ardelyx would need to see before reestablishing a longer-term Xphozah revenue framework. Raab said the company is "just coming to the end of the Tdapa period for the binders," and that the turmoil has run for "the better part of a year and a half."
He said "we all need to be patient until we exit this Tdapa period," see what next year looks like, and come back with numbers once management has confidence.
Raab called the dialysis reimbursement environment complex and said Ardelyx is taking a "thoughtful and measured approach" to keep Xphozah a positive contributor. The company reaffirmed 2026 Xphozah revenue guidance of $110 million to $120 million.
Prescriptions up, sales down from the second quarter
Chief Financial Officer Sue Hohenleitner said Xphozah demand grew from the second quarter but was offset by customer buying patterns. Prescriptions showed a decline of about 9% from the second quarter on a quarter-over-quarter basis, she said, which she put down to buying dynamics, with distributor inventory varying depending on where quarter-end fell in the week. She called it "nothing of note."
Raab added that inventory is largely just in time, with little sitting in the channel.
Ibsrela carries the quarter
Ardelyx, a biopharmaceutical company that sells Xphozah and the irritable bowel syndrome drug Ibsrela, both built on tenapanor, reported total product revenue of $125.5 million, up 19% from $105.5 million a year earlier. Ibsrela contributed $96.3 million, up 23%.
Net loss narrowed to $700,000 from $1 million, including $15.1 million of non-cash share-based compensation. Cash, equivalents and short-term investments stood at $285.3 million. Hohenleitner said the company still expects profitability in 2027.
Ibsrela's blended gross-to-net rate, the share of list price given up to rebates and similar costs, was 31.7%, against about 30.6% a year earlier. Full-year Ibsrela guidance of $350 million to $370 million and operating expenses below $500 million were reaffirmed.
Pipeline and 2027 questions
Ardelyx said it fully enrolled its Phase 3 trial of tenapanor in chronic idiopathic constipation ahead of schedule, with top-line results expected in the second half of 2027.
On Ibsrela contracting for 2027, Raab said the company will move into it slowly and only if it gets something in return. On the share of prescriptions flowing through its pharmacy network, he said it is premature to give specifics.
Ardelyx's market value was $782 million as of Tuesday's report, and management said it will return with Xphozah numbers once it has confidence about next year.
