Protagonist Therapeutics reports profit on Takeda payment
The company ended the quarter with $849.5 million in cash and marketable securities.
Protagonist Therapeutics (PTGX) reported a net profit of $162.8 million in the second quarter of 2026. The biotech company shifted from a net loss of $34.8 million in the same period last year.
The result was driven by a sharp increase in license and collaboration revenue, which rose to $213.5 million from $5.5 million in the prior-year quarter. The gain was primarily due to a $192.4 million proportional recognition of an opt-out payment from Takeda.
Operating expenses rose as the company expanded its clinical pipeline. Research and development expenses increased to $42.1 million from $37.0 million in the second quarter of 2025. General and administrative expenses also climbed to $12.6 million from $10.6 million, due to personnel costs and higher stock-based compensation.
Commercial activity expanded following the March 2026 FDA approval of ICOTYDE, which achieved its first full quarter of commercial sales during the period.
Protagonist advanced its clinical timeline for PN-881, moving the start of a comprehensive Phase 2b psoriasis program to early first quarter 2027. This represents an acceleration from previous guidance that suggested a year-end 2026 start. R&D expenses are expected to increase significantly in the second half of 2026 to support the program.
Other pipeline developments included the start of a Phase 1 study for the injectable formulation of PN-477. The oral formulation of the triple agonist is now anticipated to begin in the first half of 2027, a shift from the previous expectation of first quarter 2027.
Management indicated it may announce a share buyback program by the end of 2026.