Ironwood Pharmaceuticals raises full-year revenue guidance on Linzess growth
The company increased its full-year total revenue outlook to a range of $460 million to $485 million.
Ironwood Pharmaceuticals (IRWD) reported total revenue of $113.0 million for the second quarter, a 33% increase from the $85.2 million recorded in the same period last year.
The pharmaceutical company's results were driven by the performance of its primary product, Linzess, and a recent expansion of its approved patient population. In May 2026, the FDA approved Linzess for pediatric patients aged two years and older with functional constipation.
U.S. net sales for Linzess grew 14% year-over-year to $282.3 million. Prescription demand for the drug rose 4% to 59.8 million capsules, though this represented a slight deceleration from the 5% growth reported in the first quarter. Despite the slower demand growth, the commercial margin for Linzess expanded to 78%, up from 69% in the second quarter of 2025 and 76% in the first quarter of 2026.
Bottom-line metrics improved alongside revenue. GAAP net income rose to $51.3 million from $23.6 million a year earlier. Adjusted EBITDA increased to $83.0 million, compared with $50.1 million in the prior-year period.
Ironwood raised its full-year 2026 total revenue guidance to between $460 million and $485 million, up from a previous range of $450 million to $475 million. The company also increased its full-year adjusted EBITDA guidance to more than $310 million from more than $300 million.
Full-year U.S. net sales guidance for Linzess was raised to a range of $1.15 billion to $1.20 billion from $1.125 billion to $1.175 billion. This change reflects an increase in expected demand growth from low-single digit to mid-single digit percentages.
In June 2026, Ironwood used cash on hand to repay $200 million in convertible senior notes. Consequently, cash and cash equivalents decreased to $79.1 million as of June 30, 2026, from $215.5 million at the end of 2025.
Regarding its pipeline, the company initiated and began active patient recruitment for the STARS-2 confirmatory Phase 3 trial of apraglutide during the second quarter.