Royalty Pharma Raises 2026 Receipts Outlook Again

The Tip Desk · November 4, 2026 · 3 min read

The company now expects 2026 Portfolio Receipts of $3,500 million to $3,550 million after a $150 million pelacarsen impairment cut third-quarter net income.

Royalty Pharma plc (RPRX) raised its full-year 2026 Portfolio Receipts outlook for a third consecutive quarterly update, now expecting $3,500 million to $3,550 million, from the $3,400 million to $3,500 million range set in August, implying expected Royalty Receipts growth of 10% to 11%.

The biopharmaceutical royalty buyer reported third-quarter Portfolio Receipts of $890 million, up 9% from $814 million a year earlier. Royalty Receipts were $883 million. Growth slowed from 14% in the second quarter.

Chief Executive Officer Pablo Legorreta said the company delivered 9% growth in Royalty Receipts for the quarter and double-digit growth year-to-date, and that it added royalties on three innovative therapies in the third quarter.

The company said the increase was driven by Tremfya, Voranigo, Evrysdi and Imdelltra, partially offset by declines from Promacta due to U.S. generic competition and from Imbruvica. Royalty Receipts from Evrysdi included the benefit of additional royalties acquired in December 2025.

Tremfya royalty receipts were $80 million, up 61% from a year earlier. Voranigo was $55 million, up 65%. Evrysdi was $71 million, up 38%. Imdelltra contributed $19 million versus none a year earlier. Promacta fell to $9 million from $38 million. Imbruvica was $31 million, down 24%. Trelegy was $89 million. Milestones and other contractual receipts were $7 million.

GAAP net income attributable to Royalty Pharma plc was $145 million, down from $284 million a year earlier, after a $150 million non-cash impairment related to pelacarsen. Operating income was $411 million. In September, Novartis announced that the Phase 3 Lp(a)HORIZON trial of pelacarsen did not meet its primary endpoint of reducing cardiovascular events in the overall study population.

Adjusted EBITDA, a non-GAAP liquidity measure, was $840 million. Payments for operating and professional costs were 5.6% of Portfolio Receipts. Portfolio Cash Flow was $673 million. Net cash provided by operating activities was $686 million.

Capital Deployment was $362 million in the third quarter, including acquisitions of financial royalty assets of $279 million. In September the company acquired a royalty on Arcutis Biotherapeutics’ Zoryve for $100 million. In August it acquired a royalty on Takeda’s Mimrylo for $100 million, $50 million upfront with the remainder payable on the first anniversary of closing. In July it acquired a portion of Neurimmune’s royalty interest in AstraZeneca’s cliramitug for up to $425 million, including $125 million upfront. As of November 3, 2026, announced transactions totaled $1.9 billion.

Cash and cash equivalents were $514 million as of September 30, 2026. Total debt principal was $8.8 billion, down from $9.2 billion at June 30 after a $380 million term-loan payment in July. The company paid a quarterly dividend of $0.235 a share, or $135 million, and repurchased about 1.5 million Class A ordinary shares for $87 million. Weighted-average diluted Class A shares were 557 million.

The company said FDA approvals included Revolution Medicines’ Rasonque for metastatic pancreatic cancer, Teva’s Weltruza for schizophrenia and Jazz and BeOne’s Ziihera for HER2-positive metastatic gastric cancer. Positive Phase 3 results were reported for Amgen’s Imdelltra as first-line maintenance in small cell lung cancer and Pharvaris’ deucrictibant XR for hereditary angioedema prophylaxis. In October, Syndax said the Phase 2 MAXPIRe trial of Niktimvo in idiopathic pulmonary fibrosis did not meet its primary endpoint and that it does not plan further development in that indication; the company said the results do not affect ongoing trials in other indications.

Full-year 2026 guidance excludes transactions announced after the release. Payments for operating and professional costs are now expected at 5.5% to 6.0% of Portfolio Receipts, from a prior 5.5% to 6.5% range. Interest paid is still expected at $350 million to $360 million, with interest paid anticipated to be a de minimis amount in the fourth quarter. The company said the outlook reflects an estimated foreign-exchange impact of about +1% to Portfolio Receipts if current rates prevail.