Full Press Release Details
Fortress Biotech Reports First Quarter 2026 Financial Results and Recent Corporate Highlights
ZYCUBO approved by FDA to treat Menkes disease in the United States; Fortress subsidiary Cyprium Therapeutics closed the sale of its Rare Pediatric Disease Priority Review Voucher (PRV) for $205 million
Fortress' consolidated net income attributable to common stockholders for the first quarter of 2026 was $108.4 million, or $3.44 per common share (basic) and $2.82 per common share (diluted)
Miami, FL - May 14, 2026 - Fortress Biotech, Inc. (Nasdaq: FBIO) ("Fortress"), an innovative biopharmaceutical company focused on acquiring and advancing assets to enhance long-term value for shareholders through product revenue, equity holdings and dividend and royalty income, today announced financial results and recent corporate highlights for the first quarter ended March 31, 2026.
Lindsay A. Rosenwald, M.D., Fortress' Chairman, President and Chief Executive Officer, said, "The first quarter of 2026 marked a pivotal period for Fortress, highlighted by significant execution across our portfolio and meaningful progress in enhancing long term shareholder value. The FDA approval of ZYCUBO for Menkes disease and the subsequent monetization of Cyprium's PRV for $205 million represent important validation of our business model. We deployed a portion of these proceeds to strengthen our balance sheet through debt reduction, lowering our outstanding principal with Oaktree to $15.0 million. We also continued to expand our pipeline through business development, including Avenue's acquisition of ATX 04 from Duke University, a clinically validated program with the potential to address significant unmet need in Pompe disease."
Dr. Rosenwald added, "Looking ahead, we expect to generate increasing royalty revenue from ZYCUBO and UNLOXCYT , along with potential milestone payments across our portfolio. In parallel, AstraZeneca's regulatory submissions in the EU and Japan for anselamimab (formerly known as CAEL-101), underscore the continued optionality within our partnered assets for potential future sales milestones for Fortress and approval milestones in the U.S. We have a diversified portfolio of commercial, late stage, and development stage programs and Fortress is well positioned to advance strategic initiatives and drive long term value for our shareholders."
Recent Corporate Highlights1:
Regulatory and Monetization Updates
1 This press release references products being developed or commercialized by Fortress, by Fortress' private or public subsidiaries (referred to herein as "subsidiaries" or "partner companies") and by entities with whom one of the foregoing parties has a significant business relationship, such as an exclusive license or an ongoing product-related payment obligation (such entities referred to herein as "partners"). The words "we", "us" and "our" may refer to Fortress individually, to one or more of our subsidiaries and/or partner companies, or to all such entities as a group, as dictated by context.
Commercial Portfolio Updates
About Fortress Biotech
Fortress Biotech, Inc. ("Fortress") is an innovative biopharmaceutical company focused on acquiring and advancing assets to enhance long-term value for shareholders through product revenue, equity holdings and dividend and royalty income. The company has a portfolio of multiple marketed prescription pharmaceutical products and programs in development at Fortress, at its majority-owned and majority-controlled partners and subsidiaries and at partners and subsidiaries it founded and in which it holds significant minority ownership positions. Fortress' portfolio is being commercialized and developed for various therapeutic areas including oncology, dermatology, and rare diseases. Fortress' model is focused on leveraging its significant biopharmaceutical industry expertise and network to further expand and advance the company's portfolio of product opportunities. Fortress has established partnerships with some of the world's leading academic research institutions and biopharmaceutical companies to maximize each opportunity to its full potential, including AstraZeneca, City of Hope, Nationwide Children's Hospital, Columbia University, Dana-Farber Cancer Center and Sentynl Therapeutics. For more information, visit www.fortressbiotech.com.
Forward-Looking Statements
Statements in this press release that are not descriptions of historical facts are "forward-looking statements" within the meaning of Section 27A of the Securities Act of 1933 and Section 21E of the Securities Exchange Act of 1934, as amended. The words "anticipates," "believes," "can," "continue," "could," "estimates," "expects," "intends," "may," "might," "plans," "potential," "predicts," "should," or "will" or the negative of these terms or other comparable terminology are generally intended to identify forward-looking statements. These forward-looking statements are based on management's current expectations and are subject to risks and uncertainties that could negatively affect our business, operating results, financial condition and stock price. Factors that could cause actual results to differ materially from those currently anticipated include risks relating to: our growth strategy, financing and strategic agreements and relationships; our need for substantial additional funds and uncertainties relating to financings; uncertainty related to the timing and amounts expected to be realized from future milestone, contingent value right, royalty or similar future revenue streams, if at all; our ability to identify, acquire, close and integrate product candidates successfully and on a timely basis; our ability to attract, integrate and retain key personnel; the early stage of product candidates under development; the results of research and development activities; uncertainties relating to preclinical and clinical testing; our ability to obtain regulatory approval for products under development; our ability to successfully commercialize products for which we receive regulatory approval or receive royalties or other distributions from third parties; our ability to secure and maintain third-party manufacturing, marketing and distribution of our and our partner companies' products and product candidates; government regulation; patent and intellectual property matters; competition; as well as other risks described in our SEC filings. We expressly disclaim any obligation or undertaking to release publicly any updates or revisions to any forward-looking statements contained herein to reflect any change in our expectations or any changes in events, conditions or circumstances on which any such statement is based, except as may be required by law, and we claim the protection of the safe harbor for forward-looking statements contained in the Private Securities Litigation Reform Act of 1995. The information contained herein is intended to be reviewed in its totality, and any stipulations, conditions or provisos that apply to a given piece of information in one part of this press release should be read as applying mutatis mutandis to every other instance of such information appearing herein.
Fortress Biotech, Inc.
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FORTRESS BIOTECH, INC. AND SUBSIDIARIES
Unaudited Condensed Consolidated Balance Sheets
($ in thousands except for share and per share amounts)
| March 31, | December 31, | |||||
| 2026 | 2025 | |||||
| ASSETS | ||||||
| Current assets | ||||||
| Cash and cash equivalents | $ | 255,841 | $ | 79,381 | ||
| Accounts receivable, net | 24,992 | 29,783 | ||||
| Inventory | 9,292 | 9,624 | ||||
| Other receivables - related party | 516 | 158 | ||||
| Prepaid expenses and other current assets | 4,839 | 4,895 | ||||
| Total current assets | 295,480 | 123,841 | ||||
| Property, plant and equipment, net | 2,426 | 2,519 | ||||
| Operating lease right-of-use asset, net | 11,822 | 12,302 | ||||
| Restricted cash | 1,220 | 1,220 | ||||
| Equity investments, at fair value | 18,707 | 17,660 | ||||
| Intangible assets, net | 26,479 | 27,605 | ||||
| Other assets | 740 | 401 | ||||
| Total assets | $ | 356,874 | $ | 185,548 | ||
| LIABILITIES AND STOCKHOLDERS' EQUITY | ||||||
| Current liabilities | ||||||
| Accounts payable and accrued expenses | $ | 92,986 | $ | 47,125 | ||
| Income taxes payable | 5,418 | 356 | ||||
| Common stock warrant liabilities | - | 1 | ||||
| Operating lease liabilities, short-term | 2,221 | 2,127 | ||||
| Partner company notes payable, short-term | 2,500 | - | ||||
| Other current liabilities | 268 | 135 | ||||
| Total current liabilities | 103,393 | 49,744 | ||||
| Notes payable, long-term, net | 36,878 | 52,417 | ||||
| Operating lease liabilities, long-term | 12,028 | 12,672 | ||||
| Partner company redeemable perpetual preferred liability | - | 7,085 | ||||
| Other long-term liabilities | 2,201 | 1,447 | ||||
| Total liabilities | 154,500 | 123,365 | ||||
| Commitments and contingencies | ||||||
| Stockholders' equity (deficit) | ||||||
| Cumulative redeemable perpetual preferred stock, $0.001 par value, 15,000,000 authorized, 5,000,000 designated Series A shares, 3,427,138 shares issued and outstanding as of March 31, 2026 and December 31, 2025, respectively, liquidation value of $25.00 per share | 3 | 3 | ||||
| Common stock, $0.001 par value, 200,000,000 shares authorized, 33,186,671 and 31,364,094 shares issued and outstanding as of March 31, 2026 and December 31, 2025, respectively | 33 | 31 | ||||
| Additional paid-in-capital | 785,851 | 783,891 | ||||
| Accumulated deficit | (623,679) | (734,052) | ||||
| Total stockholders' equity attributed to the Company | 162,208 | 49,873 | ||||
| Non-controlling interests | 40,166 | 12,310 | ||||
| Total stockholders' equity | 202,374 | 62,183 | ||||
| Total liabilities and stockholders' equity | $ | 356,874 | $ | 185,548 |
FORTRESS BIOTECH, INC. AND SUBSIDIARIES
Unaudited Condensed Consolidated Statements of Operations
($ in thousands except for share and per share amounts)
| Three Months Ended March 31, | ||||||
| 2026 | 2025 | |||||
| Revenue | ||||||
| Product revenue, net | $ | 15,921 | $ | 13,139 | ||
| Other revenue | 117 | - | ||||
| Net revenue | 16,038 | 13,139 | ||||
| Operating expenses | ||||||
| Cost of goods - (excluding amortization of acquired intangible assets) | 6,218 | 4,790 | ||||
| Amortization of acquired intangible assets | 1,126 | 1,065 | ||||
| Research and development | 540 | 3,938 | ||||
| Selling, general and administrative | 15,893 | 25,663 | ||||
| Total operating expenses | 23,777 | 35,456 | ||||
| Loss from operations | (7,739) | (22,317) | ||||
| Other income (expense) | ||||||
| Interest income | 570 | 490 | ||||
| Interest expense and financing fee | (3,368) | (2,805) | ||||
| Gain on sale of priority review voucher, net of expenses | 158,873 | - | ||||
| Change in fair value of partner company derivative liability | (7,085) | - | ||||
| Gain (loss) on common stock warrant liabilities | 1 | (47) | ||||
| Other income (expense) | 1,042 | (12) | ||||
| Total other income (expense) | 150,033 | (2,374) | ||||
| Income (loss) before income tax expense | 142,294 | (24,691) | ||||
| Income tax expense | 5,132 | - | ||||
| Net income (loss) | 137,162 | (24,691) | ||||
| Attributable to non-controlling interests | (26,789) | 14,107 | ||||
| Net income (loss) attributable to Fortress | $ | 110,373 | $ | (10,584) | ||
| Preferred A dividends declared and paid and/or cumulated, and Fortress' share of subsidiary deemed dividends | (2,008) | (2,131) | ||||
| Net income (loss) attributable to common stockholders | $ | 108,365 | $ | (12,715) | ||
| Net income (loss) per common share attributable to common stockholders - basic | $ | 3.44 | $ | (0.48) | ||
| Net income (loss) per common share attributable to common stockholders - diluted | $ | 2.82 | $ | (0.48) | ||
| Weighted average common shares outstanding - basic | 31,540,595 | 26,450,218 | ||||
| Weighted average common shares outstanding - diluted | 38,412,716 | 26,450,218 |