Fortress Biotech reported third‑quarter 2025 results on November 14, 2025, with net revenue of $17.6 million—an increase of 20.5% from the $14.6 million reported in Q3 2024. The company’s diluted earnings per share of $0.11 surpassed the consensus estimate of –$0.32, delivering a $0.43 beat that reflects strong commercial traction from its new dermatology product Emrosi and disciplined cost management.
Revenue growth was driven primarily by Journey Medical’s Emrosi, which generated $4.9 million in net sales and contributed $17.0 million to the company’s total product revenue. The sale of Checkpoint Therapeutics to Sun Pharmaceutical on May 30, 2025 brought $28 million in upfront cash and positioned Fortress to receive up to $4.8 million in contingent value rights and a 2.5% royalty on future sales of UNLOXCYT, adding a new revenue stream. In addition, Crystalys Therapeutics secured a $205 million Series A financing for its dotinurad program, reinforcing the pipeline’s financial backing.
Fortress’s gross margin for the quarter was 67.4%, slightly lower than the 69.4% margin reported in Q3 2024. The compression is attributed to a shift in product mix toward higher‑volume, lower‑margin items, but the company offset this with a $15.7 million gain from other income, resulting in a GAAP net loss of $2.3 million versus a $2.4 million loss in the prior year. Non‑GAAP net income reached $8.8 million, underscoring the impact of one‑time gains.
CEO Lindsay A. Rosenwald said the Checkpoint divestiture “demonstrates how we continue to strengthen our balance sheet through opportunistic transactions that generate shareholder value” and highlighted the company’s confidence in advancing its pipeline assets. He added that the new financing for dotinurad “underscores the market’s confidence in the drug’s best‑in‑class potential for safety and efficacy.”
No new guidance was disclosed for the upcoming quarter or fiscal year, leaving investors to interpret the earnings beat and margin dynamics as indicators of short‑term operational strength and a solid foundation for future growth.
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