Royalty Pharma plc (RPRX) reported weaker results for the third quarter ended September 30, 2025, as higher operating expenses and increased provisions weighed on profitability, despite a modest rise in revenue.
Net income attributable to Royalty Pharma shareholders fell to $288 million, down from $544 million in the same quarter last year.
Operating income declined to $427 million, compared with $735 million a year earlier, as total operating expenses increased to $182 million , from an operating income of $170 million in the prior-year quarter. The company recorded a $12 million provision for changes in expected cash flows from financial royalty assets compared with $228 million gain last year.
Adjusted EBITDA increased 15% year-on-year to $779 million.
Total revenue edged up to $609 million, from $565 million a year earlier, supported by higher income from financial royalty assets, which rose to $579 million from $533 million.
Royalty Receipts grew 11% to $811 million in the third quarter, primarily driven by Voranigo, Tremfya and the cystic fibrosis franchise. Portfolio Receipts increased by 11% to $814 million.
For the full year, the company now expects Portfolio Receipts to be between $3.2 billion and $3.25 billion, up from the previous outlook of $3.05 billion - $3.15 billion, representing expected growth of 14% to 16%.
For comments and feedback contact: editorial@rttnews.com
Business News
May 22, 2026 14:46 ET Minutes of the latest Fed policy session was the highlight of the week along with survey data on the U.S. housing market. In Europe, survey data signaled the trends in the euro area private sector. Further, consumer price inflation data from the U.K. was in focus. In Asia, various economic indicators from China drew attention to the health of the economy.