DARZALEX royalties drive Genmab’s Q1 revenue higher amid expansion push
Investing.com -- Genmab reported a 25% year-on-year increase in first-quarter revenue for 2026, driven by strong royalty income from blockbuster cancer drug DARZALEX and multiple sclerosis treatment Kesimpta, as the Danish biotech company continued investing heavily in its late-stage oncology pipeline.
Revenue for the three months ended March 31 rose to $896 million from $715 million a year earlier, while royalty revenue climbed 26% to $742 million. The company said growth was primarily fueled by higher sales of DARZALEX, marketed by Johnson & Johnson, and Kesimpta, marketed by Novartis.
DARZALEX global sales increased 22% to nearly $4 billion during the quarter, generating $562 million in royalties for Genmab. Kesimpta royalties rose 29% to $116 million amid growing demand and wider patient access.
Despite the strong top-line performance, net profit fell sharply to $53 million from $195 million a year earlier. The decline reflected higher research and development spending, integration costs tied to the company’s acquisition of Merus in late 2025, and increased interest expenses from the debt used to finance the $5.5 billion transaction, the company said.
Genmab maintained its full-year 2026 guidance, forecasting revenue between $4.1 billion and $4.4 billion and operating profit between $900 million and $1.4 billion. The company expects continued growth from DARZALEX royalties and expanding sales of EPKINLY and Tivdak.
The company also highlighted progress across its oncology pipeline. Rina-S, an antibody-drug conjugate targeting folate receptor alpha cancers, is advancing through three Phase 3 trials, while petosemtamab, acquired through Merus, continues development in head and neck cancers with two active Phase 3 studies underway.
Genmab ended the quarter with $1.5 billion in cash and cash equivalents and approximately $5.2 billion in borrowings related to the Merus acquisition.