Exelixis, Inc.

For Q2 2026, Exelixis reported total revenues of approximately $629 million. Cabozantinib franchise net product revenues were $573 million, including CABOMETYX net product revenues of $571 million and approximately $2.7 million in clinical trial sales; the cabozantinib franchise gross-to-net was 29.5%. Total revenues also included approximately $53 million in royalties from Ipsen and Takeda. GAAP net income was approximately $212 million, or $0.85 per share basic and $0.82 diluted; non-GAAP net income was approximately $237 million, or $0.95 per share basic and $0.91 fully diluted. Operating expenses were approximately $380 million, cash and marketable securities were approximately $1.4 billion, and the company repurchased approximately $312 million of stock in the quarter. For full-year 2026, management lowered and narrowed total revenue and net product revenue guidance, reducing the midpoint by $50 million, and reduced R&D expense guidance by $50 million at the midpoint. Full-year cabozantinib gross-to-net is now expected to be between 30% and 31%.

Michael Morrissey said Exelixis is executing across the business and moving into what he called the early innings of its next growth phase. He emphasized the strategy of evolving from a single-compound company toward a multi-franchise oncology business, with zanzalintinib positioned as the next potential franchise molecule and the CRC filing as the first major step. His tone was confident and forward-looking, but he acknowledged that 2026 revenue growth is slightly slower because the NET indication is ramping more gradually than initially expected.

Chris Senner focused on the quarter’s financial performance and balance sheet strength. He highlighted approximately $629 million in total revenue, $573 million in cabozantinib franchise product revenue, 29.5% gross-to-net, $380 million of operating expenses, and $1.4 billion of cash and marketable securities. He also detailed capital return activity, noting $312 million of share repurchases and about $598 million remaining under the board-authorized buyback plan. On guidance, he said full-year revenue was cut and narrowed, while R&D guidance was lowered by $50 million at the midpoint.

Analysts focused on timing and readout prospects for STELLAR-304, the impact of the LITESPARK-022 adjuvant RCC combination on the first-line post-adjuvant population, whether the NET ramp is being affected by STELLAR-311 enrollment, and what could matter most commercially in the CRC label. Management said STELLAR-304 is still expected to reach the planned number of events in the second half of 2026, but would not speculate on exact timing for data or meeting presentation. On NET, management acknowledged a small potential diversion of patients into the study but said the main issue is slower patient kinetics in an indolent tumor type; on CRC, they avoided label speculation because the review is ongoing. Analysts also pressed on ANDA/505(b)(2) issues and zanzalintinib partnering, and management said it is focused on patient safety, IP rights, and evaluating ex-U.S. options.