10-K · February 23, 2026
Tarsus positions itself as a commercial-stage ophthalmology-focused biopharma whose launch product XDEMVY has rapidly scaled since launch in August 2023. The company reports sustained high gross margins (~93%),…
Earnings analysis · 10-Q
TARS earnings analysis
Filed May 6, 2026 · Our reading of the company's report
The latest report
Tarsus Pharmaceuticals reported strong Q1 2026 results with revenues reaching $162.1M, significantly above analyst expectations of $149.8M. The net loss improved to -$6.97M from -$25.12M year-over-year, indicating…
Read full summary
Tarsus Pharmaceuticals reported strong Q1 2026 results with revenues reaching $162.1M, significantly above analyst expectations of $149.8M. The net loss improved to -$6.97M from -$25.12M year-over-year, indicating reduced operating expenses despite the increase in revenues. The company emphasized the robust sales performance of XDEMVY, demonstrating over 85% growth year-over-year, while reaffirming its 2026 revenue guidance for net sales between $670M and $700M.
Gross and operating margin
How much of each revenue dollar the business keeps.
One point per quarterly or annual filing. Both margins are shares of that report's revenue.
From revenue to operating profit
Where each $100 of revenue went in this report.
Cost of sales, operating expenses, and what remained. Figures are rounded to whole dollars.
How we read each report
Our analysis across the last few reports.
Our model's reading of each filing, not the share price or the market's reaction. Annual and quarterly reports each occupy one position.
Reported figures
- Earnings per share
- $-0.16
What stood out
-
Q1 Revenue Growth Exceeds Expectations
Revenue was reported at $162.1 million, beating estimates of $149.8 million.
-
Improved EPS Performance
Diluted EPS came in at -$0.16, better than the -$0.39 expected by analysts.
-
Strong Year-over-Year Sales Increase
XDEMVY sales reached $145.4 million, marking over an 85% increase from the prior year.
-
Positive Guidance for 2026
Management reaffirmed XDEMVY net product sales guidance of $670M to $700M.
-
Reduced Net Loss
Net loss for the quarter was -$6.97 million, a significant improvement from -$25.12 million the prior year.
-
Effective Cost Management
Despite increased revenue, total operating expenses increased modestly, highlighting effective cost control.
What to watch
-
High SG&A Expenses
Selling, general, and administrative expenses soared to $136.4 million from $85.0 million year-over-year.
-
Increase in R&D Spending
Research and development expenses jumped by $7.9 million, indicating a potential strain on future profits.
-
Dependence on Third-Party Manufacturers
Reliance on single suppliers for critical components of XDEMVY raises manufacturing risk.
Management's outlook
Management reaffirmed full-year 2026 revenue guidance for XDEMVY net product sales.
Earlier filings 4
10-Q · May 1, 2025
Tarsus reported Q1 revenue of $78.335M (product sales $78.335M) versus $27.614M year-ago, a large y/y increase of $50.721M. Gross margin remained strong at ~93.4% and operating loss narrowed to -33.6% of revenue, but…
10-K · February 25, 2025
Tarsus is a commercial-stage biopharma focused on eye care that launched XDEMVY (lotilaner ophthalmic solution) after FDA approval in July 2023 and commercial launch in August 2023. The company shows rapid revenue…
10-Q · November 9, 2023
Tarsus reported Q3 revenue of $1,871,000 (product sales $1,653,000) following FDA approval and commercial launch of XDEMVY on August 24, 2023. Net loss widened to $39,148,000 (EPS $(1.28)) vs. $(22,511,000) (EPS…
This is our reading of a public filing, not the filing itself. Analysis can contain errors; check the source document for full context.