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Emergent BioSolutions Reports Fourth Quarter and Full Year 2025 Financial Results
- Fourth Quarter 2025 Total Revenues of $148.7 million; Full Year 2025 Total Revenues of $742.9 million
- Fourth Quarter 2025 Net Loss of $54.6 million and Net Loss Margin of 37%
- Full Year 2025 Net Income of $52.6 million versus a Net Loss of $190.6 million in the prior year
- Full Year 2025 Net Income per diluted share of $0.93 versus a Net Loss per diluted share of $3.60 in the prior year
- Full Year 2025 Adjusted Net Income of $86.8 million versus an Adjusted Net Loss of $12.1 million in the prior year
- Full Year 2025 Adjusted Net Income per diluted share of $1.53 versus an Adjusted Net Loss per diluted share of $0.23 in the prior year
- Full Year 2025 Gross Margin % of 45% and Adjusted Gross Margin % of 54%, an expansion of 1,900 bps and 900 bps, respectively, versus prior year
- Full Year 2025 Adjusted EBITDA of $205.0 million, compares favorably to $183.1 million in 2024
GAITHERSBURG, Md., Feb. 26, 2026 (GLOBE NEWSWIRE) -- Emergent BioSolutions Inc. (NYSE: EBS) today reported financial results for the quarter and year ended December 31, 2025.
“Emergent’s 2025 results demonstrate significant progress executing our multi-year turnaround strategy, delivering improved operating margins, strong adjusted EBITDA of $205 million, increased cash flow and lower leverage,” said Joe Papa, president and CEO of Emergent. “In 2026 we look to expand penetration of international markets with our MCM biodefense business, maintain market leadership across the naloxone category and offer new innovative solutions, pursue organic and inorganic growth opportunities that align with our internal capabilities, and remain disciplined on operational efficiencies. We are committed to our mission to protect and save lives as we support patients and customers with our critical medical countermeasures and naloxone products. We do this while investing in future growth and aiming to continue to improve our balance sheet and return capital to shareholders. Our team remains focused on long-term sustainable value and achieving our vision of enabling several durable and profitable verticals in the Company over time.”
FINANCIAL HIGHLIGHTS(1)
Q4 2025 vs. Q4 2024
| ($ in millions, except per share amounts) | Q4 2025 | Q4 2024 | % Change | |||||
| Total Revenues | $ | 148.7 | $ | 194.7 | (24 | )% | ||
| Net Loss | $ | (54.6 | ) | $ | (31.3 | ) | (74 | )% |
| Net Loss per Diluted Share | $ | (1.04 | ) | $ | (0.58 | ) | (79 | )% |
| Adjusted Net Income (Loss)(2) | $ | (22.7 | ) | $ | 2.6 | (973 | )% | |
| Adjusted Net Income (Loss) per Diluted Share(2) | $ | (0.43 | ) | $ | 0.05 | (960 | )% | |
| Adjusted EBITDA(2) | $ | 11.2 | $ | 21.0 | (47 | )% | ||
| Net Loss Margin | (37 | )% | (16 | )% | ||||
| Adjusted EBITDA Margin(2) | 8 | % | 11 | % | ||||
| Gross Margin % | 30 | % | 29 | % | ||||
| Adjusted Gross Margin %(2) | 43 | % | 40 | % | ||||
Full Year 2025 vs. Full Year 2024
| ($ in millions, except per share amounts) | FY 2025 | FY 2024 | % Change | |||||
| Total Revenues | $ | 742.9 | $ | 1,043.6 | (29 | )% | ||
| Net Income (Loss) | $ | 52.6 | $ | (190.6 | ) | 128 | % | |
| Net Income (Loss) per Diluted Share | $ | 0.93 | $ | (3.60 | ) | 126 | % | |
| Adjusted Net Income (Loss)(2) | $ | 86.8 | $ | (12.1 | ) | 817 | % | |
| Adjusted Net Income (Loss) per Diluted Share(2) | $ | 1.53 | $ | (0.23 | ) | 765 | % | |
| Adjusted EBITDA(2) | $ | 205.0 | $ | 183.1 | 12 | % | ||
| Net Income (Loss) Margin | 7 | % | (18 | )% | ||||
| Adjusted EBITDA Margin(2) | 28 | % | 18 | % | ||||
| Gross Margin %(2) | 45 | % | 26 | % | ||||
| Adjusted Gross Margin %(2) | 54 | % | 45 | % | ||||
SELECT 2025 FULL YEAR BUSINESS UPDATES
- In 2025, the Board of Directors authorized the repurchase of up to $50.0 million of the Company’s common stock and repurchased $24.8 million of shares during the year
- A new plan was authorized by the Board of Directors for up to $50.0 million in repurchases from February 25, 2026 through March 31, 2027
- Made voluntary debt payment of $100.0 million toward Term Loan Principal
- Secured key contract awards, exercised options and product orders across Medical Countermeasures business totaling more than $450.0 million in revenue; highlights from 2025 include:
- $62.4 million contract award for BAT® [Botulism Antitoxin Heptavalent (A, B, C, D, E, F, G) – (Equine)]
- $56.0 million contract award for ACAM2000® (Smallpox and Mpox (Vaccinia) Vaccine, Live)
- $51.9 million contract award for CNJ-016® [Vaccinia Immune Globulin Intravenous (Human)] (VIGIV)
- $30.0 million contract award for CYFENDUS® (Anthrax Vaccine Adsorbed, Adjuvanted)
- $29.0 million in MCM product orders from international government partner
- Approximately $27.0 million in international orders targeted for delivery in 2025 associated with medical countermeasures ("MCM") portfolio
- $20.0 million exercised contract option and modification to supply BioThrax® (Anthrax Vaccine Adsorbed) to the U.S. Department of War
- $17.0 million contract award for Oral Suspension TEMBEXA® (brincidofovir)
- $16.7 million contract award to continue development collaboration with BARDA on Ebanga™ (ansuvimab-zykl) treatment for Ebola
- Maintained our market leadership position in the naloxone business and generated more than $226.0 million in revenue; highlights from 2025 include:
- Continued U.S. public interest, retail, business-to-business and Canada distribution
- A three-year agreement valued at approximately $65.0 million to supply the Ontario Ministry of Health with NARCAN® Nasal Spray
- Expansion of NARCANDirect® to offer KLOXXADO® (naloxone HCl) Nasal Spray and Convenience Kits
- Recognized multiple naloxone awareness days throughout the year, and applauded the over-the-counter availability of naloxone in U.S. House of Representatives buildings
- Earned $50.0 million in development milestone payments from Bavarian Nordic as part of the sale of the Travel Health Business
- Completed the sale of our Baltimore-Bayview facility for $36.5 million
- Gained exclusive commercial rights to KLOXXADO® (naloxone HCI) Nasal Spray in U.S. and Canada from Hikma Pharmaceuticals; Hikma received Health Canada approval for the product
- Announced investment agreement with Swiss Rockets Ltd and pursued strategic collaboration
- Announced Emergent’s addition to the Russell 3000® Index, which includes the Russell 2000, Russell 2000 Value and Russell Microcap Indices
- Progressed R&D strategy, pipeline and key organic and inorganic growth initiatives
FOURTH QUARTER 2025 FINANCIAL PERFORMANCE(1)
Revenues
The Company uses the following categories in discussing product/service level revenues:
- Naloxone — comprises contributions from NARCAN® Nasal Spray and KLOXXADO® Nasal Spray
- Anthrax MCM — comprises contributions from CYFENDUS®, BioThrax®, ANTHRASIL® and Raxibacumab
- Smallpox MCM — comprises contributions from ACAM2000®, CNJ-016® (VIGIV) and TEMBEXA®
- Other Products — comprises contributions from BAT® and RSDL®(3)
- All Other Revenues — comprises revenues from the Services operating segment and Contracts and grants revenues
| ($ in millions) | Q4 2025 | Q4 2024 | $ Change | % Change | |||||
| Product sales, net:(3) | |||||||||
| Naloxone | $ | 38.4 | $ | 65.1 | $ | (26.7 | ) | (41 | )% |
| Anthrax MCM | 53.4 | 32.5 | 20.9 | 64 | % | ||||
| Smallpox MCM | 35.5 | 76.5 | (41.0 | ) | (54 | )% | |||
| Other Products | 10.3 | 7.8 | 2.5 | 32 | % | ||||
| Total Product sales, net | $ | 137.6 | $ | 181.9 | $ | (44.3 | ) | (24 | )% |
| All other revenues | $ | 11.1 | $ | 12.8 | $ | (1.7 | ) | (13 | )% |
| Total revenues | $ | 148.7 | $ | 194.7 | $ | (46.0 | ) | (24 | )% |
Product Sales, net (4)
Naloxone
For Q4 2025, revenues from Naloxone products decreased $26.7 million, or 41%, as compared with Q4 2024. The decrease was primarily due to lower sales of OTC NARCAN® and lower Canadian sales of branded NARCAN®, driven primarily by increased competition due to generics impacting price and unit sales, partially offset by an increase in KLOXXADO® sales.
Anthrax MCM
For Q4 2025, revenues from Anthrax MCM products increased $20.9 million, or 64%, as compared with Q4 2024. The increase primarily reflects the impact of timing on U.S. government (the "USG") and foreign sales of BioThrax® and ANTHRASIL® (AIG), partially offset by a decrease in CYFENDUS® product sales. Anthrax vaccine product sales are primarily made under annual purchase options exercised by the USG. Fluctuations in revenues result from the timing of the exercise of annual purchase options, the timing of USG purchases, the availability of governmental funding and the Company’s delivery of orders that follow.
Smallpox MCM
For Q4 2025, revenues from Smallpox MCM products decreased $41.0 million, or 54%, as compared with Q4 2024. The decrease was primarily due to the impact of timing on USG sales of ACAM2000® and both USG and international sales of CNJ-016® (VIGIV), partially offset by an increase in USG sales of TEMBEXA®. Fluctuations in revenues result from the timing of the exercise of annual purchase options in existing procurement contracts, the timing of USG purchases, the availability of governmental funding and Company delivery of orders that follow.
Other Products
For Q4 2025, revenues from Other Product sales increased $2.5 million, or 32%, as compared with Q4 2024. The increase was primarily due to higher international BAT® sales, partially offset by a decrease in USG sales orders due to timing.
All Other Revenues
Services
For Q4 2025, revenues from Services decreased $1.2 million, or 16%, as compared with Q4 2024. The decrease was primarily due to lower production at the Company’s Winnipeg facility.
Contracts and Grants
For Q4 2025, revenues from contracts and grants decreased $0.5 million, or 9%, as compared with Q4 2024. The decrease was primarily attributable to the decline in overall funded research and development ("R&D") projects, partially offset by an increase in development work in connection with EbangaTM.
Operating Expenses
| ($ in millions) | Q4 2025 | Q4 2024 | $ Change | % Change | |||||
| Cost of product and services sales, net | $ | 84.9 | $ | 118.0 | $ | (33.1 | ) | (28 | )% |
| R&D | 12.1 | 9.1 | 3.0 | 33 | % | ||||
| Selling, general and administrative (“SG&A”) | 51.1 | 60.8 | (9.7 | ) | (16 | )% | |||
| Amortization of intangible assets | 16.3 | 16.3 | — | — | % | ||||
| Impairment of long-lived assets | 12.2 | — | 12.2 | NM | |||||
| Total operating expenses | $ | 176.6 | $ | 204.2 | $ | (27.6 | ) | (14 | )% |
| NM - Not Meaningful | |||||||||
Cost of Product and Services Sales, Net
For Q4 2025, cost of product and services sales, net decreased $33.1 million, or 28%, as compared with Q4 2024. The decrease was driven by decreases in cost of MCM Product sales of $23.1 million, cost of Commercial Product sales of $6.6 million and cost of Bioservices of $3.4 million.
R&D Expenses
For Q4 2025, R&D expenses increased $3.0 million, or 33%, as compared with Q4 2024. The increase was primarily driven by an increase in Ebanga™ related development work.
Selling, General and Administrative ("SG&A") Expenses
For Q4 2025, SG&A expenses decreased $9.7 million, or 16%, as compared with Q4 2024. The decrease was primarily due to lower marketing, professional services and legal expenses, combined with a decrease in compensation and other employee related expenses as a result of the restructuring initiatives that took place from January of 2023 through September 2025.
ADDITIONAL FINANCIAL INFORMATION(1)
Capital Expenditures
| ($ in millions) | Q4 2025 | Q4 2024 | % Change | |||||
| Capital expenditures | $ | 3.9 | $ | 1.7 | 129 | % | ||
| Capital expenditures as a % of total revenues | 3 | % | 1 | % | ||||
For Q4 2025, capital expenditures increased primarily due to increased development activities across the Company’s facilities.
REPORTABLE SEGMENT INFORMATION
The Company manages the business with a focus on three operating segments: (1) a Commercial Products segment consisting of NARCAN® Nasal Spray and KLOXXADO® Nasal Spray; (2) a MCM Products segment consisting of Anthrax - MCM, Smallpox - MCM and Other products and (3) a services segment consisting of our Bioservices offerings (“Services”). Commercial Products and MCM Products are our two reportable segments. In the first quarter of 2025, the Company’s determined that its Services operating segment no longer met the quantitative thresholds of a reportable segment and did not meet the aggregation criteria set forth in Accounting Standards Codification 280, Segment Reporting, and as such is categorized within “All other revenues” along with “Contracts and Grants.” The Company evaluates the performance of these reportable segments based on revenues and segment adjusted gross margin, which is a non-GAAP financial measure. Segment revenue includes external customer sales, but does not include inter-segment services. The Company does not allocate contracts and grants revenue, R&D, SG&A, amortization of intangible assets, interest and other income (expense) or taxes to its evaluation of the performance of these segments.
FOURTH QUARTER 2025 REPORTABLE SEGMENT RESULTS
| ($ in millions) | Commercial Products | ||||||||||
| Quarter Ended December 31, | |||||||||||
| 2025 | 2024 | $ Change | % Change | ||||||||
| Revenues | $ | 38.4 | $ | 65.1 | $ | (26.7 | ) | (41 | )% | ||
| Cost of sales | 26.6 | 33.2 | (6.6 | ) | (20 | )% | |||||
| Intangible asset amortization | 9.5 | 9.5 | — | — | % | ||||||
| Gross margin** | $ | 2.3 | $ | 22.4 | $ | (20.1 | ) | (90 | )% | ||
| Gross margin %** | 6 | % | 34 | % | |||||||
| Add back: | |||||||||||
| Intangible asset amortization | $ | 9.5 | $ | 9.5 | $ | — | — | % | |||
| Segment adjusted gross margin(2) |
By: GlobeNewswire
- 26 Feb 2026
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