$MDGL · MADRIGAL PHARMACEUTICALS, INC.
Madrigal Pharmaceuticals filed its Q3 FY2026 10-Q, reporting its first-ever profitable quarter with net income of $55.4M ($1.83 diluted EPS) on Rezdiffra product revenue of $431.3M, up 50% YoY. R&D expenses fell 59% to $71.8M as clinical trial costs declined. For the nine months, revenue reached $1.11B (+74% YoY) though the company recorded a net loss of $96.9M. Cash and marketable securities stood at $961.0M against $341.3M in loan payable.
- Q3 product revenue $431.3M, +50% YoY from $287.3M, driven by increased Rezdiffra demand.
- Q3 net income of $55.4M ($1.83 diluted EPS) vs. net loss of $114.2M in Q3 2025 — first profitable quarter.
- R&D expenses dropped 59% YoY to $71.8M from $174.0M, reflecting clinical trial cost reductions.
- Nine-month revenue reached $1.11B (+74% YoY), though nine-month net loss was $96.9M.
- Cash and marketable securities totaled $961.0M at September 30, 2026, with $341.3M in loan payable.
Stock up +10.33% to $475.69 in regular session, reflecting strong positive reaction to Madrigal's first-ever profitable quarter and 50% Rezdiffra revenue growth. The $10.99B market cap suggests investors are pricing in continued commercial ramp.
Madrigal's first profitable quarter validates the commercial viability of the only FDA-approved MASH drug, with Rezdiffra revenue accelerating 50% YoY to a $1.7B+ annualized run rate.
Madrigal's Rezdiffra remains the only FDA-approved therapy for MASH with F2-F3 fibrosis, giving it first-mover advantage in a large, underserved market. The swing to profitability in Q3 validates the commercial thesis for the MASH category.
Rezdiffra is Madrigal's only approved product — any setback in commercialization, reimbursement, or the ongoing outcomes trials would materially impact the entire business. A $10.4M inventory write-down for work-in-process that failed quality specs signals manufacturing risk.