Geron Corporation Q2 FY2026 earnings call

• Commercial Performance & Strategy: Jaron delivered its third consecutive quarter of Rytello demand growth, with 5% QoQ demand growth in Q2 2026 and an 8% increase in prescribing accounts, expanding total prescribing footprint to ~1,575 accounts since launch. 34% of 12-month rolling patient starts are in first- and second-line settings, up from prior periods, reflecting progress in identifying appropriate patients earlier in treatment. The company estimates ~8,000 eligible second-line low-risk MDS patients in the U.S., and the current commercial strategy prioritizes high-volume community treatment centers, earlier patient identification, strengthened account management, and targeted omni-channel provider engagement. Rytello benefits from a broad approved label, NCCN guideline inclusion, and growing real-world and clinical trial evidence supporting its use. Jaron is exploring gated European commercialization strategies for Rytello that preserve pricing integrity, with full plans expected to be announced before the end of 2026. The company recently appointed a new Chief Business Officer to support strategic growth and business development. As of quarter-end, Jaron held $327 million in cash, cash equivalents, restricted cash, and marketable securities, supporting a strong balance sheet with flexibility for continued investment and opportunistic innovation. Total operating expenses decreased 4% YoY in the first half of 2026 even as net revenue grew 24%, reflecting continued financial discipline after a 2025 workforce reduction. The 2025 workforce reduction lowered ongoing headcount-related costs, partially offsetting increased investments in Rytello commercialization and R&D. Clinical & Scientific Development: Jaron presented the first real-world evidence study of Rytello in low-risk MDS at EHA 2026, with findings consistent with Phase III iMERGE trial results and validating Rytello's safety and efficacy profile in a broader real-world patient population. The study also found trends toward improved responses and cytopenia management when Rytello is used within the first three lines of therapy. Jaron is seeing growing collaboration interest from leading academic centers for investigator-sponsored studies and additional real-world evidence initiatives. For the Phase III IMPACT-MS (IMPACT-MF) trial of imetelstat in relapsed refractory myelofibrosis, enrollment completed one year ago, and the company has proactively engaged with regulatory authorities to evaluate a potential modification to the interim analysis event threshold to support potential registration if the Data Monitoring Committee (DMC) recommends unblinding for positive efficacy. Projected timelines for the trial remain unchanged, with a base case of final overall survival analysis in the second half of 2028; an early positive outcome at interim analysis would represent an upside scenario. Updated overall survival data from the Phase II EMBARQ imetelstat trial continues to support the use of overall survival as the appropriate primary endpoint for the Phase III trial. Additional data updates are expected at upcoming scientific conferences including SOHO and ASH later in 2026.

Jaron Corporation operates a single core commercial product segment focused on Rytello for lower-risk myelodysplastic syndrome (MDS), alongside an early clinical development segment for imetelstat in relapsed refractory myelofibrosis. Rytello generated net revenue of $57.5 million in Q2 2026, representing 17% year-over-year (YoY) growth and 11% quarter-over-quarter (QoQ) growth. Year-to-date (first half 2026) Rytello net revenue grew 24% YoY compared to the same period in 2025. Rytello accounted for 100% of Jaron's net product revenue in the quarter. Total operating expenses (excluding cost of goods sold) were $60.7 million in Q2 2026, up slightly from $60.3 million in Q2 2025: research and development (R&D) expenses were $22 million (vs. $21.7 million YoY), and selling, general and administrative (SG&A) expenses were $38.9 million (vs. $38.6 million YoY).

• Jaron now expects full-year 2026 Rytello net product revenue to land at the mid to high end of the existing guided range of $220 million to $240 million, reflecting stronger than expected first half performance and consistent quarter-over-quarter growth. Total 2026 operating expense guidance is maintained at $230 million to $240 million, reflecting planned investments to accelerate Rytello growth paired with continued cost discipline. Gross-to-net deductions are projected to remain in the low to mid-20% range for the remainder of 2026, consistent with prior guidance. G&A spending is expected to remain flat for the full year 2026, while the company continues to invest in Rytello commercialization and R&D (including CMC development).

• Forward-looking statements regarding Rytello commercialization, clinical trial timelines and outcomes, regulatory approval, and European expansion are subject to inherent uncertainties that could cause actual results to differ materially from projections. The planned modification to the IMPACT-MF interim analysis threshold is still under evaluation with regulators, and changes to projected timelines could occur. Pricing and regulatory frameworks for European pharmaceutical launches, particularly related to MFN (most-favored nation) pricing rules, are still evolving, creating uncertainty around optimal commercialization strategy. Revenue growth depends on continued adoption of Rytello by healthcare providers, which may not proceed at the expected rate. There is no guarantee that the interim analysis of IMPACT-MF will meet efficacy thresholds for early unblinding or regulatory approval, even if the threshold is modified.

Q: An analyst asked whether historical seasonality will impact second half 2026 performance, and if Jaron's ongoing commercial efforts will offset any expected seasonal effects. / A: Management noted the strong Q2 2026 performance (17% YoY, 11% QoQ net revenue growth) and stated that teams have planned for potential seasonal impacts. They do not expect significant unexpected spikes or drops in gross-to-net deductions, which are projected to hold in the low to mid-20s. Management confirmed expectations for consistent quarter-over-quarter growth and end the year at the higher end of the existing revenue guidance range.

Q: An analyst asked whether Rytello growth is driven by new prescribing accounts or increased reorders from existing accounts, and if earlier treatment initiation is improving patient therapy persistence. / A: Management confirmed growth is coming from both new accounts and deeper penetration of existing accounts. They noted growth is now predominantly driven by high-volume community treatment centers, which will be the primary source of future expansion. They added that depth of penetration (existing account demand) will become a larger growth driver in the second half of 2026, and the company does not yet have enough long-term data to measure changes in therapy persistence.

Q: An analyst asked whether Jaron is considering modifying the final overall survival (OS) analysis threshold for the Phase III IMPACT-MF trial, in addition to the planned interim analysis threshold modification. / A: Management explained discussions with regulators are focused exclusively on the interim analysis threshold, to align with evolving regulatory standards and changes in standard of care since trial initiation in the early 2020s. The primary endpoint, planned threshold, and timing for the final OS analysis remain unchanged, and the company's base case continues to project final analysis in the second half of 2028.

Q: An analyst asked if Jaron's European commercial strategy considerations, including concerns around MFN pricing rules, leave the door open for a potential partnership to launch Rytello in the EU. / A: Management confirmed the EU has a similarly sized eligible patient population to the U.S. (thousands of patients) and Jaron is committed to bringing Rytello to EU patients. They noted MFN pricing rules in the EU are still evolving alongside new market access models, and Jaron is monitoring these changes closely. All options, including a potential launch partnership, remain on the table, and Jaron will announce its finalized European strategy before the end of 2026.