--- title: "Gyre Therapeutics | 10-Q: FY2026 Q1 Revenue Misses Estimate at USD 22.52 M" type: "News" locale: "en" url: "https://longbridge.com/en/news/285771934.md" datetime: "2026-05-08T20:25:08.000Z" locales: - [zh-CN](https://longbridge.com/zh-CN/news/285771934.md) - [en](https://longbridge.com/en/news/285771934.md) - [zh-HK](https://longbridge.com/zh-HK/news/285771934.md) --- # Gyre Therapeutics | 10-Q: FY2026 Q1 Revenue Misses Estimate at USD 22.52 M Revenue: As of FY2026 Q1, the actual value is USD 22.52 M, missing the estimate of USD 31.61 M. EPS: As of FY2026 Q1, the actual value is USD -0.1. EBIT: As of FY2026 Q1, the actual value is USD -9.355 M. #### Consolidated Financial Performance - **Revenues**: Increased by $0.4 million, or 2%, to $22.5 million in the three months ended March 31, 2026, from $22.1 million in the prior year . - **Total Operating Expenses**: Increased by $12.1 million, or 61%, to $31.9 million in 2026 from $19.8 million in 2025 . - **Loss from Operations**: Shifted to a loss of - $9.4 million in 2026 from an income of $2.3 million in 2025 . - **Net Loss**: Was - $9.9 million in 2026, compared to a net income of $3.7 million in the prior year . - **Net Loss Attributable to Common Stockholders**: Was - $8.7 million in 2026, compared to a net income of $2.7 million in the prior year . #### Segmented Revenue - **Gyre Pharmaceuticals**: Generated $22.5 million in revenue in 2026, an increase from $22.1 million in 2025 . - **Gyre**: Did not generate any revenue in either period . #### Product Revenue Composition - **ETUARYTM**: Contributed $21.0 million (93.1% of total) in 2026, a 3% decline from $21.7 million (98.4%) in 2025, primarily due to seasonal fluctuation . - **ContivaTM**: Generated $0.8 million (3.8%) in 2026, up from $0.3 million (1.3%) in 2025 . - **EtorelTM**: Generated $0.7 million (3.0%) in 2026, having been commercially launched in June 2025 . - **Other Products**: Accounted for $0.03 million (0.1%) in 2026, down from $0.07 million (0.3%) in 2025 . #### Segmented Operating Expenses - **Cost of Revenues**: Consolidated cost was $1.2 million in 2026, up from $0.9 million in 2025 (37% increase) . This increase was primarily driven by a $0.3 million rise in early production costs of EtorelTM and a $0.2 million increase in stock-based compensation, partially offset by a $0.2 million decrease in ETUARYTM cost of sales . Gyre Pharmaceuticals’ cost of revenues mirrored the consolidated figures . - **Selling and Marketing Expenses**: Consolidated expenses were $14.1 million in 2026, up from $10.8 million in 2025 (30% increase) . This increase was mainly due to a $2.9 million rise in promotion expenses for EtorelTM and ContivaTM, early-stage preparation for F351 commercial launch, and a $1.0 million increase in stock-based compensation . Gyre Pharmaceuticals’ selling and marketing expenses matched the consolidated figures . - **Research and Development Expenses**: Consolidated R&D expenses were $6.7 million in 2026, a 118% increase from $3.1 million in 2025 . Gyre Pharmaceuticals’ R&D expenses were $5.5 million in 2026, up from $3.0 million in 2025 . Gyre’s R&D expenses were $1.3 million in 2026, up from $0.1 million in 2025 . The increase was mainly from Gyre Pharmaceuticals due to a $2.0 million increase in clinical research expenses for the Phase 3c clinical trial for Hydronidone and a $0.5 million increase in materials and utilities, along with a $1.1 million increase from Gyre Therapeutics, Inc.’s pre-clinical activities . - **General and Administrative Expenses**: Consolidated G&A expenses were $7.2 million in 2026, up from $5.0 million in 2025 (46% increase) . Gyre Pharmaceuticals’ G&A expenses were $4.8 million in 2026, up from $3.6 million in 2025 . Gyre’s G&A expenses were $2.5 million in 2026, up from $1.4 million in 2025 . This increase was primarily due to a $0.8 million increase in stock-based compensation costs, a $0.9 million increase in staff costs, and a $0.6 million increase in miscellaneous expenses . - **Transaction Costs**: Gyre Therapeutics, Inc. incurred $2.6 million in transaction costs in 2026 related to the acquisition of Cullgen . #### Other Financial Metrics - **Change in Fair Value of Warrant Liability**: Decreased by - $2.2 million, or -96%, to $0.09 million in 2026 from $2.3 million in 2025 . - **Other Income, Net**: Decreased by - $0.1 million, or -73%, to $0.03 million in 2026 from $0.1 million in 2025 . - **Provision for Income Taxes**: Decreased to $0.6 million in 2026 from $0.9 million in 2025 . #### Cash Flow - **Net Cash Provided by Operating Activities**: $3.2 million in 2026, compared to - $0.1 million used in 2025 . - **Net Cash Used in Investing Activities**: - $3.1 million in 2026, compared to $2.0 million provided in 2025 . - **Net Cash Provided by Financing Activities**: $0.02 million in 2026, compared to $1.3 million in 2025 . - **Cash and Cash Equivalents**: Totaled $37.5 million as of March 31, 2026, compared to $37.1 million as of December 31, 2025 . - **Short-term bank deposits**: Were $12.3 million as of March 31, 2026, down from $15.4 million as of December 31, 2025 . - **Long-term certificates of deposit**: Were $29.4 million as of March 31, 2026, up from $23.5 million as of December 31, 2025 . #### Strategic Summary and Outlook Gyre Therapeutics, Inc. is advancing its product pipeline, with EtorelTM selected for the National Centralized Drug Procurement Program in the PRC, commencing implementation in March 2026 . The New Drug Application for Hydronidone for CHB-associated liver fibrosis in the PRC was submitted and granted priority review in March 2026, while a Phase 3c confirmatory clinical trial is underway in the PRC and an IND filing in the US is planned for 2026 to initiate a Phase 2 clinical trial for MASH-associated liver fibrosis . The company acquired Cullgen Inc. in May 2026 to leverage its capabilities for development and early-stage clinical trials in the PRC . Management believes existing cash, cash flows from operations, and access to capital markets will be sufficient for at least the next 12 months, though additional capital may be needed for the Hydronidone Phase 2 trial in MASH-associated liver fibrosis and non-recurring Cullgen acquisition costs . As of March 31, 2026, the company committed $64.1 million for future R&D activities and $1.5 million for property and equipment purchases within one year . ### Related Stocks - [GYRE.US](https://longbridge.com/en/quote/GYRE.US.md) ## Related News & Research - [Gyre COO Ye Weiguo sells USD 59,833 Gyre Therapeutics shares](https://longbridge.com/en/news/287111332.md) - [Gyre Therapeutics Q1 revenue rises 2% but misses analyst estimates](https://longbridge.com/en/news/285527827.md) - [Atrium Therapeutics Reports First Quarter 2026 Financial Results | RNA Stock News](https://longbridge.com/en/news/286465472.md) - [Pelthos Therapeutics GAAP EPS of -$3.09, revenue of $10.7M](https://longbridge.com/en/news/286430906.md) - [BrainStorm Cell Therapeutics Announces First Quarter 2026 Financial Results and Provides Corporate Update | BCLI Stock News](https://longbridge.com/en/news/286606968.md)