Journey Medical (NASDAQ:DERM) Announces Quarterly Earnings Results

Journey Medical (NASDAQ:DERM) issued its quarterly earnings results on Wednesday. The company reported ($0.01) earnings per share for the quarter, topping the consensus estimate of ($0.05) by $0.04, FiscalAI reports. The company had revenue of $18.51 million for the quarter, compared to analysts’ expectations of $18.36 million. Journey Medical had a negative return on equity of 35.57% and a negative net margin of 14.82%.

Here are the key takeaways from Journey Medical’s conference call:

• Q2 revenue increased 23% year over year to $18.5 million, driven by EMROSI net revenue of $8.1 million. GAAP net loss narrowed to $0.3 million, while EBITDA and adjusted EBITDA were positive.
• EMROSI momentum accelerated, with approximately 36,000 prescriptions in Q2, up 20% sequentially, and more than 4,500 dermatology prescribers versus about 3,200 at year-end 2025. June new prescriptions reached a monthly record of over 5,300.
• Payer access continued to improve, with high-quality commercial formulary coverage rising from 34% to approximately 38% of covered lives. Management expects the addition of a major national health plan and further reimbursement gains to support higher ASPs in the second half.
• QBREXZA revenue was somewhat light in the quarter, which management attributed to patient and payer mix and lingering insurance deductible resets, although prescription demand strengthened in June and July. SG&A is also expected to rise somewhat in the second half due to planned marketing and advertising programs.
• Journey launched the niche dermatology product Eurax Cream in July and placed it third in its sales-force promotion priority behind EMROSI and QBREXZA. The company is also pursuing international out-licensing opportunities and potential in-licensing deals, but provided no specific financial guidance or timing.

Journey Medical Stock Performance

NASDAQ:DERM traded up $0.11 during mid-day trading on Wednesday, reaching $6.43. The company’s stock had a trading volume of 261,924 shares, compared to its average volume of 222,538. Journey Medical has a 12-month low of $4.31 and a 12-month high of $9.56. The firm’s fifty day moving average price is $6.58 and its two-hundred day moving average price is $6.64. The company has a current ratio of 1.72, a quick ratio of 1.47 and a debt-to-equity ratio of 0.74. The stock has a market cap of $177.05 million, a P/E ratio of -17.38 and a beta of 1.08.

Institutional Trading of Journey Medical

A number of institutional investors have recently made changes to their positions in the stock. J. Goldman & Co LP purchased a new stake in Journey Medical in the fourth quarter worth approximately $6,155,000. Millennium Management LLC purchased a new stake in Journey Medical during the 4th quarter valued at $3,530,000. Ikarian Capital LLC purchased a new stake in Journey Medical during the 4th quarter valued at $1,939,000. Wasatch Advisors LP lifted its holdings in shares of Journey Medical by 23.8% during the 2nd quarter. Wasatch Advisors LP now owns 1,152,059 shares of the company’s stock valued at $8,272,000 after buying an additional 221,456 shares during the period. Finally, Geode Capital Management LLC boosted its stake in shares of Journey Medical by 130.7% in the 2nd quarter. Geode Capital Management LLC now owns 262,353 shares of the company’s stock worth $1,884,000 after buying an additional 148,612 shares during the last quarter. Hedge funds and other institutional investors own 7.25% of the company’s stock.

Analyst Upgrades and Downgrades

A number of equities research analysts have recently commented on DERM shares. Weiss Ratings reiterated a “sell (d-)” rating on shares of Journey Medical in a report on Friday, July 17th. Wall Street Zen upgraded shares of Journey Medical from a “hold” rating to a “buy” rating in a report on Saturday, June 13th. Two investment analysts have rated the stock with a Buy rating, one has assigned a Hold rating and one has given a Sell rating to the company’s stock. According to MarketBeat, the company currently has an average rating of “Hold” and a consensus price target of $13.00.

About Journey Medical

Journey Medical Corp, headquartered in Fairfield, New Jersey, is a commercial dermatology company focused on acquiring, developing and marketing prescription dermatology products in the United States. Since its incorporation in 2019, the company has built a portfolio of both branded and generic topical therapies designed to address a range of skin conditions, including acne, atopic dermatitis, fungal infections and inflammatory lesions.

The company’s product lineup features antibiotic/anti-inflammatory combinations and corticosteroid-based formulations delivered through proprietary gel, cream and foam vehicles.