Financial Analysis

Note 17. Commitments and Contingencies Commitments In August 2021, we entered into a revolving credit and guaranty agreement, which was subsequently amended in May 2023 and June 2024 (as amended, the Credit Agreement), among the Incyte Corporation, as borrower, subsidiary Incyte Holdings Corporation, as a guarantor, a group of lenders (the Lenders), and J.P. Morgan Chase Bank, N.A. as administrative agent. Under the Credit Agreement, the Lenders have committed to provide an unsecured revolving credit facility in an aggregate principal amount of up to $500.0 million. The June 2024 amendment to the Credit Agreement extended the maturity date of the revolving credit facility from August 2024 to June 2027. We may increase the maximum revolving commitments or add one or more incremental term loan facilities to the Credit Agreement, subject to obtaining commitments from any participating lenders and certain other conditions, in an amount not to exceed (1) $250.0 million plus (2) an additional amount, so long as after giving effect to the incurrence of such additional amount, our pro forma consolidated leverage ratio would not exceed 0.25:1.00 above its consolidated leverage ratio in effect immediately prior to giving effect to such increase. Loans under the Credit Agreement will bear interest, at our option, at a per annum rate equal to either (a) a base rate (but not less than 1.00%) plus an applicable rate per annum varying from 0.125% to 0.875% depending on the consolidated leve …

CommitmentsAndContingenciesDisclosureTextBlock · excerpt; the full note is in the filing

As discussed in Note 1, revenues are recognized under guidance within ASC 606. The following table presents our disaggregated revenues for the periods presented (in thousands): For the Years Ended, December 31, 2025 2024 2023 JAKAFI revenues, net $ 3,092,515 $ 2,792,107 $ 2,593,732 OPZELURA revenues, net 678,455 508,293 337,864 ICLUSIG revenues, net 134,071 114,319 111,623 MINJUVI/MONJUVI revenues, net 144,578 119,236 37,057 PEMAZYRE revenues, net 86,727 81,748 83,642 NIKTIMVO revenues, net 151,636 ZYNYZ revenues, net 66,351 3,185 1,250 Total product revenues, net 4,354,333 3,618,888 3,165,168 JAKAVI product royalty revenues 457,729 418,840 367,583 OLUMIANT product royalty revenues 144,600 135,572 136,138 TABRECTA product royalty revenues 26,702 22,746 17,793 Other product royalty revenues 7,878 2,171 1,967 Total product royalty revenues 636,909 579,329 523,481 Milestone and contract revenues 150,000 43,000 7,000 Total revenues $ 5,141,242 $ 4,241,217 $ 3,695,649 …

DisaggregationOfRevenueTableTextBlock · excerpt; the full note is in the filing

Note 12. Stock Compensation We recorded $249.3 million, $266.1 million and $215.9 million, respectively, of stock compensation expense for the years ended December 31, 2025, 2024 and 2023. Stock compensation expense within the consolidated statements of operations included research and development expense for the years ended December 31, 2025, 2024 and 2023 of $150.2 million, $161.3 million and $126.7 million, respectively. Stock compensation expense within the consolidated statements of operations also included selling, general and administrative expense for the years ended December 31, 2025, 2024 and 2023 of $95.6 million, $102.5 million and $86.1 million, respectively. Stock compensation expense within the consolidated statements of operations also included cost of product revenues for the years ended December 31, 2025, 2024 and 2023 of $3.5 million, $2.3 million and $3.1 million, respectively. Additionally, as described in Note 5, as part of the Escient acquisition, during the year ended December 31, 2024, we recognized on our consolidated statements of operations related compensation expense of approximately $31.5 million associated with the accelerated vesting for certain Escient stock awards in connection with the acquisition. We utilized the Black-Scholes valuation model for estimating the fair value of the stock options granted, with the following weighted-average assumptions: Employee Stock Options For the year ended December 31, Employee Stock Purchase Plan For the …

DisclosureOfCompensationRelatedCostsShareBasedPaymentsTextBlock · excerpt; the full note is in the filing

Note 3. Fair Value of Financial Instruments The following is a summary of our marketable security portfolio for the periods presented (in thousands): Amortized Cost Unrealized Gains Unrealized (Losses) Estimated Fair Value December 31, 2025 Debt securities (government) $ 480,793 $ 2,028 $ (34) $ 482,787 December 31, 2024 Debt securities (government) $ 469,917 $ 971 $ (625) $ 470,263 The table below summarizes the contractual maturities of our available-for-sale debt securities as of December 31, 2025 (in thousands): Total Less than 1 Year 1-5 Years Fair value of debt securities (government) $ 482,787 $ 189,298 $ 293,489 Debt security assets were assessed for risk of expected credit losses per our accounting policy as described in Note 1. As of December 31, 2025 and 2024, the available-for-sale debt securities were held in U.S.-government backed securities and in Treasury bonds and were assessed on an individual security basis to have a de minimis risk of credit loss. Fair Value Measurements FASB accounting guidance defines fair value as the price that would be received to sell an asset or paid to transfer a liability (the exit price) in an orderly transaction between market participants at the measurement date. The standard outlines a valuation framework and creates a fair value hierarchy in order to increase the consistency and comparability of fair value measurements and the related disclosures. In determining fair value, we use quoted prices and observable inputs. Observab …

FairValueDisclosuresTextBlock · excerpt; the full note is in the filing

Note 9. Intangible Assets and Goodwill Intangible Assets, Net The components of intangible assets were as follows (in thousands, except for useful life): Balance at December 31, 2025 Balance at December 31, 2024 Weighted- Average Useful Lives (Years) Gross Carrying Amount Accumulated Amortization Net Carrying Amount Gross Carrying Amount Accumulated Amortization Net Carrying Amount Finite-lived intangible assets: Licensed IP 12.5 $ 271,000 $ 206,391 $ 64,609 $ 271,000 $ 184,854 $ 86,146 Capitalized milestone payments 9.9 $ 59,500 $ 6,978 $ 52,522 $ 29,500 $ 2,820 $ 26,680 Other 2.0 $ 1,400 $ 1,400 $ $ 1,400 $ 423 $ 977 Amortization expense for the years ended December 31, 2025, 2024 and 2023, was $26.7 million, $23.6 million, and $22.5 million, respectively. Estimated aggregate amortization expense based on the current carrying value of amortizable intangible assets will be as follows for the years ending December 31 (in thousands): 2026 2027 2028 2029 2030 Thereafter Amortization expense $ 27,870 $ 27,870 $ 27,870 $ 6,333 $ 6,333 $ 20,855 Goodwill There were no material changes to the carrying amount of goodwill for the years ended December 31, 2025 and 2024. …

GoodwillAndIntangibleAssetsDisclosureTextBlock · excerpt; the full note is in the filing

Note 14. Income Taxes We are subject to U.S. federal, state and foreign corporate income taxes. The provision for income taxes is based on income before provision for income taxes as follows (in thousands): Year Ended December 31, 2025 2024 2023 U.S. $ 1,571,743 $ 401,760 $ 1,084,254 Non-U.S. 92,708 (85,130) (250,039) Income before provision for income taxes $ 1,664,451 $ 316,630 $ 834,215 Our provision for income taxes consists of the following (in thousands): Year Ended December 31, 2025 2024 2023 Current: Federal $ 80,508 $ 322,682 $ 344,407 State 42,998 43,955 48,106 Foreign 6,610 2,931 3,001 130,116 369,568 395,514 Deferred: Federal 240,361 (106,549) (139,468) State 7,072 21,824 (19,625) Foreign 252 (828) 195 247,685 (85,553) (158,898) Total provision for income taxes $ 377,801 $ 284,015 $ 236,616 Income taxes paid, net of (refunds) received, consisted of the following for the year ended December 31, 2025 (in thousands): Year Ended December 31, 2025 Federal $ 178,100 State Kentucky 20,798 Tennessee (10,836) All other states 19,345 Foreign 4,771 Total income taxes paid $ 212,178 Income taxes paid prior to the adoption of ASU 2023-09 for the years ended December 31, 2024 and 2023 were $373.1 million and $378.2 million respectively. A reconciliation of income taxes at the U.S. federal statutory rate to the provision for income taxes is as follows (in thousands): Year Ended December 31, 2025 $ % U.S. federal statutory rate $ 349,535 21.0 % State and local income taxes, net o …

IncomeTaxDisclosureTextBlock · excerpt; the full note is in the filing

Recent Accounting Pronouncements In December 2023, the Financial Accounting Standards Board (FASB) issued ASU No. 2023-09, Income Taxes (Topic 740): Improvements to Income Tax Disclosures . This amended guidance applies to all entities and broadly aims to enhance the transparency and decision usefulness of income tax disclosures. For public business entities, the amendments in this update are effective for fiscal years beginning after December 15, 2024, and are applicable for disclosures in our Annual Report on Form 10-K beginning with the year ending December 31, 2025. See Note 14 for additional disclosures. In November 2024, the FASB issued ASU No. 2024-03, Disaggregation of Income Statement Expenses (DISE). This new guidance applies to all public entities and requires disclosures about specific types of expenses included in the expense captions presented on the face of the income statement as well as disclosures about selling expenses. Public entities must adopt the new standard prospectively for fiscal years beginning after December 15, 2026, and interim reporting periods beginning after December 15, 2027. Early adoption and retrospective application are permitted. We are currently evaluating the impact ASU No. 2024-03 will have on our consolidated financial statements and related disclosures. In July 2025, the FASB issued ASU No. 2025-05, Financial Instruments - Credit Losses (Topic 326): Measurement of Credit Losses for Accounts Receivable and Contract Assets. This amen …

NewAccountingPronouncementsPolicyPolicyTextBlock · excerpt; the full note is in the filing

Note 16. Employee Benefit Plans Defined Contribution Plans We have a defined contribution plan qualified under Section 401(k) of the Internal Revenue Code covering all U.S. employees and defined contribution plans for other Incyte employees in Europe and Japan. Employees may contribute a portion of their compensation, which is then matched by us, subject to certain limitations. Defined contribution expense was $22.4 million, $20.6 million and $18.9 million for the years ended December 31, 2025, 2024 and 2023, respectively. Defined Benefit Pension Plans We have defined benefit pension plans for our employees in Europe which provide benefits to employees upon retirement, death or disability. The assets of the pension plans are held in collective investment accounts represented by the cash surrender value of an insurance policy and are classified as Level 2 within the fair value hierarchy. The pension plans assumptions reflect the expected investment return and discount rate on plan assets and disability rate probabilities. The benefit obligation at December 31, 2025 for the plans was determined using a discount rate of 1.20% and rate of compensation increase of 2.00%. The 2025 net periodic benefit cost for the plans was determined using discount rates of 0.90%, rates of compensation increase of 2.25% and long term expected return on plan assets of 4.30%. The benefit obligation at December 31, 2024 for the plans was determined using a discount rate of 0.90% and rate of compensat …

PensionAndOtherPostretirementBenefitsDisclosureTextBlock · excerpt; the full note is in the filing

Note 2. Revenues As discussed in Note 1, revenues are recognized under guidance within ASC 606. The following table presents our disaggregated revenues for the periods presented (in thousands): For the Years Ended, December 31, 2025 2024 2023 JAKAFI revenues, net $ 3,092,515 $ 2,792,107 $ 2,593,732 OPZELURA revenues, net 678,455 508,293 337,864 ICLUSIG revenues, net 134,071 114,319 111,623 MINJUVI/MONJUVI revenues, net 144,578 119,236 37,057 PEMAZYRE revenues, net 86,727 81,748 83,642 NIKTIMVO revenues, net 151,636 ZYNYZ revenues, net 66,351 3,185 1,250 Total product revenues, net 4,354,333 3,618,888 3,165,168 JAKAVI product royalty revenues 457,729 418,840 367,583 OLUMIANT product royalty revenues 144,600 135,572 136,138 TABRECTA product royalty revenues 26,702 22,746 17,793 Other product royalty revenues 7,878 2,171 1,967 Total product royalty revenues 636,909 579,329 523,481 Milestone and contract revenues 150,000 43,000 7,000 Total revenues $ 5,141,242 $ 4,241,217 $ 3,695,649 For further information on the MINJUVI/MONJUVI revenues, refer to Note 5 and for further information on our revenue-generating contracts, refer to Note 7. …

RevenueFromContractWithCustomerTextBlock · excerpt; the full note is in the filing

Note 18. Segment Information We operate in one operating segment, and therefore one reportable segment, focused on the global discovery, development and commercialization of proprietary therapeutics. We manage business activities on a consolidated basis through the development and commercialization of oncology and dermatology products, which are sold to U.S. and international customers. Our determination that we operate as a single operating segment is consistent with the financial information regularly reviewed by the chief operating decision maker for purposes of evaluating performance, allocating resources, setting incentive compensation targets, and planning and forecasting for future periods. Our chief operating decision maker is the Chief Executive Officer. The accounting policies for our single operating segment are the same as those described in the summary of significant accounting policies. Our single operating segment generates revenues from the development and commercialization of oncology and dermatology pharmaceutical products, which are developed by our research and development department, as well as from product royalties, milestone and contract revenues from the out-licensing of our intellectual property to third parties. For our segment, the chief operating decision maker uses net income, that also is reported on the consolidated statements of operations as consolidated net income, to allocate resources (including employees, property, and financial resources …

SegmentReportingDisclosureTextBlock · excerpt; the full note is in the filing

Note 11. Stockholders Equity Preferred Stock . We are authorized to issue 5,000,000 shares of preferred stock, none of which was outstanding as of December 31, 2025 and 2024. The Board of Directors may determine the rights, preferences and privileges of any preferred stock issued in the future. Common Stock . We are authorized to issue 400,000,000 shares of common stock. Share Repurchase and Modified Dutch Auction Tender Offer. On May 13, 2024, we announced that our Board of Directors approved a share repurchase authorization of $2.0 billion. Subsequently, we commenced a modified Dutch Auction tender offer to repurchase shares of our common stock for an aggregate purchase price of up to $1.672 billion (the tender offer). We offered to purchase up to $1.672 billion in value of our common stock at a price not greater than $60.00 per share nor less than $52.00 per share, net to the seller in cash, less any applicable withholding taxes and without interest, upon the terms and subject to the conditions set forth in the tender offer documents that were distributed to stockholders. A modified Dutch Auction tender offer allows stockholders to indicate how much stock they wish to tender and at what price within the range described above. Based on the number of shares tendered and the prices specified by the tendering stockholders, we determined the lowest price per share that enabled us to purchase $1.672 billion of common stock at such price. On June 13, 2024, we completed the tender …

StockholdersEquityNoteDisclosureTextBlock · excerpt; the full note is in the filing

Note 15. Commitments and Contingencies Commitments In August 2021, we entered into a revolving credit and guaranty agreement, which was subsequently amended in May 2023 and June 2024 (as amended, the Credit Agreement), among Incyte Corporation, as borrower, our subsidiary Incyte Holdings Corporation, as a guarantor, a group of lenders (the Lenders), and J.P. Morgan Chase Bank, N.A., as administrative agent. Under the Credit Agreement, the Lenders have committed to provide an unsecured revolving credit facility in an aggregate principal amount of up to $500.0 million. The June 2024 amendment to the Credit Agreement extended the maturity date of the revolving credit facility from August 2024 to June 2027. We may increase the maximum revolving commitments or add one or more incremental term loan facilities to the Credit Agreement, subject to obtaining commitments from any participating lenders and certain other conditions, in an amount not to exceed (1) $250.0 million plus (2) an additional amount, so long as after giving effect to the incurrence of such additional amount, our pro forma consolidated leverage ratio would not exceed 0.25:1.00 above our consolidated leverage ratio in effect immediately prior to giving effect to such increase. Loans under the Credit Agreement will bear interest, at our option, at a per annum rate equal to either (a) a base rate (but not less than 1.00%) plus an applicable rate per annum varying from 0.125% to 0.875% depending on our consolidated lev …

CommitmentsAndContingenciesDisclosureTextBlock · excerpt; the full note is in the filing

The following table presents our disaggregated revenue for the periods presented (in thousands): Three Months Ended June 30, Six Months Ended June 30, 2026 2025 2026 2025 JAKAFI net sales 1 $ 816,659 $ 763,788 $ 1,574,414 $ 1,473,200 OPZELURA net sales 2 449,736 164,499 592,751 283,204 ICLUSIG net sales 34,394 32,729 69,857 62,273 PEMAZYRE net sales 23,418 22,192 45,961 40,632 MINJUVI/MONJUVI net sales 53,686 31,131 102,913 60,682 NIKTIMVO net sales 60,309 36,154 115,397 49,767 ZYNYZ net sales 49,947 8,921 91,340 11,930 Total net sales 1,488,149 1,059,414 2,592,633 1,981,688 JAKAVI product royalty revenues 124,190 109,714 229,746 201,859 OLUMIANT product royalty revenues 38,479 33,482 74,886 64,282 TABRECTA product royalty revenues 6,691 6,632 12,673 13,045 Other product royalty revenues 5,330 1,287 8,577 2,553 Total product royalty revenues 174,690 151,115 325,882 281,739 Milestone and contract revenues 11,200 5,000 28,200 5,000 Total revenues $ 1,674,039 $ 1,215,529 $ 2,946,715 $ 2,268,427 1 Second quarter 2026 JAKAFI net sales include JAKAFI and JAKAFI XR following the launch of JAKAFI XR in the second quarter of 2026. 2 Second quarter 2026 OPZELURA net sales includes $246.0 million related to our agreement with CMS to resolve our litigation related to the application of Medicaid rebate rules to OPZELURA . Refer to Note 15 for further information.

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Note 11. Stock Compensation 2010 Stock Incentive Plan. Under our Amended and Restated 2010 Stock Incentive Plan, as amended (the 2010 Stock Plan), we may issue common stock to employees, non-employee directors, consultants, and scientific advisors. Awards under the 2010 Stock Plan include stock options, restricted stock units (RSUs) and performance shares (PSUs). A total of 74,953,475 shares of common stock are reserved for issuance pursuant to the 2010 Stock Plan. 2024 Inducement Stock Incentive Plan. Our Board of Directors has adopted the Incyte Corporation 2024 Inducement Stock Incentive Plan, as amended (the 2024 Inducement Plan). In reliance on Nasdaq Marketplace Rule 5635(c)(4), stockholder approval was not obtained. A total of 2,000,000 shares of common stock are reserved for issuance pursuant to the 2024 Inducement Plan. We recorded $67.3 million and $131.4 million of stock compensation expense on our condensed consolidated statements of operations for the three and six months ended June 30, 2026, respectively. We recorded $64.6 million and $125.6 million of stock compensation expense on our condensed consolidated statements of operations for the three and six months ended June 30, 2025, respectively. Stock compensation expense included within our condensed consolidated statements of operations included research and development expense of $38.2 million, $77.4 million, $37.7 million and $74.4 million for the three and six months ended June 30, 2026 and 2025, respective …

DisclosureOfCompensationRelatedCostsShareBasedPaymentsTextBlock · excerpt; the full note is in the filing

Note 4. Fair Value of Financial Instruments The following is a summary of our marketable security portfolio for the periods presented (in thousands): Amortized Cost Unrealized Gains Unrealized Losses Fair Value June 30, 2026 Debt securities (government) $ 555,856 $ 266 $ (2,757) $ 553,365 December 31, 2025 Debt securities (government) $ 480,793 $ 2,028 $ (34) $ 482,787 The table below summarizes the contractual maturities of our available-for-sale debt securities as of June 30, 2026 (in thousands): Total Less than 1 Year 1-5 Years Fair value of debt securities (government) $ 553,365 $ 205,695 $ 347,670 Debt security assets were assessed for risk of expected credit losses. As of June 30, 2026 and December 31, 2025, the available-for-sale debt securities were held in U.S.-government backed securities and in Treasury bonds and were assessed on an individual security basis to have a de minimis risk of credit loss. Fair Value Measurements FASB accounting guidance defines fair value as the price that would be received to sell an asset or paid to transfer a liability (the exit price) in an orderly transaction between market participants at the measurement date. The standard outlines a valuation framework and creates a fair value hierarchy in order to increase the consistency and comparability of fair value measurements and the related disclosures. In determining fair value, we use quoted prices and observable inputs. Observable inputs are inputs that market participants would use in …

FairValueDisclosuresTextBlock · excerpt; the full note is in the filing

Note 12. Income Taxes For the three and six months ended June 30, 2026 and 2025, we recorded the following provisions for income taxes and effective tax rates as compared to our income before provision for income taxes (in thousands): Three Months Ended June 30, Six Months Ended June 30, 2026 2025 2026 2025 Income before provision for income taxes $ 751,514 $ 558,012 $ 1,095,114 $ 792,202 Provision for income taxes 165,909 153,013 206,179 229,000 Effective tax rate 22.1% 27.4% 18.8% 28.9% Our effective tax rates for the three and six months ended June 30, 2026 were favorably impacted by tax benefits associated with the generation of tax credits and foreign tax effects. This was mostly offset by a net increase in valuation allowances against certain U.S. federal and state deferred tax assets. In addition, our effective tax rate for the six months ended June 30, 2026 was favorably impacted by changes in unrecognized tax benefits. Our effective tax rates for the three and six months ended June 30, 2025 were unfavorably impacted by an increase in valuation allowances against certain U.S. federal and state deferred tax assets. This was partially offset by tax rate benefits associated with the generation of tax credits and the effects of cross-border tax laws. The effective tax rates for the three and six months ended June 30, 2026 were favorable as compared to the three and six months ended June 30, 2025 due to reversals of certain foreign valuation allowances and the impacts of t …

IncomeTaxDisclosureTextBlock · excerpt; the full note is in the filing

Recent Accounting Pronouncements and Regulatory Updates In November 2024, the Financial Accounting Standards Board (FASB) issued ASU No. 2024-03, Disaggregation of Income Statement Expenses (DISE). This new guidance applies to all public entities and requires disclosures about specific types of expenses included in the expense captions presented on the face of the income statement as well as disclosures about selling expenses. Public entities must adopt the new standard prospectively for fiscal years beginning after December 15, 2026, and interim reporting periods beginning after December 15, 2027. Early adoption and retrospective application are permitted. We are currently evaluating the impact ASU No. 2024-03 will have on our consolidated financial statements and related disclosures. In July 2025, the FASB issued ASU No. 2025-05, Financial Instruments - Credit Losses (Topic 326): Measurement of Credit Losses for Accounts Receivable and Contract Assets. This amended guidance applies to all entities and aims to simplify the estimation of expected credit losses for current accounts receivable and contract assets by providing a practical expedient for all companies. The amendments are effective for annual reporting periods beginning after December 15, 2025 and interim reporting periods within those annual periods. We formally adopted ASU 2025-05, effective January 1, 2026, and elected the practical expedient provided to all companies. This adoption and related practical expedie …

NewAccountingPronouncementsPolicyPolicyTextBlock · excerpt; the full note is in the filing

Note 14. Employee Benefit Plans Defined Contribution Plans We have a defined contribution plan qualified under Section 401(k) of the Internal Revenue Code covering all U.S. employees and defined contribution plans for other Incyte employees in Europe and Japan. Employees may contribute a portion of their compensation, which is then matched by us, subject to certain limitations. Defined contribution expense for the three and six months ended June 30, 2026 was $6.3 million and $12.7 million, respectively. Defined contribution expense for the three and six months ended June 30, 2025 was $5.7 million and $11.5 million, respectively. Defined Benefit Pension Plans We have defined benefit pension plans for our employees in Europe which provide benefits to employees upon retirement, death or disability. The assets of the pension plans are held in collective investment accounts represented by the cash surrender value of an insurance policy and are classified as Level 2 within the fair value hierarchy. The net periodic benefit cost was as follows (in thousands): Three Months Ended June 30, Six Months Ended June 30, 2026 2025 2026 2025 Service cost $ 4,043 $ 3,964 $ 8,130 $ 7,606 Interest cost 688 476 1,383 913 Expected return on plan assets (1,933) (1,819) (3,887) (3,491) Amortization of prior service cost 105 226 212 420 Amortization of actuarial losses 125 350 252 668 Net periodic benefit cost $ 3,028 $ 3,197 $ 6,090 $ 6,116 The components of net periodic benefit cost other than the …

PensionAndOtherPostretirementBenefitsDisclosureTextBlock · excerpt; the full note is in the filing

Note 3. Revenues Revenues are recognized under guidance within ASC 606, Revenue from Contracts with Customers . The following table presents our disaggregated revenue for the periods presented (in thousands): Three Months Ended June 30, Six Months Ended June 30, 2026 2025 2026 2025 JAKAFI net sales 1 $ 816,659 $ 763,788 $ 1,574,414 $ 1,473,200 OPZELURA net sales 2 449,736 164,499 592,751 283,204 ICLUSIG net sales 34,394 32,729 69,857 62,273 PEMAZYRE net sales 23,418 22,192 45,961 40,632 MINJUVI/MONJUVI net sales 53,686 31,131 102,913 60,682 NIKTIMVO net sales 60,309 36,154 115,397 49,767 ZYNYZ net sales 49,947 8,921 91,340 11,930 Total net sales 1,488,149 1,059,414 2,592,633 1,981,688 JAKAVI product royalty revenues 124,190 109,714 229,746 201,859 OLUMIANT product royalty revenues 38,479 33,482 74,886 64,282 TABRECTA product royalty revenues 6,691 6,632 12,673 13,045 Other product royalty revenues 5,330 1,287 8,577 2,553 Total product royalty revenues 174,690 151,115 325,882 281,739 Milestone and contract revenues 11,200 5,000 28,200 5,000 Total revenues $ 1,674,039 $ 1,215,529 $ 2,946,715 $ 2,268,427 1 Second quarter 2026 JAKAFI net sales include JAKAFI and JAKAFI XR following the launch of JAKAFI XR in the second quarter of 2026. 2 Second quarter 2026 OPZELURA net sales includes $246.0 million related to our agreement with CMS to resolve our litigation related to the application of Medicaid rebate rules to OPZELURA . Refer to Note 15 for further information. For further inf …

RevenueFromContractWithCustomerTextBlock · excerpt; the full note is in the filing

Note 16. Segment Information We operate in one operating segment, and therefore one reportable segment, focused on the global discovery, development and commercialization of proprietary therapeutics. We manage business activities on a consolidated basis through the development and commercialization of oncology and dermatology products, which are sold to U.S. and international customers. Our determination that we operate as a single operating segment is consistent with the financial information regularly reviewed by the chief operating decision maker for purposes of evaluating performance, allocating resources, setting incentive compensation targets, and planning and forecasting for future periods. Our chief operating decision maker is the Chief Executive Officer. The accounting policies for our single operating segment are the same as those described in the summary of significant accounting policies in our Annual Report on Form 10-K for the year ended December 31, 2025. Our single operating segment generates net sales from the development and commercialization of oncology and dermatology pharmaceutical products, which are developed by our research and development department, as well as from product royalties, milestone and contract revenues from the out-licensing of our intellectual property to third parties. For our segment, the chief operating decision maker uses net income or loss, that also is reported on the condensed consolidated statements of operations as consolidated …

SegmentReportingDisclosureTextBlock · excerpt; the full note is in the filing

Note 2. Summary of Significant Accounting Policies Basis of presentation The accompanying unaudited condensed consolidated financial statements have been prepared in accordance with accounting principles generally accepted in the United States (U.S. GAAP) for interim financial information and with the instructions to Form 10-Q and Article 10 of Regulation S-X. The condensed consolidated balance sheet as of June 30, 2026, the condensed consolidated statements of operations, comprehensive income (loss), and stockholders equity for the three and six months ended June 30, 2026 and 2025, and the condensed consolidated statements of cash flows for the six months ended June 30, 2026 and 2025, are unaudited, but include all adjustments, consisting only of normal recurring adjustments, which we consider necessary for a fair presentation of the financial position, operating results and cash flows for the periods presented. The condensed consolidated balance sheet at December 31, 2025 has been derived from our audited consolidated financial statements. Although we believe that the disclosures in these financial statements are adequate to make the information presented not misleading, certain information and footnote information normally included in financial statements prepared in accordance with U.S. GAAP have been condensed or omitted pursuant to the rules and regulations of the Securities and Exchange Commission (the SEC). Results for any interim period are not necessarily indicative …

SignificantAccountingPoliciesTextBlock · excerpt; the full note is in the filing

Note 17. Subsequent Event On June 8, 2026, we entered into an agreement with Star Therapeutics LLC (Star) to acquire Vega Therapeutics, Inc. (Vega), a wholly owned subsidiary of Star. We completed the acquisition of Vega on July 6, 2026. Vega is a clinical-stage drug development company developing novel antibody therapies for rare blood disorders, focusing on von Willebrand disease. Based on the terms of the agreement, we acquired Vega for cash consideration of $1.25 billion, with up to $750.0 million in additional payments due to Star upon achievement of specified sales milestones. We expect to account for the acquisition as an asset acquisition, as substantially all of the fair value of the assets acquired is concentrated in a single in-process research and development asset. We expect to allocate substantially all of the upfront consideration to the in-process research and development asset and to record the expense within Research and development expense in our condensed consolidated statements of operations during the third quarter of 2026. …

SubsequentEventsTextBlock · excerpt; the full note is in the filing