Journey Medical (NASDAQ:DERM) Announces Quarterly Earnings Results

Journey Medical (NASDAQ:DERM) posted its earnings results on Wednesday. The company reported ($0.01) earnings per share for the quarter, topping analysts’ consensus estimates of ($0.02) by $0.01, FiscalAI reports. Journey Medical had a negative return on equity of 35.57% and a negative net margin of 14.82%.The firm had revenue of $18.51 million for the quarter, compared to the consensus estimate of $18.36 million.

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 Price Performance

Shares of DERM opened at $6.43 on Thursday. The stock has a market cap of $177.02 million, a PE ratio of -17.38 and a beta of 1.08. The company has a debt-to-equity ratio of 0.74, a quick ratio of 1.47 and a current ratio of 1.72. Journey Medical has a fifty-two week low of $4.31 and a fifty-two week high of $9.56. The firm’s 50-day simple moving average is $6.58 and its two-hundred day simple moving average is $6.62.

Analyst Ratings Changes

Several equities research analysts recently weighed in on the company. B. Riley Financial restated a “buy” rating and set a $15.00 price target (up from $12.00) on shares of Journey Medical in a research report on Thursday. Weiss Ratings reaffirmed a “sell (d-)” rating on shares of Journey Medical in a research note on Friday, July 17th. Finally, Wall Street Zen upgraded Journey Medical from a “hold” rating to a “buy” rating in a report on Saturday, June 13th. Two analysts have rated the stock with a Buy rating, one has issued a Hold rating and one has assigned a Sell rating to the company’s stock. According to MarketBeat.com, the stock currently has a consensus rating of “Hold” and an average target price of $14.00.

Hedge Funds Weigh In On Journey Medical

Several large investors have recently made changes to their positions in the business. Wasatch Advisors LP boosted its position in shares of Journey Medical by 0.8% in the 4th quarter. Wasatch Advisors LP now owns 1,316,275 shares of the company’s stock worth $10,148,000 after purchasing an additional 10,003 shares in the last quarter. Opaleye Management Inc. raised its stake in Journey Medical by 0.4% during the fourth quarter. Opaleye Management Inc. now owns 975,000 shares of the company’s stock valued at $7,517,000 after buying an additional 3,936 shares during the last quarter. J. Goldman & Co LP purchased a new position in Journey Medical during the fourth quarter valued at $6,155,000. Vanguard Group Inc. boosted its holdings in Journey Medical by 8.9% in the third quarter. Vanguard Group Inc. now owns 615,229 shares of the company’s stock worth $4,380,000 after acquiring an additional 50,241 shares in the last quarter. Finally, Millennium Management LLC bought a new stake in Journey Medical in the fourth quarter worth $3,530,000. 7.25% of the stock is currently owned by hedge funds and other institutional investors.

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.