Glaukos Corporation (GKOS) Earnings & Analysis

Latest quarter

Glaukos reported Q3 FY2026 revenue of $211.0 million, up 58.0% from $133.5 million a year earlier and above the $168.8 million consensus. Diluted earnings per share were $0.03, compared with −$0.28 a year earlier.

The company’s filing attributed growth in U.S. glaucoma sales primarily to higher iDose TR volume. U.S. glaucoma revenue rose 47.0% to $118.6 million, while Glaukos reported approximately $76.0 million in iDose TR sales. Corneal health revenue rose 154.0% to $59.0 million, driven by Epioxa sales of approximately $53.0 million. The filing said some customers shifted from Photrexa to Epioxa.

Glaukos reported gross margin of 85.2%, compared with 78.4% a year earlier. Its filing attributed the margin improvement in part to increased iDose TR production and sales of iDose TR and Epioxa. Free cash flow was $36.5 million, compared with −$11.7 million a year earlier.

Adjusted EPS is the figure the consensus estimates, not the GAAP EPS above.

What management said on the call

Asked about the Epioxa launch, President and Chief Operating Officer Joseph Gilliam said demand had moved faster than Glaukos expected, putting pressure on operations and field support teams as the company expanded its network of treatment sites. He said the company had selected sites with attention to their capabilities, patient volumes and geographic reach so it could support them through the access process.

Gilliam said the company’s focus was shifting from establishing payer pathways toward improving them, including authorization timelines. He said “the processes associated with them are varied payer by payer” and described work with the company’s patient support hub, specialty pharmacy network and insurers. On pricing, he reiterated the company’s net average selling price range for Epioxa and said early realized pricing would be expected to trend toward the higher end of that range.

Gilliam also said the network of sites buying and billing Epioxa had been increasing, with physician offices, affiliated clinics and larger institutions participating. He said Glaukos expected to invest further in disease awareness as the launch progressed.

For iDose TR, Gilliam attributed quarterly sales to growing contributions from Medicare fee-for-service patients in the NGS jurisdiction, as well as Medicare Advantage and commercially insured patients. He said summer seasonality had affected growth. Chief Executive Thomas Burns said Glaukos was monitoring proposed local coverage determinations and preparing for different outcomes.

Asked about the potential effect of coverage restrictions, Gilliam said Glaukos had considered scenarios in which an iDose TR determination was finalized close to the proposal when developing its preliminary next-year revenue outlook. He said the company would wait to see what transpired before offering more specific commentary on the impact.

Chief Financial Officer Alex Thurman said he expected the recent non-GAAP gross margin level to be durable as Epioxa and iDose represented a larger share of revenue. Burns said Glaukos would continue investing in its pipeline, commercial infrastructure and market development.

Guidance

Glaukos raised its FY2026 net sales outlook to $775.0 million to $785.0 million. It also introduced highly preliminary FY2027 revenue guidance of $1.0 billion, which Burns said the company expects to refine.

Thurman put FY2026 operating expenses at approximately $630.0 million; the previous outlook was approximately $600.0 million. Gilliam raised his full-year iDose TR sales expectations from the previous range of $275.0 million to $280.0 million.