A maker of inhaled medicines for rare lung diseases, Insmed sells ARIKAYCE for a stubborn bacterial lung infection and BRINSUPRI for bronchiectasis, with gene therapies for muscular dystrophy and ALS in the works. Founded in 1988 in Richmond, Virginia, it began by developing insulin-like growth factor proteins before turning to respiratory care. Its ARIKAYCE was the first drug approved under the FDA's Limited Population Pathway, designed for serious infections in small patient groups.
BRINSUPRI revenue reached $308.6M in Q2, its second full quarter, driving total revenue up 296% and bringing the operating loss to near breakeven.
BRINSUPRI's US launch is scaling faster than ARIKAYCE ever did. Total rose 296% to $425.5 million and widened to 84.2%, as BRINSUPRI contributed $308.6 million in its second full quarter on the market, while the operating loss narrowed to just $1.5 million from $312.9 million a year ago. Insmed is now a quarter away from potentially reporting its first .
Key takeaways
BRINSUPRI generated $308.6 million in US net product in Q2 2026, up from $207.2 million in Q1 2026, making it the dominant driver of the quarter's $318.1 million revenue increase.
ARIKAYCE net rose 8% to $116.3 million, with international sales up 19% to $46.1 million while US sales grew just 2% to $70.2 million, a further deceleration from the 5.7% total growth in Q1 2026.
widened 10.3 points to 84.2%, as cost of product revenues fell to 15.8% of net from 26.1%, helped by BRINSUPRI's lower manufacturing cost relative to ARIKAYCE.
Section summaries
Management's Discussion and Analysis
Total revenue surged 296% YoY to $425.5M in Q2 2026, driven by the US launch of BRINSUPRI and 8% ARIKAYCE growth.
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Total product , net, reached $425.5M in Q2 2026, up 296% from $107.4M in Q2 2025, primarily due to $308.6M in US BRINSUPRI sales following its August 2025 approval.
ARIKAYCE net grew 8% to $116.3M, with international sales up 19% to $46.1M, while US sales increased 2% to $70.2M.
The operating loss narrowed to $1.5 million from $312.9 million a year ago, as the $318.1 million increase in and the expansion outweighed a $33.0 million rise in R&D and a $92.7 million rise in SG&A expenses.
A $99.8 million non-cash gain from the change in fair value of liabilities, tied to a decrease in the company's share price, helped narrow the net loss to $13.2 million from $321.7 million a year ago.
Cash, equivalents, and marketable securities totaled $1.16 billion at quarter-end, and management stated this is sufficient to fund operations for at least the next 12 months.
What changed
The Q1 2026 watch item on whether BRINSUPRI's $207.2 million quarter represented an initial bolus or a sustainable run rate is partially answered: Q2 of $308.6 million suggests the Q1 figure was not a one-time stocking effect, and the annualized run rate has now risen to approximately $1.2 billion.
ARIKAYCE US sales growth slowed further to 2% in Q2 from a 2.2% decline in Q1, confirming the trend flagged in Q1 that commercial focus has shifted to BRINSUPRI; the product's future now hinges on the ENCORE confirmatory trial readout, which was expected by April 2026 but is not mentioned as having occurred in this filing.
The Phase 2b CEDAR study topline data for brensocatib in hidradenitis suppurativa, flagged in Q1 as expected in Q2 2026, is not discussed in this filing, suggesting the readout has not yet occurred or was not material enough to disclose.
Operating cash outflow improved to $88.8 million from $205.6 million a year ago, as the ramp from BRINSUPRI began to offset the elevated SG&A spending on its commercial launch.
What to watch
Whether BRINSUPRI sustains or grows beyond the Q2 2026 annualized run rate of approximately $1.2 billion in Q3 2026, as the launch moves past its initial ramp phase.
Topline data from the ENCORE confirmatory trial of ARIKAYCE, which was expected by April 2026 and will determine whether the FDA converts accelerated approval to full approval.
Whether the company reports its first quarterly in Q3 2026, given the operating loss narrowed to just $1.5 million in Q2.
Phase 2b CEDAR study topline data for brensocatib in hidradenitis suppurativa, expected in 2026, as the next indication-expansion catalyst for the company's lead asset.
Cost of product revenues as a percentage of improved to 15.8% from 26.1%, driven by the addition of BRINSUPRI, which has lower manufacturing costs than ARIKAYCE.
R&D expenses rose 19% to $210.0M, mainly from a $14.6M increase in clinical development costs, largely for the TPIP program, and higher headcount-related compensation.
SG&A expenses increased 60% to $247.5M, driven by a $76.5M rise in professional fees and external expenses for BRINSUPRI commercial activities.
The company reported a $99.8M non-cash gain from the change in fair value of , primarily due to a decrease in its share price.
Quantitative and Qualitative Disclosures About Market Risk
As of June 30, 2026, our cash and cash equivalents were in cash accounts and money market funds. Our investments in money market funds are not insured by the federal government. As of June 30, 2026, we had $615.5 million in marketable securities. As of June 30, 2026, we had our…
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As of June 30, 2026, our cash and cash equivalents were in cash accounts and money market funds. Our investments in money market funds are not insured by the federal government. As of June 30, 2026, we had $615.5 million in marketable securities.
As of June 30, 2026, we had our $500.0 million Term Loans outstanding. The Term Loans accrue interest quarterly at a fixed rate of 9.6% per annum. If a 10% change in interest rates had occurred on June 30, 2026, it would not have had a material effect on the fair value of our debt as of that date, nor would it have a material effect on our future earnings or cash flows.
The majority of our business is conducted in US dollars. However, we do conduct certain transactions in other currencies, including Euros, British Pounds, Swiss Francs and Japanese Yen. Historically, fluctuations in foreign currency exchange rates have not materially affected our results of operations. During the six months ended June 30, 2026 and 2025, our results of operations were not materially affected by fluctuations in foreign currency exchange rates.
From time to time, we are party to various lawsuits, claims and other legal proceedings that arise in the ordinary course of our business. While the outcomes of these matters are uncertain, management does not expect that the ultimate costs to resolve these matters will have a m…
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From time to time, we are party to various lawsuits, claims and other legal proceedings that arise in the ordinary course of our business. While the outcomes of these matters are uncertain, management does not expect that the ultimate costs to resolve these matters will have a material adverse effect on our consolidated financial position, results of operations or cash flows.
Our business is subject to substantial risks and uncertainties. You should carefully consider the information contained in this Quarterly Report on Form 10-Q, the risks and uncertainties below, and the risk factors and other information contained in our other public filings in e…
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Our business is subject to substantial risks and uncertainties. You should carefully consider the information contained in this Quarterly Report on Form 10-Q, the risks and uncertainties below, and the risk factors and other information contained in our other public filings in evaluating our business, including our Annual Report on Form 10-K for the year ended December 31, 2025, which was filed with the SEC on February 19, 2026. Any of the risks and uncertainties described herein and in our other filings with the SEC, either alone or taken together, could materially and adversely affect our business, financial condition, results of operations, prospects for growth, and the value of an investment in our common stock. In addition, these risks and uncertainties could cause actual results to differ materially from those expressed or implied by forward-looking statements contained in this Form 10-Q (please read "Cautionary Note Regarding Forward-Looking Statements" in this Quarterly Report on Form 10-Q).