The company's operational efficiency is severely compromised, as evidenced by a 2026Q1 operating margin of -97.1% despite maintaining gross margins consistently near 93%.
Vanda Pharmaceuticals Inc. (VNDA) annual income statement — 22-year revenue, gross profit & net income history
| Metric | TTM | Dec'25 | Dec'24 | Dec'23 | Dec'22 | Dec'21 | Dec'20 | Dec'19 | Dec'18 | Dec'17 | Dec'16 | Dec'15 | Dec'14 | Dec'13 | Dec'12 | Dec'11 | Dec'10 | Dec'09 | Dec'08 | Dec'07 | Dec'06 | Dec'05 | Dec'04 |
|---|
| Sales/Revenue | 215.72M | 216.1M | 198.77M | 192.64M | 254.38M | 268.68M | 248.17M | 227.19M | 193.12M | 165.08M | 146.02M | 109.92M | 50.16M | 33.88M | 32.73M | 31.27M | 35.22M | 4.55M | 0 | 0 | 0 | 0 | 33.98K |
| Revenue Growth % | 6.02% | 8.72% | 3.18% | -24.27% | -5.32% | 8.27% | 9.23% | 17.64% | 16.98% | 13.06% | 32.83% | 119.16% | 48.05% | 3.52% | 4.66% | -11.22% | 674.45% | - | - | - | - | -100% | - |
| Cost of Goods Sold | 15.49M | 13.04M | 11.31M | 14.8M | 24.28M | 25.63M | 23.36M | 24.49M | 20.51M | 17.85M | 24.71M | 23.46M | 1.58M | 0 | 129K | 0 | 4.39M | 2.9M | 0 | 0 | 0 | 0 | 0 |
| COGS % of Revenue | - | 6.04% | 5.69% | 7.68% | 9.55% | 9.54% | 9.41% | 10.78% | 10.62% | 10.81% | 16.92% | 21.34% | 3.16% | - | 0.39% | - | 12.45% | 63.72% | - | - | - | - | - |
| Gross Profit | 200.23M | 203.06M | 187.46M | 177.84M | 230.1M | 243.05M | 224.8M | 202.7M | 172.61M | 147.24M | 121.31M | 86.46M | 48.57M | 33.88M | 32.6M | 31.27M | 30.83M | 1.65M | 0 | 0 | 0 | 0 | 33.98K |
| Gross Margin % | 92.82% | 93.96% | 94.31% | 92.32% | 90.45% | 90.46% | 90.59% | 89.22% | 89.38% | 89.19% | 83.08% | 78.66% | 96.84% | 100% | 99.61% | 100% | 87.55% | 36.28% | - | - | - | - | 100% |
| Gross Profit Growth % | - | 8.32% | 5.41% | -22.71% | -5.33% | 8.12% | 10.9% | 17.43% | 17.23% | 21.38% | 40.3% | 78% | 43.38% | 3.93% | 4.25% | 1.41% | 1768.59% | - | - | - | - | -100% | - |
| Operating Expenses | 385.9M | 354.23M | 228.12M | 191.8M | 223.77M | 200.89M | 197.56M | 179.89M | 150.87M | 164.14M | 139.88M | 126.65M | 106.13M | 54.28M | 60.82M | 41.98M | 22.48M | 37.6M | 52.85M | 80.04M | 65.71M | 24.29M | 9.56M |
| OpEx % of Revenue | - | 163.92% | 114.76% | 99.56% | 87.97% | 74.77% | 79.61% | 79.18% | 78.12% | 99.43% | 95.79% | 115.21% | 211.59% | 160.21% | 185.85% | 134.24% | 63.84% | 826.74% | - | - | - | - | 28141.19% |
| Selling, General & Admin | 263.45M | 237.95M | 146.41M | 112.88M | 136.49M | 124.05M | 140.51M | 129.74M | 105.75M | 123.84M | 99.79M | 84.53M | 84.64M | 24.59M | 13.88M | 11.49M | 10.15M | 23.72M | 28.91M | 32.8M | 13.64M | 7.4M | 2.12M |
| SG&A % of Revenue | - | 110.11% | 73.66% | 58.6% | 53.65% | 46.17% | 56.62% | 57.11% | 54.76% | 75.02% | 68.34% | 76.9% | 168.76% | 72.59% | 42.42% | 36.73% | 28.81% | 521.67% | - | - | - | - | 6237.18% |
| Research & Development | 116.96M | 109.27M | 74.43M | 76.82M | 85.77M | 75.36M | 55.58M | 48.65M | 43.59M | 38.55M | 29.16M | 29.14M | 19.23M | 28.19M | 45.45M | 29M | 12.34M | 13.87M | 23.94M | 47.23M | 52.07M | 16.89M | 7.44M |
| R&D % of Revenue | - | 50.56% | 37.45% | 39.88% | 33.72% | 28.05% | 22.39% | 21.41% | 22.57% | 23.35% | 19.97% | 26.51% | 38.34% | 83.21% | 138.86% | 92.73% | 35.03% | 305.07% | - | - | - | - | 21904.01% |
| Other Operating Expenses | 3M | 7.01M | 7.27M | 2.09M | 1.52M | 1.48M | 1.48M | 1.5M | 3.61M | 1.47M | 665K | 320K | 124K | 145K | 561K | 1.5M | 0 | 0 | 0 | 0 | 0 | 0 | 0 |
| Operating Income | -185.67M | -151.17M | -40.66M | -13.95M | 6.33M | 42.16M | 27.24M | 22.81M | 21.74M | -16.9M | -18.57M | -40.19M | 20.06M | -20.4M | -28.23M | -10.71M | 8.35M | -35.95M | -52.85M | -80.04M | -65.71M | -24.29M | -9.53M |
| Operating Margin % | -86.07% | -69.95% | -20.46% | -7.24% | 2.49% | 15.69% | 10.98% | 10.04% | 11.26% | -10.24% | -12.72% | -36.56% | 40% | -60.21% | -86.24% | -34.24% | 23.71% | -790.46% | - | - | - | - | -28041.19% |
| Operating Income Growth % | - | -271.79% | -191.43% | -320.45% | -84.99% | 54.8% | 19.42% | 4.93% | 228.6% | 8.98% | 53.79% | -300.3% | 198.34% | 27.72% | -163.61% | -228.24% | 123.23% | 31.97% | 33.98% | -21.81% | -170.55% | -154.89% | - |
| EBITDA | -172.24M | -139.25M | -32.53M | -10.94M | 9.06M | 45.01M | 30.1M | 25.7M | 24.69M | -13.92M | -6.7M | -27.21M | 22.32M | -18.91M | -26.73M | -9.21M | 10.18M | -34.52M | -52.31M | -79.47M | -65.13M | -23.86M | -9.15M |
| EBITDA Margin % | -79.84% | -64.44% | -16.36% | -5.68% | 3.56% | 16.75% | 12.13% | 11.31% | 12.79% | -8.43% | -4.59% | -24.76% | 44.49% | -55.8% | -81.68% | -29.46% | 28.9% | -759.13% | - | - | - | - | -26932.57% |
| EBITDA Growth % | -76.85% | -328.1% | -197.28% | -220.75% | -79.86% | 49.51% | 17.12% | 4.08% | 277.41% | -107.65% | 75.37% | -221.94% | 218.04% | 29.27% | -190.17% | -190.49% | 129.49% | 34.01% | 34.17% | -22.01% | -172.95% | -160.75% | - |
| D&A (Non-Cash Add-back) | 13.43M | 11.92M | 8.13M | 3.01M | 2.73M | 2.84M | 2.86M | 2.89M | 2.96M | 2.98M | 11.87M | 12.97M | 2.25M | 1.5M | 1.5M | 1.5M | 1.83M | 1.42M | 530.8K | 571.59K | 575.37K | 423.83K | 376.71K |
| EBIT | -180.05M | -138.65M | -22.92M | 6.34M | 11.3M | 42.36M | 31.66M | 22.81M | 21.74M | -16.9M | -18.57M | -40.19M | -57.55M | -21.2M | -29.18M | -10.71M | 8.84M | -35.95M | -51.06M | -74.06M | -63.51M | -23.85M | -9.53M |
| Net Interest Income | 0 | 0 | 0 | 0 | 0 | 199K | 4.42M | 6.22M | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 461K | 431K | 89K | 0 | 0 | 2.21B | 0 | 0 |
| Interest Income | 0 | 0 | 0 | 0 | 0 | 199K | 4.42M | 6.22M | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 461K | 431K | 89.1K | 1.78M | 5.91M | 2.2B | 0 | 0 |
| Interest Expense | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 97 | 0 | 0 | 4.83K | 0 | 0 |
| Other Income/Expense | 8.47M | 12.52M | 17.74M | 20.29M | 4.97M | 199K | 4.42M | 6.22M | 3.61M | 1.47M | 665K | 320K | 124K | 145K | 1.51M | 461K | 431K | 89.1K | 1.78M | 5.98M | 2.2M | 410K | 59.06K |
| Pretax Income | -177.2M | -138.65M | -22.92M | 6.34M | 11.3M | 42.36M | 31.66M | 29.03M | 25.35M | -15.43M | -17.91M | -39.87M | 20.19M | -20.25M | -27.66M | -10.25M | 9.27M | -35.86M | -51.06M | -74.06M | -63.51M | -23.88M | -9.47M |
| Pretax Margin % | -82.14% | -64.16% | -11.53% | 3.29% | 4.44% | 15.77% | 12.76% | 12.78% | 13.12% | -9.35% | -12.26% | -36.27% | 40.25% | -59.79% | -84.53% | -32.77% | 26.32% | -788.5% | - | - | - | - | -27867.38% |
| Income Tax | 97.65M | 81.83M | -4.02M | 3.83M | 5.03M | 9.21M | 8.32M | -86.53M | 138K | 136K | 104K | 0 | 0 | 0 | 0 | -444K | 2.08M | 0 | 0 | 9.88K | 549 | 7.65K | 4.95K |
| Effective Tax Rate % | -55.11% | -59.02% | 17.54% | 60.42% | 44.47% | 21.74% | 26.28% | -298.07% | 0.54% | -0.88% | -0.58% | 0% | 0% | 0% | 0% | 4.33% | 22.41% | 0% | 0% | -0.01% | -0% | -0.03% | -0.05% |
| Net Income | -274.85M | -220.47M | -18.9M | 2.51M | 6.28M | 33.15M | 23.34M | 115.55M | 25.21M | -15.57M | -18.01M | -39.87M | 20.19M | -20.25M | -27.66M | -9.8M | 7.19M | -35.86M | -51.06M | -74.07M | -63.51M | -23.88M | -9.47M |
| Net Margin % | -127.41% | -102.02% | -9.51% | 1.3% | 2.47% | 12.34% | 9.4% | 50.86% | 13.05% | -9.43% | -12.33% | -36.27% | 40.25% | -59.79% | -84.53% | -31.35% | 20.42% | -788.5% | - | - | - | - | -27881.95% |
| Net Income Growth % | -310.61% | -1066.53% | -853.29% | -60.02% | -81.07% | 42.06% | -79.8% | 358.4% | 261.93% | 13.56% | 54.82% | -297.49% | 199.66% | 26.78% | -182.23% | -236.29% | 120.06% | 29.78% | 31.06% | -16.62% | -165.91% | -152.1% | - |
| Net Income (Continuing) | -274.85M | -220.47M | -18.9M | 2.51M | 6.28M | 33.15M | 23.34M | 115.55M | 25.21M | -15.57M | -18.01M | -39.87M | 20.19M | -20.25M | -27.66M | -9.8M | 7.19M | -35.86M | -51.06M | -74.07M | -63.51M | -23.88M | -9.47M |
| Discontinued Operations | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 |
| Minority Interest | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 |
| EPS (Diluted) | -4.56 | -3.74 | -0.32 | 0.04 | 0.11 | 0.58 | 0.42 | 2.11 | 0.48 | -0.35 | -0.41 | -0.94 | 0.55 | -0.67 | -0.98 | -0.35 | 0.25 | -1.33 | -1.92 | -2.81 | -2.51 | -0.05 | -0.02 |
| EPS Growth % | -307.61% | -1068.75% | -833.94% | -60.36% | -81.03% | 38.1% | -80.09% | 339.58% | 237.14% | 14.63% | 56.38% | -270.91% | 182.09% | 31.63% | -180% | -240% | 118.8% | 30.73% | 31.67% | -11.95% | -4840.94% | -151.49% | - |
| EPS (Basic) | - | -3.74 | -0.32 | 0.04 | 0.11 | 0.60 | 0.43 | 2.17 | 0.50 | -0.35 | -0.41 | -0.94 | 0.58 | -0.67 | -0.98 | -0.35 | 0.26 | -1.33 | -1.92 | -2.81 | -2.51 | -0.05 | -0.02 |
| Diluted Shares Outstanding | 60.23M | 58.93M | 58.15M | 57.56M | 56.98M | 56.92M | 55.19M | 54.85M | 53.05M | 44.74M | 43.45M | 42.25M | 36.69M | 30.35M | 28.23M | 28.11M | 28.53M | 27.02M | 26.65M | 26.36M | 25.34M | 469.97M | 469.97M |
| Basic Shares Outstanding | 60.23M | 58.93M | 58.15M | 57.38M | 56.46M | 55.55M | 54.43M | 53.14M | 50.86M | 44.48M | 43.45M | 42.25M | 34.77M | 30.35M | 28.23M | 28.11M | 27.92M | 27.02M | 26.65M | 26.36M | 25.34M | 469.97M | 469.97M |
| Dividend Payout Ratio | - | - | - | - | - | - | - | - | - | - | - | - | - | - | - | - | - | - | - | - | - | - | - |
Quick answers to the most common questions about buying VNDA stock.
For fiscal year 2025, Vanda Pharmaceuticals Inc. (VNDA) reported total revenue of $216.1M. This represents a 635877.0% increase compared to $0.0M in 2004.
Vanda Pharmaceuticals Inc. (VNDA) reported a net loss of $220.5M for the fiscal year ending 2025.
Vanda Pharmaceuticals Inc. (VNDA) reported an operating income of $-151.2M, resulting in an operating profit margin of -70.0%. This margin reflects the operational efficiency of the business before interest and taxes.
Vanda Pharmaceuticals Inc. (VNDA) generated $203.1M in gross profit for the year, representing a gross profit margin of 94.0%. This demonstrates the company's core pricing power and production efficiency.
Key Metrics
Top Statement Risk
Patent Litigation and Exclusivity
Metrics are mathematically derived from official filings.
Revenue Growth Lacks Consistent Momentum
As reported in recent quarterly filings, Vanda's revenue growth remains highly inconsistent, fluctuating between a 29.8% contraction in 2023Q4 and a 22.8% expansion in 2024Q3, suggesting that the company struggles to maintain a predictable trajectory for its core HETLIOZ and Fanapt product franchises.
The volatility in top-line performance appears to be driven by the interplay between specialty pharmacy channel dynamics and the ongoing legal challenges surrounding patent exclusivity. Investors should monitor whether the recent Bipolar I indication for Fanapt can provide a sustained growth floor, as current figures suggest the company is highly sensitive to payer-driven gross-to-net adjustments.
High Gross Margins Mask Operational Inefficiency
Based on financial statements, Vanda maintains a robust gross margin profile, consistently hovering near 93%, yet this structural advantage is entirely offset by aggressive spending, as evidenced by the 2026Q1 operating margin of -97.1% which highlights a significant disconnect between product pricing power and profitability.
While the high gross margin confirms the premium nature of their orphan drug portfolio, the inability to convert this into operating profit suggests that the cost of maintaining market access and defending intellectual property is currently unsustainable. This margin structure implies that the company is essentially a high-cost litigation vehicle rather than a traditional commercial-stage pharmaceutical entity.
Escalating SG&A Outpacing Revenue Generation
According to SEC filings, Vanda's SG&A expenses have surged from $23.6 million in 2023Q4 to $68.4 million in 2026Q1, a trend that indicates management is prioritizing defensive legal and marketing expenditures over the achievement of operational scale or expense discipline in the current environment.
The rapid expansion of the SG&A line item relative to stagnant revenue growth warrants further investigation into the nature of these costs, particularly regarding whether they represent recurring commercial support or one-time legal defense outlays. This cost trajectory suggests that the company's path to break-even is becoming increasingly difficult without a significant, non-litigation-related revenue catalyst.
Litigation Strategy Risks Capital Depletion
Based on the provided income statement data, the company's persistent net losses, culminating in a -93.9% net margin in 2026Q1, suggest that the current strategy of aggressive patent defense may be eroding shareholder value faster than it can be replenished by the underlying drug portfolio.
Short-sellers would likely focus on the widening gap between cash burn and revenue, arguing that the reliance on legal outcomes to protect market share is a high-risk, low-probability path to long-term viability. The lack of a clear inflection point in the operating income suggests that the company may face a liquidity crunch if the current R&D and legal spending levels are not curtailed.