Kamada's Record H1: Plasma Strategy and Portfolio Breadth Drive Momentum

Double-digit growth across all metrics, a new $50M plasma supply pact, and confidence in 2026 guidance — but no raise, and a CFO departure.

KMDA.TA · Earnings Call · 2026-08-12

Record Results, Same Guidance

Kamada delivered a standout first half of 2026, with revenue and adjusted EBITDA at record highs. Total H1 revenue reached $100.2 million (up 13% YoY), while Q2 revenue surged 23% to $54.9 million — the strongest quarter in company history. Adjusted EBITDA for Q2 climbed 29% to $14.1 million, and H1 adjusted EBITDA of $25.7 million represented a 26% margin. Net income rose 18% in H1 to $13.4 million. “we continue to execute on our strategic multi-year growth plan, delivering record high operational and financial performance during the first half of 2026, with strong double-digit growth in revenues and adjusted EBITDA for both the 6 months and second quarter reporting periods.” — Amir London, Chief Executive Officer · 2026-08-12 The company's record high figures are built on organic growth alone, with Amir London emphasizing that the growth is “driven solely by our existing commercial product portfolio, organic growth.” Despite the outperformance, management reiterated its 2026 guidance of $200–205 million in revenue and $50–53 million in adjusted EBITDA — approximately 50% of the midpoint already banked in H1. When asked why not raise, London noted: “We have already forecasted significant growth this year, 12% in revenue, 23% in EBITDA compared to last year and we are executing to the plan.” — Amir London, Chief Executive Officer · 2026-08-12 This conservative stance reflects management's confidence in a strong second half while leaving room for potential upside from M&A or the plasma ramp.

Plasma: From Collection to a $50 Million Supply Deal

The most significant strategic development is the newly announced 3-year, $50 million agreement to supply normal source plasma to a leading biopharmaceutical company. This validates the build-out of two Texas collection centers (Houston and San Antonio) and the company's vertical integration strategy.

This agreement validates our plasma collection strategy and the investments we made in our U.S.-based state-of-the-art plasma collection centers, as well as our vertical integration strategy and multi-year revenue growth objectives.
Amir London, Chief Executive Officer · 2026-08-12

Initial commercial sales are expected in Q4 2026 and are already included in annual guidance. The capacity math is clear: each of the two centers contributes $8–10 million annually, so the $50 million deal aligns with the combined capacity. “So, this is the current capacity, and this capacity has been basically sold to – based on the contract we signed.” — Amir London, Chief Executive Officer · 2026-08-12 The third center (Beaumont) is dedicated to specialty plasma for in-house use, supporting gross margin expansion over time. This marks a maturation of the specialty plasma strategy that has been a recurring theme in prior quarters. Finance chief Chaime Orlev noted that while H1 gross margin dipped slightly due to product mix, the company maintained a 26% EBITDA margin and generated cash from operation of $17.8 million in H1 — a 137% improvement over prior-year's $7.5 million. The plasma story has been building for several quarters. In Q1 2026, management outlined the FDA approvals and expected sales timing: “We expect to start selling normal source plasma in the second part of this year once the centers are approved.” — Amir London, Chief Executive Officer · 2026-03-11 Now that FDA approvals for Houston and San Antonio are in hand, the $50 million contract accelerates the realization of that plan.

CYTOGAM: Investing in Clinical Evidence

Beyond plasma, Kamada continues to invest in its CYTOGAM franchise, which has faced headwinds from antiviral competition and the need for fresh clinical data. The SHIELD study — a prospective, randomized, controlled trial in CMV high-risk kidney transplant recipients — is a centerpiece. kidney transplant represents over 50% of solid organ transplants in the U.S., so success could significantly expand CYTOGAM's footprint. The company recently highlighted real-world data from Dr. Calabrese at the ISHLT meeting showing improved outcomes with CYTOGAM in lung transplant settings. Management's confidence is reinforced by the investigator initiated trial titled SHIELD, which aims to reduce late-onset CMV disease. Prior calls have emphasized the need for evidence: “We believe that the data generated by these studies will support increased product utilization for CYTOGAM.” While CYTOGAM growth is expected to be gradual, the diversity of the portfolio — KEDRAB, GLASSIA, VARIZIG, HEPAGAM — continues to drive results. The distribution business is expanding with biosimilars in Israel and new MENA partnerships, contributing to growth track.

Looking Ahead: CFO Transition and M&A

A notable governance change: CFO Chaime Orlev will depart at year-end after nine years, with a search underway. While this adds uncertainty, London framed it as a transition with full support. M&A remains a core pillar, with the company actively screening commercial-stage plasma and specialty pharma assets. The strengthened cash position and the plasma deal provide dry powder for future deals. Kamada's ability to convert profits into cash, maintain a dividend, and fund internal growth while pursuing M&A positions it well. The dividend payment of $14.4 million in Q2 nonetheless kept cash at $70.1 million, underscoring financial flexibility. As London remarked, “we are basically growing year after year, quarter after quarter.” — Amir London, Chief Executive Officer · 2026-08-12 The next milestone is Q4 plasma sales, which will test whether the $50 million contract can deliver on its promise.