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The Transition is Working, but the Clock on Jakafi is Ticking

By Nathan Brinkman

Strong revenue growth with a guidance reset last quarter rattled confidence and left investors wondering whether the pipeline could truly bridge the coming Jakafi patent cliff. Q1 2026 answered that question with some confidence. The company beat on both the top and bottom line, posted 20% net sales growth across a broadening portfolio, and delivered a string of pipeline milestones that appear to accelerate the post-Jakafi growth story. Non-Jakafi revenue grew 63% year-over-year, povorcitinib hit its Phase 3 primary endpoints in vitiligo, the FDA accepted the HS application, and management reaffirmed full-year guidance.

However, Incyte is not out of the woods. Jakafi’s 2028 patent expiry remains the central structural tension in the thesis, but Q1 made it considerably harder to argue that the transition is failing.