The company said it entered into a settlement agreement with Novartis Pharma AG on May 11, 2025 to resolve litigation over the duration of royalty payments under the Collaboration and License Agreement dated November 24, 2009.

1. 01

   The company said it entered into a settlement agreement with Novartis Pharma AG on May 11, 2025 to resolve litigation over the duration of royalty payments under the Collaboration and License Agreement dated November 24, 2009.

2. 02

   The company said it agreed to pay Novartis $280.0 million to settle disputed royalties on JAKAFI net sales in the United States through December 31, 2024.

3. 03

   Incyte said it agreed to reduce the royalty rate on future U.S. JAKAFI net sales by 50% beginning January 1, 2025, for a period set out in the settlement agreement. The reduced royalty for the quarter ended March 31, 2025 is about $14.9 million.

4. 04

   The company said it had accrued about $537.1 million in unpaid royalties related to the dispute as of March 31, 2025, and that it expects to record the $242.2 million difference between that amount and the total payment to Novartis in its condensed consolidated statement of operations for the quarter ending June 30, 2025.

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