ROSSI DINO A 4

What Happened

• Dino A. Rossi, a director of Krystal Biotech (KRYS), exercised 18,950 options and immediately sold 18,950 shares in two open‑market transactions on 2026-02-19. He acquired the shares at $8.79 each (total cost $166,570) and sold 8,116 shares at $260.49 ($2,114,103) and 10,834 shares at $262.10 ($2,839,591), for combined proceeds of $4,953,694. The filing also reports a related derivative disposal of 18,950 shares at $0.00 (see footnote).

Key Details

• Transaction date: 2026-02-19 (reported on Form 4 filed 2026-02-23 — timely filing)
• Exercise (M): 18,950 shares acquired at $8.79 each = $166,570
• Sales (S): 8,116 shares @ $260.49 = $2,114,103; 10,834 shares @ $262.10 = $2,839,591; total sales ≈ $4,953,694
• Derivative disposal: 18,950 shares @ $0.00 (reported as derivative — likely related to the option exercise)
• Footnotes: F1 — multiple lots at same price combined; F2 — options vested ratably over a four‑year period beginning June 1, 2018
• Shares owned after transaction: not disclosed in the supplied filing data

Context

• The sequence (exercise followed by same‑day open‑market sales of the exercised shares) is effectively a cashless exercise/liquidation of the option gain; this is a common way insiders monetize vested option value and does not, by itself, indicate a change in company outlook.
• The options involved were part of a grant that vested ratably beginning in 2018 (per footnote), suggesting these were previously vested awards rather than new grants.