Conor MacKay

Conor MacKay asked about the anticipated evolution of Schrödinger's customer split as the company works towards its 10%-15% annual software ACV growth goal by 2028. He specifically inquired how a gradually improving biotech funding environment and the introduction of newer products might influence this customer segmentation.

Answer

Ramy Farid, CEO, stated that while specific segment ACV growth is not being guided, the company anticipates a recovery in biotech, tailwinds from increased adoption of agentic AI, and revenue generation from new products to positively impact all segments, including both life sciences and material science.

Conor MacKay, on for Evan Sigerman, asked for a characterization of recent interactions with the FDA regarding the Vepdeq submission. He also inquired about the strategic positioning of the KRAS G12D degrader (ARV-806) versus the company's pan-KRAS agent.

Answer

CEO John Houston described interactions with the FDA on Vepdeq as having gone 'very smoothly' and 'excellent' without any delays. Regarding KRAS, CMO Noah Berkowitz and CSO Angela Cacace explained that ARV-806 is advancing rapidly in dose escalation with the intent to move into combinations. They differentiated it based on its high potency and ability to overcome KRAS resynthesis, a key resistance mechanism for inhibitors, positioning it strongly against other clinical-stage agents.

Conor MacKay of BMO Capital Markets, on for Evan Seigerman, asked about the peak sales opportunity for Nyctinvo and whether the early launch trajectory has altered expectations. He also asked about therapeutic areas of focus for BD.

Answer

CEO Bill Meury suggested that achieving combination use with Jakafi and developing a subcutaneous form would be key to Nyctinvo's long-term potential, positing that a competitor's sales could be a 'low watermark.' EVP Mohamed Issa added the current indication alone could reach several hundred million in annual sales by 2028. On BD, Bill Meury remained focused on Incyte's current areas of expertise.

Conor MacKay, on for Evan Seigerman, asked what Amgen needs to see from the upcoming Phase III ROCKET program readouts to be confident in rocatinlumab's competitive position in atopic dermatitis.

Answer

James Bradner, EVP of R&D, explained that the comprehensive 8-study ROCKET program is designed to provide deep, granular insights. He detailed how multiple studies reading out in 2025 will define the drug's full efficacy and safety profile as both a monotherapy and in combination therapy, which will clarify its competitive positioning.

Conor MacKay, on behalf of Evan Seigerman at BMO Capital Markets, asked about the expected ramp in spending and resource allocation between internal and partnered programs as assets move into the clinic next year.

Answer

CFO Andrew Booth clarified that the initial Phase I trials are not expected to cause a significant increase in operating expenses in 2025. He projected that the 2025 R&D run rate will be similar to 2024, with the main financial change being a significant drop-off in capital expenditures as major facility construction concludes in early 2025.