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    Franc Brisebois

    Research Analyst at Oppenheimer & Co. Inc.

    Franc Brisebois's questions to KALA BIO (KALA) leadership

    Franc Brisebois's questions to KALA BIO (KALA) leadership • Q4 2021

    Question

    Franc Brisebois from Oppenheimer followed up on the gross-to-net pressure, asking for the specific reason it worsened in Q4. He also questioned the relative importance of Medicare versus commercial wins for improving gross-to-net and asked for a reminder on how long a single EYSUVIS prescription typically lasts for a patient.

    Answer

    Todd Bazemore, President and COO, explained that a larger percentage of filled prescriptions in Q4 had no insurance benefit, requiring a full buy-down from the WAC, which pressured gross-to-nets. He clarified that commercial wins improve gross-to-net, while Medicare wins primarily open up demand fulfillment. He also estimated that one prescription covers at least a couple of flares. Mary Reumuth, CFO, confirmed that the increase in units going through the co-pay card was the primary driver of the gross-to-net issue.

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