Simon Baker

Simon Baker asked for clarification on the typical nature of the $7.6 million deferred revenue balance and any factors influencing it from a modeling perspective. He also inquired about the underlying sequential trends in the cost of goods sold (COGS) line, asking if it's too early to see gross margin improvement and over what timeframe such improvement is expected.

Answer

Dr. Christian Itin, CEO of Autolus Therapeutics, explained that deferred revenue reflects the lag between product shipment to centers and actual patient infusion, influenced by scheduling and patient condition. He stated that COGS are noisy during launch due to underutilized infrastructure, but volume growth and operational efficiencies (reducing time and material costs per batch) are expected to improve gross margins as sales increase in 2026. Rob Dolski, CFO, added that Q3's deferred revenue recognition impacted gross margin, but it provides a good load for Q4 sales, reiterating the need for more data points for smoothing effects.

Simon Baker asked for insights into the market opportunity and size for RINVOQ in nonsegmental vitiligo, and about the pricing strategy for Elahir's UK launch, specifically if it signals a shift towards a U.S.-style gross-to-net market in Europe.

Answer

EVP and CCO Jeff Stewart estimated the next wave of RINVOQ indications (alopecia areata, vitiligo, HS, lupus) to have at least $2 billion in peak revenue potential, noting RINVOQ's potential as the first systemic treatment for vitiligo. He confirmed Elahir's UK list price is similar to the U.S., but acknowledged that European markets are HTA-driven, and net prices will be determined through evaluations like NICE.

Simon Baker asked about the market opportunity size for RINVOQ in nonsegmental vitiligo and inquired about ELAHERE's U.K. pricing strategy, specifically if it signals a shift towards a U.S.-style gross-to-net market in Europe.

Answer

Jeff Stewart, Executive Vice President, Chief Commercial Officer, estimated the combined peak revenue potential for RINVOQ's next wave of indications (alopecia areata, vitiligo, HS, lupus) to be at least $2 billion, noting vitiligo's segmentation. Regarding ELAHERE's U.K. pricing, he confirmed the list price is similar to the U.S. but acknowledged that net prices in HTA markets like the U.K. will be determined after NICE evaluation, and AbbVie desires reforms in European pricing systems.