Thomas Smith

Thomas J. Smith of Leerink Partners inquired about the gross-to-net and inventory dynamics during the quarter, asking for clarification on the apparent improvement in net pricing versus Q1 and the outlook for the remainder of the year.

Answer

CFO Mardi Dier explained that the quarter's results were driven by strong demand and reiterated that gross-to-net will be choppy early in the launch. She noted that while contracting began in April, the more significant impact is expected in the second half of the year, keeping the metric within the typical specialty pharma range. CEO Bill Sibold added that the company takes a long-term, disciplined view on gross-to-net to preserve value.

Thomas Smith of Leerink Partners inquired about the Rezdiffra launch momentum in early 2025, asking for commentary on new patient additions, any changes in cadence, and the impact of Q1 insurance dynamics. He also sought color on Q1 and full-year 2025 performance relative to successful specialty drug launch analogs.

Answer

CEO William Sibold confirmed that the strong momentum from 2024 has continued into 2025 with steady patient and prescriber growth, while acknowledging the typical 'Q1 dynamic' that the company is managing well. CFO Mardi Dier added that while not providing specific guidance, they expect the Q1 2025 consensus to narrow and increase, and that the launch continues to track well against their basket of top specialty launch analogs.

Thomas Smith inquired about early visibility into patient persistence and refill rates for Rezdiffra, and also asked about the company's business development strategy for building a pipeline beyond Rezdiffra.

Answer

CEO William Sibold responded that it is too early to quantify persistence but that early indicators are optimistic. On business development, he affirmed Madrigal's goal to be the leading NASH company by building a pipeline. He noted the company is evaluating opportunities across all stages and is receiving inbound interest due to its leadership position, with a focus on finding the right assets to add to the portfolio.

Thomas Smith asked about recent long-term follow-up data from a competitor SRM in Graves disease suggesting potential for long-term disease remission. He inquired about the importance of disease modification in argenx's decision to pursue TED/Graves and sought an initial assessment of the addressable market opportunity.

Answer

Tim Van Hauwermeiren, Chief Executive Officer, acknowledged the competitor data as interesting but cautioned that it involved a very small sample, warranting further investigation in larger, controlled trials. Karen Massey, Chief Operating Officer, explained that Graves was selected based on biology, development feasibility, and a significant commercial opportunity driven by a large prevalence and a subset of patients with clear unmet needs, also noting the franchise opportunity with TED.

Thomas Smith from Leerink Partners asked for comments on recent long-term follow-up data from a competitor's SRM in Graves' disease, inquiring about the importance of potential disease modification in argenx's decision to pursue thyroid eye disease (TED) with VYVGART. He also sought expansion on the market potential and initial assessment of the addressable market for Graves'.

Answer

Tim Van Hauwermeiren, Chief Executive Officer, acknowledged the competitor's data but cautioned that it was from a very small sample, warranting further investigation in larger trials. Karen Massey, Chief Operating Officer, explained that Graves' was selected based on strong biology, development feasibility, and a significant unmet patient need within a large prevalence, creating a franchise opportunity with TED.

Thomas Smith asked about the lupus nephritis (LN) proof-of-concept study, inquiring about the baseline characteristics of the patients enrolled in China by Zai Lab and the company's bar for success.

Answer

CEO Tim Van Hauwermeiren praised partner Zai Lab and explained the trial is a true proof-of-concept designed to answer the primary question of whether the IgG-lowering mechanism works in LN patients. He stated that if the data is positive, argenx will advance to a global Phase III trial designed to account for different global treatment regimens.

Thomas Smith asked about the baseline patient characteristics in the Phase II VENTURE oral study and how they compare to the prior injectable study. He also inquired about the need for additional manufacturing capacity or redundancy beyond the CordenPharma agreement.

Answer

Brian Lian, President and CEO, stated he had not yet reviewed the demographic data for the oral study but expected it to be similar to past trials. He confirmed that Viking does plan to establish redundancy across its entire supply chain to ensure capacity and mitigate risks.

Thomas Smith asked for an update on the review of the 100mg oral VK2735 cohort data, whether higher doses might be explored, what additional analyses for VK2809 in NASH could be expected at the upcoming AASLD meeting, and the current strategy for partnering the NASH program.

Answer

Executive Brian Lian deferred detailed comments on the 100mg cohort until the ObesityWeek data release but noted nothing precluded dosing higher. For VK2809, he said to expect more granular data on histologic changes at AASLD. He reiterated that the company's strategy for the NASH program remains to advance it in collaboration with a larger pharmaceutical partner.

Inquired about the status of partnership discussions for vidofludimus and the progress on Phase II plans for IMU-856, including regulatory feedback and gating factors for starting the next study.

Answer

The company is actively exploring various partnership structures (full licensing, regional deals, profit-sharing) for vidofludimus while also building in-house commercial capabilities. For IMU-856, Phase II development across several potential GI indications is contingent on securing additional financing, a license, or a partnership, as the company's primary focus remains on its MS programs.

Thomas Smith of Leerink Partners questioned the specifics of the neurofilament light chain (NfL) assay used and its variability. He also asked about life cycle management, specifically regarding additional intellectual property for vidofludimus calcium or other preclinical Nurr1 activator compounds.

Answer

CEO Dr. Daniel Vitt explained that the company uses the state-of-the-art Simoa technology by Quanterix with a dual-antibody test system to ensure high precision and low variability in NfL measurements. On life cycle management, he confirmed that the discovery of Nurr1 activation has created an attractive platform. Immunic is actively working on the biology and chemistry, developing derivatives, filing new IP, and exploring applications in other neurodegenerative diseases like Parkinson's.

Inquired about any preclinical data comparing ATI-2138 to upadacitinib (a JAK1 inhibitor), the rationale for choosing an open-label trial design for the Phase IIa study, and the expected timeline for top-line data from that study.

Answer

The company stated the key differentiator is ITK inhibition, which they believe will provide an additive effect to outperform competitors, though they have no direct preclinical comparisons to upadacitinib. The open-label design was chosen for speed and cost-efficiency in enrollment, as they believe the required efficacy bar is well understood. They are not giving specific guidance on data timing but expect it within a year.

Thomas Smith asked if Aclaris had any preclinical data comparing ATI-2138 to the selective JAK1 inhibitor upadacitinib and how it might position against it in atopic dermatitis. He also questioned the choice of an open-label trial design over a placebo-controlled one and asked for a timeline for top-line data.

Answer

Interim CEO Neal Walker responded that the key differentiator is ITK inhibition, which directly targets Th2 cytokines and is expected to provide an additive effect to outperform drugs like upadacitinib, though he noted no direct head-to-head preclinical data exists. Regarding the trial design, Walker explained that an open-label study is faster and more cost-efficient for signal-finding, given the competitive enrollment environment and well-understood efficacy benchmarks. He did not provide a specific timeline for data but stated it would be available 'within a year of this call.'

Thomas Smith asked about any preclinical data comparing ATI-2138 to upadacitinib (a JAK1 inhibitor), the rationale for an open-label versus placebo-controlled trial design, and the expected timeline for top-line data.

Answer

Interim CEO Neal Walker stated he was unaware of direct comparisons to a pure JAK1 inhibitor but emphasized the hypothesis that the dual ITK/JAK3 mechanism should yield an additive effect. He defended the open-label design as more cost-efficient and faster for enrollment, which is ideal for signal-finding in a well-understood indication like atopic dermatitis. Regarding timing, Walker declined to give specific guidance but indicated data would be available within a year.

Thomas Smith from SVB Securities asked for details on the planned Phase 1b data update, including potential venues and expected patient follow-up. He also inquired about the key differences between Tegoprubart and Sanofi's competing molecule, and the company's current view on broader strategic interest and business development.

Answer

CEO David-Alexandre Gros stated that the company is targeting a medical meeting like Kidney Week towards the end of the year for the data update, by which time the six currently enrolled patients would have follow-up data ranging from over 90 days to a year. He clarified that while both Eledon's and Sanofi's molecules are anti-CD40 ligands, the strategic difference is Eledon's focus on transplantation versus Sanofi's focus on larger indications like MS. Gros concluded that the company is not currently seeking to in-license assets and is focused on executing its own trials with its new capital.

Thomas Smith from SVB Leerink Securities asked for more context on the reported eGFR rates compared to standard of care, details on any drug-related adverse events, and expectations for the pace of enrollment for the ongoing Phase Ib study.

Answer

CEO David-Alexandre Gros stated that the observed eGFRs are notably higher than the typical standard of care, which is in the 50s. He clarified that one drug-related adverse event was BK viremia, a common occurrence in immunosuppressed transplant patients. Regarding enrollment, he expects the Phase Ib study to complete enrollment by year-end, noting that the pace can be variable due to the unpredictable nature of cadaveric organ availability, but that the company has sufficient sites activated.

Thomas Smith of SVB Securities inquired about Eledon's perspective on recent developments in the CD40 landscape, including data from Horizon and Novartis. He also asked for an update on the plans and gating factors for initiating the Phase 2 kidney transplant study in the U.S.

Answer

President and CSO Steve Perrin noted that recent data from competitors validates the CD40 pathway. CEO David-Alexandre Gros reiterated Eledon's focus on its current indications, citing financial constraints for expansion. Perrin and CMO Jeff Bornstein detailed the scientific rationale for targeting CD40 ligand over the receptor in transplants, highlighting differences in expression, pathway blocking, and T-cell repolarization, and noted they can learn from Novartis's study design. Gros confirmed there are no major gating items for starting the U.S. Phase 2 kidney study and that the team is working with CROs on execution.

Thomas Smith of SVB Securities inquired about the updated clinical trial data timelines, asking for the expected number of patients in the Q1 2023 datasets for transplant and IgAN. He also sought details on the islet cell transplant program's University of Chicago team and the rationale for running the Phase 2 renal transplant study in parallel with the ex-US Phase 1b.

Answer

CEO David-Alexandre Gros confirmed the patient numbers remain consistent with previous guidance, with the timeline shifting to Q1 2023 to ensure sufficient data. He and CMO Jeff Bornstein highlighted the University of Chicago's expertise in islet cell transplants. Dr. Bornstein explained the Phase 2 kidney trial's superiority design was guided by the FDA for efficiency, while Dr. Gros noted running it in parallel with the Phase 1b allows for continuous data reporting.

Thomas Smith of SVB Securities asked for more details on regulatory interactions with China's CDE for CBP-201, the company's partnership and commercialization strategy, and the next steps for the CBP-174 program.

Answer

Co-Founder and CEO Dr. Zheng Wei described the CDE's feedback as a positive development, potentially accelerating the BLA submission timeline in China pending positive data. He stated the company is open to both regional and global partnerships for CBP-201. Regarding CBP-174, Dr. Wei and Chief Medical Officer Dr. Chin Lee noted the positive Phase 1 safety data and explained that next steps involve careful planning, including potential formulation optimization and a study design beyond a typical multiple ascending dose trial.

Thomas Smith of SVB Leerink inquired about the enrollment status of the 4.5 mg/kg dose cohort in the Phase 1b CSU study and the expected timing for data from the 1.5 mg/kg cold urticaria cohort. He also asked for an overview of the remaining and planned reproductive toxicology work for CDX-0159.

Answer

SVP and CMO Diane Young stated that the 4.5 mg/kg cohort is still enrolling to gather more high-exposure data, and the cold urticaria data will be presented at a future meeting once sufficient data is collected. Co-Founder and CSO Tibor Keler detailed the planned reproductive toxicology work, which includes standard ePPND studies to evaluate effects during pregnancy and birth, as well as juvenile toxicology studies required before initiating pediatric trials.