IRWD - Earnings call transcript Q4 2017 | Ironwood Pharmaceuticals, Inc.

Due to licensing restrictions, you must log in to view earnings call transcripts.

Operator

Good day, ladies and gentlemen, and welcome to the Ironwood Pharmaceuticals Fourth Quarter 2017 Investor Update Call. At this time, all participants are in a listen-only mode. Later, we will conduct a question-and-answer session and instructions will follow at that time. [Operator Instructions].

As a reminder, this conference is being recorded. your today's introduce Ms. to like host conference, for I'd Meredith Kaya. begin. Maám may you

Meredith Kaya

morning, us XXXX full joining thanks investor our Good for and for and fourth quarter update. year

Safe on be earlier press quarterly differ and call XX-Q materially. current under XXXX, results to update in these quarter-ended uncertainties include the statements we of Harbor of morning Our that the SEC well Such heading slides our the statements wire as date A statements. statements. as such factors XX, speak future risks the Statement slide and crossed and www.ironwoodpharma.com. report undertake as discussion of release accompanying is filings. can and to involve no Risk Factors found forward-looking statements Today's presentation, All may and September on for website, obligation our actual available this in our Form risk forward-looking on the and cause this

McCourt, Officer; during Development Tom Joining a Chief me Financial to will available for Officer; today's Officer; Operating Gina quarter be of Huyett, and who review provide Wright, Consylman, will XXXX performance XXXX Ironwood's question-and-answer Chief Officer via webcast. Bill Scientific introductory referring the slides Commercial and Officer Chief portion Currie, and and will and Mark the also Chief few will guidance. financial Chief the who financial fourth Hecht, available Chief Gina Officer Executive year remarks full call Chris are Peter be call. provide Peter

over the please to now webcast our you section to For turn to access of like in, dialing Event I'd to Peter. of those the call go slides. website

Peter Hecht

of was so year Ironwood. appreciate AT&T morning our you Good month. call XXXX many today. everyone. important great It at joining an last conference Thanks the was We seeing you Meredith.

pipeline. late extend advanced LINZESS the the mid growth Japan, the rapid and and our continued for stage launched we U.S., We sets the our Astellas the DUZALLO This in U.S. continuing introduced market stage in in LINZESS, partner ahead. for we in years to

XXXX by Total they was contribution on LINZESS margins, slower net points launch strongly primarily years. With This was and and and revenue at at in greater key sales, year-over-year million in inventory driven Japanese grew $XXX gain to revenues into said the a U.S. LINZESS. [ph]. had Some of from build than performance. XX% pace less XXXX LINZESS market due U.S. previous expanding LINZESS's growing commercial LINZESS investments grew volume largely continued access that share. to year-over-year

IW-XXXX a billion expect with and greater expansion LINZESS sales As in years than margin many we patients after with named that. encouraging with recently by reported continuing generate With the leader hypertension uncontrolled prescription growing GERD mode growth IIb branded for praliciguat. data to broad $X very data with in we II exciting was Phase market our in in pipeline diabetic net with which IW-XXXX XXXX Phase and

have them Bill are we in XXXX we're the terrifically pleased CFO. each on leadership Wright, strengthened Gina board. of doing well Lastly to to Consylman with to and Huyett, Chris the addition They team promotion and substantially

this exciting XXXX, to an Turning up is be to year. shaping

top strong deliver innovative line to capital allocation. disciplined continuing to and to expect candidates product We decisively while advance our exercise growth

revenue ex-U.S. LINZESS CAGR track LINZESS, and front U.S. than driven On the revenue and deliver to we're greater XXXX by on XX% XXXX primarily contribution, between DUZALLO.

innovative preserved failure fraction, to some uncontrolled nephropathy continues with GERD tackle aim to approach develop that sickle cell of successful needs team heart leverage products Our targeted to to disease. ejection management's from unmet greatest to R&D and diabetic disease our

to bloating explore additional its discomfort. We first abdominal this expect to the programs including on symptoms initiate two year, Phase abdominal LINZESS and III effect for

for acid sequestrant The for trials retentive gastric our registration is GERD. IW-XXXX, second the uncontrolled bile pivotal

for our HFpEF diabetic with trials and II Phase and for four sickle cell XXXX. XXXX running Praliciguat we're nephropathy disease. simulators and and addition In SEC achalasia praliciguat

we're As both [ph] at partnering actively discussions praliciguat. and XXXX highlighted for H&Q in engaged we

maximize to these to closely these within life and most are of opportunities will share partners our goals given these who identify partnering long patients vision the shareholders assets the value Our IP for both and collaborations. U.S. and for for underpin without the that

fellow continue and we follow opportunities will Finally ourselves to capital wherever see and value data for the the we allocate highest our shareholders.

the With should of over to full I All generate to will operating that take through XXXX the our turn flow to quarter of year financials. these in us Gina fourth enable cash and flow XXXX. positive positive cash it efforts for you

Gina Consylman

concentrate as year-over-year going release well refer press from fourth revenue of for from million. fourth up good year information. financial morning provide as and XX recorded to detailed of on XXXX highlights financial everyone. our XXXX full and to our million quarter XX total X% the I Peter We financial Please the quarter for Thanks results am XXXX guidance.

DUZALLO an in For with transition milestones XXX,XXX the XXXX fourth including benefited in XXX X% XX Astellas. million million from year XX XXXX recognition a well million Astellas. in totaled API as full collaboration mind year million of from U.S. in XXX was the from approximately million XXXX. from revenue primarily our of our Allergan approximately to in the Keep net model. for and full due to adjustment X total million related to sales of and XXXX XX of XXXX as selling revenue ZURAMPIC revenue Combined sale million an XXX revenue from quarter approximately LINZESS increase to and consisted

in for XX operating operating of SG&A. to R&D the expenses total Moving fourth were XXXX XX including expenses XX million and quarter in Ironwood's million million

Astra that we million might of In to revised U.S. period. remeasurement recorded the XX the on the on quarter reflect noticed future launch. of contingent consideration value fourth represents XXXX. lesinurad a consideration You slower during product gain to of due fair were This quarter is value forecast fourth Contingent the profitable for with have to we estimated of revenues. Zeneca fair payments related license the XXXX agreement our our a

to and decrease liability in royalty the our million. gain consideration resulted As estimated the approximately we such a of contingent XX decreased milestone payments, future

in in expenses R&D and including the expenses our guided XXX operating both For XXX million XXXX the full million SG&A year at of were total end low ranges. XXXX expenses XXX million

Turning remember and adjustments; adjustment contingent and for was million three loss we convertible the that to to in the share. per $X.XX or the non-cash of for income fourth amortization $X.XX XXX the hedges was fair per a non-GAAP quarter the exclude non-GAAP market or warrants, acquired was and net was $X.XX assets, million note to per related change XXX the value disclosures mark XX year GAAP net full million loss $X.XX of and our consideration. million share loss net GAAP loss of share. XXXX XX XXXX or net or non-GAAP per intangible share the

Turning XXXX to quarter LINZESS full the both quarter and year LINZESS year Access decision compared due prior volume grew million, to volume XX% full fourth XXXX also to and sales XXXX, sales compared XX% between less volume quarter for LINZESS XXXX XXX inventory year to the the the capsules. a of XXXX total year. for total year-over-year to quarter fourth fourth the LINZESS, XX% The full approximately XXXX. a to full to prescription year million for total million and and the [ph] net invest fourth to strategic approximately into growth increase prescription XX was translated growth XXX year-over-year and a build capsules in million for GAAP This the more increase net compared the XXX in XX%

X commercial low LINZESS increase and costs XX of ahead to XX growth to in million were goods net volume million price. the which and marketing of Looking expenses. included XXXX sold single-digit sales strong million and cost in we quarter expect expenses and fourth

XXX million which cost XXX XXX of marketing and million goods For XXXX collaboration sold XXX sales in expenses in expenses. XX million the the quarter LINZESS generated the and commercial full in commercial U.S. included in full total profit. million XXXX year fourth in for cost the year brand and were million approximately and

again margin of historically fourth Commercial year expenses collaboration throughout LINZESS For and profit quarter the fourth strongest from XXXX. million That margin up and Total upon in investment is million was fourth XX% the the case XXX in commercial margin XXXX in XXXX XX%. the quarter. where R&D XXX approximately brand commercial for XXXX. the the approximately U.S. and was full of in demand was levels quarter fluctuates including XX% was net for the based year

million CAGR Importantly remind you for seasonal quarter leverage drove as Ironwood and slide sales depicts, this XXX year approximately Ironwood plans an in X the prescription from XXXX ago disciplined annual of headwinds and sales want CAGR. a Cash of greater including the operating buying growth in XXXX, investments. compared behavior We deductibles. We volume to production driven and the XX in first XX% growth to from LINZESS health growth patient LINZESS operations patterns fourth to revenue our in with spend million ended net both and U.S. significant changing quarter to than total was million period. XX% used resets trade XXXX has

commercial million to and XXXX in track in XXX ZURAMPIC positive to for For XX XXXX cash are used compared milestones related XXXX. to the In pipeline million of full and on than DUZALLO, the operations was less million used year the cash assets, full received cash of the and cash in XXXX operating quarter positive XX operations compared flow investments be key to of used successful the XXXX. launches expect fourth for operations in XXXX. year cash largely to flow Higher XXXX in we XXXX in and for the advancement is generate

first decline through we years the half. As use with highest past and will in the half be expect second cash

for the million, to the We year be the combined million million, XXX to also to XXX less expenses interest net be XXX in be the an in expect us. million to and of to of million XX LINZESS In Allergan million, have marketing we than ahead XXX of sales expense XXX R&D and range in XXX summary expenses to range be range total important of and to Ironwood expenses SG&A million.

top least our programs, and discipline. With to call. line continued I two Phase operator hand initiation the ongoing We III financial four II Phase Q&A will to it of at commercial from begin products, growth that the trials of back portion continue to the expect and

Operator

first Rubin Jami our Goldman the from [Operator line comes of Instructions]. question of And Sachs.

now is open. line Your

Divya Harikesh

Two LINZESS questions. that if for on trade the sought question my Jami repeat do uptake one positive? net that expectations up are and of and up comment second Hi, this against if behalf on is you can My scripts first be your Thank some that for you to buying Harikesh is you XX%, on ZURAMPIC. expect but may; pricing you patterns to Divya LINZESS, sales expect I XXXX XX% questions especially in of background on for were taking were seasonality Rubin. and

in greater gain how of the consideration, to think sales led that the for of milestones stick you've some and about promotional royalties kind the contingent should you than efforts, peak still and guidance for expectations of that lowered product million? we by you. XXX Thank uptake mentioned You reorganized do that

Peter Hecht

of Thanks both Divya, you Tom this. can take

Thomas McCourt

Sure thanks.

you in you metrics the remarkable the that the consider but key I had the we've front actually speaks think the by year. I also first on one we continue demand to overall grew opportunity fifth and that think are all the year. which one of finger with that's quite we the to is think and put brand, regard It execution of us, really I throughout it strength XX% in really also when watch speaks of of year-on-year demand your sound we is to to

payer XX% XX% one consistently far that as and revenue we we Gina have that said growth mentioned, the been. to demand As to the our the And the to observing demand of we are access mean the is have between payer of way brand. that ensure things as I we be is delta that continue to in the to is paramount access able we success maintain need position drive the

we critically but we trend couple So some those give it's do critically price. but as upward will evaluate. continue look a year something decisions up evaluate we to expect in we we did This points forward

since out price do we but benefit launch. see favorable move seen anticipation have is does as as as far will certainly fluctuate be an quarter-over-quarter some buoyancy forward our upward that It trend net price. of We some us in we getting

with as are very far DUZALLO, opportunity the ZURAMPIC encouraged the and As we by DUZALLO. still

a brand sales potential. still see $XXX as as this as its far million First, peak we

in underperformer terms somewhat our expectations deal customer, meet is our as certainly the market about great ZURAMPIC not payer. a learned our While well as the we and of patient

uncontrolled First market and treated patients highly attractive of all still is about very the talking market. symptomatic. itself X a who are We're and are million

need. a unmet clear there's So medical

in competition limited very is this there space addition for In future. the foreseeable

thesis. So clear want strategy and investment care, how core about a We DUZALLO our we the to advancement as doubles thoughtful really our as in basically as proceed be see we from the allopurinol of very, standard they who strong what of care customers efficacy drug. drug begun of the back see as clinical have heard and the we've very far performance to adopt

combination events renal some the takes ZURAMPIC. the off monotherapy of as part the over of table fixed dose addition In the concern with

faster barriers So payer to to use Over it's easy DTC I important patients going reimbursement It's basically as and moves of to reimbursement also to and you be Certainly in patients the that able secure the it D XX% we a to activating had know very evaluating of commercial had to D reimbursement efficacy the potential will that perspective. response Med We're but about eliminates that's are to we've a be sound one understand of of believe the really conducting be which of the very going sales key will we this primary unlocking D. the XXXX commercial double Med of year. really Med patients the We've promotional drug. is the we've care. limited therapy a force. these going drug. pilot pretty the in importance think been than expand

we is the like forward. So the to market, like really moving I still XXXX encouraged we brand, profile, line we're by the bottom mapping course is be think the very going and the

Operator

from And of our Chiang comes question line from next the Tim BTIG.

Your now is open. line

Timothy Chiang

thanks. Hi,

the potentially basis back for do ramp half guys how you you R&D the you of obviously quarterly year. flow sort expenses half? to guys number Just entering expenses, provided key of of in of expect studies a these year, in you the I in expect guys them a this guidance have am up on R&D the terms programs back expenses

Gina Consylman

specific quarterly versus Thank would really expect related II while XXXX is ongoing that this and factor trials the really to right in for the pipeline. give one two then tell you we've throughout I related increase of slight in that a that's that don't Gina. II XXXX second initiate the can over linaclotide, fact And to to R&D the is to related say that our we I XXXX. a expenses increase question. Phase have you in XXXX obviously Phase XXXX guidance and to a continued Hi, trials, we the the now guided success the XXXX had we

Timothy Chiang

and And Gina have the a levels? pretty you the are pretty debt good, if cash the follow of are on maybe your structure levels just up, at just the some capital current existing sort comment you do with comfortable company your you with debt comfort of obviously company, level

Gina Consylman

as in $XXX set forward incredibly ended I Sure, ended strong goals which we we I can over have a XXXX an think tell XXXX We cash note. that on us that strong incredibly with just the company. for up a sets fulfill million all order you in to nicely

are our to that cash in In cash on guidance operating both and positive our to flow basis year of quarter total expect a And addition fourth an we turn to basis continue the to an committed and that the operating of for full to XXXX. we flow on XXXX. expect we

So expectations I meeting pretty feel about our for guidance. we I are and where think good about

Timothy Chiang

to trends the are to you, ratcheting expense way million versus bit the maybe delineate for to about Is one of And XXXX? little there a million year-over-year. last things guidance like down, just a expenses notice $XX is that I why sales Gina going question down $XX sort

Peter Hecht

you take that. Tom, can

Thomas McCourt

is Tim, this Sure Tom McCourt.

maximize continued the the to have evolve brand. of growth mix really I the we think to marketing

see and I brand. Allergan both consumer to I the is going as to growth to much investing very very other advertising. to as this We're the think a important well be think with piece that regard clearly think both as clear raise appropriately I field we it's continue bar. sales we're And

to As right. a do, we leader have what that's market

of drug. grow really to a core OTC do and continue into LINZESS on So to really the stay which clinical raise regards the we bar performance how focused our is the also strategy with from market

going new us broader believe the of through The is which to speak patient symptoms to be drive first of business. source a the claim we allow a will abdominal to population addition

expand IBS beyond In utility chronic will clinical program of addition IBS other as pain delayed far constipation drug the to and and its symptoms. the additional abdominal release forms ability just into as relieve abdominal

fully is continues that thrive it I So both the future to organizations think both LINZESS very are drug. to we utility brand, a as growth LINZESS to of we're and bright as expecting expand a the organizations committed critical

Timothy Chiang

Okay, great, thanks.

Operator

Credit from Suisse. the comes Divan Vamil question next from our And

Your now line is open.

Vamil Divan

taking Hi, thanks the for much questions. so

just So could for ZURAMPIC you breakdown then the can so the curious either you II for revenues to products quarter? that two file second trials on XXXX, fourth ongoing on individually the are in sales the or much. diabetes for I'm Thanks hypertension? prescriptions the your have patients on prescriptions DUZALLO the received one and the combined, down in adjustments based just And you December you made data and for break any two Phase

Peter Hecht

Chris, the question -- second will can take first try you execution. I the

Christopher Wright

So, is failure exciting on indications. XXXX study two end plans and just two the fraction in hi, received sort of hospice patients. standard in really of and these care two changes metabolism, metabolism, in We year saw lipid is this forward last our to of the metabolism, sort really we and nephropathy. HFpEF, and from and top move that as supported We studies towards interesting these glucose know in hypertension a other with diabetic is you with have preserved and XX diabetes -- day in the heart one of ejection data in those ongoing

two on not any ongoing the moving of data. that really that studies so and aspects basis are made we And forward adjustments us of have the those in supportive it's

Peter Hecht

can the take Tom, second. you

Thomas McCourt

also Sure, been split to is growing the as regard far ZURAMPIC its two has as and we What seen have know a ZURAMPIC rather as with DUZALLO DUZALLO three relative times uptake. not need DUZALLO DUZALLO slow is this we cannibalization to ZURAMPIC. you we ZURAMPIC which and with That ZURAMPIC a seeing prescribers and what they But accelerate is what certainly what it do broader we faster from the adopting to really faster with we growth. what than going overall is much saw what mix focus much we're on of an being sad we encouraging DUZALLO are a have by group is more year providing of promotional adopting growth and sign us. than do saw obviously to very encouraging the is really to seen are far to

Vamil Divan

could additional squeeze additional just and abdominal the I LINZESS one mentioning, trial you just III Phase were Okay, for if on more the that symptoms.

give we and might me when better sense that starting data of actually a to get little that's when from trial? Just

Christopher Wright

patients So of IBS study with that activating at III we're claim Phase in abdominal is planning a I extension and think Tom mentioned supporting patients. C symptoms that looking earlier of part new terms

of are reviewing about start just know we year the planned the FDA particular we so date. we'll in the the the now plans are of we exact and timing right our study and In have with meetings later them terms with and

this be we half anticipate it first So, but year. the of to

Vamil Divan

Okay, thank you.

Operator

line the Wells question And David from our [ph] next from Fargo. comes of

now is line Your open.

Unidentified Analyst

morning, few Good questions. a

through us last then just LINZESS nets the we means if the you. either on this in what share LINZESS. what that Japan? Thank the versus a class standstill or First and year update pricing on Allergan? walk give maybe collapses. year? overall progress gross bit second, for corporate this of the an ex-U.S. year potential touched the did what anything Can with us if And the little with the tell Can you is us The status on were you LINZESS, to agreement could you

Peter Hecht

Tom, take first can you the question.

Thomas McCourt

it is gate to With very will duration for are launching you year. then demand the treatment things the thanks the this Japan weeks regard first David. to that is of collapses hoped happen Sure, very, actually is after very than nicely. Japan, there a which when one is two strong, year the faster out And growing have and of had we was limitation

the So it potential ungates brand. almost the for

forward we're forward addition with the In IBS claim in moving with addition C as indication well. to moving we're constipation the -- chronic

been as has and market very So we're GI strong think Japan far that. I as historically realizing a diseases

revenue that quite want also waiting real So I to final with also back in regard market. market. I a in think us attractive also from be China you we're coming launching China to come also a for seeing decision that which will soon remind we're is

forward world Gina our strong in and only will as the take… the think way I continue want So to a bottom do but thrived us has contribute we not been rest LINZESS to has market very to a line. you for U.S. much bigger certainly move

Gina Consylman

I is that we price believe time. but see net don't And position to specifically and modest fluctuate we've in we we value growth will what in XXXX. XXXX number can basis volume that for question, is with we feel year-to-year, have we the can consistent over and landed it a focus can increase that and price and on net about firmly the a periods Access we tell as where net before take the good we've that what to we what the net you price said said gross is in the quarter-to-quarter prior really while disclose the is gross on

gap talked a XX% about XX% up little but feel we're we bit the for modest think a XXXX between and good that set I that increase. price

Peter Hecht

the the have on David stem and class it the And component consistent learning we the cells, really of will capacity. of take year. It's just I at a this dual dual expires one class structure, a end question do

linaclotide. care tests as our Consistent intellectual are that on care on investments through us through Astra required and The a cells the to with on run associated partners business I [indiscernible] profitable to dual to the think certainly that primary each of product stem class that with was was to be one vision primary website. with break really length for mission you of we become really our fit do related if is also the they at look of help our the and a principles done property lab and commercializing a as Zeneca nicely. now product first purpose, which designed it are

I its purpose. think So it's done

Unidentified Analyst

thank you very Great, much.

Operator

line comes Peaker And question the from Cowen. Boris our of next from

is line open. Your now

Boris Peaker

spend III Good you a forward. programs of have my is that maybe mean morning I Phase and and bringing I have going them in as number an into own? R&D overall such development do programs still or question taking XXXX curious to certainly have licensed plans XXXX. just committed those the development would you're am are expensive to you to market on your

Peter Hecht

Bill one. take do you that want to

Bill Huyett

This partnerships, we productively. We're is add value, recognize Bill Huyett. at good them we where they operate

and that way and are capital a own bit existing our can that change that in As some big you products that Gina a opportunities in their harnesses point really and going expertise, have realize joint of looking each big pertaining to care partnerships that I'll we're provide earlier. challenge of that other. all full that potential source partnerships as out do had for depth commented capabilities, are alone partners also on functional on We structure that those innovation want not working our potential. pipeline complement to we bring the in that understand to geographic disease our point out markets. for We patient we those

Boris Peaker

of amount don't you you'd specific board capital a or really any where But point like…? like before bring a or to significant partner timeline have committing on

Bill Huyett

right sorry, range are globally. these with discussions We on in partners of all products a I'm active now we are,

Boris Peaker

franchise marketing in my make having you're ideal your maybe the some potentially some mean kind force spirit there own? from of and put derive question last this out sales to just in I franchise in franchise gout that licensing the and other their for the sense you on your franchise Got it on gout and would in also investing have bags to there company some it that is invest sales partnerships the of selling maybe may revenue than of

Thomas McCourt

it We're in does to to understand needle. what marketing the force needle this Tom. introduce limited going really to at the look it a we take growth. had mentioned Yeah, sales are does alone, to regard of we earlier and what other right to to we really really full options. do promotion so take investment, enable I markets to the understand mix have want number of this as with is is test move I there drug okay, a now to do only. We've level point to move path how critically what And forward, we're going think succeed, at what it accelerate that the do is Right

forward. think at for we of part as company move readouts all back those into as what looking is have really come as the will the the I year to we we be inform market of the decision we this from test the right

Peter Hecht

Boris, it is Peter.

the lead and to is point partnerships discussing on what of one there's molecules to clarification Just we're of we're working of products. sure make no absolutely correct which both those maximize ambiguity. Well, Bill value said actively is

and gave cash flow and that we're the to quarter cash positive comfortable etc XXXX terms All not of in ability partnering. to guidance financial for of of partnerships. be the fourth on cash the are exclusive year, assuming balances, get our in Gina expenses, execute operating confident use plan our and in cash positive in flow We're

that. that's So on of top

Boris Peaker

Great, very thank questions. you for much taking my

Operator

And our of from next question the American. comes of Ying line Bank Huang from

is Your open. now line

Unidentified Analyst

our Thanks question. for this Amanda taking Hi, is for on Ying.

to with release LINZESS for timing indication addition abdominal label the the receiving to about you delayed pipeline a now also LINZESS for the itself, for regards think wonder you in pain with synergy how full LINZESS comment positioning on can on for and trial? So I the

Thomas McCourt

the need very, satisfaction and through with LINZESS we level take broad patient as access. new is indication. a regard is the which to on to market the we've first leader brand got always This We've and question physician strong leader I payer market high very Tom, built will behave and said of as very

Our has be the capturing to growing market. focus and

have to patient. view profile multiple forward. think the raise strong to one, really and focus of the the But us. of going I we the I do a be that differentiates and other have grow to we our continuing market, through fact top think anything doses to we're we the the physician to need On certainly continue we reach see the them bar plus Trulance competition don't that tailor that that emerging the to very beyond the of and as is from clinical enable therapy that capture move market, competitors what

Peter Hecht

the timelines on symptoms. for Chris abdominal

Christopher Wright

we the in year. process Phase of trial so anticipate symptoms III in addition first this for our FDA were half the symptoms of the before with interactions to and timelines the Yeah, abdominal completing and the protocols starting abdominal

As to is year exciting IBS the the and discussions of of the the far and after really having regulatory middle the you and trial. treat as of forms all opportunity towards can expand timing release about exact we anticipate update ability we program pain our delayed those to and interactions that's concerned

Unidentified Analyst

you. Thank

Operator

And Stanley. your next from Lebowitz David Morgan question comes from the of line

Your now open. line is

Unidentified Analyst

this Isan [ph] question. David. Hey Alan is our you Thank for taking for

your the and for out between the just learn again how at revenue market transition at suits, and filer, could and scripts length? through balance XX the led day workforce franchise how status, you the market a to Thank you think on which different from growth could little the these the first end their two we that run through should us of is you. us forward? talk to outstanding XX the the how And you has did you If patent scripts of do run will going, more the analysis going scripts day look been could the the what bit things, realigning what's you gout day

Mark Currie

question first This is the Mark, around I'll ANDA. take the

strong. are a patents. earnings are book partner think in And those have and reminder our we as just we Allergan that ten defending patents aggressively listed Ironwood very very So, the

an and have that strong with agreement announced indicated very as think position. reflects situation We and we again us Pharmaceuticals Sun a we for patent

So, at pursuing time ANA again this on but our patents. aggressively the of very won't we protecting other we comment filers are

Mark Currie

of the seeing XX average far request initiated an supply. for getting the increasing highly -- to year patients TRX. the program first, in an this as successful that we And what And second size has as been XX earlier initiated, we're is which question, we've

release. full can overall and and at per need the for we the almost well particularly drug patients patients and is and benefit what we're realize XX if affordable patients. symptom I if -- prescriptions Not up XX important take to we is at it's abdominal I obviously of us by as least through but for pill realize prescriptions their the the seeing get really, is count only days scripts really -- XX%. for is for So total which look new XX to in patients the adherence think benefits also pulling as basically it the really the drug at grows They for adherence are really breaking

our leadership So the certainly momentum strengthen position. in it's market to continues and market it tremendous

as the They productivity. with will resources physicians, far as our DUZALLO redeployed and regard call will overall of As sales on we focusing physician commercial be highest to the we've force high impact mentioned on the evaluating of specifically. some frequency be prescribing potential, increased

a test think important piece payer. impact a is the tests in the other the going to I in piece of ongoing is local think launching markets see campaign most with progress to our DTC markets. the But has. that number what be I We're

As XXXX access payers that the be need commercial I we mentioned here commercial good expanding in is focus We're a equation on space. big making of the progress side the but to part our Med for. solve D will over

But help we -- brand. we're right think the is now lot feel I real learn over the so a the about is which next feel positive to what very months brand. And we inform the potential going to still six going really for

Unidentified Analyst

once you again. thank Great,

Operator

[Operator question Barclays, from Geoff of is your open. line our Meacham Instructions]. now from line comes And the next

Geoff Meacham

guys, Hey so for question. the much thanks

to seen need development fast on of unmet could data out pretty you been a on know to to have guys think this indication? a leverage you right just the is sense had LINZESS, pretty not operating just do but the and overall if sensitivity it with in pivotal partner I'm direction a I be do cycle. as from but how you looking don't dependent get Thanks. you you you obviously I -- HFpEF could XXXX, study aggressive DTC? a you you one guys of want has be program one a the curve investment, impressive the another first higher demand And if to change a The could sure slip then

Mark Currie

constantly. we as David as it's are on far obviously basically focused accelerating growth the something

we very enable DTC April be to this going to communication going in to other year multiple kind that of different us see a channels. You're campaign is launching which will get into

pretty and So hand. And that marketplace raise broadened patient about to the patients access. and more their we've satisfaction to expansion it's the we as funnel payer we on of wide do DTC position patient as believe of do year. that physician be we've or established in really a very well strong how continue motivate this that's going the Part effort now based

forward there's educating activate that the from of will being well as broadening think abdominal that by as the other benefit more to I is drugs. other look they the clinical them pieces symptoms able I patients utility

concern. -- I So the overall part it's of think spends we're

we think of trading time. dramatically evolved you know to regard promotion which investment, allocation at has over I consumer consumer, we're off where right with now to like the professional the regard with as

Peter Hecht

Chris take HFpEF. can you question on a

Christopher Wright

the of and shortness just people of symptoms, with of a for designed Sure, endpoints. a thanks symptomatic these are as targeting question HFpEF potentially Phase for really it's intolerance, difficulty I'm where primarily a is particular have that consequences sort the of about approval. study II breath, quite HFpEF being exercise highly is our so functional disorder we're about accelerated excited the lot more and so to you and the timeline in disease right

the exercise measure a cardiopulmonary know CPAP, capacity walk really that with an those regulatory for outcomes So, bothersome doesn't we that think the we're of that endpoints testing. these intolerance to to and minute primarily very six an on really And Phase are six we'll looking for symptoms key looking exercise a have initially indications, that point and from based at and perspective at move we highly test think we outcome look study end agencies has minute into objective the study, be the walk long been able functional also a other quickly at cardiovascular acceptable be that can III we to patients. test

paths to in development endpoint would with involved So a for development fewer it's patients a great cardiovascular study. overall quick you many patients I think a opportunity with than help

Geoff Meacham

Thanks.

Operator

And J.P. from Anupam our next Rama comes question line from the Morgan.

line Your is open. now

Anupam Rama

for much Hey guys, taking thanks question. the so

so pivotal notice half there on expected of the and Just a of factors initiation in what of second in IW-XXXX, discussions the the guiding the definition quick are to XXXX, on here? how to discussion is the GERD one start much some your a FDA with much. Thanks uncontrolled is of

Christopher Wright

excited were of really from the alone. patients the our PPIs the Phase with we're had in regard to responded relative our III We patients that this about the II of So study starting that burn second half results year. receiving to heart severity Phase great study showing XX%

We from also unprecedented of at regurgitation on studies. saw effects was sort which some least earlier

chose in looks we're II the defining having we That had part what and study. So, months meetings in the and of there terms Phase next more nature FDA and them Phase there coming what the with with define earlier as will for we our up I we've with definition disease the said of II the data think population like endpoints uncontrolled of II will Phase and carefully able the kind aligned on our nature based pretty to of think some our be. that discussions and I the be program few

will the this the the are year. of we the second year in so start And coming first up half of once have those we study half in meetings that

really around The we'll thinking been the gotten being as outcome terms particular that patient also them and the other we for excited about so the terms thing in us have study population KOLs well is of and interesting the that lot in lastly in which be from about interesting I of of guidance the a that it's helpful have with that's for Phase say really of discussing And we'll information the to quite so what II exciting. then DDW have is up we going data look to and show on of results upcoming really more study, for FDA. June be would too the

Anupam Rama

thanks the much taking Got it, question. for so

Peter Hecht

welcome. You're

Operator

And at time questions. showing this I'm further no

Peter Hecht

day you here morning. We're day. that case Alright, have out time. all Bruce please any facilitating your well Meredith reach for Thanks time great a have and you thank all then this thank the you interest or to and for us follow-up if in for questions thoughts for and

Operator

participation thanks program. does in and This Ladies gentlemen conclude the for today's your conference.

Everyone a You day. great have may all disconnect.

Ironwood Pharmaceuticals (IRWD) 15 Feb 182017 Q4 Earnings call transcript