RVNC - Earnings call transcript Q1 2024 | Revance Therapeutics, Inc.

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Operator

Welcome to the Revance Therapeutics First Quarter 2024 Financial Results and Corporate Update Conference Call. [Operator Instructions] As a reminder, this call is being recorded today, Thursday, May 9, 2024. I would now like to turn the conference call over to Laurence Watts of New Street Investor Relations. Please go ahead.

Unknown Attendee

Thank you, operator.

call Mark Revance Officer, Foley; the Chief President Toby on Officer, Executive and us today are from and Schilke. Joining Chief Financial

access and the expectations, statements our and flow of and success, growth, products, anticipated to our practices call, duration, to and expectations of on the efficacy, share take strategy, products, our related this expenditures, future management benefits future our line therapeutic adoption, make opportunity value products, needs, adoption, statements, timing those and During plans. and safety account operations preferences product planned activation our behavior, will grow DAXXIFY and indications, us, priorities, our the including consumer XXXX and quality consumers market blockbuster breakeven, pricing commercialization guidance, our adjusted our anticipated including impact cash including to plans strategic and top potential, reorders, positive of revenue strategy our to and and skin forward-looking consumer and of capital related to EBITDA, offers ability and

statement Revance in changes result annual a or XX-Q. or expectations. quarterly no undertakes the report future cause and be from any as these as Form our information, timing a these and include of events that materially describes on from could results duty to forward-looking company to on those forward-looking anticipated its result our actual Form Our risks Factors factors the and uncertainties. statements of report XX-K in these differ results events in obligation could such of new statements different update

GAAP present measures. earnings our measures will to non-GAAP we both GAAP are call, in of financial today's included and Reconciliations on non-GAAP Also release.

and the to turn Mark? will Chief call President over I Officer of that, Revance. Executive Foley, Mark With

Mark Foley

and we encouraged this DAXXIFY's QX full ongoing for change. change. by everyone, was traction And and XXXX results quarter financial QX we you our you, are are -- strategy second quarter to conference thank afternoon, reflecting related call. momentum joining that first Good 'XX Laurence. Thank the the seeing

aesthetic on ability despite were when traditionally 'XX, its but down share. XXX% to DAXXIFY grow take QX. QX and end units quarter-over-quarter of basis X% seasonally its being the up also only to quarter share at a market X.X% year-over-year grew the DAXXIFY from X% Moreover, Specifically, QX up compared end QX highlighting sold notably at 'XX not to a of

after rebates. our program, In related quarter, million a the million was coupon first net of consumer DAXXIFY the [indiscernible] functioned to revenue $X $XX.X reduction which

we revenue programs competitor coupon is way perspective. were by require and look received feedback from consumer treatment doesn't expense a While sales revenue offerings a will and on offset program, future marketing we and the the consistent more that a encouraged we structure full to that in with

that the to quality, its from but feedback of of formulation. unique peptide its Importantly, reveals differentiated skin and be by is also improved are field positive profile, duration reengaging not and practices its with DAXXIFY, continues onset and possible because fast made which because only

new over with visits. and the we in was was support are and as a by I end, of able meet injectors encouraged personally of XXX feedback getting office receptivity, dinners regional result that very To the quarter, I a across to variety our And strategy.

choosing reporting DAXXIFY toxins. product. with of in in At they customers that experience a feel they at accounts is their them we a With with that patients, active the are benefits to day, performance lean are is to price thereby that passing price allowing encouraged see to our reduced the practice, it the line the better end to along to because are other savings are

accounts advertised messaging voice the further a Fast, And Last to has market. removed Difference, and promote the the more DAXXIFY's launched also campaign no allowed easily we to help quarter, in we will their titled customers which Look. and limitation, DAXXIFY the new amplify In DAXXIFY The DAXXIFY which price

last our focused relationship that to DAXXIFY long-term and believe commentary, were build this forward. focus prior the We going with foundation confidence was X more on order quarters Consistent for a existing positive to accounts reestablish necessary in right success.

the account, we this that encouraged reordering were return we order the phase, expect higher normal size than of more represented Now to activity quarter, have X/X has the new more In effect, in change quarter, desired is consumer representing accounts and to with strategy on portfolio average we quarterly as gain revenue of basis strong reflecting the meaningful share. and existing to in well account pricing unit cadence DAXXIFY as as coming penetration; and concluded a per also in both a a deeper sales focus. which in the by contributed all that the an having healthy line market competitor uptick prices, annual

filler and ended Despite market our from continue share, up a RHA. in DAXXIFY market QX. softness filler share to X.X% with QX Turning outside to grow in focus, QX X.X% and we

revenue particularly market of going a we the more While launch us new initiatives shifts our declined and ability to to approach. portfolio our quarter forward, as to well returns balanced RHA take in year-over-year, positions some a more filler share our X% growth, focus soft normal

ability performance traction portfolio differentiated quality and the commercial combined Underpinning to our ongoing and with market the execute. team's market our of share in profile RHA filler gains the is

As to we procedure fullness U.S. we filler QX, in performed #X launching excited and be augmentation RHA X for are lips the are into the move as lip

this are filler momentum XXXX. revealed early market are related traction QX in the seeing and filler the end, U.S. markets. and toxin softness balance market, growth the by historic the while return we we And to QX expect to in both encouraged of single-digit the we high to some To through

accounts, X,XXX the end to the further with of accounts our forward. at us Lastly, significant which ordering quarter, number DAXXIFY, leaves and ordered there X,XXX expand base aesthetic over going first have were of which of runway

the therapeutic launch neurotoxin dystonia, of the for $X.X treatment DAXXIFY years. X Now let announced is cervical of projected commercial into therapeutics U.S. me which annually over X% our franchise. turn we This billion entry market, next to to grow our the the afternoon, marking

improve neurotoxin with providing disabling long-lasting a option new and first chronic condition. offers compelling duration treatment and DAXXIFY and for patients profile, to control a potential that the peptide-formulated painful a physicians safety favorable with symptom is only of the

provides for opportunity DAXXIFY dystonia culmination and market. true a for innovation therapeutics the Revance mission cervical bring significant decades-long to marks our the to of

therapeutic This to sustained fact only and to to off toxins patients While for occur are that wears due between reimbursement weeks achieve typically every the on the care injection. of labeling current toxins even guidelines toxin is dystonia, X after treatment gold the based relief XX cervical standard weeks of product symptom treatments. in struggle benefit XX can though

and inability As control leaves significant work. between to patients with treatments, or a unmanaged better the ride that experience. days cervical drive ending in the dystonia result, has that DAXXIFY and this potential symptoms to good offer the many symptom social frequently rollercoaster stigma CD to more pain, lead patients can patients

August us Following launched from line we ceased with move treatment our program XXX with prior outcomes CD with their second our patients, providing launch, program full of into program, which optimizing of enrolled in experience PrevU The now enrollment clinical in are the has as cycle. success. are for over results practice now most a which commercial date, treatment PrevU, our strong foundation on of XXXX, early we real-world and objective the integration. smooth clinical approval To ensuring ASPEN

toxins to Based botulinum included physicians seen in inception, had on indicated program a DAXXIFY last their based participated treatment they that cycle who optimization. conducted, the and dose what survey we since prior conventional with perceived just first which XX than to XX% experience PrevU they all longer on

been of at continues broad of medical our encouraging to PrevU insights see we've upcoming to meetings. to doses. pleased some DAXXIFY's safety look range that We Additionally, sharing forward profile over be a

established streamline providers. our infrastructure J-Code, launch therapeutics DAXXIFY Post adoption. preparation in our we we minimize order access hurdles for our and for reimbursement the to approval, support operationalized will in reimbursement permanent to which Also, services commercial potential received pathway

government resources to out-of-pocket U.S. top programs, health therapy. the not is costs program we the and including patient over includes lives, affordability lives DAXXIFY practices, combined Currently, a million when do access of a assistance represents patient XXX and with that impede for program in to plans the coverage XX% our Within commercial our tools covered platform, which and over ensure to co-pay support for underinsured have

and are patients and we energized infrastructure in cervical smooth will We our size, switch the given by market initial CD revenues payer right treating of believe mission modest. physicians to dystonia that impact process. said, the of we the positively facilitate the to lives a be conservative nature anticipate That have place

market. our long-term confidence to in indications. regarding bullish remain market potential further results therapeutic we subsequent However, our DAXXIFY's PrevU the and DAXXIFY's cervical in And the have in only therapeutics helped dystonia increase potential

strategy we to that and up in making and change, aesthetics measures can focused implemented the necessary XXXX free a operating also to ensuring over both want call the quarter allocation. our our of one on invest cover first our other our we've of capital streamline efficiency and lower highlight disciplined turn to with I we're designed to profile to namely OpEx priorities, I our expense number DAXXIFY conjunction therapeutics while the Before capital overall In Toby financials, both progress strategic franchises.

and million, cash for end are which of EBITDA and the trending ahead QX, pleased that are plan over of equivalents place in at product we investments XXXX. revenue is have will $XXX $XXX growth to shortly. least goal the which the report $XXX with $XXX and low reaching includes touch non-GAAP to Toby efforts, second these of With to and and the and opportunity range, the DAXXIFY we million, adjusted of on reiterating initiatives cash, I'm million we the of at in of that OpEx of RHA ongoing to respect year, net positive million with balance guidance, in quarter end our our currently and

I'll financials. Toby call cover that, to first our the to over With turn quarter

Tobin Schilke

will today our Thank the full on and XX-Q I this only over in go financial press release you, results Mark. call. so we highlights issued details the The

service financial operations. which such I operation will Platform is reflected that segment, and was statements. the our Consequently, as a exclude legacy Fintech business, Our results now discontinued discontinued is discuss our on

for $X.X revenue revenue our $XX.X in million year, Net quarter first related XX% for due collaboration ended $XX.X a March $XX.X $XX.X included revenue the million increase quarter to of revenue revenue to Collection, compared [indiscernible]. with to the DAXXIFY and to million was XXXX, Total BOTOX representing biosimilar million for DAXXIFY. first program RHA period of of same XX, the last million

for compared the operating Total operations for in million the period were XXXX. from $XX.X million continuing first expenses quarter $XX.X same to

cost $XX.X period same the million in non-GAAP operating operations for stock-based compensation, revenue, quarter continuing product first million compared XXXX. of the and for from $XX.X expenses Excluding depreciation were amortization, to

of guidance alluded million XXXX. And to $XXX OpEx to, currently As related Mark our cost end are range we million, our for guidance low to trending efficiency initiatives. to and reiterating the of are savings to $XXX that specifically due non-GAAP other we

current in multiple levers achieve the position, $XXX plan, in balance an cash by with million adjusted quarter, provides first On our of the which gross bolstered equity with side, us proceeds offering resulted our combination EBITDA in XXXX. operating in to positive sheet

shares XXX.X of as million Revance's shares of XX, XXX.X with approximately of excluding debt. approximately outstanding stock were common Finally, convertible diluted XXXX, April the fully impact million

I'll with And back Mark. the over that, call turn to

Mark Foley

Toby. you, Thank

focused DAXXIFY to through X ensuring effectively positive For fund of this DAXXIFY through managing believe to launch EBITDA successful adjusted our XX% of execution and reach disciplined while RHA remain We we franchises. dystonia growth achievable the allocation top initiatives on the rest cervical necessary XXXX. have in while and on our resources in least our delivering line maintaining in is we XXXX, at growth capital spend aesthetics,

across by DAXXIFY DAXXIFY basis. We remain on a our both the gains as seeing are to the and positive significant in RHA and change unit quarterly response encouraged year-over-year by reflected market increase and we share ongoing volume strategy

have conviction U.S. potential As in the in market. to blockbuster a result, our we aesthetics continue

I that, will call now for With up Operator? open questions. the

Operator

comes from The [Operator with Fernandez Instructions] Seamus first question Guggenheim.

Seamus Fernandez

Great.

been the trajectory of in $XX about So couponing $XX quarter the you're dynamics. million knew have already presumably, million Mark, but so get the to I far. seeing you second wanted the without a the that better Obviously, sense just program, couponing would

So to push a of of the the you just get better you're trying second the -- full seeing. reestablished trajectory number pricing. was quarter that to in I to expand the know the injectors plan had after a accelerate with really sense that

X So weeks better a sense far million second seeing quarter confidence of first achievable? that, threshold in you're what I that minimum just wanted the get $XXX guidance give you these to so of is to

of filler related And second and pushes we're seeing then just that dynamics. Obviously, guidance of a the is question lot the pulls part also to there.

You do lip of of new the X sort launch [ have the formulation ].

incremental given what us revenue the just as of opportunity So frequency high just the lip can sort you filler of there help use? see you understand

Mark Foley

Sure.

with guidance So Seamus, our confidence start million. one me of the of first least let at in in terms the $XXX product revenue

were DAXXIFY accounts all noted, DAXXIFY you about performance more and and attributes, believe that's get made with the experience QX. quality exposed skin but very the in that shift duration, in As performance And the to onset, we've change, that we just creates. because usage not pleased it's and we where getting consumers stickiness the the trial its as in pricing

larger trying which build the accounts quantities, at where sign account ordering level pull through of And saw and is base to growing we we're good a for saw accounts us. obviously, a And early more we customers. that

And would new doubling would DAXXIFY to start elevate adds the the given of look on in will DAXXIFY and the more sequential the of kind side year. have the as certainly we we remainder back, expect that accounts. first year, the as to towards year, quarters expect we when the of on we outsized so X through layer focus And our throughout account we growth course move

cadence what in In QX, quarter. phasing of there's phasing quarterly or in monthly seeing terms of the typically the a terms in we're a

First followed the followed third. and lightest tends the by second month be quarter the by the of to

as side probably But filler good through going be the how of it tailwind both much It's we the we're volumes side because for the April May to it. toxin part the mentioned, the the launch our least and early accounts right of of at are seeing in and to filler across hard notably of is indication that now in you on that's lip us. tell of that certainly a

And and portfolio balance rolling we'll that engagement around we volume. initiatives have of the designed the reward out year and some through other practice-based other be to plans initiatives

what so we're And in QX on we early like seeing perspective. that from

approach, given more indication, And now think reps do that selling [indiscernible] time think are a just #X not I are the with I our Again, do spending more that balanced helps. DAXXIFY-focused.

you that saw So to share positioning gains ability and it's to in like back QX, we if the our share. again, to we early. really But our market go continue take

feel to of about to continue good how rest we think So very play going year we the is the out.

Seamus Fernandez

Great. And maybe question. final just a

given terms positioned? the progress in contribution you side, think of guide J-Code and to to opportunity the all conservatively you about continue how the On made, for that the pretty the how in therapeutic therapeutic XXXX. do you've But reimbursement, you're feel

year Do position is to do better perspective from guidance? therapeutics be from pretty therapeutic we business, the your deliver you this guidance to is incremental? about perspective the a loaded your about feel trajectory able to locked the Or aesthetics that the of should think you and on to perhaps on it relates and as feel good and aesthetics, business as just pretty

Mark Foley

particularly the we us engagement. based And gave place J-Code taking only therapeutics clinicians, seeing Yes, I measured to the access level that from by think very we kind really did the the it's the at in on us programs. approach not coverage we're business, the Again, it the from what good really allowed encouraged reimbursement latter. in are to but commercial of to the feedback the entire patient process PrevU put

to through share which once bit, that. figure little sort they that see those They patients, would with then practices, expect don't get few gains take it's can a how that will given we that so sure early on product and these get meaningful to get a that we of dosing out paid, why you that's to But want start believe orders. stocking they buy-and-bill in conservatively And early phase, optimize. make then get a

more if out So see will that through you of XXXX we to I we aggressively start through think as time to in are early, most some think accounts work going go but certainly phase, kind that. that lean

'XX. as So move we we meaningful expect contribution more into much would

more, -- on year but bit aesthetics little from incremental. and will it it's to a carry thinking big internal chunk surprised upside, going But of our modeling. a we the you we as be how about have we're could expect that's We this that therapeutics is said, be

Operator

Cowen. from The comes next TD Stacy question Ku with

Stacy Ku

Congrats progress. the on

few follow-ups. We a have

On RHA a this you so your bit talk few first more specifically, evolving on to year? the question, quarters. can little your need thoughts about the over just strong And we take do ask contribution we if next to see guidance, the growth

similar looks it's of last understand it we looks, year. at kind to So like if how levels QX

[indiscernible] grow X help just feel to Is increase about we really sales. there? So it XXXX share going meaningly us RHA your that RHA kind that's with comfortable of belief could really beyond

And around sample an account to QX, previously, a looking is try to quarter and DAXXIFY takes then question it ordering. second you've the discussed before for

timing you'll us a aesthetic of sales dynamics the just That's market the just acceleration expectations set kind see broadening normal So the seasonality terms the the between lift, the versus time usual in of versus the question help second that of lift sampling. accounts for for QX? in

last And comment. to question, if you're then the willing just curious

As some the doing you've it curious practice have percentage how versus So broader for primary and one going accounts of what you go neurotoxin that can deeper, offerings? just you talk as the their the in you're of of plans you just of their discussed already relationships. made about your DAXXIFY, with deeper onboarded

Mark Foley

Sure.

thanks, So Stacy.

me Let walk of kind through these.

think of drive and in in the on to terms filler how of what again expected. of the to softer than side terms going about we need QX what's and revenue of you So see growth was we listen, cadence kind first, what that

outsized an focus even look you on actually we DAXXIFY. had again, it, share at If healthy pretty growth with,

the take share the we're on So quality I product. continuing of based think to

more return to We expect high growth. normal will single-digit the market

a with we we've share to tailwind more take to as going also more us we Previously, million a $XXX little $XXX to be our is so we continue RHA. guidance be of than -- half believe product, And than given contextual for that RHA. will said in when million that

And of on perspective, get there from so kind that at growth in manageable, X to of the means a what which year-over-year it's layering we're performed think a that, if some promos procedure. around the run fact that look kind of the you we for RHA, can in you #X growth the lips, filler particularly RHA sort you going that when is start of teens

And then base the on start that further in will account with leverage leaning portfolio from benefit incentivize broader one we able do product ways expect we to some our based programs to be other to in. to

And kind how of about so that's we that. think

And as of I to April. And is some said, the in again, of team, seeing turning like well. we that's we're I'm early, their portfolio as focus broader it's but but sure some I the I know think what that lips,

before their into to accounts really new while In that are terms onset great, differentiators the signal to skin time get and of, to think important account a practice, softened to going let's the duration see, and X. still is that quality There's we about fits them. for see it duration the even what fully though on particularly takes we've to want a with they a board, we continue DAXXIFY yes, it's from decide QX where fully or And continue for up hear speed and probably duration message. is some be how quarter

about frankly, year, to when certain per we those to you accounts QX. how back, grow utilization the that add a think hard metrics. get to it's that have want being certainty QX. target And all say to compared the QX and the of a to account are me to want when we we similar stronger quarter But knit account for going total we continued to step we've new using so utilization things together QX to And by of end accounts with

with which numbers And we reasonable, we are comfortable we continue feel the very accounts, can and with. we so trend that the that that's if come add new how up think

DAXXIFY minority about In terms we think it's than it's XX%. versus that more their that I accounts of a have made our and now. adoption, of leading would primary right the certainly deeper I'd evolving how toxin, broader say say

where occupy I a number a think in good, it's accounts, healthy we're we decent those spot.

it particularly more continue can And is our familiar. they with lean penetration, more increase comfort that get we as they as familiar more in to and that get more and goal

But DAXXIFY And the that initiatives of I so say toxin. small is percentage have of a again, we some it's said different have would sort that. accounts our about primary

Stacy Ku

XXXX, sounds Okay. implementing Wonderful. is a And maybe follow-up. -- like programs, you that when year, just this thinking bundling? It about you portfolio say are

Mark Foley

We plan do XXXX. this in That that is. to do is That correct. year

Operator

from Annabel Samimy comes question with following Stifel. The

Annabel Samimy

programs. Just in you rebate portfolio have plans following up the as planning treated a place you rebate. on programs as a having as now, I guess, the you the coupon terms in of on right that well? portfolio Are

you the And offer think have or you versa? direct I a one see more as rather I to accounts? starting see for that the guess, product? savings accounts you what And just then to from leverage And now those about and now was portfolio just we that to begun than have guess, -- ordering rather are that, DAXXIFY portfolio, account have vice filler

during injection you've just on they then to still injection weeks -- a seen PrevU that for whether therapeutics and physicians these I Is injection trying some your have the plan those or on getting really to or change? the I'm was out time second would those able And just patient the next still do injections. better it they're program. basis frequency, wondering noticed switching just on you because XX-week XX extending the understand whether injecting if to and of frequency stretching for coverage to?

feel lower events? try they that in? that does to this with lot possibly a also now technique, then using disorder just comfort finally product that questions. Sorry, give more this adverse And them in was very other comfortable of are same comfortable And also, movement physicians that is it's the durable indications

Mark Foley

Thanks, move Annabel. That's all right. try them. I'll through to

to those first going the forward. off, on So plan out -- are we those programs, roll portfolio

wanted see, consumer coupon we with patients, that go a a incentivize pilot stickiness. can range once try accounts their And it received. coupon, could that broader our with to exposed us of the benefits they to to very pricing well deeper get The particularly with was new and we again, consumer of early. hey, result are DAXXIFY, to in offer ran, this we with the and to this those So idea that product

But since other that consumer which program a consumer of the a we do could through as the coupon these don't served we the it have reversal up to set loyalty in funneled for practice full only take that way programs, some program. is was basically why revenue had really rebate, as a we

But and it insights learning. gave good us

as So combination portfolio some in our lean of broadly the variety offerings. of we to to going practices price think about a programs be be and more with incentives will there'll portfolio, there service across then forward, us a

to on focused So influence value we've and be right think the suited switch of able product that that best on to now choice we're long stated practices they're practice more since that it. the create programs for the we side

of initiatives and variety a to linked this year. value-added aren't can They savings. or they be have roll those from, benefit we'll so out services that will start dollars other also and just other we to And might programs portfolio that

hopefully, relationship incentivize programs RHA given relationship able with And we the that create that given the that products. we and trial that with have we DAXXIFY would the should we either have expect, be or adoption other to

we're that. So about encouraged excited and

much of that PrevU making possible. I with within listen, there's [ the been that side saying, to are benefits There's some to the running interesting, ] program of that frequency less therapeutic as about camps. between sure X get extending they the that XX-week treatment the one real-world really frankly, of of the more regards it's gap experience. effect and care question Obviously, injections, Your as about retreatment duration get benefit and on

patients we've to they're most have want who a downtime. So a come excellence, of to any long of treat, and they some drive the we said, center that I listen, don't way, have that talked they

cycle win. give avoid a the more that can them them a of reinjection that's and I today, can good if XX-week and I they on days keep experienced rollercoaster So huge some effect

others if back win. to this, you I that's XX, to but XX have a see We going them I say, know what, bring them and XX huge hey, I'm on get start or can weeks, that at

I And in think, it's so debilitating conditions. are it's been because therapeutics, these reimbursed interesting because a space

better. I But turns duration just more better a from frame. we controlling will it a think first, big a based on out shift want towards, get there's we can time feel, then days. profile, of that a I that them, if more I even little And extend bit of a hearing if what win symptoms do current XX-week job we're just within be can better it to

with doses, program. of us very we're across in terms different are been range And profile, what the the a injection we technique, ASPEN yes, what's saw the technique. seeing for consistent of same In we really encouraging is that maintaining a good safety

we to and the peptide of product. of that the speaks precision the little bit think a And formulation

forward. continue good be that with, we optimistic the see very so going again, safety benefit a cautiously to And profile to of this going duration we're profile

we coverage that is they about of And are cover. ultimately of these use. kind it then last you DAXXIFY as the sort across. some plans question on of And commercial they interesting determine What's generically what have commercial spontaneous a side asked covering just toxin of

And payer willing coverage are they to decide that the reimburse how will their they think universe from to payer, -- with ultimately I from product.

dystonia many coverage it have obviously, cervical cervical the payer beyond coverage And plans. universe, the for we only just look promote in we But dystonia. of commercial at so do you if can

Operator

question with next Shibutani from Goldman The comes Chris Sachs.

Chris Shibutani

on A aesthetics question the and Great. side. then a question therapeutic on

tone a in is that to one has recover market commentary fillers aspect somewhat. the of the terms been feel aesthetics whether or toxins, particular, been been being else lagging comment the any seeing? the about overall of about has bit of what relation you as And Within with to there's fatigue Can market, as observations if slower to in on there filler regard in you're just you little market.

about appreciated therapeutic on the then you gave I that approaches. the And commentary your side, launch

the to kind on expand get of Can gauging you're hopefully so numbers progress. as talking broader numbers you account that accounts talked aesthetics. You've help can launch, PrevU about of you a for what about from sense a we here us

help in Is And trying starts? but you versus, when strategy to notice about that the you patient couldn't say, used then new your that switch you're that the focus place smooth of I process. specifically talking payers in vocabulary put a were

Mark Foley

Great. Thanks, Chris.

So really some softness reported it's observed filler QX. quarter. impacting market in in X it's noticed there the already have similar sort aesthetic in hard larger the what's players observation of it Obviously, of why terms side QX, on because of and and to of the a was tell

an I economic heard it's of ultimately patients it's X people don't changing I'm like that know where want. said, where some going hey, kind issue some get what they filler than you We've are a syringes. rather X or saying, whether fatigue syringes, sort to maybe of are if of

feels returning at to it's people feel COVID and of lockdown artificial early, a effect things normal. little know where look we increase do bit whole more a spend. think volume sort bit single like It does again, of little I more are it like we effect quarter it's because in the with if bit a filler QX, for we being had little saw on discretionary Zoom the a after while, post-Zoom the of a an I

little market. And a so bit elevated an of I think drove that more

now we're to more think normal. I returning

any in sort of fillers. about I've not change heard sentiment consumer clinicians from

back with be little abating a the part probably had but bit move of QX to that into I move we of year. the So as more to the and to economics, seems think do it

that average, do of X,XXX the the there's, the injectors Top about call per the injectors side account. of we've accounts, XX% accounts, in of On XXX PrevU on number volume. said it, X terms top

a it's more So market. much concentrated

targeting about a have of market be will a sales people reps, this. and XX of organization commercial We that access affairs. that's And mix medical

And so we that's pretty good to be balance. think going a

indication, dystonia To versus given a an population. that new your orphan switch mainly new account switch question is patients, on this -- is cervical

in, a in. there's even So it's certainly not to new for patients moving an come though of lot a opportunity there's -- new people

the and be cycle a injecting to great easy going physician largely to going switch it's treatment prior the what like. both know for is that which This patient be is look because to patient,

on incremental well the And benefit are information safety very you communities, that And to that going active too, control or share these can very so pretty be symptom is readily. duration, either provide any received.

the of the new first going be this that community. so innovation we'll to get real it's more a think much since that in patient. a fair in that bit category a switch do we expect And of while we But true within is visibility

the lean Now They're the new phasing. going and product, think did bit sure about do conservatively to switch on little to with to start a aren't make want I they a I going that they're dose. talk patient a unnecessary then them side to able any visits. dose take subsequent little effects, start introducing just a and while why be to it will they in confidence to will aggressively. in And that's more build to escalate that

Operator

The with question comes next David Amsellem Sandler. from Piper

David Amsellem

the And spaces. filler apologize the if since ask I to joined Wanted I and late. you color in competitive toxin here missed about dynamics both any

have then the as you've the you look space, And So space, year. market you regarding [indiscernible] the filler got coming toxin Evolus approval. asset at into that next the gained

about question number how thinking here you is more categories both guess my crowded? are as pricing That's get I And one.

then of that all facial freezing offer about larger key sort -- practices what the picking you of to see and as carrying of what is relates And say, And at do sort start of What do point not you see practices, it going out? you options from a do choosing everything? How think more forward? they at two, players practices injectables. should I number point and they certain the lot essentially

Mark Foley

Sure. David. Thanks,

on a innovation others. big you've their part we've take bringing first seen in chosen from own are healthy place we different market, it's market companies that got out different as growth. to dynamics, And the that's can off, the healthy by competitive pretty carve are performance attributes an strategy belief in finding market the listen, a the the So with that

going something going I with some others? benefit, standpoint, inventory why think because to the And how product many make them? the decisions about practices Is I gives second think are market, an I there that in come all to ask can't from increasingly, themselves real to do get carry need me that they're of this management a of I to do as more absence performance into the they carry competitors question, your

blockbuster a performance one in based and the on we've our with to a compete skin again, so will duration, market. to potential And as to profile in but that resonate certainly effectively not us allows in DAXXIFY, aesthetics we hit certainly we be the come think reasonable just the going we're very U.S. of we've target market and and learned subset that particular, of the onset about able think quality, more that

consumers our We've believe can we we're to to price to price our to that offer so offer adjusted it to our competitive. win. and their that able that, this And so at a is going be way that's accounts, they

these patients we value and able And to incremental are sort so get and think that's competition. of for dollar practices spend, the how these about

the some because likely we do compete and newer market. for other going of insulated the of in, that if bit of players a the compared full they're play allow so little that. loyalty to should in to more services, value more And come think is segments markets And probably international other as a market anything, we across and of and think the U.S. some bundling

not we it on the go believe are when result, win fillers. at in on quality RHA I a TEOXANE Collection but to the the It's franchise in listen, And it well side, the We product. been of fillers based business. very highly price, least -- time. the long modified then, attributes, the And It's we win mean, the is we known, for on the regarded. win filler able performance the a market of has as

different that's and we ultimately to be our know so think compete. different will going that strategy, that we ways be there companies And

second pick think that out and on products. carry that them harder on I on it will either the all or do services accounts close start that bringing to increasingly for product differentiation, of think the to side, the be in But your to of I something will absence the question, And choose.

David Amsellem

more in follow-up, do do just How think may envision of or I your in a you forced If the get sneak crowded, or that? about as competition hand you the outright on price? scenarios both gets -- spaces both price either where spaces

Mark Foley

think don't like pricing out whether I because, in, I new price player know pretty David. I price. there and heavily direct today that coming have in competitors competitive lean that you been I exists has resilient. pretty incentive market, And already other pretty offering are perhaps or that, a already today, it's things mean, samples that on think more there price or

there down that quality. think into other services I product are things comes I fact deal, into we've a It's a players incentives again, other are than market already. this on strategy price. that tie definitely the think it heavily that come got some It's competitive what to And And the a quarterly pretty better either the there. pretty resilient market been has on as that there lean basis -- a or directly and

Operator

comes The from following Stanley. Morgan question Flynn with Terence

Unknown Analyst

This Terence. is for on Dan

about year you're more the going? in market over the of Just toxin side, that a a the course kind side, on course maybe how kind color on just of over just how you're helpful XQ OpEx be you savings the you of of seeing filler and just just this kind that's this thinking market little year? little saw on and then bit the of would and spoke any to the but on the what And maybe progression

Mark Foley

I'll on been Toby. toxin to But has pretty the over one flip take Well, then the first and Great. OpEx one the second resilient. market

other the look XXXX, I not when things. a to some time, same market impacted stress with there back even economic think do if to think toxin And as in around I at the level the filler few was market. has points it you were

their cost of getting It's consumers a sort procedure. get toxin back. wrinkles lower Once to and used their not coming

show, They start to a of XX obvious subtle XX last to it's months. more tend where It's they as change. it's more lot bit a soon to As little fillers. a

And times, to bit easier treatment so for it's perhaps push at a little them out longer.

grow, we all play toxin again, out. that market the see And And the continue to continue as expect so to we would being continue as underlying fundamentals to to healthy. certainly

the think that to OpEx seen you on And high kind toxin market. then, savings. to on historically Toby, we'll single-digit growth over we've so continue I'll throw see we the of And the

Tobin Schilke

about a ahead great question. we Thanks, up to and non-GAAP the OpEx commented Mark. our continuing the cervical dystonia That's field we and aesthetics on the of It's from operations, year-on-year. we partially because remarks, When on an support a obviously took launch. increase force we step prepared noted talked increased

that's So been offset.

of OPUL, year-on-year in operations from but continuing basis of it operations, OPUL you look of OpEx, And sequential the excluding in QX $XX.X you non-GAAP compare, million of XXXX. a when was a from continuing I OpEx can excluding QX $XX.X think at impact million it to instead non-GAAP

spend put to did that initiatives team about think we an dividends. was to place the quarters we've is into efficiency increased efficiency driven deliver to some QX initiatives XX% the that or related in that. There are the several last we've the feel but And seasonality that so analysis pay we had starting when by activity, that's to across in company aesthetics

Operator

& Needham Co. with Belanger Serge from comes question next The

Serge Belanger

This is Serge.

down over as also The of quarter, you changed other the first change the grow? question over competitors? prices And to becoming with the talked it it first in the side, on is Was coming and XXXX be that to to strategy movement your and expect other been DAXXI the your couponing whether the about, help volumes about the line at down have you consumer comparable remainder more pricing if -- net products. to then

Mark Foley

Thanks, Serge.

consumer side, solely On listen, pricing the to the net was this coupon. related

So consumer we gross of it $XX.X revenue by our million coupon we the take $XX.X of reduce the that had to million ran. of to million, value because $X

forward, to continue pricing we on report And so net going pricing. will net

and more revenue be a possible. impacts deferral some do, initiatives said, different marketing would where ideally, we on expense that sales Based either programs could the there structure on we gross a net future it's some as a that that. of But to of way or we in

that stickiness rolled But was that necessary were exposed evaluate. And want to this think received desired we patient practices conversion with saw we over out. one at effect helps to and was to talking which In the great that easier. patients them, -- we the a where very will create was more it to they wanted that the well we the pilot able that DAXXIFY, get discussion much time. And we

services, the on more more was activation, that so And consumers.

lower In don't consumer, or of we wasn't that coupon. pass price When to that they related hoping we that the the what we were accounts, out consumer ultimately coming savings along. to down, since rolled pricing consumer would to they terms charge the connected control

happen doesn't it overnight. But

to made who had You the that's we some we that out. the discussion patient in price so the change price to the the a sort DAXXI of or charging listened and stay accounts a offer others market, discussion course, so with and much were easier. to becomes other wanted had switch they that were the premium trying line you with But toxins then could happy figure that that at

that observe And can some the quicker, give innovation I more. much by space. switch peptide the you're in you likely It's new Hey, and you easier toxin a has toxin. cost going better latest last the way, made going to oh, skin any this for in quality. power not see you'll And kick process. to long, it It's

this program But feel DAXXIFY, change with fact and again, made went much that's -- of a And so consumer to and easier has out People untethered my we've from price made are we subset people switch where it easier. down. visits, The this all coupon. loving been saying the consumer just strategy. patients. really accounts things this has encouraged are overall that, to that the But is it's coming by coupon

Serge Belanger

what awareness aesthetic conducted and in the of what your in surveys, Got that But it. to of we've to toxins additional see doing that's the product, comes when demand. you're in product you last obviously, surprising. so drive all And surveys And then not consumer terms curious own increase DAXXI the typically awareness. newest of it's

Mark Foley

Yes.

spot awareness DAXXIFY the of first to either with wasn't we a good good do is listen, DAXXIFY, obviously, lot accounts thing going providers to dollars happy the into if went a into didn't offer we make consumer, we and create that got spend we coming weren't accounts with that or are, wanted that in to So a because ROI. they where that that sure market the the

but really last DAXXIFY, X already the So were we practices spent given promise quarters with the sort why that patient struggled on and trained saw the of focused that's the expectations. on benefit, pricing reengaging these

And thought foremost. and so that we first was

those We've spend brand we in have and social. now a our we'll But base. there and increasing that be with areas user digital broader the some been supporting upping

around We have exactly KPIs all awareness, some share that, brand of voice, of internal things. these

to understand support the from And consumer level brand standpoint. the at need and so appreciate awareness the we an

to also social good But tools we at ROI. the be have these something able practices our new But also we yes, create making and awareness. sure a some increase digital the practice a more level of efforts think really that to discussion is customers that engage in around to will

Operator

Tim with next Lugo The from William question comes Blair.

Lachlan Hanbury-Brown

that how This is sold, treated, talk for data, share metric? Lachlan Is vials other on on Tim. calculated? can guess I you just some the that's start to market about one clarification patients

of I interested pricing question, practices actual or else you terms any are anything using was type my curious it [indiscernible] if that how on it you've of in then the in change that see? of either DAXXIFY. injectors in you're And patterns use the or may or Does the changes getting seen

Mark Foley

Sure.

question. market the on share So first,

independent spend use -- And patient patient of practice is calculated this which the QSight, at the a GuidePoint. source we is data So by average average spend third-party -- per is part share market level.

practices, spends patient we that's good size. a the look it's kind we that total a So if of at dollars And across how sample share. market calculate these

it's it the the and reflects Obviously, that make to sure of in they market. kind accurate powered trends what are

when In areas product, on product treat a decides DAXXIFY, for an the different inject the that terms they injector to use want they of that to typically, on patterns usage face.

practice average fits seeing in confident new to to see the And that QX we a the per saw share QX. mix of good experimenting so with And of pipeline are a accounts existing it sort within nice what growing and their was that we their again, combined that are and are with coming practice, higher practices. in that are volume getting by, in it more that compared is accounts of reflected their in product order comfortable where

a mix. be going so And it's to

accounts have I it have made value that in hey, any have practice, percentage you'll have a smaller say, across will want. majority listen, some toxin or the that we kind of our providing that I that current a DAXXIFY patients some And use isn't want share new for me of practice, their something that the since

And average, so from with continue and grow a practices. patients, it there certain But get they to there. they will of be in, some it they among start subset on variability then

Operator

with final question Paribas. BNP comes Ty The from Navann

Navann Ty Dietschi

that of is derms [indiscernible] going promotions of other will My impact first forward? and the versus question share use And will and coupons increase the plastics? results

on launch a than CD had And The then I therapeutics. question came earlier expected. second slightly

based it previous So survey other is company's or payer early the feedback or on preparations?

Mark Foley

right. Thanks, Sure. I'll and hit try these sure Navann. make I

in the plastic and the example, versus terms of might with and lines medical increasingly core consumer Revance account med because our the are customer surgeons, med director across you'll first, for spa coupon, they So getting mix there. blurred find, own X spas, they're

account? And that so is plastic it spa account? a surgery is Or med a

that at our primary in those had focus If to DAXXIFY. quarter the it, accounts you look was of already background ordered double

X,XXX we accounts. we've got so said DAXXIFY ordering And now that

QX, As types. good a of of the at really have healthy we end mix all

med spas. med We've high-volume really spas, got some

med spas. boutique some have We

We have plastic surgeons.

We some and we physicians. have dermatologists, have cosmetic

we those. So good of a have mix all across

all a ones. represented into The different subset accounts of consumer those went and coupon

easier a always can these switch offer I've to of they to them in made good of something universally, much that say, realized got it to think it process I value, appreciated for as which I lot offer a patients for is else accounts because was their you. something hey, practice a that

question access on to we go We these because start get inform approval have how a got to CD other a that of to to going program indicate of product, we're or and KOLs through cycles, sort were subset side to last forward. August. few the we Your tracking wanted it, the we did PrevU treatment

XX% win. papers we have And frame that say than [indiscernible], is symptom incremental since symptom breakthrough reinjected little within that's bit a learned where time more great, yes, a sort but they of get more the before better big that's duration get of can can treatment if patients about, published there there's hey, out control I XX-week

We little also about -- how and they bit about they a talked think dosing escalation. dose

in. so of that is And all woven

to we pushing were plans a XXX with J-Code, the have encouraged million point XX% mean you to As that out, team has have progress over I payer of lives covered, our commercial made. very into for us jump we obviously incorporating already their bodes this where be companies at big of long plans stage launch. normally well the would term. a And to it think compared do is

are for we high very franchise. So encouraged, and have we expectations that

Navann Ty Dietschi

million And maybe for immediate well if I the $XXX offering? have you can ask as uses if

Mark Foley

sorry, I I'm that, Navann. missed

Navann Ty Dietschi

If $XXX immediate million you for uses have the offering?

Mark Foley

that you do hit want proceeds to raised. that Toby, the Oh, one? we

Tobin Schilke

Yes, about offering, for this when general I think corporate the talked proceeds. is we

And to feel things and about good we so continue that. like runway our

balance strengthen time sort -- where we would So feedback this prudent it various that of on is on were we the obligations took debt giving with be to our sheet.

for was there use that other an immediate corporate. general So than

Operator

you Financial Call. participation. for Thank Results Quarter XXXX Therapeutics you. Thank the your First This concludes Revance

your You may disconnect lines.

Revance Therapeutics (RVNC) 9 May 242024 Q1 Earnings call transcript