OPTN - Earnings call transcript Q2 2019

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

Operator

Good day, ladies and gentlemen. And welcome to the Optinose Q2 2019 Earnings Call. At this time, all participants are in a listen-only mode. Later we will conduct the question-and-answer session and instructions by that participate will follow at that time [Operator Instructions].

As a reminder, this conference call is being recorded.

to host like Mr. today's now would introduce for your conference I Neely, Relations. of Jonathan Investor VP may you Sir, begin.

Jonathan Neely

performance call on for And Chief us I'm our review XXXX President today morning. joined Ramy Mahmoud; will as our our Web Good thank CEO, we Optinose's Tom Officer, you today by Commercial and second slides Peter the remainder in Operating of section. our the that for our joining and and year. plans Miller; the viewed Officer, Gibbs. presented be can site, optinose.com this on Chief our CFO, Keith be The Investor Goldan; quarter

not to this as identified facts statements. we I include are All will forward-looking Before that are our statements. remind conference would historical call discussions during like hereby forward-looking start, that you statements

uncertainties subject statements results differ materially are Forward-looking such those risks to to statements. could actual by indicated from cause that and

and the earnings site sec.gov recent forward-looking on statements the regarding looking is elsewhere section available these information most XX-K Risk that we under release section factors site, and statements their that Factors well issued at today, discussed optinose.com. as and Additional as Optinose's are filed on Web under SEC of forward XX-Q of note cautionary Form Web with and our the at the Form and

You are statements. cautioned not to place forward-looking undue reliance on

as indicated update original date of the to or date any statements. speak of of no earlier statement. in such Forward-looking these only statements And call revise this during call any we or conference obligation this undertake

question-and-answer session. remarks, and then We will will to we prepared now a move make

over With the to that, I Peter? call turn now Peter will Miller.

Peter Miller

plans discuss We excited sustain Jonathan, joining that much, you second for continued and demand growth growth. and Thank in to strong quarter our us XHANCE appreciate for update. you afternoon to our good everybody. We're the very

of is that Slide presentation. overview team in our review key headline on throughout The strong again that XHANCE more number delivered today's detail prescriptions. to an start providing growth has of once I'd by we lead X. like the Starting highlights will promotional in

Second quarter-over-quarter or quarter consecutive a in quarter XX% was XHANCE prescription marks more. third XXXX which growth

not from new prescriptions are has while the for business both growth our potential and been new there just prescriptions that, is past long-term this encouraging Also strong remains growth XHANCE. Importantly, for is quarters, growing. few upside tremendous over refills potential as

and We the share. scratch believe market is prescriptions But large market overall the are surface so growing steadily that are the both potential. just starting of we we to

$XXX, the average second estimate we first was from $XXX per prescription In quarter, quarter. in the XHANCE up net revenue

produces we first For for net to revenue XXXX, prescription. light of the $XXX of In per entire of continue these that half revenue for full-year our results, guidance per range in an prescription to $XXX believe overall average average $XXX.

strong average for an quarter. revenue in second we net volume, XXXX, the increasing growth. coupled first Our we per over quarter prescription, $X.X full-year with million net providing reported Today, time. growing an net the yielded of are revenue XX% increase revenues revenue first And guidance of of

of XHANCE million revenues. full For net $XX $XX million expect XXXX, we to year

of cash In to us guidance which lowering to at full-year position as are on and continue million addition, focus XXXX, formed XXXX, allows June we our the $XXX XX, for of our expense launch is XHANCE.

least entry trial data a for hoc And trial traditional XX who showing private at days improved intranasal that when have spray from clinical on last, we new post exciting patients our and efficacy of value believe XHANCE. to analysis additional this payers. switched of for the strengthen further the evidence discussions XHANCE provide potential to with product and message to the has We analysis our the are

X. Slide to Turning

also strengthening by commercial Therefore, strategy and accelerators past while its of we are to as as XX strong, We move the we is growth evidenced committed forward. have months. the sustaining we additional confidence significant experience introduce core current that elements, our over

objectives within is affordability. polyps XHANCE patient target differentiate our efficacy, on patient communicating nasal driving integrated starts new how and include, patient our access Key of type strategy commercial and supporting

successfully that drive elements growth. we've While describe data have from this highlighted that continue we that I is several trials to from next slide. areas new to driving post are potential One earlier the pivotal strategy, mentioned the a in hoc have analysis many compelling example will

in is We meet illustrate we The that endoscopy physicians helping the also physicians. to tangibly XHANCE have effect videos add nasal a way growing efficacy new of can to XHANCE on both on will be that differentiate for the is sizable. sharing we strong when observed case library polyps with that of a are compelling XHANCE directly, nasal already market

large. So to our very uptake, patients on our remains this drivers commercial added as have Therefore, well. XHANCE new new the despite opportunity support strategy component we start of to

At the second increased by XX%. the number for of XHANCE sales start quarter, we of territories

universe encouraged initial are the to target new territory we by We hired of XHANCE potential high the progress a managers to physicians. promote of

prescription, more new is deployed day to we sample in treatment, seven the patient sample addition, new with kit first Many my a a I'll day seven patients. start and maintain enough in filled. has in as have the describe the for better Care opinion a that for In prescription detail moment. while starter this they product

in also a that designed fashion Charlotte, to if system pilot the have to announce to channel XHANCE inform initiated potential and in DTC marketed is there's that Cleveland directly versus test Hartford. patients. for The excited also pilot help I'm multichannel we us

both product in a physicians. we and time adoption is energy great In this patients and affordability. improving of invest Third, and to today's environment, access and market by deal understanding vital drive

primary estimate XHANCE. lives syndicated that patients, that XX% than third-party and data we greater that with the Our are and of insured internal upon is based a in those analysis, commercially plan for nationally currently opportunity XHANCE covers

of of recently country the expansion universe. target largest In with enables addition, we a physician plans the health signed one that contract our in

contracts for negotiating XHANCE by signing plans, plans. In to the and making addition Medicare by of commercial covered lives also progress benefit are patients covered and Medicaid we in

the Slide prior XX use trial nasal in shows patients XX% the important nasal other steroid XHANCE steroid entering an and differentiated steroids a is when of of for is one an XHANCE Efficacy patients days system, we the year. delivery steroids example tools trials. XHANCE address new symptoms improvement half patients traditional still anticipate delivery use X bilateral who a Because other part All to to steroid is X. the of question and patients unique for to despite a the of a analysis and the on is tried rental the of including Because from of entry and moderate-to-severe messaging. switching nasal immediately of using endpoints, and treatment, congestion the traditional physicians have delivery effective nasal therefore to to commercial new start all in pivotal a almost experienced differentiate This this we with second have symptoms by who Slide reason help system. our product one in polyps nasal system XHANCE analysis on had our of XHANCE reported nasal to efficacy at breath power whether we're get of further in patients using of grade. least hoping a previously key is people switched is that polyp improvements. at question to our Turning trials profile

X. Slide to Turning

communication. which growth is to revenue direct-to-consumer drive Another may work factor future

a pilot ended disciplined started XXXX November a first in taken have approach to DTC, April learning digital that in through XXXX. We and

pilot As into expect launched run multichannel our in and market to the Hartford have next we Cleveland, November. step, we test this Charlotte, week that

pilot upcoming committing year. of the before DTC impact We'll evaluate the next program a broader to

on focus However, during one likely we time will markets believe efficient. such a program to that believe key be we would periods be more DTC and

us and you Finally, places, be advertisement the are be broadcast in available test pilot XHANCE of YouTube We will that broadcast next call if we of in during have using available many on week. Facebook several online. anticipate including page the the on that the the asked will

Turning XXXX of quarter above prescriptions volume nearly the XXXX XXXX. or represents I have the continued prescription the XX% very half This at of observed third consecutive XHANCE of and was is first to we number by first XX,XXX. Slide XX%. of growth quarter of through in X. the the prescription The am of over second quarter in growth strong growth encouraged

refills. increase moths as their growth and number of And chronic we that continue using is XXXX, of new by more XHANCE patients the to to begin we XX% growth in report is encouraging is It as XHANCE growth a June, enter future also strong over the third July we prescriptions of can of refills of start of to the for condition. XXXX. proportion attributed growth see month-over-month total overall more Moreover, the second half treat the the quarter both in to quarter number patients for driven the to second that

significant To most Slide polyp this way one with of nasal additional audience. we a for large of that intranasal indication, written share our is written within outside XHANCE, audience sinusitis, headroom growth. allergic prescriptions other share rhinitis INS within and for the the X. steroid is measure to chronic of physician One long-term potential and physician clear, target for a are for prescriptions our believe be track. conditions of We but is evaluate target XHANCE there's our market that reason

the July, share lies ahead rapidly few our provide size has the of grown the December our share within sinusitis opportunity the factor a XHANCE in in In and I program overwhelming closing last a in year still X.X% than X.X% current absolute While chronic from just three illustrates of update more moments, growth of that audience. will remarks. you XXXX on by to for target low some

the CFO, perspectives will year and second comments our results turn over And Goldan, Keith? I regarding full XXXX. now, quarter for call to regarding Keith

Keith Goldan

Thank and everybody you joining today. you, to thank Peter

Slide XX. to Turning

close, market in second of As Optinose quarter. reported net $X.X revenue the we recognized million after XHANCE

the estimated dividing is revenue the to quarter, net per the prior metric which As XHANCE prescriptions is prescription, of revenues we quarter. prescription. dispensed metrics this calculated believe generated the for track noted of by number a evaluate net revenue by the is calls, on during We useful one per that average net

this you remind we variability. subject for However, that metric is

acquiring reflect result and of XHANCE do that necessarily sell not That the paid including that of patients is of pharmacies variability patterns is of proportion an ordering inventory XHANCE, to benefit programs, through we an for utilization wholesale a in affordability insurance and other for that price our rates unit change directly, customers patient levels a factors. the individual and factors

prescription first purchased $XXX. our and need pharmacy the $XXX, the following for which available per data limits in quarter co-pay annual of primarily our more was The commonly first increase to as of of average reset January. due to assistance provide deductibles, pocket out less increase, patients from in quarter to Based the of compared was XXXX need insurance revenue quarter average the prescription second XX% on net from third-parties our partners, an XHANCE data was

a Typically, provided in the for of up amount once threshold patient drugs, of co-pay reduces year, assistance out of their insurance by pocket costs the pick for of benefits more pocket which meets out program. the affordability our prescription turn

For expect for falls to the range per of moment. revenue prescription half a the further full I'll XXXX, overall average inside review that in was the $XXX, which continue which we first year,

Moving to XX. Slide

highlighted net As for revenue providing in guidance XHANCE we're the earnings press our release, first time.

XHANCE revenue year million the XXXX $XX range be expect net to We of $XX million. in to full

regarding guidance elect As in We and we waited more revenue a half full net prescription. average may year future. the information have year approach demand a order to product similar second before to the take in launch phase, in of until per providing the product

that expect to continue $XXX. revenue will year $XXX prescription average per million we to addition, between full net the be XXXX In

of full million excluding new million. $XXX $XX our range to second with Finally, expectation efficient $X be million. million Thus, XXXX the operating sales for midpoint $XX.X $XXX were operating of Previously, find $XXX and plus total expenses the to administrative year our expenses $XXX compensation. our cash, stock to that Based development range for expenses million of million expected commitment less strong was total be guidance expenses the which, compensation, quarter based the midpoint of be stock to $XXX for range guidance is the old million Of range based in expected to be we're Total operating and research to our million million. $XX and the XXXX, million. reducing to to to in expenses, a than range. are general the operating on $XXX is

turn now over Peter update to I will remarks. and pipeline to give brief a call closing the back

Peter Miller

Keith. Thanks,

XX. Slide to Turning

of by launch accessing value additional the to addition follow created long-term In of chronic believe broader indication significant XHANCE, be on the for a sinusitis audience. we treatment purpose could target for of

larger no of guidelines is condition steroids. substantially treated which use FDA off is It calling current indication physicians for this are is with we with mentioned currently which high an we by before, for As label approved aware very Universal nasal drug a prevalence, of treatments.

second the and In the activate trial second the to initiated execution sites. of two clinical trials, our quarter of XXXX, of we plan focused on

are Although, multiple trial. now investigational to in sites in activating continuing second XXXX and half particularly second additional the of screening sites, add with enrolling, sites the we an are on for emphasis global

to quarterly the in that are sustained encouraged Turning very by volume Slide In XX. reporting we prescription we conclusion, are today. growth

tomorrow. penetration to is Our I achievement on updates. the as our picture indicative sustain planned in the our a market expected as of future offers business continued for for forward look great average steady that of out round growth today, and while potential refills driver, yet large help prescription modest well reporting our still growing growth per trends and actions share revenue as our to

And like Q&A. you. the up now, open to for I'd call Thank

Operator

instructions]. you [Operator Thank

Our first Stanicky RBC question with from comes Randall Markets. Capital

is line open. now Your

Ashley Ryu

Good seasonality impact the territories is territories? I'm to just Hi. that trying by and thing. the see from to if any about sales "same you just new in any territories, just bit the store if kind increased increase a little of retail, can to for growth", talk from the existing of if increased driven will? trying XQ on And in you understand This growth the Basically understand prescribers compared talk Randall. to sales Ryu afternoon. I little Ashley benefit start XQ that to number. more wanted about you the bit a

Peter Miller

I'll then color. we what the maybe driven you in will. And the really, start But if the the for territories, question. majority can was old growth and you some add thanks of Tom XQ by call

territories. XX in did much modest So on place really some we're contribution said of the contribution remarks and half our said the we prior we We do, the really XQ, we doubt prepared But QX that of an There XQ. that not in believe be expansion really as in there prior I accelerator to that. in was contribution as April, back -- much in calls, territories didn't get we expect the year. about in could no is last the

as most new understanding prescriptions, and on if Tom, thing to just because importantly, of a affordability we anything if driven second us really by you managers. was we've the territory seasonal we there also great seasonality, know really our -- growth And but going right who the of are the efficacy followed able that So profile; able talked add. to last is organic, I will, anybody really very, don't that and is physicians continue patient result contributed were that about. really believe two to through very things; year that's know we progress that something to differentiated Relative what a We're continue call to our we impact. have made be to we encouraged we the grow grew that program; impact, growth. seasonal obviously, But, a refills you to have to we

Tom Gibbs

maybe for question. things. of thanks the couple a just And Sure,

were the were strong As Peter our I with legacy able quarter. the think second generator very our, territory growth during we what that we said, to pleased managers call,

that Now with the And that progress I'm feel into about really we early pleased good the said, the making. with are that territories. new they we've people hired

to managers for access know new XHANCE. the that increase target for it product takes territory of and So build awareness appreciation to we differentiation time physicians clinical

meaningfully these the expect to As back year. them half objectives, of the they achieve we contribute in

as what see territories. to territories, So our from encouraged our overall, legacy both we're as very by well starting new

Ashley Ryu

know continue one portion whether expect last Thank through the this that also, you if is month-over-month you a just, June. growth versus I new you expect impact And follow growth you've the versus starts patient to refills July you to the And had mentioned just XQ? then quarter? in guess, just that XX% XQ? then Can few seasonality confirm quantify Do the quick ups. you seen I I you. of can

Peter Miller

On in July. you the the mid could the season again, trough early really But add season of Tom, and to color. is --

growth we're very see strong June the had that then you of the we're in in right the through downturn XX% in which by encouraged We and July. that grew into July. worst So through it, we season

So that, be seasonality or us. a -- forward, on from tailwind is to further the to Tom, will here for category the add a anything refills?

Tom Gibbs

basically market. to Just specific growth. on June, is little And July, dynamics. there give a In we market the bit in decline the in saw the for market steroid XX% a X% intranasal then

So as trough latter us the quarter. the move third Peter the the we fourth part as to said, expect a have we a intranasal steroid into and and of behind is tailwind bit of of market

Peter Miller

we're proportion refill, at disclosing of refills. the time not in this On point

Although, that seeing growing that good our of proportion of feel prescriptions. say, at rate. because something script I this total proportion I we very did of relative mention good it's very in refill is not the we're continue about we're to will refills, refills the to overall disclosing. my acceleration But time,

Operator

you. our Piper Amsellem Jaffray. comes from And next Thank question with David

David Amsellem

just So of it's XXXX? think should to revenue But net I a on on so little know the had range began bit net being for the I you early couple, we talked Rx, a talk about launch, as over and potentially Rx any first little about think how or revenue color about. $XXX it that. a expectations even you for bit initial north the you

stand understand think a give and But portion to these days? then number this. term flavor That's have also us apologize trends? you as maybe usage that And that of rhinitis patients missed patients you I who one. where help and two, So can longer non-polyp if in Thanks. number where some allergic us

Peter Miller

first Keith, you. one I'll the to pass

Keith Goldan

for question. thanks your David

was to in in I analysis. range that million total we and as guidance. $XXX market. reported guidance, mark we've, when never term longer TAM other $XXX think $XXX on million net million net to based script gave an a million we basis, quarterly the were we're did pricing the per per the some we actually on as When at in the market TRx. the we And building our average were referring year up addressable average that example last past, were exceeded we've using the So XQ in revenue as revenue we But $XXX

$XXX guidance the to not past getting with the we're we've the given that year. So, affirming million We're comfort $XXX this range million.

For the very XQ. $XXX really we're works up view going nice which $XXX with by a in drug is $XXX affordable patients. that already term to be saw million co-pay our largely first of Again, impacted increase how along make mark in our the to half the strategy, within at contracting million, range our year, million. The approaching contracting that conjunction with and to to program strategy affordability the dovetails longer

Peter Miller

you because with we as continue grow not going just Keith, us that's obviously, that very the probably But that's a David, on is know is -- thing, have very more to to side. right continue in feel payer side, to all position. increase and right there's but about But the more have out, also of to good I real to is pressure, refill, covered, side. line still look to point on contracting think the think percent be pharmaceutical potential are on other of our pressure We're the the that's upside. favorability across current our forward, that as of our there board, companies. and room that we potential Keith the are And prescriptions I do And percent on. you covered prescriptions sight to we business shifts

Tom, Second to question, I'll you. pass

Tom Gibbs

David. question, the for Thanks

polyps. on in know, the are you nasal promotional of focused on our efforts HCPs treating As XHANCE utility educating

polyps. sinusitis, those prescriptions just that prescribe share chronic clinical of data about XX%. -- based other in written of allergic upon about with XHANCE rhinitis, claims However, the under medications XX% I'll physicians of data half umbrella, the represent XHANCE majority in under under for which based indication are expertise. All nasal can the their half you about And suggest, is These chronic XX%. just prescriptions are patient all upon outside The for sinusitis data. is

Operator

Thank with from next And the you. Steinberg David question comes Jefferies.

now is line Your open.

David Steinberg

Couple of questions.

started then a First, on the the you converted color just recently. secondly, initiated the I from you have fill put ASPs. many percent to July on paid know days It what Xst. what Any scripts? like field back actually people rate packs, on price the how seven X% on increase in is, looks -- starter starter And packs

year, So net year? should could this could assume range QX increase just $XX price jump curious to in from might to top hit of QX, range, the beat Or the a the you and upper worse Thanks. terms to of the of the the even be, guidance top the or for gross you given bit? pricing the little I for end XXX

Peter Miller

Tom, first I'll let the one. you handle

Tom Gibbs

territory you analyses that bit efficacy do of them The began and two. As physicians have are in preliminary patients. early our samples response a them to available feedback on day seven the quantitative true XHANCE tool this managers the territory to are qualitative help with back We're But to early the it's to-date. really distributing of utility May. promotional pleased managers done for to too the assess know, the we've from excited analysis very the a their

Peter Miller

just a we running in were XQ David, than I'll were we say more samples lot XQ. is something and

Tom Gibbs

that. Just on specific to more be

QX, If about In samples you QX, the just XX,XXX. we're in over at of was XX,XXX. just look it number

Peter Miller

pass Keith, one second to you I'll the on ASP?

Keith Goldan

prescription gave respect the is revenue to guidance given with we David, average net that

But effect revenue the price the knowledge payments three of the X. lot company. fee, And guidance those the largest. into as -- and affordability, average the doesn't the with account that the of that forget the to net in co-pay increase price per that PDMs that gross to rebates factors wholesalers including we to net the to service payers come deductions, and fully pay increase Don't report we prescription of contract takes increase. July all the a distribution are the

David Steinberg

follow-ups. quick just And two

XX% of specialty jumps launch to the just you one going then couple I But not the for weekly the years, CRS been second you your business see, can some any pharma And product about scripts versus pharmacy. big have And believe then carry but you has data, you when is in have question pharmacy. scripts in up-to-date the the on opportunities initially still the Can give is in bag? IQVIA retail So us still you limited retail that's there've the the of And but studies a ratio reported scripts? launched specialty actually throughout some to readout, went BD product, If or at another asset are purchase in-license development. indication you I know company resources. no looking bag. sales reps to to

Peter Miller

Keith, first second one, I'll one. I'll take handle let you

Keith Goldan

that everybody to thanks David, for good it's because question, aligned. get

So I network. volume, believe would volume. caution we up use a to looking IQVIA, the week-by-week single pharmacy inclusive reporting of -- approximately sometimes data, again, is mark, of in direct preferred our because of when But that specialty below XX% is which picking our seen week to to in up prescription we say, that retail at and more provider that specialty XX% on that I We've any look we dip they're have at that XX% basis. transparency, pharma believe XX% participate overtime, from data partners. use visibility that XX% that we primarily those because more urge would prescription our are the currently, we in you pharmacies picking get we

Peter Miller

happen that's is it's to retail business get different factor first see also thing retail, network, separate XX% of prescriptions of versus that's Yes, get in you percent measure. through higher obviously, number, too, because a obviously, rate. a of the we our think advantage, rate add network. I'd we about sell the and than an our current going higher are David, our same refill that the at to XX% But We there PPN PPN

David Steinberg

business the on development then And question?

Peter Miller

way, apologize, XX% I I there, misspoke to the by Actually, David, XX%.

Keith Goldan

our prescription is volume XX% flowing XX% to through of PPN.

David Steinberg

just business And question? the on development

Peter Miller

and David, ensuring and do a as company one build that is just we've with leading ENT our BD, our ambition specialty build product. is start, the said we can't to you focus obviously now, in XHANCE. From allergy On that from

that's we said So actively the stop just I'll could products bring that, near-term, the are in we there. in at focus. Having potential our bag. looking And

Operator

Thank question Brandon you. Folkes Fitzgerald. from Cantor And comes with our next

Your open. line is now

Brandon Folkes

maybe have have to to you the lives So XXXX moment. event at I for XX% a guess transformation? started this expect year -- moving yet from with be the Should for engage with your covered payers we

Peter Miller

that let you take I'll one. Tom,

Tom Gibbs

Brandon. Thanks, Sure.

We continue to we try the engage low through segment. and drive two in to payers hassle areas. market or call, different our, working what We're access hassle-free commercial

cycles. first States Part we move We're D as largest as we our increase expect one front, just expect the these in access our signed, then annual and the to well. plans United side, continue and on to Medicare and XXXX. D engaged to XXXX continue as Part we as drive access talk in Medicare The increase commercial we the the market in about, you know, had this payers into past to as We've engage health are other the there -- well. we Also we cycle on month, of

Brandon Folkes

guidance, that new given finding you. terms Thank in you at be there leverage those start large maybe the can OpEx some in campaign, how one up, DTC are a in business in where you And on savings, us model? reduction of then color you follow the and may are give much

Peter Miller

that, Keith. you let take -- Keith I'll

Keith Goldan

So thanks, Brandon.

I in especially you that need was OpEx to driven commercial not the organization. guidance find savings, in can our tell So the by a reductions

we with that think investing being feel launch judicious appropriately. think focus expenditures. do respect savings came we're by I leverage. was about were in would we're question earlier our The BD as and I more our say, the and As we you With categorize one leverage, efficiencies to driven them, a on within -- business I the

out to in a We juice get the looking best opportunity that field asset, going built to Obviously, there infrastructure But the used on commercial we XHANCE the in longer leverage asset. value that we what's believe focus the as that drive that that's to out more today, we've Peter and commented, to the have near is capacity of capacity because force. think midterm. is

Peter Miller

to SG&A very Keith, that, commercial, but areas the built add a just company it's we also general as of well. leveraged that from I'd outside

So it our feel have second it's that is on based of strategy. going a business something absolutely the that and growth focus XHANCE in And obviously And are needs good about very growth be. part the we it's in once certain July. to where we quarter become to we

Operator

you. Thank

comes question Capital BMO next Markets. Gary Our from with Nachman

Gary Nachman

increase think you're quarter, the net about, accelerate Any to if then to Peter? in more on refills the especially revenue second versus Back reason it talking third shouldn't continue the per broadly. And Rx. the maybe half way

is the key what What share in could year drivers full are hit in biggest ramp your comfort the Just sales much range you give capture more half? you assuming? us second assumptions that How guidance? to that behind of embedded that some the

Peter Miller

the I'll tackle first one. Keith, let you

Keith Goldan

some unfortunately, than other like Gary, specific affirming our range. more we're kind Peter going not to confidence be refills. as certainly tailwinds, of in There's any the proportionality mentioned, of the

contracting it Some our depends of strategy. on

that not than audience for year. confidence to we're the full be landing this So given going we're in going comment range just further that to

Peter Miller

a the obvious. of I'm the you of data And We going range $XX.X look Gary, relative half to achieved of million for We at the the know to well. the supporting revenue what's and But roughly full hard midpoint the half our facts first year in year. state of it. is net And year. as revenue, really first the doubling

split territories. in earlier. and look And underlying the at our Tom really good mentioned feel a We midpoint that's And the about legacy territories, range of the the legacy territories. doubling. analysis in into our million, go the our $XX.X we dynamics, then as when You trends to about we new sort

little come a frankly, side. that start we seen are, analog We The on harder those obviously going one And little be contributing. predict to Tom and are was about growth feel the our territories that's board. affordability But patient it's new predict just year. a mentioned have virtually different, the an is team. great bit the bit when as on factors. little big sales I But we mean, the is board to a really harder bit they last across to

our to arms really going come having now. about net feeling about around And volume. good business good the feel down revenue to really prescription, average we -- per have right we're so We it's

Gary Nachman

having could likely CS just start commercial consider some timeframe indication a have demand. could in data Ramy, lot of what's further would of you you place. on And And before initiatives partnership, maybe, And hand. you know kick for how a give to just else the see those what maybe type then, But quick prescription have progressing? the Peter, you trials creative a do could that? you I update, in when

Peter Miller

in. near and -- growth do accelerate company, business in we in term, longer will bringing we then about the products our is obvious, some the Gary, the which which there Yes, for in do going term I'm allergy allergy new how company things on in all a XHANCE build first the to point are are ENT on this interesting partnering time. we at is, space and And question And looking opportunities at, are an how the be certainly ENT state those acceleration. it's obviously

With So be But obviously, disclosing are I'll want accelerate growth. ways Ramy, tackle question. we let without to beyond at that, I looking just you organic to the careful second -- anything.

Ramy Mahmoud

in fourth and lot want necessary have the Most of Thanks. get of a our sinusitis on to going to chronic able we a first is on really quarter just countries trial. half the sites we're initiate but global trial up sites board them, in to Gary. other time started of the approvals the U.S. you Hi, be trials reporting the sites are the getting in first lag the because running. quarter the and longer this XXXX. now And year second that XXXX. last the of second just on And I quarter trial last of to remind

in trying we're still and active So get up of those to very running. a lot sites global

indication after It's precedence. our heterogeneous a territory the do later of achieved year. this It's has it we see we're from and first final about to been running data understood sites when other are expect of get hard to enrollment This because around that's some estimates for trials world more before. these in not about to unknowns well give the These and we based understand But the us up on class. rate confident going trials, better factors. never

Gary Nachman

maybe are at going one, How near you Peter. Are you and that? in last go hoc to And are market one And publication, the to you get to going future? to analysis? post sometime have quick be the a in going try able it and

Peter Miller

But It planning Absolutely, both that are sure part are become aware we compelling Gary. us we And publication that are take all physicians of is on data to the and to absolutely sides. to make has it. we sure payers. areas open make that

Operator

further the CEO, Thank this remarks. any to at to no for the time. back Miller, Peter in call I'm you. I'd like questions turn closing And showing queue

Peter Miller

by We very strategy the for we Well, been actually now. nine our think to the has landed the throughout, for back really strong, six tell the excited over half And just very about business good much our months over team remarks We Hopefully, on grow XHANCE. the about today. who year. thanks right past we've past and commercial think execution the questions of we're you can joined the to feel very right of all months.

So joining us. thanks for

Operator

thank gentlemen, participation Everyone, does conclude for and may also day. conference. on today's a program, have disconnect. Ladies your This and you you great your

OptiNose (OPTN) 12 Aug 192019 Q2 Earnings call transcript