OPTN - Earnings call transcript Q4 2019

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Operator

Ladies and gentlemen, thank you for standing by and welcome to the OptiNose Q4 2019 Earnings Call. At this time, all participants’ lines are in a listen-only mode. After the speaker's presentation, there will be a question-and-answer session. [Operator Instructions] Please be advised that today's conference is being recorded. [Operator Instructions]

to call like Neely. to now would hand over the Jonathan I go Please ahead.

Jonathan Neely

thank us and performance for review morning, Peter I'm you Good and our by joining for year quarter CEO, full joined today plans our OptiNose's and today year our XXXX President and Miller; our the ahead. fourth be and Keith we Goldan. on The Chief Operating new optinose.com our be CFO, Mahmoud; website this Chief Commercial can that Investors our will presented the Officer, Ramy Officer, on call Vic section. Clavelli; in slides viewed as

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

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

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

to reliance You in such original statement statements only are as or any date indicated not date any or update earlier obligation on revise statements. to of of conference and call forward-looking undue undertake cautioned statements. forward-looking the this of The place during speak this these no call we

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

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

Peter Miller

for morning, joining good everybody. you and us Thanks our update. fourth quarter appreciate Jonathan, We

John know team. like let and our our the of commercial with introduce Officer, Chief talented delighted David have are our rest started get to you we Vic Fabbri, new experienced joining to Vic Clavelli, we and update, Peterkins Commercial business I'd and how Before

President Pfizer, recently he has Vic commercial was pharmaceutical of with a the great of American Immunology Inflammation XX as and the leader where Business. years over North most results

Chantix XXXX and approximately in under at several While in he Xeljanz, from grew XXXX Pfizer, recently million $X.X most including Lipitor, to billion over Vic's leadership. which Viagra, grew blockbuster brands, $XXX

enjoy you'll while to have and the to so on him yourself, seeing we're excited for team. think I Vic getting know

X. Starting by detail like today's five to but slide in We'll are go on a the believe key moment, details supported more by in that in start we presentation. I'd takeaways providing

XXXX XHANCE by First, prescription we as our commercial first full in six we evidenced we trends. have a year strategy close growth quarters results as the consecutive of that strong driving our is market, adopted share successful robust indicate feel that and

the for deal there's for us Second, our year, future. share of a to opportunity the great substantial gains significant potential over remains past Despite in ahead available XHANCE. realize a

December Pharmakon as $XXX incremental of our of recently. strong position million financing Third, the million is up at closed XXXX million cash $XX the in through we added $XX we that XXXX, to September cash total to including provide has and XX, potential

to related we're the XXXX year guidance ability that full company your evaluation ahead. We favorably hope quarter on with first our initial our Fourth, weighs financial our on projections of aligned full in some XXXX guidance performance. guidance. was deliver Fifth, providing XXXX our and for year performance to company our year

a largely Turning quarter-over-quarter how on have the of basis. we to X. Since focus slide XHANCE, launch we on performed

perspective a it year to we growth our team the on be With our to back thought our XXXX. would provide a take what broader market, of the achieved and evaluate first full end on in XXXX, annual useful step

prescription approximately revenue XXX,XXX will XHANCE revenues filled XHANCE XHANCE revenues guidance. averaged For to net net and the revenues and full XXX% year net were XHANCE the our $XXX. of XXXX, increased net prescription per million per XHANCE Both align Prescriptions with $XX.X

to respect with disciplined were our we addition, expenses. In

XXXX, For full expenses, $XXX we guidance. our better of million had was year which than operating

launch like than the the measures in past dive have monitor growth we that XHANCE. and I'd we confidence give the potential In little update, performance of deeper a in and to us today's used to

slide total through prescription in Turning encouraged X. we five the by strong last I'm the to growth delivered quarters. volume

prescription However, that that bit the dive product demand it's underlying for to and prescriptions mid prescription knowing a relative volume. believe refill and long-term demand believe important new the product, to our understand of underpins success of to contributions we a the we overall deeper

refill important. interest future Both using prescriptions The new new potential increasing suggest for creates are the the in growth in and new prescription and refill customer prescriptions. product multiple prescriptions each

believe the that this prescription new point launch is growth. the long-term more XXXX, of strong fourth to of continuing XX% number and new health of business good than increase to quarter growth very quarter fourth of a XXXX the We to in third strong compared new than in our confidence XHANCE. more prescriptions a XX,XXX in the prescriptions future twice In generate XXXX. sign at there were quarter contributes That was and

the fourth In the patient per refill we number of Turning to XXXX increase quarter XX,XXX the XXXX. quarter to a area, number XXXX, through and fourth in we seen substantial there have approximately compared encouraged third a of XX% In than slide more that prescriptions quarter year. prescriptions increase XXXX, are XHANCE, refill of prescriptions very in X. were times retail six per

are chronic treating per observed believe refills We helpful prescription approaching increasing indication world finding we we level this practice, XXXX our real a patients now that pharmacy in through and trend to year a network. is an their fact condition. be per of In in are prescriptions preferred in four generally XHANCE patient

XHANCE and compared growth to XXXX was number This a XX,XXX. an factor by Pulling four. total in approximately nearly together, the prescriptions prescriptions over fourth represents quarter quarter new of of increase X. of quarter third fourth XX% the XXXX to of of refill XXXX, the Turning the slide and

of XXXX. in physician rapid of patients, tremendous audience XHANCE in quarter as fourth Share XHANCE, there as of results X.X% will by for share that in our increased to their that product Turning that quarter X. likely steroid of a are target physicians XHANCE growth. believe result increase and We physicians. own intranasal strong all and in X.X% large audience of remains a is in in in was Growth continue is from slide upside expressed continue treatment fourth believe prescriptions XXXX written prescribing more the XHANCE, physicians therefore, the to target XXXX. to We current they steady proportion observe there for believe in market to to which the continued

product both their that patients themselves during these prescribing to expected. we better be and XHANCE XXXX. may When affordability why and to works at XHANCE levels, has factors have in audience than that respond typically increasingly really access these these for report We the ask physicians our of are they become they they originally apparent found believe physicians target proven they for

confident increase against model writers. to commercial can our from to in physicians Overall, more convert continued we execution substantial and current XXXX are share continue that early experimenters

continued communicating support affordability. easily Our differentiation, physicians plan programs and and our trial samples own and seven-day in and patient includes efficacy a providing communicating XHANCE on patients their for more see access focus so results can

product environment actual force launched To gain on difficult to that the access affordability. it is today's many because sales physicians have XHANCE tools and achieved we're strong last our like in core for new we're any and branded finding belief access physicians the recently a to point, affordability we've providing that educate

access and report and patients insured after XXXX, approximately to and This as strong application access I'm $XX paying affordability on commercially continue commercially majority sales we $X a pleased to coverage that and have with the between XX% we will insured significant enter XHANCE message our continue affordability. of physicians savings. our to all our educate team of co-pay lives of is

number play out long-term substantial have recognizable of that note the business. the a eight Because continue of to a managers new we options. in treatment new could into in territories XXXX. believe over hired regular I'd January, We also in advertising in research frustration that with direct-to-consumer territory building care further suggests for people condition role to this, strong symptoms and treat we like market in a deployment where available boost of growth dropped geographic easily to

continuing report that patient produce awareness Cleveland, I'm and multichannel In drive produced marketing. in to Charlotte encouraging take disciplined and to a DTC to to pilot with XXXX, results our of market XXXX test in season, experimentation also ability are Hartford single pleased on that the we act with XHANCE approach to interest. to regard intent

increase which physicians about to increasing XHANCE. well We believe able are However, efficiency the we at with DTC-activated is select physician XHANCE. activated treatment knowledgeable more at to increase ultimately patients connected before with rate, with, informed which the jumping receive costly patients and the find test the into on patients XHANCE could that a which can would ways rate the be who deployment, broader next

step, of XXXX. we be will season next in the extending pilot spring same a during the the As cities

to Turning slide XX.

of the performance specifically we per and depth more write five measure who proportion number certain patients prescribing physicians of have of quarter. is you who Another that filling prescriptions both prescribers last can prescribers the breadth increased What prescriptions is of both a increasing. and of number have that of see has monitor been over the quarters number

and than increase XX% Regarding of to a least an compared than to fourth of at physicians quarter an compared more XXXX. more breadth. of X,XXX XX% quarter fill had XXXX XHANCE, quarter prescription one In fourth XXXX patient increase third

quarter of who had patients patients quarter six-fold in number by the of by XX the grown with more XX than physicians more physicians prescriptions from increasing number than third even The fill quarter depth. quarter greater with faster Regarding and than over has XXXX. fourth XX% fourth to filling

fourth It's XX% was quarter number approximately the approximately important group of responsible Thus, for XXX these average the of were physicians that our fourth prescriptions XX. the note in for physicians among top to total XX,XXX XXXX, or prescriptions. in prescriptions the quarter

trend and As results part of paradigm, in their this have we and patients treatment are that to access that of physicians XHANCE We the an physicians adopted growing mechanism become they increasing a continued growth as is their supporting affordability seeing own full-scale subset believe their adopters. due the of experience are product and described future earlier, of believe as one of sustained generally barrier. not potential, of key called-on indicative number this product

dissatisfied additional on dropouts, reach for an to with activate a In additional With universe called-on we I'll growth. chronic we have and believe few DTC as you can some future program our multiple territories, future so-called of sinusitis moments, lever. such growth avenues remarks. expansion lever third provide we the to update the new closing the And of

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

Keith Goldan

joining thanks Peter to you, today. and everybody for Thank

Turning XX. to slide

year full As we XXXX. million previous fourth This full quarter and guidance XHANCE net consistent XXXX. the reported, OptiNose in for year revenue of the recognized $XX.X with is $XX.X million for our

on also purchased XHANCE prescription. directly $XXX. available from increase $XXX, preferred prescription prior the was on evaluate during by prescription average calls, we number metric data this that per average of the per noted As the Based net of estimated was over prescriptions XHANCE of average calculated quarter dispensed which to which generated track network for useful to metrics data dividing quarter third the received our parties on XHANCE net net revenue revenue an by third the is prescription, partners, believe, a per is revenue we the quarter one pharmacy fourth XXXX and of from continue net XHANCE we is and quarter for revenue the our

provided assistance our maximums need co-pay increase year met The threshold third of of patient progressed. provide benefits affordability to turn reduces is in once program. meets from up drug, pick out-of-pocket the prescription a result the more of our more Typically, the out-of-pocket cost less quarter assistance the a by as year, amount co-pay as primarily which insurance for their patients the of

As with year the prescription XHANCE consistent was highlighted per net $XXX guidance. average XXXX, earlier, revenue also for full prior

morning This around quarter full our we XXXX first guidance initial XX. discussing year slide guidance. thoughts -- are to Moving and

basis. XXXX XHANCE expect First, double to revenue we net on full year-over-year year more a than

prescription for $XX.X of this that revenue first XHANCE net our for expectation, to we will decrease I'll driver decrease As expectation anticipate and in that primary sequential $XXX XXXX to XXXX the compared the XXXX of between quarter per XHANCE quarter QX average be $XXX. XXXX the net part fourth quarter million. revenue XHANCE is revenue in but revenue discuss net detail, more first of

revenue For substantially. net XHANCE the prescription we XXXX, to remainder expect improve of

XXXX of of the that factors are months prescription to changes net stood confident We because remainder net improve gross per for our revenue nine deductions now XXXX. will XHANCE had to the experienced that major the structural final where for influence they relative

and revenue consistent is revenue terms The fourth quarter average are believe, Overall expected two XHANCE pharmaceutical is rebates in the net per primarily prescription program industry. of are treatments of chronic the common access and which our we drives generally by market from net in assistance effects unchanged. decrease co-pay driven that the XHANCE XXXX for

insurance last that co-pay quarter like because by first the of occurred which greater patients. resets assistance be First, year, in effects provided expect deductible deductible us under of our patient support we January, on expense programs out-of-pocket resets to blunt

factor decrease this contributed the or is by with coverage of the refill second patients Year. to whose changed delay loss New insurance The prescriptions

than to of changes These made are the different insurance Refill fourth of prescription in processed to quarter they the quarter refilling as whose Patients our new discussed before example up XHANCE. new higher proportion prescriptions, claim can profitable delay insurer, business in covers fourth Peter the XXXX a much be a the more of a a just provided. can than XXXX. needs because did experience a larger relatively that proportion new in be for insurance have prescription a a refill patients coverage year, these with if prescriptions

XHANCE Moreover, XHANCE prescription net we patients of in effect this early hear, within as that the lost. remain We What new XXXX, and should quarter on prescription resolve in insurance pressure first XHANCE per the the of some both and refill prescriptions some the believe changes for create is is prospects strong we experienced first quarter revenue will demand XXXX, revenue of believe downward net due of on remains XXXX. investors for are effects believe to confident patient to XHANCE important which revenue XXXX. in in the we growth proportion net average

guidance the key well of XXXX sinusitis the commercial initiatives. sales an field-based These initial development associated of our team addition and early of engage the our members clinical conduct and includes number increasing new of key as and force, as our territories clinical commercial new expansion include with sales for our the Third, operating expenses opinion XXXX of recent fill as XX increases chronic as approximately leaders, to with well annualization sites. trials

For the which stock-based range be to in million, of to of million be million are million. we expect $XXX year excluding expenses expected the expenses $XX operating XXXX, in Total $XXX compensation. non-cash range approximately $XXX total of million the $XXX to expected is stock-based full compensation operating be to to

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

Peter Miller

Thanks Keith.

XX. slide to Turning

to by additional access chronic addition a of of value are treating patients expanded significantly the indication XHANCE the the with In patients than increase we effectiveness specialty treatment incremental new million the treated we over current a sinusitis. XX,XXX audience ENT the allergy currently physicians, for indications, launch target on. therapeutic achieving believe long-term number significant could and more created This of audience indication be may seven promotional of by currently an calling double the first-ever of

with we I trials of referred from we results our second trial. XXXX, of earlier. pivotal incremental announced we pivotal help the -- issued that for Today, believe can expect leverage first first growth lines second the effect, topline up increase CS to obtain can two previously trial the we pivotal guidance this the the In half indication in with which CS levers

we which We CS exciting. which to updates and of this by particularly condition universe because on which an treated substantially treatment be very the is prevalence, the indication, drug is of could we believe providing find future FDA-approved This for expanded is with first-ever look program, physicians. high CS because forward XHANCE

for our did XHANCE In XX. confident you XXXX both in strong is in we in revenue slide that that to heard what can drive and we strategy XXXX. commercial remarks hope growth continue as net in prescriptions are it to closing, prepared Turning our

XXXX, modest growing large the indicative our offers share with current Our on yet market within still indication. audience great penetration that just current potential is of a into future not for even our but

addition bolstered year to $XX the future million in of up ahead. by another balance addition, have In a to sheet recent million with strong $XX access we the potential

stayed strategy. of Our heads on commercial while our execution cash position it focused down

our guidance. line in We've delivered public performance XXXX with

deliver XXXX ahead. we for us. year about commitments our corporate Our to important provided initial first our investors and our full ability expectations better inform to for guidance stakeholders is to finally, year audience this And including on quarter to the

I to you to now look like forward open I'd Thank and Q&A. future the updates. call for up

Operator

[Operator Instructions] Our of first Capital question comes BMO from Gary Markets. Nachman

Your line is open.

Gary Nachman

as are compared flat? revenue I good XXXX that saw you net Then guys. than per do will couple XXXX, you for more have follow-ups. in assuming what basis, of level the morning XQ? revenue you from continue up, of down Hi, To or prescription think increase to achieve a to on full And part refill year for rates a a of doubling

Keith Goldan

Sure Gary. the Thanks part first This Keith. the good question of morning. take the question. I'll and is for

revenue just guidance. in we public. into that back are we we second in net that we back the average in could year January, provided four we weren't with going call make that moment, to revenue in we were achieve prescription launch. until and quarters our full the net guidance And to a to quarter beginning And even sharing we when the we waited that per did first So XHANCE numbers the up quarter for August gave the confident past wanted last provide because sure to guidance, year,

today, for doubling And this net give XXXX on TRx. Starting and specific as Today per average giving revenue floor numbers. XXXX going on least guidance set at net to our guidance from revenue. more we're we that than pull back we year, going to did the change we're

follows there's net the that for that remarks. saw the all two affecting market it's cadence structural which gross my no the And similar changes to XXXX. the to And for factors, relatively I that being around on said, commented biggest main access. factors in that two to Number deductions, first really that That are I we think being reasonable it's that's this you assume and year. -- fact our in pattern

We XXXX. that expect rebates the similar in rebates we to paid to are that pay

been year to throughout And secondly net TRx our of changes we average no us affordability and with have similar that increase program pattern should revenue follow confidence co-pay There per the assistance. gives see that the assistance, that pattern. and co-pay

Peter Miller

turn the pronounced Yes. co-pay effect same refills obviously but that the on had that as because did add a year, more remarks. Keith to thing that We is call effect we Keith's But is this said, talked we effect I'd bigger only we reset, already Peter Gary have the as washing had through. in the the it. this calendar of of sort effect a just seeing effect of the about this -- we we're feel we of

So across as on to sort dramatically of of sort anything that we're it be year year the the from confident goes there where year. the different will last balance shouldn't normalize of

On for approaching terms that's patient chronic refill you know med year a symptomatic. the four number per rates a I Gary, very is in of good think prescriptions

year, just new going to as well. about number think patient four you that good we we growing, -- prescriptions this year is as of continues prescriptions even percentage because the we're expect number relative of per year. to our getting and encouraging our are climb the Gary per across But to happen refill sort per how to So per sort continue a what's think see four to be of patient prescriptions

Gary Nachman

down? if then last status you pharmacy the network can does Okay. this So at I'll that's Great. the percentage throw add still XX% us you And one. it about specialty network, specialty reflecting the more the we at point? just confirm that volume? And to one just of then give look And just now. of pharmacies maybe go just as when IQVIA,

going writers. reps helping the had helping? after they they are additional been physicians? existing go how deeper to Just Are additional Or with

reps? more you that are with -- or new plan about expect So volume the to on the is So just Thank they front moving higher how progress move docs the for of you. them bucket? talk help the into

Keith Goldan

answer this Sure the that Gary. is total of you the the first phone to I'll important part because take rely predict IQVIA, of and lot on second. Thanks. let With This prescriptions. the we respect a on understand Peter data Keith. kind question is to of

is for scripts. you about it look math scripts fourth indicate would in Just reported take the we of doing if at TRx total that capturing quarter the the just numbers, the that as XX% you, and IQVIA the IQVIA

Now periods capture -- longer in XX% we good for time, to is looking of the forward IQVIA. that approximately metric over a believe use XX% of terms rate

early I hope that to data that We would we decreased mentioned And I'll that I from to are of that I and TRxs We XXXX, reported However, quarter estimate right? to IQVIA between decreased that directly back the a PPNs would kind far, can the expect thus that by long-term, -- have would correlation our the perspective. have in return say first XX% seen just -- mention we in correlation perfect the capture report and that expect as rate. correct. us,

Peter Miller

have the network leadership network our pleased by built Gary Senior we've that of great a other companies with with. is really on many senior meets company with we're and from it. itself working leadership way that manages we're the team the

building a products not the lot first think going the about company, in being the to higher versus we company, pharmacy getting retail channel. on look both I'm typically of think eventually is we which something refills a you of very as to the new also brought believe we're a So we that network as building that's talk the retail on about today, business. And fill interesting percentage the really future valuable getting really to patients of side but channel we're into than get terms more in I

overall. So the we're good really about feeling network

they're I the role XX are into the those reps with relative territories start since and think you to reps reps doctors. going majority initiating roughly huge in the new added of playing, new we've know that XXXX, our the of terms In of

by high-value called on might the add. in after on So audience. they're not They're geographies, increasing largely targets current way going necessarily new new the targets frequency I really

ramp are you ramp seeing that by reps established of comparable terms in of those reasonably if territories the what saw we the saw way benefit the we terms in producing than those territories. that in in will are We the

thing response response The just We add good the analysis. we're we're seeing detailing the the evaluating Gary of And that from completed and pre-extensive And our on reps to on by doctors. evaluating can find all we say get more frequency we increase we're I'll that we effort more a is good sales. business. ways is I'll responsiveness frequency doctors, because always get get is we when obviously the business promotional news

Gary Nachman

Okay. Great. Thank you.

Operator

question Cowen comes Cacciatore from next Our Ken of and Company.

line Your open. is

Ken Cacciatore

guys. progress. morning, Congrats all on Good the

to wanted more And level do not doing you're what we're Just on is focused DTC that the Or patients. be going breadth think and X,XXX you going managed you is with? to you're an And of get the activating is base clinician having about I prescribers to that update that experiments. care have -- then, obviously know at working increase? critical just

could have thought just went would care little there? both have a not those you little point of clinician on bit on base thoughts his need we just region, kind would as could also could like what access coverage, of hear national? on you And this a would build good managed that discuss these good have clinician help of to have the kind patients just targeted that anything that what to in you comment before sides I had in Or confused wondering seeing markets, you from the leave And the differently then just a clinician So further -- to more this to turn do is you. he'd of want upon? Victor, that he if and want do we guys he'd great base level you Thank what what had? to progress

Peter Miller

excited any months, Ken, for get I'm we is When nine improve. is there certainly improve when market expect sure Yes, the for But for to there's XX% improvement give But We next points I'm I am the there's months we opportunity XX of to think access. been to I do get a as we a really it's reasonable we over months believe likelihood there five so. working predict we've of to to give bunch thoughts. to stable it. able questions. market in that should for out be to really We're XX have And going now another or of hard guidance Vic to it. thanks Ken access Thanks Relative honestly. hard think, Ken. his asking. this. not get to XX across to months, there kind

on awareness calls, a As tracking at an know regions. in And I that, going on what's that in little have story was we've color, we sure really have is access good being your said as have add looking and ways as we website bit in of for to activating those market there, know that, the have who good market really patients. the Relative on And we think by patients terms interest in well for add sure activated. a past DTC, we measure to about front. activity all question we of of we a sorts

the this fair point broader you environment interested. is, message a at indication, know, get that, currently What trying towards audience amount can we're things. in we're deliver polyp nasal two So a One in not we're even patients to when working we do in a specialty as of and confident be you that other website patients they a and aware patients to we of a by and XHANCE can who to may go as we direct script. it, can the not convert that you so our right can tools target we with will tools on into physician if our means; audience provide activated we're

take him and brought is enough to view one evaluate the really a in probably my the great frankly got it in one So Vic many not among way, can He's you frankly. -- test, will and on. we traditionally and time DTC comment season experience by really reasons if of does

audience bit a this in I a do Ken. what is or business of that sure we a role at I physician in play know. more color, little this hopefully But not what adds here's point. with whether So evaluating for concentrated know of sort significant can eventually it we're will DTC

you Vic delighted to make So have some comments. I'm

Vic Clavelli

the And to Ken been for with has they're patients. I Thanks, doing Yes. what mean, pleasure a this to what question. see Peter. it differentiated and join to team real connect thanks a product see as really I

by I to access for done percent is the as improving this continue that to by gain for look as think, I the to think And possible mean, making tremendous make have work product. very shared to -- I'd that metrics we'll choose of many I to as patients. saying, I XHANCE. the both to are well what think product mean as possible has at Peter easy patients it start as physicians team patients, access that strong. coverage access sure ways to who it's And I

to that. they marketplace, of physicians about it track a Peter choosing And think their base who talked opportunity closely population, to more there and regular even look within a the lot of number that number is we're and make regularly a there's that patient going their I to tremendous it are of the get of to prescriptions pretty in physicians, can the we broaden at part ways write opportunity practice. broaden We

that could going all advertising. step you absolutely we're and into step a we a about at that reason for them the We that, can understand back patients new patients a And asked look XHANCE help them. be activate forward And to question see market. those those direct-to-consumer dissatisfied to ways

Peter Miller

the By benefit. I the day he's Vic XX. give way, will on think I

successful the So is fitting are clearly thinking more just team and to -- fresh what you, how strategy. a build the and with delighted think very tell on we we ideas he's commercial new but some of I'll

Ken Cacciatore

much. Great. Thank you so

Peter Miller

Ken. Thanks,

Operator

Our Amsellem of Piper David next question comes Sandler. from

open. is line Your

David Amsellem

Thanks.

-- ask talk the favorable to wanted to co-promotion. the potential into about expand And go? think would to organization? a And to to know label. you that, this organization. for to deep long-term past you've you you get I community alluded have that the data sorry, would which differentiated nonpolyp in wanted you I the and sales extent as what's about sales plans or And the have extent general the in the I I your you've the in talked to past can How So practitioner thoughts. data the get Peter, your into setting

thoughts topic that? you. that So I reprise you're thinking on to just your all about and how get wanted latest Thank

Peter Miller

in I'll the it We very we're places, building for Thanks by strong the getting. the way. organization Yes. couple in of of allergy. a sort ENT with a take feel pleased sales we're David. team, We're the And question penetration

promotional was we're want evaluation responsive within of but So ENT we company's the details, alluding And And much we we into get product that's too and don't this more allergy, we sort to have I to know going get phases, I this be still scripts. because get to when it. a we know earlier in focus. more

vital. we So, that's get even ENT very very, obviously getting in allergy frequency increased to and on we're to new that addition evaluating can doctors ways doctors, in those efficiently

allergy. good And So, I well. ENT you'd business and in good that's but initially be going within know really to ENT view to is our generally. force what feel build you the -- -- I sales ask our going to I really Optinose just do asked a really want it, is about ability about

other multiple it about public our and efficient of roughly and expanded Candidly, do And more and in lot there's partner primary it, we've unlocks care products unlocks way preferred with calling earlier sort the a products have indication a opportunity in it's care deployment David, because potential. do to imagine X partnering ways to doctors think that is significant can I million you through to obviously potentially primary be way that. two find been would XX,XXX audience But alluded to broad in -- that. preferred patients. on as treating it a the we has who enormous very

bag. evaluation, should full expand doctors. can partnering X,XXX parallel approximately We're care. it's the I of get a to on in to frankly because primary ever already products calling hard primary I of or our could we lieu today. audience reach we'd in increase efficiency say think the without those very doctors don't In care the We in the

answers Vic if to your to don't I that add anything hope you question. know that? I So, have

Vic Clavelli

No, it I think that sums up.

Peter Miller

excited though, indication. about the about CS of product with excited the very We're and very, potential the

David Amsellem

on And thought color take leverageable there. development active to into helpful your a company? assets you with sales process you Help I to the that bring are are us being related looking question for assets? in That's And asset, understand a organization at R&D Peter. willing vein, as guess how as your stage

Peter Miller

frankly XHANCE. distract David the to to in stage the Job evaluation And in wanted build we that pretty sales don't We're clear. active one so we team. an evaluation, getting near-term. now. just want view off eye is really in is We're right And our take ball can't our

we promotional know As a have product. I responsive we --

into So, now is be. build can really that we our effort our it right focus how the business XHANCE can and

way we're you have that absolutely successful really leverageable. product. our to that, Having building We do capabilities as said a on are said

is it's XHANCE. So, I the we six three that in David the quarter to to term are months, we're think fine near say certainly on to discussions next and the fair focused in

We about even opportunities. But And feel our we we're really I we that careful on with really about cash, focus is beyond though be cash. going cash our David opportunities? we mean using timeframe, understand are. near-term position real are to considering current good

So, we're those And now, think in that continue benefit discussions build look frankly the business, require is currently produce but of can earlier having going later the to of largely and assets kind commercially. significant of we're but cash, we'll the about focus we as are stage going for to later-stage stage. products, for development won't use on

David Amsellem

Great. Thank Okay. you.

Operator

Cantor question Fitzgerald. Brandon next comes from of Our Folkes

Your open. line is

Brandon Folkes

congratulations and progress. taking on question the Hi, my thanks for

as the have Firstly, add just whether per circling polyp color XHANCE prescriptions you back for patients nasal CS? you on year, to using these any differing patient or are can do per between four

do patient with think more with that prescribers it familiarity What just about you secondly, data, reimbursement? docs. Is perception you. then high-prescribing Thank the gets And into talked or experience, of you frequency category? getting these

Peter Miller

Brandon good Relative in the versus on me for hard so the first on it. a comment to polyps we question have way. data -- to thanks it's the product don't non-polyps, honestly use Brandon, question to the for lot the that Relative of by of

outside we you the I indication. know think use have of a polyp fair amount of the

back So, will, to is and if disease much time have the nasal be you too to to want the use the reasonably this suggest frequency, getting outside going core product Brandon, spend we but it don't on of sinusitis. disease I And would you chronic of polyp. know of that the good

polyps Some some don't. have people

six of suffer and severe. product disease or people have or nature whether to year the of reasonably the the a not, symptomatic the year is same bit The throughout suffer more is reasonably four you people because whether same the the But not. polyps the reasonably polyps you are polyp same months little to patients tend have

would you I difference, it. So, we expect data much have wouldn't don't support see but honestly to

The enormous two simplistic convinced differentiated what is XXX makes converts those doctor, really I've product; the get doctors of product way. Relative have this of really and by and like have talked a here. we the view I We Brandon. they're ways about on work believes the it's my And lot. a that to efficacy we an do benefit feedback doctors worth it. worth it's adopted the one to who term what use comprised doc in have

The from it's first is symptomatic. patients, because

the patients lot would say So I'm unlike a asymptomatic feeling hey, doc, conditions better.

calls. confidence the prior in builds product, that on talked as So I've

observe we reduced is or scans. the objectively evaluation benefit ENT, in inflammation whether nose doctors can in that also have the being endoscopic via Especially

because could to trials. know work. to about that doctors of real-world feel we the This addition believe a have the the And setting really where in this. clinical long-term prospects does product we that get So it's foremost first who converted, they in good is and do. We so

there a second any of and And that across call, it I going not category worth, is three products have doctors were really recent five based last to our years new launched by about product especially and in perception with to did in is affordability access today and piece the is the achieve affordability. access mentioned The access on this good several that experience, affordability. it the on bad come the way, because

the So as through some And you're not with authorizations sales good prior the they perception we to is the our to have has access, of our some we the then work perceived, the we access with do and have commented, limit that associated that because arm talked do, that we good affordability. the we're have we Vic physicians to good have for staff. worth is it it doc make reps, the product going And doing not just sort to things of candidly we why affordability. the really team actual and battle really about have to sure

Vic a long-winded our tools even data the area really sales we understand really prior affordability. is. about is been but where it's we've the we the really help of doc of and good efficacy. on coming on that answer, So focus The perception in And physician giving to Vic feel our access have somewhat focused is to force and was

Brandon Folkes

much. very you Thank Great.

Operator

question next Steinberg Jefferies. of David Our from comes

Your is line open.

David Steinberg

Okay. Great. I have questions. three

on polyps is the for it's therapy. XHANCE or dupilumab. a to and know relating you patients treating and is a impact one refractory first different The seeing But positive are either for negative it's nasal market been I any while, add-on this approach thus on little far?

Secondly, you by with the that I Peter were regards to made cities. encouraged comment you three a DTC, think

not program, pilot to expand you're going a have further. but You any

work some do more there. to going You're

to even -- that to going for does adds? imply additional cities national do So XXXX DTC this that expand or you're not

on And the disruptions? supply more And globally? check your are seeing of then Thanks. have wanted not complex in given thirdly, part going to Implicitly just chain you a see because device. what's any just do in drug place product, it's you on it's plus you I of a chain. your disruptions drug any any supply Or macro,

Peter Miller

we taking a feel getting Dupixent for I to out different way. there. Relative Thanks David. Thanks early are by it's approach. up the early

it's population. and product of priced the was really And that's will really studied in where -- used of treatment. frankly after know and that I were how think a terms severe pretty fits it it's everything be sort what how you else doctors of in David in it's and if you to that really intended has the they studied failed, such sort

was the studied think you by on that spray. know of top way I Dupixent an also intranasal

high, a seen of not Dupixent. so all terms growing listen impact, a but the of an Regeneron of on and cost business. they're of sort has spray, studies using dramatic because David, in the lot docs Sanofi. this up is not Candidly, number very intranasal per commentary top dramatically building our they We've to as background. number of you of So is patients, it from the way business are I are been patients of revenue, that set and the patient But their on impactful if on

therapies. about said, co-positioning both about as the about how and be And I there's you as Dupixent opportunity can think talking complementary an think to think we to we with doctor

if Relative and question. I've to your on to add anything have DTC got you know Ramy, don't to answer Dupixent? I

Ramy Mahmoud

Thanks Peter. No, I clear. was that think

Peter Miller

be still tell Relative expansion have to early just We're lot. going XXXX. too in on candidly, We very We're to it's to learning. careful a David, measured. DTC and

and get it's it's likely doctors think means. efficient what you to probably aware XXXX, about less more doctors or on can significantly in we I more likely frankly but right the how about patients product how than all to of expanded the you get be can learn

patients primary with not up of if an have to patient And patients coverage on don't be we care, activated lot prescription. a because doctors clear, ending with a to may end up you those go

on. focused So that's the area that we're

David, as injection have feel molded supply business. It's our because think, we're our about around that chain. great not parts. making you plastic arms really chain, I We as complex Supply

on sites of drug that We relative got way. lots to build, team in by great that And we the have we to making that very lots understand works substance, of the We've an a capacity assembly. molds the do that well.

current currently relative ability So our huge parts significantly facilities coronavirus we of we're situation, remain coronavirus supply. sort are future in supply continue and to to and and to Relative of potential not in the of of by to our of lot chain. that don't we confident areas are have that a our majority very nature, impacted things impact in confident

Keith Goldan

just David -- And this Keith. is

Just DTC. to Peter's to about add comments

have Peter a the And perspective, from As you budget not allocated in beyond of extremely we three that's the know, continuing we're that mentioned. testing markets mindful cash.

We not have this allocated year of an XXXX. expansion in DTC for

Peter Miller

know have to clear we Yes. going we're guys us if only Well and ROI. expand you

David Steinberg

Thanks. Okay.

Operator

further are remarks. to Miller the over like any no to I'd back for questions. turn call further There Peter

Peter Miller

much. you next update. joining Well very we our to us appreciate and look Thanks forward

Operator

Ladies and gentlemen, conference concludes Thank participating. this call. you today's for

have Everyone day. disconnect. now great a may You

OptiNose (OPTN) 5 Mar 202019 Q4 Earnings call transcript