LNTH - Earnings call transcript Q4 2021

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

Operator

Good morning, ladies and gentlemen. And welcome to Lantheus Fourth Quarter Full Year 2021 Financial Results Conference Call. This is your Operator for today's call. Please note that all lines have been placed on mute to prevent any background noise. This call is being recorded for replay purposes. will webcast company's available after website, of call the Section the the of XX the the for of approximately and replay will in be Investor completion days. A archived be two hours I'll for Mark now Relations. Kinarney, host Investor today, of turn over Director your call the to Senior Mark.

Mark Kinarney

and provide results remarks, our was guidance, and Welcome provide the morning, XXXX Mary me over Anne With on XXXX with to Financial Paul Exchange will call to are Q&A. good turn Thank then call fourth then press Paul and Chief and quarter call. you morning. Blanchfield, Mary and release, financial which the year Marshall, full furnished reporting our remarks cover provide introductory Anne Commercial a commercial conference and Bob quarter Heino, and closing CEO, update. will our Officer, issued results. fourth a full and Officer. President Anne This will Commission call for and Lantheus' X-K, call to Chief open will to year we we under the Form and Bob XXXX financial results our our the begin Securities today's financial Mary

release section at lantheus.com. You in the can of find our investor our website

of those you website the our section presentation under the not the webcast, on on you tab. For Investors of slide can find the presentations

materially, these COVID-XX actual of Reconciliation expectations that Also during estimate please that remind and statements filings SEC continues statements. Before staffing discussions even forward-looking of currently information. from or comments for based hospital we a required to indicated no this Actual update levels materially get With most uncertainties. financial measures. refer except now be discussion forward-looking note differ you of include this results on business a the uncertainties. our results law, of my change best to Anne. our the our website. included measures outlook assume will to section as Please may particular, our that financial those call due on and available Mary obligation started, a by to non-GAAP like include and variety call measures comparable over applicable detailed results would certain to to we and on future the during call In it's impact directly the is of turn will if forward-looking pleasure statements, I risks to GAAP these to risks these Investors also the by

Mary Anne Heino

joining was you, good Mark. call. incredibly to safe And and are hope morning of an healthy. everyone Thank I year productive XXXX for Lantheus. and us all exciting on today's you

see we year to launched diversify of XXXX. can in which significantly across XXXX our portfolio, franchise, In now a to minutes our and cancer two prostate accomplishments. was I'll as our physician take compete you growth, from category few portfolio Lantheus we in a full-year we and our a products accelerate our summarize results, significant have fourth-quarter As strategy in progressed and leader our the markets achievement

in targeted PSMA received commercially first prostate cancer. PET the imaging was approved for FDA priority December May designation as the First PYLARIFY, which by review available XXXX agent in and

I'm recurrent determine excited thrilled PYLARIFY prostate been We've avid absence announce is and bone, reminder, As launch, lymph tissue and of PET sales quarter fourth visualization soft a or that the mid progress nodes, the an of of PSMA exceeded presence to static that labeled imaging to $XX agent f-XX PYLARIFY enables with metastasis million. cancer.

adoption. market, business major access customer quarter, across During progress outstanding drivers, and made the contracting, we our all supply,

few minutes. on Stat, Bear, with with momentum will details give PYLARIFY, the be to in several our continuing including with partnered to drivers. key and embed FAT I X PSMA market significant access you Regeneron, to own therapeutic incorporated therapeutic Along into a PYL targeted have the companies, efforts refer demands, avidity. of expression. also will further We going Biopharma cancer for trial POINT to imaging, we Similarly, Paul and XXXX into to launch into to, which launch we've trials customer have our assess Simpolo test PSMA to-date their arrow PSMA as prostate phase XXXX PYL,

enable of also collaboration goal of real-time guided During commercialization and radiotherapy, use biology, options prostate is utilizing cancer with PYL, treatment The a therapeutic patients. announced in development improving PYL. XXXX, of evaluating Reflexion guidance collaboration the with the we to for

AI, efficiency, PSMA, believe image of With increased PYLARIFY advance are we is PSMA PET-CT AI for cancer cleared and reproducibility enabled in FDA assessments, working demonstrates digital by in distinct a advantage after AI-enabled prostate imaging our our clinicians, FDA cancer. diagnostics of the is we two to provides PYLARIFY that which cleared which was franchise. clearance, PSMA the first utility months prostate product artificial intelligence just application targeted second and FDA Our approval. portfolio PYLARIFY's only

advance month, organization in this validation clinical discovery, trial The specializes prostate we development, intent premier collaboration is AI strategic a to with biomarkers. platform the edge studies PCCTC novel collaboration PCCTC, research that the multicenter cutting phase last prostate clinical Just a of enabled of into AI and early or cancer integrate announced research. Lantheus consortium, cancer to

despite position. week. with a submitted we challenged drug for opportunity manufacturing SNDA, received earlier or hospital leadership COVID bubble which which pleased chain other for provides and supply margin the I'm in called our market this that application, approval new grow to us staffing we our all In micro a year for redundancy continued facility XXXX, October Genesis. announce XXXX, facility sales issues, And business expansion. our by and related DEFINITY, supplemental during we on-campus DEFINITY maintained For This we FDA to

into DEFINITY from FDA the pleased begun As manufacturing approval. our successfully we of facility our ready inventory our we batches shipping to be our this for announce commercial upon have site DEFINITY sale line customers. supply we product Genesis Genesis In to progressively so I'm already chain. manufacturing include manufactured from at XXXX, that will that

collaboration for treatment technology limited Network, chronic for assisted for of our therapy our their AHN facility micro DEFINITY and bubble entered Additionally, ultrasound have JHS. bubble Between meet we collaboration to DEFINITY manufacturer, supply combination franchise. entered manufacturing This our demand month, debilitating partner xerostomia, strategic another and AHN. sufficient will of our this with our future. is micro condition with with the we In XXXX, supply development gene patients. currently a available treatment a or the a well and we for Allegheny we Genesis longstanding options expected JHS, earlier is with our Health investigating believe new into in into into agreement

on TechneLite, We as product, remained Crohn's delivered spikes to negatively over year. related successfully was Turning and sales staffing impacted the hospital-based the this of the course chain as our impact during just-in-time negative the to compared challenges projects supply demand. throughout on XXXX Delta logistics customers by rate stable continuously and prior both navigated and other of infection generators AZEDRA, a the year. the did to our COVID And XXXX. impact

medical PPGL patients. on a awareness field as As model AZEDRA building such, in of marketing and their we for for to market new AZEDRA XXXX, paraganglioma pheochromocytoma for increase out based or our treatment option commercial and physicians initiatives introduced referring focused and and

those to We permit, conditions believe PPGL centers to when azedra of are additional of our see usage pleased hospital is centers azedra the offering patients. We of well-positioned drive treatment. to team excellence during in network

biomarker, we broad to XXXX, types. We fiberless monitor a response manufacture, a selection staging promising advanced believe cancer activation to inform and during for potential commercialize Finally, tumor we imaging multiple March, diagnosis worldwide to and with rights targetting pipeline across therapy, investment. and has FAP develop, is target prudent imaging acquired guide and novel treatment we our patient In or announced for exclusive to protein FAP. that to

on John Dr. are to and move experienced We clinical recommended Phase development Babich, announced our continue the team of trials. Greene agent by the interim to analysis The led ongoing in of a II modification. both study therapeutic. Independent of our targeted the with experts without We Data radiopharmaceuticals completion of an very pleased earnings Alan our third into Committee this proven Monitoring study quarter XXXX, PSMA Dr. call partner,

clinical open-label, Chemotherapy with Naive II compared efficacy in Abiraterone. a XXXX combination enzalutamide patients As are randomized, progressed of study the in a and with PSMA-avid Phase and multicenter, alone safety enzalutamide is reminder, on who the to ARROW evaluating study, cancer metastatic controlled have prostate castration-resistant

As category markets leader you committed Lantheus on can XXXX, and see progress of are made strategy we over compete. in level same Diverse the position a portfolio by In course of the growth. continuing significant XXXX, we've to this progress. as in accelerate we to which our our

products. the call update over on commercial to turn Paul I'll for key Now, a our

Paul Blanchfield

And Anne. everyone. Mary you, good Thank morning,

the with as PYLARIFY to quarter supply, fourth quarter, the made the adoption. contracting, maintaining XX%. growing in PMF this from customer from expanded has population we cancer of since facility, approximately were to U.S. network turn DEFINITY reach agent of commercial full-year PSMA choice imaging during we and significant U.S. and full geographic sites, teams translated the of our access, as PYLARIFY now, our for $XX major business of mentioned, prostate coverage market-leading market or across This manufacturing our drivers, During increased XX PET establishing progress momentum can sales XX position. for our approval, and sales fourth Anne $XX Starting network PET into We quarter our in second the Mary community, which share activated million productive million. through while launch, the X/X

existing and activation it into flying additional selectively We and time prostate This also invested these in our PMF advance capacity PYLARIFY patients workflow. cancer additional adding into certain securing to Florida, sites synthesis Utah, while access in by markets, PYLARIFY, remaining facilitates regions. PMF on institutions cyclotrons, still embed allows of their doses and including boxes to in Colorado, at

efforts and we will as a enables and PYLARIFY meet manufacturing increased continue at us becomes FA ongoing sites. allowing adjacent through doses network, In increased think increase deliver expansion, available. us broad competitive will geographies, with we along geographic needs longer of when our to customers to our to efficiently half-life as existing Our capacity and supply the continually prove competition XXXX, teams well to advantage capacity

XXXX traditional incremental specifically pass-through was granted Medicaid market setting. in in the and enables CMS, into image Xst, Medicare the done pass-through for & Services January PET-CT effect payment coding provide coverage our status access, Regarding payment or PYLARIFY and hospital Medicare application with an Centers to for payment, went transitional outpatient November to

enables last activation PSMA notification which fix targeted into our mentioned our January of imaging patient we the Xst. game-changing code fix went further hicks quarter, that pass-through and believe of access As received agent payment status code, cancer. PYLARIFY, for facilitates streamlined billing, hicks We also with our we as to effect prostate

as MACs benefit or in We are progress indications and payers. RBM's commercial with coverage or Medicare Contractors as traditional making with both well radiology also of Administrative managers

As guidance, I MAC's quarter, indications. the approved our cover claims, PYLARIFY published paid will or shared have in last they of majority have either usage indicated

number In major commercial coming payer addition, in expect have reviews policy RBMs cover policies additional a months. recurrent And two take both to of indications. recently and to commercial metastatic and in PYLARIFY we payers the enacted place

imaging through and perspective, During had quarter. we focused contracts imaging hospitals fourth pass XX% are our in government ordering orders. And with of across in comprising place sectors. treat initiation. and on customer underlying targeted And XX% trends the the who demand we heavily XX% remain freestanding With year-end, hospitals, prior pleased We of cancer Even our and respectively. base. the as independent many U.S. of a government facilities, by to as contracted. and well community with academic XX% prostate institutions From centers facilities, range almost very

with also over encouraged multiple ordered quarter-over-quarter having customers by of repeat XX% rate the We demand, doses. are of increasing

of more success This physicians dedicated a partnership and have even in as We referring radiation Palette company PYLARIFY. unique PYLARIFY. as our announce us our promotion and in space, of oncology team fortify of that Life are availability to prostate device partners, efforts, U.S. on excited promotional the benefits on cancer will also PMF enable existing have well our educating support build that and to to their the the global sales Sciences, medical we urology partnered with

We expect operational in this partnership April XXXX. to be

working enhanced at As November. and to end Mary of and a for enabled precise believe, the and PYLARIFY current our of is product designed FDA context the efficiency sentiment, RSNA increased been partners in Radiological reporting. the analysis quantitative key provide of clearance demonstrations provides Society PYLARIFY AIT AI anatomical and distinct of centers December. image at assessments. Both Anne and introduce this PYLARIFY. America, have customers benefits Collectively, PSMA received annual or past AI these quantitative PYLARIFY contribute in North and mentioned, reader We PYLARIFY for internal meeting reproducibility we the AI advantage at potentially PET-CT summer ten the to our launched to consistency software with begin

into The PYLARIFY Needless we an up PET than to if to of a by ensure say, with and our staffing scans to imaging expanded hospital on business unfavorable, PSMA used an are PSMA of SNMMI therapeutic Finally, The of and even about PYLARIFY in year. affect prior who We being and agents today increase excited total suspected and could more I market fourth be when significant our are how is suspected PET consists want estimated. currently impacted $XXX as the these approved. [Indiscernible] the midst scans is related by to the men imaging we has clinical cancer shortages, the metastases broad for first agents for believe to XXX,XXX of guidelines, in market targeted of estimates nursing, total the we XXX,XXX as provide prostate for believe high-risk sales, update PYLARIFY could to scans been PYLARIFY agent well reception PET and and community. growth you further year-over-year men and practice. of million. approximately be COVID potential launch of the saw based for PSMA scans with market imaging grow us recurrence. DEFINITY. addressable challenges. coming additional for refined agents XXX,XXX expect revised XXX,XXX PSMA imaging there cancer, NCCN market use very We further continued the remains Switching on or from have translates a of addressable XX,XXX PSMA potential of label, for U.S. quarter These quarter understanding DEFINITY the and intermediate scans, scans This and annual prostate high, choice approximately headwinds now agents. and hospital from or previously

an the year our grew saw market agent greater business the in and we X% of quarter. remotely. maintain share this, increase in efforts Despite than ultrasound portion also the XX% We fourth enhancing XX% done the market our and promotional still of for

Mary for As are mentioned, DEFINITY. and to growth new markets committed Heino sustainable Anne we in existing

or well vial enhanced the doses. first DEFINITY During DEFINITY RT vials used temperature now RT. quarter, ID, to room we formulation. the is our which fourth With shipped DEFINITY activate of added a as Customer our as mix, our have choice of

this a In enables bubble able micro DEFINITY, addition market-leading to our from product prefer our to products. benefit those customers non-refrigerated refrigerated DEFINITY be who to

turn have significant can our maintained clarify the to over see, continued you As to position. financial Bob a made progress of and for I in DEFINITY launch and leadership now call market we will update. the grow

Robert Marshall

fourth otherwise quarter morning, good results, And of Paul. financials adjusted the on focusing highlights unless you, will Thank and everyone. noted. I provide full-year

fourth includes the increase now Beginning year prior was DEFINITY And XX.X% was similar allowances, on year revenue prior million million higher higher year of net full a our was diagnostics. quarter, XX.X% or the $XX.X that was of quarter. of the of over prior over sales XXXX, net net X.X% a part operation. to the increase start for Puerto Radio the of sales, an Revenue precision QX a at $X.X key of million, the a by with XXXX the TechneLite as $XXX.X $XXX.X XX.X% prior quarter occurred results. offset $XX contract, with million. generator and the of an rebates exited year of year DEFINITY, $XX to in million due Sales from compared prior out quarter. Revenue On X.X% to basis, of Rico X.X% for opportunistic million partner pharmacy down $XXX.X increase year-to-date for revenue the comparison an comparison. to now quarter were an which closed divested year. Turning million,

start XXXX, sales X,XXX% quarter. XXXX million, the pandemic. steam oncology prior and total year-over-year. the performance sales from the TechneLite similar up a $X.X Attributable million you $XX.X at the accelerating since noted diagnostics, During total by as sales which contributed throughout X.X% was year contributed of in Within generator up precision PYLARIFY continued earlier. levels, Paul quarter, $XX.X of has of to Radiopharmaceutical other of million opportunistic Xenon's

case control was COVID-XX As as to was measures heightened the in QX, to down AZEDRA sequentially, hospital sales both usage more access during susceptible for remains and representatives surges. patients

up quarter Gross other the for quarter, increase slightly year on higher basis. on XXXX for the basis $X.X basis the expenses is and XXX offset XX.X%, an points profit royalty product a and previously was higher prior DEFINITY contribution volumes of of forecasted RELISTOR similar guided fourth year within Gross from XX.X% prior XX% than slightly revenue by mix at Operating spending million driven in PYLARIFY margin contribution of stream. points than net expected by quarter driving XXX lower and based partnerships primarily revenue quarter to favorable over levels. the profit with strategic AZEDRA. the was fourth Lastly, margin were

improved the amount, a percentage noted an prior for year. in in of effort on with expenses activities. respectively. associated non-cash net adjustment was activated $XX.X prior million marketing profit including X.X the intangible with operating acquired line costs sales XXX taxes. of expense PMF pipeline million as to awareness, points stock in I X.X recorded over basis contingent leverage the increasing the quarter before a revenue basis a expense percentage plans in-person adjustments a DEFINITY was $XX.X prior or with mix we key Of reflecting overall we a s, revenue, totaled liability. activities, quarter R&D G&A and of with Also levels and and Total and in associated year access, but continue dollar incentive of PYLARIFY XXX.X% higher this in was around million as ongoing million of As in of million, as Operating spending with quarter, period liabilities, advancement. the quarter, the increase driving a quarter, sales assets and supporting amortization, driver and as of same the to well virtual PYLARIFY from product market expenses. $XX.X contracting and intend and CVR, contingent

an expense estimated of to an the assumptions nonrecurring assets. to acceleration of our due recorded change certain Additionally, life integrated expenses. for our to useful remainder asset other related obligation $X.X and a in million is The related company retirement manufacturing of acquisition,

effective rate ETR or in tax Our was the XX.X% quarter.

increase of the loss basis, and a prior from earnings $XX.X share was share increase the prior were were an an net another an of does of profit effect expense, million fourth a portion we net an provisions, on not UTP During which release over does tax an income, fully on net on adjusted provision, distort other flows a The of year. full quarter the of per income fully $X.XX through loss and or indemnified, position through yet $X.XX are $X.XX full-year diluted of was tax an The reported a of XXXX XX.X%. year a on adjusted dating on a and The have quarter, ETR the GAAP as released for adjusted on diluted loss the per XXX%. basis, basis, our period. from profit our of basis, $X.XX acquired income, ETR benefit. a X% an back underlying the result increase The profit newly XX.X resulting to but GAAP and fully million sale of XXX.X% earnings of for of a as information. we the an uncertain BMS based year

the increasing flow cash the capital product and flow from restricted $XX.X Free year Capital to expenditures quarter. operating as million, of $XX.X driver profitability, operating to at to P&L million, increased cash million of less $X.X leverage. up as volume, equivalents cash variance unfavorable mix, turning attributable flow, expenditures cash prior we net prior million define Now overall cash fourth in an The and year-over-year from $X.X increase totaled $X.X cash as million Cash flow, the compared year million stands quarter totaled is period. of as now well which was $XX..X main XXXX. QX million. $X.X

disputes. with we Germany $XXX We to continue undrawn to Novartis related development to cancer our agreement will prostate includes into lump Under the million compound by agreement with Novartis other in certain the liquidity in affiliates, bank and and strong item litigation a XX-K will other patent -- among January, million the of position. dismissal in PSMA-XXX our its outlined proceedings. to the global property settlement our access morning. PSMA us. The radiopharmaceuticals have This a to $XX comfortable treatment Late another and things, entered sum file we for settle revolver settlement certain are and rights agreement, targeted resolution under cross-license of payment of this to certain is Novartis make one intellectual

I Additionally, first-quarter guidance, will to. this been which our turn benefit XXXX when has not now full-year either considered or

XXXX growth the expect by diagnostics, -- growth DEFINITY. year be same by exited single after while PYLARIFY, supplemented growth to from full profile from expect much will precision excuse as look double-digit high for XXXX, DEFINITY adjusting resilient low we the to customer driven for me, TechneLite Within single We contract.

had QX last As year. started reminder, million decision impact $XX a a which in full-year of that

we've don't I've we via sales AZEDRA. oncology, for amounted $X.X typically noted, base by to PYLARIFY in and Additionally, million driven already forecast which radiopharmaceuticals of had TechneLite modestly as opportunistic XXXX

a Our variant on AZEDRA We in impacts of PYLARIFY sustained million be million XXXX. full $XXX to throughout $XXX for forecast that however, and range the year. forecast does assume lesson COVID-XX to hospitals

revenue over approximate XXXX. to $XXX million of $XXX in of increase an to million, year Taken XX% XX% range approximately estimate together contributors, be with revenue we other full an and

product as to to mix margin investing full range diluted improved both purposes, capture ongoing volume the longer-term. a several fully to points earnings of per be percentage year, for with profit with gross favorable to percentage revenue drive in and we be along and $X.XX. market For in in a of spend expenses technology Therefore, to efficiencies while operating share over QX $X.XX adjusted modeling expect metrics retain share XXXX

For the a be revenue to $XXX $XXX net first quarter, of million. should range in

noted, of likely on To assist and As impacts I Xenon ramping tangential by DEFINITY models COVID-XX, to with considers our have will QX flat XXXX AZEDRA DEFINITY sales. due the notably offset guidance early in aforementioned PYLARIFY Fully of the $X.XX $XX impacts be COVID per $XX the quarter a to range be million should on adjusted trends. while range PYLARIFY share based January should diluted in earnings to $X.XX. to

for XXXX, spread to Lastly, throughout purposes, be for Anne. depreciation and amortization million back turn modeling respectively, over and million $XX should full call approximately the that, the the year let With $XX Mary evenly generally year. me

Mary Anne Heino

leader the In we achieved portfolio, XXXX deliver commitment to category leadership to disease. XXXX, their further unfailing and on In the their and I is market closing, as in by line patients you, now please are their was our purpose, find, establish We us and thank of And community, ready portfolio imaging allow and our go Lantheus PYLARIFY. to on cancer franchise, the nearly your execute DEFINITY. of in Bob, Thank PET ended in to Lantheus It financial a of With to like Paul, we accelerate bubble year questions. continues the follow strategy our objectives, cash. $XXX passion closing, PSMA leadership our another in we fight which I, our prostate in that diversify serve. employees, possible. with will choice dedication for XXXX, and with diversified revenue markets we shareholder to marked launch Operator, position deliver micro solid In the would with what look U.S.. ahead. believe and our growth, our commitment value. to for executed to take to as make to our and all strong stream we agent objectives, year revenue transactions strategic continue that, In successful maintain market Bob. million PYLARIFY

Operator

is Please Q&A standby from [Operator our Instructions] the compile as first your you. Leerink, And from now question Thank we Danielle roster. open. line SVB Antalffy comes

Danielle Antalffy

while Hi, for the and morning, taking that's so guys. quarter good the amazing. on Thanks question much and guidance,

increasing sort I and the and if the you that capture go-to-market one into the appreciate you're what's patients risk about changes curious patients? of intermediate thinking in number just So adding on that penetration that TAM, go-to-market how curious. can just PYLARIFY strategy guidance TAM based one, the confidence then And where those follow-up. quickly. have go And can also for ultimately your I you're how what's

Mary Anne Heino

over morning and Danyal Good that Sure. Blanchfield Paul to going I Question-and-Answer. turn am you for to

Paul Blanchfield

Thanks so much, Danielle.

physicians I the we the and not to addressable metastasis total upped risk as view that we've as that at NCCN, PYLARIFY just which with risk medical the well an mentioned, that market but obviously we've looking as of how to So at basis. looking use our been as payers We've the for high, mentioned, to practice, definitive therapy, intermediate. on, label annual and and upped are have as well have of high for as too on SNMMI expanding scans the combined guidelines very for of I market metastases XXX,XXX based the of prior

from market, physician as as go-to-market doing meaning writing at market nuclear that the looking we the physicians that the prescription. treating those been referring always the viewed both as a so have and are are And actually the model, referring well

as our continued see doesn't will physician that as expanded on necessarily that in model. of as change to our it focus well highlighted, will space. promote partners Sciences, to efforts, who in with Palette I But so, PMF partnership the Life our referring addition PYLARIFY we investment, go-to-market an And

on to agent but physicians, PET And imaging both our so physicians, the the well of go-to-market and we as as focused ensuring it model and PSMA doesn't change believe that we remain and first our incredibly choice. our available be it view market of larger, commercially product remains than PYLARIFY other Imaging to only the consistent nuclear referring promoting remains

Danielle Antalffy

it. Got

Sorry. Go ahead.

Paul Blanchfield

but math we said I do total it's we can what going the continue into view, forward. the with guidance penetration that see this million to regard that market, addressable that growth preferred with market to obviously today, would on mentioned Bob we of be the $XXX north

Danielle Antalffy

Got sorry you. it. interrupt to I'm

just and PYLARIFY little follow-up guidance. seeing seems much. mean, early on you're to competition so competition on So, related how and a indications any on the the that question impacting question adoption?Thank to I But your ask that's based silly is you what a your there just

Paul Blanchfield

we in the do agent the remain commercially Well, available Absolutely. marketplace. imaging only PET PSMA today,

We have contemplated competition.

aware the future today talked both currently potential of on We of the PYLARIFY, the we has are about we launch and through to maximizing But well very that remain been into our our in AI, now, the as our factored competition in focused efforts fall. guidance. promotional of

been into our progress so the on guidance But class that to in date our And going PSMA PYLARIFY ensuring of and remains to choice forward. remain agent focused preferred and we that's factored best

Danielle Antalffy

you. Thank

Operator

And And Wiener next from thank question you. Jefferies. from Zach comes our

line open. now Your is

Zach Wiener

benefits progresses? two. the one, blow-away some year. on thanks to -- first cadence margin get new between the few manufacturing in-house. taking PMF through do Hey, the expectations PYLARIFY, and you bringing Thanks., and quarter if color then question a congrats spread and then a And on also expect DEFINITY then the site from XXXX, through for just on the quarter I where just could have you the give as year from The

Mary Anne Heino

your question. for Thanks morning. Good

also which the I think what year-end. we talked network around PMF start literally PMF, we continue referenced, to in by of through PMFs that the the our we synthesis PYLARIFY call add what happens capacity we've on. to building our out as to in that additional, of question add We look made will marketplace, boxes, focus PMFs we from build-out satisfy two which at and that to will this and made. already continually then manufacturing continual progress is we're he the we continue are And referenced boxes kind your using, is in on needs build the additional Paul a launch that ways.

our So it's to already s to where you in additional into additional a great addition way capacity add sites. are PMF adding

into, the the of I'm that me in those we'll cover. where real the of approximately of As Correcting And that in U.S. are Paul a flying continue already time couple there that number spoke XXXX, additionally comments, different as oh, rest over sorry, doses here. higher and we look mentioned I covering mentioned cover his -- can XX% take to we're still there. regions bit we we will XX%. we areas and geographic out little to across he

build we'll across a Paul, year. comments keep do that? want any to you is So updated continual and and add it you to Bob out the on

Paul Blanchfield

PMF, highlighted. Mary it's No, Anne, It's also out think those we out. I but additional a it's as capacity build expanding of rolling

So continue available to only agent. capacity, comfortable position, but that first supply as our we're commercially build with and the

Mary Anne Heino

I apologize.

target reached. had the I that contracting it we that think XX% was the was figure

Paul Blanchfield

gross PYLARIFY with margin In full-year. the So, was of the on is just for quarter that being driven clearly that to gross sort XX.X% it were a numbers XX.X% over had. and margin we contribution, by regard handful the at recap we

PYLARIFY it as that the is see model. that ramp, what is gross is in can informs which you So clearly, drivers of also that ramping, single largest our the one margin of quarter XXXX

I've would from which DEFINITY clearly it, drive you what come in a -- ramping drives Now, come from handful to see. to with It continues of from it things. regard PYLARIFY, mentioned can would It would growth. sort come continued of always what

in We confidence, of manufacturing product, have we regard a our days, be Genesis, it out rolling of forward early with in terms contributor. on-campus will as good look facility terms to

will the the amongst our go we in is As so about inventory future partner supply, from and we be we this product getting also working further have that at into JHS. dual

leverage be investment. contributor, that to will a but still look as be contribution that So there will slower we

Zach Wiener

then on That's DEFINITY one more, just helpful. And temperature. room

between Going taking legacy Thanks version? there And where forward, RT increase to any the product? the the in do the you mix guess be to RT versus product ASP and margin benefits XXXX, is question. RT legacy for or to the I expect

Mary Anne Heino

spoken to You're the And to never Zach. in welcome, intentional out trying mix two the an we've an intentional create marketplace. mix or of products

there with has Our has choice the and product offering one a two room choice. temperature always the customer strategy leader out There customer as that been important. feel adding that's isn't formulations of market Because competitive formulation. we

the And to market. sure could choice to so in make we cover RT that brought market we

these, We typically had part market a to product as perspective, our available as a a in complex cases, we have because the from of is important also kit part the product again, part percentage. and as from strategy, and the partnerships into felt was felt of in our product in that that those we it customer any of it was But a temperature important formulation have room never to kit. a force have strategy of complex had product we in partnerships

not that any a that between So margin benefit difference you'll never strategy either. of we to the ours pricing products, so speaking two also and is hear to speak or don't us

Zach Wiener

thank Understood, you.

Operator

our Lawrence from Solow question CJS Thank from you? And next Securities. comes

open. now is line Your

Lawrence Solow

for start. Great, good strong really, awesome. Thank PYLARIFY start Congratulations, very much. you really

I Just DEFINITY. quarter, she seems the to temporary. was It sounds suppose which gotten seems on think down. pretty calm it sluggishness early a really have kinda the staffing couple to I as related but crazy in stamping, follow-ups of like

I it's a we outlook, longer-term doesn't low And for could grower. still kind think rebound fair of statement? changed It depending. has hopefully, a double-digit is So like get that anything you think sound your

Robert Marshall

morning. As Bob? Good Yes.

Our This expected be. that guidance that say we've range is a of being it's quarter give had does trying incorporates contemplate the so early spillover read DEFINITY why you the always what QX Delta forward. see then the QX been as opportunity Omicron to quarter. early what and that look the would QX, And of trajectory impacts it it's in of the we related and in then as recapture then as kind into -- the QX, we then part to

drive are it. the market DEFINITY, and we in protect still we leader that no, share intend So believe to to continue market maybe and invest as to we opportunity firmly

Lawrence Solow

Genesis Right. the And product. on on e-health

expect you eventually, or not maybe, it to source you over bring I talk What's that expect but think, long-term all slow But you to And be speak your exclusive, for in plan? ramp sounds able the while. like don't you can beginning that the going do -- Do or? be it I time, know. along to a or goal maybe Is in-house? at -- of most was this do first. a to dual that

Robert Marshall

again, significant the if so will and portfolio, dual-sourcing of the mean, expertise our the will long providing facility you with we're again, provide very at protecting the that yes, same a and the because, I the for it, to flow. also the important how that ability we that behind time, be from we and capacity inventory product product with into And can continuity always on that important our with mix, I shelf specific not own Well, work partnership we this teams early a we growth. to to is leverage will we mix. had. that a so is think it's also able to get it opportunity days have be to about manufactured total and integrate perspective And have start continue mission business think But volume we've seeing to that

Lawrence Solow

you've pricing just the really just a the that. would I Just in price, never sort technicality. just know second you couple actual from but is on the thought PYLARIFY, level, a be, range quick. unit of of question a it given high And your

how that CVR, payments rights, of P&L, come sort the On year, that the after on for? are I value the contingent guess the accounted does is done on the off

Robert Marshall

work, maybe the with XXXX a start or they the CVR $XXX capped question. over are it's people, way and based sales price in million to the at Paul total over in of And to in on take don't But I'll consideration regard a is remind Progenics that XX.X% can the Anne XXXX. $XXX with So, CVR, the million I then, up they deal. just know you Mary and

to the liability potential obligation company our such, that would as simulation, based Monte is have. Carlo on the accrue the So

so you your that And as third-parties. P&L. forecast do you done Analysis, Carlo into -- are the through by those obviously bring which recorded And we that Monte that

is true come out? every them course, in those the will total there a up single from morning, that become on And how be the so, -- a they time balance And in the would value can in first becomes what the and little cash of QX CVR this the then payment you saw sheet move we accrue. the money based from of, depending through contingent respectively the But value evaluate perspective XXXX -- P&L will pay P&L. continue the XXXX, part see wouldn't liability You GAAP bit. cash then the in a accumulated on itself of to item, actually that's becomes quarter likely where around of K -- and that

Mary Anne Heino

as it matter the agency, pricing. Larry, publicly get an CMS as speak the has the we as our that been policy get publicly a tell a will to we through it reported you deal I until And, in because does reported. long-standing public record, PMFs pricing do win, on not product of basis, that trailing that does know, you of with

say the are the are fairly that will similar. I the of So products products pricing cross competitive

Lawrence Solow

it. Got

very Thank much. Great. you Okay.

Operator

today's thank And would further call. Thank and ahead you showing This no like for close you. am questions. I the now participating. go I to And concludes call. conference

You may disconnect.

Lantheus (LNTH) 24 Feb 222021 Q4 Earnings call transcript