KNSA - Earnings call transcript Q3 2024 | Kiniksa Pharmaceuticals, Ltd.

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Operator

Good day, and thank you for standing by. Welcome to the Kiniksa Pharmaceuticals Third Quarter 2024 Earnings Conference Call. [Operator Instructions] Please be advised that today's conference is being recorded. [Operator Instructions]

I would now like to hand the conference over to your speaker today, Jonathan Kirshenbaum, Investor Relations.

Jonathan Kirshenbaum

operator. you, Thank and discuss everyone, recent for Kiniksa's joining execution. Good Third thank Quarter to our and XXXX call morning, you financial portfolio results A found can the these section. press website Investors our under be release highlighting on results

Chief finally, Officer, our ARCALYST As Sanj will to K. Mark commercial Officer, And Moat, Chief execution. start Chief provide third will Eben our return Ross Patel, for Q&A quarter for line. and results. Commercial XXXX Chief introduction. Then Paolini, will and Sanj Officer, will for closing remarks on Financial an the Medical an kick session, Operating our review financial be Tessari, the our our agenda, Officer, Officer; the off also Executive our will which with John update Chief Ragosa, on

caption update Factors as by well presentation, the over it date law. we statements. getting subject that, this cause Before that results materially today will filings. please that obligation as we of can Risk speak except under as statements contained may the of SEC in and no be I'll uncertainties these turn on that undertake review started, forward-looking These differ this actual such found be statements making slide and risk as note A to to statements, of statements to factors our and only With required such risks to are from Sanj.

Sanj Patel

performance positioning good satisfaction levels our activities experience market-building ARCALYST including for continue continued and more that the and need. repeat we adoption with prescriber morning, is prescriber third provide to well-capitalized positioned and physicians In commercial Patients near- in drive and patients increased Jonathan, Thanks, with us to success. well positive Kiniksa to high report of growth. ARCALYST, strong are to company long-term a growth-orientated everyone. and that's quarter,

$XXX we and IIb study in in million into guidance continue abiprubart funded $XXX is $XXX operating increasing In ARCALYST the to from sales plan. to pipeline, to current are between previous fully head our patients in of $XXX the our the of dose range the net we our guidance enroll as year Clinical abiprubart full Sjögren’s to million Importantly, end development of Disease. year, we million. million Phase

Importantly, third million of for flow We our which over and a robust growth of position initiatives, enhancements business, of commercial X.X a our annual XX% $XXX.X the growth and net across product expectation quarter our value-adding cash including continuation and a financial our delivering The remains year-over-year support part saw growth. positive revenue continued strategy. Commercially, quarter. a portfolio ARCALYST, the development, team to our our business sequential key years of saw growth investments testament is ultimately with organization. past the commercial

therapy maximize increased in increases impact the brand in patient force, since total approximately positioned FDA-approved these profitable to commercial across only well quarter prescribers awareness. In key We disease of to third contributed recurrent are X,XXX since the ARCALYST fourth further the quarter, QX. These to X,XXX physician investments enabling pericarditis. collaboration in our initiatives potential commercial for The investments ARCALYST sales growth-orientated including channels multiple XXXX, the been have of from in the and and drivers. education approximately of QX launch are

multiple also of prescriptions. XX% the we since with in prescribers Importantly, an approximately saw rates prescriber repeat increase writing launch,

in Additionally, average of the the treated be that debilitating of chronic prescribers of pericarditis duration total to the XX is to reflected by should is the disease to a months increase duration appreciate auto-inflammation. the This recurrent end therapy appear as underlying that of QX.

QX commercial the supported also fundamentals underlying our across strength Continued performance.

provide turn with Ross? above an it payer overview approval With XX% patient Ross how and cases. of high observe XX% and to physician I'll plan ARCALYST. continue to with to completed than growth drive patient additional satisfaction of greater that, remaining compliance over we We to

Ross Moat

Thank you, Sanj.

last the X,XXX in accelerated of is Sanj approximately total in since which to additional compared commercial team new to to with ARCALYST QX activated prescribers commercial compared is the XXX X,XXX prescribers more dual a part growth brings base launch previous of new of than year. This demonstrates key our QX, an Kiniksa's prescriber of increase ARCALYST than noted, prescribing more breadth and the As quarter, strategy. which

professionals FDA-approved experience Additionally, approval awareness of of have disease. recurrent treatment ARCALYST, pericarditis who the and for rate to total subscriber or once which since growth the reflects a we and a clinical the in represented due is growth prescribing total depth efficacy positive launch, ARCALYST prescribed with ARCALYST to the base. and XXX health in treat in desire drove to the repeat an of acceleration X activated, the more have the the XX% the also prescribers This QX, additional as patients growing only prescribing around that significant very both of position increases ever-growing now for patients. The speaks ARCALYST high around understanding generally of care identify payer and they

seen recurrence. I'd the of to physicians the substantial ARCALYST prescribing who surveyed are how and increase and ARCALYST. we're their next towards physicians will a proportion slide, how paradigm the additional changing cardiologists each highlight like prescribing Among future consider treatment On change in rheumatologists, we with continuing intentions to have

recurrences. seeing on or physicians we just slide, ago, we Importantly, highly pericarditis over sales X acting recurrent our the targeted ARCALYST that of of intent. side in are have been XX,XXX on field right the the years upon efforts Since against the in two launch more are this patients

Ultimately, patients broad ARCALYST the chronic drug change around we at of patients the and effectiveness promotion physicians disease written XX% as efforts, educating ARCALYST, These the prevent speaks being in also pericarditis. Continuing ensuring prescribing ARCALYST directly targeted and all in accelerating our and underlying this scripts also with evidence a disease. In focus of two and away the but provide their recurrence. seeing are to the brand only disease the earlier efforts addressing aimed awareness of line earlier availability X-plus to this opportunity patient to effectiveness is awareness of exciting ARCALYST landscape from treatment on all treatment driven towards While stellar the the both recurrent improving a ability have to and to utilization that I'd disease not first the for to on agents promotional of understand and our further highlight initiatives. ARCALYST mechanism the population our for like nonspecific the future of flares. and data label journey nature diagnosis, prescribe around around XX% recurrent physicians and of

Grammy month, in of of Award-winning DisRPted, Hockey songwriter we Life pericarditis Fame, Pearce recurrent launch for strategy ARCALYST. has educational announced the commercialization component campaign. And campaign with singer Firstly, we joined Lundqvist. a our the announced yesterday, National a Henrik earlier just this League key also Carly Disease Hall awareness that is

key that patients the disrupted were campaign prior that patient average, behind initially our recurrent improve we incorrectly diagnosis diagnosed misdiagnoses to has and a delayed the to have impact This they conditions. On care. education in opportunity of One we results and patient a patients, other and pericarditis. profound X.X XX% reported with despite optimize believe journey diagnosis drivers life of increase the disease an report of is on the patients receiving

recurrent In addressing disseminating improve to Association's diagnosis This patients for initiative. to the initiative the disease. recurrent the seeks of pericarditis DisRPted, of by practices and for addition Life Heart care identifying we're quality the treatment best sponsoring pericarditis American also and the

improve ultimately disease together the other through to the and of identified in for pericardial stated been country. if XX referral market a Poll pathways pathways can centers the that they across recurrent with solutions ], focus XX% clinics referral Harris recurrent across area. could available of our pericarditis are Based a likely U.S. seek [ reduce be would Specifically, care improve the our sponsorship, of care experience, pericarditis barriers working excellence to clinic on patients highly and one that be develop were have streamlining at patients. In shared to outcomes and

advancing that the continued Kiniksa in sequential to to suffering disease. In looking drive and team from are debilitating to QX, ARCALYST We support aim for need patients this address continue revenue. the growth

result, to third a from net million turn to million that, $XXX now Mark I'll As year have sales guidance results. Mark? we million With quarter to ARCALYST full financial discuss our our million. XXXX over to increased $XXX it $XXX $XXX to

Mark Ragosa

Ross. Thanks,

Our earlier today. issued detailed release third are call quarter There your XXXX morning. financial press results can the items we be in slide attention this found on like several the to to I'd that

product year-over-year net in quarter entirely ARCALYST First, million. XX% to grew XXXX the revenue, by total revenue which was of driven third $XXX.X

XX% ARCALYST million. the drove operating of in third year-over-year collaboration to million Second, profit quarter $XX.X expenses largely collaboration and total grew $XX.X

well as SG&A, cost ARCALYST driven by Collaboration and to a year-over-year manufacturing clinical as growth sold, the basis ARCALYST by supply driven operating to by the expense related growth driven due on profit revenue operating tech costs, third ARCALYST ARCALYST R&D growth personnel of and Third, quarter, and of goods collaboration commercialization. expenses transfer. expenses largely ongoing in was

in loss the compared of loss XXXX. was $XX.X XXXX of a million $XX.X third third in the quarter of to net million net Fourth, quarter

in Lastly, quarter was $X the bringing balance cash net end-of-period to million. third cash flow million, $XXX.X

for fund commercial to I'll discipline positive the execution expect on cash as to expect Sanj that, well operating to plan continue our an reserves to financial turn call our We remain we annual as and and remarks. basis. With strong cash flow current back closing

Sanj Patel

Mark. Thanks,

our sustainable now the grow important I'll advancing the a helping as possible questions. are suffering development goals of as Both bring for these debilitating our to integral into clinical the many create call as Kiniksa diseases. and are, help to We value from With efforts back and to of patients dedicated generational therapies ARCALYST to patients additional that, with company. operator ever, turn that ongoing are to portfolio to

Operator

[Operator Instructions]

Jefferies. comes Song question Our from first with Roger

Jiale Song

your first for coming first Congrats the which label. the patient. share of recurrence, Great. the interesting, is the recurrent Maybe in you quarter. have is the XX% is perception penetration in of first the the market from regarding That's one

that Just population? driving can keep you curious I the into recurrence. is your in penetration target initial multiple know the how

Ross Moat

Ross. much Thank Roger. question. you for the very Thanks, this Yes, is

primary that data patients that is is are resembling suffering been the of population, than for end are launched recurrences. XX% QX, from were patients of patients they right more more that That's highest patients years announced So around that the ago. are X our disease are you're absolutely as penetration the since that studied that the we'd key XX,XXX the that into most the we the patient in focus sets that target well. At suffering our target the and that or The ever population. then reason we RHAPSODY, reached the ultimately then burden X

the broad X-plus in highlighted health first the that we is So opportunity prepared recurrent within to some I professionals them still the the it's recurrence. are seeking understanding that care recurrence. that, how encouraging of to ahead But speaks are have as on remarks, said use label that huge the we think also from and pericarditis having it

So desire key players, speaks treatment. of ARCALYST we're of risk efficacy very ultimately, components the help of is patients the it to by ARCALYST pleased to We with that. and future reducing just the the one of think which

pleased with that. we're So

But to patients have recurrences, around in we're recurrence prevent today first those history that to recurrence the that why disease It's a X to reason target future I are think compared often is how are on more in those those shorter. used one X on audience within is are really the duration thing median that. recurrences. is the two are the the of see additional note an that earlier our another terms of insight into players being for of physicians key on for first around treating their duration patients that the natural the on and years patients that very of announced disease, median months to is the on pleased which X-plus ARCALYST or

all into seeing on of XX,XXX [indiscernible] really population first to our And that as the So that education further we the within case. recurrence groups XX,XXX I then we've on focus continue of the reaching mentioned, the guess, additional it's patients and to label. recurrence But disease the their target. penetration key

Jiale Song

it. Got

even this larger I there. think that's subpopulation from coming upside

follow-up the year? growth growth continue rate steady from fourth year-on-year we is how then rate. the here? should And of be next growth understand terms think the to rate reaching question growth And in we and I the here Okay. the the from related about my quarter Are state for then Q-on-Q to very rates the strong.

Ross Moat

and rate $XXX.X are we've QX, the growth steady ahead I'm see Thanks, trajectory large in patients. we build reaching announced. got think this as penetration been sure large current we Roger. Yes. or the we're steady that But we're around opportunity we're that progress. landed whether at where guess QX, on launch intent to to quite continued we've with the growth a not on obviously, in always growth. as We'll not. was We a have date. that is which But knowing pleased a state things a very identify said X.X% versus I we and which is QX growth a million we've

So up we be to increase $XXX to to now that guidance able growth, were to the of million. rate pleased to $XXX million due

Jiale Song

a big is number. XQ Yes,

Operator

next from Our Evercore ISI. question with comes Bayko Liisa

Liisa Bayko

Just a couple from us.

can quarter? -- if what us you know this, remind the to First, nets don't said you I gross were but for

Mark Ragosa

Liisa. Sure, Yes.

So this third is quarter was second quarter in the the down from gross to of net which year-to-date through XX.X% X.X%, year.

Liisa Bayko

mean prescribers patients, of and patients, duration an then XX and really And of you get amount have stop at on months. I'm just kind long what been maybe repeat point? many if of How or of percentage of qualify many nice flow or Great. the about far? sense kind people of prescribers, did a thus could have incredible to trying Okay. started and just of thinking you some sort therapy how discontinued a

Ross Moat

Thanks, Yes. Liisa.

duration, kind this from earnings time as of to which initial insights months treatment those haven't some is years duration, on the slide looking months their see do on that, granular that deck, initial quarter launch, or the just period. on still as of of got total call of even since both so we So which speaks now, at ago those and our patients started corporate period. are who we've the treatment of a XX XX that last X.X have drop-off well terms out their the up now around the XX% can shared patients in are from at the at we more you that And still first launch to in

time stopped any not point therapy obviously throughout at they've So that period.

remain period have patients So see still have on drop XX% the as therapy also, clearly, we that. natural that a start patients for totality. much we And showed us that rate do as sooner history there's restart long and time then But we therapy in will well. of that than around obviously, off

patients time underlying process around now again for in generally But as was totality disease, the treatment most need that is easy of the the is stop just remarks, ongoing it's if come a information. stop chronic restart really duration those who really to to majority recent which to all the they which restart patients, and of showing to Sanj of those, back treat as about that pretty disease. months very we is up patients. do duration restart, So within the the at regardless quickly them an can they point But therapy the therapy. Still speaks vast washes XX% within X-week period do of a still to of the off time symptomology need need there when the it auto-inflammation is ARCALYST and underlying the treatment, saying this XX

Liisa Bayko

on like it to get force. sales more helpful it's ground, feet the seems And more Okay.

more obviously my Do so about think still how time? being You're longer you're patients, that's to able and see last there. we term? you many Do additional growth the rightsized? might question. that find thinking curious you're And more in think that sales you force Just over there's out

Sanj Patel

from lot mean, just XX. I that to Sanj. This around initial analytics. on XX Thanks, reported actually XX based obviously, with we've about obviously Yes. is from you've recently the and Liisa. we've of And that most the track expanded a that's then -- XX, around initial thought launch,

think very just manner. and data-driven to balance important do We the it to this continue we'll get we a apply look is It's in right. So right. what at

at we'll So needed. it we'll do and to continue what's then look

Operator

Our next Paul question comes Goldman from Choi Sachs. with

Kyuwon Choi

for ARCALYST -- one treatment of of awareness recurrence. is the first for the first as of recurrence their you patients and first are of as to community on physician comment the with who is here guideline you what patient based when see understanding their for just the the in Can think you just and now? second of just you regard first last sort recruiting where any least timing a sort sort maybe visibility and thanks enrollment update. are My you patients abiprubart is, question treated that? And might enrolled, on XX% be on of have patient if maybe Can at my kind who option can the comment

John Paolini

and Sure. abiprubart just the the back I'll question go the first to then Thank and I Maybe question you, first-line quickly questions. about Paul, therapy. appreciate answer

of which dosing yes, is time point enrollment just IIb study, guidance to disease, is the X study study the about months which followed of CDXX and time, So given so Sjögren’s in a -- not subcutaneous starting. But that fact Phase in to excited with monthly an the it At the in is about regard the abiprubart what's now reminder, that this that has study long-term by very any this endpoint, of a the months is of this have unique extension. way by testing we're we XX-week study And is about antagonist. dosing X study additional lines patients. treatment primary because space specific only enrolling efficacy

So first and guideline the treatment early abiprubart about patients their of study. Back as as that's question first awareness your recurrence. to

written you'll remember, as the that So were actually in were from guidelines were last treatment that written XXXX. Europe

in predated of that key course, the of interleukin-X of the recurrent and as alpha interleukin-X pericarditis. beta of driver work awareness all So and

there ARCALYST mentioned, treated work the done patients of that so as and as a RHAPSODY only has diagnosis. ultimate with can what is of label that is treatment and it as that then, that with a What you has pericarditis also is for And broad the be reduction and so the recurrent is approval all first ARCALYST risk. of course, rilonacept, since means soon we've and done in left,

So physicians into how been does then translate have patients? how that treating

that of updated So the guidelines happened guidelines, in the of hear literature paradigm. is the But thought evidence-based approach may we in the be in or basically inhibition. And leadership ways years. writing -- patients absence an few only the not more treating two been in has two meantime, what European paradigms and next tested IL-X steroid-sparing about this different of evidence with RHAPSODY pathway specifically, has

but for of a of away. to The to then patients for one, NSAIDs pathway inhibition get them and importantly, so on failing patients steroids is colchicine, course, that them steroids, right more strategy of [indiscernible] who first get to are who are inhibition IL-X off on

And so many that NSAIDs who their aggressive at first often and colchicine breaking disease. are translates, will, patients into with if you through recurrence are who

And to are so clinicians looking that.

of of that actually resonance into second-line time since terms shows are the of translated that's therapy real how patients managed pathway failing ARCALYST that second-line our rise a IL-X ARCALYST inhibition. In that were of such registry with colchicine world, prescriptions the who with -- real NSAIDs in as X/X and launch, from treated of use data the were

that's into evidence-based this I seeing of practice. think the where approach translating you're So label

Operator

Fortea-Verdejo next Eva Wells from with comes Fargo. Our question

Eva Fortea-Verdejo

couple A us. from

you question mentioned coming of second in second like increase three buckets we on patient duration for recurrence? third? second patients versus mean first some recurrence? Is driving patients it one, these is the of Are duration And what's and you first seeing from versus this similar on first like current on first the growth adds? on mostly The differences and XX third mean here months. Should expect recurrence

Ross Moat

Eva. Thanks

of is John first over take part then your So to I'll Ross. Maybe last talk question through the first, this I'll to question. the and hand

quarter-on-quarter, base clip patients new mean, seeing around additional healthy prescribers added new on coming I are as adds, board. XXX both seen patient the prescribers. seeing we're increase prescriber from that most also say well. repeat Regarding increase of of We're recently, prescribers We've a quite new

that result patients as certainly of a that, driving So therapy. are we're on more total

the than also stop cessation drug. Obviously, And So putting a patients increased well. by the having the as of of therapy other account duration then helping you total that and on patients are end come we each quarter we're the about natural disease at time for who more quarter. those are after with to is far new losing therapy for

we're So happy kind seeing which report. increase there, good of we're a to

do want first So you maybe, John, make part? to on the

John Paolini

of about asked you've very interesting question No, pericarditis. Yes. epidemiology the recurrent a

recurrences, patients years. still know X X/X is we suffering still of with from X what more at So suffering is years disease our patients that X have data X duration at and the patients who years for X/X median or of

as for so whether duration And very or that, key shown X of the strategy rate with of cessation months, been and need therapy. of that driver even the might recurrence you clinical at months targeted And a disease. the results of of repeatedly trials premature XX high a well is as throughout data that's therapy, imagine, in months XX treatment advanced

that in at back IL-X recurrence. inhibition the second-line And and there aggregate, more colchicine I to disease. believe the the slightly time all on a the again, going that Now a will strategy to X patient epidemiology first relatively to it first patients reflect earlier, within is But that number median those patients of why, with months. those that the that a one fact, patients, population also in of that, of it's inadequate their the colchicine who failing tend regard earlier note will will but the it's includes recurrence disease duration those patients so yes, course different taken will, quickly the those NSAIDs cited to NSAIDs of of their year, treatment to with run have is physician and that's to -- that of patients for they long-term use includes recurrence who go literature that part aggressive in who And usually be of are to pathway patients. the disease have presentation the important patients manage that on

longer duration tend patients. be those so to And the

Ross Moat

adds ultimately, to maybe two just of on end patients that is recurrences. John, the are or that, add you. on new Is key patient driver the that more really And the thank Yes. to of those

first that that the to, if on the of the or understand as are John earlier on you there recurrence the two the can are are around than on you that disease, duration their into of and the messages physicians in then main really hear more recurrence, it's plus disease. the And to utilizing XX% recurrence. see disease pleasing take account it's group has X-plus spoken driver While

at there's first of that to recurrence, ARCALYST we physicians surveyed the their inform now on intention it the around back first look XX% have us that consider that you If recurrence. was

are to So ARCALYST considered XX% all an it's the prescribe first that good that That's that of not disease. being and in say is prescriptions or the that around indication physicians using on now it's were ARCALYST within first the enrollments obviously, awareness at early earlier the growing, will ARCALYST we least also go that on is and considering But recurrence. that of it recurrence. XX% within see

driving data, ultimately, that's the X-plus recurrence pleasing but the business it's really So it's here. group

Operator

next with Our David Wedbush comes from Nierengarten question Securities.

David Nierengarten

doctors point. Most it's have the But not I prescribing across are of but on belabor towards early, the scattered who them follow-up asked, did prescribed Board first amongst there or recurrence maybe repeat Or to doctors? any and the prescribers earlier? is but it the a have trends more

Ross Moat

a It's David. Thanks, Yes. question. great

than rather widely need very for to suffering misdiagnoses are we is from across the get it see. understanding a all correlations there clear the have I is patients of that and shared really note that why the haven't see a across patients that topic. any we think the the disease we see diagnosed don't obviously yet, earlier And do around We anything U.S. which particular in dispersed Board scattered really

to that obviously, a well. of the diagnosis So to through that often knock-on through there's elongates as effect treatment journey and

and to to So we a we for with us how partner diagnosis look people get earlier. can that's think component try key consider at to

an American the really which initiative recurrent mentioned, we focus of being excellence, the pericarditis them the the through centers on really one aims accurate can that to community. rest pericardial throughout Heart sponsored interesting from pathway of now Association pathway to that of the shorten XX of the is really through shared be to treatment how diseases, on As those diagnosis we expert and that learnings centers initiative focusing the and

just an also the an that's kind get earlier and into diagnosis. strategy we awareness to of around increasing So think our that important of goes patients part initiative helping

Operator

And Anupam JPMorgan. Instructions] question from [Operator Rama our comes with next

Anupam Rama

Congrats a guidance guys on Last health forward San preannounced conference small Francisco. you gave year, January at in and in quarter. the year care

if moving wondering Just forward? the plan that's still

Sanj Patel

small January. do. No, assuming quite we're conference going to to You're sure in At we're thanks, But point, this not case was we're that the going last certainly, care Anupam. what year. health the

for we always, and reminder. we But point, very will not look But thank final at any we've it. do made when decisions. it it we As this at carefully do the you

Operator

I would now Patel turn for remarks. any over like to the back call to closing Sanj

Sanj Patel

near providing everybody, future. look for on [indiscernible] being in additional the We you, hopefully, Thank the then forward for and us. questions today. Thanks the very to joining obviously of much call all the remainder updates, the year and

So much. thank very you

Operator

Thank This you you. your conference. concludes the for participation. Thank

now disconnect. may You

Kiniksa Pharmaceuticals (KNSA) 29 Oct 242024 Q3 Earnings call transcript