ADCT - Earnings call transcript Q4 2023

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Operator

Welcome to the ADC Therapeutics Fourth Quarter and Full Year 2023 Financial Results Conference Call. My name is [ Norma, ] and I'll be your operator for today's call. [Operator Instructions] I will now turn the call over to [ Nicole Riley, ] Head of Communications. Nicole, you may begin.

Unknown Executive

Thank you, operator. a XXXX announcing updates. financial issued and fourth we year full results morning, press our release quarter This and business release the the on is at This under ir.adctherapeutics.com ADCT Press website section. Releases available

Ameet results call, our Mohamed recent Scientific financial business will year opening Officer; Officer; Medical Chief Chief Pepe fourth Carmona, call full for today's Officer; Chief XXXX Kristen Mallik, On Zaki, Berkel, van discuss review quarter Harrington-Smith; the Patrick and highlights Officer; before and and Commercial Executive Chief Officer Chief Financial questions.

certain press and Reform of to known the Before results, statements forward-looking call during described in statements SEC, I XX-K, Private safe will with the to Act achievements would could subject we X-K. of are Litigation conference and of identified XX-Q and meaning including begin, remind materially. on Form of company's performance like listeners this filings X XXXX. release in provisions within presentation the that and actual some U.S. and and They slide Slide harbor the These contain are and risks the differ statements forward-looking today's the the made uncertainties, unknown and accompanying Securities

result forward-looking cautions hereof, conference the information otherwise. investors new the after as or a reliance is required obligation ADCT this information, company providing does circumstances date call of future as place or date not update forward-looking of not on of conference undue by statements as this these The call today's any and events to any undertake except statements. law to contained in

of not measures. considered should the or financial a in in prepared substitute with also limitations addition includes Today's These and non-GAAP GAAP. and accordance non-GAAP be in measures information as for isolation to measures presentation financial have

contained of GAAP information fourth to for information release definitional non-GAAP the quarter to historical comparable financial and company's in measures. reconciliations the earnings refer measures should You the

Ameet CEO, to pass Mallik. pleasure the my our now call to is Ameet? It over

Ameet Mallik

Thanks, was company. for prioritization joining us for are and Nicole, XXXX for all the made positioned and We tough we today. XXXX of decisions year well focus in believe success a some thank and beyond. you and firmly

in With allocation we and and value new our drivers. resources focusing on energy highest capital corporate strategy, advanced our and most potential talent enhanced a place, clinical implemented

As This our commercialization you reset we platform can see enhanced strategy prioritize critical efforts, our pipeline, here, was to XXXX organizational reduced forward. our enable costs. in moving expanded and research

tremendous pillars to believe we There which the the unlock see will core are company. this X value we strategy, in

primary key have focus in Within the a our to to ZYNLONTA, we through carry which prioritized we asset Our hematology. first is this, expect and company derisked the pillar product profitability. in portfolio,

ZYNLONTA sale the earlier We will $X.X larger potential and ZYNLONTA these lines generate We are substantially the annual capital to to indication, sales of DLBCL of and commercialize opportunity therapy potential franchise opportunities third believe our billion. have line BCL to franchise help and potential third and indolent excess peak the in lymphoma. expand majority the existing line of our plus pursue to in deploying the

of is our in pillar pipeline. strategy our solid second tumor The grounded emerging

behind patient unmet is address potentially needs. which a number next-generation asset this, drug and conjugates, exciting advanced most Our of ADCT-XXX, significant we antibody have

ambition interest. in a broad externally, we parallel, multiple differentiated solid To our is supported to of and by Driven progress the novel funding see partners. internally potential tumor this assets against to capture platform, nondilutive advance targets ADCs by portfolio our from of opportunity,

early-stage capital strategy advancing are through Across high our whether putting enhancing our about programs our most hear allocation execution, into this how or assets, promising of we presenters research will commercial our today, accelerating each prioritizing potential action, through you and strategy. pipeline

therapy for briefly like expand ZYNLONTA indolent and I mentioned opportunity lymphoma. potential of just substantially DLBCL larger I'd that lines the on to and Now earlier

its the setting LOTIS-X would of line zone line the expansion the second and DLBCL. of lymphoma and product. line and results Furthermore, usage to of increase second supports follicular this we ZYNLONTA marginal for plus lymphoma, second into line believe further the our Pending plus and is goal potential data studies, expand LOTIS-X into second this

in Now of revenues to I'm quarter, sequential the share I'd achieved to about pleased business hear sales with a confirm update like million. $XX.X of snapshot you'll today. double-digit ZYNLONTA that fourth growth the

of Importantly, growth, community a academic in both resumption in saw we the and centers.

at to of start delighted year. news also positive We this are the share pipeline

For dosing no successfully dose-limiting combination we have Since with both bispecifics, cohort. toxicities. the that the early dosing our LOTIS-X time, in in ZYNLONTA second cohort of cleared first we study shared data with from arms

in We in we novel screening our sarcoma by and cancer initiated axle observed what are ADC, targeting recently have pancreatic ADCT-XXX, patients. have encouraged with

Lastly, we [indiscernible] disclosed portfolio are we investigational an platform. novel which advancing early-stage a that ADCs, of based utilize

discipline, ended position. which to Together with and cost into Turning of We XXXX close runway support next. with through catalyst this expected cash with to us year QX multiple plans provides this our financial an strict $XXX us our business XXXX, and will million cash. value-generating

XXXX with data having our from pipeline. emerging entered encouraging the repositioned some we with refocused great early together, confidence, taken and So company and

that, Kristen With the would I to call like turn for a update. to commercial Kristen? over

Kristen Harrington-Smith

the for of for to no these treatment position therapies. line in eligible our and is be to bispecifics standard who the complex Ameet. not third academic DLBCL have who Thanks, care, in CAR-T Today, following patients continues line, or maintain progressed to ZYNLONTA with plus where or are strategy third grow setting the with fragmented our community, centers

pre XXXX. was restructuring, the levels in commercial CAR-T. demonstrated loss demand of Our strategy real-world presented fundamental and efficacy our of the resulted similar and our December, [indiscernible] November as supported first at which in strategy is driver by the post half data against Execution for the recent in higher to and meeting, ZYNLONTA's in

competitive of third in line performance, growth same setting with XX% a the both bispecifics of in the dynamic community third with delivered recent net academic am QX, as line, given compared QX approvals plus in I ZYNLONTA. to proud We the setting. increase especially and the revenue in our X

indication. are team the the and we We current confident maximize the strategy have to approved ZYNLONTA right right in

landscape to the to and important future ZYNLONTA market we expect turn want play. role I Now to the

Within of well front a in R and T the stem transplant. with and market, as the line, [ cell true in chip R-CHOP ], was standard exists academic Pola setting the CAR care the recently as line DLBCL only second in autologous

evolving However, accessibility a combination in agents is most highly the remains cornerstone. effective off-the-shelf challenge. market patients as treated the community in The with towards

front will create is setting in ] this polatuzumab [ moves the the as to market, relapsed/refractory we As retreatment line, the in unmet need expect an unlikely.

label is line second the trial second ZYNLONTA III line, our plan to With the to confirmatory expand Phase our plus. LOTIS-X,

that tremendous broader build patient safety have deliver if this with patient have study running. ZYNLONTA with share [ We a to opportunity to combination competitive in efficacy continues the the already observed we in rituximab this ] XX population, in

potential of commonly use, lead R-based as community data, second cement results with across of used These in care will line, manageable advantages of all accessibility, help to ease the second us a to the believe of where therapy. regimens and lines are centers, coupled line among ZYNLONTA the standard tolerability, from LOTIS-X plus

line to when data and/or and these setting, alternative of in the use line an academic third potential third CAR ZYNLONTA have addition, is T bispecifics the In second to expand both plus needed. the line,

Moving with combination evaluating bispecifics. to LOTIS-X, our in Phase Ib ZYNLONTA trial

to to can enhanced forward, we program this ZYNLONTA our demonstrate compared is expand efficacy progress significantly which alone, that the combination deliver use. objective As bispecifics development could

the In ZYNLONTA, hospitalization, community. demonstrate CRF compared expanding addition, bispecifics, that of in for with to reduce need we accessibility and hope the when levels can eliminate

and has combination this successful, both and settings, transform treatment the second commercial if Ultimately, the paradigm patient the potential ZYNLONTA. opportunity enhancing for substantially the in line across to

And now Mohamed for to to like over I call turn would clinical a update. the

Mohamed Zaki

encouraging stage Starting confirmatory pleasure with trial rituximab, on LOTIS-X, our an enrollment ZYNLONTA results September. [indiscernible] in in clinical we XXXX, my significant It's pipeline. with III our Kristen. provide we Thanks, and [indiscernible] and update to Phase reported

with increased have observed we confirmed which the enrollment, IDMC. in higher-than-expected clinical sensory addition pleased with trial, our team was recently While the the been

patients events. expand specified of beyond achieve result, the As the need required enrollment a with to of plan survival a progression-free number XXX to

enrollment, do current not this complete the our pace of target affect on Based expect to we enrollment XXXX. in to

at safety on recommended held to January the XXXX. concerns IDMC meeting proceed recent most of noted no XXth Importantly, and its the study the

LOTIS-X, Ib to in explore novel combinations. to is this ZYNLONTA study our Moving Phase

on the X bispecific We combination are in [indiscernible] focusing arm, blucitumab [indiscernible]. and

X proceeding Enrollment Part started XXXX. in arm dose heavily pretreated is in and X+X kilogram starting a plus and XXX-micrograms. in ZYNLONTA with at XX-microgram doses July to XXX third-line escalation each patients per then

Once appropriate and each those dosed toxicity XXX-microgram at cleared first the with time, no we we in and dose patients dose enrolling dose with we Since complete, X levels. expand dose in currently limit XXX-microgram cleared the the we plan arms to the dose. have DLTs, we the that the XX-microgram arm are As escalation both period. is for discussed January,

the activity dosed we marginal first investigator follicular the After among histologies, and X [indiscernible] first majority antitumor have of evidence assessment, patients DLBCL lymphoma. at with seen including mixed levels lymphoma the of

We expect available. and mature is to data, share a additional deficit larger more once

plan agency have And path line excited to assuming [indiscernible] in once we forward. the that to early. we by second data those are potential we approach promising, is what While recognize and our we seen, strategy are discuss expansion is it and complete

Beyond from significant additional of in our ZYNLONTA indications own interest and is explore a to investigators studies, there amount combinations.

ZYNLONTA on served an University population [indiscernible] oral their December well relapsed Miami II the Phase not unique of the of current patients a refractory As XXXX, standard and is rituximab was lymphoma. This in there follicular [indiscernible] presentation high-risk with from by or care. study investigator of

of a complete very the rate of from patients encouraging, overall best results were and XX response XX% including Initial response rate a XX%.

of presentation of well is and with majority physician X events The other and centers, was being were adverse XXX to expanded In patients. trial target community safety, the the Grade received terms extremely the a now enrollment by primarily of manageable.

enroll conducted II quarter to The need. another lymphoma, indication in expected or study is to futility Miami ZYNLONTA University in with second a unmet and study the significant [indiscernible] conducting this of also an analysis [indiscernible] of Phase XX of The patients be year. is designed investigated relapse is

upcoming We move If anticipate forward. quickly to these we determine both investigators positive, would trials studies will [indiscernible] initiate from present path the at gradatory meetings. data are and/or medical

turn candidate, study in in want sarcoma, AXL, cancer I [indiscernible] cancer. we investigating a lung cell to now tumor to I Phase our are ADCT-XXX which solid and pancreatic parking

the by as innovative its with design excited the are incorporating potential AXL therapeutic XXX we DX PBD [indiscernible] explored have others especially ], a [ see While of we profile target, box. a

accent types, lung multiple of in tumor patients' and across many it cancer [indiscernible] [indiscernible] shown that high pancreatic including been cancer, expressed has and sarcoma. expression is correlated types, to As survival overall

I in well pancreatic cancer. arms, Our includes combination trial and as monotherapy with sarcoma [indiscernible] as Phase

the sarcoma as high of the concept. is Given proof level AXL serving of expression,

that milligrams. In XX dose we we of recommended January, disclosed reached the

tested, currently doses activity the we presentation X, plan now we encouraged monotherapy addition, the data from in at additional size study and in In shared well that available and of ADCT-XXX, We was early ECR next in abstract which to antitumor includes the month, have at is also both The and Part for is been optimization dose [indiscernible] by combination. which online. trial share the expansion.

am population. have With the other that are regard cancer screening pancreatic the a to monotherapy I pleased initiated we to patient built on in report indications, [indiscernible]

initiate lung the once to dosing have cancer [indiscernible]. preselected plan we also We for assay patients, optimized cell non-small the in

the and future. I over to hand would our I with sharing the in to have encouraged Patrick. progress forward by like we look making am now to are more pipeline

Patrick van Berkel

you a on activities. to It's all update pleasure Mohamed. our Thanks, research

our of this differentiated broad the utilizing X novel hydrophilic start linker. As as on raise year, a with the of the toolbox, [ we're [indiscernible] based we ADCs, a exatecan, now in part ] together at payload, developing disclosed

the approach preclinical toxins, of evidence available has potency, biocentrictivity such as commercially excellent greater shown to stronger studies proprietary DXC innovative and platform, and Compared tolerability. or our

our Initially, against attractive indications exotic needs. conducting with and we based X high research are utilizing targets and unmet highly platform

target Claudin-X, expressed is novel endometrial is cell highly first The in ovarian non-small a testicular that which and lung cancer. is

ADC lung is is The a cancer. validated and expressed cell highly which second endometrial also target non-small NaPiXb, target, ovarian, in

optimized based candidate ADC target, to highly the prostate furthest, a intend validated cancer. antibody. novel acid-resistant PSMA, We PSMA-specific select is the which metastatic on a clinical expressed The

hematological an Lastly, this a tumor undisclosed are and target. I What solid transported novel platform is we which to the multiple target is protein, say that in malignancies. highly applying is can expressed

of strong range target, For and monkeys. cynomolgus the interstitial Claudin-X, an with in case, those invivo each index have [ seen and studies NaPiXb we've ] attractive disease. and evidence pharmacology undisclosed completed therapeutic activity, In finding antitumor lung no we

these investigational encouraging we be on of Based we believe ADC candidates, to platform a multiple the initial have data X interest. that differentiated tumor from targets applied can

next will month. and review you NaPiXb to share at Claudin-X we the of are abstracts steps, AACR would website, on The them. data AACR next and In terms for I encourage available

event share at additional second plan an we our platform quarter. differentiated research the AACR, investor information on to Following in

hand With to to that, would I like over Pepe.

Jose Carmona

Thank you, Patrick.

the I into catalysts, strategy. corporate and our everyone upcoming Before remind I development business get financials want to of

to Hematology within ZYNLONTA. of this, key value our the be primary continues And drive our objective focus. to is

We effort directly commercialization will achieve in this fully the our U.S. our by partnership and supporting through ex U.S.

In ADC on increase goal. candidates pursue solid multiple tumors, our aim to parallel shots our is and in

on determine to wish will or partner and case-by-case candidates We a whether we in the financial order to basis, externally, share seek risk. to progress development

performance. January now filer U.S. X, under XXXX. reporting became GAAP, We're as Turning results we starting domestic to our our a fourth quarter U.S.

our with Starting balance sheet.

of QX. of or XX, approximately December $XXX.X $XX million decrease end from million cash of and cash the a As we equivalents had

P&L. Moving to the

prior in the to discover a slightly offset higher primarily lower by driven and gross partially drug volume, decrease versus higher rebate ZYNLONTA price. already gross million XX% you quarter, As net of net $XX.X were due year, sales by heard,

operating Our on together non-GAAP compensation, basis, focused on mainly our year. in total expenditure our clinical R&D which studies This excludes operating driving and selling reduced focus with efficiencies, and expenses. reflected a investment stock-based were last marketing XX% to due quarter to fourth expenses the lower of compared down

For approach of crucial This to expenses. our fourth disciplined and runway to will to quarter cash into operating XXXX, a development expected the continue our the is our fund XXXX. programs very pipeline of key maintaining we take

of GAAP the the financial release the of will appendix of today in You compounding reconciliation to earlier issued tables find in measures press this presentation. and non-GAAP the measures

basic bottom share. to basic or This the the P&L. per year loss a for of million our reported to a basis, XXXX we and $XXX shares. the took Moving loss per diluted $XX of or On GAAP net million full $X.XX net $X.XX diluted and quarter

which slide we highlights XXXX. milestones, Ameet. in multiple I that, expect the to will My the final back potential turn value-driving With call

Ameet Mallik

I with a road and keeping close, map on forward the stakeholders. Thanks, and and all To XXXX excited the for capabilities about are we our value our look prospects Pepe. updated to progress. drive you enter clear company's team strategic to creation My

Now be for available Operator? questions. we will

Operator

One come the line [Operator Capital Naureen question Instructions] from first Our will of Quibria Securities. with

Naureen Quibria

Congrats on progress. the

So and data for can you other of I curious to your to actually, what's been just safety Can confidence seen for with bispecifics LOTIS-X. you talk expectation And about level LOTIS-X, combination therapies? combination? was to date this with about that, relative the your in speak

data? [indiscernible]. you just or present you larger And size you on on data you the larger the release set or have topic, -- the is Can mentioned XXX-microgram data expect you talk of and appreciate a same -- set have that that to a the press about would it release set. you that after I data scope just

Ameet Mallik

well Thanks, Yes. Mohamed seeing safety Naureen. as on both I to been for on it. as Maybe and really the turn what it those questions appreciated I'll profile what over we're hoping to and we've answer --

you take it? do to Mohamed, want So

Mohamed Zaki

With to plus combination a you disease [indiscernible] third in and it's bispecific [indiscernible], Thanks its marginal of study X of line good escalation X for know, [indiscernible] Sure. question. ZYNLONTA plus. follicular DLBCL types, as different Thanks, zone, Ameet. the different regard in Naureen and

all are X by [ [ XXX dose ] we've very low-grade the quickly. We fact or levels, far is [indiscernible], ] very and CRS per results so hec first XX-microgram microgram we the no encouraged have that either the and the CRS cleared seen

and We the we things [indiscernible]. all label encouraged to seeing [indiscernible] we study see by the the are very activity keep date. antitumor and study, in

later year. sure days. to more it's until share have early However, mature to like be that this more we would able cohorts wait And than we we

I mean [indiscernible]. points think much question, answer multiple [indiscernible] a your pretty kind I for I of hope to is that's

Ameet Mallik

broader second dose And We're And with expansion glofitamab Naureen, maybe arm. DLBCL those line be that ] in currently to dose the Once now move both where Mohamed. patients, really efficacy into of the dose of mozentuzumab follow-up clear we start Part the just dosing X get one will we'll representation have thing are [indiscernible] the And plus we Thanks, of add. of going per and the the single soon as as number histology. right [ a which and XXX-microgram the pofitumab. in cleared, will the when That's longer a I the we focus escalation. focus. think to that's we're study, better in

Naureen Quibria

I And and Perfect. guess queue. back then in I one Kristen, for I'll have hop the

are terms were with in talk about community and can comment increase curious, two, settings, -- how ZYNLONTA Just you what of what can those of in in to [indiscernible] just academic, for curiosity. And on you out growth in number of penetration academic the you that, you saw levels one. terms number able the

Kristen Harrington-Smith

Naureen. Sure. Thanks,

So is first couple foundation share of can I What exact that in of launch you we the we years don't setting. and numbers tell strong [indiscernible]. within a the had of academic

starting in XXXX, the In refined strategy more to our QX, we community. really on focus

of community XXXX. that the strategy adoption driving see impact played to we with started QX Our out well, in of and the

not ZYNLONTA, more in but increase centers X only see volume bispecifics. well, also actually, academic in did the sites as an the post So entrance we community adopt saw we of

see progressive demand started I increased to look November, in, see XXXX, half what say, growth and and of demand December, saw would first in levels with we we come forward [indiscernible] we the So our to ZYNLONTA to back driving refined in we this strategy.

Operator

with the from comes of JPMorgan. Brian question next Cheng line Our

Lut Ming Cheng

couple about higher-than-expected Just is of call? LOTIS-X, that questions much to the how for And a safety-related is [indiscernible]. LOTIS-X? you mentioned what couple. have withdrawal? Specifically, the censoring censoring in can And of due on On about the a talk that bit more a I little you for reason the

Ameet Mallik

it. Appreciate Brian. Thanks,

and about do Mohamed, you talk to censoring? LOTIS-X want So

Mohamed Zaki

Yes.

uncommon and I Brian. a achieve And in It's are you for increased for not with little a So to enrollment a higher -- diseases. see thanks censoring global the dealing that relapsed III. want not highlight just questions, it open-label Phase need to is also uncommon for your when bit refractory

reason of usually want [indiscernible], with the main patients relations than possibly. we physicians believe active and arm we And to that's be course. convenience of the lack versus because physicians of The higher to in -- don't from the control the

any little expect related is or And concerns usual. anything bit So regard general with no see a to issue DMC to than can the there to that safety reason any by you higher that to related met in safety do. was not

is the missing required replacing this end events very the of reach number -- to study. possibly events it the is important to of simply But [indiscernible] reach

So it's do a IIIs make to in sure that in patient ] Phase procedure that many [ time. they order get

news in enrollment, is [indiscernible] recently, we that [indiscernible] was reason acquired have with compared observed acceleration which to to an finishing and good a that. enrollment the communicated increase do of in delay for of we per high we've even we And a be trial, The have on not before. this anticipate possible The month have a to a number month XXXX. seen of we

Lut Ming Cheng

back And growth the you for SG&A your entail? of the does model? to to talk comment later we branded [indiscernible] about year? year, commercial Can going on should related expenses, Great. in to And our this that model profitability related what actually that rest should how then the expect we

Ameet Mallik

of evolution you of in and the do brand what take Pepe, -- Brian. what net evolution, terms SG&A? commercial Thanks, profitability gross Yes. means brand to want Okay. that to

Jose Carmona

question. for Brian, Yes. Thank the you,

the IIP this marketing discretionary is be sales out of expenses, of what year all profitability, able record which cost and in to revenues force, and for brand So related means include related U.S. [indiscernible] team, in the spending, would commercialize pay ZYNLONTA, of expenses. all many ZYNLONTA will the [indiscernible], that expect other the say, all goods, to we which coming

capital from perspective, -- is the funds. -- a like commercial items basically, ZYNLONTA not of in the to is a this start user funds source pipeline. It's funding more of So allocation a the

high first in gross [indiscernible], of to our the from message increased points. half the heard is For percentage single second from purposes, the half gross the modeling if you've XXXX year, net digit our --

in have We ratio XXXX. a that have second that we to will gross half net the XXXX of expect similar

as XXXX that But what a So you the gross of percentage half it model will we half of point. we don't in the first over expect by XXXX, same be first spiking net than saw further higher increases. in

guidance first prior will So not single-digit half of half expenses an more of compared OpEx XXXX to will on productivity continue of measures. in the levels. year, half in XXXX. From high but increase be we compared perspective, We're second to XXXX the to the all exact the even drive it second providing

across driving keep will [indiscernible] board. We the

LOTIS-X for that this cost Importantly, investment the level we in this year. expect full year, enrollment ZYNLONTA, we which is [indiscernible] is the and higher highest have

to So a then the as the XXXX, decrease full down ]. into enrollment expect R&D expenses happened due we [indiscernible] and of LOTIS-X trial [

But decrease success driver that's that All the XXXX. other we in will biggest the which this depends on obviously launch the of R&D as year, [indiscernible]. expenses

Unknown Executive

Do questions, you have other [indiscernible]? any

Operator

of with And Capital RBC the line question Renza next comes from Gregory the Markets.

Gregory Renza

from Team, just congrats on the building quarter. the and the for hear on progress. commercial for the helpful on questions. pull-through the the fourth update Maybe strategy, Thanks color to the it's

the curious ] we about those any for CDXX was Kristen bispecific competition on Just And uptake expectations? the be that going indicated with XXXX. dynamics within Pepe should and if of beyond factors thinking [

just I related maybe that, may. if And to

certainly curious you the the endpoint thoughts on combinations if the to As for ECHELON-X line, any triplet line, OS relative CDX of just ] longer-term ADC-based in expression. late losses updated meeting, we third have opportunities think regardless improvement its [indiscernible] about just [ saw positioning

any dynamics those had on I'm thoughts updated curious you So well. if just as evolving

Ameet Mallik

bispecifics start and I'll CAR and comments. overall, Yes, line definitely they I say additional ground that in on setting gaining But have to T. pass case third are it Kristen then post in I'll would Mohamed,

You saw strong was there growth.

limited. uptake continues they've sophisticated and particularly there academic setting, is in flattening more kind grow versus QX been to of out setting, agents of QX T kind dynamically of continue Bispecifics much using CAR basically the you while the the And out. community right sales are grow. the look now, out all the Ts when is flattening centers, uptake, is While at to CAR more of in the

a I need is where a ones where clear is there's count, or it for post every either bispecific for that patient. though, responses suitable, think ZYNLONTA, [indiscernible] place fast doesn't because what for progress a even not we that patients patient work may

of and are have to academic competitor ZYNLONTA think a projects new physicians I is use when out So figured growing. a where sort around dynamic, best there

saw a that we those part out versus who So with a where of in that patients [indiscernible] the I ZYNLONTA doctors progress CAR used to we because that rebound bispecific sort to QX, In continues suitable [indiscernible]. for push as to figure big QX, to be best those saw was think there are not go a as of T.

And terms that advantages space the have moving one have of approved we're strong as as Not single-agent that then combinations. is drugs single the towards competitive in have we the of a single is And been I and a think activity. approved agent, landscape, we many whole agent.

agents. bispecifics the drugs single been assets approved have fact, that the as in only of In ZYNLONTA X are

LOTIS-X I so us position well. both strategy and think combination LOTIS-X our with And really

X we with will But the are third landscape, setting line profiles but in I with us also growth, well will spite really in where setting only think competitive not we'll in line the second move today, have those evolving for those combinations. trials. position an where we of

would is I anything Kristen missed else there and you add? Mohamed, that that

Kristen Harrington-Smith

line. front that and the line, a just One, add, line different with is see would ] creating I it in to to to already third the second landscape. evolving on that things. moving X add your mechanism thing only [ up We need The polatuzumab

in out LOTIS-X. So space LOTIS-X for whether today a get definitely and once we ZYNLONTA, combination or it's carving

The other question on was ECHELON-X.

efficacy been we haven't for And survival But ADC. win It to tracking nice trial, any that a seen in always put also our than of -- that we the that. Pfizer We win. other one, overall marketplace it's terms saw headline the an We've dynamics. ADCs. out the see on reinforces track the of data and

look impact understand [indiscernible] doublet, primarily to Pfizer the the that market. [ in put better but used, ] uncommon, the versus so data triplet their see that in to it community, it's could context forward the has into squared pretty still love we'd and and is on used we any that

Mohamed Zaki

regarding need better. in and If Kristen understand that to able also is how the [indiscernible] story to control trial I be data [indiscernible] the arm may we add see it the to the actually

if third this plot, Specifically, is I in the correctly. understand line track

Our and facilities go potential target is to to second for LOTIS-X line plus.

you may directly, get but first there with to be line, see not minimal number when some it's [indiscernible]. very the a patients So of

don't data, [indiscernible] course, able However, to it of to we know the understand be better.

Gregory Renza

helpful. a then as and later the event really forward has to That's all And discussed mentioned. as you've follow-up year Patrick just I'm this we maybe wondering, just an platform. look next-gen

the you you a bit could ADCs selecting Pepe Just targets which next-gen wonder a or and versus external the alluded if the has elaborate just to? point strongest that PSMA this on sense -- rationale do internal for through partnerships just [indiscernible] NaPiXb, target and at have the rationale for

Ameet Mallik

Yes.

take you partnering. of then the first part Pepe, part do the second want you of the could question? to Patrick, around the maybe, take So And question

Patrick van Berkel

Sure, Thanks, Ameet. Ryan. Yes.

targets. criteria all have we they that the think selected So targets for fulfill ADC we these because good

target, good level look a at of a you for very it's If them, and clear each approach. for validation that targeted every known there's what's for

indications NaPiXb, unmet they're studying X But platform. looked our cases, also carefully differentiated we at novelty-based expressed first course, is high very that to the we're in of Claudin-X, X Of competitive with targets. approach the with believe in all the And those landscape among not the And need. undisclosed PSMA we in course, target. all, for most and players

to are attractive that targets work on. means there us, to So

Jose Carmona

me take partnership question. let the And

the takes discussions. This we our with compensation outreach companies, target based some disclose did we generation as [indiscernible] [indiscernible] quarters. and solar and an few the earlier we So and January already X, next this in year potential started partnership

with that this do interest, will and partnerships would potential it's We do short continue advance we something to those see and So conversations a turnaround. we add the not year.

Operator

the [Operator Kelly of Our comes line Shi with from next Jefferies. Instructions]

Unknown Analyst

This on Kelly. for is [indiscernible]

second-line question, to patients? So any you just line moving first that when to into from is want data second to confirm you and that clear have safety, thing available need only would before expect the

patients when data And for you us biomarker we the on if expression? secondly, enroll presented remind have then study, that And AXL data is available you can based AACR. at

Unknown Executive

terms in expansion. to LOTIS-X the on full at are quarter in dose Thanks on the DLBCL, focused expecting [indiscernible], directly to in second those is line this year for XXXX. and And question. for to allowed in on escalation move the of second share expectation in safety expansion information that, more we to second yes, of later from that specifically, And line levels. based We're

our far, so enrollment not AXL, strategy. of terms In is preselection a with

the lung in of be cancer and for non-small will enrollment [indiscernible] be pancreatic preselected. will as However, cell

Ameet Mallik

Operator, any other questions?

Operator

over time, questions. to this no Mr. further I'd At the back like remarks. Mallik for closing to conference hand I'm showing

[Technical Difficulty]

Ameet Mallik

at analysis another attention PD Between to [ follow ZYNLONTA the now to call, and line agent connection. we on lymphoma, and on Thanks a and we event. as our ] in switching data and with having investor presented research which [indiscernible] Therapeutics. AACR, Sorry, all top earnings share single LOTIS-X, being of with interest some data our Yes. expect will your up on in updates important ADC trouble location, next for

you interactions to As would I the coming with you all. the such, close we look forward call. in like Thank to that, multiple months. With

Operator

This for concludes today's call. your you conference Thank participation.

Everyone, day. disconnect. now a may You have wonderful

ADC Therapeutics (ADCT) 13 Mar 242023 Q4 Earnings call transcript