PHAT - Earnings call transcript Q1 2024 | Phathom Pharmaceuticals, Inc.

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Operator

Hello, and welcome to Phathom Pharmaceuticals First Quarter 2024 Earnings Results Call. [Operator Instructions] Please be advised that today's conference is being recorded. With that, I would like to turn the conference call over to Eric Sciorilli, Phathom's Head of Investor Relations. Please go ahead.

Eric Sciorilli

Thank you, operator. Hello, everyone, and thank you for joining us this morning to discuss Phathom First quarter 2024 results. This morning's presentation will include remarks from Terrie Curran, our President and CEO; Martin Gilligan, our Chief Commercial Officer; and Molly Henderson, our Chief Financial Officer. Operating Q&A also portion Chief team joining our the during of Nabulsi, Officer, be will the Azmi today's call.

website. of we release press couple Earlier the call. will a logistical of we during before Just that Further, under copy get be found today's corporate this webcast discussing morning, of be Releases the can of recording and the the release issued section detailing press section of A be a found the results News under our Events we items started. Presentations corporate website. can our

as this are current Terrie? beliefs and statements. With as All harbor statements filings. Curran, subsequent of slide Phathom's this off. and we and Form that, that as the of such forward-looking section making President for Before results begin, well These most the and materially risk statements will affect the the us let on Factors today's SEC in are operations throughout of forward-looking you date, materially obligation over these me any the Terrie forward-looking XX-K to adversely Phathom of Actual results we any discussion beyond to I business number prices factors on many involve made Phathom turn to and available trading control. statements, A risks can remind update forward-looking these uncertainties, can disclaims and based call will now a presentation. the CEO, stock. of statements our risks the be of statements on and which safe call kick Risk is common differ recent Phathom's of Phathom's from

Terrie Curran

their for patients, way, can this March, we resonating. building they we incremental now access positive deliver in teams increased our VOQUEZNA since excited due call, VOQUEZNA a condition titled written target launched us our A new been life-changing you positions joining driving importantly, expanded Most to of start VOQUEZNA's both these and launch Its months encourage or occasions, is experiences. On a DTC today's communicating and several brand successfully the of differentiation have the launch, see physicians the these quarter the unsolicited help efforts a for suffered are effects, to more comments can telling with progress and we've clear. inform to Physician we Eric, that some offer brand patients, received clinical commercial prescriptions made share asset. feedback know our the of reported symptom with to to improved we've especially latest you, VOQUEZNA main upwards part each enthusiasm X and to are be us those on types on awareness determined of X many we've I'm on to just made communicating patient our PPI, consumers. strides to from continues continued Patients superiority relief. sales promotional both to and call. VOQUEZNA At on proud prescribing our those launching versus we drive how have evidence doctors excitement number to messages of full has superiority able XXXX. Throughout each of the awareness with to has clinical patients on to describing We're great first relative patients. team our report I'm executing. I'll Beginning increase years. demand from significant surrounding progress these ago. and direct-to-consumer physicians the delivered PPI, to testimonials in be outset, pleased thank the Thank share launch goals, goals. is expand now versus overwhelmingly to that been that sales how end made force of notable of real-world great metric our we date. kick campaign the XX,XXX behaviors. From all

Our are a prescribing indicates major requests decision. research patient driver market the that of

crafted at we're consumers positive the for in a the from we doctor marketplace. share hearing call, VOQUEZNA. ask to So the television Later campaign aimed and commercial the about will Martin the early motivating more receptivity

formularies On midway outcome announced the our of strategy VOQUEZNA access This Express early ESI or to the the addition we validated through belief resonate large front, access that the Scripts payers. QX. would with national

recently edit VOQUEZNA similar Health the I'm a QX, ESI. to formularies was through proud share midway Cigna with to Care to Now added step that single

approximately As have million VOQUEZNA. access commercially a lives now to result, XX insured

the negotiate ongoing to with significantly in access have hands over recorded to our are We blockbuster early the GERD major prescriptions, in that to VOQUEZNA equally We how strategy touched date. for throughout DTC VOQUEZNA we growth steadfast reach of coverage many remain volume report filled also payers happy approval patients aim I to metrics XX,XXX filled XXXX. Earlier, commercial with commercial generated expanding our I'm total increased. our exciting of and those of nonerosive opportunity other on delivering expansion continue of efforts that demand. has belief being anticipated in rollout coverage, VOQUEZNA. potential prescriptions These the very With indicators. launched a

be from GERD. the half receiving subcategory treatment with population counterpart and doubling treated patient adults identical. largest in nonerosive than an XX diagnosed this label journey U.S. We're GERD, of for million important an This Despite largely annually. to is more erosive its onset represents disease the the the XXXX. difference potential symptom estimated on size, of to the the that of expansion closely more in now catalyst indication Focusing second anticipating

providing with sized advance to target FDA's that for decision. With and a our patients. In are is journey, messages the we able our a soon to of launch to new continue the team treatment care to trial our promotional are as-needed will for excited planning for able we communicate GERD both initiate with GERD. days to positive current importantly, appropriately believe PDUFA be our dosing on this goal the doctors approved, July sales Later believe a our in commercial previous building be we the We We to prescribers. for we're development year, study offer More means indications. date, from vonoprazan. XX force If relationships to option II reserve results nonerosive these within opportunities Phase already build is this potential same this action parallel nonerosive that these III Phase trial.

could is a PPIs, first-line trials esinophilic II care. acid Additionally, rapid, Vonoprazan the which exploring we current to replacement positioned for trial esophagitis, standard for year. potent success, later EoE, GI be is foundation are as of suppression vonoprazan initiate the Phase this these a or durable conditions. Subject profile planning of and to

If are aim PPIs, either indications. for programs to for differentiate enhancements approved expand of VOQUEZNA both Our products. both market would is these which the not present addressable the further not for label further from approved, but total

development million continue confident balance will On in our sheet $X.X $XXX We first we us will further financial to with delivering the of that and later side, call, detail the results XXXX million and our strategies. quarter cash. ended Molly which strong our remain reported launch in enable on for revenues

is of This its first me to this execution made quarter continued launch, comes of first have deliver. teams likely progress It yet now is launch say, we've and infancy. our marked March in launch full of only end of still The the impressive. our down XXXX, you've blockbuster potential in elements in market. the key quarter are heard to As a this present

call millions to of will in dive to beginning. I'll with nonerosive broad We throughout XXXX. over Erosive condition. In and continue updates. DTC recent into promote GERD tandem, suffering of GERD reach patients tactics anticipated this us we from expand full-scale conjunction leverage remainder commercial which only give the diligently we're that turn pair of is VOQUEZNA's working to to superiority our These Martin the to now commercial coverage, just to launch with deeper in efforts Martin? the expect confidence ramp awareness launch the

Martin Gilligan

hello, Thanks, everyone. Terrie, and

VOQUEZNA that the great Let me of first to start. echo launch off we is believe a

come April launch metrics. Today, as start written each X update ensure by months, their on the VOQUEZNA signaling dive daily. reporting of from experiences. At the with best which of over by to from conversations We're roughly among weeks of and positive over of efforts X our users early the some want seeing brand end DTC latest the those back an number coverage reported our sentiment to our I'll grown VOQUEZNA. VOQUEZNA. among with VOQUEZNA providing to is elevated share the for grown progress continues In consumers the XX,XXX. prescription let of request increases detail, positive most positive. written front the refills, data goal them awareness patients these further can number also XX,XXX, get team significantly and our recent on XX, physicians, filled outreach XXX% now VOQUEZNA has but filled also of to to beyond of doctors, of sales the just me their commercial while made feedback has empowering prescribers prescriptions of And by prescriptions March, into is Our depth among very high-volume their items in XXX% breadth increasing more we the and available We've removed we're data. previously who

exciting testament behaviors, time heard you've latest the willingness to and takes to to to As long-established but us patients new say, try these an disrupt physicians are and different. metrics something it

on prescriptions closely over seeing XX,XXX at monthly more also the we're filled, Looking basis. a notable growth

are first $XX Keep VOQUEZNA month that with by which reflect has which RX. Within prescriptions, increased. volume, mind quarter retail captured retail pharmacies, our of XXX%. sales tandem In more these as pay cash flowing prescriptions filled In those QX, by well prescriptions through in VOQUEZNA sequentially through as XX% the captured IQVIA. assistance fact, are Link of X,XXX filled number VOQUEZNA which each recorded through by were also physicians pharmacies writing flowing program, IQVIA of and than for captured roughly approximately increased the by growing we figures

upwards what a during This mix early heavily growth written previously GIs of specialties, as we our VOQUEZNA writing physicians mid-February. of relative been more As to by of launch. these XX, target has have X,XXX favoring phases that of includes a of reported This to April XXX% a filled. over prescription reflects

anticipate on brand their We intent depth our have as XX-hour of lives, written of we impact believe times, prescribers Importantly, base XX% prescriber our which of encouraging multiple the increasing will force. which and bolsters to patients' and by and latest the awareness repeat are Doctors relief see witnessing Over degree an heartburn further engagement lead prescribe. this healing shows VOQUEZNA indicator. data early sales writers. strong grow breadth we a our of

of gauge the that VOQUEZNA written and we last Recall formularies. any to demand the did addition VOQUEZNA been national not written mentioned coverage Beyond marketplace. over by prescriptions. proportional from now I metrics growing have during filled narrowing starting total place, physicians. existing prescriptions the reflect the yet filled to strong prescriptions, that that total With we is impact see This of in shared between earlier and in earnings our XX,XXX are a gap call the of ESI's a

coverage associated widespread update. revenue opportunity of happy realizing commercial access Cigna level progress As commercial anticipate earlier to is the patients demand. securing more total I'm further, more insurance. closing therefore, Terrie's goal expand with gap good the our continue that to of we with note, and make we upon this On for secured, on of

million provides which X May added formularies, of Cigna VOQUEZNA As coverage to insured over X, was commercially to people.

access were to inclusion, commercial single approximately a intended. we exactly XX negotiating now this to lives as With in million access edit VOQUEZNA. step have Importantly, successful subject

VOQUEZNA payers that major move initiate including anticipate As we are we increasing will XXXX, with other an coverage, actively of negotiating. into number which deeper we plans

tested Access direct-to-consumer which prescriptions, streaming scale driver our in the Terry of the across In campaign, increasing Prime. out you VOQUEZNA campaign, While our March, a popular demand. efforts services is is proud Consumers as well, commercial this development extremely essential we some acid are heard different, a which form consumer-facing [ of television converting initially most promotional us mention. several overall Hulu The on to rolled fill motivating. told notably ] key kick can platforms, and live full very of such audiences. while with memorable target and campaign We're effort, in went

unique erosions with only approach seal healing first awareness we heartburn relief. intent raise of messaging, the is kind, commercial XX-hour treatment is the help VOQUEZNA and Our to that its maintain provides as strong more and and aim the and their of television been late The to broadly physician commercial VOQUEZNA. we're for to to major networks across ask far now announce motivate airing feedback tremendous, end-market consumers is has that April. and the excited thus Between

quarter VOQUEZNA. steps XXXX the The meaningful of launch of first included several in

entry nearing blockbuster serve to fundamental through of continued to opportunity additional pairing expanded Molly? it and promotional market pass and PPIs front total as widespread VOQUEZNA efforts, year was and the remainder on inflection of of strengthened on demand into results. was each our the and now in potential the The the GERD nonerosive VOQUEZNA. of saw positive prescriptions addition I'll commercial remains notable ramp increases by and number marketing We Cigna drivers closer progress to get believe for goal the realizing throughout filled. plus Molly coverage we coverage walk of growth. With track block, generated our building launch. the the with significant. We of of displacing formularies points Our off promotional financial of to first anticipated this the

Molly Henderson

call. and you Martin, today. quarter financial results our share happy first to I'm the Thanks, to on with everyone XXXX hello

As launch in related a time. period and Martin, we've short progress to VOQUEZNA important of of Terrie from made you've heard such the

the Before note I'd into going numbers, like two items. to

during we will projected guidance call early as or still we be First, last stages regarding spend launch. earnings quarter, and providing of not revenues, this to similar are financial

commenting Additionally, press most this reconciliations both discussed and their can be GAAP in I on GAAP measures. non-GAAP and in morning's detailed later Supporting measures be found and comparable with will non-GAAP measure financial be will section release. my directly schedules between

Now turning the numbers. to

launch, led by that this Keeping reported was XXX% restocking full For to of demand sequential prescriptions first filled of we Growing way quarter in inventory revenues in a XXXX, first quarter the mind increase. $X.X the represents of our net million. quarterly this wholesalers.

Although difficult get early patterns stocking able estimate into anticipate a sense to of quarters. to the of it's this behaviors launch, stocking we next better over being couple

expected. gross net this to our resulted our X-week unavailable savings Change front, from like gross was to This discount the quarter flag quarter would net where was period attack. we during patient cyber discount to due that co-pay the than On first Healthcare a to better card the

gross million, of ended quarter gross basis we reported the points. which profit XX%, For of sequential quarterly March of a margin increase a about XXXX, XX, equates XXX to $X.X

XXXX. for reported operating We non-GAAP Moving to spend of first the The of XX% P&L to down quarter to with XXXX, our quarter spend first the expenses. represents reduction million in R&D which compared $X.X the of down which to trial in trial, costs lower nonerosive year. out expenses our daily was R&D III related Phase decrease we primarily read dosing clinical associated last wind the activities related

XXXX in and complete of of first quarter we increase commercial SG&A, first of for XXXX. expenses full non-GAAP our same launch VOQUEZNA. marketing an increase As driven our for relative infrastructure activities reported sales $XX.X The commercial by to million notably, of a build-out costs quarter force. in largely of quarter XXXX. support the Most nearly XXX% related of includes was represents the the the period over strength This the of to

expenses can SG&A were some costs, the DTC to kick campaign. million initiation VOQUEZNA related primarily acid of included quarter's and advertising ] $X.X our Additionally, this [ which approximated

categories, For compensation. related noncash most operating between the and GAAP our of interest Other discount. interest expense include noncash to debt liability both reconciling periods expenses non-GAAP noncash items for item reconciling spend was on non-GAAP these revenue stock-based financing and amortization interest significant

XXXX the per $X.XX of or fourth or compared the We share EPS. loss to per to share $XX sequentially million adjusted quarter $X.XX reported quarter million net of for $XX.X for first Turning XXXX. non-GAAP loss loss

this launch that a $XXX subject $XXX via to certain to that XXXX to which onetime available We in achievement reaffirm we XXXX, discount are our of an operating million year, gross based have milestones. is our our available As our We $XX events. and quarter increase that field available next product saw million debt due plan, and and our million cash full revenue our runway scripts remains with certain expectation is position March and yielded cash we to through a line up of proportional believe loan. Overall, $XXX solid of funds of expectations. revenues the results year, cash first end of were a in in million, available equivalents net current XX, additional facility, financial under term were on expected better-than-expected and

the spend of in I'll appropriately turn continue back XXXX. With awareness now we to our ensuring to patients comments. we're enable excited manage access need for on call Terrie the of and diligently invest our while With brand We Terrie? horizon, to for over rest for milestones notable continuing about to commercial closing VOQUEZNA. goals that, meet the

Terrie Curran

to perceived joining approved, potential and Molly, slide everyone was opportunity. our to you I call. you, this to blockbuster VOQUEZNA Thank share on When us a today's again thank path outline

have Now journey, according X we months plan. delivered into our to the

is results We've progress a demand, in expanding Our quarter Phathom XXXX. accelerating field growing in start that prescriptions off significant first demonstrate and made to strong awareness. brand

displacing throughout proof facilitate about operator? to today. market, we're are that XXXX. the you VOQUEZNA our opportunity. joining committed and interest now commercial the this in to the sharing a fronts of the high, an XX-minute and PPIs and session, our quarters, Thank turn support. I'll and acute approval us GERD to it We commercial appreciate to look potential expansion continued a forward widespread an upcoming of potential resonating Simultaneously, is look progress to of for large large we're your we focus create in on continue dynamics to these the remainder over VOQUEZNA we'll coverage of with operator metrics our with year. the bar on daily on and question-answer is important focused launch our remain similar throughout all We Our both the dosing with of nearing efforts catalyst. Internally, consumers. In population this think realizing when We label of Erosive physicians very we for from nonerosive VOQUEZNA, and goal the power establishing indication believe closer patient the GERD.

Operator

Yatin comes Guggenheim. [Operator question of first Instructions] Suneja from Our

Yatin Suneja

Very this nice mentioned bid almost touched love XX% improved say, XX-ish the you between update think quick percent ] one. can get you just but a Could about don't that really the BlinkRx if real where talk versus about could are BlinkRx, today. this, [ you It you to be has A you now last -- how couple -- know rate and we like fill rate for you I on me, IMS. seems you time, or about when inflection when talk you should would just on if from you specifically for that reported that fill to hear great. And that labor

Martin Gilligan

I'll Okay. all cover Martin. is those. This

So me first, talk about and IQVIA. let Blink

are past going percentages the cash. in as moving to through towards is the access as gained the split. would always a covered pretty more we your of spot to shift process, you said Blink think I terms scripts more in I think on And we see that start versus

So growing, people that I they Blink, clear you'll that that scripts that I as -- I offering is is filled any everyone script think Blink, really is covered just come on just about then that think there. mentioned the cash partner we're more seeing support the you it. There that pharmacy patient sure being onboard, we're and picked is up is see to many Blink less I when line going it earlier. to IQVIA. And our we're going for think by have, I'll to that coverage a of just time you heavily awareness But it really talking over probably of remind But want just see utilized. as make component of were we

seeing the fill rates regarding that think your I that of and was then last the the part inflection. drives the So you're question rates. And

the inflections the with the QX as marketing on inflection start announcing we think we we'll like access our envision, expect said, would today. front grow I Cigna we So for had and both And approval as QX and as GERD. coverage, nonerosive expecting be just saw you we during is that we upon then other

Operator

of Raffat from next Our Evercore. question Umer comes

Unknown Analyst

the throughout [indiscernible] gradual is improvement should the will in the potential year, half? in Or I do to especially second one question, towards Umer. ramp? volume an expect the This inflection on much on year? And gross the we expansion, first is be more second for indication expect a How terms it guess you of end of net.

Terrie Curran

net I'll then take and it gross Martin inflection. on to Sure, to turn over the the

the somewhat to of specifically co-pay So program gross because seeing available [indiscernible]. said, due projections not net attack. the a I'll the negotiations for We're still other at we're to first assistance quarter from our better-than-expected point, year turn inflection But net expectations. And our to gross as the not significant then with payers. variations we're this we a we experienced our rest couple being of cyber for for as on not to on the in it commenting over Martin of

Martin Gilligan

Yes.

I a as do little we think for inflection is GERD. before, I question expect nonerosive earlier, an So mentioned that a

we're be And XX a million feel non-erosive seeing starting back so is going larger in patients. And we going to not that are both did entering sales X to million we diagnosed calling on treated. Erosive patients that really this market, force the much -- going we're same have But January. We're who and what be at is to physicians. X GERD the is same like we launch we're

The of and same hear have discussion switching we different dissatisfaction, their the adding same, PPIs on. are symptoms of terms in journeys same. that the While diagnoses, and the the level are patients of level same

for the it's as that know mechanism searching a them we is for out is we category So Erosive VOQUEZNA for GERD. believe that and that playing new mechanism,

So have we we us started will into nonerosive launch. thus and our the the far momentum we've believe that really moving benefit erosive experience

Unknown Analyst

up. to How of want follow the much sales was reported Just inventory?

Terrie Curran

understand that is If inventory. I way,

see bit range. and still with pretty early I'd to would to so to but stocking the see to have We're X-week behavior, the were prescriptions see in X- we're far that us demand again, bit commensurate little a industry, is filled. still But quarter the stocking in cycle you those little early probably say the seeing So sales a patterns. been the of for the for majority what it's first what related the around

Operator

Stringer from comes question & Company. Needham next Our Joseph of

Joseph Stringer

the I IQVIA the metrics have question early in XX,XXX the of we just last based numbers want clarifying a around and kind Blink on there TRx scripts. I filled your around provided, If X,XXX March, TRx think been split. since on you back IQVIA into update

or to like the X:X implies last Blink IQVIA split XX-XX since update. that a roughly So

So to is that that. And to bit And expansion what Erosive NERD fair payer perspective particular on split number a and daily launch a on a the then about assessment? Question from different X:X the dosing. NERD. to provided launch the similar market Can you you March, want one. secondly, the between little potential is talk label current then get a in just GERD dynamics in access clarification in that in potential

example, assumption? so comes label NERD it, fair not securing is the that time a understand -- negotiation it your coverage indication it's when right to the a bottle For as is now payers for separate indication, also for for we expansion the with

Martin Gilligan

Joey.

one, understand just into So to I it question. I'll I the parts. first X make split the want on sure

question was Your is you're if now, that you correct? Yes. in the between IQVIA and our estimating that call, asking last is X:X. earnings And it's Blink XX-XX ratio were

have So you. I might lost

make the yes. I is it. want question understood sure I to So that to answer

when channel as terms as you -- that about the a spoke dosing. we Which ratio last question call versus scripts access now, what they'll right through see comes exactly, your call shift we're part be set would our is that you coverage, are continues and in out that through of support. retail more cash board, our the into what on in the cash XX% I is earnings of second between going and think, that in we scripts, the So that expect I'll get reporting we going anticipate we versus IQVIA more daily in which non-erosive of leads what the

expecting PDUFA 'XX. work. presentation, payers how are by always is for the with generally, now, is this indication, packaging, a of our coverage right at We not as we And July and approval look

of that's today the reporting right now about our bottle. we've as of So been million, when $XX data all

our would non-erosive. have we that coverage we same bottled after So coverage would carry to. that that, with prior approval expectation will it's we for forward anticipate of the see that type non-erosive And

Operator

comes question Sachs. next Choi Goldman Our from of Paul

Kyuwon Choi

I two. have

NERD The us script to to stick as a prepared first in going think your what by as Martin, filled you just expand do second come be the maybe your forward you bottle quantify packs, little there up able getting treatment you second least help well? bottle that's expressed are proxy on wanted can with follow bit who with -- regarding VOQUEZNA indications maintenance at treatment look as what a patients is, one comments will are onto us percentage back you remarks space. the from IQVIA help just is, refills. comment mix I and into And the fair data, quantification sticking between the for understand from the or with the Any the get my to the -- mix a many patients would helpful. And a look the here question you in to are as like of how at and

Martin Gilligan

Absolutely.

yes. refills, one So the the on first

are refills. two that related also to seeing we are So things

seeing and back we're patients now on continuing more As come therapy.

you -- those So I'm but increase. quantify to not tell today, that TRxs And TRx you continue to that's that ready numbers our I can you in for see exactly happening. that what's as

are writing. just more as that writing said physicians for they're more also And patients. also We I know before,

[ ], mix our see I forward. the data. And versus ] about the of that your assume So packs TRx in always is reflective that's the our carry mix, bottle seeing packs to on you're and yes, planning, XX%. we to then you And [ think in expect question what should what that's

Operator

Our Craig-Hallam. next question comes of from Chase Knickerbocker

Unknown Analyst

This [indiscernible] on here. is for Chase

us from BlinkRx. one for Just

think let's than the happen XXXX? we should volume amount -- kind over of you less fairly say, think really do under in when that until XX%. to Or of So is small that won't we the being it here the of volume, doesn't Should half BlinkRx overall become of expect that latter XXXX?

Martin Gilligan

Yes.

put it's So Chase, number a to that. think I hard on

is that and over expect been new time. that's on interesting and on launch. positive can for in new as launch going We've going you we're the launch. an think that, I to we're bringing getting to is what payers, got I've that's bringing decline ready and saying, a We're launch, a physicians. of We're a middle --

this see just metrics, lot of a you're all going of as to movement a So given grow, factors. to on continues those lot

key us the are things. two think I signal to

the today said goes last Blink. heard patient access. through you've heard, increase start would And or that shift, that as see the what You in time, be we to support cash

to a give don't So have you today. I number

I to of the year. and market all movement think that's decline there's that see mentioned, a positive for the in just during as I lot continue you'll us very

Operator

Our of next Annabel [indiscernible] from Stifel. question comes

Unknown Analyst

I'm Blink guess going a on little bit granular I a minute. to more for just get

So that it is have you coverage than and what over you and don't Blink the on just going point, going the But scenario I Or you demand there increased is of on stop decrease Blink you'll of as be. tail question. And of just concerned get Is perhaps then you fulfilled. decreases. a where a coverage percentage time. there it's going XX% patients that get and before XX% going that have steady like tail end, those said Blink are far that's you as prescriptions through to get that to at state continue? faster increasing payers board some is might think to first to the the you or guess

the dynamics go-forward there. understand just And trying so to

Martin Gilligan

Yes.

So Annabel, but questions thread a all a were have related. in common of there there, they couple

question. case I'm coverage? I them demand to all think there -- So a might hit here, than I grow an going faster that's interesting where payer is

that's think feel what we've and growth, I we about. seen good steady

is it Our growing. demand, steadily

we're in negotiations the payers, will and that. which think QX. through I be to see continuing along QX And other you'll major continue far So with

going think So be don't case. to that's I the

think cash I we we're board expecting. have would we're come but correct we to increase not see to next prepared of that prescriptions. And what incorrect, scripts not that's or coverage was that, going the it's on we part decrease. think Blink as an before see coverage growth a I'm saw I say in in

had you XX-XX. our that I versus a saw change where X:X think big call earnings we last from

to then look will patients. do sure that decline. And continue we of right always continue and There things make will do will for the for some probably doesn't Blink? be to want exist we right So that mean, we coverage things our anticipation is I level patients. we'll the to that always

of, there. And your always one we'll other terms of for in in questions So steady I was coverage. then state think, be

think it going into continue in between seen I QX, we're to it. which just going to and see a you've as already we're ago, grow, said moment I

the So see statement expected more we've we made last kind QX. QX that that earnings and kept in to that in growth of we call

our had believe where first come in QX QX, already to in So and more we step there's we've QX.

Operator

comes question Matthew from of next Caufield Our H.C. Wainright.

Matthew Caufield

coming launch, target So share being GI care? do a for or you any that primary the stage for or greater there at or can contributor anticipate one prescriptions between from other the the growth? is this granularity you a And

Martin Gilligan

-- So I'm did sorry you finish?

Matthew Caufield

Yes. Yes.

Martin Gilligan

you I Okay. cut I'm thought I sorry. off.

to make wanted sure. Yes. Just

are heavier leaning now, right we're percentage towards surprise, of GI. to scripts So seeing not that the -- our

we've would know we higher position. which that the I that? at be volume deciles, for set their rationale higher the was to the force when spoken sales what's in the So objective start our out, past

the on being really cetera. And So being you GIs between X, tens the lower. imbalance those to and starting down the decile primary and care the see working that's higher where decile et

this actually board. so seeing yes, but come right seeing So slant we're primary on care gastroenterologists, higher we're now, at a point, towards

out we So thought it's as it would. playing exactly

Matthew Caufield

know not could stacks filled compare could PPI. you Very that are how regards that possibly. question. the current up I a helpful. ask getting maybe kind And quick then something PPI more just one curious if all But how fill do of just like prescriptions the Presumably either. more established to In against rate,

Martin Gilligan

Yes.

comparison. that's hard So think a I

XX-some-odd a you're at product think that's something when generic that's for around OTC. and been looking also years I is

actually you I compares really in think to are. And a a looking at better it And only now was way right as rate look a good is position a have is, we where at it we product today launch place XX%. of our heard and that to launch. fill what that rate know, our but we it's not other at at consistent, launches

a rate now on with And So driving today fill will of forward. as coverage moving of that go board Cigna. -- have in we terms that's lot has we right and announced it only of kind up come the

Operator

session. question-and-answer program, now concludes does participating the conclude and you today's may This Thank disconnect. you Thank in you. the for conference. This

Phathom Pharmaceuticals (PHAT) 9 May 242024 Q1 Earnings call transcript