TSVT - Earnings call transcript Q1 2024

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

Operator

Good day, and thank you for standing by. Welcome to the 2seventy bio First Quarter 2024 Earnings Conference Call. [Operator Instructions] Please be advised that today's conference is being recorded.

I would now like to hand the conference over to your speaker today, Jenn Snyder with 2seventy bio. Please go ahead.

Jenn Snyder

good and Shannon, you, morning, everyone. Thank for you joining us. Thank press our first This morning, XXXX on a issued we quarter release financial results. can the Xseventybio.com. The Media release be the in press Investors section of company's at website found &

to As a timing will and and expectations statements benefits subject the with current time discussion expectations our reminder, respect uncertainties. are and of These and regulatory which results, and and certain include sales, regarding financial lines others. Xseventy among condition, and statements strategic of therapeutic statements expectations, regarding include perceived plans review to bio's forward-looking application to today's related risks forward-looking statements efficacy financial and Abecma studies future additional Abecma, for plans, our

various those our factors, as statements and These be representing date. our to call Actual quarterly represent views risks, Form uncertainties described upon and filings. as views should the of section results and of including may subsequent most Factors any recent reports forward-looking as our Risk XX-K, other materially SEC in relied this differ other of not due

not forward-looking to cautioned no required to on undertake undue revise law, any and except are You as these forward-looking by or update obligation statements. we reliance any statements, place

for by during On Anna Eatwell, line Chief Executive the also Truppel-Hartmann, is Chip today's Financial Q&A. Chief are questions call, Officer; we joined the on Officer; Chief Baird, and Vicki Medical Officer,

Chip? And now Chip. turn to will I over it

William Baird

our Officer, and of for you like on updates into and and I'd quarter Jenn, our you, operational go morning. then business business some Vicki Financial all financial the walk thank this recent will XXXX disclosed through to Today, detail and Thank first joining Chief financials. we results Eatwell, our updates.

a achieve we programs an eventful Regeneron. of major to R&D To focus our to XXXX completed quarter exclusively sold this, Oncology First Autoimmune on Abecma. strategic and We one. realignment was

this to what is sale, and years and XX% estate the for to an approximately can think science the look team of achieve approximately ideal XXX these we footprint seeing of forward Regeneron. the part real in our We outcome As transferred programs, employees come. and to we

to The have the We XX% refocusing. track structure, is but also headcount that end strategic as Abecma necessary XXXX by with additional it result of cash on part reduce a leaner the back and we took to an beyond emerged runway time commercially. cost get tough decision

BLA. March on we supplemental this population. and journey approval. job [ approved and did To consistently line a said to teams the growth quite an We earlier the that have that front, larger path much Xseventy on Abecma hinges subsequently ] FDA addressable amazing on patient to traveled BMS advise a our which meeting The in including an at we end, setting, panel line opens ODAC in the earlier were

to great So track and on the are back year, Abecma focused it's a now commercially. been we getting singularly start on

the We time launch expect time in a that and strong take real-world return are and a launch growth. Abecma, the and known But organization including plan. and profile growth on the manufacturing a to multiple manageable be triple in population line have for forward in, now meaningful is rates continues and To consistent a patients, and believe market a to space and evidence clear, real-world will high in half we class-exposed that commercial we we time. look we into we about strength it earlier talked We've see the second need. early have mature, the of profile take competitive myeloma unmet a believe competitive with is strategy to we and some will a before for executing that days reproduced that strong in label turnaround product. setting, in-spec is efficacy data commentary of well-established With high safety which

the talk I'm our Eatwell happy results. newly But talk strategy about CFO, promoted over about it I'll quarter Vicki the to to in our now, to first for turn Vicki? Q&A.

Vicki Eatwell

Chip. Thanks,

with First competition which the quarter and of line million, Abecma reflects expectations U.S. revenues as setting. our in reported were late Squibb line by ongoing in was Bristol-Myers $XX

of delivering stated, study, launch we the in greatly of see to Chip following return on based the addressable and to of expect of the an We FDA second growth in increases As are half to increased look year. population. approval the recent our a forward midst commercial Abecma KarMMa-X patients number the which a patient to Abecma

reported selling revenue we in million a XX% revenue, we or largely loss profits and As we expenses U.S. In the with of with line collaboration our quarter, to cost $X.X BMS, loss each by collaboration demand losses arrangement late share decreased or quarter, first business. of related reminder, patient equally in sold setting. to related driven our which of a goods the the U.S. report and the share collaboration represents business BMS, the of Abecma share

XXXX, the range to of guided Turning staying of as of million cash our managing our and and $XXX net cash in Regeneron respectively. We reminder, $XX expected carefully combined actions, structure. are savings our spend to to preserve XXXX XXXX, million anticipate $XXX spend within cost previously And to $XXX sale committed we briefly to million pipeline our in runway. cost million our a achieve with is to cost-saving R&D to

and quarter, by we beyond go a last Abecma see to expect potential as our XXXX As XXXX growth. runway to to path returns reported breakeven we

turn Chip. back I'll that, it to With

William Baird

X I'll thoughts. Vicki. Thanks, with close

Abecma the more the a been are that First, of priority. potential for focus. in at a earlier we partners unchanged with focused quarter, able time patient for and to meaningful myeloma patient we've is but a this are through our delivering the to believe make change serve. our in is will thing Together line X impact on be every BMS, of lot first We singularly setting patients top in

team, shareholders. on to continue on these Anna, focus Together stewards for the the profitability careful drive value focused we value. Jess and being Vicki, priorities we're will with staying driving on investor focused and of breakeven Second, to capital, rest of reaching and

with take And questions. to happy we're Operator? that,

Operator

Leerink [Operator the comes Instructions] Graybosch question Daina Partners. with of Our first from line

Unknown Analyst

[ flat after The is we on profitability. a over then our the consistently sales question short we collaboration ] loss And the think be fluctuations above last the Daina. should about Rabib collaboration in related profitability X is to anticipate What program fluctuation threshold Abecma there will Is years? How revenue given in profitable for can forward? backlog this which profitability these going a model? quarter-to-quarter? there's follow-up is that. and And driving from better This

William Baird

I'll on for this the add fairly line couple the of we've flat revenue been and to setting, Sure. then color. last this fifth briefly side I'll ask Vicki comment But plus collaboration quarter in and or revenue share quarters that hovering loss saw of on small with revenue rate a run a we million basis. $XX that in very quarterly small collaboration in

see to do towards going see path a that profitability. to revenue to that. we return consistent we're think need to And and plan collaboration we the to again, growth So have

in structure. we note, a and I manufacturing fixed -- revenues the would as CAR-T better We've is by helped that capacity that, better is increase as typical high too, profitability on cost a manufacturing utilization side.

through so will better And push margins the more can there, volume become. the we the

front, path. we've levels that this profitable on And but a we believe that before, in achieved certainly, at come business. is to more we So believe that

Unknown Analyst

when to line? for that And -- to we out collaboration play suspension then transition direction. the just profitability? shift And expect impact on will in from going profitability the suspension Chip, vector should in that How thanks, manufacturing adherent that

William Baird

Yes.

we an manufacturing and So transition point as we've of adherent cost great a overall shared, and then side utilization of is on perspective to execution remaining suspension, as adherent time and we've from approved suspension. That make on impact And that actual another which technical that, the from perspective, will from suspension for in happen we're capacity certainly that code important terms vector to approved there, we're been is which a over for But treat the great patient. news. a cost well past risk to use news. as as helps over

Operator

from next of the comes line with Sachs. Salveen Our Richter question Goldman

Unknown Analyst

is for This Matt Salveen. on

on bispecifics current in And And half. just expectations talk follow-up -- it Carvykti then OpEx quantify a question. you or is And could how from of the Could expectations you to about launch? rest noted constraints? expand dynamics way? for You in spend growth XXXX then any the of of then for speak you maybe meaningful the second much the that meaningful versus for supply Could XXXX? competition and in

William Baird

the part I the of didn't last you your Sure. last Could catch again? question part say there. X-part

Unknown Analyst

XXXX XXXX. and The just OpEx last spend part in was

William Baird

Great. Yes. Yes.

much meaningful posting levels, it again, in take growth, is meaningful from But a in what to of specific these larger the terms we that. market on gotten lot So doesn't be growth. a haven't

of last line and achieved revenue we reminder, in first much the and quarter of smaller $XXX plus As million a second a over market. fifth year

very that and the excited and treating expanded behind profile, into. about feel in and the of market our to engage get on data the with with and So of educate path to ability the the we opportunity the is label, stands set can what physicians we second say growth that would year. different meaningful product I But half that's terms improved and which in about

to Vicki comment OpEx. it turn I'll on to

Vicki Eatwell

question just on supply And we constrained. are address the supply to Thanks. constraints, not

to enough the within we manufacturing infrastructure. our capacity further, to And existing capacity our existing We meet have ability expand label. have

about noncash that -- XXXX, think Just have experienced what of in guide expect half be OpEx. to excluding to XXXX was. When as turn of we X/X we being we to your would XXXX. what OpEx, And characterizing in question we spend we're what would as I on XXXX, about turn of about XXXX would spend spend just

use would that perspective. I from So modeling a

Operator

the question with next Guggenheim Goodwin Our of comes Securities. line from Kelsey

Kelsey Goodwin

And on expansion maybe and market CAR-T provide in little then, general? guess, can guess, headwinds the post the kind competition I seeing just blend or bispecifics you with KarMMa-X? facing seeing expansion, competitors in you were were First, trying to terms to commentary and from more a hearing of of you're kind the color get or the mainly you of Just what in that I prior a early there. previously, label any

William Baird

yes, play -- perspective, is questions. of think all competition myeloma been, is X the a CAR-T a in Kelsey, well is said, at as the first, plus where which kind Good from competitive And we've line second thanks. I it's as competitive which I'll we've fifth take bispecs field. setting. -- are as

And with that. we articulating to patients as all Today, bit the with setting. safety, efficacy, have own experience and the is and move set reliability, again, reset the of are the manufacturing, And again, a of into think focus commercially that I a Abecma data I line there. think their our engaging bispecs there. it third not I dimensions look think the product across at and we asking present story treating physicians of is

launch terrific it's a -- So team with got I meeting belief set we've there. had would we strong early and say month the a days. BMS We last

me on and ask So physician fired treating month question or ready we're with engaging go the in out a to up X, the commentary and community. certainly but again

Operator

Our comes Yaron the next question of Cowen. Werber with TD from line

Unknown Analyst

This is Gina for on me. X-parter from Yaron.

on you're [ not Abecma. for efficacy success is, ODAC part differentiation of PFS what intervene may time? Abecma, little Abecma about rate being the or also points there out-of-spec that for the your March, manufacturing ] remind in And So the second seemed overall bit current a concerned then durable. committee affect you rate us the saying the ability the for Can in

You Abecma uptake in earlier line settings? to think going hinder it's

William Baird

for spec, and success in the we're XX% some that's On time quite Yes, rates, now. manufacturing question. for north thanks consistent manufacturing been of

then So even turnaround of with get that, just -- time, little been patient cells that every into under days always XX consistently could that a even we seen we've for lines, move we're have earlier from to are lines as turnaround therapy, do time. And optimistic less and bit a better. looking better

remind you questions? Gina, you can are of still me Sorry, other there? the

Unknown Analyst

PFS? I was unmuted? how of it's... I durability Am And asking about

William Baird

We survival really the that panel. from deep you. and panel Thank overall took -- the sorry. I think a which Yes, we XX demonstrated versus of the care, on on X primary factors standard and months. PFS was go that significant felt for the focused study, statistically think Right, about difference -- Yes, that PFS study I of the was on a but endpoint. confounding months prespecified of

those Anna us. not with I'm can about get you good room analysis, subgroup same believe sorry, on Anna the feel as it comment further looks that you better. we into And we even one? is Could -- So in data.

Anna Truppel-Hartman

for you the you thank And thank Yes, so much. question. good

there and discussed before data ODAC commented And noted maturity data centering [ is has As the it the of at by ] the was was also that the there some was more curve. ODAC, certain also be end. biostatistician, to at it follow-up, the also cut with course, with is more PFS noted a and the in analysis certain sensoring clearly it

So That's curve. it is mature definitely not one. a

that domain. Second, public we in cuts the are have PFS X data

If cut, you be bit it look it at better. the really second going to seems apart -- PFS is a data

myeloma finally, have I'd about to multiple And unfortunately in this a time. cure patients like at not we're who speaking still also do point mention

So of patients go relapse need the expect time, therefore, they at next would to some we to time that therapy. and

that's So on the ODAC. my end all PFS at from discussion

William Baird

Thanks, Anna.

Operator

Our next of the line comes Samantha Citi. question with from Semenkow

Unknown Analyst

is that you if trends offer Can characterize it as And This available those across can versus the where Eric you're utilization Sam. you treatment utilization you is are seeing clustered across centers on CAR-T Abecma seeing to subset? treatment And Or subset? a activated for is so, that all only speak in any well? centers? BMA Carvykti

William Baird

for of the we overall the over tend across follow-up time. the for -- remote would utilization where to that their time activated. of United involved have question. are States, and can to footprint ones Thanks growth of say centers those lot expanding the travel patients obviously Yes. track we're perspective, higher from major centers a matters. were that trends all less helpful is We centers, rates data But overall I a utilization geographically receive the the utilization. And academic so. are more drive centers in And to the CAR-T and those places the vary again, have the

site think real-world and part again, the strategy. label, with data, important highlighting else now centers, the every that we're commercial And engaging everything that one are compliantly the in the an expansion do of we of a right is commercial so setting. overall those evidence on able data And the to we're KarMMa-X

get on out that. said with to as there before, back new data we're more it to and come expanded again, the So we've But excited set.

Operator

line Stanley. from next the of Vikram Morgan Our Purohit with comes question

Unknown Analyst

This is Morgan on for Vikram.

ask So might this launch how your line to wanted and compare late I the to uptake? initial of and third curve the anticipation setting about ramp line setting

William Baird

Morgan, thanks treatment patients different with were sense there of was capacity The fifth the for was a in waiting There launch question. dynamic had patients who that the options. that line no a was clearly approval for and been bolus limited.

triaging ] could terms sponsor. And very long more of larger manufacturer times so market. [ the and setting and we a best and that in that different lead in a Today, just for resulted treatment dynamics, lines those as as much the options patients. A

[indiscernible]. have, based We present earlier, as Vicki on highlighted

And up to of it's kind so it us that market. I in we think the into line. effect bolus expected well that not the fifth expand same sets But

the half between here, into results, fourth said, quarter year expect ] growth, So the return able be revenue the results. we to but early again, we get days show we quarter, as to of of expect, time AF revenue, lag don't to will and it given we [ second kind then enrollments, until impact, be third

Operator

Canaccord Newman of question next from John line comes Genuity. with the Our

John Newman

done were really was the that could one, was work panel, on great well prepared. the tell for Congrats very tough that FDA I but a you that

Just the had companies, some that question. centers hearing in suggested at perhaps of portion not could some of a apheresis of centers. sort have that to some done academic physicians in apheresis are and been off-site be and the that time some devoting future of the conjunction from more the We've with treatment maybe resources they over of in them of the academic

sort whether thoughts it's on to that that in Bristol Just with go you're of as considering get forward? something conjunction your and we wanted

William Baird

and performance you the time FDA, it's new as in a team's Look, as excited any ones bottleneck CAR-T the complex we a question the as we're -- with certainly for comments there. said, thanks John, chain created the solve from Yes. supply therapy.

the with the And able establish think side. on capacity so we've product the I suspension with that been amount drug of vector to approval consistently of

could as that that extent influence. apheresis the the beds bottlenecks And that collectively all about other about. thinking be can we're think You an are we start industry could things capacity. These the to to number of and clinic, be in that

to We the those We've patients for hospitals, there it's been time. broader and all quite work for centers decisions continue are many for are to who as number, access are availability it the we going to benefit But think make that's And -- at we're here ecosystem. to as going we're can some a playing be a And we time. made by ultimately et of role big some cetera. leading and can. that and academic part

you any that Anna, I know have additional thoughts if on one? don't

Anna Truppel-Hartman

Chip. you, Thank

that answered you think very well. I

Operator

no showing the over like further to Chip remarks. I'd closing time. hand at I'm back currently Baird questions call for And this to

William Baird

today. you all Thank for calling in

follow the questions, Have to the and growth a return the If day. everyone. have to continuing for great Abecma year. to to forward happy here up after you we're throughout get further look of Thanks, balance

Operator

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

now may disconnect.. You

2seventy bio (TSVT) 8 May 242024 Q1 Earnings call transcript