Alkermes plc

Greetings and welcome to the Alchemy's third quarter 2024 financial results conference call. My name is Maria and I'll be your operator for today's call. All participant lines will be placed on mute to prevent background noise. If you should require operator assistance during the call, please press star zero from your telephone keypad. Please note this conference is being recorded. I will now turn the call over to Sandra Combs, Senior Vice President of Investor Relations and Corporate Affairs. Sandy, you may now begin.

Good morning. Welcome to the Alkermes PLC conference call to discuss our financial results and business update for the quarter ended September 30th, 2024. With me today are Richard Pops, our CEO, Todd Nichols, our chief commercial officer, and Blair Jackson, our chief operating officer. During today's call, we will be referencing slides. These slides, along with our press release, related financial tables, and reconciliations of the GAAP to non-GAAP financial measures that we'll discuss today are available on the investor section of Alkermes.com. We believe the non-GAAP financial measures, in conjunction with the GAAP results, are useful in understanding the ongoing economics of our business. Our discussions during this conference call will include forward-looking statements. Actual results could differ materially from these forward-looking statements. Please see slide two of the accompanying presentation, our press release issued this morning, and our most recent annual report filed with the SEC for important risk factors that could cause our actual results to differ materially from those expressed or implied in the forward-looking statements. We undertake no obligation to update or revise the information provided on this call or in the accompanying presentation as a result of new information or future results or developments. After our prepared remarks, we'll open the call for Q&A, and now I'd like to turn the call over to Todd for a review of the commercial portfolio.

Thank you, Sandy, and good morning, everyone. We generated strong growth of our proprietary product portfolio in the third quarter. During the quarter, our team drove aggregate net sales of $273 million, reflecting 18% year-to-year growth. With three quarters now complete, we are on track to achieve our previously announced financial expectations of proprietary net sales in excess of $1 billion in 2024. Starting with Vivitrol. Net sales in the third quarter were $113.7 million, representing strong year-over-year growth of 14%, driven by underlying demand and growth in the alcohol dependence indication. For the full year, we expect Vivitrol net sales towards the high end of our previously announced range of $410 to $430 million. Turning to the Aristotle product family, net sales in the third quarter were $84.7 million, During the quarter, we continue to see some softness in the overall schizophrenia long-acting antipsychotic market, which we expect will persist through the end of the year. With that in mind, we expect Aristotle net sales to be toward the lower end of our previously announced range of $340 to $360 million for the full year. For Lee Balvey, during the quarter, we generated net sales of $74.7 million. Total prescriptions of Lebolvi grew 5% sequentially and 37% year-over-year to approximately 57,500 during the quarter, reflecting strong underlying demand and continued expansion of prescriber breadth and depth. For the full year, we continue to expect Lebolvi net sales in the range of $275 to $295 million. Lebolvi is an important treatment option in the schizophrenia and bipolar I disorder space. differentiated by its efficacy and safety profile and long-term data. To support the long-term growth of Levalvi, we are focused on executing our strategy to optimize its access profile and maximize net sales and profitability. We are pleased with our progress this year. This past quarter, another important commercial payer enhanced access effective October 1st, and discussions with other key payers are ongoing. As we have previously discussed, As we expand commercial access, we expect both higher unit volume and fulfillment rates, as well as higher gross-to-nets. Over the course of next year, we expect gross-to-net adjustments will move into the mid-30s. As we enter 2025, we will be focused on competitive dynamics in the antipsychotic space. As we work to maximize the opportunities for both Le Balvie and Aristotle, our most effective investment is personal promotion via our field force. and we plan to increase our investment there to preserve a competitive share of voice. We are maintaining a sharp focus on executing our commercial strategy and believe we are well positioned to drive growth across our portfolio. We look forward to sharing our progress with you. With that, I will pass the call to Blair.