Collegium Pharmaceutical, Inc.

Greetings and welcome to the Collegium Pharmaceutical First Quarter 2025 Earnings Conference Call. At this time, all participants are in a listen-only mode. A question and answer session will follow the formal presentation. If anyone should require operator assistance during this conference call, please press star zero on your telephone keypad. Please note that this conference call is being recorded. I will now turn the call over to Ian Karp, Head of Investor Relations at Collegium. Thank you. You may begin.

Thanks, Maria, and welcome to Collegium Pharmaceuticals' first quarter earnings conference call. I'm joined today by Vikram Karnani, our President and Chief Executive Officer, Colleen Tupper, our Chief Financial Officer, and Scott Dreyer, our Chief Commercial Officer. Before we begin today's call, we want to remind participants that none of the information presented today is intended to be promotional and that any forward-looking statements made today are made pursuant to the safe harbor provisions of the Private Securities Litigation Reform Act of 1995. Your caution that such forward-looking statements involve risks and uncertainties, including and without limitation, the risk that we may not be able to successfully commercialize our products, that we may incur significant expense in doing so, and that we may not prevail in current or future litigation pertaining to our business. These risks and other risks of the company are detailed in the company's periodic reports filed with the SEC. Our future results may differ materially from our current expectations discussed today. Our earnings press release and this call will include discussions of certain non-GAAP information. You can find our press release, including relevant non-GAAP reconciliations, on our corporate website. And with that, I'll now turn the call over to our President and CEO, Vikram Karnani.

Thank you, Ian. Good afternoon, and thank you for joining the call. Today, we will discuss Collegium's first quarter 2025 financial performance and provide an update on the company's recent progress. As Collegium embarks on a new phase of growth, we remain committed to three very clear strategic priorities. First, to drive significant growth in Jordan APM. Second, to maximize the value of our paying portfolio. And third, to strategically deploy capital to further enhance shareholder value. I am pleased to report we have made significant progress on each of these three priorities in the first quarter. And importantly, These accomplishments bring us one step closer towards achieving our goal of building a leading diversified biopharmaceutical company. Collegium was founded with an ambition to become the leader in responsible pain management. And we've spent the past decade building a portfolio of differentiated responsible pain medicines. Today, we are the leader in responsible pain management. and have also expanded our vision further as we strive to improve the lives of people living with serious medical conditions beyond pain. In fact, we have already begun to diversify our business through the acquisition last year of an important medicine during APM for the treatment of ADHD. None of our past success would have been possible without the leadership of our founder, Mike Heffernan, who will be retiring as chairman of our board of directors in the coming weeks. I'd like to take this opportunity to formally thank Mike for his dedication to patients, his bold strategic vision, and for positioning the company for continued growth in 2025 and beyond. I'd also like to recognize our employees for the critical role that they play in our growth and success. Collegium's dedication to fostering a collaborative, transparent, and engaged culture was recently celebrated by our recognition in USA Today's top workplaces list for the second year in a row, as well as the Boston Business Journal's Best Places to Work. I would like to extend a big thank you to our entire team for their steadfast commitment to our mission and the patients we serve. During the first quarter, we delivered strong performance, including 23% year-over-year revenue growth and significant cash flow generation. As expected, we saw the largest growth come from our ADHD medicine journey. In our second full quarter of ownership, prescriptions grew 24% year over year and generated $28.5 million in net revenue. We continue to expect full year journey net revenue to be in excess of $135 million, representing at least 34% annual growth from 2024. Importantly, our business continues to be highly profitable and our ability to generate significant cash flows allows us to invest for the future. We recently completed the expansion of our journey sales force, adding approximately 55 new sales representatives, bringing the total ADHD sales force to about 180 reps. They are now fully trained, deployed, and focused on accelerating further prescription growth. In our pain portfolio, we generated another quarter of solid revenues with 149.2 million in sales, up 3% year over year. All three of our pain medicines generated single digit revenue growth year over year in line with our expectations. In addition to these achievements, we also made important additions to our leadership team and board of directors further positioning Collegium for continued success. We announced updates to our executive leadership team, welcoming David Dieter as Executive Vice President, General Counsel, Jane Gonneman as Executive Vice President, Strategy and Commercial Development, and Dean Patras as Chief People Officer. These proven industry leaders bring a strong track record of success and will be essential as we continue to grow and diversify our business. We also announce updates to our Board of Directors. Founder and Chairman Michael Heffernan and Board Member Gwen Mellencoff will retire from Collegium's Board at the Annual General Meeting on May 15, 2025, And Gino Santini, the board's lead independent director, has been nominated to become chairman. Dr. Carlos Paya will be nominated to the board and presented for shareholder approval at the AGM. These updates follow the recently announced appointment of Nancy Lurker to the board in February 2025 and reflect the board's ongoing focus on board refreshment and board succession planning. And finally, we announced Today, our board has authorized a $25 million accelerated share repurchase program, reinforcing our commitment to return value to shareholders. As we continue to grow our business, our strategy will remain focused on driving significant growth for Journey, maximizing our paying portfolio, and strategically deploying capital to create value for our shareholders. Journée is highly differentiated as the only stimulant ADHD medicine with convenient evening dosing. Journée provides symptom control upon awakening in the morning and throughout the day, limiting the need for an additional booster. Our targeted investments throughout 2025, including our expanded sales force and marketing efforts, position Journée for both near-term growth and significant momentum in 2026 and beyond. We also remain dedicated to maximizing and enhancing the durability of our pain portfolio to generate significant operating cash flows. As evidenced by our first quarter performance, including year-over-year revenue growth for Belbuca, Xtamsa ER, and the Nuscenta franchise, the pain portfolio continues to provide a strong financial foundation for the company. We are confident in the durability of our pain medicines and their ability to continue to drive cash generation. Our third priority is to strategically deploy our capital as we seek to further grow our business and create value for shareholders. We are focused on diversifying and expanding our portfolio of medicines through disciplined business development, rapidly paying down debt, and opportunistically repurchasing shares. In the first quarter, we generated 55.4 million in cash from operations, growing our cash position to nearly 200 million, which is up 35 million from year end, while also paying down an additional 16.1 million of debt. In terms of future business development, as we continue to assess potential external opportunities, we do so from a position of financial strength. This is especially important given the broader political and economic pressures occurring right now within the overall healthcare sector. Before I turn the call over to Scott to give a more detailed commercial update, I'd like also to provide a bit of context regarding the potential impact of tariff policies both here in the US and across the globe. We do not expect recently announced tariffs to impact Collegium's business in any material way for the foreseeable future. All of our medicines are primarily sourced and manufactured in the US. In addition, the overwhelming majority of our medicines are sold exclusively in the US. 2025 is shaping up to be an exciting year for Collegium. and we look forward to providing additional updates as the year progresses. With that, I will now turn it over to Scott.