Corcept Therapeutics Incorporated

Good day and thank you for standing by. Welcome to the Corsair Therapeutics conference call. At this time, all participants are in a listen-only mode. After the speaker presentation, there will be a Q&A session. To ask a question during the session, you will need to press star 1 1 on your telephone. You will then hear an automated message advising your hand is raised. Please be advised that today's conference is being recorded. I would now like to hand the conference over to your speaker today, Adubak Mukherjee, CFO. Please go ahead.

Good afternoon, and thank you for joining us. I'm Adubak Mukherjee, Corset's Chief Financial Officer. Today, we issued a press release announcing our financial results for the second quarter and providing a corporate update. The copy is available at corset.com. Our complete financial results will be available when we file our Form 10-Q with the SEC. Today's call is being recorded. A replay will be available at the investor's past events tab of our website. Statements during this call, other than statements of historical fact, are forward-looking statements based on our plans and expectations that are subject to risk and uncertainties, which might cause actual results to differ materially from those such statements express or imply. These forward-looking statements are described in today's press release, and the risks and uncertainties that may affect them are described in the press release and in our annual report on Form 10-K and our quarterly reports on Form 10-Q. Please refer to those documents for additional information. We disclaim any intention or duty to update forward-looking statements. Our revenue in the second quarter was $103.4 million, an increase of 13% compared to the second quarter of last year. We expect our revenue growth to continue and have reiterated our 2022 revenue guidance of $400 to $430 million. Net income was $27.4 million, or 24 cents per common share, in the second quarter. Our cash and investments increased $13.9 million in the second quarter to $382 million at June 30th. The increase in cash was $13.5 million less than it might have been due to a recent change in federal tax law. Previously, R&D expenses could be deducted from income for the purposes of calculating federal tax in the year in which they were incurred. Beginning this year, R&D expenses must be amortized over five years, which means that the tax benefit of each year's R&D spending, while unchanged in the aggregate, will now be recognized in five equal annual installments. Our cash balance of June 30th reflects the impact of this change for the first half of the year. If Congress restores the immediate deductibility of R&D spending, we will receive a tax refund. I will now turn the call over to Charlie Robb, our Chief Business Officer, provide an update on our litigation with generic manufacturers Teva and Hikma Pharmaceuticals. Charlie?

Thanks, Padamak. There's a little report this quarter. As many of you know, Teva is seeking to market a generic version of Coraline in violation of our patents. In March 2018, we sued Teva in federal district court. That lawsuit is still underway, although currently all is quiet. Over a year ago, we filed for summary judgment on Teva's infringement of our 214 patent. As expected, Teva responded by filing its own summary judgment motion. Summary judgment is a procedure whereby courts decide a case without holding a trial. The court has not responded to these motions. Because TEVA challenged the validity of our 214 patent before the patent trial and appeals board in the procedure known as a post-grant review, or PGR, and lost, it can no longer challenge the 214 patent's validity in district court. TEVA's only defense to our summary judgment motion is that its proposed product would not infringe a position we believe has no legal or factual support. The court decides the pending summary judgment motions in our favor. Teva would be barred from marketing generic corlum until 2037, when the 214 patent expires. The court rules in Teva's favor, we will proceed to trial, most probably sometime next year. There is no timetable for the summary judgment motion ruling, no trial date, and no schedule for any trial-related activities. In March 2021, we sued another ANDA filer, HICMA Pharmaceuticals in the same federal district court that is hearing our case against Teva. The court originally set a fact discovery deadline on July 1st of this year, although that date has been vacated. No deadlines are currently scheduled for this case. With respect to both Teva and HICMA, we are confident in the strength of our legal position. I'll now turn the call over to Dr. Joseph Belanoff, our Chief Executive Officer. Joe?