Journey Medical Corporation

Ladies and gentlemen, thank you for standing by. Good afternoon and welcome to Journey Medical's first quarter 2025 financial results and corporate update conference call. At this time, all participants are in a listen-only mode. Should you need assistance, please signal a conference specialist by pressing the star key followed by zero. Participants of this call are advised that the audio of this conference call is being broadcast live over the internet and is also being recorded for playback purposes. A webcast replay of this call will be available approximately one hour after the end of the call for approximately 30 days. I would now like to turn the call over to Jacqueline Jaffe, the company's senior director of corporate operations. Please go ahead, Jacqueline.

Good afternoon, and thank you for participating in today's conference call. Joining me from Journey Medical's leadership team are Claude Morawi, co-founder, president, and chief executive officer, and Joseph Binesh, Chief Financial Officer. Joining for the Q&A portion of the call will be Ramzi Aloush, Chief Operating Officer and General Counsel, Dr. Srini Tadghidi, Vice President of Research and Development, and Louis Donati, Director of Market Access. During this call, management will be making forward-looking statements, including statements that address, among other things, Journey Medical's expectations for future performance, operational results, financial condition, and the receipt of regulatory approvals. Forward-looking statements involve risks and other factors that may cause actual results to differ materially from those statements. For more information about these risks, please refer to the risk factors described in Journey Medical's most recently filed periodic reports on Form 10-K and Form 10-Q, the Form 8-K files with the SEC today, and the company's press release that accompanies this call. particularly the cautionary statements in it. Today's conference call includes non-GAAP financial measures that Journey Medical believes can be useful in evaluating its performance. You should not consider this additional information in isolation or as a substitute for results prepared in accordance with GAAP. For reconciliation of this non-GAAP financial measure to net loss, its most directly comparable GAAP financial measure, please see the reconciliation table located in the company's earnings press release. The content of this call contains time-sensitive information that is accurate only as of today, Wednesday, May 14th, 2025. Except as required by law, Journey Medical disclaims any obligation to publicly update or revise any information to reflect events or circumstances that occur after this call. It is now my pleasure to turn the call over to Claude Morawi, Co-Founder, President, and Chief Executive Officer of Journey Medical.

Thank you, Jacqueline, and good afternoon to everyone on the call today. The first quarter of 2025 represented a major milestone for Journey Medical as we introduced Imrosi, our best-in-class oral rosacea treatment into the market. Today, I am pleased to report that our first quarter 2025 net product sales of $13.1 million included approximately $2 million of initial AMROSI revenue, and the launch is off to a great start. Additionally, our inline products continue to perform and remain contribution positive, providing a strong foundation as AMROSI gains market traction. We believe that the positive initial response that we are seeing with MROSI's market introduction gives us even more confidence that MROSI will become our flagship product and enable us to become sustainably EBITDA-positive later this year. Ahead of the launch, we showcased MROSI at the 2025 American Academy of Dermatology Annual Meeting, or the AAD, which attracts over 20,000 attendees including top dermatology KOLs and high-prescribing physicians, nurse practitioners, and physician assistants. We hosted a productive exhibit booth at the conference, educating attendees about Ambrosie's superior head-to-head Phase III results against aurasia, as well as the product's favorable safety and tolerability profiles. Attendees were especially drawn to before and after photos from our clinical trials, illustrating the efficacy of Ambrosie's unique 40 milligram modified release formulation, which is comprised of 10 milligram immediate release and 30 milligram extended release minocycline. We believe that the AAD meeting helped prime the market for the Ambrosie launch, showcasing the product's superior clinical profile and key benefits. On March 5th, we announced that the Phase III clinical trial results for MROSI in the treatment of rosacea were published in the Journal of the American Medical Association, or JAMA Dermatology. The publication featured data from our two Phase III clinical trials, which demonstrated statistical superiority of MROSI over aurasia and placebo for the two co-primary endpoints in the studies. IgA treatment success, and total lesion count reduction. The article also noted positive and statistically significant results on secondary endpoints, such as the reduction in erythema compared to placebo in both studies. JAMA dermatology has a high impact factor among dermatologists, and we are very pleased that our strong Phase III results were peer-reviewed and published in this prestigious journal. We also welcomed the March update from the National Rosacea Society, which revised its clinical treatment algorithms to include MROSI. These updated guidelines were distributed to approximately 7,500 dermatology professionals across the U.S. and marked an important step toward broad clinical adoption. We view this as a strong signal of confidence from the dermatology community and a catalyst for increased market uptake. As we discussed on our MROSI commercial launch plan conference call in February, we actively call on approximately 83 percent of dermatology offices that prescribe oral rosacea treatments. In addition, the vast majority of prescriptions written for oral rosacea treatments come from dermatology offices that already prescribe Journey medical products. This high reach and strong brand equity have accelerated MROSI's penetration, and we will expect this trend to continue. MROSI represents a strategic fit into our product portfolio. We are already demonstrating strong uptake based on the initial script volumes. As we work to generate strong brand awareness and positive prescription trends for Ambrosie, it is equally important to ensure that payer coverage is also expanding so that we can translate prescribing momentum into product sales. On our fourth quarter 2024 earnings call in March, we noted that approximately 20% of the 188 million lives in the commercial payer segment had access to MROSI through their health insurance plans. Today, I am pleased to report that approximately 30 percent of covered commercial insured lives now have access to MROSI. As we build demand, we are also making steady progress in securing market access as we recently contracted with one of the largest commercial GPOs to include access to Enrosi for the multi-millions of members through its customer health plans, which will begin July 1st. Additional payer agreements are expected in the coming months, further advancing our market access strategy. And with that, I will now turn the call over to our CFO, Joe Dinesh, to review our financial results for the first quarter.