Exelixis, Inc.

Q4 2021 Earnings Conference Call


spk_0: the day ladies and gentlemen and welcome to the extra lexus first quarter two thousand and twenty one financial results conference call my name is daphne and i'll be your operator for today as a reminder this call is being recorded for replay purposes i would now like to turn the call over to your whole for today this felt susan hubbard executive vice president of public affairs and investor relations please proceed
spk_1: thank you doubt me and thank you all for joining us for the at the like that first quarter two thousand and twenty one finance a result conference call joining me on today color mike murphy or president and ceo press center or chief financial officer he day haley or executive vice president of commercial against the swab or chief medical officer who together wilbert you are corporate finance or commercial and development program for the first quarter two thousand and twenty one and in march thirty first two thousand twenty one peter lamb or chief scientific officer it also here and will join us for the question and answer session following are prepared or mark during the call today we will refer to financial measures not calculated according to generally accepted accounting principles please refer to date press release which is posted on her website for an explanation of our reason for using such non gaap it as well as table driving these measures from our gap result during the course of this presentation will be making forward looking statements regarding future events and the future performance of the company this include statements about possible developments regarding discovery product development regulatory commercial financial amputated matter actual events or results could of course differ materially we refer you to the doctor let's we file from time to time with the fcc which under the heading risk factors identify important factors that could cause actual results to differ materially from those expressed by the company verbally and in writing today including without limitation read the most certainly is related to product commercials excel market competition regulatory be you and approval prostitute and up in clinical trials compliance with a clickable regulatory requirements are dependent on collaboration partners and the level of costs associated discovery product development business development and commercialization activity and without i will turn the call of and like or i thank you susan and thanks to everyone for joy
spk_2: he has on the call today at for to started twenty twenty one with a strong first quarter where we saw significant revenue growth from the cabo new go for sly rcc wash and put their highest quarterly that product revenue since the initial cobbled medics approval and twenty six feet please see our press release that was issued and our go for our first quarter financial results and an extensive list of key corporate accomplishments we'll keep the they prepared remarks short so we can get to your important questions obviously we're thrilled with the early performance of the cobbled me will launch and first my rc theme which we believe reflects the strength and breadth of the efficacy tolerability and quality of life data from the checkmate ninety or trial we continue to double mention with a combined of thirty five percent growth the revenue over the last two quarters and anticipate a near doubling of kabul are says he revenues by the end of twenty twenty two when we expect to exit with a one point five billion dollar analyze run written in the us if our launched assumptions and trajectory continue on its
spk_3: current course
spk_2: also in the first quarter we advanced key twenty twenty one discovery developments and regulatory activities we remain on track to report top line results for the cabo at tesco double and first line htc from cosmic three twelve and in met a static see rpc from cosmic oh to one covert sex and expect the file up to three new as and is for cabo across these indications pending positive results along with the filing for cosmic three eleven our early clinical pipeline also advanced nicely in accordance with significant progress in the xl or nine to program initiation of the phase one clinical trial of exile one or two or novelty the kids seven hundred and the i and the filing for x be old to which was accepted by the empty in april our discovery and preclinical teams continue to make important progress towards the optimization and characterization of new did on a candidates for both small molecule an easy programs which we believe will provide the foundation for new clinical candidates in the near future a culture by same as the x what this team is of the ground running and twenty twenty one and as build the on the urgency and focus from our recent progress to maximize our chance for success across the range of miles those ahead of us i'm incredibly proud to say that we're coming out of college traveler than ever as the driver business forward to help cancer patients live longer and recover stronger so and that of heard the call over the crystal provided update on our first quarter twenty twenty one financial results cause like fight for the first quarter twenty twenty one the company reported total revenues of two hundred and seventy point two million dollars total revenues for the quarter including couples if it the franchise never product revenues of two hundred and twenty seven
spk_4: point two million dollars their product revenue in the first quarter twenty twenty one were impacted by higher demand for cover medics and a decrease in her sillerman towards how many total inventory decreased by roughly three hundred units and when combined with the higher demand resulted in a decrease in our employees on him perfectly three point one weeks on him in the board or twenty twenty two broccoli two point three weeks on in the first or it when it's we won total revenues of weekly forty three million dollars in collaboration revenues from it's implicated and genetic at all operating expenses for the first quarter twenty twenty one where two hundred and seventy four point eight million dollars compared to hundred forty five point eight million dollars in the fourth quarter twenty twenty at the expense of the primary driver the increase in total average expenses which was primarily boy related expenses including an increase with that bit uptick expense also impacting or to elaborate expenses for the first quarter twenty twenty one was badly twenty four million dollars and licensing up front and most of these benefit from income taxes for the first or twenty twenty one with three point six million dollars compared with benefit of three hundred thousand dollars in the point or point twenty
spk_3: the company forty gap than income at one point six million dollars or zero cents per share on a pulley do to basis for the first or twenty twenty one the company also reported nine get net income of twenty eight point five million dollars or nine cents per share unavoidable basis
spk_4: non gaap net income exclude the impact of roughly twenty six point nine million dollars of stock based compensation extent that of the related income tax effect cash investments for the quarter ended march thirty one point when one was abruptly one point six billion dollars and finally thirty four financial times for the full year twenty twenty one where maintain the by into guidance that we provided earlier this year and with that often the bolo repeating
spk_2: thank you chris today i will discuss the couple medic business with regards to que one twenty twenty one particularly in the context of the first approval for cosmetics a combination with an immune checkpoint either as you know on january twenty second cobble medics received at the approval for use in first line rcc in combination with va the team was fully prepared to hit the ground sprinting and we're pleased with the execution of the launch which result is resulting in rapid importantly broad uptake of cabo maddox have a medic so the only tk i q one among the cabo medics in light of sutent and vote tree it or see as the market basket to grow and are ex market share increasing from thirty two percent a queue for to thirty six percent according to a cue the a data importantly cobble medics and are ex volume grew thirty one percent to one twenty twenty one over que for twenty twenty driven primarily by uptake of the combination of cabo and neocon the first line setting
spk_5: additionally cobble medics trx volume increased by twenty one percent a clue one relative to queue for twenty twenty
spk_2: we are also cleaved adoption was broad across a number of key segments with strong uptake and favorable intermediate and poor critical risk groups as the ninety or data is resonating with physicians broadly as a think about patients poor appropriate for the regiment or market research shows the couple met of the combination with neo is taking share from all first line competitors already at this early stage of the watch beyond these initial metrics we won't be providing other details for competitive reasons specifically market share by line of therapy which i'm sure you can appreciate
spk_5: uptick in the academic segment has been rapid and we're seeing strong adoption in the community setting as well
spk_2: we believe there is significant opportunity for continued growth in new patient market share particularly in the community setting recently we have begun to see many community accounts begin to reopen access to industry representatives given improving trends in the pandemic
spk_5: well this is variable depending on the account in geography
spk_2: our belief is that this will continue to improve facilitation of education in discussions of the ninety our data which prescribers by compelling it important for their patience with rcc who you could yet to receive a therapy this trend coupled with our comprehensive launch plan for execution a both virtual and in person tactics should continue to drive new patient market share if the community setting in addition to the brought up take a problematic plus nouveau in the marketplace perceptions of the ninety our data have been very positive there's been a rapid increase in unaided awareness of the approval of this combination as well as favorable impression of the efficacy of the combination of based on the and point of o s pfs in our across keys sub groups including i am dc risk categories importantly the safety profile of the combination driven by the optimized cabo combination starting dose of forty milligrams daily is viewed favorably by prescribers and is improving the overall perceptions of safety and tolerability couple max
spk_5: physicians also view the quality of life benefit demonstrated ninety are is differentiating and important for their patients for maybe on first line therapy for extended length of time
spk_2: the excellence of team is continuing strong and focus execution on the launch his efforts are aided by the recently published cup of it and updated as good you including presentation focused on quality of life
spk_4: furthermore the publication of ninety are in the new england journal of medicine on march third
spk_2: and the recent update of the ncc and guidelines on april twenty first which position cabazon that impossible amount is the only at des improved preferred category one regiment across all political risk groups should continue to support the brought up take of the combination the strong to one performance a problematic launched trajectory position the top of that that a franchise to continue significant revenue growth and twenty twenty one and beyond
spk_5: we're thrilled with the opportunity that ninety yard provide excellent was looking forward as we continue to build upon the foundation in rcc workable medics is the number one prescribe tk i beyond ninety are we are are excuse me we're already working on plans to optimize potential future access of the couples anthony develop the programs it moves forward broadly across multiple indications and with different combination partners we look forward to building on this momentum and rcc hcc dtc
spk_2: and other potential future indications such as prostate long as or development program for evaluating pub in combination with immune checkpoint inhibitors advances our team remains highly focused and motivated to compete every day to bring the benefit of couple next to all eligible patients as we continue to build the franchise and maximize it's critical and commercial potential
spk_5: and with that i will turn the call every gisela
spk_6: thank you peter and pleased to provide an update on the development programs twenty twenty one is certainly up to a great start for our covenant and nip regulatory development program as well as and plug our growing clinical python programs including excel or to excel finally to and xp o two starting with the convention of regulatory progress after i january twenty twenty one approval by asking for the confident enough in the volume a combination for the first nine treatment of patients with advanced rcc the combination achieved a positive future p opinion and the in you in february and quickly the after in late march the european commission approved the combination of for the first bank treatment of rcc patients in the new after having reported exciting presentations and advanced darcy see it as go to you forgot to mention it in combination with new volume up from checkmate nine yards as well as a single age and covenant in a result including of from the puppet steady we are now looking forward to it to the upcoming i spoke on friends with further data presentations and based on the technique nine yards steady and also single agent results and crupnick three eleven our faith three a try while and differentiate a thyroid cancer turning to an update on our ongoing program for cover sentiment we have continued our execution of the cosmic or two one three eleven three twelve and three thirteen studies and are on track for milestones on the child's as previously shared including a three potential and new covenant in a as and the signings i've provided brief summary on t highlights for the program for cosmic three eleven and radio i and refractory ttc patients who have received fire budgets are targeted therapy we working towards and as and the a submission based on the strong results in a patient population with unmet medical needs as announced previously the trial met it's primary and point of progression priest a viable which covers and to the highly it significantly improving a progression free survival versus placebo and ft a granted a break through therapy designation for the indication a during the quarter based on these results we focused on an incendiary filing that the expect to complete and the second quarter cosmic three twelve of a free trial of covered in a plaza to the lead them up and versus around the depth of for the first like treatment of six months htc completed it cool and the global steady in mid twenty twenty and we anticipate a top line results of the event driven tss analysis and the concurrent in terminology it's for about survival in the second quarter of twenty twenty one and if warranted by the data and out we are expecting and to file and s and the a in the fourth quarter of twenty twenty one poor cosmic oh to one they look forward to the final analysis of for objective response rate by the independent radiology committee of covert six an anesthetic see r p c and make it twenty twenty one and a plan of for regular to a submission of the results and state are providing and that's for cosmic three thirteen comparing the triplets of covers and you have any volume of and it'll him up versus new volume up and in love and first line rcc patients and intermediate a poor risk factor i am d c we completed a patient involvement in late march and we're now looking forward to top line results of the event driven analyses for the study and twenty eight twenty two for the ongoing contact to pay three program under a collaboration the throws we are actively involving patients globally across all three phase three trials and checkpoint inhibited pre treated non tomato lung cancer and rcc patients and in novel come on ah therapy pre treated year pc patients so in summary the covers and to the program continues to make significant progress and we remain on track of for data have read out in the next couple of month as well as a data provided potential supplemental and the a and are now trying to the progress on our excel on a to program and our a new id a phase one programs for excell one or two and xp o two first excel on on to i like next generation and much axel more and major arteries and kind of hybrid up with a shorter pharmacokinetic half life is advancing and face one and we are in the midst of evaluating the combination with it's usually them up in a parallel to each one be part of the steady importantly we have recently entered into a clinical collaboration agreement with merck and kg eight under which we will evaluate excel on i joined combination with a valium up and various you're a feeling of sense of course including and momentum and setting after prior first line platinum containing chemotherapy as well as in the second line setting in patients who have failed prior checkpoint inhibitor containing therapy and further they're actively discussing additional combination approaches the various checkpoint inhabitants and agent targeting novel mechanisms clinically and clinic thing to continue to define opportunities for this important development program we have a deep and solid foundation in a terrorist incarnate him but it and extensive experience with covers onto it and see many opportunities to build on and expand and under therapeutic settings as we plan for potential to my indications and line to therapy for excel or nine two combinations given it's extensive experience review the xl on a to development risk profile as potentially being greatly improved versus more typical early stage programs so with that we're driving our excel on a tube development plan for would that includes a broad and comprehensive programs across various to my indications lines of therapy and setting have broad therapeutic interest we intend to pursue the comprehensive evaluation of excel on i to in combination with various establish checkpoint inhibitors and potential new combinations including promising new checkpoint inhibited tablets as well as or the combination partners but the go to potentially start late stage pivoted trials as soon as twenty twenty one we're focusing on advancing our fates one be dogs ranging and combination of a checkpoint inhibitors rapidly to move into expansion course it made support data driven late stage development option to cry the variety of too much i'd and secondly we are excited to report progress with our latest the id candidates and twenty twenty one for xl one or two or three decades seven inhibitor we have already started the phase one trial and the colbert guilds escalation phase is ongoing and also we have recently announced excuse acceptance of the xp o m i n d for a biologic product candidate xp or to an antibody drug conjugate or eighty see targeting tissue factor has been rationally designed it said that the by end in sight of the antibody does not interfere with the coagulation cascade based on this design and the available preclinical profile be believe that xp oh two may have the potential for it best in the agency target and tissue factor the looking forward to it to progress on the fades ones that it's for both compounds the trials have been defined as efficient jos escalation trials with disease specific expansion ports to allow for early assessment of initial and teacher meant to the day now look forward to updating you on progress are now clinical pipeline in the future and with that of hand to call back to mike
spk_2: our identity as well as you heard them a call today we're off to a great start twenty twenty one just last week we mark the fifth anniversary of the first regulatory approval and launch of couple medics in the us that milestone based on best in class data for cabo in the face to a meteor trial and second one rcc select forces on the path to becoming the company it is today over the last five years will expand the opportunity for covers anthony to treat patients with thyroid we you know and liver cancer and of health tens of thousands of patients in the us in a similar number globally with our partners epson and cicada killer i'm so excited about the potential of our work including the ongoing publish them for the to little trials the growing political did on the program for xl online to and are diverse and rapidly maturing early stage pipeline as we advance in our mission the help cancer patients live longer to recover stronger a call today by thanking everyone an excellent this for the effort and the first quarter and their individual and collective commitments that occasion and resilience and your what we're obviously extremely challenging conditions during it as i mentioned in my intro were at putting a global pandemic stronger than when it started for two months ago and that's a true testament to the quality of the people we have working day in and day out as we discovered develop and commercialize the next generation of our medicines for cancer patients in need of better and more effective therapies below fold up there you want our partners in the future and thank you for your continued support an interest in it for lexus were happy that when the call for questions and daphne please proceed
spk_7: thank you
spk_0: at this time as he would like to ask a question as star alibi the number one on your telephone keep if he would like to withdraw your question
spk_8: the pound key
spk_0: the stand by while we compiled that you in a western
spk_9: yeah first question comes from the line of
spk_10: as the guy
spk_0: go windy with to us securities
spk_9: please proceed
spk_11: a guy than nothing thanks for getting my name almost right there because fun all of a that didn't fit to get and guts and the cotton and the and that than a strong cabo rebound that he saw am pt i was what do ya know you want to get too much detail as want to could maybe ah share with this which of the first line competitors you feel that have a new book maybe get more share than and with the others
spk_5: the and then i got a couple of questions for t
spk_2: yeah thanks for the yeah the question of the guy and yet we're really pleased with the beginnings of the launch you know what a what i guess i'll say is where were his i met your my prepared remarks i'm extremely pleased with the the rapid brought up take across not only competitive segment segments but a political risk categories favorable intermediate poor academic and community so we'll go into a lot more detail on with respect to that the numbers but what i will say is as we own as we look at the quarter were approved as i mentioned you're late january so we basically had to for months on the market
spk_11: february march and if we look at our new patient market share in those two months from we're we're very pleased that we see i'm a market share in the mid teens at that point and you know vectoring it a good direction exiting the quarter so so we're very pleased with that right and deeper of think about this episode a month ago team has already declared the some of the tumor retire that you have outlined in a plan for xp or two but not all of them
spk_6: you tell us based on disaffect expression and the higher dose thing that you can push with xp or to where do you think you might have an edge over to set him up thanks check thank you for the christian and and think am as i mentioned at least see opportunities for xp or two and it's rational design and that age and the but he did not find a way that they could interfere with the coagulation kids aid with should hopefully an amp as trans am with for and to a favorable safety profile and number one number two and tissue factory's pretty broadly express our and we intend to evaluate the compound yeah across and variety of too much hype and assessing of course the expression profiles are in the patient population
spk_12: and attracted program pool with accordingly as we as collected clinical data still think every we have a broad opportunity and intend to pursue it aggressively
spk_4: they are africa maybe maybe maybe peter can provide some color commentary here to yeah just i just the an add on to like third to do flu said it in a different in addition to the not live at home for the antibody which have the advantages she outlined oh it does contain the come next generation will
spk_13: had linker construct which we believe have some advantages over the yeah
spk_4: a first generation contract for the his one that that zine works of has advanced than developed and then from up
spk_12: expressing point of view a good for thirty two fact philly broadly express of if will a clinical proof of concept of there is clinical proof of concept with cervical cancer
spk_11: but the on that we're to presented prieto iconic with any preclinical data late last year and pancreatic i think head neck gastric cancer and were several of us silly two months that that we haven't explored preclinical to to the opportunities abroad
spk_0: right thanks for that guys her next question comes from the line as jason
spk_14: gary with bank of america a guy thanks for taking my question i'm one just the housekeeping so when you do update cosmic three one two i'm wondering if we're actually going to get
spk_2: hazard ratios like we did with the nine he are update i believe that night they are there was a and issue of materiality and need disclosed that because it was so important business whereas i wonder what she see if that's the same situation and then second question just honored and the second paragraph four challenge to cabo from tether a
spk_14: like their certifying on some of the later expiring patents our formulation and that the the use of these that patents that are been disputed the m s and case so just wondering if if if the reason why is because you chose not to enforce those patents or
spk_2: and we can i ask is that more ideas getting added to the and that's and case and so just one i see like the streets assuming that it's products can go off of the questions by twenty six eggs yeah thanks for the questions is my golf i'll try to address both of them so on the first question about them the cosmic for one to data the press release our when that finally hits popular results yet again we are our practice is to normally put in some level of data and i wouldn't want to speculate on what that would be today but some level of data to provide a framework for the relative activity because it say it's so material to us i would argue that we twelve his family as important as a as many are is relative to the size of that market them via the opportunity there in terms of a relatively nations opportunity compared to where we know is currently stuff so either was certainly yeah i think continue the practice with the details will be the when we get that data and the understand what we've got okay i in terms of the a second and up from cover i think you think you covered all the facts pretty well self again as we mentioned in our filings in our press release that second and that i came in now we some way that that part that four letter again they're only challenging three or he book with the patents that expire in twenty thirty one or later so this is this is relatively new news to us so i certainly wouldn't want to speculate on what they're thinking on what they're doing or how hardware thinking about it ourselves or how we might proceed yeah it's it's something that we're certainly not surprised by in a shit man reform as we said before in a we're we expect to be set of challenges to come in when you've got great compounds with great data and certainly growing revenues and the you know we have strong didn't strike me as really
spk_15: great team who are pursuing this very very aggressively and week have every intention to continue to defend our patna state vigorously to all the legal challenge at at tells that we've got and then we will provide updates as necessary
spk_0: and give
spk_6: and eight them next question comes from the line as a to laurie with wolf research
spk_5: hey this is amy me on facts i think the like they can hear question i'm the first question on rt see i think like your current guide and baking and around thirteen month and durability on treatment on do you see any sort of upside to that number click pff get better with on follow up and how will cosmic three one three and fact that i'm and then i have another one and atp ah yeah hi amy this is pj thanks for the question you don't i won't comment you know specifically on how we are are even thinking about modeling duration but i think if you look at the the pfs is in the study
spk_2: you know certainly very strong and patients
spk_5: in his clinical studies of of the combinations and certainly the ninety our study or or on therapy for your and a half for potentially longer it and i think it's important to remember that you know the data as he studies i'm maturing it presented sometimes the it's not the media duration of the meaner average duration
spk_16: continue to increase over time but are out of the that that but we're certainly ah
spk_17: the very optimistic about the opportunity for revenue growth as i mentioned in my aren't prepared remarks and i think to note is that early days for so launch so certainly with poor to i'm getting more and more patients on the regiment and then you know refills
spk_6: the reflecting patients benefiting from that for of for some public come
spk_2: great think the much for the color and then on h d c ah given the we're not seeing much of the differentiation on safety and efficacy with the early cabling evil common condo data from check made an a for a what's the internal expectation on how hot make three one key will stack up against in brave or the fellow to and what would you consider as competitive beta internally yeah it might think so the question that and i think it's really challenging to do any kind across our comparisons between a global pivotal trial the one with two different molecules compared to where we had with overall which had know a double in a triplet that were different from brave ah natalie that both you know the it was smaller than it was really not randomized to control had a mix of first and second one patients i wouldn't drop i wouldn't draw the same conclusions you are around the around how we're how similar that data might be for all kinds a reason self and look we're we're very excited about the opportunity ah yes certainly when you look at on how we how we designed and a roles or three twelve relative to embrace populations are very similar obviously a puzzle is that
spk_17: is the same in both other of they're relatively contemporaneous trials a lot of similar sites and investigators the only difference is that is kabul versus versus bevacizumab and in a you can now look at the single agent activity for those two agents the cross various tumor twice in and they come to your own conclusions about how cabo might for
spk_0: out their relative to bend self i'm stuff and the day you gotta run the trial and you know guy get the data with the p values minute and the has a ratios and that you know will go off that to or i'd really judge our conclusions as we go forward thank you so much thank you
spk_18: and it's costing comes from the line as peter last and barclays
spk_6: oh hey or that as well read on for our for peter hart answers to questions have side quests to han har cosmical to one on an hour you're still waiting to do the female officer books on one can censor see the day than what what are you looking for or harm in that data set to sort of mountain support approval but how can provide on couple of offering and pasa cancer and the hall okay so what am i going to take that one sure think you think so the question yeah i think of regarding cosmic got to find we i certainly very pleased with the progress made in this study it's a large days when the try i've been importing really well and they are excited about the data and and and as we look at the gate and been seeing a very it's core it's mature very nicely and out we would expect to begin preventing results across at mary's cohorts and and they did this year and neck and and sell and with regards to moving forward and then and he actually see an like lightyear them mentioned earlier the call and nothing and to atlanta can be be i see the independent radiology review for calling six and a net and the next step few weeks and couple months and the media timeframe and and am as yeah and live out dying of course an earlier on as well there's a lot going on in the next couple of months out with and the to and and sending a finding for a carton of three eleven and and also a be an h d c and top line weed out in the second quarter as well
spk_18: and this year pt tough negotiator for cool had sixteen and inexperienced been censored near not as important milestones coming up and died and they would expect a to of course announce important data as we have them
spk_6: and obtain them and at that goes for this pulled my as well and then and look forward to presenting a daytime and scientific conferences and peer reviewed and turn off as well that's pretty this will help books are just on your palm pixel nine to one can see data from the face will be studies yeah and it's xl on actually making good progress as i mentioned earlier as well day and and fades my new study and page one be evaluation it's moving along and in general i think and as i mentioned awesome at a bit earlier and with building here on a lot of exp syrians and that successful development of confidence in it and with that as we feel that the program as importantly a d wrist and with that experience we're making progress in the dose escalation for the my age and except when i'm to and the combination the checkpoint inhibited that's easily the most notably and an edgy we are expecting our have expected am from al cabo experience were beginning to see preliminary promising and teaching activity in heavily pre treated phase one patients and and we also have an already presented the pharmacokinetic data the and we seen the safety profile that is consistent with our expectation and knowledge of the pathway the cell with that thing and the i and it's very very focused on a driving the program for which and are introducing for that combinations and as i mentioned on the call little bit earlier
spk_18: and and we certainly also and expect it to drive for with the development program towards and charge of people studies in twenty twenty one data for providing so and certainly with that way also will
spk_1: present presented data on an excel on to alone or in combination when the time comes fund our laser focused on advancing the development program and as the primary priority
spk_0: good thank you so much sigma questions or thank you
spk_14: and next question comes from the line as
spk_18: ah see with william a great day for taking like question then congratulations on that flow out cooler
spk_14: that to for pj
spk_5: well as a thrall iconic a i'll i either for two decades cop a lot so i am interested in knowing in a city on the afro he mentioned that t h e k i'd like a glue ninety percent on a you number united about that of the fucking life here to a the he has his captaincy yeah the community
spk_19: can you provide a with and cometary outlook you're feeling relative to having a diagnosis way they can pool and where we are indeed and then it
spk_5: yeah davis' this thanks for the question i'm certainly happy to provide a little more commentary there are you mentioned we did see in que one
spk_20: according to the the qb a data that and our exes for the out for the market basket as we define it c i s the
spk_3: grew by nineteen percent
spk_5: cobble medics
spk_2: for an rx group thirty one percent quarter over quarter so very pleased with that as i mentioned we were the only product in that market basket to to grow share so
spk_5: excited with regards to that and as we mentioned was driven by the yeah the combination launch so that's great i do think you know with regards to kind of what we're seeing and hearing
spk_4: anecdotally from our customers
spk_21: is you know things are obviously did with reverse the pandemic it is regional it's buried and things are dynamic and they do change but i'm you know generally we see
spk_5: things getting back you know to to some semblance of normalcy and yeah i would expect that as we get done in a deeper into the year that will will to continue it certainly helping us with access to our customers and and an education of them and you know we're hearing from them that things are limits your kind of
spk_14: slowly getting back more to normal but i think there's still some are you know some opportunity for that to continue to improve broccoli
spk_5: look like either help of a few all also for you know regarding the the a add some last last week any potential implications for the second line atp like a dynamic
spk_4: that panel it's recommended pulling up the though the painting he treated people in that day
spk_5: yeah thanks for the question again a ideas pj you know certainly something were tracking a very closely with regards to all of those of you know obviously won't speculate on what ft a will do their but what i would say with regards to
spk_2: you know up evil or even generally monotherapy in hc series of which is primarily in that second line setting as we talk about for some time now the tells about you know being approved for about a year now i'm and building kind of at first line combination market
spk_5: becoming standard of care their what we've seen as that shift of of i iowa utilization from second line on of therapy going to the first line while that has completed own that that shift is kind of already well underway and happening
spk_2: which opens up more room for up singularity care utilization in the second lines i think you know anything
spk_14: depending on a help but how that plays out or the canada coverage their just you might potentially accelerate that a little bit but i think the market shifting i'm as as and obviously we'll see how three one two runs out soon and and you know the be more potential for that market to to dynamically change and a united importantly there in hd if we're seeing and and expect to continue see more patients coming into that so to speak first line funnel with more and more of you know therapeutic options that are in and be helpful for patients available
spk_2: pj on and maybe one and it's just a question for us for michael peter
spk_12: i'll just wondering send can at flexes leather kids and she foundation in canada newly gained capability and biologic says think outside the box so basically yeah and it's additional framework of like an antibody link payload catch up for eighty feet
spk_13: ah thanks andy that that the great question for peter sign pass over to him
spk_2: and then he a great question period and going to i think your view of it is essentially correct if you look at the history of of eighty feet who depend what twenty years of of atp discovery and development at this point or the vast majority of the payload the people have used to fallen into your goalie
spk_4: three or four classes of mechanism of action and is predominately been microtubule ah destabilizing agents of one kind or another or a dna damaging five agents to voice alright point five inhibited so i think is you know
spk_12: what an interest in trying to develop northern pilot starting to feel a little bit of the number of folks working on a new stimulatory payload the various causes the as you point out with our kind of twenty plus year history and now a medicinal chemistry here an escaped or notice that this might be unattractive area to add to explore further
spk_4: i'm a lot of opportunity than the good dovetail very well with the collaboration that we establish late last year with with and been catalan to access their site specific or conjugation technologies
spk_12: and young young efforts that we have to assemble it kind of with until you're a library of
spk_22: not antibodies and binders that would be attract against attractive target for eighty thief either through are in ventura collaboration
spk_23: oh yeah opportunistically through the collaborative the only eat licenses we did with that with we feeling of fear and and this week with with with mmm from by question state faith they kinda are on that point and them look for to and updating everyone broadly on on what we're doing and eighty feet going forward
spk_0: thank you for life here
spk_14: you're welcome any thank you the next question comes on the line of your on wherever with colin
spk_24: hey this is gave on for your around thanks for taking my question on his a follow up to one of the prettiness questions or paavo guys are you i've seen in great progress caught on the corner and first line or renal cell could you share what fraction of all and our exes are going to cabo it in que on compared to queue for arm and can what
spk_2: little and what's he that you're getting from positions are payers as to why they may be sticking with other one option for fine options besides cabal depot in certain cases as a poster on you know embracing any are pretty much across the board thank you
spk_4: i yeah thanks for the question gave this is a pj's so i get the first of our the the numbers in the data you know what we hadn't cure for it was an an rx market share the market basket of thirty two percent and data into one the interacts market share
spk_5: for couple maddox was thirty six percent and the volume growth for problematic
spk_25: he won over que for was thirty one percent and i get the way that were headed think about that is we're really pleased with the that start there aren't particularly since our our approval
spk_26: came in late january we're seeing actually are you mentioned payers were saying
spk_5: really minimal push back on a pair side the data so sort of them clear cut that's great sourcing great
spk_27: you know adoption and policy a broadly from a pair perspective and i think you know the physician our perceptions i mention of the data really good arm and you know really pleased with that level of education i think we have continued opportunity to continue to educate
spk_0: really in the community particular is things open up more with regards to i'm you know optimism around the pandemic and i think i'm the more we get to get in front of of physicians with our database what we're seeing will continue to make progress they're certainly optimistic
spk_2: great thinking the next question comes from the line as michael's me with guggenheim hey guys thanks for taking my questions congrats on their great for a choir am i actually had a couple of pipeline questions as while first perhaps on actual own nine to mechanistic question yourself it's it's pretty obvious that the a half life of this mike your relatives to callum medics well probably make it easier to dallas and en masse that toxicity profile i'm could you just help us understand how that mechanistically could translate into a potential improved an efficacy as had relatives to experience with cable medics and then i had a second question yeah why don't we are thanks michael my
spk_4: when i will let peter take a crack at that and maybe he's like can provide some color commentary to type your yeah for the get down to the gold nine to as as he could be stated with with one to maintain the overall target profile of of covered that of it
spk_28: getting the same way to targets and in pretty much the same ratios so that we could build off the extensive experience that we have with with amazon to have a clinically with of thing laden and in combination but but to reduce the awfully so
spk_13: make them appropriate chemical modification thing that doing just laugh and happily that as
spk_2: played out well in the clinic
spk_13: the a with you stated his is to provide a a a way to manage to dosing and site management of side effects
spk_2: as fast idly lose possible and short half life certainly helps you do that too i was a a rule any time you can
spk_6: you optimize your your dose and dosing friend of the your and you maximize the chance of providing them with that with clinical benefit great thank you want any at a faster he had an agree with everything peters said and and plastic to add of course it's it's that continued del selling and and as patients benefit to maintain go thing the and for them dead duration as sad as long as patients device benefit the other thing to offer perhaps in addition as one additional thought is am of course combinability and and their i think and thousand those
spk_14: ah adjustment was a short a half life of comes in handy that is some that's another consideration
spk_2: blake thing than just one on our at so while to that we've noticed a lot more answers now and novel cell cycle targets for example such as as he decay to are we won and and others are pfft three cetera just reminder of worse cd the case
spk_12: allen says and here and whether that's a target that is expect to be broadly i feel or whether this is with the the inhibition of to be code seven would be awesome
spk_2: in a preferentially pursued in a a certain genetic contacts or biomarker participation population ah thanks so much yeah little bit of a be happy to have to take to take that one so i can you absolutely right this is been another uptick in interest in few decades broadly and i was a cd case seven specifically
spk_4: the seven fit actually upstream old the classical so cycle kind of a few decades the to ctk wanted to and is responsible for activating the chinese is it is also a three month of seek a forensics which are which only flee the the target for the sickly cost of of of approved of approved drugs though he does play a major role in orchestrating of orchestrating the cell cycle there is also maybe some role for it as well in regulating the initiation of of transcription to it's ability to either directly for swirling transcription factors or help mediate the assembly of the country inscription appreciation complex or area plays more than one role but for don't think people don't
spk_29: on the on the cell cycle sign so you look at the profile of of see the game seven people including around
spk_12: that the in vitro in vivo with it's broadly active and you might expect for something working on a cell cycle a lot of the indication that are being contemplated
spk_14: and do tend to focus more and human that have genetic lesions that affect the activity of the cave the kids are be deletion for example or a amplifications in various like monday
spk_0: another obvious place for it would be potentially as a as a treatment in or tumors have become a distant acetic april six and even as and city cake seventies is upstream of those those a lot of places to go the reputedly potentially with with a he take them inhibit arriving at driving helping drive a lot of the interest including around
spk_9: super thanks so much more interesting i already pipeline my here
spk_30: michael and next question comes from the line as see also
spk_31: oppenheimer
spk_6: oh he grabbed another progress and think her take any questions if contact hero one is successful could you come and the potential to move cabo plus the ten hour or maybe own nine to push to tell go into fourth line non smoker lung cancer and would that depend on p one expression levels or some other biomarker to an approach yeah thanks dave i do for you on that one sure and thank you yeah and sell it just them dead to explain contact a one of quite is in the and a previously treated patient population had received prior checkpoint and had the it's and and and that as a three studies i'm going with already presented to and gator fan the cosmic onto to one yet steady and and as seen an encouraging activity for the combination of kabul and eighty ago and on setting and i see i pre treated patients and i think am as we thinking a bag earlier lines of therapy and perhaps also a combination think they'd been a be a friend relevant and it's who are xl online tool as we go forward i'll certainly am very interested to and india a taser combination that is ongoing and the space with on and too
spk_30: and and and further and combinations and and certainly an the and america and that and genentech rush is conducting an anti muslim and cancer combining occasionally the map but the tinted antibodies and off and trace the and and clear that some intriguing data on
spk_32: an earlier nine setting whether or not that will be and then confined to patients and it's elected by people and pdf one an expression thing that remains to be seen and perhaps there's opportunity when combining were to an area an antique hey i
spk_2: i to broaden the patient population so suddenly a lot to and evaluate and then it's a very interesting space and and a lot of opportunity i think for an ad for on and to and also for of course for covenant in it
spk_33: take you that three help one if i could maybe sneak in another question on or nine to have you seen any pre clinical data that shows potential synergy between own i to and any of your early stage haiti her or small molecules
spk_9: yeah the great question
spk_0: that kind of work eventually in progress right now so i i can't comment on it yet but the earth they can
spk_34: okay great they could take any questions
spk_14: that and next question comes from the line of
spk_19: with rbc capital markets
spk_4: opens her last with man and can routes on the quarter odds with a qualitative question on the frontline marketeer i'm just wondering about where you're getting more traction whether it's academic community clinics and then some the feedback with how does is from some positions that damn near what they
spk_2: president most about the combination is it's potential to induce super super fast and deep on c ours or or their their dpr than as a result about their them it using it in our prisons with bulkier tumors one of hear i a that was something that that that the team was was hearing as well
spk_5: or i'm you know what weather it's just such a bad market to say thanks a and he that again
spk_35: yeah i came into as as pj thanks for the question is a measure that they get the update is really am it has been brought in the feedback that we've received is that it really is
spk_5: yeah the data resonating across sort of a variety of clinical you know subset so to speak or you know if you want to be a specific is defining it as the i am dc risk categories so favorable intermediate and poor i'd say you know it at this early stage were saying and it broadly ah
spk_36: we get and i wouldn't really say differentially based on on the early data but stay tuned you know it your comment specifically about their kind of a symptomatic patient
spk_5: you don't need ago response that something that i'm are generally i think is been
spk_2: a hallmark of collagen and monotherapy in a later setting but certainly as physicians began to see the data and ninety are i think that certainly place it's it's it's thought out to be used
spk_4: in those tied to patients which is certainly i'm you know gratifying and you know that said even on the other end of the spectrum you see
spk_37: he is doing really well in of the favorable risk category
spk_1: and you know we've just recently gotten into same category
spk_0: one recommendations across all those risk groups or it that will continue to provide momentum for us a particular that favorable setting but ah
spk_38: you know where where we're gratified we're we're seeing up take across all patient tight end and hearing from position that it is benefiting their patients
spk_18: they can and anything else
spk_6: an anesthetic take them as pleasantly up your next costing and come from the line of paul toy with goldman sachs hi i thank you i could have heard everyone and let me also have my congratulations on a quarter on i first question for give i just with regard to the that the contact wanna and two programs i know you indicated that voters those studies are enrolling rolling but i could you maybe our indicate whether some early initial data from our early early yeah enrolled patients might be possible ah by later this year and that i had a follow up on the commercials are our financial side for chris and thanks yes and and contact one and two am and three for that matter of and of the century studies involving patients globally and and they pleased with the progress and the studies for sure
spk_38: the and don't engage have a not expected to be available and this year
spk_14: the desert faiths were to be a sizable large be three studies and of course the and points are a time to avenge and points
spk_4: depending on the steady pfs and know as or or it's an itself so and that will take a little bit longer and is to be expected not before twenty twenty two okay thank you for clarifying that and then of our one for chris i'm having a and last quarter your highlighted the a seven and a half million or inventory on benefit us wonder if you to quantify it for it for this quarter as as as well and then of your just come the strong start start to the air you left guidance on chain
spk_39: so just curious you know what was the insert the game be at least the i'm not raising the low and out of the revenue got thank you very much
spk_4: a pub thanks for the question so on he retorts i have any yeah we didn't clarify this time but it's about three hundred units and it in the six million dollar range at our and are oh requisition caught them beyond that born have to be think about it net net than of the perspectives of net detriment to this quarter that perspective
spk_38: the and then them
spk_0: and then and gotten the answer from that perspective your we were very pleased or we started the year and we continued it is as big as that it was weird about two months into the into the court or for two months in the color from a from a performance perspective
spk_34: oh an elite continue we're going to continue the monitor it is a very dynamic market there's there's a lot of a lot of them competition in the market the marina contested and a very early in the in the in the much so i'm ill or the deal look at it and revisit it in the up in the beekeepers
spk_5: thanks for our questions and part of
spk_16: as a reminder as he was like to ask a question press i one on your telephone
spk_5: and your last question comes from the line at stephen willie with stiefel
spk_40: hey that guy's that's persuade them in and out graduation quarter and i get the couple quick prostate question so i guess at time of the cohorts six disclosure and or presentation
spk_41: will we see some of the additional cohort a call or data that bet embedded within this cosmic go to on trial design in terms of i think there's a single he had
spk_2: cobble or just wondering if it if you plan to present that in conjunction with
spk_42: code six
spk_5: disclosure and the this of a quick ball
spk_41: yeah might be probably a little too early to opine upon or speculate on how will roll that out
spk_2: you know we understand the importance of from the data relative to both that keeping investors are up to date on what's happening but also and relative to a filing self i'm so of let's let's get their be irish the done and then we'll roll out data at the appropriate time public and end i guess in any of the regulatory dialogue out with at the a with with
spk_42: you think that a label here is going to be limited to the patients with measurable the that baseline or do you think that there's an opportunity that you could get a bit of a broader language that would allow
spk_0: treat some of these patients and at bono
spk_43: a decade
spk_0: yeah lotta i wouldn't want to speculate on you know on on those the and the outcome of those discussions that we have i wouldn't wanna talk about the discussions either am i think it's probably safe to say that damn label is usually a wine with populations are that were studying so am i would think about of nap when

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