TG Therapeutics, Inc.

Greetings and welcome to the TG Therapeutics fourth quarter and year-end 2020 conference call. At this time, all participants are in a listen-only mode. A question and answer session will follow the formal presentation. In order to ask a question, please dial in and press star 1 on your telephone keypad. If anyone should require operator assistance during the conference, please press star 0 on your telephone keypad. As a reminder, this conference is being recorded. I would now like to turn the conference over to your host, Jenna Bosco, Senior Vice President of Corporate Communications. Please go ahead.

Thank you. Welcome, everyone, and thanks for joining us this morning. I'm Jenna Bosco, and with me today to discuss the fourth quarter and year-end 2020 financial results and provide a business update are Sean Power, our Chief Financial Officer, Michael Weiss, our Executive Chairman and Chief Executive Officer, and Adam Waldman, our Chief Commercialization Officer. Following our Safe Harbor statement, Sean Power will provide a brief overview of our financial results and then turn the call over to Michael Weiss, who will provide an overview of our recent corporate developments as well as an update on our current pivotal programs and key goals for 2021. Adam Waldman will then provide an update on our commercialization efforts before handing the call over to the operator to begin the Q&A session. Before we begin, I would like to remind everyone that various remarks that we make about our future expectations, plans, and prospects constitute forward-looking statements within the meaning of the Private Securities Litigation Reform Act of 1995. EG cautions that these forward-looking statements are subject to risks that may cause our actual results to differ materially from those indicated. Factors that may affect EG Therapeutics operations include various risk factors that can be found in our most recent Form 10-K for the year ended December 31, 2020, and other filings with the Securities and Exchange Commission. In addition, any forward-looking statements made on this call represent our views only as of today and should not be relied upon as representing our views as of any subsequent date. We specifically disclaim any obligation to update or revise any forward-looking statements. This conference call is being recorded for audio rebroadcast on TG's website, www.tgtherapeutics.com, where it will be available for the next 30 days. Now I'd like to turn the call over to Sean Power, our CFO.

Thank you, Jenna, and thanks, everyone, for joining us. As you may be aware, our financial results were released this morning and can be viewed on the Investors in Media section of our website. I'll kick things off with our cash position. We are happy to have substantially strengthened our balance sheet over the course of 2020, allowing us to end the year with more than $600 million in cash, cash equivalents, and investment securities. Turning for a moment to the financial results. Excluding non-cash items, our net loss for the fourth quarter of 2020 was approximately $54.7 million compared to $34 million in the fourth quarter of 2019. The increase we've seen in net loss as compared to the 2019 quarter is primarily related to increased G&A expenses associated with our preparations for the commercialization and launch of EUCONIC, which occurred in the first quarter of 2021. Our GAAP net loss for the fourth quarter of 2020, inclusive of non-cash items, was 88.2 million, or 71 cents per share, compared to a net loss of 39.6 million, or 44 cents per share, during the comparable quarter in 2019. Our net loss for the year ended December 31st, 2020, excluding non-cash items, was approximately 199.1 million compared to 161.4 million for the 2019 year end. The year-over-year increase in net loss is primarily driven by an increase in commercialization costs, as previously discussed. On the R&D front, we incurred approximately 21 million in licensing milestones during 2020, which was partially offset by a decrease in manufacturing and CNC expenses as compared to the prior period. The GAAP net loss for the 2020 year end, inclusive of non-cash items, was $279.4 million, or $2.42 per share, compared to a net loss of $172.9 million, or $1.96 per share, for the year ended December 31, 2019. terms of what we expect moving forward i think approximately 50 million per quarter for 2021 similar to 2020 is probably in line with our expectations we expect to see decreases in r d over the next few quarters as some of our large trials wind down however this will likely be offset by an increase in commercialization expenses over those seen in 2020 looking out further r d expenses should pick back up in Q4 and through 2022 as we hit peak enrollment in our next generation of pivotal trials, including our MZL and FL confirmation study and our triple therapy trials in CLL. Similarly, in 2022, we will see further growth of SG&A with our potential launches in CLL and MS. Taken together, without accounting for revenues, we believe our current cash will take us out into 2023. With that, I'll now turn the call over to Mike Weiss, our Executive Chairman and CEO.