Zai Lab Limited

Hello ladies and gentlemen, thank you for standing by and welcome to Xylep's second quarter 2023 financial results conference call. At this time, all participants are in listen-only mode. Later, we will conduct a question and answer session and instructions will follow at this time. As a reminder, today's call is being recorded. It is now my pleasure to turn the floor over to Christine Cho, Senior Vice President of Ambassador Relations.

Please go ahead. Thank you, operator. Good morning, good evening, and welcome to Xilab's second quarter 2023 earnings call. Today's call will be led by Dr. Samantha Du, Xilab's founder, CEO, and chairperson. She will be joined by Josh Smiley, President and Chief Operating Officer Dr. Rafael Amado, President and Head of Global Oncology Research and Development, Dr. Harold Reinhart, President and Head of Global Development, Neuroscience, Autoimmune and Infectious Diseases, and Dr. Yajing Chen, Chief Financial Officer. Jonathan Wang, our Chief Business Officer, will also be available to answer questions during the Q&A portion of the call. As a reminder, during today's call, we will all be making certain forward-looking statements based on our current expectations. These statements are subject to numerous risks and uncertainties that may cause actual results to differ materially from what we expect due to a variety of factors, including those discussed in our SEC filings. We will also refer to product revenue growth rates on a constant exchange rate basis, which is a non-GAAP financial measure. Please refer to our earnings release furnished with the SEC on August 7, 2023, for certain disclosures regarding this non-GAAP financial measure. At this time, it is my pleasure to turn the call over to Dr. Samantha Du. Thank you, Christine.

Hello, everyone. Thank you all for joining us today. In the second quarter of 2023, we continue to successfully execute across our business, achieving multiple key milestones. Our commercial products continue to deliver strong double-digit growth. we progressed several important day stage and early development programs within our pipeline. Most importantly, we gained NMP approval of VisGuard, a first-in-class therapy that has the potential to significantly transform the lives of patients living with GMG in China. And we were able to achieve this monumental milestone on June 30th. which makes us eligible for NRDL listing in 2024. Recently, we also had positive registrational data from the HEER trial, evaluating WeaveGuard hydrolow in CIDP, and the results were outstanding. Later this year, we anticipate two additional registrational data readouts for WeaveGuard, further supporting its potential as a blockbuster product. The NMP approval of YouthGuard exemplifies our ability to quickly develop novel first-in-class therapies addressing significant unmet needs of patients. And today, we have over 17 pivotal trials ongoing. And by 2028, we expect to more than triple the number of commercial products in our portfolio. Our world-class R&D team is a key part of our success. driving our remarkable accomplishments, consistently demonstrating an impeccable ability to identify and develop drugs of global quality. This impressive track record instills in us the confidence to bolster our global pipeline, both organically and collaboratively. In our early research efforts, we continue to pursue targets and modalities within specific areas of ecology and autoimmune disorders. We are focused in areas where there is opportunity for differentiation, where the unmet needs are high. However, make no mistake, we'll continue to be prudent and capital efficient, prioritizing our R&D efforts and driving increased productivity across the organization by leveraging our existing infrastructure and creating synergies across our business. We expect that this discipline, along with our expected revenue growth, will allow us to reach corporate profitability by the end of 2025. I'm also encouraged by the continued support of innovation within the life science industry in China, as evidenced by the recently published NRDL renewal guidelines and other policy updates. I'm confident that with our world-class team and the strong foundation we have built, we will be able to reach new heights, driven by our unwavering commitment to bring innovative medicines to patients in need with size, speed, quality, and efficiency, and bring significant value to our shareholders. as we deliver on our mission. And with that, I would like to now turn the call over to Josh. Josh? Thank you, Samantha.