Release Date: October 24, 2024
For the complete transcript of the earnings call, please refer to the full earnings call transcript.
Positive Points
- Pharming Group (PHGUF, Financial) reported a 12% increase in Q3 revenues, driven by volume growth in both Ruconest and Joenja.
- Joenja, the first and only FDA-approved treatment for APDS, achieved $32 million in sales in the first nine months of 2024, marking a 210% growth compared to the previous year.
- The company has successfully expanded its prescriber base for Ruconest, with 57 new prescribers this year, heading towards a total of 800.
- Pharming Group (PHGUF) is actively pursuing global expansion, with regulatory submissions and reviews ongoing in markets like Japan, Canada, and Australia.
- The company has initiated a Phase 2 study for leniolisib in primary immune deficiencies, targeting a significantly larger patient population than APDS.
Negative Points
- Pharming Group (PHGUF) reported a net loss of $1 million in Q3, compared to a net profit of $3.4 million in the same quarter last year.
- The increase in operating expenses was attributed to investments in Joenja's US launch and preparations for leniolisib's launch outside the US.
- The company experienced a decrease in cash and cash equivalents from $215 million at the beginning of the year to $173 million.
- The growth rate for Joenja in the US is expected to slow as the company has already identified almost half of the eligible patients.
- Pharming Group (PHGUF) faces challenges in educating physicians and patients about APDS, a new disease, which impacts the speed of patient enrollment.
Q & A Highlights
Q: Do you see refills happening from previous quarters for Ruconest, and how do you see the ODT market developing in the coming years?
A: Yes, we do see refills, which tend to reflect the patient's course of disease. The ODT market remains stable, with over 50% of patients still experiencing regular acute attacks despite prophylactic therapies. Ruconest serves a patient population with a severe course of disease, which is not well-treated by existing or new agents.
Q: How are discussions with NICE progressing for Joenja in the UK, and how many of the identified patients in the US do you expect to convert to Joenja?
A: Discussions with NICE are productive but confidential. In the US, we expect all eligible patients who want to be on therapy to eventually end up on Joenja, as discussions with insurers have been positive with no refusals so far.
Q: What is the plan for the remaining convertible bonds?
A: The current convertible bonds will remain on the market with no immediate plans for redemption. The timing for redeeming them is yet to be determined.
Q: What are the potential headwinds for Joenja's market expansion?
A: Short-term headwinds include a slower rate of growth as we have already identified a significant portion of eligible adult patients in the US. However, we have a funnel of new patients, including pediatric and global patients, and expect significant growth from upcoming inflection points like the VUS clarification and UK launch.
Q: Can you provide an update on the market segments for Ruconest and how they are growing?
A: The market is stable, with around 78% of patients on prophylactic therapies and the rest on acute therapies. Most Ruconest patients use it for rescue therapy due to the availability of effective prophylactic options.
For the complete transcript of the earnings call, please refer to the full earnings call transcript.
