Acorda Therapeutics (ACORQ) 4 Nov 192019 Q3 Earnings call transcript

Welcome to the Acorda Therapeutics, Third Quarter 2019 Updates. At this time all participants are in a listen-only mode. There will be a question-and-answer session to follow. Please be advised that this call is being taped at the company’s request.

I will now introduce your host for today's call, Felicia Vonella, Vice President of Investor Relations at Acorda. ahead. go Please

everyone. Good afternoon

you begin, contain let in our we we remind SEC those me statements. Detailed will encourage and forward-looking public found which presentation refer disclosures to filings, filings. Before are everyone, to can our be

now over to pass our Ron call the will Cohen CEO. I

This highlights key everyone; in events afternoon, Good slide the thanks Felicia. the third quarter.

a the launch of has been As the INBRIJA expected. of you more initial all than stage know, gradual l

INBRIJA of l to and inputs continue multiple advocacy in market that market numerous formal substantial of our However, research, Parkinson's. own be support product patient research, will groups. conviction conversations indeed care inputs a in OFF These standard prescribers, a with our and independent the include treatment periods patience

dynamics today. a key this became going lot the drug and the you in some to share learned with since about available insights market March we're and of data We’ve

a we to as in extend to XXXX. corporate company's INBRIJA of to launch, flexibility restructuring well October to We that's note convertible trajectory the the June strong us for need also a provide will implemented for in that address as time due the establish

after INBRIJA us Lauren this updates on through the I discuss will launch. further Lauren. takes

Through Thanks patients forms and of X,XXX have prescription Ron. around received Good about everyone. received October INBRIJA. X,XXX afternoon we prescription request their first

XX,XXX, than the to physicians to XXXX in approximately more second compared have through and over dispensed total that see pleased the were prescriptions October. quarter INBRIJA The We're total increased cartons third quarter. XX% prescribed by

than these one physicians physicians at of and XX% of once. XX% To-date Segment least A prescribed roughly have prescribed more about have

the disorder they approximately and A are physicians Parkinson's they Segment treat primarily of specialists movement As number patients. a reminder, there and largest X,XXX

clients. net be we results formulary a which national, agreements the on to notable is Prime that status, We formulary the Therapeutics make a in Prime significant of A progress number in with agreement on able signing payers. downstream to are number good of achieving formulary quarter their and Therapeutics continue to disclose

the available lives beginning INBRIJA XX% lives XX% the of now quarter, commercial exceptions. covered D of of without Med medical fourth As need is and the for approximately of to the

usage post-launch conducted both and and recently survey aided our was to trial first launch, in disorder research universe. now to and INBRIJA physicians to among Prior awareness specialists. XX% the ATU, movement general study market was close for around fielded our neurologist approximately XXX XX%. awareness of target We it's This

for early also perception yet with INBRIJA who understanding prescribe current the and us likelihood prescribing. future. provide to adopters of data an future assesses of It likelihood and their by have These of the the prescribes not experiences INBRIJA in physicians of

our those of prescribing. increase INBRIJA, of extra agree the physicians majority who self-administered. that efficacy expect different an showed that dose For The of carbidopa/levodopa data from physicians oral their meaningful, it be are to can is these INBRIJA and clinically of of XX% is aware physicians it

in patients of answered to physicians their We patients. asked for they last the their INBRIJA what prescribing increase about much prescribed their estimated about they had both XXX X% and they XXX had to next percent XXX previous the physicians of INBRIJA patients. how questions, they who the intended prescribed XXX Among

these of care. over off the physicians than of their periods, of XXX with to their previous of to approximately adoption brand indicating prescribing about INBRIJA encouraged are of experiencing that of This part long term. XX% their to XX% that prescribe We off-periods find their market expects next more physicians standard increasing become to research to patients expect doubled indicated with patients the INBRIJA aligns

awareness of received average and the on who INBRIJA and it. reported request requested percent requested have INBRIJA that be patients who focusing survey, prescribers of Also current XX% prescription and key forward patient increasing going driver XX% their of lunch patients of the in will request than a do we're this an We a of believe INBRIJA.

do things. To optimize important patient impact it the of was to two requests, first

high so awareness to status physicians, they to and a prepared level among try of to a and respond prescribing of be level achieve the process. could to INBRIJA frustration the achieve reasonable education patients First, minimize to second, formulary wanting is

patients. of enter As the awareness we on will phase drive patient focus efforts demand be maintaining education we while the second by the increasing to launch, and these

patient We patients’ advocacy others programs, some as Facebook. will are have which we ads, patient media of social implementing patient focused and These of roll include, that already begun radio in ambassadors, videos, coming weeks. initiatives, a and events, campaigns forms, out speaker number the community such

Dave review to now to financials. the call Dave. the I'll pass

a note Thanks convertible our the reduce restructuring we to Acorda sharing June focus of its to addresses of implemented restructuring October will costs resources XXXX. company Lauren. In the for on lunch INBRIJA provide due of will INBRIJA. flexibility focus and its success resources on corporate to and in This the enable

connection cease position we to unfunded do pipeline we in them. programs, we're detract to to to operating note so the million at million, $XXX better that Unfortunately support expect INBRIJA a these not all decision the supporting had work to from reductions XXXX the to reduced and In estimated $XXX make guidance to all It's $XXX difficult million. from with $XXX down we launch. on million restructuring, to expense important

to inure first of $XX estimate to expenses estimated in XXXX. XXXX. than savings through are estimated Total to We and beginning reduction of be approximately severance XXXX. of annualized will $XX restructuring million expect pre-tax million less we XXXX costs charges in operating to realize for We quarter $X approximately million cost that the headcount approximately related related the other

be reduced financial million to $XXX million expected XXXX is for million. million, $XXX are $XXX guidance reduced million the expenses from $XX new to $XXX In to follows: to expenses million. full and million for $XX be million, XXXX $XX XXXX revised R&D to expected Our XXXX as year to year SG&A the full are $XX from

are expenses expected million XXXX, expenses million R&D year full $XX are be $XXX to XXXX year the expected SG&A to ahead be the for $XXX million to full $XX to Looking million. for to and

our greater expect million. balance and XXXX We to than $XXX be year cash

in This of normal table of for third we part for outlines non-cash process XX, recorded a goodwill impaired and determined decline due stock common the million. fully September reporting impairment our of quarter. at performed, the a We the charge was XXXX a analysis reviewed event quarter. of Based as trading and that quarter the price on goodwill the to financials key occurred ended our that the determine $XXX.X end triggering

$XXX June engaged have is in to an top appreciate convert of XXXX, for debt. million the the and We our With this a that address regard on note stock due to addressing we price company. has adviser our this priority convertible impact

and cash at the cash end $XXX million. Our of equivalents third the quarter were

over turn to the back Ron. now presentation I'll

despite standard stages all product gradual Parkinson's a to the early in care of INBRIJA patients. the Thanks the will our Dave. uptick of and become continues data In of summary, significant for a launch, indicate that

We now take are to going your Operator? questions.

Instructions]. [Operator Certainly!

with first Your Goldman is Richter question from Sachs. Salveen

Your line is open.

where you’re you. program debt walk you issue question. the here? then you the for Thank sampling secondly, us stand that for and path Thanks just my drug to the with free taking INBRIJA? through just address Could And taking

Salveen. that. Yeah of number we go to have tell well, can't point different we you a to We at can that into address you know pieces great detail this

to looking to are us fits that, it of including We for a to for number ways to are and are different on cash means, number different there address but avenues. all not size address we a one working access magic using those rather of solution and cash

to tell can the launch address addressing call, those for of that. are By interested June it's but in the I that, close anywhere you to in the two to debt. of reminder way no top priority top debt and is on us, we are by that, XXXX, really beyond So means the a priorities for INBRIJA due the waiting

are for We different considering debt way or optimal a actively address of I right and as we to at us together are the will engaged actually in engaged number which we're ways, actively shareholders. in said, – the very looking enable now

doctors regard to drug are and free are the liberally. samples With to distributing fairly allowed, we are continuing sample the program, where samples

or commercial for the request specialty that is and pharmacies have insurance, for that provide our that go on prescription also program first form under one-box free box covered our we hub. those the We into

there check the the a the immediately to shipped that is patient, box hopefully and specialty to check two the shipped have prescription, and prescriber almost their vast box, they dispensed. benefits the so drug within then that majority day is do writes eventually when ongoing box is pharmacy don't a that to they and So is they the or time investigation first so wait the a of while

more XX XX I under is dramatically quite from it down now we can of average, box, on right launch are the now doses full use. taking a days on early process XX has meanwhile, or where around weeks, that was which the That And patient come gets the average. part they days believe two

you. Thank

Your Paul Stifel. Matteis next with from question is

open. is line Your

are being This hoping plan a – you on scripts guys know for specifically? channels for most reimbursed for was question. get a Thanks can the your D seeing you Part What Hi! I taking on reimbursements what’s and Nate is you then from, reimbursement? little Paul. detailed expanding more

now covered that XX% lives mentioned we are Right, so about recall as commercial formulary. of on

been general we've reasonable been medical through that for to the quite we're prior seeing board, need no have across hoops not have that. there's the In pleased So through so authorizations get exception. jump to offices the

it about without medical that the Medicare the of now Part – on formulary D, need just also is through we have covered goes lives for where case, exception. it where XX%

plan where finding those medical simple patient's is there we're exception, with the a covering actually for formulary, through getting a of exception that yet is majority the it not what Now medical are form. on where need is

the go have be and in exception denied forth. more have very was get medical launch, and you’d from peer-to-peer the then than so a call so because morass and to would you’d would earlier call where on whereas a that frequently in So that, difficult and it and them in

taxing. really it quite So was

We submits – medical commercial now form not, just can the through majority majority medical covered you of a are through, Part ones simply if the of well. and Medicare exception at are without that The as great point are that exceptions. the the where that's D again, the ones lives office get

have was it into given a routinely we that yet larger that it, plans anticipate several notice and is seven population. been their living We don’t formulary official more percentage for the and various launch. time in But now we formulary through pretty good are where easier launch actually continuing the where for good negotiate months over of environment we in it's and cover now physicians being it’s and the notice statuses that status the will those giving are offices to the and to that larger official much get with more, they now, feedback that right the of reimbursement first have months we're us that pretty

us, thanks helpful. description refill today? you, just rates And could you update maybe on provide where Got are some

Lauren.

Yeah, resell at in what on understand quite this in to difficult is really for have until a point are this drugs patients medication, been given PR some that time it's time. the rates

an patients As is initial have prescription two the earlier, generally samples available physician's patients prior much a to insurance how the to with commercial received mentioned we already of the we’ve it's in don't from them. how their Obviously office prescriptions have those of XX, to getting and for boxes drug box and now. are many have idea know that right of that, hard that

So it's to early at too point time know. this really

But consistent several drugs group, be is across low on will a group high that that QX, are low, that those medium refill in more able and utilizer they are utilization of those refill shared still times that overtime, the those medium to meaning a users. you and really to high work patients get through. exactly rates you have a need understand and we itself patients, But time group. month for what We there consistently then be know a to we lunch rates with

some specificity. and jump illustrate if with just you I maybe could it I’ll Yeah in, know

gotten really If pattern will they ago couple that tease and that average, months for a we knowing on on the variable a using couple going box If is no depends to of patient usage of it's think it, about and not it patient the individual haven't patient time have just is not if a the you on to us it out, yet. boxes, haven't of twice amount a they the times patient. possible boxes a day, two because and way of or a right for just two through their they're because refill now refilled given got last they week a yet, of depending once day, so

numbers. more critical that's mass we a do feel need, get better to time need and really So why we those for and

Understood, that's hop the back in I’ll helpful. queue.

from Your next JPMorgan. question Cory with is Kasimov

line Your open. is

Neena Hi, for this on is Cory.

back period they're two questions, a is Is I more bit speaking about repeat seeing little specific what have And them who a I being for you this a time prescribe to point. the there holding So one from – are patient? talk what’s before that prescribers the repeat repeat docs prescribing prescribers. follow-up. and first then about you of wait Can they of second have those kind a who aren't at

the want you write course is of see about medication. so physician when they again, prescription, that write prescriptions, to what change you start very so utilizing Yeah, to second expect of then you that for out they talk the happens want the in behavior, the first they behavior thing physician what change their and and first to you start a see

As those really of in physicians the are again. physicians Many more we have It how has the feedback have once. often like. in will have waiting trial before back to on the prescribed cadence that gets what wait overall had of looks for physician time they want to loop depends until top than to They medication, physician done. of times mentioned they terms once. the in patient XX% that terms prescribe prescribed of prescribed enough In prescribers, base, those them prescribing more that than that XX%

a prescribing, Another office. too and happen of physician just of time run the drug the office that as the we’ve amount on it’s the by discussed issue for of the to is the stops takes launch required that over into part on each patient much we’ve burden it that make get early from the of time amount on because to

just As process offices improvements we through more anticipate and burden having reduce wins become can actually getting and help. better at actually with that we process, will more formula the the that

dependent what individual that continued the is the it want from usually get physician now to patient drives right on they the and So each prescribing. really and feedback is

and my later asks medication, we’ve as will the the comments, of patient that in Additionally, the a for said time, often if physician in comes fulfill XX% request.

them asking the it for chances greater. other someone is in coming So repeating are piece the that's it, the drug of doctor and of a prescription

Okay, cover INBRIJA. how inventory I little the going you than through were second anticipated. said last about expected purchase this that you year then you of talk think earlier actually great. question just inventory And you faster know is that to XXXX, and – about all a I big made a quarter was

see should probably. expected this So XXXX we inventory, first the for either purchase quarter another of quarter or major

in be that first have the I No, not next year. it mean purchase this but the a inventory, point at that purchase this year. we wouldn't we major will year some of anything had adjustment, that purchase to degree to quarter

Okay, you. great, thank

with question from next Jefferies. Yee Your Michael comes

open. is line Your

not or generally you as every months. to, accurate going to to to six for had what significantly I continue and that the two both you've understand one wanted either some I reimbursement, comment on if of so wondering I the generally TRx three as are the to could it’s is does say gotten week NRx data we your question. show scripts when the to disconnect and U.S., some that. just look I guys, take up-ticks NRx thanks improved at sort even TRx, just time, was or questions, there study Hey past would over though it's

Europe addressed, my in got sales sure money actually you Thanks their, putting obviously Are bit. if expecting to you going much. you what's on are not was about second, actually I’m Europe. then in approval. actually little And was comment invest maybe Europe, it question so just a on

you do want to? Lauren

some plan we the of time an in something, couple new wins physician, also Yeah, And the that started of for last with wide, so and care of at TRx individual this deep months, a national mile for getting inch and line, time terms it's again in remember point pull to of through. that kind this each these in right. takes managed NRx,

in have all a may patients so and they major of impact practice the and doesn't therefore of it you have couple plans still even so though a their other there may So wins, therefore hurdles. lot be

But So positive we to getting we've going that new Rx we it's take to are that exactly know. when trajectory; hard an very the all line to going upward is in qualitative the that's anticipate is start mentioned, that to as regard. happen feedbacks

New despite some there of the in higher the a TRx’s so haven't in numbers, RX's seen have course is increase TRx slight over going that increase fact the time. We been the

makes Okay, sense.

want you to do about Ron EU? talk the

question Michael, repeat that? your Yeah, so the on you just can EU on

I'm you sure. got for just INBRIJA, Yeah, In Europe if wrong. approval correct me

So money maybe scenarios come putting partnership is it you're first various actually obviously which a you are you quarters and in related to there you to to invest paying could or out-licensing comment your about the expecting to whether sales debt. market the down actually bit, and question address are

So about happening we maybe like what what's opportunity. do there, just so talk and to can to think that you'd but

plans market capacity or We have to financial current do We in don't the that. don't ourselves bandwidth just Europe. have to

engaged have and continuing we are conversations when with it when in share with everyone. focus in - partners and to has discussions through here So to have have if approval certainly we the now. going carry we and everything news, those right helped and to are potential U.S. we those we're The

that's Okay, that. I and appreciate helpful,

potentially part. think help on to you of asset an value I Thanks. that's first the

Cowen. with Atkins question next from Kenneth Your is

open. line is Your

question. Hi, thanks for taking my

a speak therapy Could the OFF an benefit younger You’ve still episodes. you might patients adoption that on in in INBRIJA bit about a from market be for mentioned lot workforce of that receive particular? the in who of could previously demand

Yeah, I of a that good mean way we tracking have don't per-say.

be we about I out, patient physicians the to segment working, tough that's anecdotal is So necessarily stories who using to back think at so given and it was they OFF talk going get work. a who patient episodes are But it's to for on. if when for, you is who prescribing someone

absolute it's about first but to You our obviously an for know point, not are XX% dispenses Kenneth, Ron's commercial patients. of

a etcetera, So that spouses workforce, workforce in etcetera, they're a could in know that be the mean they doesn't education. the necessarily could you they have Medicare

So it interested younger medication very of in this that some population, Medicare us they it population are in gives an we promotion and mitigated, population. isn't indication because digital expense so lot doing patient out of pocket, that the they don't that be co-pay that our had patients but patient absolute, are a have towards the can

versus expand for let and some who are just that almost their earlier not relatively of people if diagnoses, out me who are OFF working. about are are we you'd a had really are of having in it's bit, certainly five you talking more, people Right those or because periods a years who kind. diagnosis typically and further is What little Parkinson's

less disease so sometimes another brain get treatment a carbidopa, deep are increase then eventually mechanism, time does, add the of to some frequency you’ll less algorithms and stimulation add mechanism, forth. optimal the get maybe to of and referred mechanism and and Those add over progresses fourth and daily third as people levodopa/ the increase you regimens course with control increase

their they take they go commercial be. or how an they're and are hobbies, generally they people about people So can even working most they forties, get lives, your is period imagine sixties their if OFF weddings pay of early maybe and their you has are – – you in who they kids family not can and sports, earlier their your your do have things care for they daughter's of or vigorous, grandkids, wedding, they we're fifties that in devastating stage together commercial who the quite in have you and talking probably what for have their if who the other to middle know of someone unexpected active get-togethers, on are It's part mid. if – really are generally,

could with and get friends that for with if issue restaurant these you're and You people. going suddenly to a serious and imagine you an OFF hit is family a

severe and the can – is, for on as always there of you control me, good and actually there it main various imagine number reason gut small them the moments people issues, over periods intestine of with need it why is the are and many OFF of to absorption reasons to as food would intimately gut, bacterial on get be as in overgrowth there levodopa excuse reasons reducing that absorption any So is going more you and more and when, erratic. where it especially on disease, regiment higher their involved have gets disease small and protein their metabolizes demand fails again erratic effects the – there's more that just are and like are levodopa, the several get doses, in daily bacterial so that higher and Parkinson's more cases you levels

having, But with three multiple it's are when distressing are that's also again where some is OFFs when realize, their view, know their their just point couple it, in well, and troubling they message prescribers know they they're week, pocket patient's we them. that you get have who they we from generally weeks but continue and it's the discuss, day in very once because can INBRIJA people that pocket, by can compartment active, and it maybe and fact two you people day access important a a few an or of obvious benefit that having once ready bothering but or and then, a as not someone' it's or in seems a are be discussed most book, obvious something times controlled, really a or when a now more necessarily every really having so day, these it for in to as weeks and glove maybe to for a of they well and two patients, to every week, every times episode even the this

helpful. That's thanks. Okay,

period. This it remarks. for turn any does conclude I’ll closing to now the Ron Q&A back over

Okay, you for in to well the us look we'll our and good everyone thank reporting have evening, next and a quarter. joining forward progress

this conference now disconnect. call. may gentlemen, and for participation Ladies today's Thank your you does you conclude and