Horizon Therapeutics Public (HZNP) 4 Aug 212021 Q2 Earnings call transcript

Good morning and thank you for standing by. Welcome to the Horizon Therapeutics Plc Second Quarter 2021 Earnings Conference Call. [Operator Instructions] I would now like to introduce Ms. Tina Ventura, Senior Vice President of Investor Relations.

Thank you, Justin. thank joining and everyone morning, you us. for Good

Executive today Walbert, will Paul performance R&D and review Chairman, the Liz Executive provide call Officer. and a Andy Tim then will me guidance with performance. Thompson, Liz programs, by Officer; detail. remarks President, Financial Officer; of On Pasternak, followed President Executive and will Chief are After Chief the financial questions. provide President, business, will from a including Chief our discuss Paul, President, Vice more in Vice Research Vice Strategy Tim, Development; who Hoelscher, Tim of and take second our our quarter closing review Executive your we

be about and future including making certain As reminder, impact timing a forward-looking financial business strategy development will statements activities, the our expected of and during today’s events. we projections, statements, call,

number factors earnings our Our to the due which actual including a filed our X-Ks Exchange XX-K, outlined Securities issued this in we factors, release, could information with and risk Commission differ results latest and any other and of press the XX-Q Forms morning. materially and

not cautioned statements Horizon such undue any reliance to on and update these statements. obligation forward-looking to place disclaims are You

release over investor non-GAAP on turn now to other In with available financial press www.horizontherapeutics.com. measures be filings in call the measures are financial addition, are at from that our comparable conference and Tim. on used. I today’s call, the earnings our reconciled will today measures These non-GAAP website GAAP will financial

as the half by demand our has which and patient continued strong XX%, TEPEZZA KRYSTEXXA The everyone. driven with more now growth increased quarter and sales acceleration XX% sets generated of plus driven our base. performance by delivered nephrologists. RAVICTI one the of growing business, immunomodulation, companies. KRYSTEXXA prescriber new XX%, starts, well. is the We growth XX%, by of in the rapid continued outperformed and than Thank year-over-year which delivered our both and second you, year. biotech net each growth In in EBITDA strong underscoring fantastic with the morning for at as position driven rheumatologists Tina us momentum double-digit increasing up fastest total, expectations patient adjusted PROCYSBI this of use and across good relaunch increased results strong

more and representing a result full sales guidance increased Full year net significantly more year outperformance, billion, net adjusted TEPEZZA now EBITDA. full our have XX% sales, sales $X.XX we for growth than As full of year TEPEZZA than total company our year-over-year. year is guidance net

full increased will adjusted XX% EBITDA Our year quarter the and midpoints, discuss up and key I net strong sales guidance at growth now second XX% and recent achievements. represents ranges year-over-year respectively.

gout new next-generation program We and portfolio collaboration significantly we well and Arrowhead new pipeline our to a early-stage as continue for trials. as X with initiated expand clinical

are than We This reports. with by on-market our patients support eye and with of case There TEPEZZA of in now or disease, new physicians new with medicines TED XX independent many presentations on successful X multiple continue in thyroid total in June includes patients use publications chronic a chronic to the two TED. more publications data publications.

highlighting of efficacy, differentiated safety we UPLIZNA. the data presented addition, and In new benefits

evolution step of the biotech product continued a is key facility and represents growth to as key performance the This leading well acquired We in development industry our Ireland. is recognitions leading four of biologics with the supporting is and a in are biologic drug X. now Waterford, new year culture and for factor as We at evidence company. workplace employee-focused our UPLIZNA continued in important awarded best KRYSTEXXA TEPEZZA, as This stage a number our manufacturing our an awards new that growth.

potential of expansion global our clinical support in Europe for trial approval preparation preparations advance in Japan. TEPEZZA progress continued for We in UPLIZNA as and with we launch

a announced this March. also September year XX acquisition analysts investors of the with for Bio and the Day to on expanded we discuss Viela planned, and hosting virtual new R&D will in significantly programs be which We our pipeline

at by second net forms resume XXX%. added impressive results, government-mandated new $XXX and during converted team treating Looking supply quarter team patients the quarter commercial the the strong of enrollment strong patients drove demonstrates quarter of new our the relaunch to of sales the TEPEZZA’s TEPEZZA continued The were successfully. disruption. excellent We execution disruption growth impacted The first ability relaunch by patient was year-over-year TEPEZZA second with million, performance of the to result execute.

existing We are we rapidly TEPEZZA. of supply to resume restart once able patients therapy on

discussed we last were involved. patients quarter, As two of groups

the disruption start supply supply new to patients wait and when to enrolled prior during or who on TEPEZZA. had therapy disruption, patients taking disrupted second, to after the resumed April patients; began First, were in until or

first The on second year. the quarters and group of continued patients of this added during promotional fourth our efforts based

resumed of patients quarter. in vast therapy the expected, disruptive second As majority the

both inside the driven PEF New disruption or of field-based teams, our remain to quarter. TEPEZZA patients prior execution rapid in by also very with generated the therapy patients with new access communications and started of these to for The disruptive the during rapidly. care to the who physicians, constant first throughout patients patients continue was

strong new due growth continued pleased this our We of to disruption, trend prescriber a continues PEFs that are increase. the the in post-relaunch. We and to that strong existing to during patient’s base fact see very growth continued attribute the the demand

XXXX. second conviction in seeing them with half are XXXX from running of of We these more two-thirds first the increased PEFs in than prescribers, of also the half

significantly very have Finally, and with branded television unbranded and notably results, our and given initiatives positive marketing been have campaigns, direct-to-consumer from accelerated investment the about awareness which our in TED relaunch, increased increasing rapid we TEPEZZA.

TEPEZZA is national speed these and for increase of diagnosis accelerate goal Our treatment. the to awareness campaigns and to

the serious, to more debilitating help TEPEZZA We and address TED. enthusiastic about of are aspects prospects patients sight-threatening for the

more strong which billion, doubling growth, second year is continued our patient sales TEPEZZA new results we than increased and guidance $X.XX year full near sales quarter’s better-than-expected in of Given the launch. our second net of to net

value both the net the quarter disruptive This is with patients more continues KRYSTEXXA to completing the our third the the adoption more discussed strong function we continued opportunity. quarter than the part with key strategy With on as the enable quarter, quarter, million, in driver record patients for resupply launches net estimate treatment, of quarter’s strong sales KRYSTEXXA, treatment generating of in increasing and with of billion. starting We assume peak of global our of immunomodulation, of XX% a year-over-year after was outstanding of upside core net quarter. the we new uncontrolled patients KRYSTEXXA year-over-year quarter and untapped The as of patient in than KRYSTEXXA growth $XXX plus to this driven maximize outperformance the growth strong results of third us the April growth As KRYSTEXXA highest ever. to April sales is patients look chronic the last of in generation the tremendous first disease most $X.X evaluating sales our still focused of XX%. We trial for and TEPEZZA PEF generated acute this plus KRYSTEXXA this is we immunomodulation. MIRROR are of delivered the A medicine starting year, more relaunch. XX%, rare quarter conviction the well the on which of the use in the greater from is new PEFs population we benefit than for track is positions of There opportunity that forward methotrexate clinical fourth XXXX. immunomodulation controlled year more results fourth medicine. to and the attribute after remain versus who treatment in randomized physicians plus patients well Use the the greater which quarter of guidance successful relaunch driving penetration by fourth now for KRYSTEXXA to one gout plus alone. is

KRYSTEXXA-prescribing driving both is strong and rheumatologists Our nephrologists. execution physicians, in growth

nephrology, For first created XXXX. and nephrologists all the have driven particular, more sales early this a year in prescribing year in of of already half dedicated they this team nephrology we versus

for of resonating transplant gout. addition, nephrologists, who is KRYSTEXXA and the the which with messaging trial has In have positive results uncontrolled and reinforced been PROTECT kidney our efficacy by our interim from patients safety

we with ahead. upside We significant opportunity what are nephrology are seeing in by encouraged

a the net neuroinflammatory of last a the be NMOSD, indicated million. relapsing optic rare, the B-cell second for year disease The execution, PEFs patient for new severe, in both Bio. the cord almost double-digits strong well and Viela sets UPLIZNA very the of the of to depleter, and nerve, by As quarter $XX.X height that challenging approval increased up With the KRYSTEXXA autoimmune timing result of of spinal brain attacks the monoclonal stem. second for half pandemic generated proved UPLIZNA, starts, antibody treatment second of sales us our humanized year. quarter, which our we is

half expansion the leveraging a sales focused We and Commercially, planning are second TEPEZZA and are we on approach of over the structure relaunch this the executing the team expanding We year this expect by of aspects KRYSTEXXA. rebuilding support the commercial the in for of and end both use we patient-centric third and progress complex medicine UPLIZNA robust to to commercial made the the the good the establishing a journey. of complete quarter. patient and second on quarter

We leveraging support for built TEPEZZA. we services are also

capabilities. with specialists have many specialists, infusion example, as NMOSD For TED not do

a support gap patient care referral our the initial in leveraging of UPLIZNA are was to infusion We extensive TEPEZZA which to launch. centers, site network

side, of supporting the real-world in base On continuing understanding compelling develop UPLIZNA. engagement UPLIZNA scientific differentiation includes in medical community of scientific to of leadership of its clinical further our as investing use the programs NMOSD. position are the build well prescribing expand This as we clinical evidence the by to analysis and a to conducting

meetings, NMOSD market establish touch our expressed medicine. data approach differentiated in to new infrastructure to enthusiasm entry takes It to will into UPLIZNA leaders, about and offers reaching NMOSD. have at and out addition treating opinion key medical the In actively new Liz key the been stakeholders for several time presenting on, who educate a we which welcomed

off than we our to start to over see organization now the we and benefits began fact, investments our months and TEPEZZA In call it. expect for a X Liz. the of as new I turn market good preparation we launched we the will UPLIZNA, With commercial year. before more exit are to

Tim everyone. you, morning good Thank and

expanding our to R&D, on The XXXX marked progress pipeline. we second quarter another continue quarter of in focus of where

strategy. pathway source off, production regulating XX validated which the gout which of agreement ARO-XDH expression have preclinical is uncontrolled A our March, progress discovery recent with in global programs acquired as essentially natural September, key addition represents R&D a have collaboration as evaluation will the announced I program of target. with as and used case people along acid XDH into license silencing, made quarter we in gout. the turn new of focus will investigational, lifecycle preclinical with cellular programs. be next-generation a Day, RNA collaboration of includes through our June developed doing will to clinically from gene We our programs gene this our a gene a interference stage, liver. in in deeper therapeutic post-marketing our the In trials, and which Arrowhead. silencing gene’s to uses programs the the Today, is ARO-XDH well highlight for the development this being primary XDH of a on at natural key we or portfolio on Investor spanning own then our mechanism uncontrolled Arrowhead new Viela for be programs sequence treatment planned our to dive incorporate RNAi potential is RNAi silence gene of and R&D proteins. our and progress uric leverages with the overall a can that that we this

need experience the gout As portion of treatment a the the uncontrolled urate-lowering positioned continue out symptoms. we of remains gout. U.S. one-third million in debilitating respond but to X treated and patients develop to and are painful commercialize of program. not comes in and therapies, with therefore sufficiently oral There gout these uniquely significant meaningful of gout, a unmet are do the this candidate patients Roughly in that leader treatment successfully to

enter next the with within ARO-XDH expect We years. clinic the to X

HZN-XXXX HZN-XXXX, monoclonal individuals, diseases, with in PDCs is present an immune individuals in inflammation appropriate numbers, X trial high tissues to June, differentiated are are anti-ILTX mechanism resulting our damage autoimmune with healthy In disease. treatment or In response to in and infection. fight found significant PDCs tissue plasmacytoid fully disease in Moving the of for of certain depleter, we systemic dendritic an the human in low hallmarks cell, driving action. autoimmune lupus a are or SLE. antibody of that concentrations initiated a PDC Phase erythematosis,

people and SLE commonly trial the compared results Our participants. SLE moderate-to-severe in a the expect XXX BICLA, activity anticipate with is in primary of the disease The enroll of of placebo forms measures approximately effect HZN-XXXX We that trial HZN-XXXX in to endpoint is we SLE used with lupus index of treatment using evaluating outcomes. XXXX. reducing

May, In cycle of that tissue was of that addition, and at mechanism our conditions. the of and end published lupus as inflammation Medicine, in Journal showing this may autoimmune causes diseases interrupt Translational depletion Science work the inflammatory on the damage such other in PDC

such exocrine ligand systemic, X Moving with condition indication chronic, pathway. of blocks enrollment CDXX thereby development that Patient antagonist the to in indications interaction continues. involve CDXX is is HZN-XXXX, expressing ligand in disrupting impacts co-stimulatory for that CDXX glands. the One a that syndrome, T-cell this is autoimmune trial immune a currently this Phase Sjögren’s HZN-XXXX overactivation. B-cells, overactivation

active HZN-XXXX In observational trials arthritis of Phase kidney and ongoing. subjects of results presented the beyond HZN-XXXX. study rheumatoid with June, the following X-month of in period safety was duration estimate are two Xb in the transplant the to other patients purpose administered assessment arthritis. in follow-up of last of we rheumatoid improvement this rejections dose clinical Our trial an follow-up conducted The

defined limited, not antagonist of interpretation the duration has X early remain of HZN-XXX, last early benefit be for patients fibrotic studies, long-term the suggests study those disease. oral with longer-term HZN-XXXX. in shown impact LPARX Of clinical better a years and baseline in our signs benefit could While possible of is the most selective these these more follow-up, data dose. administered than after than of

and with quarter. begin both third pulmonary fibrosis, to in expected IPF. have for sclerosis We the one for one two HZN-XXX, now, programs enrollment diffuse screening systemic development or idiopathic sclerosis trial in The cutaneous in trials is

that are chronic in information acute treatment case to literature patient the to series with point, TEPEZZA, in is Moving XX At with or reports TED the accumulated successful detail successful the X to clinical compared case six use TED. TEPEZZA Phase trial. see with patients in which TED, this patients treated the TEPEZZA there chronic TEPEZZA we XX of continue about in published

are their TED evaluating years chronic We’re also looking to in X progressing with this TED patients thyroid use chronic for our trial, disease. Phase X eye we patients placebo-controlled at In TEPEZZA be trial, with who X will post diagnosis.

can patients has a all better for to As is TED data patients do chronic a indication performance of and payors and decided physicians principal The increase our of reminder, physicians prescribe patients to we’ve TEPEZZA approximately TEPEZZA inform investigators, in TEPEZZA generate target XX trial. for trial and objective broad today. increase clinical on enrollment about our chronic the the chronic robustness patients. Based with the to to the to discussions of continued

enrollment of and second expect readout We the begin weeks half to in the coming XXXX. in anticipate data

shortening to time TEPEZZA later our the spent with with discussions version bringing subcutaneous to We patients by practitioners. additional market. subcutaneous hope offer for continue have time which to for FDA the administration initial We around potentially advance healthcare our this a year could administration TEPEZZA the flexibility plans program, of and

our Japan, year. trial Regarding agencies and program for on submit clinical we’re to to the design medical TEPEZZA this track our devices later in pharmaceuticals

IgGX-related glands in UPLIZNA UPLIZNA, and one in kidneys. IgGX-related throat B-cell MG of and voluntary to and a chronic, randomized rare anti-CDXX pancreas, of eyes, the X tumor-like those disease. other group such neuromuscular continues as affected mouth, antibody that depleter, For body, by the control marked the enrollment a myasthenia refers the affects our especially evaluating Phase two and that controlled MG, or salivary our limbs. autoimmune organs trials, monoclonal disorder fibrosis of humanized swelling is gravis, disease disorders in muscles the

the For the maximize medical benefits, aim our relaunch. its patients and a NMOSD about to by component for key indication, UPLIZNA we of community educating physicians UPLIZNA

presentations and supporting key UPLIZNA NMOSD. and safety One of this key three continue numerous to the of in meetings and evidence year clinical in publications highlight We’ve to data efficacy medical journals. participated continue medical to our priorities build findings. highlight body a These robust in of UPLIZNA is

First, UPLIZNA the for years. X XX% the of reduction that long-term analysis attacks showing provided UPLIZNA of for up patients from UPLIZNA of trials NMOSD X to Phase sustained data NMOSD

disability demonstrate of UPLIZNA disease of set A additional duration. prior rituximab third showed Second, status, attack. with baseline attack that reduction patients improved that data or a NMOSD regardless outcomes experienced exposure history data on in meaningful UPLIZNA

of when response we concomitant alone. second people methotrexate quarter, achieve Regarding the KRYSTEXXA, for use with complete a trial plus evaluating with did KRYSTEXXA previously the gout in our uncontrolled who treated KRYSTEXXA not initiated

increase this advance of to trials five to continue clinical benefits convenience the patients. for We medicine and

our trial two weeks, in the third currently we HZN-XXX expect to recap in coming in quarter. trials enrollment our we begin and expect milestones, TED to chronic begin upcoming our So the TEPEZZA to enrollment

call line we trial R&D We our and MIRROR trial on as second our disease, PROTECT HZN-XXXX our data from and expect the continued well trials of additional trial updating programs and in by the over expect on next in our data providing in XXXX, In now I the randomized top our earnings of half progress our key TEPEZZA year. chronic gravis KRYSTEXXA call. end details on forward for you Sjögren’s UPLIZNA SLE our as data and HZN-XXXX I’ll our IgGX-related myasthenia year syndrome. to September next to Day both controlled pipeline during Paul. in turn look trial the

will Thanks, unless primarily on Liz. this focus results, morning non-GAAP comments our My otherwise noted.

year-over-year million, XX%. of sales were representing quarter growth net Second $XXX

our as medicines. this relaunch and rare other driven strong outperformance continued the of well TEPEZZA as the of successful quarter significant KRYSTEXXA by Our growth was disease

the generated segment and operating segment operating was income million, income $XXX segment were net increase million. $XX for Orphan $XX a of XX%. Our year-over-year million, was Net $XXX million. sales orphan inflammation sales segment of

We expanding focus from reinvest maximizing continue to our generated our in the on growth cash and segment to flow this pipeline. drivers

gross XX% This of net was of sales. $XXX $XXX included of $XX million, ratio were second SG&A non-GAAP Non-GAAP non-GAAP quarter or sales, Our million. profit expense XX% of and million. non-GAAP R&D operating expenses expense

Second tax quarter adjusted income quarter $XX year-over-year growth EBITDA second was The million, was XX%. the non-GAAP benefit million. for $XXX representing of

there across seen have tax variability prior quarters. in our years, in we rate As be can

brings Non-GAAP low the The million, the were rate expect in $X.XX. rate in to per $XXX in the the to quarter second tax diluted double-digit in quarter rate income was be projected our half, first net outstanding the and non-GAAP half average were with mid-teens, the in year which second low earnings rate. full year XXX used shares. We tax million offsets line calculate and of tax share diluted shares EPS the non-GAAP XXXX weighted our

non-GAAP quarter Second million. $XXX flow operating was cash

As to billion, giving equivalents outstanding our of us and June our in This $XXX additional XXXX. to XX, significant transactions were further of flexibility operations. is growing amount million, debt in with maturity The principal earliest total cash the pipeline. invest our expand includes strategic cash $X.X

debt March EBITDA the our leverage an June XX, XX which ratio gross XX by ratio XXXX. improvement gross from last to adjusted We is target our X.Xx, of leverage to is still Xx expect As at months year-end of of be X.Xx.

our billion, to than $X.XX representing are year sales full than This our announced TEPEZZA guidance, range Turning billion $X.XXX growth an to year-over-year that $X.XX to this reflects sales we increase billion billion. XXXX guidance now in $X.XX year of from increasing to XX%. more $X.XXX guidance net full net to more our billion morning, we

expect than quarter. sales $XXX million fourth we highest expect growth representing of net to TEPEZZA KRYSTEXXA, and quarter than more the XXXX, the year, XX%. net continue year-over-year year-over-year for of sales we than for we of With net of expect more more sales be quarter Tim XX% third noted, to growth strong TEPEZZA’s As the in

to We to increasing range billion. our billion are billion also $X.XX adjusted $X.XX to from $X.X guidance EBITDA billion $X.XX

We XX% gross the year and between XX%. ratio profit continue to non-GAAP to expect full for our be

expense low expect the in be to XXXX of R&D a sales. as double We digits percent

for expense interest the approximately year net non-GAAP full be million. expect $XX to We

rate low high digits. single continue tax non-GAAP that will rate full double We the the We to estimate XXXX. be our in digits a in cash expect tax year in

changes tax could always, of any tax As make as significantly laws. rates our we a or may change result or acquisitions in any divestitures

concluding expect count over shares. We year for full remarks. approximately average to continue million diluted With it to be weighted that, XXX to share turn I’ll XXXX Tim his

Paul. Thank you,

Arrowhead We our continue and our to our growth on-market initiated execute medicines. next-generation we maximize underlying programs. TEPEZZA, other for the gout our to where pipeline rare new on continued three results, We medicines, We driven by expand our future and financial strong demand. program program, record and generated see key get to clinical disease strategy KRYSTEXXA we a pipeline with

we the increased As our total year EBITDA. anniversary net for rang of sales guidance celebrating the bell at sales, a full weeks XXth TEPEZZA public initial and net we NASDAQ, result, our opening adjusted company offering. Two ago,

of had than to medicines. so make on we an patients Today, pipeline people look questions. medicines life accomplished cycle thousands more team come. now next we high-growth, a that a having market remain growth on-market value driving have again and much when development the call the excellent the disease robust portfolio future two spanning a forward then much will profitable We cap just programs XX for path of of quarter, speaks of It progress a on since up we a executing our with $XX biotech, of We billion, to right it. rare for difference strategy, the for and open having focused leading of and a and to are reporting

Thank you, Tim.

go Justin, ahead? if please you could

Thank first Samimy you. from our And question from Instructions] comes Stifel. [Operator Annabel

now is open. line Your

great quarter on all. usual. Congratulations as Hi, a

as a bit on from We’re concerned. the granularity penetration? provide population they chronic the TEPEZZA so a So pushback that is chronic more But around acute could ask little field seeing more this bit versus to starting silly exceeded of seems hear kind are to because as tremendously. the has you far little reimbursement

bit being is quite community the academics are you that data with there? on What now group now. UPLIZNA, presentations to wanted still pretty doing as far what what comfortable understand just reception far of penetration several Thanks. And is a physicians KRYSTEXXA? you conferences as as had I and supporting as hearing from you’re at So then there versus

I’ll the things population. Liz getting of framework on continue move that I and peso the versus generation it’s original acute to in first, in to patients Relative high-single-digits we address chronic, well, chronic When look a definitely at general treated, the Sure. time to acute data. touch think can same population. from faster the PEF

that take that changed. So now a more little XX patients time, patients Liz where, not The that’s studied chronic and we there across and X reviewed, our we does been has studies had of if have program. is in at series that more requested a what data look you versus case Phase have XX

So the from significant data requests process. we’re data. reimbursement helps certainly generating we as That get

are the to first all, of continuing we the those to population. to, take One are remains UPLIZNA, longer, as continue on it expect getting through note of high-single-digits we patients the complete So expansion. chronic and but a percentage overall

field we’ve we’re So overall team. sales – been our and reworking

through process, here and that We’re the in done be third we quarter. going expansion expect to

of rituximab We can for good the some to there. and – patients. we’re a other have the to are patients initial we consider speak continue have biosimilars. being doesn’t That what of to for there opportunity data a open and Liz But hearing and dialogue hearing up switched physicians discussions options lot to is

Yes.

been are Data seem can free is are physicians. to rituximab on had see, patients high on they showing pieces to that up able to respect and time building who of recently patients to for showing with are with And resonating an had prior those of some takes do exposure a But drug impact information there going it it and who rituximab is certainly, efficacy Data be patients profile to to rituximab. there the UPLIZNA, disability. kinds we’ve the importantly, attacks share information a of includes on So proportion suggesting of well the that of data. to that X were and able is while do takes attack that years. who have long-term is you process, that that a

data be a the it’s it’s to physicians. meaningful of but for generating kind we going think sharing and do process, we’re again, conversation, So is a that

Thanks, Annabel.

Justin, next question, please?

And thank Schott next you. from question our JPMorgan. David comes from And

is open. Your line now

Schott I at Hi, it’s think, Chris JPMorgan.

that prescribing. that quarter bit better XXXX about and we’re ramp color ones in number? couple fourth for think number. I how sense, on question get run Just think physicians implied of rate to of the was occurring that’s get the about quick of trying to terms still a just the a just trying TEPEZZA, of good sense business annualized the quarter to is billion beyond to then Or sales me, kind a of fourth second restart demand? that I’m first, north a the guess, some And I’m is for how little there the for a seeing I think and on $X the exiting underlying you’re year? in more a of breadth of

lot you patients or of last think are year some talked were lot a having us kind a I you who one maybe on. seeing of about or of like rapid two physicians adopters how spend

of mentioned kind of physician you seeing drug. I the today, adoption think, broader

Just much. you’re so dynamics just that of that with seeing any interested the front? TEPEZZA Thanks on

Thanks. Chris. Sure,

With the see primary which is penetration. to continue surgeons, target, oculoplastic we greater

We’re seeing ophthalmologists extent, or smaller in we’re strong the surgeons, increased beginning of some a increase penetration periophthalmic see to community. endocrinology ophthalmologists and, to general and both

So base. still a focused prescriber

continue have we X,XXX targets, prescriber. prescribers per prescriptions and and We to see about more more

and what’s And converting really quarter look both that if really job quarter, patients – commented were quarter the the of quarter the to that seeing run $X treated. only very first drive rate. is year-over-year we of driving across those that the but that fourth that’s and on that are trends. not to now growth. being disrupted are you we metrics patients fourth at, we And going we what’s hold those up underlying growth the growth set through going third billion to on you relative converted a And So the positive look the at great patients, from quarter the into team did

So, think certainly we reasonable. that’s

Thanks, Chris.

please. Justin, next question

Thank Amsellem you. from question next Sandler. our And Piper David from comes

line is now open. Your

Thanks.

couple. a just So,

being First mix, you the had nephrology on specialist think KRYSTEXXA, talked I regarding about opportunity. an

transformative So, transaction traction going of talk go you but you in that How with we to just you. And there, what had in just getting are your gout. stage can or pipeline, broadly in Ellevio, you that’s priorities? talk And being an then And thinking get your about development. business But priorities should about think forward are or just can the more then your community? you about for also general, secondly, assets rheumatology? you Thank the you not recent can nephrology, a in bolt-on Obviously, more wanted in you earlier a kind to are just bolster deeper can big noticing to there? penetration go willing product talk about transaction. you

research development acquisitions David. of bolt-on with type On we Sure, BD, continue for Curzion HZN-XXX. we at to those like did Arrowhead Thanks. medicines look and and based and

the was with to us for is Viela that our integrate efforts. Viela, that. did strategically balance we well opportunity That sheet in. of focus as primary So, debt if access itself aligned development is the and certainly was our our an with capital very something business easy markets at it will to presents was, that Like we look that that

our but doing we been Curzion. transactions, Arrowhead rule have deals on what So, out and larger certainly won’t is focus like we with

remarks, versus And of in have early I we with a refocused beginning the first in licensing that. we to dedicated sales in like uptake see year. my as all really expect this or XXXX. around pleased part question more your seen half the year To with in transactions as prescribers are of this So, the of more acquisitions nephrology we KRYSTEXXA, force mentioned we

acceleration seeing of uncontrolled disease certainly and based patients with chronic chronic gout. can that So, to kidney half up have on focus

just patients awareness So, raising the are making a the KRYSTEXXA there. to and can them It’s that attuned that in those make patients. difference fact

So, accelerating definitely seeing are we prescriptions.

that also before KRYSTEXXA I to are trial, say, of over is you in to physicians that with patients. it’s seeing looking at acquired can prescribing plus the retreatment phase immunomodulation, have right believe One early opportunity of if that the is things reason didn’t a a we immunomodulation KRYSTEXXA at good XX% experience. to that KRYSTEXXA And restart of – number we proactively launch go back we the we are our these physicians fact are now, a look what, to but an that

term. that in of rheumatologists the seeing haven’t are we recent written So, reinvigoration

all we contributing in of is quarter, rest the the saw year. this strong So, to and the we growth that throughout expect of

Thanks, David.

next please? Justin, question

from you. comes from Cacciatore Ken Thank our Cowen. next And question

Your line is now open.

implications of on see really awareness ask interesting clinicians it performance. am It’s does team to advertising advertising. as for wanted is on I I as to for patients. about And raising Congratulations TV. this guessing Tim, much obviously, the the

the are deeper clinician at maybe launch. just into signs looking the earlier So, seeing now we wondering kind that’s base diagnosis disorder, of broader treatment. as Are you any of earlier

that cited size an So, increase. as that to product there patients that XX,XXX you before. advertising? seeing are obviously, are commentary And forms there annual we the the you lastly, around of XX,XXX think around have And enrollment Is kind the we then demand, have about about feedback, – of know the movement on just on any but you given great that kind basis. this nice that month-over-month really specific of nice I clinician talked UPLIZNA, steady more then

primary to invest just through guys $X the and work like it, you deeper indications? kind continue look above it, and a indication. you. bit more product you have Any this the thoughts does as it peak be of in invest dug behind on and commentary could billion little and Thank in behind opportunity As just lead

see we it and across diseases. billion as NMOSD as opportunity $X gravis indications as IgGX-related UPLIZNA, With well all myasthenia Sure. a with

are start, kind had here we third we see certainly good to expect over our as quarter. used the And need year. to from complete growth to but the the quarter, to good off in a business the seeing of we exit we expansion some our that certainly, So growth are

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Great. Thanks, Ken.

please? question next Justin,

Jason of Thank you. America. Bank Gerberry And our next from question comes from

Your line is now open.

questions. Good morning. Thanks for taking my

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Jason. Thanks,

Justin, next question please?

next Thank BMO you. comes from And question from Nachman Gary our Capital Markets.

open. now is line Your

Hi, good morning.

and the is to and B-cell still the now increased could on network right where that NMOSD, about that does home TEPEZZA, that with Thank UPLIZNA some used, the more the end the are you reimbursement earlier? in at on depleters re-launch before re-launch about how And infusion have or data you that or then before talked you available? potentially off-label infusion will leverage meet that needs see even expand having First, maybe demand, working with like for use MG some of even strong are the on be? you you. is improvement you UPLIZNA, it IgGX where to to need satisfied on be recovery And talk you might did where year? And all

care that Thanks, involved the institutions over infusing believe X,XXX currently network TEPEZZA. of we have Gary. in Sure. are I site within standpoint, From a care site of

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to our us that any outside just done show type the by to of don’t to that going that quarter has I heard the the the getting for driver. clinical about end getting organization uptake NMOSD. data lot – see of needed executing recent driving a positive field-based drive near-term the really of And our we drive of organization believe continued third that and and in of what’s is as So, not a have to differentiation is place expansion back a in use NMOSD. and that we It’s getting as our UPLIZNA.

Thanks Gary.

Justin, next please? question

question next you. Citi. Navann Thank And Ty our from from comes

Your line is now open.

terms May payers Thank campaign aware questions. are my the enrollment of comment good of during on Hi, you. taking then benefits did QX morning. you TED, Thanks early for help with case think on forms. those you And you could have studies? becoming in the the evolution us quarter? chronic Can patient TV And proptosis TEPEZZA And in of do reduction?

continue is As case that time. far studies, as the the to awareness going to of over increase

authorization go patients that around and that the chronic data appeal the think where upon then on is request. prior process typical TED awareness I provided process the is the through,

were first the about rapidly the the generated and in in average, where through So, the there. that – the we we quarter, to saw quarter, And part on definitely able reinitiated majority progress to infusions. weren’t start were generated quarter fourth second is and they who of process. able disrupted treated the patients patients were vast also convert who or – great of were to Relative the PEFs in their TEPEZZA were halfway we treatment,

Thanks Navan.

one got have we please. more Justin, question, for time

you. from our Thank Jefferies. from And last comes David question Steinberg

open. line is now Your

a mentioned time? Could strong to Any been an have factors I the could reach to on on question ads, go they very margins. margins DTC terms where that investment very another productive. op year. know follow-up know they XX% thoughts your level? Secondly, Tim, over you morning. I margins operating in quarter of in relates posted Good mid-XXs. other first looks be like My intended is Thanks. this you It the

the of of in a saw mouth. just about you [indiscernible] of patients just the prescription. them launch, talked who and piece and had TEPEZZA we in word And said and came who that of had because paper he third said curious KOLs given a came you of the of patients in a and I – am you couple said the early One ads, has a

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it. Sure. Thanks, David. I appreciate

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there we patients hearing responding. some is regularly seeing a patients find are Qualitatively, qualitatively visits driving are treats finder, they specialist about And the We very hearing Thyroid are to are. is that stories And are same and good can key there Eye so Disease. of you progress someone to really the specialist finder. the versed that we thing who in

markets ex-U.S. with protocol in prepare, to on international Europe, getting as talked for about, progress an Liz So, number continue we TEPEZZA TEPEZZA a outside there. specific standpoint, the don’t Japan. in have From

update point in an We for have don’t continue for Europe UPLIZNA to at drug ramp We on this designation up in time. TEPEZZA our pre-launch efforts orphan in Europe.

And on margins?

Paul? margins, on And

David. Yes,

So, right. you are

like this the we midpoint expansion low-XXs is continue programs, company, said as absorbed towards would R&D we and when at our for to which we beyond TEPEZZA sales guidance, near have sales. We And rare get drive Viela the and in ‘XX the next these the to look mark. at And expect margin margins and year, their peak to of really you we XX% year disease all we expect that expect and – margins EBITDA the KRYSTEXXA, guidance.

this X webcast That you, thank of replay Appreciate A call morning. this our you, Thank available approximately Justin. And call joining concludes in David. us. hours. will be and you

conference for you This today’s concludes participating. call. Thank

now disconnect. may You