ADC Therapeutics (ADCT) 8 Aug 232023 Q2 Earnings call transcript

Hello, and welcome to the ADC Therapeutics Second Quarter 2023 Financial Results Conference Call. My name is Corey, and I'll be your operator for today's call. [Operator Instructions] Please be advised that today's conference call is being recorded.

I would now like to turn the call over to Eugenia Litz, Vice President of Investor Relations and Corporate Communications.

You may begin.

operator. you, Thank

Press issued XXXX we is release our under announcing on This results a and quarter the ir.adctherapeutics.com at financial ADCT release section. business second the morning, website press Releases updates. available This

questions. XXXX Officer; the business On Commercial Herrington-Smith, our highlights Officer; Pepe and Officer; Chief Officer, call Financial quarter Medical Chief Carmona, Chief review Kristen Chief today's financial Zaki, will Mallik, opening call, and Ameet for results Executive before Mohamed discuss second recent

begin, like during some conference statements would we the of Securities Reform the the call forward-looking U.S. that Before remind listeners of Litigation of Act I to contain harbor meaning statements this within of provisions Private safe XXXX. made the will

well future alone our our capital. our or repay future our partner timing FDA either ability achieve combination alone and financial our future for to strategic for and the of ability programs our efforts, prioritization plan, ongoing for and XXXX and in and Examples and either projections, of for ZYNLONTA our partnerships forward-looking access products, or cash to actions and volume forward, statements clinical plan revenue for authorities, guidance products, expenses, and restructuring include field debt future our partners' for approval operating products, our development strategic share capital foreign products impact obligations revenue through launches products, and or those and our with market outstanding partners, strategy, regulatory updated product and acceptance, our business potential our combination as products, our in strategic trials related commercial our requirement including and with of growth to and portfolio allocation competition results, regulatory results future development our market either future to growth, as alone operating

today's filings the press subject on as and results They slide accompanying identified release actual filings Form X-K. in presentation are the on could XX-F risks and and Slide to are with statements company's and SEC forward-looking recent materially. and differ ADCT's described the Form These certain X periodic uncertainties, on in and updated in

conference is of to not new forward-looking The circumstances any ADCT hereof, statements. call in of obligation after this does place of or any undertake cautions forward-looking required today's as or information as update undue and otherwise. the to date statements these the events call law by investors date information, providing contained this on the not except as conference future company reliance result

financial measures with Today's measures. presentation in be These includes as isolation in prepared IFRS. information have non-IFRS as in to accordance measures the non-IFRS substitute financial not considered limitations a also addition or for and and should

and to should for earnings information measures contained company's comparable You in quarter definitional second of the IFRS non-IFRS release measures. financial the historical refer the to information reconciliations

It is Ameet our CEO, Mallik. over Ameet? now my pleasure to to pass the call

Thanks, Eugenia, and on during all update us. an quarter. pleasure provide to joining second the It's you progress my thank our for

gross up to were $XX.X we Compared GPO including new volume grew policy slightly and growth prior offset higher just net, year-over-year. The up slightly net and over by ZYNLONTA, with sales Starting was dollar drug of million, the the by discarded quarter, delivered X%. Medicare sales with XX% contracting.

the by completed coming see implemented and to expect June, the and we the and QX, during changes healthcare treatment in organization go-to-market with XXXX exit with evolving Importantly, of better progressive rate. the benefit ecosystems the our local from of a staffing months end to commercial model We healthy to new these align a dynamics. run we

China, agreement sale in purchase with under of the ZYNLONTA ZYNLONTA milestone sale In first a and the BLA payment review. NMPA priority with the our our for Germany. This expansion, geographic Partners. million European and submission As accepted partner, triggered financing sales launch completed $XX HealthCare Sobi, granted for Royalty commercial

Japan, study. Finally, Tanabe X/X Phase partner, our the bridging initiated Mitsubishi in

for ZYNLONTA. did clinical data-driven development not example This clear took regulatory an LOTIS-X see disciplined to clinical a the approach and tough we strategy. Phase our to We path development Turning decision proactively program forward. the as decisions our to of capital is allocation trial discontinue our clinical X

We nevertheless potential patients unable disappointed are option. we are these that to new a offer

combination Phase Phase Loncastuximab and of plus X X our Separately, LOTIS-X ZYNLONTA ZYNLONTA our continue ongoing clinical progress and of as to second-line, planned. LOTIS-X in second-line trial with in bispecifics trial confirmatory

As include patient very different from a reminder, trials these both of populations LOTIS-X.

the programs. investments during our Turning quarter, to in taking enhanced the we to pipeline, focused opportunity and our of the portfolio expand accelerate development remainder our prioritized

we particular, we result, next AXL from In from to Phase initial potential data months. targeting value-creating ADCT-XXX a look the expect KAAGX. several targeting XX and forward data in As share ADCT-XXX X to readouts

X We also additional expect targeting to CDXX. from share Phase data ADCT-XXX

overall, announced three the I capital new quarter, pleased executed strategy am allocation we summarize ago. months To we corporate and on with how the

our with ability now the business remain path coming to tremendous and and the up, catalysts has commercial pipeline in to model the months, we executive execute cash see us new ramping over value provide expected I that unlock plan. my meaningful XX months confident continues Our is on runway and the to next our potential team to our a years. are I on

Kristen? call commercial update. that, like over turn Kristen I'd to the for With a to

ZYNLONTA. It pleasure on share an update is to Ameet. Thanks, my

with end continued heard, and was evolve XX% staffed you of field had during first, the during mind competitive significant factors: to the sequentially implemented As in bispecifics. two our the we the to quarter second landscape model, quarter headwind. important net in entry already sales as gross year-over-year disruption of June; despite net second, the were the and go-to-market new of which we two Keep up quarter grew slightly by ZYNLONTA

I new in and to working in to left am sales the July have along forward. tools with a have would new newly setting that for third-line-plus and structure to team. approximately place the environment. of in we now in this in ZYNLONTA together potential for With competitive align uptake growth of field our at say to place and hired therapy. confident future we half fairly I or meeting was put engaged came commercial This as proud right national stated, the lines in be to mind, now view deployed in meeting that increasingly to beginning our foundation the restructuring no field energized, model. this was third-line, field this critical force newly a recognizing the force Ameet future. earlier optimize long-term roles, As done both and undertaking the significant Acknowledging ready drive to the is implement been small hard there am we of and disruption our compete And the in force way,

model, expect to new demand in progressive the during under up ramps team ZYNLONTA see the second half improvement year. the we a of As the

driving the will on potential. significant in pull-through each We still while where geography influence to there to other and accounts top remains lags and awareness that of community, untapped focus continue novel agents,

we on smaller As with one, experience local based key realigned focused a and centers. teams complex hematology community roles: two around an specialists in institutions; two, the to reminder, have navigating account manager

the therapy we a and adopt rituximab-based treatment clear you have older highly As continue Community physicians has fragmented to in to role ZYNLONTA with that play is regimens. remind to long-term standard the been I DLBCL, slow newer believe continue of market a to which no of use evolves, third-line, third-line-plus care. landscape

team their long-term unique safety their and With with the thought is focused reinforcing for administration. academic in advocacy of ensuring respect excitement the but launch monotherapy, help appropriate some drive potential to The unique products, ZYNLONTA to and to clearly ICANS about for profile also particularly leader efficacy, of these is the recent inpatient are HCPs the patients CRS bispecifics, clinical working and there given growth. in use the setting. attributes on recommendation determine

short community believe is durable simple treatment We or with time recommendation. settings, inpatient its without the profile and particularly safety across to no suited manageable day CRS different ZYNLONTA given REMS dosing response, efficacy, ideally

In a patient durable efficacy in reinforced heavily ZYNLONTA and ICML of the from fact, recent pretreated data population. EHA

achieved at for duration complete patients who reported yet response. the we two-year Specifically, reached was the response of median follow-up, a not

As with remains new and longer-term we we poised unchanged. for commercial we growth our deliver model, are improved execution our believe opportunity

XXXX for rate, years in ZYNLONTA success the ahead. expect run with up exit strong a us to setting We

With that, to Mohamed. over the call I'll turn

Kristen. you, the an to on my pleasure share update is Thank It pipeline.

have Over drive believe we the last able to of on we our our been focus which to quarter, our efforts and resources through highest pipeline, R&D the potential value. programs, prioritization advanced have more the

LOTIS-X decision First, mentioned, study. made we as the discontinue to Ameet the

other important of treatment this LOTIS to seen it trials, believe strongly the the seen It is emergent all date, X have company right to do. in that studies treatment in including events with community, a to in LOTIS-X thing [launch] and disappointing been not X. note us at to and the While I was the (ph) adverse is the monotherapy

at LOTIS-X scheduled regularly late proceed the IDMC data addition, In should planned. reviewed in and July as a study that the noted unblinded meeting

recognize also that different target LOTIS-X populations. patient LOTIS-X trials the We very and

continue next enrollment expect We to of in completion year. LOTIS-X

combination at reminder, the eligible has was for the year. data and not plus and a in expect medical the of ZYNLONTA half SOHO transplant early update rituximab we a patients safety XXXX, this examines at The provide trial encouraging lead-in produced As second second-line in released of and DLBCL to an data. meeting

in ZYNLONTA with refractory relapsed to combinations and This to of our Moving glofitamab is study LOTIS-X. explore lymphoma. novel mosunetuzumab biospecifics or non-Hodgkin Roche's

in for potential and, significant novel could if of believe we treatments. change the lymphoma novel, be the successful, believe the patient LOTIS-X lymphoma cornerstone treatments future, treatment we benefit systemic Here, the will In paradigm. see chemo-based we non-Hodgkin non-Hodgkin of place combinations

believe potential with that additive patients to as know we the and targeted malignant or by in which have have the antibodies either manageable Roche both refractory terms the bispecifics, targeted even ZYNLONTA. non-Hodgkin that of combining we well by of expression one CDXX, efficacy synergistic B-cells broad is CDXX, which lymphoma. with and the or In relapsed is as of hypothesis, ZYNLONTA Consequently, two toxicity demonstrated bispecific consistent

shown level Our this the has approach excitement combinations. of high reflected a explore community, these at in physician to interest which is novel also

next early expect We to continue to share year. from data LOTIS-X

studies, to our substantial clinical own I to in in explore interest note would combinations also novel across ZYNLONTA investigator types B-cell like encouraged the beyond see of to are malignancies. multiple we community and that

an been of targeting a be approach. ADCT-XXX well suited rest AXL ZYNLONTA, validated beyond the for starting pipeline with the to ADC has to AXL. Turning target that shown is

We Phase for Patients for cell have IHC of In approach. cancer. and in an working Phase of the the the treatment are parallel, reached. a study with has biomarker assay patients X patients ADCT-XXX focus tolerated yet finalization on treated currently and towards dose to study with been being are successfully not sarcoma we X amended lung non-small monotherapy maximum possible

from trial indicated, data have of half As first initial Phase previously the this X we in expected XXXX.

target that solid next protocol amendment schedules agent to ADCT-XXX finalized been have advance tumors. we approved, first-in-class various targeting this submitted Turning different KAAGX, Once level. dosing to is novel, and plan to the explore The authorities. regulatory dosing to

assay, we we half completing of with and of to validation share first As XXX, in the the are initial IHC data XXXX. expect

in Finally, CDXX Phase acute or I would X study ADCT-XXX, patients the leukemia. targets discuss with which relapsed to a like lymphoblastic refractory

As responses have accelerate been selected conducting ongoing in The with in MRD December program data refractory showed is ASH at a Cancer clinical initial which population. this we patient negative and to collaboration XXXX, Anderson complete help Encouraging Center. sites trial reminder, new enrollment. was are highly presented in MD trial

XXXX. As additional shared from the of we expect be have XXX Phase in of to previously X data study first the highlighted, half we

progress to of the forward the pipeline providing on months. look coming further I our updates over

give With financial call the that, I to to a over Pepe will turn update.

Mohamed. you, Thank

review update second operating efficiencies. increase I efforts quarter, I on our want an provide financials to the Before for the to

on procurement past Over months, vendor expenditures we have pipeline. the and consultancy, prioritized we reduced few and our external have

a the our also workforce in company ZYNLONTA. reduced maintaining footprint headcount while behind approximately We customer-facing relatively XX% stable across by

expenses ensure operating portfolio Taken expect and below this levels, both that remain year XXXX will Mohamed organizational investment our next despite together, in help these we efficiencies enhanced that focused the described. our

will initiatives Going maintain will will be capital our allocation. meet continue that with believe a data-driven and decisions pipeline be we to on disciplined XXXX. our of the ensure We development to we cash runway forward, these our

to quarter, starting financials Turning the sheet. now for with our the balance

Europe increase a As had the we HealthCare increase million partner from first Sobi. sales at reflects of million $XX end the of in the from cash of Royalty receipt $XXX.X of June quarter. the cash our of and The commercial our equivalents million, $XX milestone on first position XX, payment Partners representing ZYNLONTA a by

Moving to the P&L.

net heard, already second you of ZYNLONTA were versus million and XX% quarter. $XX.X sales slightly XXXX, in the quarter, prior As the up ahead QX

down Moving P&L. the

compared non-IFRS to the with earlier, referred were to basis, down stock-based a prior the This expenses period studies same year-over-year. on to were XX% well due efficiencies reflected XXXX. for in expenses the expenditure a together which in mainly operating compensation, combined Our clinical as broadly excludes price. operating number I our of ZYNLONTA as R&D the fluctuations Commercial discontinuation of share reduced a maintained year in

As you this measure of release tables non-IFRS the find to today IFRS measures accompanying of appendix presentation. and reminder, of issued a financial can the in reconciliation in earlier the the press

Moving the On an the IFRS diluted million we second a to quarter loss share. basic reported bottom basis, or $X.XX per of $XX.X P&L. of and for net the

the start which this means in Finally, of double-digit share pipeline. with year the to and pay XXXX, that by XX we development and to I milestones ZYNLONTA, like expect next over for growth potential months. brand would end the ZYNLONTA indications part achieve the will This profitability. Starting of expect to some new value-driving we commercial

share Phase X In our meeting the later complete results portion study expect study. the LOTIS-X XXXX, expect to we a also data LOTIS-X, from we setting the We from in enrollment expect at confirmatory share to of of initial and this some to LOTIS-X second-line updated safety-leading medical year. the

data In of for initial share first additional the to terms XXXX, expect from of data and ADCT-XXX from study we pipeline, X in ADCT-XXX ADCT-XXX. the half Phase the and

our number anticipate ZYNLONTA pipeline. milestones, for and a we of So, both important

With that, Ameet the to closing I will call back remarks. for Ameet? turn

Mohamed Pepe. Thank and you, Kristen,

stakeholders. help a confident the future for capabilities execute creation To as conclude, on strategy we our all are value our clear to well to roadmap we as have drive

future are the forward excited and about progress. to updated our on look keeping you We

questions. Now, will the available for be Operator? team

[Operator first Shi of Kelly line Instructions] comes Our question the from of Jefferies.

one first commercial on is The side.

on price? term penetration in you long more ZYNLONTA, ZYNLONTA's is and the what the partner restrictive of to is the the As do your CAR-T EU drug use And launching higher think do region you agents due the bispecific the U.S.? in expect exceed to

of you, actually seen Thank some for the you the be Also, more the bigger. standpoint, slightly from appreciate expect we've penetration same Europe it would Kelly. volume there than be in to We a market Europe And U.S. in pure limited date case bispecifics. the at to question. to look I do in the expect as when CAR-T I is

So overall, we volume more in in for ZYNLONTA significant opportunity, is the term long believe, even the Europe.

be in obviously Of And be Europe. base, course, lower and U.S. in than there's will the market-by-market differentiation. will pricing pricing general

of the because, starting second is expect We country-by-country the as you course, Northern other in a on launched It of Sobi -- Europe. in countries, progressive Europe, number launch in basis. sort occurs to in of a to quarter, Germany. heard, particularly country be Reimbursement, country is launch in a by

next And more over in countries of so course the that year, over over progressively And occur of the launch Europe. will the time. will course Sobi

continue you second the to half the expect And year, also level the do stable for stay or of gross-to-net increase? to

Gross-to-net.

the question. Thanks I Sorry, hear you, for Kelly. couldn't

how of over on We year. accruals in gross-to-net be expect estimate, the general, and business stable we always prior mix to to There's stable. depending fluctuations versus be a but see reasonably going the behave

how pipeline, And will this should for you just through medical you then us amendment? also elaborate first triggered could announced outcome? be KAAGX, expect the data data you the press the could for And remind and year. also the protocol lastly, XXX, from meeting release? And XXX impact on a half we at on clinical And in or what next the will

regarding announced, a depends decision. when we that. and set how the For timing evolving the of on first It the prepared question get haven't made data we

as will we we update forward. so, market go And the

obviously have transparent disclosure. share of the we and all We be at will data the time

amendment? the you take on KAAGX second the do And on for question protocol want reasons the then Mohamed, to

Yes. reasons There's amendment. for protocol three the main

satisfy to there's will next want and finalized the assays improve a and under immunohistochemistry to way. Optimus the patient success First, dosing of validation explore regulatory in the for an protocol to that. requirements company to I to in approved for proactively could if in study of possibly with advance by selection the submitted probability experience FDA, we Once dosing relation also the be and IRBs, to FDA been be submitted actually increase Project clinically has patient used plans the Europe. Phase different see X level. The shortly the also add final through and KAAGX to authorities amendment schedule effective targeting need

next Instructions] [Operator Gregory Markets. the Our question comes line from of Renza RBC Capital of

of with less of This is are I head-on curious you to see up the you fee and there [indiscernible] dynamics more follow-up. a Gregory. strategy anticipate have bispecific. for fragment for with having about I'm Or competitive? the certain grab most bispecifics? regard the with competition market commercial a that's Do Then, do

the for Yes. you question. Thank

saw some negligible we us administration. academic impact will both believe centers, bispecifics we of and for and safety mid the for the late in the our second launch to but be QX heard on physician really with then, inpatient So from long-held in excitement community, recommendation bispecifics have view based consistent profile to have limited the Since quarter. seen we the that

key the in possibly non-overlapping ZYNLONTA to potential toxicity untapped driving the us, In long the due or their about action of course, ZYNLONTA to For community. as growth is well with the profile. distinct opportunity opportunity really as we're combine term, mechanisms excited the the bispecifics of for

the basically? preference I'm percentage question, second treated for if any my of received target CDXX there or not, with you ZYNLONTA CDXX if different post can been on a because curious I'm then And curious patients just comment just CAR-T. what previously has who is

Sure.

CAR-T those when patients. an patients, say the in it the it's option and for ideal the because I efficacy, academic for type ZYNLONTA, see I patient they ask is do post their So percentage. don't have centers physicians exact the that we majority, the can

concerned don't about So, think CDXX. I CDXX they're to

yet. that haven't We heard

very of you it's in I academic think the uses I limited is dynamics because CAR-T setting, No, CAR-T different the playing that third-line, most if community not is post setting. and agree. our third-line Obviously, in plus out mean, in setting. I look, community more much Yes.

So post increased of CAR-T, just academic it's number In different majority given penetration the setting, therapies. the the setting. of after other is of our second-line in use that's the a CAR-T

Instructions] Tazeen at Ahmad comes Next BofA. question [Operator from

on [indiscernible] Tazeen. for is This

question first metrics quick targets any the calls? expect in new And Just a XX your earnings the new on strategy's you specific strategy. specific go-to-market highlight from for at should benefits team the to future Can on six we months? us

question. Sure. Thanks for the

say teams significant now QX. There are new really, in place. -- field the would our roles. either I in the team our XX% was in And customer-facing or So force in entirely new was disruption of case,

is can effectively, in So we that say I confidence our customers. not the front changes with have in now that team ramping But and is that half up, team of of real that place the is untapped continue made, foundation drive as setting as we've for to the academic build drive continued and ZYNLONTA, opportunity will centers the community the the there. adoption on and well which in that

more to So come.

believe inertia model, make behavior But is older your is progress then one community we in done relevant versus overcome. show can to are continue just in And have new our academic of show grow change community we'll, that the of the The we'll goal. metrics with regimens. the we past. based we've actually question growth, in -- And chemo we we community. progress to against the course, as example, the the steadily to for competitor biggest things big believe the the about around of opportunities -- in terms metrics, based Again, to

Capital Instructions] the Naureen line next from of Securities. comes question Quibria [Operator from One Our

-- be have you just you wind older from by about think drawn able that anything study. that? of to curious can And label population, line? -- be down since frail respiratory Is that that LOTIS-X share the would down you events the I'm there there label sort those would were as in related be the I So, that, do current impacted

Sorry, go ahead.

bit potential both deemed individual all hand and have and or on go comorbidities was there's believe more specifics. assessments a it the we just the treatment, it label population, in of trials. to little accept of And Mohamed. you, when I'll they terms our Yes, then current through don't look to you at were whether Mohamed age and just But the as all going a any I'm the Mohamed, underlying investigator to any Maybe, likely on relation impact one other start happened, which unrelated. deaths exception, will

this regimen ZYNLONTA. believe stop don't don't believe has Mohamed, we with into the likely. study. updates, will rest you don't do most we we to any impact But go be But plan the on more So, made any we more can spillover, And on any because choice detail. there to providing of the the

Yes. that's and question. Thanks, Naureen, an excellent

ZYNLONTA of patient of that likely rituximab, the I make to sure we LOTIS-X when and there's plus want the in a the with significant think underlying is study. it want for do above unfit, were treatment that clear fatal are you to comorbidities by I definition between or or which fail remind many age not First, events relationship the many reasons. years enrolled and on XX active an of

was signals course, study that have to weeks highlight to LOTIS-X, highly Of as meeting to for Also they and the a planned X recommendation really population or proceed notable there safety our consequence, or it PMC no planned the is. with ago, a LOTIS for observed label and no would unlikely was different where enrollment changes. important two very as in than X qualified is

believe the As time. Ameet any to LOTIS-X at do is there we label mentioned, this readthrough not or LOTIS-X or

helpful. Very Thanks. Terrific. right. All

been everybody launch And has obviously, so the of [indiscernible]. mentioning

for enrollment study? So, to and of with studies, that the since impacted LOTIS-X? I'm pursuing they're so are you any strategies just LOTIS-X, And to -- also ensure continued strategies. regard for expansion many are DLBCL sort recruitment there employing wondering Has

a study LOTIS-X studied that LOTIS-X different fact, LOTIS-X, investigators enrollment the of or on being impact LOTIS-X. seen and not population the well for very the very understand the due to population have is we any and the fact and between again As of matter mainly difference

in we impact of continue an complete believe we And to enrollment will studies. did on XXXX. in LOTIS-X enrollment that those we not So, see

a If seen to the clinical operations honest, recruitment and while, be for we've going these studies of side, LOTIS-X. the joined him changes a right? on acceleration have bispecifics, in been Mohamed to don't think number much an since of to changed. credit regards seen implemented I anything, -- So has the he With we've overall give on actually

well the track study complete to said. year, we're on we've next as So,

One more also sarcoma. about non-small you product Mohamed. these and going press for we lung knew I In the before. you're AXL XXX, the candidate -- moving in release, believe about two? with selecting sarcoma mentioned cell you're the forward cancer rationale the that talk Can you for

lung about that our two studied but efficacy the if selection tumor BioAtla With based cell also know It's It's expression again the are based models showing highest we really Also, -- testing based types. preclinical types, -- both other the on sarcoma a for on highest on those those expression tumor and non-small higher work, thanks question. they and the on. really and target in you of cancer. the models showed and on

believe So, it types. two those looks we tumor the kind we be the definitely exploring positive, will AXL are validated first that of target, other a as and if And study.

Peaker the next Cowen. Our from TD Instructions] question [Operator of comes line Boris at

on This Boris. is Nick for

for two me. Just

throughout that The first rest the you anticipate a you XXXX. stable of one, mentioned gross-to-net

that do well? that So, XXXX was throughout wondering, -- to increase, plan what? is decrease Or just or you that to I as is continue going for

combinations? one? positive, to different the If running types few LOTIS-X, your approach combinations. would different ZYNLONTA a you for clinical side, that? what's Or LOTIS-X on multiple do I plan that of you're then, know with forward pick plus to with the And you best continue

at On year. change this next the to gross-to-net moment, any we gross-to-net don't from side, expect, this in year

it to we last we So forward. stable from increase, before, stay had as and explained then an year going year, basically, this should

Yes. Mohamed, then want do you to take question? the And

bispecific be to look the which of, although of overlap no that, between we'll terms in profile but combinations any. two two the safety [indiscernible], regard it's efficacy, or data-driven like maybe we defer, the could selection With is looks types. decision, in Yes. how like how if -- tumor the making based forward see seeing a in And and agents. It any LOTIS-X, DLBCL for, responses we'll either And will clinical there possible, believe the to or course, move be the durability one a observed, be on addition, of of pharmacology, [indiscernible]. different really

So there that would is to any bispecific any exploring could bispecific currently we in agent's meaning choice but -- we almost ZYNLONTA be be the an of combined two, the remain different ways development. that with agnostic being to believe

[Operator Instructions] Our next question Morgan Hung comes from of Stanley. Jeffrey

is This Hung. for Michael Riad on Hi. Jeff

they targeted first to topic new the On And centers? the academic one, the field so covering extent and exclude raise how accounts does take? community model, and what ZYNLONTA with could be to awareness drives

is What the...

you're So we are model, Is question? targeting accounts? how and academic new the with community saying your big that the

correct. that's Yes,

Yes.

Okay.

maybe So two model describe could you the the in different roles.

Sure.

with navigating focused folks on So roles we and experience extensive who complex accounts, have staffed it is have the top-tier that we two in the One new model. institutions.

focus is on primarily role really other community. The the to

patterns clear question. that make local your of they're strong have but teams local the you referral knowledge dynamics to of accountability, lines So, I to of answered and smaller really on. want take into sure so advantage organized and

sales academic account, interrelated. that accounts the particularly satellite focuses very -- big DLBCL, Cancer Florida institutions, whether it's on our the big and Cancer, and dynamics, those on also whether or accounts, are the centers. York specialist of that but are Tennessee account specialist community, managers in all these Knowing other New large Oncology, community on community academic large -- and it Oncology, big the focused big Blood the focused then Just and institutions managers the be Texas centers

want added you That's the really helpful. that to have of Thanks. you And ability then maybe soon as how a confidence on IHC data biomarker would And color have approach? its follow-up XXX. see Do development? could to we see What any guide for XXX and in implemented? sort to

mentioned this we stage, -- developing At are earlier, assay. immunohistochemistry I are as we the

we we the target differentiation correlates of assay be will of study. an a need of We in first response, samples a Phase with terms And clear in testing level will see that that and in we a retrospectively patients. preselecting be expression have the possibly X if

However, that's will immunohistochemistry of not, to be of it bit assay. the needed be or what an if little now early using is that right overall the possibility but thinking tell a could

[Operator from Our the next Brian JPMorgan. line of comes question Instructions] Chan at

Maybe plus sales just for Any impact factor should there the since force of we rest what of approval the ZYNLONTA in from potential for in the back for your or readthrough sales April. that on the R-CHP sales, seeing frontline year? Polivy wondering trajectory you're

Sure.

customers we are do that folks market Polivy. So, not that patients. seen have what we whether the And with eager from appropriate once research plus. to we primary will as opportunity for [indiscernible] is opening for this later know Polivy in here, in uptake the frontline and we it's it of used or is and third-line, it ZYNLONTA use the up speaking what setting, lines setting majority in potentially third-line with they've an And also frontline just see

then progress the of European will on for elaborate the the can launch, launch And how country-by-country on the you rest year?

I sure. as mean, you I thing. is country-by-country Yes, mean, reimbursement a know,

country. the better And is so, there. Typically, is pricing obviously first Germany

in European is launching Sobi markets. also Northern

just Italy or have course, takes Spain, longer. you regional Of in markets where certain like reimbursement, it

outside have are access across market well most also, in they're And Greater of to even as countries those know, procedures territories rights Europe. beyond China Japan. the underway a Europe international you so They with lot and of

preparing actively also territories in those as well. they're So, for launches

Sobi, well executing the think see we we they're now. really and right our from strong that progress partner, launch So,

turn Ameet the for to conference like remarks. Mallik now would closing over I back you. Thank to

have to very in want for on our nice thank of you that We I appreciate updated our I the you. keeping and your support. all look you all hope today. joining company, call to just for I continued day. and a Thank thanks your progress, interest you forward Well,

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

disconnect. may You now