Core Viewpoint - The collaboration between药捷安康 and Neurocrine Biosciences aims to develop NLRP3 inhibitors for treating various diseases, with a total potential value of $881.5 million [1] Group 1: Agreement Details -药捷安康 has entered into a patent transfer and research collaboration agreement with Neurocrine Biosciences, granting Neurocrine exclusive rights for development, manufacturing, and commercialization outside Greater China, while retaining rights in Greater China [1] - The agreement includes an upfront payment to药捷安康, with potential milestone payments based on development and commercialization progress [1] - The total potential value of the agreement is $881.5 million, which also encompasses research collaboration to further develop NLRP3-related technologies [1] Group 2: Scientific Background - NLRP3 inflammasome is a crucial inflammatory complex within myeloid cells, with elevated activation levels closely associated with insulin resistance [1] - Chronic low-grade inflammation, triggered in states of obesity or metabolic disorders, can disrupt insulin signaling and exacerbate insulin resistance [1] - Inhibiting NLRP3 can reduce inflammatory responses and lower reactive oxygen species (ROS) production, thereby improving the cellular metabolic environment [1]

Core Viewpoint - The stock of药捷安康-B (02617) opened over 6% higher following the announcement of a collaboration agreement with Neurocrine Biosciences to develop NLRP3 inhibitors for various diseases, indicating positive market sentiment towards the partnership [1] Group 1: Partnership Details - On November 3,药捷安康-B announced a licensing and research collaboration agreement with Neurocrine Biosciences, Inc. to develop NLRP3 inhibitors [1] - Neurocrine has been granted exclusive rights to develop, manufacture, and commercialize the NLRP3 drug platform outside Greater China, while the company retains rights within Greater China [1] - The agreement has a total potential value of $881.5 million, including upfront payments and milestone payments related to development and commercialization progress [1] Group 2: Market Reaction - Following the announcement, the stock price of药捷安康-B rose by 6.58%, reaching HKD 195.9, with a trading volume of HKD 6.5627 million [1]

Core Viewpoint - The announcement of a collaboration agreement between Neurocrine Biosciences and the company for the development of NLRP3 inhibitors has positively impacted the stock price, leading to a significant increase in share value [1] Group 1: Agreement Details - On November 3, the company announced a collaboration agreement with Neurocrine Biosciences for the development of NLRP3 inhibitors aimed at treating various diseases [1] - Neurocrine has been granted exclusive rights to develop, manufacture, and commercialize the NLRP3 drug platform outside of Greater China, while the company retains these rights within Greater China (Mainland, Hong Kong, Taiwan, Macau) [1] - The agreement has a total potential value of $881.5 million, which includes upfront payments and milestone payments related to development and commercialization progress [1] Group 2: Financial Impact - Following the announcement, the company's stock opened over 6% higher and was trading at HKD 195.9, reflecting a 6.58% increase with a trading volume of HKD 6.5627 million [1] - The potential financial benefits from the agreement could significantly enhance the company's revenue streams through milestone payments as development progresses [1]

Alnylam Pharmaceuticals - Alnylam's market worth exceeded many large-cap drugmakers, indicating a challenging position due to high expectations from investors [1] - The company reported quarterly revenues of approximately $1.25 billion, surpassing analyst estimates by nearly $300 million, and boosted its financial forecasts [4] - Amvuttra generated $685 million in sales, exceeding the expected $622 million, indicating growing demand among patients with transthyretin amyloidosis [4] - Despite strong earnings, Alnylam shares fell nearly 7%, attributed to high share prices and elevated investor expectations [3] Biogen - Biogen's latest earnings report showed revenues just above $2.5 billion, narrowly exceeding Wall Street expectations [7] - The company’s aging multiple sclerosis drugs accounted for about 40% of total revenue, while new product launches showed muted performance [8] - Biogen revised its revenue forecast for the year to flat to up 1%, but lowered annual earnings per share estimates to $14.50 to $15 [9] Neurocrine Biosciences - Neurocrine reported a 28% year-over-year increase in net sales, totaling $785 million, but shares fell by 9% following the announcement [11] - The company plans to invest an additional $150 million in expanding sales teams, raising concerns about future margins [12] - Neurocrine received a civil investigative demand from the DOJ regarding Ingrezza, which may have unsettled investors despite a solid quarterly performance [13][14] Bristol Myers Squibb - Bristol Myers' earnings report was positive overall, but the performance of its schizophrenia drug Cobenfy was seen as underwhelming compared to other products [15][16] - Cobenfy sales reached $43 million in the third quarter, with ongoing trials testing its efficacy in treating Alzheimer's-related psychosis [18] - Despite uncertainties surrounding Cobenfy, Bristol Myers' shares rose 7% due to improved financial guidance and quarterly revenue performance [20]

Core Insights - Neurocrine Biosciences reported strong third-quarter sales, exceeding analyst expectations for both Ingrezza and Crenessity, with total sales reaching $790 million, a 28% increase year-over-year [5] - Ingrezza sales were $687 million, up 12% year-over-year, while Crenessity generated $98 million, significantly surpassing forecasts of $68 million [1][2] - Despite the strong performance, Neurocrine's stock faced pressure due to concerns over salesforce expansion, slow uptake of Crenessity, and ongoing investigations by the Department of Justice [3] Financial Performance - Total sales for Neurocrine Biosciences were $790 million, exceeding the projected $747 million, with adjusted earnings of $2.17 per share, beating forecasts by $0.10 [5] - The company reaffirmed its guidance for Ingrezza sales between $2.5 billion and $2.55 billion for the year, with analysts predicting $2.53 billion [5] Product Dynamics - Ingrezza is experiencing pricing pressure, with a projected 6% to 7% year-over-year decline in net pricing for the third and fourth quarters [6] - Crenessity's launch has been strong, with about 80% of insurers reimbursing for the drug, contributing to its sales success [10] - However, there was a sequential drop in new patient starts for Crenessity, with only 540 patients starting treatment in Q3, down from 644 in Q2 [11] Market Reactions - Neurocrine's stock fell over 2% to $143.76, currently resting at its 50-day moving average, despite a strong Composite Rating of 94, indicating it ranks in the top 6% of stocks based on fundamental and technical measures [4] - Analysts have mixed views, with some expressing confidence in the company's growth trajectory while others highlight potential risks related to pricing and market competition [3][9][12]

Core Insights - Neurocrine Biosciences reported revenue of $794.9 million for the quarter ended September 2025, reflecting a year-over-year increase of 27.8% and surpassing the Zacks Consensus Estimate by 6.73% [1] - The company's EPS for the quarter was $2.04, up from $1.24 in the same quarter last year, resulting in an EPS surprise of 29.11% compared to the consensus estimate of $1.58 [1] Revenue Breakdown - Product sales from INGREZZA reached $686.6 million, exceeding the average estimate of $664.3 million, marking a 12% year-over-year increase [4] - Total product sales amounted to $789.9 million, surpassing the nine-analyst average estimate of $736.39 million, with a year-over-year change of 28.1% [4] - CRENESSITY generated $98.1 million in product sales, exceeding the average estimate of $67.22 million [4] - Collaboration revenue was reported at $5 million, slightly below the estimated $5.69 million, representing a decline of 9.1% year-over-year [4] - Royalty collaboration revenue was $4.8 million, compared to the average estimate of $5.1 million [4] - Other product sales reached $5.2 million, exceeding the average estimate of $4.25 million [4] Stock Performance - Neurocrine's shares have returned 6.2% over the past month, outperforming the Zacks S&P 500 composite's 3.6% change [3] - The stock currently holds a Zacks Rank 3 (Hold), indicating expected performance in line with the broader market in the near term [3]

Core Insights - Neurocrine Biosciences reported a strong Q3 performance, driven by significant sales growth from its products INGREZZA and CRENESSITY, achieving a 28% increase in product sales [1] Product Performance - INGREZZA and CRENESSITY were the primary contributors to the sales growth, indicating robust market demand and effective commercialization strategies [1] - The company’s product sales reached a notable milestone, reflecting the successful execution of its business model [1] Financial Highlights - The Q3 results exceeded market expectations, showcasing the company's strong financial health and operational efficiency [1] - The growth in product sales is a positive indicator for future revenue streams and overall company performance [1]

Core Insights - Neurocrine Biosciences reported quarterly earnings of $2.04 per share, exceeding the Zacks Consensus Estimate of $1.58 per share, and showing an increase from $1.24 per share a year ago, resulting in an earnings surprise of +29.11% [1] - The company achieved revenues of $794.9 million for the quarter ended September 2025, surpassing the Zacks Consensus Estimate by 6.73% and up from $622.1 million year-over-year [2] - Neurocrine shares have increased approximately 9.1% year-to-date, while the S&P 500 has gained 16.9% [3] Earnings Outlook - The current consensus EPS estimate for the upcoming quarter is $1.71 on revenues of $785.17 million, and for the current fiscal year, it is $4.49 on revenues of $2.79 billion [7] - The estimate revisions trend for Neurocrine was mixed prior to the earnings release, resulting in a Zacks Rank 3 (Hold) for the stock, indicating expected performance in line with the market [6] Industry Context - The Medical - Drugs industry, to which Neurocrine belongs, is currently ranked in the top 34% of over 250 Zacks industries, suggesting that stocks in the top 50% outperform those in the bottom 50% by more than 2 to 1 [8] - Amneal Pharmaceuticals, another company in the same industry, is expected to report quarterly earnings of $0.13 per share, reflecting a year-over-year decline of -18.8%, with revenues projected at $773.6 million, up 10.1% from the previous year [9][10]

Financial Data and Key Metrics Changes - The company reported $790 million in net product sales for Q3 2025, reflecting a 28% year-over-year growth driven by INGREZZA and CRENESSITY [8][10] - CRENESSITY sales grew from $53 million in Q2 to $98 million in Q3, indicating strong early adoption [8][10] - INGREZZA achieved net sales of $687 million, marking the third consecutive quarter of record new patient additions [8][10] Business Line Data and Key Metrics Changes - INGREZZA's performance has been exceptional, with a prescriber base 30% larger than two years ago, and only about 10% of the estimated 800,000 patients with tardive dyskinesia currently treated with a VMAT2 inhibitor [12][13] - CRENESSITY has seen 540 new patients initiate therapy in Q3, bringing the total to over 1,600 since launch, with 80% of dispensed prescriptions now reimbursed [8][10][15] Market Data and Key Metrics Changes - The company noted a significant organic growth opportunity in the tardive dyskinesia market, with only 10% of diagnosed patients currently receiving treatment [12][13] - The pediatric population showed modestly higher demand for CRENESSITY compared to adults, with strong reimbursement rates observed [16][17] Company Strategy and Development Direction - The company plans to expand its sales force for both INGREZZA and CRENESSITY to accelerate growth into 2026 and beyond, focusing on maximizing patient share and preparing for future product launches [9][10][17] - The capital allocation priorities include driving revenue growth, advancing R&D programs, enabling business development, and returning capital to shareholders [10] Management's Comments on Operating Environment and Future Outlook - Management expressed confidence in the ongoing momentum for both INGREZZA and CRENESSITY, highlighting the potential for sustained long-term growth driven by their science and commitment to patients [6][7] - The company is on track to meet its R&D productivity goals, with plans for four new Phase I study initiations and two new Phase II initiations [6][10] Other Important Information - The company is fully cooperating with a Department of Justice investigation regarding the sales and marketing of INGREZZA, maintaining a robust compliance program [49][50] - The company has $2.1 billion in cash with no debt, allowing for flexibility in capital allocation [94] Q&A Session Summary Question: Insights on CRENESSITY patient dynamics and enrollment trends - Management noted that the adoption of CRENESSITY has been consistent, with no significant seasonal dynamics affecting enrollment [24][25] Question: Implications of the Inflation Reduction Act on pricing - Management discussed the upcoming Oscado pricing and its potential impact on INGREZZA, emphasizing the need to maximize patient share before the IRA takes effect [31][32] Question: Reimbursement requirements for CRENESSITY - Management clarified that there are no specific steroid tapering requirements for reimbursement, and the process has been smooth [39] Question: Sales force expansion details - The company plans a 30% increase in its sales footprint, primarily focusing on INGREZZA, with a smaller expansion for CRENESSITY [58][60] Question: Persistence and compliance of CRENESSITY - Management reported strong persistence and compliance rates for CRENESSITY, with positive feedback from healthcare providers regarding treatment outcomes [78][79] Question: Future growth outlook for INGREZZA - Management indicated that INGREZZA is growing faster than the overall market, with expectations for continued robust growth into 2026 and beyond [103]

Financial Data and Key Metrics Changes - The company reported $790 million in net product sales for Q3 2025, reflecting a 28% year-over-year growth driven by INGREZZA and CRENESSITY [8][10] - CRENESSITY sales grew from $53 million in Q2 to $98 million in Q3, indicating strong early adoption [8][10] - INGREZZA achieved net sales of $687 million, marking the third consecutive quarter of record new patient additions [8][10] Business Line Data and Key Metrics Changes - INGREZZA's performance has been exceptional, with a prescriber base 30% larger than two years ago, and only about 10% of the estimated 800,000 patients with tardive dyskinesia currently treated with a VMAT2 inhibitor [11][12] - CRENESSITY has seen 540 new patients initiate therapy in Q3, bringing the total to over 1,600 since launch, with 80% of dispensed prescriptions now reimbursed [8][15] Market Data and Key Metrics Changes - The company estimates that only half of the patients living with tardive dyskinesia have received a diagnosis, indicating significant growth potential in the market [11][12] - The pediatric population has shown modestly higher demand for CRENESSITY compared to adults, with strong reimbursement rates observed [15] Company Strategy and Development Direction - The company plans to expand its sales force for both INGREZZA and CRENESSITY to accelerate growth and maximize patient share [9][16] - The capital allocation priorities include driving revenue growth, advancing R&D programs, enabling business development, and returning capital to shareholders [10] Management's Comments on Operating Environment and Future Outlook - Management expressed confidence in the ongoing momentum for both INGREZZA and CRENESSITY, with expectations for continued growth into 2026 and beyond [6][10] - The company is on track to achieve its R&D productivity goals, with multiple Phase I and II study initiations planned [6][10] Other Important Information - The company is fully cooperating with a Department of Justice investigation related to the sales and marketing of INGREZZA, maintaining a robust compliance program [49][50] - The company has $2.1 billion in cash with no debt, allowing for flexibility in capital allocation [94] Q&A Session Summary Question: Insights on patient dynamics and starts for CRENESSITY - Management noted that the adoption of CRENESSITY has been strong, with 540 new treatment forms in Q3, and they do not see significant seasonality affecting the launch [23][24] Question: Implications of the Inflation Reduction Act (IRA) on pricing - Management is awaiting pricing information for Oscado and is preparing to maximize patient numbers on INGREZZA before the IRA impacts begin [31][33] Question: Reimbursement requirements for CRENESSITY - Reimbursement has been smooth, with no specific steroid tapering required for coverage, focusing instead on the underlying disease [39] Question: Sales force expansion details - The sales force expansion is expected to increase overall coverage by about 30%, primarily targeting psychiatry and neurology [58][60] Question: Persistence and compliance of CRENESSITY - Persistence and compliance for CRENESSITY have been strong, with positive feedback on disease control and androgen reduction from healthcare providers [77][78] Question: Future product launches and sales force readiness - The expanded sales force is positioned to support potential launches of new products in the pipeline, including osavampator and Directlidine [109]