Core Insights - Phathom Pharmaceuticals announced the publication of additional analyses from its pivotal Phase 3 pHalcon-NERD-301 trial for VOQUEZNA (vonoprazan) in treating Non-Erosive Reflux Disease (NERD), highlighting its potential to alleviate nighttime GERD symptoms [1][8] Group 1: Clinical Findings - Nighttime GERD symptoms affect up to 80% of patients, leading to impaired sleep and increased health risks, yet many patients do not find relief with existing treatments [2][9] - The Phase 3 trial involved 772 patients, randomized to receive either VOQUEZNA (10 mg or 20 mg) or placebo, with significant findings on symptom relief [3][5] - VOQUEZNA demonstrated rapid and sustained relief of nighttime GERD symptoms, with heartburn-free nights increasing significantly after the first dose and maintained through 24 weeks [5][6] Group 2: Efficacy Data - At week 4, patients on VOQUEZNA 10 mg and 20 mg reported heartburn-free nights of 59.9% and 56.4%, respectively, compared to 43.3% for placebo [6] - Improvements in nocturnal symptom severity and sleep-related impacts were sustained throughout the treatment period, with median heartburn-free nights remaining above 70% [5][6] - VOQUEZNA was generally well tolerated, with common adverse events being mild and occurring in less than 5% of patients [6][7] Group 3: Product Information - VOQUEZNA is a potassium-competitive acid blocker (PCAB) approved for treating Erosive and Non-Erosive GERD, as well as H. pylori infection [10][30] - Approximately 38 million U.S. adults suffer from Non-Erosive GERD, with around 15 million receiving prescription treatment annually [9]

Core Insights - Phathom Pharmaceuticals is participating in the ACG 2025 Annual Scientific Meeting to showcase its leadership in gastrointestinal treatments, particularly focusing on VOQUEZNA (vonoprazan) for GERD [1][2][3] Company Activities - The company will engage with the medical community through a product theater presentation on VOQUEZNA and will have a significant presence at the exhibit floor [2][3] - Phathom has organized an independent medical education program titled "Decision Points in the Management of GERD," scheduled for October 25, 2025 [5] Product Information - VOQUEZNA is a potassium-competitive acid blocker (PCAB) approved for treating various forms of GERD, including Erosive GERD and Non-Erosive GERD [6][25] - The product is marketed in the U.S. for multiple indications, including the relief of heartburn associated with Non-Erosive GERD and the healing of Erosive GERD [25] Safety and Efficacy - VOQUEZNA has been associated with several adverse reactions, including gastritis (3% in healing of Erosive GERD) and diarrhea (2% in relief of heartburn associated with Non-Erosive GERD) [20][21] - Important safety information includes contraindications for patients with hypersensitivity to vonoprazan and potential risks such as acute tubulointerstitial nephritis and Clostridioides difficile-associated diarrhea [6][10][11] Market Position - The company aims to build on the momentum for VOQUEZNA in the GERD treatment market by connecting with healthcare professionals and sharing clinical insights at the ACG meeting [3][25]

Core Points - Phathom Pharmaceuticals, Inc. will host a live webcast on October 30, 2025, at 8:00 am EDT to report its third quarter 2025 financial results and provide a business update [1] - The webcast will be accessible through the Events & Presentations section of the Phathom website, with a recording available for 90 days post-call [2] Company Overview - Phathom Pharmaceuticals is focused on developing and commercializing novel treatments for gastrointestinal diseases [3] - The company has in-licensed exclusive rights to vonoprazan, a first-in-class potassium-competitive acid blocker (PCAB), for the U.S., Europe, and Canada [3] - Phathom markets vonoprazan in the U.S. as VOQUEZNA® for various gastrointestinal conditions, including heartburn relief and H. pylori infection treatment [3]

Core Viewpoint - Phathom Pharmaceuticals has appointed Sanjeev Narula as Chief Financial and Business Officer to enhance its leadership team and support its growth strategy, particularly in achieving profitability and increasing shareholder value [1][2][7]. Company Overview - Phathom Pharmaceuticals is a biopharmaceutical company focused on developing and commercializing novel treatments for gastrointestinal diseases, specifically through its product VOQUEZNA, a potassium-competitive acid blocker [5]. Leadership Appointment - Sanjeev Narula brings extensive experience from his previous roles, including Chief Financial Officer at Intra-Cellular Therapies, where he played a significant role in its $14.6 billion acquisition by Johnson & Johnson [3]. - Narula has held senior finance positions at Pfizer, Viatris, and Upjohn, contributing to his expertise in capital strategy, M&A, and financial planning [4]. Product Information - VOQUEZNA is marketed in the U.S. for various gastrointestinal conditions, including heartburn associated with Non-Erosive GERD and as part of treatment for H. pylori infection [5].

Core Viewpoint - Phathom Pharmaceuticals, Inc. (PHAT) has received an upgrade to a Zacks Rank 2 (Buy), indicating a positive trend in earnings estimates which is a significant factor influencing stock prices [1][4]. Earnings Estimates and Ratings - The Zacks rating system is based on the Zacks Consensus Estimate, which aggregates EPS estimates from sell-side analysts for the current and following years [2]. - Changes in earnings estimates are strongly correlated with near-term stock price movements, making the Zacks rating system valuable for investors [3][5]. Impact of Institutional Investors - Institutional investors utilize earnings estimates to determine the fair value of stocks, leading to buying or selling actions that affect stock prices [5]. - An increase in earnings estimates typically results in a higher fair value for a stock, prompting institutional investors to act accordingly [5]. Business Outlook for Phathom Pharmaceuticals - The upgrade in Zacks Rank for Phathom Pharmaceuticals reflects an improvement in the company's underlying business, which is expected to positively influence its stock price [6]. - Over the past three months, the Zacks Consensus Estimate for Phathom Pharmaceuticals has increased by 4.2%, indicating a positive trend in earnings expectations [9]. Zacks Rank System - The Zacks Rank system classifies stocks into five groups based on earnings estimates, with Zacks Rank 1 (Strong Buy) stocks historically generating an average annual return of +25% since 1988 [8]. - Phathom Pharmaceuticals' upgrade to Zacks Rank 2 places it in the top 20% of Zacks-covered stocks, suggesting a strong potential for market-beating returns in the near term [10][11].

Summary of Phathom Pharmaceuticals FY Conference Call Company Overview - **Company**: Phathom Pharmaceuticals - **Product**: VOQUEZNA, a treatment for erosive and non-erosive GERD patients - **Conference Date**: September 08, 2025 Key Points Financial Performance - **Revenue Growth**: - Achieved $55 million in revenue last year - Projected revenue for the current year is between $165 million and $175 million, indicating significant growth [6][89] - **Quarterly Performance**: - Reported a $39 million quarter in Q2, reflecting strong uptake among physicians [6] - 36% sequential prescription growth over Q1, with approximately 173,000 VOQUEZNA prescriptions filled [30] Product Differentiation - **Mechanism of Action**: - VOQUEZNA is a potassium-competitive acid blocker (PCAB) with advantages over traditional proton pump inhibitors (PPIs) [7] - Demonstrates rapid onset of action, with patients feeling relief within 30 to 45 minutes [7] - Elevates gastric pH to levels higher than PPIs, providing better symptom relief [8] - **Clinical Efficacy**: - Higher healing rates for erosive esophagitis compared to PPIs, as evidenced by clinical trials [10] Strategic Focus - **Target Market Shift**: - Transitioning focus from primary care physicians to gastroenterologists, who are more likely to prescribe VOQUEZNA [13][15] - Anticipated growth in adoption as gastroenterologists treat patients with severe GERD symptoms [15] - **Direct-to-Consumer Campaign**: - Initial DTC campaign was premature; future campaigns will be more effective once primary care physicians are familiar with VOQUEZNA [21] Market Dynamics - **Patient Journey**: - Patients typically start treatment with primary care physicians and may be referred to gastroenterologists if symptoms persist [25] - Approximately 30% to 40% of GERD patients on chronic PPI therapy still experience breakthrough symptoms, indicating a significant market for VOQUEZNA [40] Challenges and Opportunities - **Adoption Hurdles**: - Physician inertia and long-standing habits of prescribing PPIs pose challenges to VOQUEZNA adoption [44][53] - Overcoming these hurdles requires positive patient feedback and increased physician familiarity with VOQUEZNA [51] - **Label Expansion**: - Planned phase two trial for VOQUEZNA in eosinophilic esophagitis (EOE) could open new revenue streams [73] - EOE market represents tens of millions in potential revenue, with a significant number of PPI scripts annually [82] Regulatory and Exclusivity Insights - **Exclusivity Protection**: - FDA confirmed a May 2032 date for exclusivity protection, with potential for a six-month extension if phase two studies are successful [85][86] Future Outlook - **Path to Profitability**: - Expected to achieve EBIT positive status in 2026, with revenue projections exceeding $165 million for the current year [89][93] - **Operational Efficiency**: - Plans to reduce operating expenses below $60 million in Q3 and below $55 million in Q4 [91] Additional Insights - **Prescription Channels**: - Approximately 68% of prescriptions filled through retail pharmacies, with efforts to optimize both retail and cash pay channels [56][70] - **Patient-Centric Approach**: - Focus on improving patient outcomes and ensuring access to VOQUEZNA through effective prescription practices [72]

Summary of Phathom Pharmaceuticals (PHAT) Conference Call Company Overview - Phathom Pharmaceuticals focuses on a single product, VOQUEZNA, which is a next-generation treatment for gastroesophageal reflux disease (GERD) [3][4] - VOQUEZNA is positioned as a best-in-class treatment, improving upon traditional proton pump inhibitors (PPIs) that have been in use for over 30 years [3][4] Market Opportunity - Approximately 30-40% of GERD patients on PPIs continue to experience pain, representing a significant market opportunity for VOQUEZNA [3][4][57] - The GERD market is substantial, historically exceeding $10 billion, with potential for VOQUEZNA to capture a portion of the market by targeting patients who do not respond to PPIs [55][57] Sales Strategy - The previous sales strategy focused on both primary care physicians and gastroenterologists, with over 60% of salesforce time allocated to primary care [8][10] - The new strategy reallocates salesforce efforts predominantly to gastroenterologists, where the majority of patients in need of VOQUEZNA are located [6][10] - Gastroenterologists are more productive in prescribing VOQUEZNA, yielding four times the productivity compared to primary care calls [10][27] Adoption and Prescribing Patterns - Physicians are categorized based on their prescribing frequency, with a focus on converting those who write few scripts to more frequent prescribers [21][27] - The salesforce is actively working to increase the number of gastroenterologists who adopt VOQUEZNA, aiming to grow the number of consistent writers [27][28] - Positive patient feedback is crucial for driving adoption, as patients report significant improvements in their symptoms when using VOQUEZNA [57][58] Marketing and DTC Campaigns - The direct-to-consumer (DTC) campaign was initially aligned with the broader PPI market strategy but was deemed premature as it directed patients to primary care physicians who were not yet prescribing VOQUEZNA [19][20] - The focus is now on educating gastroenterologists about the benefits of VOQUEZNA and facilitating the prescription process [34][41] Regulatory and Financial Outlook - The company has secured an extended exclusivity period for VOQUEZNA until May 2032, providing a competitive advantage against generics [48][49] - The goal is to achieve profitability and positive cash flow, with expectations of reaching EBIT positive operations by next year [49][50] Future Growth and Pipeline - Phathom Pharmaceuticals is considering in-licensing additional products to build a stable GI business in the future, but the immediate focus remains on driving revenue from VOQUEZNA [45][46] Conclusion - The path to significant revenue growth is clear, with a target of engaging 10,000 gastroenterologists to prescribe VOQUEZNA regularly, leveraging positive patient experiences to drive adoption [58]

Core Viewpoint - Phathom Pharmaceuticals, Inc. (PHAT) has shown a significant price increase of 21% over the past four weeks, with a mean price target of $20.5 indicating an upside potential of 87.2% from the current price of $10.95 [1] Price Targets and Analyst Estimates - The mean estimate consists of eight short-term price targets with a standard deviation of $8.02, indicating variability among analysts [2] - The lowest estimate is $5.00, suggesting a potential decline of 54.3%, while the highest estimate is $29.00, indicating a potential increase of 164.8% [2] - A low standard deviation among price targets suggests a high degree of agreement among analysts regarding the stock's price movement [9] Earnings Estimates and Analyst Agreement - There is strong agreement among analysts regarding the company's ability to report better earnings than previously predicted, which supports the view of potential upside [4] - Over the last 30 days, the Zacks Consensus Estimate for the current year has increased by 4.2%, with one estimate moving higher and no negative revisions [12] - PHAT currently holds a Zacks Rank 2 (Buy), placing it in the top 20% of over 4,000 ranked stocks based on earnings estimates [13] Caution on Price Targets - While price targets are often sought after by investors, they can mislead more often than guide, and should not be the sole basis for investment decisions [3][7][10] - Analysts may set overly optimistic price targets due to business incentives, which can inflate expectations [8]

Core Insights - Phathom Pharmaceuticals, Inc. clarified that a Schedule 13D filing by Frazier Life Sciences will include administrative changes to its reporting approach without indicating a reduction in ownership position by any Frazier fund or individual in Phathom [1] - The differences in the breakout of holdings between funds and individuals are attributed solely to clarifying changes in Frazier's reporting approach, not due to any sale of shares [2] Company Overview - Phathom Pharmaceuticals is a biopharmaceutical company focused on developing and commercializing novel treatments for gastrointestinal diseases [3] - The company has in-licensed exclusive rights to vonoprazan, a first-in-class potassium-competitive acid blocker (PCAB), which is marketed in the U.S. under the brand VOQUEZNA® for various gastrointestinal conditions [3]

Financial Data and Key Metrics Changes - The company reported net revenues of $39.5 million for Q2 2025, representing a 39% increase compared to Q1 2025, driven by increased adoption of Vopresna [24][17] - Non-GAAP operating expenses for Q2 2025 were $86.1 million, a decrease of $12 million from Q1 2025, reflecting early cost-saving initiatives [25][26] - The company ended the quarter with approximately $150 million in cash, which is expected to support operations until profitability in 2026 [29][18] Business Line Data and Key Metrics Changes - Over 580,000 Vopresna prescriptions have been filled since launch, with a 49% growth in the last fourteen weeks [6] - In Q2, approximately 173,000 prescriptions were filled, reflecting a 36% growth over Q1 [7] - 68% of Q2 Vopresna prescriptions were filled through the retail channel, with a slight decrease due to the rollout of a cash pay option for Medicare patients [7][8] Market Data and Key Metrics Changes - Commercial access remains above 80% of lives covered, with more than half requiring only a single step edit or less [7] - The company has seen a 24% increase in unique healthcare providers (HCPs) writing Vopresna prescriptions compared to Q1 [8] Company Strategy and Development Direction - The company is focusing on gastroenterologists as the primary target for sales efforts, believing this will lead to accelerated revenue growth [11][12] - A phase two trial in eosinophilic esophagitis (EOE) is set to begin in Q4 2025, which may provide a path to extend exclusivity [16][17] - The company anticipates revenue guidance of $165 to $175 million for the full year 2025, above current analyst estimates [18][24] Management's Comments on Operating Environment and Future Outlook - Management expressed confidence in achieving profitability by 2026, emphasizing the importance of Vopresna as a treatment option for GERD patients who do not respond to PPIs [21][30] - The company is committed to financial discipline while continuing to invest in key areas driving revenue growth [30][31] Other Important Information - The FDA has updated the orange book to reflect exclusivity for Vopresna through May 2032, enhancing the net present value (NPV) of the product [15] - The company has implemented cost-saving initiatives that have already shown a $12 million reduction in non-GAAP operating expenses compared to Q1 2025 [25][26] Q&A Session Summary Question: How will the sales force drive more depth and frequency of writing prescriptions? - The sales force has realigned territories to focus on gastroenterologists, dropping over 20,000 primary care physicians who had not converted [34][35] - Increased call frequency with gastroenterologists is expected to lead to higher prescription writing [36][38] Question: Is the anticipated revenue acceleration already included in the current guidance? - Management believes long-term acceleration is a driver to the upside, but it may take one to three quarters for the new targeting strategy to show consistent growth [41][42] Question: What is the tipping point for transitioning from gastroenterologists to primary care physicians? - Management indicated that significant revenue potential exists within the GI market alone, and primary care is viewed as an additive opportunity [50][51] Question: How are cost cuts being implemented and their impact on growth? - Major cost savings are coming from eliminating direct-to-consumer promotional programs and adjusting third-party vendor contracts [59][62] Question: What is the current average cash pay amount through BlinkRx? - The standard cash pay amount through BlinkRx is $50, with a $25 copay for insured patients [93][95]