Financial Data and Key Metrics Changes - For Q4 2024, the company reported a net loss of $11.4 million, compared to a net loss of $7.8 million in Q4 2023 [25] - R&D expenses increased to $9.3 million in Q4 2024 from $6.5 million in Q4 2023, primarily due to higher clinical trial costs [25][26] - G&A expenses rose to $2.9 million in Q4 2024 from $2.4 million in the same period in 2023, mainly due to increased stock-based compensation [26] - As of December 31, 2024, cash, cash equivalents, and marketable securities totaled $107.6 million, bolstered by a $50 million offering completed in December [26][27] Business Line Data and Key Metrics Changes - The company achieved three positive data readouts in 2024, including studies on Human Abuse Potential, the CORAL study in chronic cough patients with IPF, and the RIVER study in patients with refractory chronic cough [6][20] - The RIVER trial met its primary endpoint with a statistically significant reduction in 24-hour objective cough frequency, achieving a p-value of less than 0.0001% [17] Market Data and Key Metrics Changes - The RIVER study targets a patient population of approximately 2 million to 3 million in the US suffering from refractory chronic cough, which currently has no approved therapies [16] - The company plans to focus on patients who have failed prior therapies, addressing a significant unmet need in the market [18] Company Strategy and Development Direction - The company aims to develop Haduvio as a first-in-class therapy for chronic cough conditions, with a focus on both IPF and RCC [23][24] - Plans include preparing for an End-of-Phase 2 meeting with the FDA by the end of 2025 to discuss pivotal program designs and safety databases [21] - The company intends to release more data from the RIVER trial at upcoming medical conferences, indicating a proactive approach to stakeholder engagement [22] Management's Comments on Operating Environment and Future Outlook - Management expressed confidence in the execution of clinical trials and the potential of Haduvio to address significant unmet needs in chronic cough conditions [6][23] - The company remains optimistic about the upcoming data readouts and the potential for Haduvio to be positioned as a best-in-class therapy [23] Other Important Information - The company expects cash burn of approximately $12 million to $14 million per quarter in Q1 and Q2 of 2025, with guidance to be updated as trial designs are finalized [28] - The current fully diluted shares outstanding are approximately 137 million, including about 10 million stock options [29] Q&A Session Summary Question: Could you speak about the patients enrolled in the CORAL study? - Management confirmed that no changes were made to the study protocol or sites after the sample size estimation, maintaining consistency in enrollment statistics [33][34] Question: What are the placebo response expectations for the IPF chronic cough Phase 2 study? - Management clarified that the study includes a two-week titration period, and previous studies indicated a placebo effect ranging from 15% to 23% [42][43] Question: How will the RCC patient population be split between P2X3 and Haduvio? - Management indicated that Haduvio would be positioned as a second or third-line therapy for patients who have failed P2X3 treatments, addressing a significant unmet need [46][48] Question: What exploratory metrics are expected at the time of the IPF chronic cough readout? - Management confirmed that key secondary endpoints will include the EXACT-2 and CS-VAS metrics, but specifics on additional secondary endpoints were not provided [82] Question: Will the next RCC trial have any changes in inclusion criteria? - Management stated that the inclusion criteria will remain similar to the previous study, focusing on patients with a minimum level of cough [60]

Financial Data and Key Metrics Changes - Total revenue for Q4 2024 increased significantly to $10.8 million from $4.8 million in Q4 2023, primarily due to higher license and milestone revenue [25][26] - Full year net loss for 2024 was $62 million or $0.61 per share, compared to a net loss of $50.6 million or $0.51 per share in 2023 [30][31] - Operating expenses for the full year 2024 were lower compared to 2023, with R&D expenses flat and G&A expenses decreasing [29][30] Business Line Data and Key Metrics Changes - The number of active partners grew by 18% year-over-year, reaching 91 active partners as of December 31, 2024 [11][12] - Active programs increased by 12% year-over-year, totaling 362 active programs as of December 31, 2024 [13][14] - Over 98% of active programs have contracted future economics, positioning the company well for future value creation [14] Market Data and Key Metrics Changes - The company noted a decline in royalty revenue due to competitive dynamics in the PD-1, PD-L1 market in China, impacting product sales [28][29] - The company has seen strong interest from partners in various therapeutic areas, including oncology and CNS, with new partnerships being formed [12][74] Company Strategy and Development Direction - The company is focused on expanding its pipeline and advancing clinical programs, with expectations for 5 to 7 new clinical entrants in 2025 [15][66] - The introduction of new technologies, such as OmniDAV and OmniHub, is aimed at enhancing partnerships and driving growth [42][44] - The strategic shift from small molecules to antibodies is expected to align staffing needs and reduce operating expenses [34][35] Management's Comments on Operating Environment and Future Outlook - Management expressed confidence in the company's resilience and ability to perform well in various market cycles [46] - The company anticipates continued growth driven by pipeline expansion and advancements in clinical programs [24][33] - Management highlighted the importance of innovation and collaboration with partners as key competitive advantages [42][44] Other Important Information - The company exited 2024 with $59.4 million in cash, at the top end of the guidance range provided [31][32] - The 2025 revenue guidance is projected to be between $20 million and $25 million, with a significant portion of 2024 revenue being non-cash [33][34] Q&A Session Summary Question: What are the reasons behind the attrition rates? - Management clarified that attrition is primarily due to Big Pharma pipeline realignment and normal drug development processes, not technical issues [39][40] Question: Can you provide more details on new technology rollouts? - Management indicated that new technologies, including OmniDAV and OmniHub, are expected to enhance discovery and attract new partners [42][44] Question: Is there potential for additional cash deployment from partners in the current market? - Management believes the business is well-positioned to thrive in various market conditions, indicating resilience and adaptability [46] Question: Can you clarify the 2025 revenue guidance regarding cash and non-cash components? - The guidance is a GAAP number, with a significant portion of 2024 revenue being non-cash due to service revenue amortization [52][53] Question: How is the academic partner ecosystem being affected by NIH funding concerns? - Management has not seen a significant impact on academic collaborations despite concerns over NIH funding, with ongoing discussions with prospective partners [58][59] Question: Has the productive fourth quarter continued into the first quarter? - Management indicated that while trends are positive, revenue can be lumpy due to the timing of partner reports [61][62]

Financial Data and Key Metrics Changes - Total revenue for Q4 2024 increased significantly to $10.8 million from $4.8 million in Q4 2023, primarily due to higher license and milestone revenue driven by new deals and clinical advancements [25][26] - Full year net loss for 2024 was $62 million or $0.61 per share, compared to a net loss of $50.6 million or $0.51 per share in 2023 [30][34] - Operating expenses for 2024 were lower compared to 2023, with R&D expenses flat and G&A expenses decreasing mainly due to non-recurring costs [29][34] Business Line Data and Key Metrics Changes - The number of active partners grew by 18% year-over-year, reaching 91 active partners as of December 31, 2024 [11] - Active programs increased by 12% year-over-year, totaling 362 programs net of attrition as of December 31, 2024 [13] - Over 98% of active programs have contracted future economics, positioning the company well for future value creation [14] Market Data and Key Metrics Changes - The company noted a decline in royalty revenue compared to the previous year, primarily due to competitive dynamics in the PD-1/PD-L1 market in China [28] - The company is observing strong interest from partners across various therapeutic areas, including oncology and immunology, with a notable increase in CNS targets [76] Company Strategy and Development Direction - The company is focused on pipeline expansion and advancement, with significant progress expected in clinical and future royalty programs [24] - New technologies and enhancements are being introduced to attract new partners and drive efficiencies, with a commitment to innovation seen as a competitive advantage [42][44] - The company aims to leverage its ecosystem of partners to analyze economic returns for technology expansion and launch options [24] Management's Comments on Operating Environment and Future Outlook - Management expressed confidence in the company's plans for 2025, highlighting the resilience of the business model amid industry volatility [46] - The company anticipates several catalysts for growth in 2025, including new deals and the launch of novel technologies [24][36] - Management noted that while revenue may decrease due to non-cash components, cash received from partners is expected to increase in 2025 compared to 2024 [34] Other Important Information - The company introduced its first revenue guidance for 2025, expecting revenue in the range of $20 to $25 million [33] - The company exited 2024 with $59.4 million in cash, at the top end of the guidance range provided in the previous earnings call [25] Q&A Session Summary Question: What are the reasons behind the attrition rates observed? - Management clarified that attrition is primarily due to Big Pharma pipeline realignment and normal drug development processes, not technical issues [39][40] Question: Can you provide more details on the new technology rollouts planned for this year? - Management highlighted ongoing investments in innovation, including the launch of OmniDAV and OmniHub, which are expected to enhance partner collaboration and drive growth [42][44] Question: How does the company expect to see cash deployment from partners in the current market? - Management indicated that the business has shown resilience across various cycles, positioning it well for continued partner engagement and cash deployment [46] Question: Can you clarify the revenue guidance for 2025 regarding cash and non-cash components? - Management confirmed that the guidance is a GAAP number, with a significant portion of 2024 revenue being non-cash, particularly from service revenue amortization [52][54] Question: Is there any impact from NIH funding changes on academic partnerships? - Management noted that, despite concerns about NIH funding, they have not seen a negative impact on collaborations with academic partners [58] Question: Has the productive addition of partners continued into the first quarter of 2025? - Management indicated that while the trend is positive, the timing of reports from partners can vary, making it difficult to assess specific quarterly performance [62]