Financial Data and Key Metrics Changes - In Q4 2025, net product revenues reached $127.5 million, reflecting an 84% year-over-year growth and a 29% sequential growth from Q3 2025 [51] - For the full year 2025, net product revenues were $372.1 million, a 123% increase compared to 2024, driven by increasing demand for ZORYVE products [55] - The company achieved positive cash flow in Q4 2025, with cash and marketable securities totaling $221.3 million as of December 31, 2025 [54] Business Line Data and Key Metrics Changes - ZORYVE's net product revenues grew to $372 million in 2025, representing a 123% year-on-year increase, driven by a doubling in total prescription volume [7] - In Q4 2025, ZORYVE generated $127.5 million in net product revenues, with a 19% increase in prescription volume [17] - The company holds approximately 45% market share in the branded non-steroidal topical segment across approved indications [7] Market Data and Key Metrics Changes - The branded non-steroidal topical segment is growing, gaining share from topical corticosteroids, which are seeing flat or declining usage [23] - ZORYVE is positioned to benefit from the shift away from topical corticosteroids, with each 1 point share shift translating to approximately $150 million in incremental revenue [24] - Over 80% of patients insured by commercial insurance have access to ZORYVE, with high-quality access through a single step edit [66] Company Strategy and Development Direction - The company has a three-pillar corporate strategy focusing on growth, expansion, and building its pipeline, which includes expanding ZORYVE's indications and enhancing its commercial presence [12][14] - Plans include expanding the dermatology specialty sales force by 20% and building a targeted sales force for primary care physicians and pediatricians [25][30] - The company aims to pursue label expansions for ZORYVE to treat younger populations, including infants with atopic dermatitis [42] Management's Comments on Operating Environment and Future Outlook - Management expressed confidence in ZORYVE's continued growth and momentum in 2026, raising the full-year net product revenue guidance to $480-495 million [15] - The company anticipates maintaining positive cash flow throughout 2026 while investing in ZORYVE's growth and pipeline [16] - Management highlighted the importance of ZORYVE as a safe alternative to topical steroids, addressing significant unmet needs in chronic inflammatory skin conditions [5][40] Other Important Information - The company reported a net income of $17.4 million in Q4 2025, compared to a net loss of $10.8 million in the same period last year [53] - R&D expenses for Q4 2025 were $20.5 million, reflecting an increase due to ongoing clinical development activities [52] - The company is preparing to submit an sNDA for ZORYVE Cream 0.05% for infants in Q2 2026, with a PDUFA date for ZORYVE Cream 0.3% in children ages 2 to 5 set for June 29, 2026 [42][43] Q&A Session Summary Question: Can you comment on the competitive dynamics in the market, particularly regarding access and pricing? - Management indicated that they do not anticipate material erosion of gross net due to improved access strategies, with over 80% of patients having access to ZORYVE [66] Question: What are the implications of recent federal court decisions on rebate dynamics? - Management noted ongoing discussions in Washington about reimbursement reforms but expressed confidence in ZORYVE's market position regardless of potential changes [72] Question: Can you provide insights on sales growth trends for different SKUs? - Management did not break out sales for each SKU but acknowledged the importance of growth trends as they move into 2026 [75]

Financial Data and Key Metrics Changes - In Q4 2025, net product revenues reached $127.5 million, reflecting an 84% year-over-year growth and a 29% sequential growth from Q3 2025 [15][49] - For the full year 2025, net product revenues totaled $372.1 million, a 123% increase compared to 2024, driven by increasing demand for ZORYVE products [53][56] - The company achieved positive cash flow in Q4 2025, with cash and marketable securities at $221.3 million as of December 31, 2025 [52] Business Line Data and Key Metrics Changes - ZORYVE's net product revenues grew to $372 million in 2025, a 123% increase year-over-year, driven by a doubling in total prescription volume [5][53] - In Q4 2025, ZORYVE generated $127.5 million in revenue, with a 19% increase in prescription volume contributing to this growth [15][49] Market Data and Key Metrics Changes - ZORYVE holds approximately 45% of the branded non-steroidal topical segment, which is experiencing a shift away from topical corticosteroids [5][21] - The branded non-steroidal topical segment now accounts for 7% of total topical prescriptions, indicating a meaningful shift in treatment paradigms [21][23] Company Strategy and Development Direction - The company is focused on a three-pillar corporate strategy aimed at sustaining near and long-term growth, which includes expanding ZORYVE's market presence and pursuing new indications [11][12] - The expansion of the dermatology specialty sales force by 20% aims to increase engagement with mid-decile prescribers and enhance ZORYVE's market penetration [24][26] Management's Comments on Operating Environment and Future Outlook - Management raised the 2026 full-year net product revenue guidance to $480 million-$495 million, reflecting strong momentum for ZORYVE [13][56] - The company remains confident in maintaining positive cash flow throughout 2026 while continuing to invest in ZORYVE's growth and pipeline [14][52] Other Important Information - The company submitted an sNDA for ZORYVE Cream 0.3% for psoriasis in children ages 2 to 5, with a target action date of June 29, 2026 [8][41] - Positive top-line results from the INTEGUMENT-INFANT trial for ZORYVE Cream 0.05% in infants with atopic dermatitis were reported, showing significant improvement in patients [35][38] Q&A Session Summary Question: Update on market dynamics and access for ZORYVE - Management confirmed that ZORYVE has achieved significant access across commercial, Medicare, and Medicaid, with over 80% of patients insured by commercial insurance having access [63][64] Question: Sales growth trends for different SKUs - Management indicated that there was meaningful growth across all SKUs, particularly for ZORYVE foam, and anticipates continued growth throughout 2026 [74]