Summary of Tarsus Pharmaceuticals Conference Call Company Overview - Tarsus Pharmaceuticals is a commercial stage company focused on the eye care space, having launched its product Xtembi in August 2023 [2][3] - Xtembi is an eye drop treatment for demodex blepharitis, showing significant efficacy with 85% of patients experiencing clinically meaningful improvement [4][3] Market Opportunity - Demodex blepharitis affects approximately 25 million Americans, with a specific target market of about 9 million patients currently in clinics [10][12] - The company has only treated a couple hundred thousand patients since launch, indicating substantial growth potential [12] Product Efficacy and Safety - Xtembi is easy to diagnose and has a simple treatment paradigm, contributing to its success [5][4] - The treatment is a six-week course, administered twice daily [33] Pipeline Developments - Tarsus plans to initiate a Phase II study for ocular rosacea, a condition affecting 15-18 million patients, with a significant unmet need [6][58] - The company is also exploring the use of the same active ingredient in Xtembi for Lyme disease, with promising Phase II data showing a 97% tick kill rate within 24 hours [7][64] Sales and Marketing Strategy - Tarsus has one of the largest eye care sales forces, with 150 representatives targeting both ophthalmologists and optometrists [44][45] - The company is focusing on physician education to increase awareness of demodex blepharitis and the importance of diagnosing it during eye exams [15][16] Financial Performance - Tarsus reported $78 million in revenue for Q1, with guidance for Q2 indicating 85,000 to 90,000 bottles dispensed [25][26] - The gross to net discount was approximately 47% in Q1, expected to decrease to 42-43% by Q4 [25][27] Direct-to-Consumer (DTC) Campaign - The company plans to spend $70-80 million on DTC marketing, focusing on various media channels [38] - The effectiveness of the DTC campaign will be closely monitored to ensure a positive return on investment [39][41] Future Guidance - Tarsus is not providing annual revenue guidance yet but is optimistic about continued growth driven by its sales force and DTC efforts [50][51] - The company anticipates a 20% annualized retreatment rate for patients, indicating potential for recurring revenue [30][32] International Expansion - Tarsus is exploring opportunities in Europe and Japan, with potential NDA filings expected by 2027 [53][54] - The company is assessing pricing dynamics and regulatory requirements in these markets [54][55] Cash Position - As of Q1, Tarsus had approximately $48 million in cash, providing a healthy balance sheet to support ongoing operations and clinical studies [68]

Summary of Tarsus Pharmaceuticals (TARS) 2025 Conference Call Company Overview - Tarsus Pharmaceuticals is a commercial company based in Orange County, California, focusing on eye care treatments, particularly the launch of their drug Xtampi for blepharitis treatment [3][4]. Key Highlights - **Product Launch Success**: The launch of Xtampi has exceeded expectations, with Q1 revenue recorded at approximately $78.2 million, representing a 20% growth from Q4 [4]. - **Market Potential**: The drug targets a significant patient population, with an estimated 25 million patients in the U.S. suffering from demodex-related conditions, and aims to reach 9 million patients actively visiting doctors [3][4]. - **Sales Force Impact**: The expansion of the sales force has been a major tailwind, contributing to extraordinary growth in Q1, surpassing initial expectations despite typical seasonal challenges [19][20]. Financial Metrics - **Revenue and Dispensed Bottles**: In Q1, Tarsus dispensed 72,000 bottles of Xtampi, with a gross-to-net discount of about 47%, expected to decline to the low 40s in subsequent quarters [4]. - **Patient Coverage**: Over 90% of lives are covered by payers for Xtampi, which is considered remarkable in the current environment [11][12]. Pipeline Developments - **Ocular Rosacea**: Tarsus is initiating a Phase II study for ocular rosacea, targeting 15-18 million patients, with no current FDA-approved treatments available [5][58]. - **Lyme Disease Program**: A prophylactic oral treatment for Lyme disease is also in the pipeline, with plans for a Phase 2b study in 2026 [6]. Competitive Landscape - **Lack of Competition**: Xtampi is positioned as a best-in-class product with no direct competition, as existing treatments do not effectively address the root cause of demodex infestation [10][16]. - **Potential Complementary Products**: Other products in development, such as pimecrilimus, may serve as complementary treatments rather than direct competitors [14][15]. Market Dynamics - **Optometrist Engagement**: The trend of optometrists taking on more medical management roles is increasing, allowing them to bill for comprehensive exams and follow-ups, which enhances patient retention and practice growth [34][37]. - **Direct-to-Consumer (DTC) Marketing**: The DTC program is showing promising early results, with increased website visits and engagement correlating with future prescription growth [29][30]. Future Outlook - **TAM Growth**: The total addressable market (TAM) is expected to grow, with the potential to treat a significant portion of the 9 million targeted patients over time [45][46]. - **Data Generation**: Tarsus plans to conduct multiple Phase IV studies to expand its market presence and validate the efficacy of its products across various patient segments [48]. Regulatory and Market Considerations - **Medicare Part D Impact**: The introduction of Medicare Part D coverage has reduced friction for patient access, positively impacting revenue [50][52]. - **Exploration of International Markets**: Tarsus is considering opportunities in Europe but currently focuses on the U.S. market [56]. Conclusion - Tarsus Pharmaceuticals is positioned for significant growth with its innovative product offerings and strategic market engagement, particularly in the eye care sector. The company is optimistic about its future prospects, driven by a strong sales force, effective marketing strategies, and a robust pipeline of new treatments.

Tarsus Pharmaceuticals (TARS) Q1 2025 Earnings Call May 01, 2025 04:30 PM ET Company Participants David Nakasone - Head of Investor Relations (IR)Bobak Azamian - Co-Founder, President, CEO & ChairmanAziz Mottiwala - Chief Commercial OfficerJeff Farrow - CFO and CSOSesha Neervannan - COOAndrea Newkirk - Biotechnolgy Equity ResearchEddie Hickman - Vice President Conference Call Participants Lachlan Hanbury-Brown - Biotech Equity Research AnalystPavan Patel - AnalystCory Jubinville - Managing Director & Resear ...

Core Insights - Tarsus Pharmaceuticals reported a significant increase in net product sales of XDEMVY, reaching $78.3 million, which represents a 217% year-over-year growth and an 18% increase over Q4 2024 [4][10] - The company has strengthened its financial position by raising approximately $135 million through a public equity offering, resulting in cash, cash equivalents, and marketable securities totaling approximately $408 million as of March 31, 2025 [4][10] - Tarsus is on track to initiate a Phase 2 trial of TP-04 (lotilaner ophthalmic gel) for the treatment of Ocular Rosacea in the second half of 2025 [4][10] Financial Performance - The first quarter of 2025 saw net product sales of XDEMVY at $78.3 million compared to $24.7 million in the same period of 2024, driven by approximately 72,000 bottles delivered to patients, up from 26,000 bottles year-over-year [10][19] - Cost of sales increased to $5.2 million from $1.7 million in the prior year, attributed to manufacturing costs and royalties [10][19] - Research and development expenses rose to $14.4 million from $12.1 million, while selling, general, and administrative expenses increased to $85.0 million from $51.6 million, primarily due to higher payroll and marketing costs [10][19] - The net loss for the quarter was $25.1 million, an improvement from a net loss of $35.7 million in the same quarter of 2024, with a basic and diluted net loss per share of $(0.64) compared to $(1.01) [10][19] Business Highlights - XDEMVY is positioned to be one of the fastest-growing anterior segment medicines, with broad commercial reimbursement coverage extending to over 90% of covered lives [4][10] - The company reported a gross-to-net discount of approximately 47% and a 23% increase in the number of bottles dispensed compared to Q4 2024 [4][10] - Direct-to-consumer advertising led to a 140% increase in average weekly website visits in March 2025 compared to December 2024 [4][10] - Tarsus is advancing its pipeline with multiple catalysts expected in 2025, including a meeting with regulatory authorities in Japan to discuss the regulatory path for XDEMVY [4][10] Pipeline Developments - Tarsus is on track to initiate a Phase 2 study of TP-04 for Ocular Rosacea, a condition with no FDA-approved therapy, in H2 2025 [4][10] - The company is also developing TP-05, an investigational oral tablet for the potential prevention of Lyme disease, expected to begin trials in 2026 [5][10]

Tarsus Pharmaceuticals (TARS) Q4 2024 Earnings Call February 25, 2025 08:00 AM ET Company Participants David Nakasone - Head of Investor Relations (IR)Bobak Azamian - Co-Founder, President, CEO & ChairmanAziz Mottiwala - Chief Commercial OfficerSesha Neervannan - COOJeff Farrow - CFOCory Jubinville - Managing Director, Equity ResearchJason Gerberry - MD & Equity ResearchEddie Hickman - Vice PresidentAndrea Newkirk - Biotechnolgy Equity Research Conference Call Participants François Brisebois - Managing Dire ...