Question-and-Answer SessionSo Bill, let's start from the big picture. You've been in the CEO role for 6 months now. Tell us how you've enjoyed your time since joining and how your initial vision is coming to life?William MeuryCEO, President & Director Good afternoon, everyone. It's good to see you. It's been busy. Great company. Great culture, I think, strong organizational DNA and most importantly, which is one of the reasons I joined, just a lot of substrate in terms of meaningful product flow over the ne ...

Incyte (NasdaqGS:INCY) 2025 Conference November 18, 2025 06:00 AM ET Company ParticipantsPablo Cagnoni - Head of R and DBill Meury - CEOConference Call ParticipantsClara Dunn - Biotech AnalystClara DunnAll right, good morning. Thank you, everyone, for joining Jefferies Healthcare Conference in London. My name is Clara Dunn, one of the biotech analysts here at Jefferies. Sitting next to me, we have the Chief Executive Officer from Incyte, Bill Meury, and the Head of R&D, Pablo Cagnoni. Thank you very much fo ...

Incyte FY Conference Summary Company Overview - **Company**: Incyte (NasdaqGS: INCY) - **Date of Conference**: November 10, 2025 Key Industry Insights Hematology and Oncology Focus - Incyte is primarily identified as a hematology company, focusing on myeloproliferative neoplasms (MPNs) with three targeted therapies in mid to late stages of development [4][5] - The company aims to transition from nonspecific symptomatic therapies to mutation-specific targeted therapies, which is expected to be a significant growth driver [4][5] R&D Capabilities - Incyte's R&D organization is described as high-quality and efficient, with a focus on fewer, higher-quality investments rather than diffuse spending [5][6] - The company plans to streamline costs while ensuring critical initiatives are funded adequately [5][6] Pipeline Opportunities Jakafi and Antibody Product Candidate 989 - Jakafi remains a leading JAK inhibitor, but the antibody product candidate 989 is positioned as a potential superior alternative for essential thrombocythemia (ET) and myelofibrosis (MF) [9][10] - The commercial opportunity for 989 in ET is estimated at $5 billion, while in MF, it is projected at $2.5 billion, with expectations of capturing significant market shares [11][12] Clinical Data and Future Trials - Phase one data for 989 shows promise in normalizing platelet counts and improving symptoms in ET and MF patients [13][14] - A phase three program for 989 is expected to start in mid-2026, with more data to be presented at the upcoming ASH meeting [10][11][14] Collaboration and Development Strategy - Incyte has partnered with Enable Injections to develop a subcutaneous formulation of 989, aiming to enhance patient convenience and adherence [21][23] - The acquisition of a JAK2 selective inhibitor is part of a broader strategy to provide comprehensive treatment options for MPNs [26][28] Inflammatory Portfolio Povorcitinib - Povorcitinib is being developed for immune-mediated skin conditions, with a focus on hidradenitis suppurativa (HS) [29][30] - The drug shows rapid pain relief and significant skin clearance rates, with potential to capture a substantial market share [31][33] Commercial Synergies - Incyte aims to leverage existing infrastructure from its Opzelura product to create commercial synergies with Povorcitinib, enhancing operational efficiency and market reach [34] Financial Performance and Growth Projections Opzelura - Opzelura has shown strong growth, with a reported 30% increase in revenue compared to the previous year, and is projected to reach peak sales of $1.5 billion in atopic dermatitis (AD) alone [36][37] Nectimbo - Nectimbo is off to a strong start in the GVHD market, with annualized sales expected to approach $200 million by year-end [40] - The product is primarily used in third-line therapy, with ongoing studies to demonstrate its utility in combination with Jakafi [41][43] Conclusion - Incyte is strategically positioned in the hematology and oncology sectors, with a robust pipeline and a focus on targeted therapies. The company is actively pursuing collaborations and acquisitions to enhance its product offerings and market presence, while also demonstrating strong financial growth across its portfolio.

Core Insights - Incyte Corp. (NASDAQ: INCY) has reached a new all-time high, driven by positive investor sentiment following a bullish upgrade from Guggenheim [1][2] - The stock price increased by 8.65% to close at $101.57 after hitting an intra-day high of $101.79 [1] - Guggenheim has set a new price target of $125 for Incyte, indicating a potential upside of 23% from its latest closing price [2] Financial Performance - Incyte Corp. reported a significant increase in net income for Q3, quadrupling to $424 million from $106 million year-on-year [2] - Revenues for the same period rose by 19%, reaching $1.37 billion compared to $1.14 billion in the previous year [2] Future Guidance - For the full-year 2025, Incyte has raised its revenue guidance to between $4.23 billion and $4.32 billion, reflecting increased demand for its products [3] - The company expects revenues from Jakafi, its cancer treatment, to be between $3.05 billion and $3.075 billion, while hematology and oncology products are projected to generate $550 million to $575 million [3]

Core Viewpoint - Incyte Corporation is experiencing strong financial performance driven by its flagship product, Jakafi, despite a price target set by RBC Capital indicating potential downside for the stock [2][5]. Financial Performance - Incyte reported earnings of $2.26 per share for Q3 2025, surpassing the Zacks Consensus Estimate of $1.66 per share, resulting in an earnings surprise of 36.14% [2]. - The company's revenue for Q3 2025 was $1.37 billion, exceeding the Zacks Consensus Estimate by 8.71% and increasing from $1.14 billion in the same period last year [3]. - Incyte has consistently outperformed revenue expectations over the past four quarters, with strong demand for Jakafi being a key growth driver [3]. Stock Performance - The current stock price for Incyte is $89.66, reflecting a decrease of 2.17% with a trading range between $88.34 and $94.42 for the day [4]. - Over the past year, the stock has reached a high of $94.42 and a low of $53.56, with a market capitalization of approximately $17.5 billion [4][5]. - RBC Capital has set a price target of $84 for Incyte, suggesting a potential downside of approximately -8.35% from the current trading price [2].

Core Insights - Incyte Corporation reported third-quarter 2025 adjusted earnings of $2.26 per share, exceeding the Zacks Consensus Estimate of $1.66 and more than doubling from $1.07 per share in the same quarter last year [1][9] - Total revenues for the third quarter reached $1.37 billion, reflecting a 20% year-over-year growth, driven by strong performance from Jakafi and Opzelura, and surpassing the Zacks Consensus Estimate of $1.26 billion [2][9] Revenue Breakdown - Jakafi sales amounted to $791.1 million, a 7% increase year-over-year, attributed to a 10% rise in paid demand, beating the Zacks Consensus Estimate of $770 million [3][9] - Opzelura cream generated $188 million in sales, up 35% year-over-year, driven by increased patient demand, exceeding the Zacks Consensus Estimate of $179.1 million [4][9] - Newly approved Zynyz generated $22.7 million in sales, significantly higher than the year-ago quarter and beating the Zacks Consensus Estimate of $9.5 million [5][9] - Minjuvi's revenues totaled $42 million, a 34% year-over-year increase, surpassing the Zacks Consensus Estimate of $37.9 million [6][9] - Niktimvo recorded $45.8 million in sales, up 27% sequentially, following its launch in the U.S. [7][9] Market Performance - Incyte's shares have increased by 34.8% year-to-date, outperforming the industry growth of 10.3% [8] Financial Guidance - The company revised its 2025 guidance for Jakafi revenues to a range of $3.05-$3.075 billion, up from the previous range of $3-$3.05 billion, while maintaining the guidance for Opzelura revenues at $630-$670 million [16]

Core Insights - Incyte reported a revenue of $1.37 billion for Q3 2025, marking a year-over-year increase of 20.1% and exceeding the Zacks Consensus Estimate of $1.26 billion by 8.71% [1] - The company's EPS for the quarter was $2.26, up from $1.07 a year ago, representing a surprise of 36.14% compared to the consensus estimate of $1.66 [1] Revenue Breakdown - Product revenues reached $1.15 billion, surpassing the average estimate of $1.09 billion, with a year-over-year change of 19.4% [4] - Product royalty revenues totaled $171.12 million, exceeding the estimated $164.43 million, reflecting a 9.1% increase year-over-year [4] - Net product revenues for Iclusig were $37.58 million, above the $30.63 million estimate, showing a 26.4% year-over-year increase [4] - Net product revenues for Pemazyre were $22.74 million, slightly above the $21.99 million estimate, with a 10.1% year-over-year change [4] - Net product revenues for Minjuvi/Monjuvi reached $41.99 million, exceeding the $37.87 million estimate, representing a 33.6% year-over-year increase [4] - Net product revenues for Opzelura were $187.97 million, surpassing the $179.13 million estimate, with a year-over-year change of 35% [4] - Net product revenues for Jakafi were $791.07 million, above the $769.99 million estimate, reflecting a 6.7% year-over-year increase [4] - Net product revenues for Niktimvo were $45.83 million, exceeding the estimate of $42.68 million [4] - Net product revenues for Zynyz were $22.67 million, significantly above the $9.46 million estimate, showing a remarkable year-over-year change of 3167.2% [4] - Royalty revenues for Olumiant were $37.11 million, slightly below the estimate of $37.17 million, with a year-over-year change of 6.7% [4] - Royalty revenues for Tabrecta were $6.51 million, below the estimate of $7.15 million, reflecting a 9.9% year-over-year change [4] - Royalty revenues for Jakavi were $125.65 million, exceeding the estimate of $119.18 million, with an 8.6% year-over-year increase [4] Stock Performance - Incyte's shares have returned +11% 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 potential performance in line with the broader market in the near term [3]

Financial Data and Key Metrics Changes - The company reported total revenues of $1.37 billion and product sales of $1.15 billion, representing a 20% and 19% increase year-over-year, respectively [4][29] - GAAP R&D expenses were $507 million, with a 7% year-over-year increase, driven by investments in late-stage development assets [29] - GAAP SG&A expenses were $329 million, increasing 6% year-over-year, primarily due to international marketing activities [29] - The company raised its full-year net product revenue guidance to $4.23-$4.32 billion [29] Business Line Data and Key Metrics Changes - Jakafi sales reached $791 million, a 7% increase, with strong demand growth of 10% year-over-year [5] - Opzelura sales were $188 million, a 35% increase year-over-year, with $144 million from the U.S., representing a 21% increase [6] - Niktimvo sales totaled $46 million, a 27% increase from the previous quarter, with 90% of U.S. bone marrow transplant centers adopting the product [7][8] - Monjuvi and ZYNYZ also saw strong growth, contributing to the raised guidance [9] Market Data and Key Metrics Changes - International sales for Opzelura and vitiligo totaled $44 million, a 117% increase from last year [7] - The market for branded non-steroidal topicals is expanding at a 20% rate, with Opzelura well-positioned to capitalize on this trend [6] Company Strategy and Development Direction - The company is focusing on optimizing promotional strategies and investments for key products to drive future growth [4] - A thorough review of the pipeline is being conducted to prioritize high-value programs, with several preclinical and early clinical stage programs being paused or stopped [17][18] - The company plans to launch three important new products next year: Ruxolitinib XR, Opzelura AD in Europe, and Povorcitinib in HS [9][10] Management's Comments on Operating Environment and Future Outlook - Management expressed confidence in the growth potential of key products and emphasized the importance of demonstrating single-agent activity for new therapies [4][35] - The company is committed to balancing cost management with strategic investments to support long-term growth [14][68] - Management highlighted the potential for significant market opportunities in HS and MPNs, with a focus on targeted therapies [10][12] Other Important Information - The company is actively studying Niktimvo in combination with Ruxolitinib and steroids, which could shift the standard of care in GVHD [8] - The ongoing developments in PN and vitiligo are expected to further strengthen the company's dermatology portfolio [11] Q&A Session Summary Question: Importance of mCALR data for efficacy - Management emphasized the need to demonstrate single-agent activity for the mCALR antibody program, with a focus on clinical and translational endpoints [33][35] Question: Termination of Povorcitinib program at CSU - The decision was based on prioritizing projects with better return profiles, and data from the phase two program will likely be released at a future conference [38][39] Question: Sustainability of Naktinvo's growth trajectory - Management indicated strong initial adoption and positive feedback from transplant centers, with a solid growth trajectory expected [72][74] Question: Development path for mCALR - The goal is to start pivotal trials for mCALR in 2026, with a focus on building a pipeline of targeted therapies for MPNs [51][52] Question: Operating expenses and margin profile evolution - Management expects to streamline costs while ensuring critical initiatives are funded, with an anticipated improvement in margins over time [68][69]

Financial Data and Key Metrics Changes - The company reported total revenues of $1.37 billion and product sales of $1.15 billion, representing a 20% and 19% increase year-over-year, respectively [3][29] - GAAP R&D expenses were $507 million, with a 7% year-over-year increase when excluding one-time expenses from the prior year [29] - GAAP SG&A expenses were $329 million, reflecting a 6% increase year-over-year, primarily due to international marketing activities [29] - The company raised its full-year net product revenue guidance to a range of $4.23 billion to $4.32 billion [29] Business Line Data and Key Metrics Changes - Jakafi sales reached $791 million, a 7% increase, with strong demand growth of 10% year-over-year [4] - Opzelura sales were $188 million, a 35% increase year-over-year, with $144 million from the U.S., representing a 21% increase [5] - Niktimvo sales totaled $46 million, a 27% increase from the second quarter, with 90% of U.S. bone marrow transplant centers adopting the product [6][7] Market Data and Key Metrics Changes - International sales for Opzelura and vitiligo reached $44 million, a 117% increase from last year [6] - The branded non-steroidal topical market is expanding at a 20% rate, with Opzelura positioned to benefit from this trend [5] Company Strategy and Development Direction - The company is focusing on optimizing promotional strategies and investments for key products to drive future growth [3] - Upcoming product launches include Ruxolitinib XR, Opzelura AD in Europe, and povorcitinib in HS, which are expected to contribute significantly to future growth [9][10] - The company is conducting a thorough review of its pipeline to prioritize high-value programs and streamline operations [11][12] Management's Comments on Operating Environment and Future Outlook - Management expressed confidence in the growth potential of key products and emphasized the importance of demonstrating single-agent activity for new therapies [3][35] - The company is focused on maintaining financial discipline while investing in strategic growth drivers [14][70] - Management highlighted the potential of povorcitinib and other pipeline products to address significant medical needs and drive future growth [18][20] Other Important Information - The company is actively studying Niktimvo in combination with ruxolitinib and steroids, which could shift the standard of care in GVHD [8] - The company plans to submit an application for ruxolitinib cream in moderate AD in the EU by year-end, with potential approval in the second half of 2026 [6] Q&A Session Summary Question: Importance of mCALR data for efficacy - Management emphasized the need to demonstrate single-agent activity for the mCALR antibody program, with a focus on clinical and translational endpoints [33][35] Question: Termination of povorcitinib program at CSU - The decision was based on prioritizing projects with better return profiles, and data from the terminated program may still be presented at a future conference [39][40] Question: Sustainability of Naktinvo's growth trajectory - Management expressed confidence in Naktinvo's growth, noting broad adoption among transplant centers and a healthy margin profile [71][74] Question: Current pipeline maturity and growth post-Jakafi LOE - The company is focused on several key projects, including povorcitinib and mCALR, to drive growth and build a robust oncology portfolio [79][80]

Group 1 - Incyte reported adjusted earnings of $2.26 per share on $1.37 billion in third-quarter sales, falling short of analysts' expectations of $1.58 per share and $1.25 billion in sales [1] - The company's earnings in the same period last year were $1.07 per share on $1.14 billion in sales, indicating a year-over-year increase in earnings but a decline in sales compared to expectations [1] - Incyte raised its full-year sales guidance to between $4.23 billion and $4.32 billion, driven by higher demand for Jakafi and other products, although analysts projected earnings per share of $5.92 and sales of $4.84 billion [2] Group 2 - In premarket trading, Incyte's stock decreased by 1.7% to $91.50 following the earnings report [2] - The article mentions other companies experiencing stock movements, such as Viking and Sanofi, but does not provide specific financial details about them [3]