Incyte (INCY) Q2 2025 Earnings Call July 29, 2025 08:00 AM ET Speaker0Greetings, and welcome to the Incyte Second Quarter twenty twenty five Earnings Conference Call and Webcast. At this time, all participants are in a listen only mode. A question and answer session will follow the formal presentation. As a reminder, this conference is being recorded. It's now my pleasure to turn the call over to Greg Kirtser, Senior Director of Investor Relations.Please go ahead.Speaker1Thank you, Kevin. Good morning, and ...

Financial Data and Key Metrics Changes - In Q1 2025, total revenues reached $1,050 million, reflecting a 20% year-over-year increase, while product revenues grew 26% to $922 million [6][15][16] - The cash position at the end of the quarter was $2.4 billion [6] - The company raised its full-year 2025 net product revenue guidance for Jakafi to a range of $2,950 million to $3,000 million [7][23] Business Line Data and Key Metrics Changes - Jakafi's net product revenue increased 24% year-over-year to $709 million, with total patients rising 10% compared to Q1 2024 [7][16] - OPSELURA's total revenue was $119 million, up 38% year-over-year, driven by growth in the U.S. and contributions from Germany and France [8][19] - Nictimvo, launched in January 2025, generated $14 million in net product revenues in its first quarter, with strong early launch metrics [10][11] Market Data and Key Metrics Changes - The U.S. market for OPSELURA saw a significant increase in annual prescription trends, with commercial coverage improving from 86% to 94% due to formulary changes [9] - The company expects minimal impact from potential tariffs on pharmaceuticals due to established dual sourcing strategies [12][13] Company Strategy and Development Direction - The company plans to launch four new products in 2025 and initiate at least three Phase III studies, anticipating significant growth from these developments [11][31] - The focus remains on expanding the commercial portfolio and advancing the R&D pipeline, with a strong emphasis on addressing unmet medical needs [6][35] Management's Comments on Operating Environment and Future Outlook - Management expressed optimism about the long-term potential of Nictimvo and the overall growth trajectory driven by successful product launches and ongoing demand for existing products [6][35] - The company highlighted the importance of upcoming milestones and catalysts in 2025, which are expected to shape its growth trajectory [35] Other Important Information - The company is committed to maintaining a strong cash position while investing in R&D and commercial activities [6][15] - Management noted that the exposure to China is limited, with alternative sources of supply available if needed [14] Q&A Session Summary Question: Expectations for Jakafi's growth driven by new patients versus continued use - Management indicated that growth will be driven by both new patient starts and continued therapy adherence, emphasizing the importance of early treatment with Jakafi [38][41] Question: Positioning of Povo for chronic spontaneous urticaria - Management believes Povo will serve both patients who fail antihistamines and those who prefer an oral option before biologics [45][46] Question: Update on Kallar Compound data - Management confirmed that data will be presented in 2025, including a range of doses and clinical endpoints [54][55] Question: Contribution of atopic dermatitis and vitiligo to OPSELURA - Management noted that both indications are growing at a similar pace, with efforts to improve access to atopic dermatitis treatments [64][65] Question: Capital allocation and business development strategy - Management stated that internal pipeline success drives capital allocation, with a focus on R&D and potential early-stage partnerships [68][70]