Mineralys Therapeutics(MLYS) - 2025 Q1 - Earnings Call Transcript

Financial Data and Key Metrics Changes - The company ended Q1 2025 with cash, cash equivalents, and investments of $343 million, up from $198.2 million as of December 31, 2024, indicating a strong improvement in liquidity [23] - R&D expenses for Q1 2025 were $37.9 million, compared to $30.8 million in Q1 2024, primarily due to increased preclinical and clinical costs [24] - G&A expenses increased to $6.6 million in Q1 2025 from $4.6 million in Q1 2024, driven by higher compensation and professional fees [24] - The net loss for Q1 2025 was $42.2 million, compared to $31.5 million in Q1 2024, reflecting increased expenses [25] Business Line Data and Key Metrics Changes - The pivotal trials for lorundrostat, including LAUNCH HTN and ADVANCE HTN, achieved statistically significant results in reducing systolic blood pressure in patients with uncontrolled hypertension [6][12] - The LAUNCH HTN trial demonstrated a placebo-adjusted reduction in systolic blood pressure of 9.1 mmHg at week six and maintained a reduction of 11.7 mmHg at week twelve [12][13] - The ADVANCE HTN trial showed a placebo-adjusted reduction of 7.9 mmHg in systolic blood pressure, confirming the efficacy of lorundrostat in a high-risk population [16][17] Market Data and Key Metrics Changes - A survey indicated that 95% of physicians are likely to prescribe lorundrostat if approved, particularly in third and fourth-line treatment positions for hypertension [8] - The company is targeting a significant market opportunity, with over 20 million patients in the US suffering from uncontrolled and resistant hypertension [93] Company Strategy and Development Direction - The company aims to submit a new drug application (NDA) for lorundrostat, incorporating data from multiple pivotal trials, including the ongoing EXPLORER CKD and EXPLORER OSA trials [8][35] - The appointment of Eric Warren as Chief Commercial Officer is part of the strategy to prepare for potential FDA approval and to enhance commercial efforts [10] - The company is exploring partnerships to maximize the global opportunity for lorundrostat, particularly outside the US [51] Management's Comments on Operating Environment and Future Outlook - Management expressed optimism about the clinical profile of lorundrostat, highlighting its potential to address significant unmet medical needs in hypertension [6][93] - The company plans to engage with the FDA in a pre-NDA meeting in Q4 2025 to discuss the path forward for lorundrostat [8] - Management emphasized the importance of safety and efficacy data in guiding treatment decisions for patients with advanced chronic kidney disease [30] Other Important Information - The company completed a public equity financing in March 2025, raising approximately $201.2 million, which bolstered its balance sheet [11] - The EXPLORER CKD trial is designed to evaluate lorundrostat's safety and efficacy in patients with chronic kidney disease and hypertension [18] Q&A Session Summary Question: Acceptable level of hyperkalemia in CKD trial - Management indicated that specialists treating advanced kidney disease are more comfortable with higher potassium levels if it leads to improved blood pressure and kidney function [27][30] Question: Efficacy comparison with other treatments - Management anticipates clinically meaningful reductions in blood pressure with lorundrostat, based on previous successful studies [31] Question: Role of EXPLORER CKD in regulatory submission - The EXPLORER CKD study will provide critical data for the NDA submission, particularly for patients with lower eGFR [34][36] Question: Partnering discussions and factors - Management confirmed ongoing discussions with potential partners, emphasizing the need for partners to maximize the opportunity for lorundrostat [60][61] Question: Inclusion of EXPLORER OSA data in NDA - It is too early to determine if data from the EXPLORER OSA trial will be included in the NDA submission [46] Question: Hypertension guidelines and lorundrostat - Management noted that it is uncertain when guidelines will include data from the pivotal trials but emphasized the importance of the data for future treatment paradigms [68] Question: Subgroup analyses in hypertension studies - Management is focused on identifying unique responders to lorundrostat and plans to present subgroup analysis data in the future [75]