Xeris Biopharma(US:XERS)2025-11-06 14:30Financial Data and Key Metrics Changes - Total product revenue for Q3 2025 exceeded $74 million, representing a 40% increase year over year [4] - The company raised the lower end of its full-year total revenue guidance to a range of $285-$290 million, indicating a 42% increase at the midpoint compared to 2024 [4][12] - Gross margin improved to 85%, driven primarily by an improved product mix [11] - For the first time in the company's history, it reported quarterly net income [9][11] Business Line Data and Key Metrics Changes - Recorlev generated revenue of $37 million in Q3, a year-over-year increase of 109%, with the average number of patients on therapy growing by 108% [5][10] - Gvoke delivered revenue of more than $25 million, up nearly 10% from the same period last year, driven by a 5% increase in total prescriptions [6][10] - Keveyis achieved quarterly revenue of approximately $12 million, supported by new patient additions [6][10] Market Data and Key Metrics Changes - The company continues to expand its prescriber base for Recorlev, reflecting strong demand in the hypercortisolemia and Cushing's syndrome market [5][7] - The average number of patients on therapy for Keveyis increased, indicating a healthy pace of new patient starts [10] Company Strategy and Development Direction - The company is focused on expanding its commercial footprint to capture significant opportunities for Recorlev while strengthening operational capabilities for scalable growth in 2026 and beyond [7] - The strategic expansion includes nearly doubling the sales and patient support teams [7] - The company is advancing its pipeline with XP-8121, a once-weekly subcutaneous form of levothyroxine, with plans to initiate a phase three clinical trial in the second half of 2026 [7][8] Management's Comments on Operating Environment and Future Outlook - Management expressed confidence in the ongoing demand for therapies and the company's ability to deliver strong performance [9][12] - The company anticipates continued growth for Recorlev, with expectations of it becoming a billion-dollar product [21] - Management emphasized the importance of maintaining positive adjusted EBITDA while making incremental investments in growth opportunities [12][24] Other Important Information - The company is committed to remaining adjusted EBITDA positive despite increased spending on R&D and SG&A [12][24] - Management highlighted the importance of a disciplined approach to investments in technology and infrastructure to support future growth [29] Q&A Session Summary Question: Impact of expanded sales force on Recorlev productivity - The sales force for Recorlev was increased by 50%, and productivity is expected to ramp up in the first half of the year [15][16] Question: Discontinuation rates for Recorlev - There have been no significant changes in dropout rates, with new patient starts overwhelming any metrics [19][20] Question: Competitive dynamics with potential new entrants - Management views the potential approval of competitors as an opportunity to expand the market for hypercortisolemia treatments [40][41] Question: Plans to target general practitioners for Recorlev - The company plans to expand its commercial footprint to include general practitioners as part of its data-driven approach [41][42] Question: Durability of the Keveyis franchise - The company continues to see strong performance from Keveyis, with ongoing efforts to support patient treatment and retention [45]