Strongbridge Biopharma plc (NASDAQ:SBBP) Q4 2019 Earnings Conference Call - Final Transcript

Feb 25, 2020 • 08:30 am ET


Strongbridge Biopharma plc (NASDAQ:SBBP) Q4 2019 Earnings Conference Call - Final Transcript


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Ladies and gentlemen, thank you for standing by, and welcome to Strongbridge Biopharma plc Corporate Update and Fourth Quarter 2019 Earnings Conference Call. [Operator Instructions] Please be advised that today's conference is being recorded [Operator Instructions]

It is now my pleasure to introduce Lindsay Rocco of Elixir Health Public Relations.

Lindsay Rocco

Thank you, Andrew, and good morning, everyone. We are pleased that you could join us today for Strongbridge Biopharma's Fourth Quarter and Full Year 2019 Earnings Conference Call. Joining me from Strongbridge this morning are John Johnson, Executive Chairman; Dr. Fred Cohen, Chief Medical Officer; Scott Wilhoit, Chief Commercial Officer and Rob Lutz, Chief Financial Officer.

Before we begin, I would like to remind you that during this call, the company will be making forward-looking statements that are subject to risks and uncertainties that may cause actual results to differ from the results discussed in the forward-looking statements. Reference to these risks and uncertainties are made in today's press release and disclosed in detail in the company's periodic and current event filings with the U.S. Securities and Exchange Commission.

Please note that during Scott's portion of the call, there will be an accompanying set of slides, highlighting an initial view of the market opportunity in Cushing's syndrome based upon company-sponsored market research. To access and download these slides, please go to the Investor Events, Presentations, & Publications section of the Strongbridge website. These slides will also be made available online as part of the company's corporate presentation following this call within the same section of the website.

I will now turn the call over to John Johnson.

John H. Johnson

Thanks, Lindsay. Good morning, everyone, and thank you for joining us today. For today's call, I would first like to begin by reviewing the strong 2019 performance of KEVEYIS. I would like to thank this team for their continued dedication to serving the many unmet needs of the primary periodic paralysis community. KEVEYIS achieved revenues of $5.6 million for the fourth quarter and $21.7 million for the full year, exceeding the company's revenue guidance range of $18 million to $20 million, representing a 29% increase over the $16.8 million in total revenue in 2018. We believe that this growth can be attributed to both a steady flow of referrals from physicians that has resulted in new patient starts and improved retention rates. We are confident that we can continue this growth in 2020. And therefore, today, we confirmed our preliminary revenue guidance of $26 million to $27 million for this year. We also expect to realize a continued positive and growing contribution margin in 2020 from KEVEYIS. These results, coupled with actions taken in the fourth quarter to strengthen the company's overall financial position, have allowed us to extend our cash runway to the third quarter of 2021, which is at least one year beyond our anticipated time frame for reporting topline LOGICS results.

With regard to our clinical development program for RECORLEV in endogenous Cushing's syndrome, today, we announced enrollment in the Phase