Travere Therapeutics, Inc. Common Stock 2026 Q2 Earnings Call

Good afternoon, welcome to Travere Therapeutics' second quarter 2026 financial results and corporate update call. Thank you all for joining. Today's call will be led by Dr. Eric Dube, our President and Chief Executive Officer. Eric will be joined in the prepared remarks by Peter Heerma, our Chief Commercial Officer, Dr. Jula Inrig, our Head of R&D and Chief Medical Officer, Chris Cline, our Chief Financial Officer. Dr. William Rote, our Chief Research Officer, will join us for the Q&A. Before we begin, I'd like to remind everyone that statements made during this call regarding matters that are not historical facts are forward-looking statements within the safe harbor provisions of the Private Securities Litigation Reform Act of 1995. Forward-looking statements are not guarantees of performance.

They involve known and unknown risks, uncertainties, and assumptions that may cause actual results, performance, and achievements to differ materially from those expressed or implied by the statement. Please see the forward-looking statements disclaimer on the company's press release issued earlier today, as well as the Risk Factors section in our Forms 10-Q and 10-K filed with the SEC. In addition, any forward-looking statements represent our views only as of the date such statements are made, August 4th, 2026, and Travere specifically disclaims any obligations to update such statements to reflect future information, events, or circumstances. With that, let me now turn the call over to Eric.

Eric? Thank you, Nivi. Good afternoon, thank you for joining us today.

The second quarter was exceptional. Our performance demonstrates the strength of the company we are building and the disciplined execution of our teams. Travere has now entered a new chapter, one that we expect will deliver near and long-term growth driven by clear momentum across four key pillars. Continued growth for FILSPARI in IgA nephropathy, the successful launch of FILSPARI in FSGS, the advancement of pegtibatinase in its pivotal phase III study, and the addition of civorebrutinib to our rare kidney disease pipeline. At the center of this strategy is FILSPARI, which we believe is becoming an increasingly important rare kidney disease medicine. This was the first quarter with FILSPARI commercially available across both IgA nephropathy and FSGS, we are very pleased with the performance.

Our teams delivered growth in IgA nephropathy demand compared to last quarter, despite additional market entrants, and achieved successful early adoption in the first months of the FSGS launch that exceeded our high expectations. Peter will provide more detail on the launch shortly, but we are encouraged by the early performance. As we build on FILSPARI's commercial momentum, we continue to advance our intellectual property strategy. During the quarter, the USPTO issued a notice of allowance for a U.S. patent application directed to certain methods of using sparsentan in IgA nephropathy. Upon issuance, the patent is expected to provide U.S. patent coverage for those methods. We also continue to pursue additional patent coverage for sparsentan, including through a pending U.S. application directed to certain methods of using sparsentan in FSGS.

Beyond FILSPARI, we are building a robust pipeline of potential disease-modifying, best-in-class medicines that is strategically aligned with our rare kidney disease expertise and positioned to drive long-term growth. pegtibatinase remains a very important program for Travere and for the HCU community. It has the potential to become the first and only disease-modifying therapy for classical homocystinuria, a rare metabolic disease affecting 7,000 to 10,000 patients and their families in the U.S. today. With pivotal data expected next year, pegtibatinase is positioned to become the next medicine we deliver from our pipeline to address a significant unmet need within the rare disease community. We are also very pleased to recently close our exclusive licensing agreement with Everest Medicines for civorebrutinib, adding a differentiated upstream immune-modulating approach to our rare kidney disease portfolio with potential application across multiple immune-mediated kidney diseases.

While it is still early, we see civorebrutinib as a meaningful long-term growth opportunity in addition to FILSPARI and pegtibatinase. With continued momentum across our business, we are entering the second half of the year from a position of considerable strength. I'd now like to turn the call over to Peter for a commercial update.

Peter? Thank you, Eric. Before discussing our commercial performance, I want to recognize the extraordinary work of our commercial organization and colleagues across Travere.

Following our FSGS approval in April, our teams have executed with urgency, focus, and discipline while continuing to serve the IgA nephropathy patient community. I couldn't be more proud of what this team is accomplishing together. Their efforts resulted in record FILSPARI demand, with over 2,000 new patient start forms across IgA nephropathy and FSGS, and record U.S. revenue of more than $141 million for the quarter. Our Q2 performance reflects two complementary growth drivers. One, continued strength in our established IgA nephropathy business, and two, exceptionally strong first few months of launch in FSGS.

Let me begin with IgA nephropathy. Demand remains strong, growing again compared to the prior quarter. Importantly, this growth was achieved despite additional treatment options entering the market, reinforcing FILSPARI's established and differentiated positioning. FILSPARI remains the most widely utilized treatment option approved for IgA nephropathy, and we continue to see high levels of repeat prescriptions alongside ongoing adoption by new physicians. Since the treatment guidelines were updated last year to recommend a lower proteinuria target, we have observed physicians treating patients earlier and pursuing more ambitious treatment goals. FILSPARI's foundational positioning with superior efficacy demonstrated against an active maximally dosed ARB, gives physicians confidence that more patients can achieve those goals, whether FILSPARI is used as a monotherapy or in combination with other treatment modalities. Turning to FSGS. The beginning of the launch has been strong.

Prior to April, there had been no FDA-approved medicines for FSGS, one of the most progressive rare kidney diseases. This high unmet need, along with the compelling proteinuria reduction FILSPARI provides, has created strong physician and patient enthusiasm. Furthermore, our established nephrology relationships, combined with our team's robust FSGS launch preparation, have supported rapid early adoption by the FSGS community. At approval, we expected FSGS uptake would outpace that of the beginning of the IgA nephropathy launch, and this is what we are seeing. All fundamentals regarding demand, payer access, fulfillment, and revenue are exceeding the metrics we have seen during the initial phase of the IgA nephropathy launch. Leading into the approval, there was high awareness among physicians and patients.

A small portion of our early adoption likely reflects physicians prioritizing patients they have already identified or those patients more frequently seeing their physician, resulting in a slight acceleration of demands during the initial launch periods. Importantly, overall demand has been broad. The vast majority of physicians who have prescribed FILSPARI for FSGS have written for a single patient to date, while we also continue to see steady activation of new prescribers. This reinforces our belief that we remain in the early stages of market uptake, which supports confidence in the durability of demand. Additionally, we are encouraged by the early progress we are making with payer access. First pass approval rates in FSGS track ahead of what was experienced at the comparable stage of the IgA nephropathy launch. While early launch conversion always takes some time, conversion trends are progressing well.

We entered the FSGS launch with existing payer relationships, an experienced patient services organization, and an established field reimbursement team. This organizational experience, together with robust launch preparations, enabled drug availability upon approval, and shipments to begin within the first week following approval. Importantly, payers understand the rare and progressive nature of FSGS and the lack of effective and approved medicines for this condition. While they continue to establish and refine their coverage policies, we remain focused on educating on the clinical value of FILSPARI, supported by health economic evidence. At the same time, our field reimbursement teams continue to work closely with nephrology practices to support navigating reimbursement requirements and help patients access therapy as efficiently as possible. This work will continue throughout the year to further increase access to the FSGS patient community.