Phathom Pharmaceuticals, Inc. Common Stock H.C. Wainwright 28th Annual Global Investment Conference

Thank you for having us.

Matthew, it's a pleasure. Yeah.

Well, VOQUEZNA has had a really good launch over the first three years. We did close to $75 million in revenue last quarter, so we're annualizing at a $300 million run rate.

Three years into the launch, and that reflects the significant emphasis on the significant clinical efficacy that this drug delivers, and the confidence on the part of physicians that VOQUEZNA really is a meaningful improvement in therapy for many of their patients with either erosive esophagitis or non-erosive reflux. Although candidly, the majority of our patients are erosive esophagitis patients.

We tend to be adopted first by physicians for their more severe patients, then we will be growing the penetration from there. But it's been a really good launch. We also were really pleased last quarter to deliver our first ever operating profit, and the way we're calculating that is obviously on a non-GAAP basis, we're excluding non-cash stock-based compensation. When you look at operating profit excluding stock-based comp, we delivered our first operating profit. That was actually one quarter ahead of the initial estimate when we made the pivot last year to manage expenses more rigorously and to drive our sales calls to gastroenterology offices to drive penetration within gastroenterology.

We'd estimated that we could be profitable by mid-year, by Q3 of this year.

We got there by Q2. We are committed to delivering positive operating profit each of the next two quarters.

Positive cash flow in 2027.

We are having really good momentum with the launch. From a pipeline perspective, we are at this point just focused on VOQUEZNA, but we are looking at new indications for VOQUEZNA. The next two key indications are in eosinophilic esophagitis.

It is an inflammatory indication in the esophagus where PPI therapy, acid suppression therapy, is first-line therapy today, but none of the PPIs are indicated. We have an opportunity in that indication to have the first on-label acid suppression strategy for EoE patients. We have announced that we are going to be doing an as-needed use trial, so in non-erosive reflux patients to give patients the option of either daily dosing with VOQUEZNA or as-needed dosing. Whenever they have a heartburn episode, they could dose. That will broaden utilization and give us a distinctive commercial value proposition and a distinctive call point within primary care that we can talk to primary care physicians about solving the problem that many of their patients have. We are both pleased with the commercial launch to date.

encouraged by the ongoing programs to expand utilization, and significantly encouraged by the core momentum on driving top-line revenue while maintaining our expense discipline as an organization.