How did TARS outperform forecasts in Q4 2024?

Tarsus Pharmaceuticals Inc. (TARS) significantly outperformed forecasts in Q4 2024, primarily due to the robust growth of its flagship product, XDEMVY, and strategic market positioning.

1. **Strong Commercialization of XDEMVY**: Tarsus' focus on commercializing XDEMVY for Demodex blepharitis was instrumental in achieving high sales. The FDA-approved treatment is the first and only therapeutic for Demodex blepharitis, a disease affecting a large patient population in the US. The company reported that XDEMVY generated over $180 million in net product sales for the year 2024, with 163,000 bottles sold.
2. **Market Penetration and Expansion**: Tarsus targeted high unmet medical needs in eye care and infectious disease prevention, which positioned it well in niche markets. The company's efforts to educate doctors on identifying Demodex blepharitis in broader patient categories contributed to increased prescriptions. Additionally, the company's pipeline, including TP-04 for Ocular Rosacea and TP-05 for Lyme disease prevention, indicates a strategic approach to future market expansion.
3. **Conference Participation and Strategic Partnerships**: Tarsus' participation in prestigious healthcare conferences, such as the Barclays Global Healthcare Conference, enhanced its visibility and reinforced its commitment to innovation. These events provide platforms for the company to showcase its products and pipeline, potentially attracting investors and partners.

In conclusion, Tarsus' outperformance in Q4 2024 can be attributed to its successful commercialization of XDEMVY, strategic market expansion, and active participation in the healthcare community. These factors collectively contributed to the company's strong financial performance, which surpassed market forecasts.