Phathom Pharmaceuticals Q2 2025: Unpacking Contradictions in Growth Strategies and Market Focus

DTC advertising strategy and impact on growth, Focus on GI Specialists and Revenue Growth Strategy, Efficacy and Reputation of Generic PPIs, Focus on GI Specialists vs. Primary Care Physicians, and Impact of Medicare and Medicaid on Gross to Net are the key contradictions discussed in Phathom Pharmaceuticals' latest 2025Q2 earnings call.



Revenue and Prescription Growth:
- Phathom Pharmaceuticals reported revenue of $39.5 million for Q2, representing 39% growth over Q1, with over 580,000 prescriptions filled for VOQUEZNA since launch.
- Growth was driven by increased adoption of VOQUEZNA, supported by commercialization efforts and a focus on gastroenterologists for deeper prescription engagement.

Cost Reduction and Efficiency:
- The company achieved a $12 million reduction in Q2 non-GAAP OpEx compared to Q1, with plans for Q3 expenses below $60 million and Q4 expenses below $55 million.
- This was due to cost-saving initiatives, including eliminating direct-to-consumer advertising and restructuring efforts.

Focus on Gastroenterologists:
- Phathom shifted its focus to gastroenterologists, who accounted for about 70% of VOQUEZNA prescriptions.
- This strategy aims to drive more depth and frequency of prescriptions by increasing call frequency with GIs and leveraging their higher productivity.

Exclusivity and EoE Trial:
- Phathom's exclusivity for VOQUEZNA was extended to May 2032, enhancing the product's NPV.
- The company plans to begin a Phase II trial in EoE, a potential new revenue opportunity and pathway to extend exclusivity.