Phathom Pharmaceuticals' Q4 2024: Discrepancies in Gross to Net, Refill Rates, and Growth Outlook

These are the key contradictions discussed in Phathom Pharmaceuticals, Inc.'s latest 2024Q4 earnings call, specifically including: Gross To Net expectations and refill rates, DTC investment strategy, and Growth expectations for Q1.



Revenue Growth and VOQUEZNA Launches:
- Phathom Pharmaceuticals reported net revenues of $29.7 million for Q4 2024, representing a 81% sequential quarter-over-quarter increase.
- The growth was primarily driven by strong demand resulting from the approval of non-Erosive GERD last July, demonstrating the success of the VOQUEZNA launch.

Prescription Volume and Market Adoption:
- The company surpassed 300,000 prescriptions filled by patients from launch through February 21, with a 110% increase in volume over the 17 weeks since the last report.
- This significant growth is attributed to increased awareness and adoption by primary care physicians, and the expanding coverage of VOQUEZNA.

Commercial Coverage and Access:
- VOQUEZNA remains above 80% covered, equating to over 120 million lives, with the majority of these lives having access subject to a single step-through a generic PPI prescription.
- The quality of commercial coverage and the simplicity of the access process contribute to the drug's market penetration and patient accessibility.

DTC Campaign Impact:
- There has been a 55% growth in the proportion of physicians reporting requests for VOQUEZNA since its televised launch in April 2024.
- This increase in demand is driven by effective consumer brand awareness campaigns, motivating patients to request the drug from their physicians.

Financial Position and Cash Reserves:
- As of December 31, 2024, Phathom Pharmaceuticals ended with $297 million in cash and an additional $100 million available from a debt facility.
- The strong financial position, supported by the successful launch and available capital, enables the company to pursue its launch and development plans.