Blueprint Medicines Corporation (NASDAQ:BPMC) Q1 2024 Earnings Call Transcript

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Kate Haviland: I think that that’s what’s really important in the sense that as that pool of patients on therapy get some much larger point changes and compliance and/or free goods make a big difference from a revenue perspective. So, I think that we’re certainly seeing that.

Operator: Your next question comes from the line of Matt Biegler from Oppenheimer. Your line is open.

Matt Biegler: Hey there. Congrats from us along the quarter. I’m curious if you’re seeing any signs of growth in advanced SM maybe because of the increased prescriber awareness from England launch on? Or I guess should we still think of advanced is pretty flat going forward? Thanks.

Kate Haviland: Yes. Maybe I’ll just start quickly does that mean we are so pleased to see that duration of therapy and advance SM being at 20 by modulating either patients with very, very aggressive disease. And I think that bodes well for both the advanced SM opportunity as well as the — SM opportunity. You want to talk about the growth in number of new patient in SM, Philina?

Philina Lee: Yes Matt. So, I would say we do continue to see growth on the advanced SM portion of our business. That’s obviously a relatively moderated compared to ISM, which is our primary growth driver and now represents the majority of patients on therapy with [indiscernible]. But we do see I think a potential kind of halo effect that on with the now the awareness of for the for ISM as our breadth of prescribing increases it’s happening. You not just analogy, but also with a number of new hematology oncology prescribers as well who are activated and interested to get involved through ISM.

Matt Biegler: That’s great. Thanks.

Operator: Your next question comes from the line of Ami Fadia from Needham. Ami, your line is open.

Ami Fadia: Thanks. Congrats on the quarter. My question is BLU-808, what data you need to generate to understand your go-forward clinical development plan for indication beyond chronic urticaria? And how soon can you start to initiate clinical trials on those indications? And separately if you could provide any additional color on how you’re planning to develop an estimate, any update? Thank you.

Kate Haviland: Ami, thank you for those questions. Becker, do you want to talk about the data you want to say on 808 and how we’re thinking about the end of broad proof-of-concepts as well as the plant for HARBOR study with elenestinib, which as we’ve said before elenestinibis really positioned to maximize the long-term performance of our SM franchise. And so we certainly are going to be spending more time talking about that in second half this year.

Becker Hewes: Yeah Ami. So BLU-808 are exquisitely targeted, AYVAKIT inhibitor is one that we’re taking in healthy volunteers first, and that’s obviously to get the initial PK and tolerability. But it also gives us an opportunity to see the ability of the drug to reduce tryptase even in normal healthy volunteers. And we believe that that will give us a good steer of what the therapeutic range maybe inpatients. And as Kate mentioned earlier this is a very tuneable drug where we expect to be able to use it across a wide range of therapeutic doses. And that may be as a single agent as we illustrated in our mast cell webcast last week where the mast cell is really the driver like chronic urticaria. And then we’ve shown in our BLU-222 program and our EGFR program that we make highly combinable molecules and that’s going to be the essence of that next wave of investigations where we’re looking in more complex diseases where the standard-of-care is well established such as asthma where the combination is going to be necessary to really for the field in those indications.

And so as we enter into patients next year that will give us a sense of what our dose ranges work for patients who have mast cells that are causing disease. And then we’ll be able to look at as Fouad said in a number of different more complex indications and understand where that therapeutic ranges and get quick proof-of-concept in those indications. And then with respect to elenestinib, as we said, we are getting more and more data as we study the patients on Pioneer. And we learn more from commercial patients about the really complex nature of systemic mastocytosis and the broad breadth of patients that can benefit in many different ways. And so we look forward to sharing more about the — before the end of the year about our design of HARBOR and really our holistic approach to the development of elenestinib and SM.

Operator: Your next question comes from the line of Colleen Kusy from Baird. Colleen, your line is open.

Colleen Kusy: Great. Thanks. Good morning. Thanks for taking our questions and congrats on the quarter. Any commentary on how you’re measuring the early success of your DTC campaign, and what your plans are to invest further in the second half of this year?

Kate Haviland: Yeah. So I think our direct to consumer campaign really is evidence of our conviction that we have a tremendous opportunity to help just a vast array of patients with ISM. So want to think about those efforts and how we make sure that we understand their group.

Philina Lee: Yeah Colleen, one of the most direct things that we look at is the patients awareness of AYVAKIT. And we’ve been really encouraged that the efforts to date have already increased, the unaided awareness of AYVAKIT eightfold, while continuing to have a lot of headroom to grow. So this is really an area that we will continue to lean into in a highly targeted way. We know where these patients are looking for information on the disease and we’re really targeting both our media campaigns. And another thing we’ve talked about is the monthly opportunities we have for patients to come together with other patients to share their experience on AYVAKIT. That element of patient storytelling is so important in a rare disease where in many cases an SM patient hasn’t yet met another patient.

So the opportunity to connect here about their experiences and what the journey of AYVAKIT has been like for them, we believe will be really compelling. So we do expect to continue growing on these initiatives through the second half of the year in a highly targeted way.

Colleen Kusy: That’s helpful. Thank you. And as a follow-up just in your early market research what’s resonating most patients to keep them on treatment? And what gives you confidence in maintaining this low discontinuation rate in future?

Philina Lee: Yeah. I mean, I think, that really is a testament to AYVAKIT clinical profile. I mean patients it’s a highly tolerable drug, easy to take. I mean we saw in the Pioneer study that the side effect profile of AYVAKIT was for us superior to standard of care and the kind of cocktail of symptomatic treatments that patients are on. And then it’s a testament to the activity and the fact that we see clinical impact across a wide range of symptoms in patients, I’d say, it wouldn’t such a heterogeneous disease that is absolutely critical. And that a patient regardless of what they’re most bothersome symptom is seeing great impact in AYVAKIT. I think that, that is just a profound kind of equation for people that we see is resonating in patients are staying on. I don’t know if anyone filling on to it.

Becker Hewes: Yeah. I think, yes, I think this is a couple of questions have since my interest the one about drug holidays and optimism about convincing patients to stay on the drug. As Kate said, when they feel better, they don’t need to take holidays, they don’t need to be convince to stay on the drug. And so that really speaks to also the way that allergists think about treating this disease and having a very tolerable therapy and treating patients, see how they do. It just speaks to why that there’s consistent treatment duration. And I also wanted to comment on the Advanced SM duration. We’re into two years in a, Leukemia like disease. And that really bodes well for the ambulance situation as well.

Kate Haviland: Yeah. Philina, do you want to add?

Philina Lee: Yeah. Maybe I will add on, Colleen, these are patients who are really highly motivated to and to regain quality of life. And just to share I think even just some sound bites from engaging customers across the country you have shared some of their patients’ experiences is what we hear is patients are getting their energy back, being able to go back to work at the jobs that they had to pullback on previously due to the symptoms of ISM. And the ability of patients to go and participate in activities with their with their kids or friend or loved ones are going to count for the first time. And really I’m reclaiming and starting to remember what normal looks and feels like. And so it’s really kind of a profound thing. And I think we really are even just at the beginning of this journey.

Colleen Kusy: Great. Thanks for taking my questions.

Operator: Thank you. Our next question comes from the line of David Lebowitz from Citi. David, your line is open.

Unidentified Analyst: Hi this is [indiscernible] on behalf of David. On the SM patients proportion I wanted to ask that they deliver swing from 25% to 20%. How should we think about patient growth versus actual sales growth? And what proportion of patients will beyond freed up by the end of the year? And I have one more follow-up.

Kate Haviland: So unfortunately at the limit to one question just has are coming on close a time here. But so I believe the question is around, how are we thinking about just the overall dynamic relative to free goods, again, being very early in the launch of a new therapy and building a new market later. How are you guys thinking about that as you kind of gave this year of around 20% since launch? And how do we think about that as a driver of top line versus some of the other variables including compliance new patient starts? Are European launch all the other things that are adding into top line?

Philina Lee: Yes it’s your question. I think there’s really a couple of things that factor into our free goods mix as we saw that decreased to 20% this quarter. So it’s both the payer mix of patients with ISM which trends more and more towards commercial. And the second piece is that more patients were able to access paid therapy. In terms of what to expect through the rest of the year, free goods mix is really something we will need to continue to watch because as you said more patients will continue to add on and be treated with AYVAKIT. So we’re in the early days of the IRA and so we need to watch how that plays out. Our expectation continues to be continued strong and steady growth in the number of patients on therapy, favorable, low discontinuation rates, high compliance. We’ll watch the free goods mix and continue to watch our international launches.

Operator: Thank you. There are no further questions at this time. I will now turn the call back to Kate.

Kate Haviland: Thank you, Operator. We feel great about the progress we’ve made in Q1. And we recognize that there’s a lot of work, have had a head of us this year. And as we move forward into the middle of the year, we do so from physicians’ strength. We are well positioned to build on the momentum we’ve achieved here coming out of Q1 and we look forward to updating our progress. So thank you all for taking the time to join us today. And for your continued support of Blueprint Medicines.

Operator: This concludes today’s conference call. You may now disconnect.

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