Ionis Pharmaceuticals, Inc. (NASDAQ:IONS) Q4 2022 Earnings Call Transcript

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Beth Hougen: Great question. So first, in terms of the mix and the cadence on a quarterly — from a quarterly basis, I would say, anticipate that 2023 will look very similar to 2022. I anticipate the mix of commercial and R&D revenue to be very similar. I expect it will be likely back-end loaded. And then in terms of, can we hit this guidance even if tofersen approvals or eplontersen approvals are delayed into next year. I think it’s important to remember, as I think I’ve mentioned, we have consistently probablized our R&D revenue items. And we typically probabilize based on when in the year an event might occur. So lower probabilities for those items that would likely fall late in the year. And so that gives us a lot of that combined with the fact that we have just a really robust pipeline of partnered programs that generate milestones on a very consistent basis gives us a lot of flexibility if certain items are delayed slightly.

So I’m comfortable that our guidance is achievable. And let’s see, did I miss any of your questions? I think I got them.

Gary Nachman : Yes. Now the lesson was the Royalty Pharma agreement. So just how that’s factored into the guidance. Yes.

Onaiza Cadoret: Yes. Thank you for reminding me. The SPINRAZA royalties under our royalty pharma agreement will continue to be booked into our top line revenue. So 100% of the royalties from SPINRAZA will continue to be booked on our top line revenue. And then the cash payments to Royalty Pharma will really be a balance sheet item for the company. I’ll have more details when we get to our Q1 earnings because at that point, we’ll have finalized all of the more detailed accounting with our auditors. But I think it’s a great point to make that SPINRAZA royalties will all hit our top line revenue as they always have.

Operator: The next question comes from Jessica Fye with JP Morgan.

Jessica Fye: Thinking ahead to the acoramadis data later this year, what are you going to be most focused on when those results read out? And second, can you remind me where you are with simdulersen for acromegaly and when we could expect the next update?

Brett Monia: Well, for — thanks, Jess. For agramdus, we’re looking for the outcome data and what that’s going to look like. I mean, Eugene, maybe you should comment on this.

Eugene Schneider: No, absolutely. That’s what everyone is waiting to see is how the functional benefits translate into hard outcome data, and that’s what it’s due soon, and we’re all obviously going to be focused on also similarities of the population enrolled in that study and the CARDIO-TTRansform study. So that’s probably the second most important aspect is to see how representative of the population that they’ve enrolled is to what we’re seeing today —

Brett Monia: In our study.

Eugene Schneider: In our study. Yes.

Brett Monia: So patient demographics will be very interesting in addition to, of course, the main endpoints, the primary endpoints Jess, on the acromegaly, the monotherapy study is continuing ramping up. We’re planning to share data hopefully at a medical meeting, but we’ll get it out in the second half of this year for the monotherapy data. As you know, we presented data in patients that are poorly controlled on somatostatin analogs last year. So we’ll have the monotherapy data in the second half of this year. And with that, next steps.

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