Lexicon Pharmaceuticals, Inc. (NASDAQ:LXRX) Q3 2023 Earnings Call Transcript

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So we’ve really tried to optimize based on what we’ve learned from our study sites from the patients and from the FDA.

Lonnel Coats : Yeah. The only thing I would add to that is we’re operating in a non-COVID environment now. And so we learned a lot. The last time we did this, we were ahead on inside the COVID environment that slowed that trial. So we’ve learned a lot from that, and I think that will help us with some of our acceleration. And the second thing is when you have proven — you’ve got a proven concept, which we have proven in the first study, it’s easier to the point that Craig has made to get that IRB support as well as to get the study up and rolling and encourage sites to come on board. So we should have a much more valid opportunity to move a greater speed than we did the first time.

Joseph Stringer : Great. Thank you for taking my questions.

Lonnel Coats : You bet.

Operator: The next question comes from Yasmeen Rahimi with Piper Sandler. Please proceed.

Unidentified Analyst: Hi team. This is [Indiscernible] on for Yas today. Thanks for taking our questions. We have two on our end. First, could you describe the geography that have high focus currently? And our second question is, how are you thinking about partnership [Indiscernible] for LX9211 or INPEFA outside of the United States?

Lonnel Coats : The first question was geography of the sales team?

Unidentified Analyst: Yeah, that’s correct.

Craig Granowitz : Yeah. So as per most major cardiac conditions, of which heart failure is one, you do tend to see a clustering around major metropolitan centers. So if you kind of look at our geographic distribution, both of the sales team and our prescribers today, as you would imagine, there’s a clustering within kind of the Eastern Seaboard of the U.S. and along the West Coast as well. Although I would also add that as you move from east to west, we do see significant opportunity within major centers there as you move kind of through the Midwest. So encouragingly, we’re seeing usage from across the country, both in larger academic institutions but also within the community setting as well, which I think, again, talks to the value of the INPEFA clinical stories that we’re able to share and the fact that our clinicians really do understand the differentiated profile that we have in this specific population.

So obviously, it’s early days, 5,000 claims, as you’ve heard, with from around 500 writers. We do anticipate that, that number is going to increase pretty markedly through this quarter. We look forward to be able to share more information with you in early next year.

Lonnel Coats : I would add on the second question on LX9211 in terms of partnering. There remains a very good interest in LX9211. From our perspective, we have to think about how do we continue to develop this to maximize value for our stakeholders. From my perspective, we have an effective dose. We already know that. What we’re doing now is to create an optimal dose that allows us to have an efficient Phase 3 program. And I think in doing that, that then sets us up to have an asset that I think has broader and bigger value particularly if we want to expand beyond just DPNP because I think the drug has application and all of their — a big part of neuropathic pain. In order to do that, we would then need a partner. For DPNP, I think this next step needs to stay in our hands for us to get that optimal dose.

And doing that, it would be successful. I think that opens up a much broader and bigger opportunity for us. If we move I think, too fast on this, then I think we will be less optimal in terms of what value we will achieve with it. So at this point in time, I think we need to execute well on this study, get on the other side of it and keep the partners at bay until we get that done.

Unidentified Analyst: Thank you so much for the clarification.

Lonnel Coats : You bet. Operator

Operator: At this time, we are showing no further questioners in the queue, and this does conclude our question-and-answer session. I would now like to turn the conference back over to Mr. Lonnel Coats for any closing remarks.

Lonnel Coats: Well, let me say thank you to everyone for joining us on the call today and your continued support of Lexicon. Let me close out by summarizing our upcoming key milestones and events. First, we are on target with the late-stage development plans we share for LX9211 and diabetic periphery pain. This is another large and growing market, still in need of innovative treatments, and we expect the PROGRESS study to begin enrollment in December of this year. Second, we are highly focused on delivering on a successful launch of INPEFA. We have a focused commercial strategy that leverages our unique clinical data and we’re entering a market that is just beginning to reflect the growth driven by the new treatment guidelines, which include SGLTs as a pillar of heart failure treatment.

We are pursuing market access for INPEFA across all channels, and have been able to see early access additions throughout this quarter and expect to be able to share incremental news as we move into 2024. I remain remarkably encouraged and I’m very pleased that Tom Garner has chosen to join us as we make efforts to accelerate this launch in 2024. Finally, importantly, Lexicon is in a strong cash position with the ability to fund operations well into 2025. Thank you very much.

Operator: The conference has now concluded. Thank you for attending today’s presentation. And you may now disconnect.

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