Esperion Therapeutics, Inc. Q1 FY2025 earnings call

• Sales and marketing: US net product revenue up 41% y/y, script growth 2% sequentially. Expanded field reimbursement support team threefold, achieved payer access victories. Bempedoic acid added to 2025 ACC-AHA guidelines. Introduced payer/provider tactics highlighting statin intolerance.
• International markets: Royalty revenue from Daiichi Sankyo Europe up 8% QoQ. Progress in Europe and Japan, tech transfer for NILEMDO and NUSTENDI progressing. Entered commercial partnerships in Australia/New Zealand, Neopharm Israel filed for approval, Canada submission for NEXLETOL/NEXLIZET.
• Pipeline: Introduced pipeline targeting primary sclerosing cholangitis (PSC), R&D Day event held, goal to commercialize triple combination in 2027.

Total revenue for the first quarter 2025 grew 63% year-over-year to $65 million after adjusting for a one-time milestone received in Q1 2024. US net product revenue grew 41% year-over-year to $34.9 million. Collaboration revenue was $30.1 million, a decrease of approximately 73% driven by the settlement agreement milestone with DSE, but up 97% excluding the milestone. Royalty revenue from Daiichi Sankyo Europe increased 8% from Q4 2024 to $10.5 million in Q1 2025. As of March 31, 2025, cash and cash equivalents were $114.6 million.

• Full year 2025 operating expense guidance: $215 million to $235 million, including $15 million non-cash stock compensation. Reiterated previous operating expense guidance.

• Risks associated with forward-looking statements; actual results may differ due to business risks and uncertainties. Market dynamics, including flat lipid market and seasonal headwinds, pose risks. Regulatory uncertainties in international approvals and pipeline advancement.

Q: On BD, when to expect new deal and cash outlook.

A: Not setting timeline for BD, not predicated on Otsuka milestones.

Q: On triple combination vs obicetrapib.

A: Triple combo offers one-pill LDL lowering >60%, focuses on convenience.

Q: Sales force size and education on statin intolerance.

A: 155 sales reps right size, 15 field reimbursement managers added. Education on statin intolerance gaining traction with NLA definition.

Q: Triple combination's place in landscape.

A: Focus on LDL efficacy, lowers hsCRP, right play for market.

Q: ACC-AHA guidelines adoption.

A: Early feedback positive, impacts physician uptake.

Q: Seasonal market dynamics for NEXLETOL/NEXLIZET.

A: Worse than prior years due to IRA and confusion, but improving trends from March.

Q: Gross margin trajectory.

A: Influenced by US vs partner sales, tech transfer to improve margins, cost adjustments in Q1 not recurring in Q2.