Rigel Pharmaceuticals, Inc. Q1 FY2026 earnings call

• Rigel is in a solid position with a growing product portfolio, solid financial foundation, and advancing clinical pipeline. - In Q1 2026, net product sales grew 26% y-o-y, impacted by seasonal factors but saw improving demand in March. - Transformational growth strategy built on four core objectives: continued commercial execution, pipeline expansion via in-licensing/acquisition, advancing clinical development pipeline, and maintaining financial discipline. - Commercial performance: Tavolis had strong growth, Gavretto is a stable contributing product, ResLydia saw growth with focus on academic and community accounts. - Development pipeline: R289 program in lower risk MDS with data expected by year end, elutacidinib's collaborations advancing into additional therapeutic areas. - Recent updates: Lilly terminated collaboration on RIPK1 asset, and debt agreement with MidCap Financial was restructured.

In the first quarter of 2026, Rigel generated net product sales of just under 55 million, a 26% growth compared to the first quarter of 2025. Net product sales included Tavolis with $37.3 million (31% growth y-o-y), Gavretto with $9.6 million (7% growth y-o-y), and ResLydia with $8 million (31% growth y-o-y). Total revenue for the first quarter was $58.8 million, with $3.9 million from collaborations. Cost of product sales was approximately $4.6 million, total costs and expenses were $46.9 million, income before income taxes was $11.7 million, and net income was $8.7 million. For 2026, total revenue is expected to be in the range of $275 - $290 million (including $255 - $265 million net product sales and $20 - $25 million contract revenues), and net income profitability is anticipated.

• Maintains 2026 revenue guidance for total revenues of 275 to 290 million, including net product sales of 255 to 265 million. - Anticipates reporting positive net income for the full year while funding existing and new clinical development opportunities. - Revenue guidance does not include assumed revenues from Lilly collaboration. - Restructured debt provides cost-efficient flexible finance.

• Forward-looking statements are subject to risks and uncertainties that may cause actual results to differ from forecasts, as described in the most recent annual report and subsequent filings with the SEC. - Termination of collaboration with Lilly on RIPK1 asset could impact future revenue and strategy, but does not impact ability to finance operations.

Q: Talk about plans for RIPK1 inhibitor and Lilly's rationale for termination.

A: Rigel is hematology oncology-focused, partnership with Lilly was due to Lilly's focus on immunology and CNS, now will assess next steps.

Q: ResLydia comment on growing community centers.

A: Post-venetoclax setting is important, need to overcome force of habit for community physicians treating IDH1 mutated AML.

Q: R289 benchmarks for FDA registrational study.

A: Look for consistent safety and additional evidence of activity, including anemia improvement.

Q: Acceptable safety profile for R289 and dose selection.

A: Encouraging safety profile with low incidence of cytopenias and infections in elderly, heavily pretreated patient population.

Q: Gavretto revenue plateau, feedback from sales team and prescribers.

A: Gavretto in targeted market, growth last year had full year vs half year sales, focused on areas with most incremental revenue growth