Apellis Pharmaceuticals (APLS) 7th Annual Evercore ISI HealthCONx Healthcare Conference summary

Market outlook and growth drivers

• Fewer than 10% of GA patients have been treated, indicating significant market expansion potential.

• Real-world evidence and physician experience are stabilizing perceptions and expected to be published soon.

• Sequential vial growth continues, with 7% growth last quarter despite flat revenue due to gross-to-net dynamics.

• Younger physicians are cautious but represent a key target for education and commercial strategy.

• Payers are shifting to prefer Syfovre due to differentiated efficacy and lower dosing frequency compared to competitors.

Financial position and guidance

• Nearly $400 million on the balance sheet, with under $100 million in convertible debt and $375 million in additional debt.

• Cash expenses and net revenue are nearly offset, making the company close to cash neutral.

• No commitment to EPS or cash flow break-even in 2024, as investment will continue in growth opportunities.

Competitive landscape and reimbursement

• Competitor's label expansion was denied, creating reimbursement risks for treatments beyond 12 months.

• Payers may seek clawbacks for off-label treatments, and some physicians have already faced non-payment.

• Syfovre's cost advantage and efficacy are expected to drive preferred status in insurance plans starting January 1.