Incyte (INCY) 2024 Wells Fargo Healthcare Conference summary

Business and portfolio overview

• Strong revenue growth driven by Jakafi and Opzelura, with Opzelura outpacing the rest of the portfolio in multiple indications.

• Expansion beyond oncology into dermatology and immunology, with new products from the Escient acquisition and a focus on unique mechanisms like X2 and X4.

• Recent FDA approval for axatilimab in chronic GVHD, positive phase III data for Tafa in follicular lymphoma, and retifanlimab in squamous cell anal carcinoma.

• Five new oncology drugs in phase I, including CDK2, V617F, CALR, KRAS 12D, and TGF-β PD-1, driving resource allocation and pipeline excitement.

• Portfolio reprioritization led to discontinuation of some projects, $750M Escient acquisition, and a successful Dutch auction share buyback retiring 33 million shares.

CDK2 inhibitor development and strategy

• CDK2 inhibitor is being developed primarily for ovarian cancer, aiming to be first to market with a manageable safety profile and no observed ocular toxicity.

• Data to be presented at ESMO includes a substantial number of heavily pre-treated patients, showing manageable hematologic toxicity and single-agent responses.

• Targeting CCNE1-positive ovarian cancer, which represents 40%-50% of patients, with plans for further development in platinum-resistant and maintenance settings.

• Considering expansion into breast cancer but awaiting more data; focus remains on rapid advancement in ovarian cancer due to significant unmet need.

• Collaboration for breast cancer development is possible, but no co-development partnerships are currently planned.

Myelofibrosis and MPN pipeline

• Strategy to offset Jakafi's IP cliff involves broad portfolio contributions, not just myelofibrosis, with leadership in GVHD and ongoing development in PV and MF.

• Jakafi XR (once-daily) aims for approval by early 2026, with a strategy to slow erosion post-patent expiry and potential for fixed-dose or co-packaged combinations.

• CALR and JAK2 V617F programs target curative effects in MPNs, with early clinical data expected next year and potential to transform treatment paradigms.

• Jakafi remains standard of care in MF, with flat to modest volume growth expected to remain stable through the decade.