Medexus Pharmaceuticals (MDP) 2026 Bloom Burton & Co. Healthcare Investor Conference summary

Business overview and strategy

• Operates a portfolio of 14 pharmaceutical products across the U.S. and Canada, generating over $100 million in annual revenue with a focus on hematology-oncology for future growth.

• Business model centers on licensing/acquiring late-stage products, registering them, and leveraging commercial expertise to drive sales, minimizing development risk.

• Maintains a steady base of mature products, with new additions layered for incremental returns and positive EBITDA.

• Business development is ongoing, targeting innovative products in core therapeutic areas to expand the portfolio.

• Clean balance sheet with 32 million shares outstanding, active share buybacks, and manageable debt structure.

GRAFAPEX launch and market potential

• GRAFAPEX, FDA-approved in January 2025 for AML and MDS transplant conditioning, is the first innovation in this space in 20 years.

• Commercial uptake is strong, with 64 hospitals purchasing and two-thirds of target centers adding it to formularies.

• Achieved NTAP reimbursement, covering $21,000–$22,000 per Medicare patient, accelerating adoption and renewed for a second year.

• International experience shows rapid uptake post-reimbursement, with U.S. peak sales projected at $100–$175 million within 3–5 years, reflecting 27–42% market share.

• Clinical data shows a 26% improvement in two-year survival and over 50% survival gain in real-world studies, supporting standard-of-care adoption.

Financial performance and outlook

• Revenue growth plateaued due to regulatory delays but is resuming with GRAFAPEX launch; EBITDA has remained positive for 15 quarters.

• GRAFAPEX expected to be accretive from the June quarter, with revenue and EBITDA growth anticipated as costs remain flat and gross margins improve.

• Average portfolio gross margin is 60%, with GRAFAPEX at 80%, driving overall margin expansion.

• First-year GRAFAPEX sales are on track at $12–$13 million, matching analyst expectations.

• Ongoing business development will focus on expanding in transplant and adjacent hematology-oncology areas.