Phathom Pharmaceuticals (PHAT) Jefferies Global Healthcare Conference summary

Launch update and product overview

• VOQUEZNA launched in Q4 2023, targeting erosive GERD and H. pylori eradication, with a 320-rep field force engaging gastroenterologists and PCPs.

• Product is a first-in-class PCAB, offering rapid, potent, and durable acid suppression, superior to PPIs.

• Q1 revenue reached $1.9 million, surpassing consensus, with over 42,000 scripts written by April 29.

• Two major payer contracts secured, enabling step-through access after generic PPI use.

• Market feedback highlights strong efficacy and positive patient outcomes.

Market opportunity and competitive landscape

• U.S. GERD market includes over 22 million patients, with 110 million PPI scripts written annually.

• Takeda’s similar product in Japan achieved $850 million annual sales and 35% market share in a market one-third the size of the U.S.

• U.S. label demonstrates clinical superiority, positioning for blockbuster potential.

• Anticipated peak sales opportunity is $3 billion, supported by unmet need and high patient churn.

Access, coverage, and fulfillment

• 48% of commercial lives (72 million people) have coverage, with Express Scripts and Cigna as early adopters.

• Step-through requirement is limited to prior PPI use, with minimal additional barriers.

• Additional formulary coverage expected in Q3, with ongoing productive discussions.

• Prescriptions can be filled via retail or BlinkRx, with BlinkRx offering a $50 cash price for uncovered patients.

• Gross-to-net expected to stabilize at 50%-65%, with copays as low as $25 for covered patients.