Xencor (XNCR) 7th Annual Evercore ISI HealthCONx Healthcare Conference summary

Strategic direction and portfolio evolution

• Shifted from a primary focus on oncology to a broader approach, targeting oncology, autoimmune, and inflammatory diseases.

• Recent strategic update emphasized leveraging bispecific and monospecific technologies to address unmet clinical needs.

• Built clinical infrastructure in 2023 to support upcoming programs, with 2025 identified as a key inflection point.

• Pipeline includes assets like IL-23/TL1A bispecifics and T-cell engagers for various indications.

IL-23/TL1A bispecific and immunology pipeline

• IL-23/TL1A bispecific targets key inflammatory axes in IBD, aiming for clinical entry in 2026.

• Engineering efforts focus on optimizing affinity, stability, and pharmacology for dual-targeting molecules.

• Belief that combining IL-23 and TL1A could surpass current clinical remission rates in IBD.

• Data from VEGA and DUET trials inform development, with optimism for breaking through remission ceilings.

• TL1A monospecific data expected in 1H 2025, which will guide further bispecific development.

Technology and competitive landscape

• Utilizes proprietary Xtend (LS) Fc mutation for longer half-life and higher thermostability compared to YTE.

• No observed differences in biodistribution between LS and YTE mutations; LS offers less Fc gamma receptor disruption.

• Competitor programs in IL-23 bispecifics noted, with Pfizer's high immunogenicity program as a public example.

• Focused on IL-23p19 and TL1A as the optimal bispecific combination.