Xeris Biopharma Holdings, Inc. Q1 FY2025 earnings call

Management Statement and Operational Highlights:

• Commercial Strength: Q1 total revenue grew 48%, driven by strong performance across all products. Recorlev led growth, Gvoke showed steady growth with 8% increase in prescriptions, and Keveyis remained resilient.
• Regulatory and Partnership: In March, FDA approved Gvoke VialDx supplemental new drug application, with a strategic partnership with American Regent for commercialization in the US. Xeris handles supply, American Regent handles commercialization.

Pipeline Update: Excitement about XP-8121, a product in the pipeline targeting the hypothyroidism market, with more details to be shared at the June 3 analyst and investor day.

Strategic Priorities: Focus on driving rapid and sustained growth of commercial products; managing business with financial discipline; enhancing communication and transparency.

Segment Performance:

• Recorlev: Q1 revenue was $25.5 million, up 141% year-over-year. The average number of patients on therapy grew 24%. It is the fastest-growing and now largest product, driven by targeted investments last year to support patient access and provider engagement.
• Gvoke: Q1 net revenue was $20.8 million, increasing 26% versus the prior year. Total Gvoke prescriptions grew 8%.
• Keveyis: Q1 net revenue was $11.4 million, slightly up from Q4 2024. Reflects the brand's resilience with continued new patient starts.
• Other revenue: $2.3 million, with a majority from the milestone payment related to Gvoke VialDx approval.

Guidance:

• Raised the bottom end of revenue guidance from $255 million to $260 million, implying nearly 32% full-year total revenue growth at the midpoint.
• Accelerated redemption of 2025 convertible notes, reducing debt by $15 million and generating interest expense savings. Remaining impact of redemption will be in Q2.
• No material impact from sector-specific tariffs expected as most operations are US-based.

Question and Answer: Q: Drill down on growth in Recorlev, peak sales potential, and commercial infrastructure expansion.

A: John Shannon mentioned they expanded sales organization in back half of last year, currently good but may expand further as market grows. No updated guidance on peak sales yet, more details at June 3 analyst investor day.

Q: Drivers of operational efficiency and profitability improvement, and color on XP-8121 milestones.

A: Steve Pieper noted operational efficiency from top-line growth, disciplined expense management. John Shannon said more details on XP-8121 at June 3 event.

Q: Preview on pivotal study design for XP-8121.

A: John Shannon said to wait for June 3 analyst investor day for full details.

Q: Update on glucagon market competitiveness, formulary impact, and Keveyis.

A: John Shannon said competitively not much impact, focusing on driving market growth; Keveyis has no formulary or competitive issues, maintaining pace.

Q: Glucagon market competitive landscape and tariff impact.

A: Steve Pieper said most operations are US-based, no material impact from tariffs; John Shannon noted focusing on driving market growth by getting clinicians compliant.