Acorda Therapeutics(ACOR) - 2023 Q3 - Earnings Call Transcript

Financial Data and Key Metrics Changes - INBRIJA U.S. net sales for Q3 2023 were $8.1 million, a 4$15.7 million, reflecting a 26% decline year-over-year, but only a 17% decline when comparing the first three quarters of 2023 to the same period in 2022 [10][11] - Net global INBRIJA revenue increased by 6.7% in Q3 2023 compared to Q3 2022 and 12.3% year-to-date [12] Business Line Data and Key Metrics Changes - New prescription request forms for INBRIJA were up 32% over Q3 2022 and 38% for the first three quarters of 2023 compared to the same period in 2022, indicating strong brand growth [4][14] - INBRIJA dispense cartons increased by 4% in Q3 2023 compared to Q3 2022 and by 6.5% for the first three quarters of 2023 [4] - AMPYRA's access remains high, with over 65% of covered lives able to access branded AMPYRA through insurance [11] Market Data and Key Metrics Changes - INBRIJA has surpassed apomorphine as the leading on-demand treatment in Spain, while the launch in Germany has been slower than anticipated, necessitating adjustments in marketing strategies [6][7] - INBRIJA's launch in Latin America is progressing, with expectations for multiple approvals in 2024 [6] Company Strategy and Development Direction - The company is focused on maintaining the AMPYRA brand against generics and has adjusted its operating expense guidance downward, reflecting a commitment to fiscal discipline [15] - The company is exploring collaborations for new inhaled therapies using its ARCUS-inhaled technology, which has shown the ability to create shelf-stable mRNA formulations [15] Management's Comments on Operating Environment and Future Outlook - Management acknowledges challenges in forecasting INBRIJA's performance due to the pandemic but expects improved accuracy as conditions normalize [20][21] - The company is maintaining its financial guidance for 2023, expecting INBRIJA U.S. net revenue between $34 million and$38 million and AMPYRA U.S. net revenue between $65 million and$70 million [12][14] Other Important Information - The company is in open communication with convertible debt holders to collaboratively address upcoming debt obligations [15][24] Q&A Session Summary Question: When can we expect the company to be cash flow positive? - Management will provide projections for the year at the year-end call [17] Question: What measures are being taken to better forecast and improve performance? In what way is management being held accountable? - Management has a strong track record with AMPYRA projections and is improving INBRIJA forecasting as conditions normalize. The board ensures management accountability through performance-based compensation [20][21][22] Question: How is the company planning to address the 2024 notes? - Management has maintained a constructive relationship with convertible bondholders and will engage in discussions to find the best solutions for stakeholders [24]