Incyte Corporation's (INCY) CEO Hervé Hoppenot on Q2 2022 Results - Earnings Call Transcript

Incyte Corporation (NASDAQ:INCY) Q2 2022 Earnings Conference Call August 2, 2022 8:00 AM ET

Company Participants

Christine Chiou – Head of Investor Relations

Hervé Hoppenot – Chairman, President and Chief Executive Officer

Barry Flannelly – Executive Vice President and General Manager-North America

Steven Stein – Executive Vice President and Chief Medical Officer

Christiana Stamoulis – Executive Vice President and Chief Financial Officer

Dash Dhanak – Executive Vice President and Chief Scientific Officer

Conference Call Participants

Salveen Richter – Goldman Sachs

Tazeen Ahmad – Bank of America

Brian Abrahams – RBC

Jay Olson – Oppenheimer

Marc Frahm – Cowen

Evan Seigerman – BMO Capital Markets

Michael Schmidt – Guggenheim Partners

Kripa Devarakonda – Truist Securities

Andrew Berens – SVB Securities

Mara Goldstein – Mizuho

Matt Phipps – William Blair

Stephen Willey – Stifel

Gavin Clark-Gartner – Evercore ISI

Operator

Hello, and welcome to the Incyte Second Quarter 2022 Earnings Conference Call and Webcast. At this time all participants are in a listen-only mode. A question-and-answer session will follow the formal presentation. [Operator Instructions] As a reminder, this conference is being recorded.

It's now my pleasure to turn the call over to Christine Chiou, Head of Investor Relations. Please go ahead, Christine.

Christine Chiou

Thank you, Kevin. Good morning, and welcome to Incyte's second quarter 2022 earnings conference call and webcast. The slides presented today are available for download on the Investors section of our website. Joining me on the call today are Hervé, Barry, Steven and Christiana, who will deliver our prepared remarks and Dash, who will join us for the Q&A.

Before we begin, I'd like to remind you that some of the statements made during the call today are forward-looking statements, and are subject to a number of risks and uncertainties that may cause our actual results to differ materially, including those described in our reports filed with the SEC.

We will now begin the call with Hervé.

Hervé Hoppenot

Thank you, Christine, and good morning, everyone. In the second quarter, revenues increased 29% year-over-year, reaching $911 million. JAKAFI net sales grew 13% to $598 million, benefiting from growth in new patient start in all three indications. The contribution from our other hematology and oncology products continued to increase at the launches of PEMAZYRE and MINJUVI progress in Europe and Japan.

We also made significant progress with the launch of OPZELURA in atopic dermatitis where we now have the third PBM GPO contract signed. This is a key milestone in achieving broad formulary access and an important step towards accelerating the growth of OPZELURA net revenues. As we shift from free drug to paid prescription, we are seeing some temporary delays in the filling of prescription, which had an impact on second quarter revenues. However, patient demand and satisfaction remains strong and improvement in reimbursement are translating to an increase in covered claims with a significant increase seen in July. These metrics are pointing to a continuation of a successful launch in atopic dermatitis.