Mar 31, 2022

Phathom Q1 2022 Earnings Report

Phathom reported first quarter 2022 results, highlighted by FDA approval for VOQUEZNA TRIPLE and DUAL PAKs and a revenue interest financing agreement.

Key Takeaways

Phathom Pharmaceuticals reported a net loss of $40.7 million for the first quarter of 2022. The company received FDA approval for VOQUEZNA TRIPLE PAK and VOQUEZNA DUAL PAK and strengthened its balance sheet with a revenue interest financing agreement.

Received FDA approval for VOQUEZNA TRIPLE PAK and VOQUEZNA DUAL PAK for H. pylori infection treatment.

Signed a revenue interest financing agreement for up to $260 million in non-dilutive financing.

Commenced a Phase 3 NERD development program with the initiation of a pivotal Phase 3 vonoprazan daily dosing trial.

Appointed Molly Henderson as Chief Financial and Business Officer and Frank Karbe to its Board of Directors.

EPS
-$1.07
Previous year: -$0.96
+11.5%
Cash and Equivalents
$138M
Previous year: $238M
-42.0%
Free Cash Flow
-$44.8M
Total Assets
$149M
Previous year: $246M
-39.5%

Phathom

Phathom

Forward Guidance

Phathom expects to launch vonoprazan-based therapies for H. pylori in Q3 2022 and believes it has sufficient capital to fund operations through 2024.

Positive Outlook

  • Planned launch of vonoprazan-based therapies for the treatment of H. pylori infection in the third quarter of 2022.
  • Initiation of a Phase 3 on-demand dosing trial for NERD.
  • Availability of additional funds under revenue interest financing agreement.
  • Availability of additional funds under the loan agreement with Hercules Capital.
  • Sufficiency of capital to fund the Company’s operations through 2024.

Challenges Ahead

  • Inherent risks of clinical development of vonoprazan.
  • Dependence on third parties in connection with product manufacturing, research and preclinical and clinical testing.
  • Regulatory developments in the United States and foreign countries.
  • Ability to successfully launch and commercialize vonoprazan.
  • Unexpected adverse side effects or inadequate efficacy of vonoprazan.