Coherus BioSciences Inc (CHRS) Q1 2025 Earnings Call Highlights: Strategic Growth and ...

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Release Date: May 12, 2025

For the complete transcript of the earnings call, please refer to the full earnings call transcript.

Positive Points

  • Coherus BioSciences Inc (NASDAQ:CHRS) has transitioned into a commercial stage innovative oncology company with an FDA-approved PD1 inhibitor, torapalamab, which is the standard of care for nasopharyngeal carcinoma.

  • The company projects significant revenue growth from torapalamab, expecting it to generate $150 to $200 million annually over the next three years.

  • Coherus BioSciences Inc (NASDAQ:CHRS) has a robust pipeline with promising candidates like CHS-114 and Casozo keto, targeting large market opportunities in oncology.

  • The company has implemented strategic partnerships to expand indications for its products, reducing development costs and enhancing market potential.

  • Coherus BioSciences Inc (NASDAQ:CHRS) has achieved significant cost savings from headcount reductions and divestitures, improving financial efficiency.

Negative Points

  • The company experienced a transitional quarter with flat revenue growth due to a seasonal inventory drawdown despite increased patient demand.

  • There were disruptions in sales momentum due to the divestiture and restructuring of the sales force, impacting short-term growth.

  • Coherus BioSciences Inc (NASDAQ:CHRS) faces challenges in increasing awareness and adoption of its products among physicians, particularly in the community setting.

  • The company is navigating a competitive landscape with other PD1 inhibitors and needs to differentiate its offerings effectively.

  • There are uncertainties related to regulatory changes and FDA staffing, which could impact future approvals and market strategies.

Q & A Highlights

Q: Given the drug's preferred position with the guidelines, what do you think needs to happen to see a significant inflection point for Loctorsi? Also, are you concerned about recent changes at the FDA? A: (CEO) We need to continue educating physicians about the benefits of Loctorsi. The recent FDA changes could be advantageous for us as they emphasize the importance of high-quality development packages. Our experience with regulatory challenges positions us well to adapt and succeed.

Q: Can you clarify what you meant by patient demand and the 15% growth you mentioned? A: (EVP Commercial) The 15% growth refers to the increase in end-user demand, which is a direct indicator of actual patient growth. This demand reflects the number of clinics purchasing the product from wholesalers, indicating real patient usage.