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`NPS Pharmaceuticals' CEO Discusses
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`NPS Pharmaceuticals' CEO Discusses Q4 2013 Results Earnings Call Transcript | Seeking Alpha
`
`Feb. 19, 2014 8:32 PM ET | About: NPS Pharmaceuticals, Inc. (NPSP) by: SA
`Transcripts
`
`NPS Pharmaceuticals, Inc. (NASDAQ:NPSP)
`
`Q4 2013 Earnings Conference Call
`
`February 18, 2014 5:00 PM ET
`
`Executives
`
`Susan Mesco – Senior Director, IR and Corporate Communications
`
`Dr. Francois Nader – President and CEO
`
`Eric Pauwels – SVP and Chief Commercial Officer
`
`Luke Beshar – EVP and CFO
`
`Roger Garceau – EVP and Chief Medical Officer
`
`Analysts
`
`Salveen Richter – Canaccord Genuity
`
`Eun Yang – Jefferies & Company
`
`Geoff Meacham – JPMorgan
`
`Joseph Schwartz – Leerink
`
`Tazeen Ahmad – Bank of America
`
`Alan Carr – Needham & Company
`
`Jim Molloy – Janney
`
`Carol Werther – Summer Street
`
`David Nierengarten – Wedbush Securities
`
`Operator
`
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`Good day, ladies and gentlemen and welcome to the Fourth Quarter 2013 NPS
`Pharmaceuticals’ Earnings Conference Call. My name is Denise and I will be your
`operator for today. At this time, all participants are in listenonly mode. Later, we will
`conduct a questionandanswer session. (Operator Instructions) As a reminder, this
`conference is being recorded for replay purposes.
`
`I would now like to turn the conference over to your host for today, Susan Mesco,
`Senior Director of Investor Relations and Corporate Communications. Please
`proceed.
`
`Susan Mesco
`
`Thank you, Denise and welcome to our fourth quarter conference call. Before we
`start, let me remind you that today’s call will include forwardlooking statements
`based on current expectations. Such statements represent our judgment as of today
`and may involve risks and uncertainties. Please refer to our filings with the SEC,
`which are available from the SEC or our website, for information concerning the risk
`factors that could affect the company.
`
`Joining me on today’s call are members of our executive management team,
`including Dr. Francois Nader, our President and Chief Executive Officer; Luke
`Beshar, our Chief Financial Officer; Eric Pauwels, our Chief Commercial Officer; and
`Roger Garceau, our Chief Medical Officer.
`
`I will now turn the call over to Dr. Francois Nader.
`
`Dr. Francois Nader
`
`Thank you, Susan and good afternoon everyone and thank you again for joining us
`on today’s call. 2013 was truly transformative for NPS, as we transitioned from a
`developing stage company to a U.S. commercial organization with the launch of
`Gattex. And then we became a global company by regaining the international rights
`of two lead products from Takeda, Revestive, which is the exU.S. brand for Gattex
`and Natpara.
`
`Let me briefly recap some key highlights from the year. We are very proud that the
`Gattex launch in its first year was one of the most successful ultraorphan U.S. drug
`launches. This translated to nearly $32 million in net Gattex sales for 2013
`representing the very top end of our guidance, which was revised upwards from our
`original range of $25 million to $30 million. We also initiated a global registration
`study to evaluate the potential benefits of Gattex Revestive in pediatric short bowel
`syndrome. We expect to report top line results later this year or early next.
`
`Natpara, our second orphan product, also made tremendous progress. We filed our
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`BLA, seeking approval for hypoparathyroidism in the U.S. The FDA has accepted
`our application and we have a PDUFA date of October 24 of this year. This puts us
`on track for the potential approval of our second orphan product before the end of
`2014. And last but not least, we completed a very successful secondary offering of
`nearly $100 million. All these achievements have created a strong foundation and we
`are well positioned to deliver key milestones in 2014 and continue our journey to
`become a premier orphan drug company through the growth of our three global
`franchises: Gattex Revestive, Natpara and NPSP795, the lead product candidate in
`our pipeline.
`
`I would like to start with Gattex Revestive and invite Eric Pauwels to provide you with
`a brief commercial update. Eric?
`
`Eric Pauwels
`
`Thank you, Francois. We believe the success of the U.S. launch reflects the clinical
`benefits of Gattex, the high unmet medical need in short bowel syndrome and the
`effectiveness of our commercial team. Physicians have told us that they understand
`the innovation that Gattex represents to patients as the first and only GLP2 analog
`that improves intestinal absorption.
`
`Our commercial team has been successful in securing broad reimbursement
`coverage as payers continue to recognize the value that Gattex can bring to their
`constituents. We finished the year with 303 patients on Gattex, which is in line with
`our upwardly revised guidance of 275 to 325 patients represent roughly 6% to 10%
`of what we estimated to be the total addressable market in the U.S. We believe this
`is a remarkable accomplishment within the first 10 months of the launch which we
`are proud of.
`
`We recently passed the first anniversary of the U.S. launch of Gattex and we remain
`pleased with compliance and discontinuation trends. Last year the average rate of
`compliance was approximately 83% and fewer than 10% of patients discontinued
`therapy despite the fact that Gattex is a daily selfinjectable product for chronic
`disorder. This is a testament to the benefits that Gattex is offering short bowel
`syndrome patients and the effectiveness of our NPS advantage patient support
`services. Most importantly day in and day out we continue to hear very heartfelt
`gratifying stories from the patients who are responding to Gattex and grateful for its
`availability. Many of these patients have been able to free themselves completely
`from parental support after being dependent for five, 10, 15 or more years. These
`stories are the primary reasons why we are in the business we are in to bring
`products to patients that will help to make a difference in their lives.
`
`Looking ahead we remain focused on building on our 2013 success in the U.S. by
`finding patients generating new prescriptions and maintaining favorable
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`reimbursement and compliance trends. Our key marketing activities will continue to
`focus on generating increased brand awareness to our digital platforms, peer to peer
`programs and patient education. We ended 2013 with 530 prescriptions. We believe
`we have a strong springboard to achieve our 2014 guidance of $110 million to $120
`million in net global sales.
`
`Now, on the international front, we are preparing for the rollout of Revestive in key
`exU.S. markets and we expect to begin to see meaningful sales from these
`territories in the second half of 2014. To remind you, Revestive is approved in the
`European Union and we are currently sequencing a launch to eventually reach the
`3000 to 6000 eligible patients. We expect that Germany and the UK will be the – will
`be our first commercial launches given the likelihood of securing our target pricing
`and reimbursement. In the interim we are making Revestive available to SBS
`patients through many patient programs in countries like Argentina, Turkey, Canada
`and Brazil. And we are embarking on regulatory efforts to file Revestive in key
`markets outside the U.S. and the EU.
`
`Now, Japan represents significant commercial opportunity for Revestive. We will file
`for orphan drug status with Japan’s Ministry of Health, Labor and Welfare later this
`year. And we plan to initiate a clinical bridging study in Japanese short bowel
`syndrome patients as a perquisite for securing proven and for reimbursement. So in
`summary 2014 is an important year as we focused on building our global operations
`and identifying new SBS patients. While U.S. sales are currently still the primary
`growth driver of our business, our accelerating international build out will be a key
`platform to deliver significant longterm growth at NPS. We look forward to reporting
`on our future progress.
`
`With that I will turn the call back to Francois.
`
`Dr. Francois Nader
`
`Thank you Eric. Switching gears I would now like to Natpara, our second global
`brand that we plan to register and commercialize in hypoparathyroidism. As you
`might know it by now hypoparathyroidism is a rare and highly symptomatic endocrine
`disorder characterized by insufficient levels of parathyroid hormone. Unfortunately, it
`is not wellunderstood by most physicians but its significant burden is felt deeply by
`patients. The main role of the parathyroid hormone is to regulate serum calcium and
`phosphate within a very tight range.
`
`The lack of parathyroid hormone often leads to severe hypocalcemia with dramatic
`consequences on the skeletal, muscular and neurological systems. Because there is
`no approved treatment current approaches rely on calcium and vitamin D
`supplementation to boost serum calcium and try to manage the acute symptoms of
`hypoparathyroidism. However, this approach does the underlying physiology of the
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`missing parathyroid hormone and it is not working well for many patients. Data from
`our PARADOX burden of illness study and other research clearly show that despite
`being on calcium and vitamin D, 99% of the patients still have symptoms that persist
`for most of their waking hours and onethird of patients require emergency room
`visits and/or hospital admissions.
`
`In addition, hypoparathyroidism is associated with significant comorbidities. For
`example, 50% of patients had basal ganglia calcifications, which puts them at risk of
`Parkinson’s disease. Patients are also at the four times greater risk of seizures and
`50% of the patients have skeletal issues and experience morphometric fractures. In
`addition, onethird of the patients are on medications for depression and/or anxiety.
`We believe Natpara will be a significant advance in hypoparathyroidism as we are
`replacing the endogenous parathyroid hormone with an exact 84amino acid replica.
`
`The market opportunity for Natpara is substantial. We estimate there are 180,000
`patients suffering from hypoparathyroidism worldwide, of whom about 40% or 70,000
`are uncontrolled and highly symptomatic. These will be the patients we will target
`initially, which in in the U.S. is over 20,000 patients. Our Biologics License
`Application, or BLA for Natpara in hypoparathyroidism is currently undergoing FDA
`review and we are actively preparing for an ASCO meeting later this year. We will
`also be filing for approval in Europe and other countries in 2014. On the commercial
`side, we are advancing a number of key prelaunch activities, including additional
`pricing and payer studies. Based on our market research todate, which included
`public and private payers, we are confident that Natpara will be covered within the
`range of comparable orphan drugs.
`
`The next topic, I would like to discuss today is the pipeline we are building for our
`longterm growth. Our lead clinical candidate is NPSP795, a small molecule that we
`are developing for the treatment of autosomal dominant hypocalcemia, or ADH. This
`ultrarare lifelong genetic disorder is caused by mutations of the calcium sensing
`receptor, which plays a major role in calcium homeostasis. Patients with ADH
`continuously excrete calcium in the urine, because the receptor always senses that
`the serum calcium is too high. ADH can present immediately postbirth with severe
`hypocalcemia, which can cause life threatening neonatal complications, such as
`cardiac arrhythmias, seizures or laryngeal spasms. In adults, ADH is typically
`characterized by hypocalcemia with low concentration of PPH and high levels of
`urine calcium. Clinically, there is a significant increased risk for renal complications,
`including renal stones, nephrocalcinosis and impaired renal function. There is no
`approved treatment for ADH. Supportive approaches can involve carefully adjusting
`hypocalcemia with oral calcium and active vitamin D, but these efforts are usually not
`effective and can worsen the condition by increasing calcium urine excretion and
`therefore renal complications.
`
`795 is an antagonist of the calcium sensing receptor, so specifically targeting the
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`defective receptor. We expect to launch a Phase 2a proofofconcept study of 795
`around the middle of this year. We will give more details on the design as well as
`timelines once the study is initiated. In parallel, we are actively pursuing inlicensing
`opportunities through business development. We are targeting firstinclass or best
`inclass products to treat rare diseases. We would also look at enhancing our
`product offering with companion diagnostics we are partnering.
`
`So, in summary, we are building a premier global orphan drug business with near
`term and longterm strategic growth drivers. These include first the maximization of
`our short bowel syndrome global franchise with the continued commercial success of
`Gattex in the U.S. and the active execution of our international strategy to launch
`Revestive. Second, we are working with FDA to secure approval of Natpara in the
`U.S. with an October 24 PDUFA date and we will be filing for approvals in a number
`of exU.S. countries. And third, we are advancing our pipeline by initiating the Phase
`2a study of NPSP795 in ADH in the middle of this year and pursuing new
`opportunities through business development.
`
`With that, I will turn the call over to Luke to report on our financial results.
`
`Luke Beshar
`
`Thanks, Francois and again welcome to all joining us this afternoon. From a financial
`perspective, 2013 was also a phenomenal year, in fact, the best in the history. We
`are thrilled with our net Gattex sales of $15 million in the fourth quarter and $32
`million for the year, which is at the very highend of our guidance. Our gross to net
`sales adjustments were also at the favorable end of our guidance, coming in at
`approximately 8% for both the quarter and the year, primarily due to positive trends
`and the cost associated with patient assistance programs.
`
`Sensipar royalties were significant contributors to this year’s financial results, with
`more than $36 million in royalties for the fourth quarter and a $113 million for the full
`year. Full year royalties grew an astounding 26% due to the growth in Sensipar sales
`and the benefit of certain nonrecurring favorable adjustments. Of particular note is
`that Sensipar sales grew 15% in 2013 and for the first time broke the $1 billion mark.
`I do want to briefly remind you that we previously received an advance from Amgen
`of certain of the Sensipar royalties.
`
`Under the repayment terms of this advance, Amgen holds back $8 million per
`quarter for interest and principal, with the excess being paid to NPS. So, we received
`a $23 million net cash payment from Amgen on February 15 for fourth quarter
`Sensipar royalties. And we continue to anticipate the remaining advance of $54
`million will be fully repaid by the end of the third quarter of next year. After this, we
`will receive 100% of our U.S. Sensipar royalties through March 2018 and through the
`end of 2018 for the rest of world. We also received about $700,000 of cash
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`payments for royalties earned in the quarter and approximately $3 million for the full
`year of OrthoMcNeil’s sales of Nucynta.
`
`Moving to expenses, where I will start with cost of sales, which is approximately 13%
`of Gattex sales for the quarter and 11% for the year. As previously discussed, our
`current cost of sales consist primarily of royalties and packaging costs, because the
`inventory supporting the launch was produced prior to approval and therefore
`expensed to R&D. We expect this inventory to support U.S. demand into 2015 after
`which the preapproved U.S. inventory is depleted. We expect our cost of sales for
`Gattex to normalize around 20%.
`
`Research and development expenses declined from the year prior with the fourth
`quarter coming in at $20 million and the full year at $85 million due to reductions in
`clinical development activities in 2013. SG&A expenses increased to $22 million for
`the quarter and $68 million for the year due to activities to support U.S. launch of
`Gattex and to a lesser extent, cost associated with the international expansion. The
`end result was fourth quarter net income of $8 million or $0.07 a share and for the
`full year net loss of $14 million or $0.14 a share. We were proud to be in a strong
`financial position. We ended the quarter with $180 million in cash versus $178 million
`at the end of the third quarter, $101 million at the end of 2012. This capital and our
`growing revenues provide us with a strong financial base to fully support our global
`development and commercial activities for Gattex, Natpara and 795.
`
`Moving to guidance. In 2014, as we previously reported, we expect $110 million to
`$120 million in net global sales of Gattex Revestive. We continue to anticipate a
`longterm rate of 70% to 80% for compliance and 20% to 30% for discontinuations.
`Our operating expenses, excluding cost of sales and sharebased compensation, we
`continue to expect to come in within the range of $180 million to $200 million for the
`year, with key drivers of these expenses, including our global expansion, prelaunch
`Natpara production and secondary supply chain sources, the buildout of our
`commercial infrastructure and other preclinical activities for Natpara, clinical
`activities to support our pediatric SBS and ADH programs, and regulatory initiatives
`to support the approval of Natpara in the U.S. and other key countries.
`
`So, to summarize the financial update, we are thrilled with the first year performance
`of Gattex in the U.S. and expect our global SBS franchise to deliver significant top
`line growth in 2014 and for years thereafter. We are excited about Natpara’s
`prospects. It’s a very meaningful driver for sales in 2015 and well beyond. Our
`financial outlook is the strongest in our history. And we have the leadership and the
`foundation in place to advance additional opportunities to achieve our vision of
`becoming the world’s premier orphan drug business.
`
`At this time, I will turn the call back over to our operator, Denise to begin the Q&A
`session. Denise?
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`QuestionandAnswer Session
`
`Operator
`
`(Operator Instructions) Our first question comes from Salveen Richter with
`Canaccord. Please proceed.
`
`Salveen Richter – Canaccord Genuity
`
`Thanks for taking my questions. Just a couple. I was wondering if you could
`comment on what you expect to be discussed at the Natpara panel coming up there
`this year? And then with regards to Gattex, how big are the named patient markets
`when we look at Argentina, Turkey, Canada and Brazil? And in terms of fiscal year
`‘14 OpEx guidance, could you maybe just breakdown what R&D and SG&A are in
`terms of the OpEx? Thanks.
`
`Dr. Francois Nader
`
`Hey, Salveen, these are three questions. So I will ask Roger Garceau to address the
`first one, which is Natpara AdCom, Roger?
`
`Roger Garceau
`
`We have received in our letter from the FDA, they accept our letter and we will have
`an AdCom. There is no indication of what the topic is. Generally, the AdComs are
`always about a riskbenefit basis. For now we have not had any specific idea into
`what those are at the moment. So, at this point, we are just in dialog with questions.
`
`Dr. Francois Nader
`
`I will ask Eric maybe to address the named patient programs.
`
`Eric Pauwels
`
`Yes, Salveen. We are not guiding right now to you what percentage of named patient
`actually represents, but what we do know is that the key markets in ultraorphan
`include Turkey, Brazil, Argentina, Canada, they all have mechanisms by which we
`can actually work through. We have prescriptions from at least five countries right
`now we are working through. And we anticipate named patient sales to begin this
`quarter.
`
`Dr. Francois Nader
`
`And Luke will address the OpEx question.
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`NPS Pharmaceuticals' CEO Discusses Q4 2013 Results Earnings Call Transcript | Seeking Alpha
`
`Yes. Salveen, could you repeat the question? There was – I want to make sure I
`address it specifically.
`
`Salveen Richter – Canaccord Genuity
`
`Sure. Just wondering with your OpEx guidance for this year, if you could break it
`down into what it is for SG&A and R&D?
`
`Luke Beshar
`
`We don’t give that visibility. We just got it in total. So, we are really not in a position
`to guide by line item.
`
`Salveen Richter – Canaccord Genuity
`
`Okay, thank you.
`
`Dr. Francois Nader
`
`Thank you, Salveen.
`
`Operator
`
`Our next question comes from Eun Yang with Jefferies. Please proceed.
`
`Eun Yang – Jefferies & Company
`
`Well, thank you. In terms of your Japanese bridging study, is it going to be beginning
`by this year as well?
`
`Dr. Francois Nader
`
`We are starting discussions with the Japanese authorities. So, our tentative plan
`would be hopefully to have those discussions this year. And if possible, we would
`like to start it, but again it’s going to depend on discussions we have with the
`Japanese PDMA.
`
`Eun Yang – Jefferies & Company
`
`Okay. And then one quick question on discontinuation rate, you guys have been
`saying that discontinuation rate on Gattex will be eventually 20% to 30%. At the
`latest update that you gave us in early December, it was still less than 10%. So, can
`you comment on current discontinuation rate and when would you expect it to hit
`20% to 30% discontinuation rate?
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`Dr. Francois Nader
`
`Eric?
`
`Eric Pauwels
`
`So, we have guided to a 20% to 30% discontinuation rate longer term. First of all,
`patients and physicians are largely pleased with this drug. And what we do know is,
`initially we have had very favorable discontinuation rates. Right now, there is
`approximately 90% of the patients that are continuing on Gattex therapy. But we also
`know that as the product is being marketed and over time that those rates will fall.
`And the reason to discontinuation could be on a variety of different things. It can be
`adverse events, it can be a number of different things by which the patients can
`ultimately and the physician can ultimately make the decision not to continue with
`Gattex. So we see that over time as going down during the course of the year and
`next year.
`
`Dr. Francois Nader
`
`Eun, Did we address your question – questions?
`
`Eun Yang – Jefferies & Company
`
`Sorry it was on the mute. And do you have any expectation what the discontinuation
`rate would be by end of this year?
`
`Luke Beshar
`
`We are not as specifically we can’t provide that kind of guidance. Although I can say
`we are pleased so far with the results, but we are guiding to the 20% to 30%.
`
`Eun Yang – Jefferies & Company
`
`Thank you.
`
`Operator
`
`Our next question come Geoff Meacham with Jeffries – excuse me with JPMorgan.
`Please proceed.
`
`Geoff Meacham – JPMorgan
`
`Good Afternoon guys. Thanks for taking my question.
`
`Dr. Francois Nader
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`Sure.
`
`NPS Pharmaceuticals' CEO Discusses Q4 2013 Results Earnings Call Transcript | Seeking Alpha
`
`Geoff Meacham – JPMorgan
`
`So this quarter, you guys turned profitable, so I wanted to get a sense where our
`profitability was and your priorities when you look on one hand at biz dev and OPEX
`versus becoming sustainably profitable? And then I have one followup.
`
`Luke Beshar
`
`Well this is Luke, I will talk about (indiscernible) we will continue to be strategic in
`balancing our profitability and investment in longterm growth, while remaining
`focused on profitability as a very significant and major longterm goal. Given this
`year’s guidance and taking our base business into consideration, we anticipate being
`very close to breakeven or profitability in 2014 but we are really not guiding on that.
`As you know longterm, again, we are committed and we will generate profit, our
`focus right now is putting building blocks in place to ensure to that NPS continues to
`grow both top and bottom line and ultimately shareholder value for years and years
`to come. So beyond that, it will largely depend on how the business development
`activities play out and the timing of that and the development activities and how that
`overlays with the – the building of the existing business and what – now that ramp
`kind of overlaying where those two trajectories overlap and don’t.
`
`Geoff Meacham – JPMorgan
`
`Got you. Okay.
`
`Dr. Francois Nader
`
`Did make sense?
`
`Geoff Meacham – JPMorgan
`
`No, it does. It does. For Gattex, I know you guys aren’t going to give patient numbers
`anymore, but maybe can you talk about some of the trends at year end when you
`look at new starts or the pace of reimbursement versus the start of the year, just
`curious if there were any sort of logistical issues with respect to getting
`reimbursement towards the beginning of the year with signup, things like that?
`
`Eric Pauwels
`
`Can I comment? Yes, those are a couple questions. This is Eric and I will address
`those. So with regards to the metrics I mean we are very pleased with the way 2013
`finished and that I can say that we are very confident that we are going to generate
`the demand in 2014, to achieve the revenue guidance that Luke had mentioned.
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`Now, with the real – with respect to these real high prescriptions perceptions and
`metrics we are not going to be giving that going forward. But with regards to your
`question around payers, there have been no major surprises at this point in time. We
`have been able to manage a number of issues with regards to specific patients and
`their changed insurance carriers and managed it through the calendar year, so at
`this point in time no real surprises. We have been able to manage it through till the
`course of the calendar year change.
`
`Geoff Meacham – JPMorgan
`
`Got you. Okay. That’s helpful. Thanks.
`
`Eric Pauwels
`
`Thanks.
`
`Dr. Francois Nader
`
`Thank you.
`
`Operator
`
`Our next question comes from Joseph Schwartz with Leerink. Please proceed.
`
`Joseph Schwartz – Leerink
`
`Hi. Thanks very much. I was wondering if you can talk about the business
`development priorities that you have at NPS. And are you thinking about purely
`assets in the gastroenterology and endocrinology space, or could other areas
`complement the organization. And then I also noticed that you had mentioned you
`would contemplate interesting companion diagnostics to strengthen the business. So
`what are your thoughts there?
`
`Dr. Francois Nader
`
`So, Joe, strategically we have anchored the company in the rare disease business.
`So that’s from our core business independent from the therapeutic area. Needless to
`say that if we find assets in GI or endocrinology that will be our preferred choice, but
`the more important metric or characteristic we are pursuing are products that will be
`either firstinclass or bestinclass for conditions, where there is a true unmet
`medical need and where products could really saves lives and reduce healthcare
`costs. Pretty much agnostic as to how we get there and the reasons being that we
`are not bound by therapeutic area, we are not bound by a class form we are not
`bound by a manufacturing facility that really limits our ability to search for the right
`product. On the flip side of this equation, I think we have proven that we know how to
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`develop an orphan drug. We know how to take it through the regulatory process and
`we know how to launch it. So frankly, the inbounds are there. Our challenge is to be
`selective and find the right structure that will fit our organization.
`
`Joseph Schwartz – Leerink
`
`Okay, great. And then maybe one for Luke, given you have turned profitable and we
`expect you to generate significant cash flow over the longer term and you have an
`international headquarters established in Dublin, Ireland, how should we think about
`taxes longer term?
`
`Dr. Francois Nader
`
`Sure. Joe, the way we think about taxes is U.S. taxes will be even probably at 40%
`load for both Natpara and Gattex. For Revestive and Natpara exUS, those will all be
`running through our Dublin international headquarters and therefore should drive
`along about 12.5% effective tax rate on nonU.S. profitability.
`
`Joseph Schwartz – Leerink
`
`Okay, great. Thanks.
`
`Dr. Francois Nader
`
`Thank you, Joe.
`
`Operator
`
`Our next question comes from David Friedman with Morgan Stanley. Please
`proceed.
`
`Unidentified Analyst
`
`Hi, this is (indiscernible) in for Dave. Thanks for taking the question. Just a quick one
`on Gattex, I was wondering if you could provide some more granular details around
`the timing for Gattex reimbursement in Europe?
`
`Dr. Francois Nader
`
`Eric?
`
`Eric Pauwels
`
`Sure. So as you know, Gattex, it’s actually Revestive and we are following a very
`sequenced approach in terms of pricing and reimbursement. We will be sequencing
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`in the first half