Q2 2024 Revance Therapeutics Inc Earnings Call

August 8, 2024

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Operator: Welcome to the Revance Therapeutics Second Quarter 2024 Financial Results and Corporate Update Conference Call. At this time, all participants are in a listen-only mode. Following management's prepared remarks, we will hold a QA session. To ensure that we have ample time to address everyone's questions, we will ask each person to limit themselves to one question and one follow-up. As a reminder, this call has been recorded today, Thursday, August 8, 2024. I will now hand the call over to your host, Lawrence Watts with Revance Therapeutics.

Operator: Welcome to the Revance Therapeutics second quarter 2024 financial results and corporate update conference call. At this time, all participants are in a listen-only mode.

Operator: Joining us on the call today from Revance are President and Chief Executive Officer Mark Foley and Chief Financial Officer Toby Schilke. During this call, management will make forward-looking statements, including statements related to expectations related to product adoption and reorders, consumer needs, preferences, and behavior, the benefits and value to us, practices, and consumers of our products, including the efficacy, duration, skin quality, and safety of our products. Future Therapeutics Expansion, 2024 Guidance, Positive Adjusted EBITDA, Future Capital Expenditures and Anticipated Revenue, our Strategic Priorities, our Anticipated Success, our ability to grow and take share and market opportunity and expectations, and our strategy planned operations and commercialization plans and timing of those plans.

REVANCH Therapeutics: Welcome to the Revance Therapeutics 2nd Quarter 2024 Financial Results and Corporate Update Conference Call.

Operator: Our actual results and the timing of events could differ materially from those anticipated in such forward-looking statements as a result of these risks and uncertainties. Factors that could cause these results to be different from those expressed include factors the company describes in our annual report on Form 10-K and our quarterly report on Form 10-Q. Revance undertakes no duty or obligation to update any forward-looking statements as a result of new information, future events, or changes in its expectations.

Operator: Also on today's call, we will present both GAAP and non-GAAP financial measures. Reconciliations of GAAP to non-GAAP measures are included in our earnings release. With that, I will turn the call over to Mark Foley, President and Chief Executive Officer of Revance.

Operator: Following management's prepared remarks, we will hold a Q&A session. To ensure that we have ample time to address everyone's questions, we will ask each person to limit themselves to one question and one follow-up. As a reminder, this call has been recorded today, Thursday, August 8, 2024.

Speaker Change: At this time, all participants are in a listen-only mode.

Speaker Change: Following management's prepared remarks, we will hold a Q&A session. To ensure that we have ample time to address everyone's question, we will ask each person to limit themselves to one question and one follow-up. As a reminder, this call has been recorded today, Thursday, August 8, 2024.

Laurence Watts: I will now hand the call over to your host, Lars Watts, with Revance Therapeutics. Please proceed.

Mark Foley: Thank you, Lawrence. Good afternoon, everyone.

Speaker Change: I will now hand the call over to your host, Lawrence Watts with Revance Therapeutics. Please proceed.

Mark Foley: Thank you, operator.

Mark Foley: Joining us on the call today from Revance are President and Chief Executive Officer, Mark Foley, and Chief Financial Officer, Toby Schilke. During this call, management will make forward-looking statements, including statements related to expectations related to product adoption and reorders, consumer needs, preferences, and behavior, the benefits and value to us practices and consumers of our products. Including the efficacy, duration, skin quality, and safety of our products, future therapeutic expansion, 2024 guidance, positive adjusted EBITDA, future capital expenditures, and anticipated revenue, as strategic priorities, our anticipated success, our ability to grow and take share, and market opportunity and expectations, and our strategy, planned operations and commercialization plans, and timing of those plans.

Lawrence Watts: Thank you, Operator.

Speaker Change: Joining us on the call today from Revance are President and Chief Executive Officer Mark Foley and Chief Financial Officer Toby Schilke.

Speaker Change: During this call, management will make forward-looking statements, including statements related to expectations related to product adoption and reorders, consumer needs, preferences, and behavior, the benefits and value to us, practices, and consumers of our products, including the efficacy, duration, skin quality, and safety of our products,

Speaker Change: Future Therapeutics Expansion, 2024 Guidance, Positive Adjusted EBITDA, Future Capital Expenditures and Anticipated Revenue, our Strategic Priorities, our Anticipated Success

Speaker Change: Our ability to grow and take share, our market opportunity and expectations, and our strategy, planned operations, and commercialization plans, and timing of those plans.

Mark Foley: Our actual results and the timing of events could differ materially from those anticipated in such forward-looking statements as a result of these risks and uncertainties. Factors that could cause these results to be different from these statements include factors that come being described in our annual report on Form 10-K and our quarterly report on Form 10-Q.

Speaker Change: Our actual results and the timing of events could differ materially from those anticipated in such forward-looking statements as a result of these risks and uncertainties. Factors that could cause these results to be different from these statements include factors the company describes in our annual report on Form 10-K and our quarterly report on Form 10-Q.

Mark Foley: Revance undertakes no duty or obligation to update any forward-looking statements as a result of new information, future events, or changes in its expectations. Also on today's call, we will present both GAAP and non-GAAP financial measures. Reconciliations of GAAP to non-GAAP measures are included in our earnings release.

Speaker Change: Revance undertakes no duty or obligation to update any forward-looking statements as a result of new information, future events, or changes in its expectations.

Speaker Change: Also on today's call we will present both GAAP and non-GAAP financial measures, reconciliations of GAAP to non-GAAP measures are included in our earnings release.

Mark Foley: With that, I will turn the call over to Mark Foley, President and Chief Executive Officer of ReVence.

Speaker Change: With that, I will turn the call over to Mark Foley, President and Chief Executive Officer of Revance.

Mark Foley: Mark? Thank you, Lawrence.

Mark Foley: And thank you for joining our second quarter 2024 financial results conference call. The second quarter of 2024 was another period of continued progress for Revance, led by our Aesthetics Division and the implementation of our strategy to bring Daxify to a broad audience based on strong product attributes and competitive pricing. Vaxify continued to show strong growth in the second quarter, with aesthetic units sold up 65% year over year, and net product revenue $28.7 million, which was up 27% year over year.

Mark Foley: Good afternoon, everyone, and thank you for joining our second quarter 2024 financial results conference call. The second quarter of 2024 was another period of continued progress for ReVence led by our Stetix Division and the implementation of our strategy to bring Daxify to a broad audience based on strong product attributes and competitive pricing. Daxify continued to show strong growth in the second quarter with a Stetix unit sold up 65% year over year and net product revenue $28.7 million, which was up 27% year over year. Importantly, feedback from the field continues to be positive and reveals that not only are existing practices re-engaging with Daxify, but that new account ads are accelerating due to Daxify's price comparability and appealing product attributes, namely increased duration, fast onset, and improved skin quality.

Mark Foley: Thank you, Lawrence. Good afternoon, everyone. And thank you for joining our second quarter 2024 financial results conference call.

Mark Foley: Importantly, feedback from the field continues to be positive and reveals that not only are existing practices reengaging with Daxify, but that new account ads are accelerating due to Daxify's price comparability and appealing product attributes, namely increased duration, fast onset, and improved skin quality. Additionally, now that consumers have been through several treatment cycles, we're starting to see patient preference drive both injector utilization and new account interest. In the second quarter, we were encouraged by strong reordering activity as existing aesthetic accounts represented more than three quarters of Daxify revenue in the quarter, and consumer pricing coming in line with competitor prices and a meaningful uptick in unit sales on both an annual and quarterly basis without the benefit of couponing.

Speaker Change: The second quarter of 2024 was another period of continued progress for Revance, led by our Aesthetics Division and the implementation of our strategy to bring Daxify to a broad audience based on strong product attributes and competitive pricing.

Operator: To ensure that we have ample time to address everyone's question, we will ask each person to limit themselves to one question and one follow-up. As a reminder, this call has been recorded today, Thursday, August 8, 2024.

Mark Foley: Vaxify continued to show strong growth in the second quarter, with aesthetic units sold up 65% year-over-year and net product revenue of $28.7 million, which was up 27% year-over-year.

Laurence Watts: I will now hand the call over to your host, Lars Watts with Revance Therapeutics. Please proceed. Thank you, operator.

Laurence Watts: Joining us on the call today from Revance are President and Chief Executive Officer, Mark Foley, and Chief Financial Officer, Toby Schilke. During this call, management will make forward-looking statements, including statements related to expectations related to product adoption and reorders, consumer needs, preferences and behavior, the benefits and value to us practices and consumers of our project. Including the efficacy, duration, skin quality, and safety of our product, future therapeutic expansion, 2024 guidance, positive adjusted EBITDA, future capital expenditures and anticipated revenue, our strategic priorities, our anticipated success, our ability to grow and take share and market opportunity and expectations, and our strategy planned operations and commercialization plans and timing of those plans.

Mark Foley: Namely, increased duration, fast onset, and improved skin quality.

Mark Foley: Importantly, now that consumers have been through several treatment cycles, we are starting to see patient preference drive both injector utilization and new account interest. In the second quarter, we were encouraged by strong reordering activity as existing aesthetic accounts represented more than three quarters of Daxify revenue in the quarter and consumer pricing coming in line with competitive prices. And a meaningful uptick in unit sales under as an annual and quarterly basis without the benefit of couponing.

Mark Foley: Importantly, now that consumers have been through several treatment cycles, we're starting to see patient preference drive both injector utilization and new account interest.

Mark Foley: In the second quarter, we were encouraged by strong reordering activity as existing aesthetic accounts represented more than three quarters, a back-to-five revenue in the quarter, and consumer pricing coming in line with competitive prices.

Mark Foley: and a meaningful uptick in unit sales on both an annual and quarterly basis without the benefit of couponing.

Mark Foley: Turning to our filler offering, the RHA collection also experienced healthy growth compared to last year, despite overall filler market softness. Starting in April, we launched RHA-3 for lift augmentation and fullness, the number one filler procedure performed in the U.S. To support the launch of the lift indication, we activated consumer and beauty editor experiences, conducted HCP training events, and introduced RHA-3 promotions. Along with these activities, we rolled out a campaign around lifts worth framing, as well as beauty of savings promotional activities. We continue to believe that the quality and differentiated performance profile of the RHA portfolio, combined with our commercial team's ability to execute, provides a stable foundation for ongoing growth initiatives.

Mark Foley: Turning to our filler offerings, the RHA collection also experienced healthy growth compared to last year, despite overall filler market softness. Starting in April, we launched RHA-3 for lip augmentation and fullness, the number one filler procedure performed in the U.S. To support the launch of the lip indication, we activated consumer and beauty editor experiences, conducted HCP training events, and introduced RHA3 promotion. Along with these activities, we rolled out a campaign around Lipsworth Framing, as well as Beauty of Savings promotional activities.

Mark Foley: Turning to our filler offerings, the RHA collection also experienced healthy growth compared to last year despite overall filler market softness.

Unknown Executive: Our actual results and the timing of events could differ materially from those anticipated in such forward-looking statements as a result of these risks and uncertainties, factors that could cause these results to be different from these statements include factors that come being described in our annual report on form 10K and our quarterly report on form 10Q. Revance undertakes no duty or obligation to update any forward-looking statements as a result of new information, future events, or changes in its expectations.

Mark Foley: Starting in April , we launched RHA-3 for lift augmentation and fullness, the number one filler procedure performed in the U.S.

Mark Foley: To support the launch of the Lip Indication, we activated consumer and beauty editor experiences, conducted HCP training events, and introduced RHA3 promotions.

Unknown Executive: Also, in today's call, we will present both gap and non-gap financial measures, reconciliations of gaps and non-gap measures are included in our earnings release.

Mark Foley: Along with these activities, we rolled out a campaign around Lipsworth Framing, as well as Beauty of Savings promotional activities.

Mark Foley: We continue to believe that the quality and differentiated performance profile of the RHA portfolio, combined with our commercial team's ability to execute, provides a stable foundation for our ongoing growth initiative. RHA collection net product revenue was $36.6 million in the second quarter of 2024, representing a 15% year over year increase. Lastly, at the end of the second quarter, accounts across Revance's aesthetics portfolio totaled over $7,500.

Laurence Watts: With that, I will turn the call over to Mark Foley, President and Chief Executive Officer of ReVence. Thank you, Lawrence.

Mark Foley: Good afternoon, everyone, and thank you for joining our second quarter, 2024 Financial Results Conference call. The second quarter of 2024 was another period of continued progress for ReVence led by our Stetics Division and the implementation of our strategy to bring Daxify to a broad audience based on strong product attributes and competitive pricing. Daxify continued to show strong growth in the second quarter with a Stetics unit sold up 65% year over year and net product revenue $28.7 million, which was up 27% year over year.

Mark Foley: RHA collection net product revenue was $36.6 million in the second quarter of 2024, representing a 15% year-over-year increase. Lastly, at the end of the second quarter, accounts across Revance Aesthetics portfolio totaled over $7,500. The company also ended the quarter with over $3,700 accounts that have ordered Daxify, which leaves us with significant runway to further expand our number of accounts and ordering base going forward.

Mark Foley: RHA collection net product revenue was $36.6 million in the second quarter of 2024, representing a 15% year-over-year increase.

Mark Foley: Importantly, feedback from the field continues to be positive and reveals that not only are existing practices re-engaging with Daxify, but that new account ads are accelerating due to Daxify's price comparability and appealing product attributes, namely increased duration, fast onset, and improved skin quality. Importantly, now that consumers have been through several treatment cycles, we are starting to see patient preference drive both injector utilization and new account interest. In the second quarter, we were encouraged by strong reordering activity as existing aesthetic accounts represented more than three quarters of Daxify revenue in the quarter, and consumer pricing coming in line with competitor prices.

Mark Foley: Lastly, at the end of the second quarter, accounts across Revance's Aesthetics portfolio totaled over $7,500.

Mark Foley: The company also ended the quarter with over 3,700 accounts that have ordered Daxify, which leaves us with significant runway to further expand our number of accounts and ordering base going forward. Additionally, during the quarter, we were pleased to launch our first portfolio initiative, the Beauty of Savings Program, which was designed to provide additional incentives to accounts that purchase both RHA and Daxify. This program has been well received, and we look forward to continuing to not only grow our account base but using programs like these to deepen our penetration in existing accounts.

Mark Foley: Further in the quarter, we were pleased to launch our first portfolio initiative, the Beauty of Savings program, which was designed to provide additional incentives to accounts that purchased both RHA and Daxify. This program has been well received, and we look forward to continuing to not only grow our account base, but use programs like these to deepen our penetration in existing accounts.

Mark Foley: Further in the quarter, we were pleased to launch our first Portfolio Initiative, the Beauty of Savings Program, which was designed to provide additional incentives to accounts that purchase both RHA and Dexify.

Mark Foley: This program has been well-received, and we look forward to continuing to not only grow our account base, but use programs like these to deepen our penetration in existing accounts.

Mark Foley: Now, let me turn to our therapeutic franchise. In May, we announced the commercial launch of Daxify for the treatment of cervical dystonia, marking our entry into the $2.7 billion US therapeutic neurotoxin market. As such, Daxify for cervical dystonia provides a significant opportunity for revamps and marks the culmination of our decades-long mission to bring our unique innovation to the therapeutic market. Although toxins remain the standard of care for cervical dystonia, patients struggle to achieve sustained symptom relief in between treatments. This is due to the fact that toxin treatment can only occur every 12 weeks based on product labeling and reimbursement guidelines, even though the therapeutic benefit of current toxins typically wears off 8-10 weeks after injection.

Mark Foley: Now let me turn to our therapeutic franchise. In May, we announced the commercial launch of Daxify for the treatment of cervical dystonia, marking our entry into the $2.7 billion U.S. therapeutic neurotoxin market. As such, Daxify for Cervical Dystonia provides a significant opportunity for revise and marks the culmination of our decades-long mission to bring our unique innovation to the therapeutics market. Although toxins remain the standard of care for cervical dystonia, patients struggle to achieve sustained symptom relief between treatments.

Mark Foley: Now let me turn to our therapeutic franchise.

Mark Foley: In May, we announced the commercial launch of Daxify for the treatment of cervical dystonia, marking our entry into the $2.7 billion U.S. therapeutic neurotoxin market.

Mark Foley: As such, Daxify for Cervical Dystonia provides a significant opportunity for revamps and marks the culmination of our decades-long mission to bring our unique innovation to the therapeutics market.

Mark Foley: And a meaningful uptick in unit sales under as an annual and quarterly basis without the benefit of couponing. Turning to our filler offering, the RHA collection also experienced healthy growth compared to last year, despite overall filler market softness. Starting in April, we launched RHA3 for lift augmentation and fullness, the number one filler procedure performed in the U.S. To support the launch of the lift indication, we activated consumer and beauty editor experiences, conducted along with these activities, we rolled out a campaign around lifts worth framing, as well as beauty of savings promotional activities.

Mark Foley: Although toxins remain the standard of care for cervical dystonia, patients struggle to achieve sustained symptom relief in between treatments.

Mark Foley: This is due to the fact that toxin treatment can only occur every 12 weeks based on product labeling and reimbursement guidelines, even though the therapeutic benefit of current toxins typically wears off 8 to 10 weeks after injection. As a result, this frequently leaves patients with unmanaged symptoms that can lead to significant pain, social stigma, and the inability to drive or work.

Mark Foley: As a result, this frequently leads patients with unmanaged symptoms that can lead to significant pain, social stigma, and the inability to drive the work. Daxify is the first and only peptide formulated long-lasting neurotoxin that offers the potential to improve the duration of symptom control with a favorable safety profile, providing patients and physicians with a compelling new treatment option for painful and disabling chronic condition. Following our CD approval in August 2023, we launched a preview relay experience program with the objective of optimizing treatment outcomes and ensuring smooth practice integration. In May, we announced our full US commercial launch.

Mark Foley: As a result, this frequently leaves patients with unmanaged symptoms that can lead to significant pain, social stigma, and the inability to drive or work.

Mark Foley: Vaxify is the first and only peptide-formulated, long-lasting neurotoxin that offers the potential to improve the duration of symptom control with a favorable safety profile, providing patients and physicians with a compelling new treatment option for a painful and disabling chronic condition. Following our CD approval in August 2023, we launched the Preview Early Experience Program with the objective of optimizing treatment outcomes and ensuring smooth practice integration. In May, we announced our full U.S. commercial launch.

Speaker Change: Dactify is the first and only peptide-formulated, long-lasting neurotoxin that offers the potential to improve the duration of symptom control with a favorable safety profile, providing patients and physicians with a compelling new treatment option for a painful and disabling chronic condition.

Mark Foley: We continue to believe that the quality and differentiated performance profile of the RHA portfolio combined with our commercial team's ability to execute provides a stable foundation for ongoing growth initiatives. RHA collection net product revenue was 36.6 million in the second quarter of 2024, representing a 15% year-over-year increase. Lastly, at the end of the second quarter, accounts across revances aesthetics portfolio totaled over 75 hundred. The company also ended the quarter with over 3,700 accounts that have ordered to quantify, which leaves us with significant runway to further expand our number of accounts and ordering base going forward.

Speaker Change: Following our CD approval in August 2020, we launched a preview, really experienced program with the objective of optimizing treatment outcomes and ensuring smooth practice integration. In May, we announced our full US commercial launch.

Mark Foley: The initial market response has been encouraging and supportive of our hypothesis that there is an unmet need for a long-lasting neurotoxin to address the large percentage of patients with symptom breakthrough on the current toxin regimen. Furthermore, PREVIEW practices continue to treat patients and, importantly, continue to report compelling clinical results with Doxify. To that end, physicians report that patients in their second and third treatment cycles are experiencing long duration and a safety profile consistent with our phase three Aspen program.

Mark Foley: The initial mark response has been encouraging and supportive of our head topic is that there is an unmet need for a long-lasting neurotoxin to address the large percentage of patients with symptom breakthrough on current toxin regimen. Furthermore, preview practices continue to treat patients and, importantly, continue to report compelling clinical results with Daxify. To that end, physicians report that patients in their second and third treatment cycles are experiencing long duration and a safety profile consistent with our Phase Three Aspen program. In preview, Daxify was shown to deliver 12 plus weeks of sustained symptom control for patients that previously had experienced early symptom breakthrough with conventional toxins and up to 15 weeks or more for many other patients.

Mark Foley: Furthermore, Preview Practices continue to treat patients and importantly continue to report compelling clinical results with Nazified.

Mark Foley: Further, in the quarter, we replaced the launch our first portfolio initiative, the beauty of savings program, which was designed to provide additional incentives to accounts that purchased both RHA and Actify. This program has been well received, and we look forward to continuing to not only grow our account base, but use programs like these to deepen our penetration in existing accounts.

Mark Foley: Through that end, physicians report that patients in their second and third treatment cycles are experiencing long duration and a safety profile consistent with our Phase 3 Aspen Program.

Mark Foley: In preview, Daxify was shown to deliver 12 plus weeks of sustained symptom control for patients that previously had experienced early symptom breakthrough with conventional toxins and up to 16 weeks or more for many other patients. The majority of these early pre-U accounts are also now purchasing Daxify. In the second quarter, we also added a greater number of new accounts to our existing preview injectors, and of the total number of accounts that have ordered to date, over 40% have already reordered Daxify a second time.

Mark Foley: In preview, Dactify was shown to deliver 12-plus weeks of sustained symptom control for patients that previously had experienced early symptom breakthrough with conventional toxins and up to 16 weeks or more for many other patients.

Mark Foley: Now, let me turn to our therapeutic franchise.

Mark Foley: In May, we announced the commercial launch of Actify for the treatment of cervical dystonia, marking our entry into the $2.7 billion US therapeutic neurotoxin market. As such, Actify for cervical dystonia provides a significant opportunity for revamps and marks the culmination of our decades-long mission to bring our unique innovation to the therapeutic market. Although toxins remain the standard of care for cervical dystonia, patient struggle to achieve sustained symptom relief in between treatments.

Mark Foley: The majority of these early preview accounts are also now purchasing Daxify. In the second quarter, we also added a greater number of new accounts to our existing preview injectors, and of the total number of accounts that have ordered to date, over 40% have already reordered Daxify a second time. On the payer and reimbursement front, taxes to Daxify continues to increase, reaching more than 240 million lives covered, with commercial coverage increased to 84% of total lives. Additionally, Daxify is in place on the national formulary for the Department of Veterans Affairs and Department of Defense. And Daxify for cervical dystonia is also covered by each of the 12 Medicare Administrative Contractors, with greater than 30 million Medicaid, Medicaid lives now covered.

Speaker Change: The majority of these early preview accounts are also now purchasing Daxify.

Mark Foley: In the second quarter, we also added a greater number of new accounts to our existing pre-view injectors and of the total number of accounts that have ordered today over 40% have already reordered dacified the second time.

Mark Foley: On the payer and reimbursement front, access to Daxify continues to increase, reaching more than 240 million lives covered, with commercial coverage increased to 84% of total lives. Additionally, DACIFI has been placed on the national formulary for the Department of Veterans Affairs and Department of Defense, and Daxify for Cervical Dystonia is also covered by each of the 12 Medicare Administrative Contractors, with greater than 30 million Medicaid lives now covered. While we continue to make major strides in our mission to bring Daxify to underserved U.S. cervical dystonia patients, we continue to anticipate that initial revenues will be modest, given the conservative nature of treating physicians, reimbursement dynamics, and the CD market size. Longer term, we remain bullish on Daxify's potential in the servable Estonian market and in subsequent therapeutic indications. Now, I will hand the call over to Toby to cover our second quarter financials.

Mark Foley: On the payer and reimbursement front, access to Daxify continues to increase, reaching more than 240 million lives covered, with commercial coverage increased to 84% of total lives.

Mark Foley: This is due to the fact that toxin treatment can only occur every 12 weeks based on product labeling and reimbursement guidelines, even though the therapeutic benefit of current toxins typically wears off 8-10 weeks after injection. As a result, this frequently leaves patients with unmanaged symptoms that can lead to significant pain, social stigma, and the inability to drive a work.

Mark Foley: Additionally, DACSify has been placed on the National Formulary for the Department of Veteran Affairs and Department of Defense.

Mark Foley: And Daxify for Cervical Dystonia is also covered by each of the 12 Medicare Administrative Contractors with greater than 30 million Medicaid lives now covered.

Mark Foley: Well, we continue to make major strides in our mission to bring Daxify to underserved UF cervical dystonia patients. We continue to anticipate that initial revenues will be modest given the conservative nature of treating physicians, reimbursement dynamics, and CD market size. Longer term, we remain bullish on Daxify's potential in the cervical dystonia market and in subsequent therapeutic indications.

Mark Foley: Actify the first and only peptide formulated, long-lasting neurotoxin that offers the potential to improve the duration of symptom control with a favorable safety profile, providing patients and physicians with a compelling new treatment option for a painful and disabling chronic condition. Following our CD approval in August 2023, we launched a preview relay experience program with the objective of optimizing treatment outcomes and ensuring smooth practice integration. In May, we announced our full U.S, commercial launch.

Mark Foley: Well, we continue to make major strides in our mission to bring dacified underserved U.S. cervical dystonia patients. We continue to anticipate that initial revenues will be modest, given the conservative nature of treating physicians, reimbursement dynamics, and feedy market size.

Mark Foley: Longer term, we remain bullish on dactivized potential in the survival of the Sonia market and in subsequent therapeutic indications.

Tobin Schilke: Now, let me hand the call over to Toby to cover our second quarter financials. Thank you, Mark. Our press release and our Form 10-Q detail our financial results in full. So I will only go over the highlights on this call. Total net revenue for the second quarter ended June 30, 2024, was 65.4 million dollars compared to 54.4 million dollars for the same period in 2023, representing an increase of 20%. Due to an increase of Daxify and RHA collection volumes despite a soft dollar market, net revenue for the second quarter ended June 30, 2024 included 36.6 million dollars of RHA collection revenue, 28.7 million dollars of Daxify revenue.

Mark Foley: Now, let me hand the call over to Toby to cover our second quarter financials.

Toby Schilke: Thank you, Mark. Our press release and our Form 10-Q detail our financial results in full, so I will only go over the highlights on this call.

Toby: Thank you, Mark. Our press release and our form 10QDTL, our financial results and full. So I will only go over the highlights in this call.

Mark Foley: The initial mark response has been encouraging and supportive of our hepatophysis that there's an unmet need for a long-lasting neurotoxin to address the large percentage of patients with symptom breakthrough on current toxin regimen. Furthermore, preview practices continue to treat patients and, importantly, continue to report compelling clinical results with Daxify. To that end, physicians report that patients in their second and third treatment cycles are experiencing long duration and a safety profile consistent with our phase three Aspen program.

Toby Schilke: Total net revenue for the second quarter ended June 30, 2024, was $65.4 million, compared to $54.4 million for the same period in 2023, representing an increase of 20% due to an increase in DAXify and RHA collection volumes, despite a soft dollar market. Net revenue for the second quarter ended June 30, 2024 included $36.6 million of RHA collection revenue and $28.7 million of Daxapai revenue. Additionally, we have $0.1 million of collaboration revenue amortized from our deferred revenue balance related to our VHS collaboration.

Toby: Total net revenue for the second quarter ended June 30, 2024, was $65.4 million, compared to $54.4 million for the same period in 2023.

Toby: Representing an increase of 20%, due to an increase of taxifi and RHA collection volumes, despite a soft filler market.

Toby: Net revenue for the second quarter and a June 30th, 2024 included $36.6 million of RHA Collection revenue.

Mark Foley: In preview, Daxify was shown to deliver 12 plus weeks of sustained symptom control for patients that previously had experienced early symptom breakthrough with conventional toxins, and up to 15 weeks or more for many other patients. The majority of these early preview accounts are also now purchasing Daxify. In the second quarter, we also added a greater number of new accounts to our existing preview injectors and of the total number of accounts that have ordered to date over 40% have already reordered Daxify second time.

Tobin Schilke: Additionally, we had 0.1 million dollars of collaboration revenue, advertised from our deferred revenue balance related to our VHS collaboration. Total net revenue for the six months ended June 30, 2024, was 117.3 million dollars compared to 100.2 million dollars for the same period in 2023. Total gap operating expenses for the three and six months ended June 30, 2024, were 99.9 million and 198.7 million dollars, respectively. Excluding the cost of product revenue, stock-based compensation, depreciation and amortization, non-GAAP operating expenses for the three in six months and a June 30th, 2024 for $74.8 million and $148.5 million respectively.

Toby: $28.7 million of Daxapai revenue. Additionally, we had $0.1 million of collaboration revenue amortized from our deferred revenue balance related to our Beatrice collaboration.

Toby Schilke: Total net revenue for the six months ended June 30, 2024 was $117.3 million, compared to $100.2 million for the same period in 2023. Total GAAP operating expenses for the three and six months ended June 30, 2024 were $99.9 million and $198.7 million, respectively, excluding the cost of product revenue, stock-based compensation, depreciation, and amortization. Non-GAAP operating expenses for the three and six months ended June 30, 2024 were $74.8 million and $148.5 million, respectively.

Mark Foley: Total net revenue for the six months ended June 30, 2024 was $117.3 million, compared to $100.2 million for the same period in 2023.

Mark Foley: On the payer and reimbursement front, taxes to Daxify continues to increase, reaching more than 240 million lives covered, with commercial coverage increased to 84% of total lives. Additionally, Daxify has been placed on the national formulary for the Department of Veteran Affairs and Department of Defense. And Daxify for cervical dystonia is also covered by each of the 12 Medicare Administrative Contractors with greater than 30 million Medicaid, Medicaid lives now covered.

Toby: Total GAAP operating expenses for the three and six months ended June 30, 2024, were $99.9 million and $198.7 million, respectively.

Toby: excluding the cost of product revenue.

Toby: Stock-based compensation, depreciation and amortization, non-GAAP operating expenses for the three and six months ended June 30, 2024, were $74.8 million and $148.5 million, respectively.

Mark Foley: While we continue to make major strides in our mission to bring Daxify to underserved UF cervical dystonia patients, we continue to anticipate that initial revenues will be modest, given the conservative nature of treating physicians, reimbursement dynamics, and CD market size. Longer term, we remain bullish on Daxify's potential in the cervical dystonia market and in subsequent therapeutic indications.

Tobin Schilke: Revance continues to expect 2024 total net product revenue, which includes sales of Daxify and RHA Collection to be at least $280 million. Revance now expects 2024 gap operating expenses from its continuing operations to be between $430 million to $460 million, down from $460 million to $490 million. This updated outlook is primarily driven by lower actual and projected stock-based compensation. Revance expects our non-GAAP operating expenses from continuing operations to be in the lower end of a range of $290 million to $310 million. Revance continues to expect non-GAAP SG&A expenses from continuing operations to be between $240 million and $255 million.

Toby Schilke: Revance continues to expect 2024 total net product revenue, which includes sales of Daxify and the RHA Collection, to be at least $280 million. Revance now expects 2024 GAAP operating expenses from its continuing operations to be between $430 million and $460 million, down from $460 million to $490 million. This updated outlook is primarily driven by lower actual and projected stock-based compensation.

Toby: Reavance Continues to expect 2024 total net product revenue, which includes sales of taxidify and RAJ collection to be at least $280 million.

Toby: Revance now expects 2024 GAAP operating expenses from its continuing operations to be between $430 million to $460 million, down from $460 million to $490 million.

Tobin Schilke: Now, let me hand the call over to Toby to cover our second quarter financials. Thank you, Mark. Our press release and our form 10Q detail, our financial result in full. So I will only go over the highlights on this call.

Toby: This updated outlook is primarily driven by lower actual and projected stock-based compensation.

Tobin Schilke: Total net revenue for the second quarter ended June 30, 2024 was $65.4 million compared to $54.4 million for the same period in 2023. Representing an increase of 20% due to an increase of Daxify and RHA collection volumes despite a soft dollar market. Net revenue for the second quarter ended June 30, 2024 included $36.6 million of RHA collection revenue, $28.7 million of Daxify revenue. Additionally, we had $0.1 million of collaboration revenue, advertised from our deferred revenue balance related to our VHS collaboration.

Toby Schilke: Revance expects our non-GAAP operating expenses from continuing operations to be in the lower end of a range of $290 million to $310 million. Revance continues to expect non-GAAP SG&A expenses from continuing operations to be between $240 to $255 million. On the balance sheet side, our current cash position, $232.2 million of cash, cash equivalents, and short-term investments as of June 30, 2024, in combination with our operating plan, provides us with multiple levers to achieve positive adjusted EBITDA in 2025. Finally, Revance's shares of common stock outstanding as of July 31, 2024, were approximately $104.8 million, with approximately $113.8 million fully diluted shares, excluding the impact of convertible debt

Revance: Revenge expects our non-gap operating expenses from continuing operations to be in the lower end of a range of $290 million to $310 million.

Toby: Revenge continues to expect non-gap SGNA expenses from continuing operations to be between $240 to $255 million.

Tobin Schilke: On the balance sheet side, our current cash position, $232.2 million of cash equivalents and short-term investments as of June 30th, 2024. In combination with our operating plan, provides us with multiple levers to achieve positive adjusted EBITDA in 2025.

Toby: On the balance sheet side, our current cash position, $232.2 million of cash, cash equivalents, and short-term investments.

Toby: As of June 30, 2024, in combination with our operating plan, provides us with multiple levers to achieve positive adjusted EBITDA in 2025.

Tobin Schilke: Total net revenue for the six months ended June 30, 2024 was $117.3 million compared to $100.2 million for the same period in 2023. Total gap operating expenses for the three and six months ended June 30, 2024 were $99.9 million and $198.7 million respectively. Excluding the cost of product revenue, stock-based compensation, depreciation and amortization, non-gap operating expenses for the three and six months and a June 30th, 2024 for 74.8 million and 148.5 million dollars respectively.

Tobin Schilke: Finally, Revance shares of common stock outstanding as of July 31st, 2024 were approximately $104.8 million, with approximately $113.8 million fully-deadloaded shares, excluding the impact of convertible debt.

Toby: Finally, revampus shares a common stock outstanding as of July 31st, 2024, or approximately 104.8 million.

Toby: with approximately 113.8 million fully deadlooted shares, excluding the impact of convertible debt.

Mark Foley: And with that, I'll turn the call back over to Mark.

Mark Foley: And with that, I'll turn the call back over to Mark. Thank you, Toby. In the second half of 2024, we remain focused on delivering net product revenue of at least $280 million, while managing spend to reach positive adjusted EBITDA in 2025. We are encouraged by the unit and sales gains across the DACSifying the RHA collection, and by the early response we are seeing toward cervical dystonia launch and therapeutics. In short, we are focused on execution, and I'm delivering on our stated goals.

Toby: And with that, I'll turn the call back over to Mark.

Mark Foley: Thank you, Toby. In the second half of 2024, we remain focused on delivering net product revenue of at least $280 million while managing spend to reach positive adjusted EBITDA in 2025. We are encouraged by the unit and sales gains across both Vaxify and the RHA collection and by the early response we are seeing towards the cervical dystonia launch and therapeutics. In short, we are focused on execution and on delivering on our stated goals. With that, I will now open the call up for questions. Operator?

Mark Foley: Thank you, Toby. In the second half of 2024, we remain focused on delivering net product revenue of at least $280 million.

Speaker Change: while managing spend to reach positive adjusted EBITDA in 2025.

Speaker Change: We are encouraged by the unit and sales gains across blood-dactifying the RHA collection, and by the early response we are seeing toward cervical dystonia launch and therapeutics.

Tobin Schilke: Revance continues to expect 2024 total net product revenue which includes sales of Daxify and RHA collection to be at least $280 million. Revance now expects 2024 gap operating expenses from its continuing operations to be between $430 million to $460 million down from $460 million to $490 million. This updated outlook is primarily driven by lower actual and projected stock-based compensation. Revance expects our non-gap operating expenses from continuing operations to be in the lower end of a range of $290 million to $310 million. Revance continues to expect non-gap SGNA expenses from continuing operations to be between $240 million to $255 million.

Operator: With that, I will now open the call up for questions. Operator? We'll now begin the QA session. If you would like to ask a question, please press star followed by one, or your touchstone keypad. If, for any reason, you'll like to remove that question, please press star followed by two. Again, to ask a question, press star one. As a reminder, if you are using a speaker phone, please remember to pick up your hands before asking your question.

Operator: We will now begin the Q&A session. If you would like to ask a question, please press star followed by 1 on your touchtone keypad. If for any reason you would like to remove that question, please press star followed by 2. Again, to ask a question, press star 1. As a reminder, if you are using a speakerphone, please remember to pick up your handset before asking your question. We will pause here briefly to allow questions to come in. The first question comes from Belana Seamus Fernandez with Guggenheim. Please proceed.

Speaker Change: We will now begin the Q&A session. If you would like to ask a question, please press star followed by 1 on your touchtone keypad.

Mark Foley: If for any reason you would like to remove that question, please press star followed by 2. Again, to ask a question, press star 1.

Speaker Change: As a reminder, if you are using a speakerphone, please remember to pick up your handset before asking your question.

Operator: We will policy it briefly to allow questions to generate and kill.

Toby: We will pause here briefly to allow questions to generate in queue.

Seamus Fernandez: The first question comes from the line of CNUS Fernandez with Google 9. Please proceed. Thanks for the question. We are going to get a sense for how you see us advancing towards the at least $280 million guidance number. Third quarter historically has been a challenging quarter for aesthetics, but we're a good way through the third quarter. Just trying to get a sense of how you think the third quarter, how we should be thinking about that, kind of a flat quarter of a quarter with the second quarter, or should we interstate that it could be down somewhat, which certainly would imply a robust step-up in the fourth quarter to make that $280 million revenue number on the basis of the regular way business.

Speaker Change: The first question comes from Belana Seamus Fernandez with Guggenheim.

Seamus Fernandez: Thanks for the question. So just wanted to get a sense for how you see us advancing towards the at least $280 million guidance number. You know, the third quarter historically has been a challenging quarter for aesthetics, but we're a good way through the third quarter.

Sly: Sly for C.

Speaker Change: Oh, thank you.

Speaker Change: Thanks for the question. So, just wanted to get a sense for how

Speaker Change: You see us advancing towards the at least $280 million guidance number. You know, third quarter historically has been a challenging quarter for aesthetics, but we're a good way through the third quarter. So just trying to get a sense of how.

Tobin Schilke: On the balance sheet side, our current cash position, $232.2 million of cash equivalent and short-term investments as of June 30th, 2024, in combination with our operating plan, provides us with multiple levers to achieve positive adjusted EBITDA in 2025.

Mark Foley: So just trying to get a sense of how you think the third quarter, you know, what we should be thinking about that, kind of a flat quarter of a quarter compared to the second quarter. Or should we anticipate that it could be down somewhat, which certainly would imply a robust, you know, step up in the fourth quarter to make that $280 million revenue number on the basis of the regular way business?

Speaker Change: You think the third quarter, you know, how we should be thinking about that, you know, kind of a flat quarter of a quarter with the second quarter.

Speaker Change: or should we anticipate that it could be down somewhat.

Tobin Schilke: Finally, revance shares of common stock outstanding as of July 31st, 2024, were approximately $104.8 million with approximately $113.8 million fully deadloaded shares, excluding the impact of convertible debt.

Speaker Change: which certainly would imply a robust, you know, step up in the fourth quarter to make that $280 million revenue number on the basis of the regular way business. So just trying to get a better sense of what proportion of that or how we should be thinking about that.

Seamus Fernandez: Just trying to get a better sense of portion of that, or how we should be thinking about that sequentially. Then, you know, separately, can you just help us understand a little bit better how we're likely to see with the additional coverage, the VA coverage. Do you see that as an opportunity to accelerate the therapeutic opportunity into 2024, or should we still be thinking about 24 as a very modest contribution?

Mark Foley: So just trying to get a better sense of what proportion of that or how we should be thinking about that sequentially. And then, separately, can you just help us understand a little bit better what we're likely to see with the additional coverage, the VA coverage? Do you see that as an opportunity to accelerate the therapeutic opportunity into 2024, or should we still be thinking about 2024 as a very modest contribution? Thanks.

Speaker Change: Sequentially, and then you know, separately can you just help us understand a little bit better that how we're likely to see the additional coverage, the VA coverage.

Mark Foley: And with that, I'll turn the call back over to Mark. Thank you, Toby.

Mark Foley: In the second half of 2024, we remain focused on delivering net product revenue of at least $280 million, while managing spend to reach positive adjusted EBITDA in 2025. We are encouraged by the unit and sales gains across the DACSifying the RHA collection and by the early response we are seeing toward cervical dystonia launch and therapeutics. In short, we are focused on execution and I'm delivering on our stated goals.

Speaker Change: Do you see that as an opportunity to accelerate the therapeutic opportunity into 2024 or should you still be thinking about 2024 as a very modest contribution? Thanks.

Seamus Fernandez: Thanks.

Tobin Schilke: Great. Thanks, Shem. So, on your first question, in terms of how to think about the 280 and how to model that, you know, we don't give quarterly guidance, but as we sit here today through the end of Q2, we've delivered kind of roughly 40% of that number, and so we're looking to deliver 60% in the back half.

Mark Foley: Great, thanks, Seamus. So on your first question in terms of, you know, how to think about the 280 and sort of how to model that, as you know, we don't give quarterly guidance. But, you know, as we sit here today, through the end of Q2, we've delivered, you know, kind of roughly 40% of that number. And so we're looking to deliver 60% in the back half. You know, I would break it into components; the RHA is a little bit more mature product line for us.

Speaker Change: Great. Thanks, Seamus. So on your first question in terms of, you know, how to think about the 280 and sort of how to model that, as you know, we don't give quarterly guidance, but, you know, as we sit here today through the end of Q2, we've delivered, you know, kind of roughly 40% of that number. And so we're looking to deliver 60% in the back half.

Operator: With that, I will now open the call up for questions. Operator? We will now begin the QA session. If you would like to ask a question, please press star followed by one or your touchstone keypad. If for any reason you would like to remove that question, please press star followed by two. Again, to ask a question, press star one. As a reminder, if you are using a speaker phone, please remember to pick up your hands up before asking your question. We will policy a briefly to allow questions to generate and kill.

Tobin Schilke: You know, I would break it into components. RHA is a little bit more mature product line for us, and so that's going to move a little bit more consistently. With the normal seasonality of the business plus some growth in it, whereas obviously where we are with Daxify and the new pricing and the messaging that we have, and given that we're in a smaller number of accounts, we would expect to see, you know, sequential growth quarter on quarter with, you know, Q4, you know, seasonally being the largest quarter of the year. And so, we, you know, we like where we're positioned, we're very pleased with the Q2 that we delivered, and so that's kind of how we think about moving through the balance of the year.

Speaker Change: Um...

Speaker Change: You know, I would break it into components, RHA is a little bit more mature product line for us, and so that's gonna...

Speaker Change: Move a little bit more consistently.

Seamus Fernandez: And so that's going to move a little bit more consistently with the normal seasonality of the business, plus some growth in it. Whereas, obviously, where we are with Daxify, and the new pricing and the messaging that we have, and given that we're in a smaller number of accounts, we would expect to see, you know, sequential growth quarter on quarter, with, you know, Q4, seasonally, being the largest quarter of the year.

Speaker Change: with the normal seasonality of the business plus some growth in it.

Speaker Change: Whereas obviously where we are with Daxify and the new pricing and the messaging that we have, and given that we're in a smaller number of accounts, we would expect to see sequential growth quarter on quarter. With Q4 seasonally being the largest quarter of the year, and so we like where we're positioned, we're very pleased with the Q2 that we delivered. And so that's kind of how we think about moving through the balance of the year.

Seamus Fernandez: The first question comes from Belana of CNUS Fernandez with Google nine. Please proceed. Oh, thanks for the question. So we are going to get a sense for how you see us advancing towards the at least $280 million guidance number. The third quarter historically has been a challenging quarter for aesthetics, but we are a good way through the third quarter. So just trying to get a sense of how you think the third quarter, how we should be thinking about that, kind of a flat quarter of a quarter with the second quarter.

Seamus Fernandez: And so we, you know, we like where we're positioned, and we're very pleased with the Q2 that we delivered. And so that's kind of how we think about moving through the balance of the year. Also, we've got CD, which is starting to come online, which gets to your second question, but that will obviously start to contribute more as we move to the back half of the year. And that's something that we didn't have in the first half of the year.

Tobin Schilke: Also, we've got CD, which is starting to come online, which gets to your second question, but that will always start to contribute more as we move to the back half of the year, and that's something that we didn't have in the first half of the year. In terms of additional coverage, and you talked about sort of the VA and Department of Defense, I mean, all this is going to help, but yeah, we would expect, you know, the revenue to be modest for therapeutic this year, just even though we've made great strides on the reimbursement side.

Speaker Change: Um...

Speaker Change: Also, we've got CD, which is starting to come online, which gets to your second question, but that will obviously start to contribute more as we move to the back half of the year, and that's something that we didn't have in the first half of the year. In terms of additional coverage, and you talked about sort of the VA and Department of Defense, I mean, all this is going to help, but yeah, we would expect.

Seamus Fernandez: Or should we anticipate that it could be down somewhat would certainly would imply a robust step up in the fourth quarter to make that $280 million revenue number on the basis of the regular way business. So just trying to get a better sense of portion of that or how we should be thinking about that sequentially. And then you know separately can you just help us understand a little bit better the how we're likely to see the with the additional coverage, the VA coverage.

Seamus Fernandez: In terms of additional, you know, coverage, and you talked about sort of the VA and Department of Defense, I mean, all this is going to help. But yeah, we would expect revenue to be modest for therapeutics this year, just even though we've made great strides on the reimbursement side. You know, the priming of the pump and pulling that through on the back end just takes time. And it's a conservative user group that tends to treat a few patients, watch, and make sure that they can get paid because it's buy and bill.

Speaker Change: The revenue to be modest for therapeutic this year, just even though we've made great strides on the reimbursement side.

Tobin Schilke: You know, the priming of the pump in pulling that through on the back and just takes time, and it's a, it's conservative user group that tends to treat a few patients watch, make sure that they can get paid because it's buying bill. And so, again, we really like what we're seeing clinically, but we think the commercial impact from a revenue standpoint will be modest. But obviously, as we move to the balance of the year, we'll start to step up.

Speaker Change: You know, the priming of the pump and pulling that through on the back end just takes time and it's a, it's conservative.

Speaker Change: User Group that tends to treat a few patients, watch, make sure that they can get paid because it's buy and bill. And so, again, we really like what we're seeing clinically, but we think the commercial impact from a revenue standpoint will be modest. But obviously, as we move through the balance of the year, we'll start to step up.

Seamus Fernandez: And so, again, we really like what we're seeing clinically, but we think the commercial impact from a revenue standpoint will be modest. But obviously, as we move through the balance of the year, we'll start to step up.

Seamus Fernandez: Great, and if I can just add one additional question, we're, you know, Galderna is talking about bringing competition into the international markets, international marketplace, and we haven't approval in Australia. Trying to get a sense of how you see the competitive landscape evolving with longer acting, botanolum toxin in the next couple of years. And, you know, do you see a path towards, you know, potentially monetizing your asset and international markets as a right approach, and historically, we've talked about, you know, keeping this as a global brand. As you know, for potential sale should an outside acquirer be interested, but just wondering if non-dilutive efforts are under consideration at this point.

Seamus Fernandez: Great. And if I can just add one additional question,

Speaker Change: Great. And if I can just add one additional question. You know, Galderma is talking about

Seamus Fernandez: Do you see that as an opportunity to accelerate the therapeutic opportunity into 2024 or should we still be thinking about 24 as a very modest contribution. Thanks. Great, thanks, Shamif. So, in your first question, in terms of how to think about the 280 and how to model that, you know, we don't give quarterly guidance but as we sit here today through the end of Q2, we've delivered kind of roughly 40% of that number and so we're looking to deliver 60% in the back half.

Speaker Change: Bringing competition into the international markets, international marketplace, and we have an approval in Australia.

Mark Foley: We're, you know, Galderma is talking about bringing competition into the international markets, the international marketplace, and we have an approval in Australia, trying to get a sense of how you see the competitive landscape evolving with longer-acting botulinum toxins in the next couple of years. And, you know, do you see a path toward, you know, potentially monetizing your asset in international markets as the right approach? I know historically we've talked about keeping this as a global brand as, you know, for potential sale should an outside acquirer be interested. But just wondering if non-dillutive efforts are under consideration at this point. Thanks.

Speaker Change: Trying to get a sense of how you see the competitive landscape evolving with longer acting botulinum toxins in the next couple of years.

Speaker Change: And, you know, do you see a path towards, you know, potentially monetizing?

Seamus Fernandez: You know, I would break it into components, the RHA is a little bit more mature product line for us and so that's going to move a little bit more consistently with the normal seasonality of the business plus some growth in it. Whereas obviously where we are with Daxify and the new pricing and the messaging that we have and given that we're in a smaller number of accounts, we would expect to see, you know, sequential growth quarter on quarter with, you know, Q4, you know, seasonally being the largest quarter of the year.

Speaker Change: You're at that international market as a right approach, and it was historically-

Speaker Change: We've talked about, you know, keeping this as a global brand, as, you know, for potential sale should an outside acquire or be interested, but just wondering if non-valuative efforts are under consideration at this point.

Mark Foley: Thanks.

Mark Foley: Yeah, so why don't I start with the second one first in terms of kind of how we think about, you know, growth opportunities outside of the US. Listen, we're going to continue to be pragmatic and make what we think are good business decisions. We think that, you know, there's certainly huge opportunity outside of the US. We've filed for approval in Australia, and you know, we've demonstrated that with, for example, our folks in partnership that, you know, having the right partnership might make sense, and so we will continue to actively evaluate options on that side of it.

Mark Foley: Yeah, so why don't I start with the second one first, in terms of how we think about, you know, growth opportunities outside of the US. Listen, we're going to continue to be pragmatic and make what we think are good business decisions. We think that, you know, there's certainly a huge opportunity outside of the US; we've filed for approval in Australia. And, you know, we've demonstrated that, with, for example, our FOSEN partnership, that, you know, having the right partnership might make sense.

Speaker Change: Yeah, so why don't I start with the second one first in terms of kind of how we think about, you know, growth opportunities outside of the U.S. Listen, we're going to continue to be pragmatic and make what we think are good business decisions. We think that, you know, there's certainly huge opportunity outside of the U.S. We've filed for approval in Australia and, you know, we've demonstrated that with, for example, our FOSUN partnership that

Seamus Fernandez: And so we, you know, we like what we're position, we're very pleased with the Q2 that we delivered and so that's kind of how we think about moving through the balance of the year. Also, we've got CD, which is starting to come online, which gets to your second question, but that will always start to contribute more as we move to the back half of the year and that's something that we didn't have in the first half of the year.

Speaker Change: You know, having the right partnership might make sense and so we will continue to actively evaluate.

Mark Foley: And so we will continue to actively evaluate options on that side of it. And, you know, if it turns out that going down that path makes more sense for the business, then that's an option for us, certainly on that side of it.

Speaker Change: Options on that side of it, and you know if it turns out that.

Seamus Fernandez: In terms of additional, you know, coverage and you talked about sort of the VA and department of defense. I mean, all this is going to help, but yeah, we would expect, you know, the revenue to be modest for therapeutic this year. Just even though we've made great strides on the reimbursement side, you know, the priming of the pump in pulling that through on the back and just takes time and it's a, it's conservative user group that tends to treat a few patients watch, make sure that they can get paid because it's buying bill.

Speaker Change: Going down that path, we think makes more sense for the business, then that's an option for us, certainly on that side of it.

Mark Foley: And again, we, you know, as we kind of get a little bit more mature in the US market, it's, we think it's also going to enhance sort of the value and the opportunity internationally.

Speaker Change: And again, we, you know, as we kind of.

Speaker Change: Get it!

Speaker Change: A little bit more mature in the U.S. markets, we think it's also going to enhance the value and the opportunity internationally.

Mark Foley: In terms of competition on the long acting side, listen, we think that right now, anything that raises visibility to the opportunity to have a longer lasting product is going to sort of lift all boats on that side of it. So we would welcome that dialogue and discussion. The great thing about the act if I is it's more than if there's a lot more about the product and gesturation given the peptide formulation. What we're seeing is not just, you know, fast onset, but really the skin quality effect that we think is unique. And, as we've described before, we're able to get the extended duration with the same amount of core toxin.

Speaker Change: In terms of competition on the long acting side, listen, we think that right now anything that raises visibility to the opportunity to have a long-relasting product is going to sort of lift all boats on that side of it, so we would welcome that dialogue and discussion that the great thing about the actify is it's more than...

Seamus Fernandez: And so again, we really like what we're seeing clinically, but we think the commercial impact from revenue standpoint will be modest, but obviously as we move to the balance of the year, we'll start to step up. Great, and if I can just add one additional question, we're, you know, Galderna is talking about bringing competition into the international markets, international marketplace, and we have an approval in Australia. Trying to get a sense of how you see the competitive landscape evolving with longer acting, botanolum toxin.

Speaker Change: There's a lot more about the product than just duration. Given the peptide formulation, what we're seeing is not just fast onset, but really the skin quality effect that we think is unique. And as we've described before, we're able to get the extended duration.

Mark Foley: And again, we, you know, as we kind of get a little bit more mature in the US market, it's, we think it's also going to enhance the value and the opportunity internationally. In terms of competition on the long-acting side, listen; we think that right now, anything that raises visibility for the opportunity to have a longer-lasting product is going to sort of lift all boats on that side of it. So we would welcome that dialogue and discussion.

Seamus Fernandez: The great thing about Daxify is that it's more than just duration. Given the peptide formulation, what we're seeing is not just, you know, fast onset, but really the skin quality effect that we think is unique. And as we've described before, we're able to get the extended duration with the same amount of core toxin. And why is that important?

Mark Foley: And why is that important? Well, it's important because as you start to increase the amount of toxin that you deliver in order to get extended duration, you have the ability to potentially lose control over where it goes and sort of the look that you're going for. And so the nice thing with the actifies of those that are working on longer acting, we've not heard anything fundamentally different about the actual formulation itself. And so again, we think it's going to help grow that overall category, and given our novel peptide formulation, we think we're going to be really well positioned.

Mark Foley: Well, it's important because as you start to increase the amount of toxin that you deliver in order to get an extended duration, you have the ability to potentially lose control over where it goes and sort of the look that you're going for. And so the nice thing with Daxify is that of those that are working on longer acting, we've not heard anything fundamentally different about the actual formulation itself. And so, again, we think it's going to help grow that overall category.

Speaker Change: with the same amount of core toxins, and why is that important? Well, it's important because

Speaker Change: As you start to increase the amount of toxin that you deliver in order to get extended duration,

Speaker Change: You have the ability to potentially lose control over where it goes and sort of the look that you're going for.

Seamus Fernandez: In the next couple of years and, you know, do you see a path towards, you know, potentially monetizing your asset and international markets as a right approach. And historically, we've talked about, you know, keeping this as a global brand. As, you know, for potential sale should an outside acquirer be interested, but just wondering if non-dilutive efforts are under consideration at this point. Thanks.

Speaker Change: The nice thing with Daxify is, of those that are working on longer acting, we've not heard anything fundamentally different about the actual formulation itself, and so, again, we think it's going to help grow that overall category, and given our novel peptide formulation, we think we're going to be really well positioned.

Mark Foley: And given our novel peptide formulation, we think we're going to be really well positioned. So, yes, international provides a good opportunity for us in terms of the different ways that we think about it. And we actually think that more people talking about long duration is going to be a good tailwind for us. Right. Thanks, guys.

Seamus Fernandez: So yes, international provides a good opportunity for us in terms of the different ways that we think about it. And we actually think that more people talking about long duration is going to be a good tailwind for us. Great, thanks, guys. Thanks again.

Speaker Change: Yes, international provides a good opportunity for us in terms of the different ways that we think about it. And we actually think that more people talking about long duration is going to be a good tailwind for us.

Seamus Fernandez: Right. Thanks, guys. Thank you.

Speaker Change: Great. Thanks, guys. Thanks, Jeff.

Mark Foley: Yeah, so why don't I start with the second one first in terms of kind of how we think about, you know, growth opportunities outside of the US. Listen, we're going to continue to be pragmatic and make we think are good business decisions. We think that, you know, there's certainly huge opportunity outside of the US. We've filed for approval in Australia and, you know, we've demonstrated that with, for example, our folks in partnership that, you know, having the right partnership might make sense.

Operator: Thank you.

Chris Shibutani: The next question comes from the line of Chris Shibutani with Goldman Sachs. Please proceed. Great, thank you very much. A couple of questions in terms of your margins and spending. On a margin front, can you just give us a sense? It looks like you're trying to be very mindful of operating expenses because I think going to that snippets break even line. Maybe help us understand how gross margins are progressing and what factors perhaps might be in there as you're increasing. I would presume some of your volumes in anticipation of therapeutic launch. And then secondly, on the marketing effort and spend, your commentary included the launch of what seems to be sort of a bundling type approach.

Operator: The next question comes from the line of Chris Shibutani with Goldman Sachs. Please proceed.

Speaker Change: Thank you.

Speaker Change: The next course then comes from the line of Chris Shabbantim with Goldman Sachs, please proceed.

Chris Shibutani: Great, thank you very much. I have a couple of questions in terms of your margins and spending. On the margin front, can you just give us a sense of how you're trying to be very mindful of operating expenses because I think going to that EBITDA breakeven line might help us understand how gross margins are, you know, progressing and and what factors perhaps might be in there as you're increasing, I would presume, some of your volumes in anticipation of the therapeutics launch.

Chris Shabbantim: Great, thank you very much. A couple of questions in terms of your margins and spending. On the margin front, can you just give us a sense, it looks as if you're trying to be very mindful of operating expenses, because I think going to that EBITDA break-even line, maybe help us understand how gross margins are, you know,

Mark Foley: And so we will continue to actively evaluate options on that side of it. And, you know, it turns out that going down that path, we think makes more sense for the business. And that's an option for certainly on that side of it. And again, we, you know, as we kind of get a little bit more mature in the US market. It's, we think it's also going to enhance sort of the value and the opportunity internationally.

Speaker Change: Progressing, and what factors perhaps might be in there as you're increasing.

Chris Shibutani: And then secondly, on the marketing effort and spend, your commentary included the launch of what seems to be sort of more of a bundling type approach. Can you help us understand whether that is influencing the shape of spending as we think about, you know, the next several quarters going forward? Obviously, there would theoretically be a good return on that as a strategy familiar to the marketplace, but help us understand some of the push and pull across that, achieving the EBITDA breakeven at a gross margin level, and then the spending on marketing. Thank you.

Speaker Change: I would presume some of your volumes in anticipation of therapeutics launch.

Speaker Change: And then secondly, on the marketing effort and spend, your commentary included the launch of what seems to be sort of more of a bundling type approach.

Mark Foley: In terms of competition on the long acting side. Listen, we think that right now anything that raises visibility to the opportunity to have a longer lasting product is going to sort of lift all boats on that side of it. So we would welcome that dialogue and discussion. The great thing about the act if I is it's more than if there's a lot more about the product and gesturation given the peptide formulation.

Chris Shibutani: Can you help us understand whether that is influencing the shape of spending as we think about the next several quarters going forward? Obviously, there would theoretically be a good return on that as a strategy familiar to the marketplace, but help us understand some of the push goals across that achieving the EBITDA break even at a gross margin level. And then the spending market. Thank you.

Speaker Change: Can you help us understand whether that is influencing the shape of spending, as we think about the next several quarters going forward, obviously, there would theoretically be a good return on that as a strategy to familiar to the marketplace, but help us understand some of the push goals across that.

Mark Foley: What we're seeing is not just, you know, fast onset, but really the skin quality effect that we think is unique. And as we've described before, we're able to get the extended duration with the same amount of core toxin and why is that important. Well, it's important because as you start to increase the amount of toxin that you deliver in order to get extended duration, you, you have the ability to potentially lose control over where it goes and sort of the look that you're going for.

Speaker Change: Achieving the EBITDA break even at the gross margin level and then the spend day prom market. Thank you.

Tobin Schilke: Great, thanks, Chris.

Mark Foley: Great, thanks, Chris. Toby, why don't I turn it over to you to talk about the margin, the spending growth margin, a little bit about marketing, and then I can build on that in terms of marketing in terms of the programs and what we're seeing.

Tobin Schilke: Toby, why don't I turn it over to you to talk about the margin spend gross margin a little bit on the marketing, and then I can build on that on the marketing in terms of the programs and what we're seeing. Perfect. Thanks. Great question, Chris. So, you know, we reported about 73% gross margin and about 72% for the first half of 2024. When you take into account the zero cost inventory associated with Daxify that was expense prior to approval, gross margin profiles within sort of around 70% combined for RHA and Daxify. And as you think about the levers to improve that margin, which we've long term guided to over 80%.

Toby: Great, thanks Chris. Toby, why don't I turn it over to you to talk about the margin, the spending growth margin, a little bit on the marketing, and then I can build on that on the marketing in terms of the programs and what we're seeing.

Toby Schilke: Perfect. Thanks. Great question, Chris.

Toby: Perfect. Thanks. Great question, Chris. So, you know, we reported about 73% gross margin and about 72% for the first half of 2024.

Mark Foley: And so the nice thing with the actifies of those that are working on longer acting, we've not heard anything fundamentally different about the actual formulation itself. And so again, we think it's going to help grow that overall category and given our novel peptide formulation, we think we're going to be really well positioned. So yes, international provides a good opportunity for us in terms of the different ways that we think about it. And we actually think that more people talking about long duration is going to be a good tailwind for us. Great, thanks guys, thanks again. Thank you.

Toby Schilke: So, you know, we reported about 73% gross margin and about 72% for the first half of 2024. Taking into account the zero cost inventory associated with Daxify that was expensed prior to approval, the gross margin profile is within sort of around 70% combined for RHA and Daxify. And as you think about the levers to improve that margin, which we've long-term guided to over 80%, it's twofold. One is the volume shift towards Daxify, which is a higher margin product than RHA. RHA, we partner with Teoxane SA.

Speaker Change: When you take into account the zero cost inventory associated with Daxify that was expensed prior to approval, gross margin profile is within sort of around 70% combined for RHA and Daxify.

Toby Schilke: And so that is generally at a fixed gross margin because that's how they get their economics for the innovation that they have brought in the RHA collection of fillers. So as the mix shifts and Daxify continues to grow in terms of volume, you will see that margin increase that way. Secondly, drilling down into Daxify, we've taken steps and invested over the last several years to move Daxify to more efficient production methods.

Speaker Change: And as you think about the levers to improve that margin, which we've long term

Tobin Schilke: It's twofold. One is the volume shift towards Daxify, which is a higher margin product than RHA RHA. Today, we partner with Tiaxane SA. And so that is generally at a fixed gross margin because that's how they get their economics for the innovation that they have brought in the RHA collection of pillars. So, as the mix shifts and Daxify continues to grow in terms of volume, you will see that margin increase that way. Secondly, drilling down into Daxify, we've taken steps and invested over the last several years to move Daxify to more efficient production methods. So as we scale our production in AG in the US, our contract manufacturer, and then also further on as we get approved in LSD PCI facility in New Hampshire, we'll be able to further improve our gross margins with Daxify with the size and scale from those facilities that they're able to produce versus our facility in New York.

Speaker Change: Guided to over 80%.

Speaker Change: It's twofold. One is the volume shift towards Daxify, which is a higher margin product than RHA.

Speaker Change: RHA we partner with Teoxane SA and so that is that is generally at a fixed gross margin because that's how they get their economics for the innovation that they have brought in the RHA collection of fillers

Chris Shibutani: The next question comes from the line of Chris Shibutani with Goldman Sachs, please proceed. Great, thank you very much. A couple of questions in terms of your margins and spending. On a margin front, can you just give us a sense it looks like you're trying to be very mindful of operating expenses, because I think going to that maybe help us understand how gross margins are progressing and what factors perhaps might be in there as you're increasing.

Speaker Change: So, as the mix shifts and Daxapai continues to grow in terms of volume, you will see that margin increase that way.

Speaker Change: Secondly, drilling down into Daxapai, we've taken steps and invested over the last several years to move Daxapai to more efficient production methods.

Toby Schilke: So as we scale our production in Aji in the U.S., our contract manufacturer, and then also further on as we get approved for the Ellesmere PCI facility in New Hampshire, we'll be able to further improve our gross margins with Daxify due to the size and scale of those facilities that they're able to produce versus our facility in Newark, and then on marketing

Speaker Change: As we scale our production in Aji, in the U.S., our contract manufacturer,

Chris Shibutani: I would presume some of your volumes in anticipation of therapeutic launch. And then secondly, on the marketing effort and spend your commentary included the launch of what seems to be sort of more of a bundling type approach.

Speaker Change: And then also, further on, as we get approved in LS&E PCI facility in New Hampshire, we'll be able to further improve our gross margins with Doxify with the size and scale from those facilities that they're able to produce versus our facility in Newark.

Tobin Schilke: Can you help us understand whether that is influencing the shape of shape of shape? We're just spending as we think about the next several quarters going forward, obviously there would theoretically be a good return on that as a strategy familiar to the marketplace, but help us understand some of the push goals across that achieving the EBITDA break even at a gross margin level. And then the spending market. Thank you. Great. Thanks, Chris.

Mark Foley: And then on the marketing side, Chris, I mean, we sort of have a steady state spend right now on the marketing, and I think programs like we ran in Q1 around the coupon and what you're seeing now with the beauty of savings around portfolio designed to create more leverage and accounts where we already have a relationship. We think is, you know, going to help us drive deeper and create more stickiness in the brand. And so, you know, we obviously can flex that we're using some of these programs to better inform where we want to lean in more, but we like what we're seeing.

Mark Foley: And then on the marketing side, Chris, I mean, we sort of have a steady state spend right now on marketing. And I think programs like we ran in Q1 around the coupon and what you're seeing now with the beauty of savings around the portfolio designed to create more leverage in accounts where we already have a relationship, we think is, you know, going to help us drive deeper and create more stickiness in the brand.

Speaker Change: And then on the marketing side, Chris, I mean, we sort of have a steady state spend right now on the marketing and I think programs like we ran in Q1 around the coupon and what you're seeing now with the beauty of savings around portfolio designed to

Chris Shabbantim: Create more leverage in accounts where we already have a relationship.

Speaker Change: Um, we think is, you know, going to help us drive deeper and create more stickiness in the brand, and so, you know, we obviously can flex that, we're using some of these programs to better inform or we want to lean in more, but we like what we're seeing.

Tobin Schilke: Toby, why don't I turn it over to you to talk about the margin spend gross margin a little bit on the marketing and then I can build on that on the marketing in terms of the programs and what we're seeing. Perfect. Thanks. Great question, Chris. So, you know, we reported about 73% gross margin and about 72% for the first half of 2024. When you take into account the zero cost inventory associated with Daxify that was expense prior to approval gross margin profiles within sort of around 70% combined for RHA and Daxify.

Mark Foley: And we've got a variety of things that we're doing independent of that around social digital because one of the things that we're also starting to see with Daxify is, you know, in the beginning, it was really incumbent around the injector to kind of do a lot of the promotional work. But now its consumers are getting more experiencing or getting more experiencing the benefits of the product. They're asking for it by name. And so, you know, from a KPI standpoint, we're seeing good, healthy growth and awareness. We're seeing good, healthy growth in terms of media share of voice.

Mark Foley: And so, you know, we obviously can flexibly use some of these programs to better inform where we want to lean in more, but we like what we're seeing. And we've got a variety of things that we're doing. And dependent on that around social digital because one of the things that we're also starting to see with Daxify is, you know, in the beginning, it was really incumbent on the injector to kind of do a lot of the promotional work.

Speaker Change: And we've got a variety of things that we're doing independent of that around social, digital.

Speaker Change: Because one of the things that we're also starting to see with Daxify is, you know, in the beginning, it was really

Mark Foley: But now as consumers are experiencing or getting more experienced with the benefits of the product, they're asking for it by name. And so, you know, from a KPI standpoint, we're seeing good, healthy growth and awareness. We're seeing good, healthy growth in terms of media share of voice, and so we're seeing a lot of the desired results. And so we've got a level of sort of steady state marketing built into it that we think is sufficient to drive the revenue growth targets that we have. And we'll continue to optimize that as we move out through the balance of the year.

Speaker Change: incumbent around the injector to kind of do a lot of the promotional work. But now as consumers are getting more experiencing, or getting more experiencing the benefits of the product, they're asking for it by name. And so, you know, from a KPI standpoint, we're seeing

Tobin Schilke: And as you think about the levers to improve that margin, which we've long term guided to over 80%. It's twofold. One is the volume shift towards Daxify, which is a higher margin product than RHA. RHA, we partner with Tiaxane SA. And so that is that is generally at a fixed gross margin because that's how they get their economics for the innovation that they have brought in the RHA collection of pillars. So as the mixed shifts in Daxify continues to grow in terms of volume, you will see that margin increase that way.

Mark Foley: And so we're seeing a lot of the desired results.

Speaker Change: Good, healthy growth and awareness. We're seeing good, healthy growth in terms of media share of voice. And so we're seeing a lot of the desired results. And so we've got amount of sort of steady state marketing built into it that we think sufficient to drive the revenue growth targets that we have. And we'll continue to optimize that as we move out through the balance of the year.

Mark Foley: And so we've got a amount of sort of steady state marketing built into it that we think sufficient to drive the revenue growth targets that we have, and we'll continue to optimize that as we move out through the bounce of the year.

Mark Foley: Thank you, the couple.

Operator: Thanks.

Tobin Schilke: Thank you, Tobin.

Stacy Ku: Thank you.

Speaker Change: Thanks.

Stacy Ku: The next question comes from the line of Stacy Ku with PD Cowan. Please proceed. Thanks so much for taking our questions. We have a few. So first, can you characterize those 3,700 plus accounts that you added for Daxify? That's up from what we believe around 3,500 in Q1.

Operator: The next question comes from the line of Stacy Ku with TD Cowan. Please proceed.

Tobin Schilke: Thank you.

Speaker Change: The next question comes from the line of Stacy Ku with TD Cowan. Please proceed.

Stacy Ku: Hey, thanks so much for taking our questions. We have a few.

Stacy Ku: Hey, thanks so much for taking our questions. We have a few. So first, can you characterize those 3700 plus accounts that you added for Daxify?

Tobin Schilke: Secondly, drilling down into Daxify, we've taken steps and invested over the last several years to move Daxify to more efficient production methods. So as we scale our production in AG in the US, our contract manufacturer, and then also further on, as we get approved in LSD, PCI facility in New Hampshire, we'll be able to further improve our gross margins with Daxify with the size and scale from those facilities that they're able to produce versus our facility in New York.

Stacy Ku: So, as you're broadening the accounts, are you just focused on getting lower accounts that are more high quality, or is it just a sales source with launching both the new filler option and Daxify as well to just help us understand the accounts added for Q2? And then a follow up on that, as you're broadening the Daxify launch. You talked last quarter about the expectations and targets for any accounts. How do you feel about kind of the expectations you've set? Where are you there? Obviously can't disclose. I'm definitely not going to disclose your own KPIs, but just help us understand how the broadening of the Daxify launch is going in your view.

Speaker Change: Um, that's up from what we believe around 3500 in Q1.

Speaker Change: So, as you're broadening the accounts, are you just focus on getting lower accounts that are more high quality, or is it just a Salesforce with launching both new, the new filler option and and diversify as well? Has just helped us understand the accounts added for Q2.

Speaker Change: A follow-up on that as you're broadening the decks by launch, you talked last quarter about the expectations and targets for new counts.

Speaker Change: How do you feel about kind of the expectations you've set? Where are you there? Obviously, can't disclose, I'm guessing you're not gonna disclose your own KPIs, but just help us understand how the broadening of the DACS file launch is going in your view. And then the last,

Tobin Schilke: And then on the marketing side, Chris, I mean, we sort of have a steady state spend right now on the marketing and I think programs like we ran in Q1 around the coupon and what you're seeing now with the beauty of savings around portfolio designed to create more leverage and accounts where we already have a relationship. We think is, you know, going to help us drive deeper and create more stickiness in the brand.

Stacy Ku: And then the last for RHA is the Q2 performance mainly scribe to the lip launch, and is that why you might expect some growth into Q3 and Q4? Just help us out and look at the cadence of RHA launch for the rest of the year. Thank you.

Speaker Change: For RHA, is the Q2 performance mainly ascribed to the lip launch and is that why you might expect some growth into Q3 and Q4? Just help us understand the cadence of RHA launch for the rest of the year. Thank you.

Tobin Schilke: And so, you know, we obviously can flex that we're using some of these programs to better inform where we want to lean in more, but we like what we're seeing. And we've got a variety of things that we're doing independent of that around social digital because one of the things that we're also starting to see with Daxify is, you know, in the beginning, it was really incumbent around the injector to kind of do a lot of the promotional work, but now it's consumers are getting more experiencing or getting more experience.

Mark Foley: Sure, so let me just make notes here. So really, in terms of new account ads, we actually, I believe, and Toby, keep me honest on this. I think we're around 3000 Daxi at the end of Q1, and so we're saying now that we've got 3700. So actually, you know, we've seen good, nice acceleration in new accounts on Daxify, and we think it speaks to the change in strategy. So we're encouraged with what we're seeing, and that is a part of our strategy to drive the necessary revenue through the balance of the year. Again, if a combination of going deeper is people experiment and get comfortable with where Daxi fits in their practice to go deeper and then drive some of these new ones.

Stacy Ku: So first, can you characterize those 3,700 plus accounts that you added for Daxify? That's up from what we believe around 3,500 in Q1. So as you're broadening in the accounts, are you just focused on getting lower accounts that are more high quality? Or is it just that Salesforce was launching both the new filler option and Daxify as well?

Tobin Schilke: And seeing the benefits of the product, they're asking for it by name. And so, you know, from a KPI standpoint, we're seeing good healthy growth and awareness. We're seeing good healthy growth in terms of media share of voice. And so we're seeing a lot of the desired results. And so we've got a amount of sort of steady state marketing built into it that we think sufficient to drive the revenue growth targets that we have. And we'll continue to optimize that as we move out through the bounce of the year. Thank you. Thanks. Thank you.

Speaker Change: Sure. So, um...

Mark Foley: So just help us understand the accounts added for Q2. And then a follow up on that, as you're broadening the Daxify launch, you talked last quarter about the expectations and targets for new accounts. How do you feel about the expectations you've set? Where are you there?

Speaker Change: I'm going to speak notes here. So really, in terms of new account ads, we actually, I believe, and Toby Teat me on us on this. I think we're around 3,000 actually at the end of Q1.

Mark Foley: Obviously, can't disclose, I'm guessing you're not going to disclose your own KPIs, but just help us understand how the broadening of the Daxify launch is going in your view. And then, lastly For RHA, is the Q2 performance mainly ascribed to the lip launch, and is that why you might expect some growth into Q3 and Q4? Just help us understand the cadence of RHA launches for the rest of the year. Thank you.

Speaker Change: And so we're saying now that we've got 30.

Mark Foley: Sure. So let's make some notes here. So really, in terms of new account ads, we actually, I believe, and Toby, keep me honest on this, I think we're around 3,000 at the end of Q1. And so we're saying now that we've got 3,700. So actually, you know, we've seen a good, nice acceleration in new accounts on Daxify, and we think it speaks to the change in strategy. So we're encouraged by what we're seeing, and that is a part of our strategy to drive the necessary revenue through the balance of beer. Again, it's a combination of going deeper as people experiment and get comfortable with where Daxie fits in their practice to go deeper and drive some of these new ones.

Speaker Change: That's 3,700.

Speaker Change: So actually, you know, we've seen good, nice.

Speaker Change: Acceleration in New Accounts on Daxify and we think it speaks to the change in strategy.

Speaker Change: So, we're encouraged with what we're seeing and that is a part of our strategy to drive

Speaker Change: The necessary revenue through the balance of beer, again, it's a combination of...

Speaker Change: Going deeper as people experiment and get comfortable with where Naxy fits in their practice to go deeper and then drive some of these new ones and so actually we were very encouraged.

Mark Foley: And so actually we were very encouraged with sort of the new account ads that we saw in terms of the target for new accounts. Obviously, with, you know, kind of the growth initiatives that we have in place, it will be an important part of our strategy. But, you know, where we said we're roughly 7,500 static accounts is the end of Q2. 3,700 accounts in Daxify. We still have a long way to go in terms of market penetration. And so we think that you know the nice thing is, is we've got again a long runway. And so right now we're tracking where we want to be in terms of that mix of new accounts, but we also saw a good strong volume and reordering accounts.

Mark Foley: And so actually, we were very encouraged by sort of the new account ads that we saw. In terms of the target for new accounts, obviously, with kind of the growth initiatives that we have in place, it will be an important part of our strategy. But, you know, where we said we were roughly 7,500 static accounts at the end of Q2, and 3,700 accounts in Daxify. We still have a long ways to go in terms of market penetration.

Stacy Ku: The next question comes from the line of Stacy Ku, with PD Cowan, please proceed. Hey, thanks so much for taking our questions. We have a few. So first, can you characterize those 3700 plus accounts that you added for Daxify? That's up from what we believe around 3500 and Q1. So as you're broadening in the count, are you just focused on getting lower accounts that are more high quality? Or is it just a sales source with launching both the new filler option and doxify as well to just help us understand the accounts added for Q2?

Speaker Change: with sort of the new account ads that we saw.

Speaker Change: In terms of the target for new accounts, obviously with

Speaker Change: You know, kind of the growth initiatives that we have in place, it will be an important part of our strategy, but

Speaker Change: You know, where we said we're roughly 7,500 static accounts at the end of Q2.

Speaker Change: 3700 accounts and dactify. We still have a long ways to go in terms of market penetration. And so we think that you're the nice thing is, is we've got, again, a long runway. And so right now we're tracking where we want to be in terms of...

Mark Foley: And so we think that, you know, the nice thing is we've got, again, a long runway. And so right now, we're tracking where we want to be in terms of that mix of new accounts. But we also saw a good, strong volume of reordering accounts. We said that, you know, roughly three-quarters, more than three-quarters of our revenue came from reordering accounts. So that's how we think about the phasing in of the target for new accounts.

Speaker Change: In terms of that mix of new accounts.

Mark Foley: We said that, you know, roughly 3 quarters over 3 quarters of our revenue came from reordering accounts. So that's what we think about the phasing in the target for new accounts. In terms of RHA and that the lip launch and the impact that that had, I think that, you know, part of it is spaces you're aware that, you know, when we made the change in the Daxi strategy, we indicated that we were spending more time doubling back with accounts to go deeper. And so now that we've sort of moved beyond that phase, you know, we've been able to, you know, focus more now on the lip launch and RHA 3 and, you know, the portfolio.

Speaker Change: But we also saw a good strong volume in Rewardering Council, who said that, you know, roughly three quarters of our revenue came from Rewardering Account. So that's what we think about the phasing in the target for new accounts.

Stacy Ku: And then a follow up on that, as you're broadening the Daxify launch, you talked last quarter about the expectations and targets for any accounts. How do you feel about the expectations you've set? Where are you there? Obviously, can't disclose. I'm guessing you're not going to disclose your own KPIs, but just help us understand how the broadening of the Daxify launch is going in your view. And then last, for RHA, is the Q2 performance mainly scrived to the lip launch?

Mark Foley: In terms of RHA and the lift launch and the impact that that had, I think that, you know, part of it is, Stacy, as you're aware, that when we made the change in the DAX strategy, we indicated that we were spending more time doubling back with accounts to go deeper. And now that we've sort of moved beyond that phase, you know, we've been able to, you know, focus more on the lift launch and RHA 3 and, you know, the portfolio.

Speaker Change: In terms of RHA and the lift launch and the impact of that hat, I think that you know part of it is spaces you're aware that you know when we made the change in the Daxy strategy we indicated that we were spending more time doubling back with accounts to go deeper and so now that we've sort of moved beyond that phase.

Speaker Change: we've been able to focus more.

Speaker Change: Now on the lip launch and RHA3 and you know the portfolio so.

Mark Foley: So we think that we've got a very good foundation of RHA. We're doing a lot more on the clinical training, and actually there's, you know, some noise out there in the market around, you know, people not wanting to look artificial. One of the great things about the RHA portfolio is that it's the, you know, it's the least modified of the different hyaluronic acid fillers out there. It's designed to leave a very natural look. And so, you know, we think that that's feeding into this as well.

Mark Foley: So we think that we've got a very good foundation for RHA, and we're doing a lot more in clinical training. And actually, there's, you know, some noise out there in the market around, you know, people not wanting to look artificial. And one of the great things about the RHA portfolio is that it's the least modified of the different hyaluronic acid fillers out there. It's designed to leave a very natural look.

Stacy Ku: And is that why you might expect some growth into Q3 and Q4? Just help us understand the cadence of RHA launch. For the rest of the year. Thank you. Sure, so let me just make notes here. So really, in terms of new account ads, we actually, I believe, and Toby keep me honest on this. I think we're around 3000 Daxify at the end of Q1. And so we're saying now that we've got 3700.

Speaker Change: We think that we've got a very...

Speaker Change: Good foundation of RHA, we're doing a lot more in the clinical training, and actually there's, you know, some noise out there in the market around, you know, people not wanting to look artificial and one of the great things about the RHA portfolio is that it's the...

Speaker Change: You know, it's the least modified of the different hyaluronic acid fillers out there. It's designed to leave a very natural look and so, you know, we think that that's feeding into this as well. So I think it's just, we've, we've had our stride with that to find in terms of the messaging and the messaging and the pricing.

Mark Foley: And so, you know, we think that that's feeding into this as well. So I think we've hit our stride with DAXify in terms of the messaging and the messaging, and the pricing certainly lifts health. And now that we think that we can start to leverage the synergies between the two, that's how we think about the second half of the year.

Mark Foley: So I think it's just we've, we've hit our stride with back to buy in terms of the messaging and the messaging, the messaging and the pricing. Certainly, let's help. And now that we think that we can start to leverage the synergies between the two, that's how we think about the back part of the year.

Stacy Ku: So actually, we've seen good, nice acceleration in new accounts on Daxify, and we think it speaks to the change in strategy. So we're encouraged with what we're seeing. And that is a part of our strategy to drive the necessary revenue through the balance of the year. Again, it's a combination of going deeper as people experiment and get comfortable with where Daxify fits in their practice to go deeper and then drive some of these new ones.

Speaker Change: Certainly lifts health, and now that we think that we can start to leverage the synergies between the two, that's how we think about the back part of the year.

Stacy Ku: Okay, that's incredibly helpful. If the fact it has just a quick follow up, then based on your responses, just for that relaunch, I think many investors are looking for a signal that there is a recovery, that things are kind of going, going the right way now that you've kind of pinched your pricing strategy. So do you think that Q3, you'll still see some kind of signal of the recovery, or is it really going to be a Q4 event where it's easily strongest? Thanks so much. I think we commented earlier that we would expect RHA, product line to follow more seasonality with some growth, whereas with Daxicide, given where we are, that we'll see sequential growth through the balance of the year. We saw pretty meaningful growth on a year-over-year basis, 65%, even though Q2 last year was a launch order for us.

Stacy Ku: Okay, that's incredibly helpful. If I could ask just a quick follow-up, then based on your responses, just for that relaunch, I think many investors are looking for a signal that there is a recovery, that things are kind of going the right way now that you've kind of changed your pricing strategy. So do you think that in Q3 we'll still see some kind of signal of the recovery? Or is it really going to be a Q4 event where it's seasonally strongest? Thanks so much.

Speaker Change: Okay, that's incredibly helpful. If I could ask you to quick follow up then based on your responses, just for that relaunch, I think many investors are looking for a signal that there is a recovery that things are kind of going, going the right way now that you've kind of pinched or pricing strategy. So do you think that Q3, you'll still see some kind of signal of the recovery, or is it really going to be a Q4 event, or is it usually strongest? Thanks so much.

Stacy Ku: And so actually we were very encouraged with sort of the new account ads that we saw in terms of the target for new accounts. Obviously, with, you know, kind of the growth initiatives that we have in place, it will be an important part of our strategy. But, you know, where we said we're roughly 7,500 static accounts is the end of Q2, 3700 accounts in Daxify, we still have a long ways to go in terms of market penetration.

Mark Foley: Thanks, Stacy. No, I mean, I think we, you know, commented earlier that we would expect the RHA Product Line to follow more seasonality with some growth, whereas with Daxify, given where we are, that, you know, we'll see sequential growth through the balance of the year. You know, we saw pretty meaningful growth on a year-over-year basis, 65%, even though Q2 last year was a launch order for us. And, you know, as we look at coming into Q3 and Q4, we're now going to be, you know, starting to look at an ASP level, too, that's going to be comparable.

Speaker Change: Thanks, Stacey. No, I mean, I think we, you know, commented earlier that we would expect RHA

Speaker Change: product line to follow more seasonality with some growth, whereas with Daxify, given where we are, that, you know, we'll see sequential growth through the balance of the year. You know, we saw pretty meaningful growth on a year-over-year basis, 65%, even though Q2 last year was a launch order for us.

Stacy Ku: And so we think that you know, the nice thing is is we've got again a long runway and so right now we're tracking where we want to be in terms in terms of that next of new accounts. But we also saw a good strong volume in reordering accounts. We said that, you know, roughly three quarters over three quarters of our revenue came from reordering accounts. So that's what we think about the phasing in the target for new accounts.

Stacy Ku: And as we look at coming into Q3 and Q4, we're now going to be starting to look at an AFP level, too, that's going to be comparable. And so I think that that will even show stronger performance on a year-over-year basis. So we would expect, again, sequential growth with Daxicide. But as we saw that the quarter-over-quarter and the year-on-year growth both in units and in revenue, we're encouraged with the trend that we're seeing. Thanks so much for thought. Thanks.

Speaker Change: and, you know, if we...

Speaker Change: Look at coming into Q3 and Q4, we're now going to be starting to look at an ASP level too, that's going to be comparable and so I think that that will even show stronger performance on a year over your basis so we would expect again.

Stacy Ku: In terms of RHA and that the lip launch and the impact that that had, I think that, you know, part of it is spaces you're aware that, you know, when we made the change in the Daxi strategy, we indicated that we were spending more time doubling back with accounts to go deeper. And so now that we've sort of moved beyond that phase, you know, we've been able to, you know, focus more now on the lip launch and RHA three and, you know, the portfolio.

Mark Foley: And so I think that that will even show stronger performance on a year-over-year basis. So we would expect, again, sequential, quarterly sequential growth with Daxify. But, you know, as we saw with the quarter-over-quarter and the year-on-year growth, both in units and in revenue, we're encouraged by the trend that we're seeing. Okay, thanks so much.

Speaker Change: You know, sequential, quarterly sequential growth with back to five, but you know, as we saw that, the quarter of a quarter and the year on your growth, both in, you know, units in and revenue, we're encouraged with the trend that we're seeing.

Stacy Ku: Okay, thanks so much for the follow up. Thanks.

Balaji Prasad: Thank you. The next question comes from Belana, Belaji Trasad with Barclays. Please proceed.

Speaker Change: Okay, thanks so much for your follow-up. Thanks.

Speaker Change: Thanks. Thank you.

Operator: The next question comes from the line of Balaji Prasad with Barclays. Please proceed.

Stacy Ku: So we think that we've got a very good foundation of RHA. We're doing a lot more on the clinical training. And actually, there's, you know, some noise out there in the market around, you know, people not wanting to look artificial and one of the great things about the RHA portfolio is that it's the, you know, it's the least modified of the different hyaluronic acid fillers out there. It's designed to leave a very natural look.

Speaker Change: Thank you.

Speaker Change: The next question comes from Bilana Balaji Prasad with Barclays. Please proceed.

Balaji Prasad: Good afternoon. This is Xiao Ang for Belaji. Thanks for taking our questions.

Xiao: And good afternoon, this is Xiao from Balaji. Thanks for taking our questions. And first of all, could you give us a timeline for the upcoming Fosun approvals in China and the expected milestone payments associated with approvals, and what are your follow-on commercialization plans? Thank you.

Xiao: And good afternoon, this is Xiao on for Balaji. Thanks for taking our questions. First of all, could you give us a timeline for the upcoming Fosun approvals in China and the expected milestone payments associated with approvals? And what's your follow on commercialization plans? Thank you.

Balaji Prasad: And first of all, could you give us a timeline for the upcoming FOC on approval in China and the expected milestone payments associated with approval and what shall follow on commercialization plans. Thank you.

Balaji Prasad: And in addition to that, could you also talk about pricing dynamics for Daxicide between the aesthetic and therapeutic pricing? Because on the therapeutic end, you have to do the pricing, and that goes to non-negotiations with the payers. And on the aesthetic end, you will give the discount to the cash discount. So how would you balance the aesthetic pricing and therapeutic pricing? Thank you so much.

Xiao: And in addition to that, could you also talk about the, you know, pricing dynamics for Dexify between the aesthetic end and the therapeutic end? Because on the therapeutic end, you have to do the pricing, and that goes to non-negotiation with the payers. And on the aesthetic end, you will give the discount, like, you know, to the cash discount. So how would you balance the aesthetic pricing and therapeutic pricing? Thank you so much.

Stacy Ku: And so, you know, we think that that's feeding into this as well. So I think it's just, we've, we've had our stride with back to buy in terms of the messaging and the messaging, the messaging and the pricing. Certainly, let's help. And now that we think that we can start to leverage the synergies between the two, that's how we think about the back part of the year.

Speaker Change: And yet, addition to that, could you also talk about the pricing dynamics to specify between the aesthetic and the therapeutic pricing?

Speaker Change: Because on the therapeutic end, you have to do the pricing, and that goes to non-negotiation with the players. And on the aesthetic end, you will give the discount, like, you know, a cash discount. So how would you balance the aesthetic pricing and therapeutic pricing? Thank you so much.

Mark Foley: Okay, that's incredibly helpful. If the fact it has just a quick followup then based on your responses, just for that relaunch, I think many investors are looking for a signal that there is a recovery, that things are kind of going, going the right way now that you've kind of pinched your pricing strategy. So do you think that Q3, you'll still see some kind of signal of the recovery, or is it really going to be a Q4 event where it's easily strongest?

Tobin Schilke: Thanks. Toby, do you want to take the post and then the milestones? Yes, Mark.

Mark Foley: Thanks. Toby, do you want to take the posts and then the milestones?

Speaker Change: Thanks, Tobin, you want to take the folks in and the milestones.

Toby Schilke: Yes, Mark, I'm sorry about that. I was just so on the FOSUN, you know, we, we submitted our world FOSUN, excuse me, submitted the GL indication for the Chinese regulatory authorities in April of 2023. And the cervical dystonia indication in July of 2023. Postman is guided by the markets to say that they expect a 12 or 14 to 16 month approval timeframe for both of those indications. So, you know, we expect that that will be happening, and we're working hard with FOSUN to support them for approvals of both indications in this calendar year.

Tobin Schilke: Sorry about that. I was just on the on the on the phone. You know, we submitted our world. We submitted the GL indication for the Chinese regulatory authorities in April of 2023 and cervical Bistonia indication in July of 2023. Posting is guided on the markets to say that they expect a 12 or 14 to 16 month approval timeframe for both of those indications. So, you know, we expect that that will be happening, and we're working hard with folks to support them for approvals of both indications in this calendar year.

Speaker Change: Yes, Mark, I'm sorry about that.

Speaker Change: So, on the FOSUN, you know, we submitted our, or FOSUN, excuse me, submitted the GL indication for the Chinese regulatory authorities in April of 2023, and cervical dystonia indication in July of 2023.

Mark Foley: Thanks so much. [inaudible] be, you know, starting to look at an AFP level, too, that's going to be comparable, and so I think that that will even show stronger performance on a year over your basis, so we would expect again, you know, sequential, quarterly sequential growth with, with Daxify, but you know, as we saw that the, the quarter of a quarter and the year on your growth, both in, you know, units in revenue, we're, we're encouraged with the trend that we're seeing. Okay, thanks so much for thought. Thanks. Thanks, thank you.

Speaker Change: Postman is guided on the markets to say that they expect a 12 or 14 to 16 month approval time frame for both of those indications.

Speaker Change: So we expected that we'll be happening and we're working hard with folks and to support them for approvals of both indications in this calendar year.

Tobin Schilke: In terms of upfront payments, since the history, we signed the contract in December of 2018. We've received a total of $38 million, subject to Chinese withholding tax of 10%. You know, we have additional $222 million of contingent milestone payments. So, you know, we would expect that there will be some milestones.

Toby Schilke: In terms of upfront payments, since history, we signed the contract in December 2018, we received a total of $38 million, subject to Chinese withholding tax of 10%, you know, and we have an additional $222 million of contingent milestone payments. So, you know, we would expect that there would be some milestones. We haven't given the exact figures, per company policy, of what we would expect for approval in China for both the glabellar lines and the cervical dystonia approval.

Speaker Change: In terms of upfront payments, since the history, we signed the contract in December 2018.

Speaker Change: We received the total $38 million.

Speaker Change: Subject to Chinese withholding tax of 10%. You know, we have additional $222 million of contingent milestone payments.

Unknown Executive: Thank you.

Tobin Schilke: We haven't given the exact figures on per company policy of what we would expect for approval in China for both the Google Valor lines and the cervical dystonia approval. And then for your question regarding the pricing linkage between therapeutics and aesthetics, yeah, I mean, even though it's the same BLA, the pricing will be the same, which, you know, is different for us as we launched in aesthetics first. And so the ASP that we're driving in aesthetics is going to form the basis for what we charge in therapeutics. And so we've already taken that into account.

Speaker Change: So, you know, we would expect that there will be some milestones we haven't given the exact figures on per-company policy of what we would expect for approval in China for both the Google Bellar lines in the cervical dystonia approval.

Balaji Prasad: The next question comes from Belan of Belaji Trasad with Barclays, please proceed. And good afternoon, this is Shao and Papalaji. Thanks for taking our questions. And first of all, could you give us a timeline for the upcoming post on approval in China and the expected milestone payments associated with approval. And what shall follow on commercial, commercialization plans.

Mark Foley: And then for your question regarding the pricing linkage between therapeutics and aesthetics. Yeah, I mean, even though it's the same BLA, the pricing will be the same, which is different for us as we launched in aesthetics first. And so the ASP that we're driving in aesthetics is going to form the basis for what we charge in therapeutics. And so we've already taken that into account. And we've set up, you know, our different reimbursement contracts and everything around that so that there will still continue to be linkage between the two.

Speaker Change: And then for your question regarding the pricing linkage between therapeutics and aesthetics. Yeah, I mean, even though it's the same BLA, the pricing will be the same, which, you know, different for us as we launched in aesthetics first. And so.

Speaker Change: The ASP that we're driving in aesthetics is going to form the basis for what we charge in therapeutics. And so we've already taken that into account and we've set up, you know, our different reimbursement contracts and everything around that. And so that will continue to be linkage between the two.

Balaji Prasad: Thank you. And in addition to that, could you also talk about the pricing dynamics for Daxify, between the aesthetic and the therapeutic pricing, because on the therapeutic and you have to do the pricing and that goes to non negotiation with the players and on the aesthetic and you will give the discount, like, you know, to the, you know, cash discount. So how would you balance that topic pricing and therapeutic pricing.

Tobin Schilke: And we've set up, you know, our different reimbursement contracts and everything around that. And so that that will, they'll continue to be linkage between the two.

Speaker Change: Thank you.

David Amsellem: The next question goes to the law note of David Emcelyn. Would part of failure, please proceed. A couple of quick ones for me. First, can you talk about the competitive landscape in the filler space, particularly with another entrant coming in and just how you see things evolving over time? Do you think that the market ultimately is going to be able to accommodate a more crowded competitive landscape. So that's number one on the fillers.

Operator: The next question goes to the line of David Amsellem with Piper Saylor. Please proceed.

Speaker Change: Thank you.

Speaker Change: The next question goes to the law note of David Amcelin Wood Piper-Famler, please proceed.

David Amsellem: A couple of quick ones for me. First, can you talk about the competitive landscape in the filler space, particularly with another entrant coming in, and just how you see things evolving over time? Do you think that the market is ultimately going to be able to accommodate a more crowded competitive landscape? So that's number one on fillers.

Tobin Schilke: Thank you so much. Okay, Toby, do you want to take the post and then the milestones. Yes, Mark, sorry about that. I was just on the, on the, on the post on, you know, we, we submitted our world post on, excuse me, submitted the GL indication for the Chinese regulatory authorities in April of 2023. And cervical dystonia indication in July of 2023. Posting is guided on the markets to say that they expect a 12 or 14 to 16 month approval timeframe for both of those indications.

Speaker Change: A couple of quick ones from me. First,

Speaker Change: Can you talk about the competitive landscape in the filler space?

Speaker Change: particularly with another entrant.

Speaker Change: Coming in and just how you see things evolving.

Speaker Change: Over time, do you think that the market ultimately is?

Speaker Change: Going to be able to accommodate a more crowded, competitive landscape.

David Amsellem: And then turning over to. A faxify in therapeutics. This is going back up, you know, a few years where you had, I can cast more of a white net in terms of different development programs in the therapeutic setting. Obviously, you're looking to balance that out with. You know, control and spend, but, but I'm wondering over time, particularly as you get profitability, how are you thinking about other indications for Daxify and therapeutic settings and how much of a priority that thanks.

David Amsellem: And then turning over to DAXify and therapeutics, this is going back a few years where you had, I think, cast more of a wide net in terms of different development programs in the therapeutic setting. Obviously, you're looking to balance that out with, you know, control and spend. But I'm wondering over time, particularly as you get to profitability, how you're thinking about other indications for DAXify in therapeutic settings and how much of a priority that is. Thanks, David.

Speaker Change: Um, so that's number one on the village and then turning over to, um,

Sarah Pueyx: and Sarah Pueyx. This is going back to, you know, a few years where you had...

Tobin Schilke: So, you know, we expected that will, that will be happening and we're working hard with folks on to support them for approvals of both indications and in this calendar year. In terms of upfront payments, since the history, we signed the contract in December of 2018, we've received total $38 million subject to Chinese withholding tax of 10%. You know, we have additional 222 million dollars of contingent milestone payments. So, you know, we, we would expect that there will be some milestones.

Sarah Pueyx: I think cast more to a wide net in terms of different development programs in the fair few exciting.

Speaker Change: Obviously, you're looking to balance that out with, you know, control and spend, but I'm wondering over time, particularly as you get to profitability, how you're thinking about other indications for DAXify in therapeutic settings and how much of a priority that is. Thanks.

Mark Foley: Sure, thanks, David. So, in the competitive entrance side, particularly on fillers, you know, I think this is where the product profile really matters; the breadth of indications. And again, the breadth of the product itself. And so, you know, we'll continue to see competition there, but I think there's a reason that, you know, some products stand out more than others in terms of the performance. And because we talked earlier, given the way that the RHA products are constructed and more natural, we think it fits really well and for what people are looking, and there's some differences in the product line, particularly with like RHA Redensity and others that, you know, we're hearing a strong brand preference for.

Mark Foley: Sure, thanks, David. So on the competitive entrant side, particularly on fillers, you know, I think this is where the product profile really matters, the breadth of indications, and again, the breadth of the product itself. And so, you know, we'll continue to see competition there. But I think there's a reason that, you know, some products stand out more than others in terms of performance. And as we talked earlier, given the way that the RHA products are constructed and more natural, we think it fits really well with what people are looking for. And there are some differences in the product line, particularly with RHA Redensity and others that, you know, we're hearing a strong brand preference for.

Mark Foley: So on the competitive entrant side,

Speaker Change: Sure, thanks David. So on the competitive entrance side, particularly on fillers, you know, I think this is where the product profile really matters, the breadth of indications.

Tobin Schilke: We haven't given the exact figures on per company policy of what we would expect for approval in China for both the global airlines and the cervical dystonia approval. And then for your question regarding the pricing linkage between therapeutics and aesthetics, yeah, I mean, even though it's the same BLA, the pricing will be the same, which, you know, different for us as we launched in aesthetics first. And so, the ASP that we're driving in aesthetics is going to form the basis for what we charge in therapeutics. And so we've already taken that into account and we've set up, you know, our different reimbursement contracts and everything around that. And so that that will, they'll continue to be linkage between the two.

Speaker Change: and again, the breadth of the product itself. And so.

Sarah Pueyx: We'll continue to see competition there, but I think there's a reason that some products stand out more than others in terms of the performance.

Speaker Change: because we talked earlier, given the way that the RHA.

Unknown Executive: Thank you.

Speaker Change: Products are constructed in more natural. We think it fits really well and for what people are looking in there.

Speaker Change: You know, differences in the product line, particularly with like RHA Redensity and others that, you know, we're hearing a strong brand preference for, so

Mark Foley: So we think that, you know, not only having the filler line but having a toxin to partner with it is also going to be really helpful in terms of going into accounts and providing a compelling bundle that works for them. And so, you know, we feel very good. And again, we're still in the early innings in terms of penetration.

Mark Foley: So we think that, you know, not only having the filler line, but having a toxin to partner with it are also going to be really helpful in terms of going into accounts and providing a compelling bundle that works for them. And so, you know, we feel very good.

Speaker Change: We think that not only having the filler line but having a talk to the partner with it are also going to be really helpful in terms of going into accounts and providing a compelling bundle that that works for them. We feel very good and again we're still early inings in terms of penetration.

Mark Foley: In terms of Daxify and therapeutics, you're right, we're trying to be thoughtful about how we invest in the therapeutic category, what's the right timing to launch additional indications, given that it takes a while from start to finish. So we think really CD is a great entryway into that to lay the foundation for further growth. And, you know, in the muscle movement category, which is upper and lower limb spasticity in cervical dystonia, that's collectively a billion dollar market opportunity in the US.

Mark Foley: And again, we're still early innings in terms of penetration.

Mark Foley: In terms of vaccifying therapeutics, you know, you're right; we're trying to be thoughtful about how we invest in the therapeutic category, what's the right timing to launch additional indications, given that it takes a while from start to finish. So we think really CD is a great entryway into that to lay the foundation for further growth. And, you know, in the muscle movement category, which is upper and lower limb statisticity and cervical to stonia, that's collectively a billion-dollar market opportunity in the US. And so we believe we're going to learn a lot in the cervical to stonia launch.

Speaker Change: In terms of dactical and therapeutic, you know, you're right, we're trying to be thoughtful about.

David Amsellem: The next question goes to the law note of David Emcellingwood Piper-Failer, please proceed. A couple of quick ones for me. First, can you talk about the competitive landscape in the filler space, particularly with another entrant coming in and just how you see things evolving over time. Do you think that the market ultimately is going to be able to accommodate a more crowded competitive landscape. So that's number one on the fillage and then turning over to to vaccify in therapeutics.

Speaker Change: How we invest in the therapeutic category, what's the right timing to launch additional indications given that it takes a while from

Speaker Change: Start to finish.

Speaker Change: So we think really CD is a great entryway into that to lay the foundation for further growth.

Speaker Change: and, you know, in the muscle movement category, which is upper and lower limits best, this today in cervical dystonia, that's collectively a billion dollar market opportunity in the U.S., and so we believe we're going to learn a lot in the cervical dystonia launch, and we'll be able to partner with these clinicians in terms of the next steps.

Mark Foley: And so we believe we're going to learn a lot during the cervical dystonia launch, and we'll be able to partner with these clinicians in terms of next steps. We have completed, as we've talked about before, a phase two program for upper limb spasticity. We had our end of phase two meeting, so we know what the program would look like to activate phase three. And so it's just a function of, you know, when do we think it's the right time to lean in on that.

Mark Foley: And we'll be able to partner with these clinicians in terms of the next steps. We have completed, as you talked about before, phase two program for upper limb statisticity. We had our end of phase two meetings. So we know what the program would look like to activate the phase three. And so it's just a function of the one we think it's the right time to lean in on that. And then we've done also an IIT and migraine to, you know, generate some of the early data there to inform that strategy. And so, you know, we think long term there's a very healthy opportunity.

Speaker Change: We have completed, as we talked about before, Phase 2 program for upper limb spasticity. We had our end of Phase 2 meeting, so we know what the program would look like to activate the Phase 3, and so it's just a function of when do we think it's the right time to lean in on that.

David Amsellem: This is going back a few years where you had, I think, cast more of a wide net in terms of different development programs in the therapeutics setting. Obviously, you're looking to balance that out with control and spend. But I'm wondering, over time, particularly as you get profitability, how you're thinking about other indications for vaccify in therapeutic settings. And how much of a priority that is. Thanks. Sure. Thanks, David. So on the competitive entry side, particularly on fillers, you know, I think this is where the product profile really matters, the breadth of indications.

Mark Foley: And then we've done an IAT and migraine to, you know, generate some of the early data there to inform that strategy. And so, you know, we think long term there's a very healthy opportunity. It's just a matter of, you know, to your point earlier, what's the right timing, and we're continuing to evaluate that.

Speaker Change: and then we've done also an IT and my grain to generate some of the early data there to inform that strategy. And so, you know, we think long-term there's a very healthy opportunity. It's just a matter of, you know, you're going earlier, what's the right timing and we're continuing to evaluate that.

Mark Foley: It's just a matter of, you know, to your point earlier, what's the right timing, and we're continuing to evaluate that. Thank you.

Speaker Change: Thank you.

Annabel Samimy: The next question comes from Delano, Annabel Samy with Spicell. Please proceed. Hi, thanks for taking my questions. So I just want to confirm, have you washed out all of the accounts that have purchased that have purchased under the prior price change? Is there still any impact lingering? I guess from the sort of so-called coupon that you offer them to sort of make them whole on that?

Operator: The next question comes from the line by Annabel Samy with Stifle. Please proceed.

Speaker Change: Thank you.

Speaker Change: The next question comes from the line of Annabel Samy with Stifle. Please proceed.

Annabel Samimy: Hi, thanks for taking my questions. So I just want to confirm, have you washed out all of the accounts that were purchased under the prior price change? Is there still any impact lingering, I guess, from the sort of, I don't know, so-called coupon that you offer them to sort of make them whole on that? So that's the first question. Then the second question is, can you talk a little bit about the loyalty program and the beauty of savings?

David Amsellem: And again, the breadth of the product itself. And so, you know, we'll continue to see competition there. But I think there's a reason that, you know, some products stand out more than others in terms of the performance. And because we talked earlier, given the way that the RHA products are constructed and more natural, we think it fits really well in for what people are looking in. There's some differences in the product line, particularly with like RHA Redensity and others that, you know, we're hearing a strong grant preference for.

Speaker Change: [inaudible]

Annabel Samy: Hi, thanks for taking my questions. So I just want to confirm, have you washed out all of the accounts that had purchased under the prior price change? Is there still any impact lingering, I guess, from the sort of

Speaker Change: I don't know, so-called coupon that you offer them to sort of make them whole on that. So that's the first question. The second is, can you talk a little bit about...

Annabel Samimy: So that's the first question. Then second is, can you talk a little bit about the loyalty program, the beauty of savings? Is this volume-based? Or is it as soon as they order the products together? How exactly are they incentivized here?

Annabel Samimy: Is this volume-based, or is it as soon as they order the products together? How exactly are they incentivized here? And then anything on the consumer side in terms of more comprehensive couponing for the actual patients? Thanks.

Speaker Change: The Loyalty Program in the Beauty of Savings is this volume-based, or is it as soon as they order the products together, how exactly are they incentivized here. And then anything on the consumer side in terms of more comprehensive couponing for the actual patients. Thanks.

David Amsellem: So we think that, you know, not only having the fill line, but having a toxin to partner with it are also going to be really helpful in terms of going into accounts and providing a compelling bundle. That that works for them. And so, you know, we feel very good. And again, we're still early innings in terms of penetration.

Annabel Samimy: And then anything on the consumer side in terms of more comprehensive couponing for the actual patients.

Annabel Samimy: Thanks. Thanks, Annabel. So, in terms of the, you know, kind of where we are with the coupon that we ran in Q1, that's sunset at the end of April. And so that's done. And so there's no, you know, lingering effect there because of the timeframe for redemption on that. So that's fully pulled through and done. And we recognize, you know, primarily the offset of that program in Q1. And you know, it was effective. You know, people really liked the program. It did what it was intended to do, which is to drive more patient trial and experience and engagement from the injector side of it.

Mark Foley: Thanks, Annabel. So in terms of where we are with the coupon that we ran in Q1, that sunsetted at the end of April. And so that's done. And so there's no, you know, lingering effect there because of the timeframe for redemption on that.

Speaker Change: Thanks Annabel. So in terms of the, you know, kind of where we are with the coupon that we ran in Q1, that's sunsetted at the end of April and so that's done and so there's no

Mark Foley: In terms of vaccifying therapeutics, you know, you're right, we're trying to be thoughtful about how we invest in the therapeutic category, what's the right timing to launch additional indications, given that it takes a while from start to finish. So we think really CD is a great entryway into that to lay the foundation for further growth. And, you know, in the muscle movement category, which is upper and lower limb spasticity and cervical dystonia, that's collectively a billion dollar market opportunity in the US.

Speaker Change: you know, lingering effect there because of the time frame for redemption on that. So that's fully pulled through and done.

Speaker Change: And we recognize, you know, primarily the offset of that program in Q1.

Speaker Change: [inaudible]

Mark Foley: So that's fully pulled through and done, and we recognized, you know, primarily the offset of that program in Q1. And, you know, it was effective, people really liked the program, it did what it was intended to do, which is to drive more patient trials and experience and engagement from the injector side of it. It was obviously less than optimal from a revenue perspective because we had to take the full offset, but we'll take those learnings forward in terms of, you know, how we think about subsequent programs.

Speaker Change: And you know, it was effective, you know, people really like to program, it did what it was intended to do, which is to drive more patient trial and experience and engagement from the injector side of it. It was obviously less than optimal from a revenue perspective because we had to take the pull off step. We'll take those learnings forward in terms of, you know, how we think about subsequent programs.

Mark Foley: It was obviously less than optimal from a revenue perspective because we had to take the pull-ups up. But we'll take those learnings forward in terms of, you know, how we think about subsequent programs. The beauty of savings was kind of a halo program that, you know, cut across R&K promotions, DACCY promotions, and bundling promotions. And a lot of what we're doing right now is we are linking sort of purchases to training events since we found that a lot of the injectors, particularly given the unique performance profile of our products, really appreciate and find a lot of value in training and education, particularly when we can bring in sort of leaders in the industry that they can spend time with.

Mark Foley: And so we believe we're going to learn a lot in the cervical dystonia launch and we'll be able to partner with these clinicians in terms of the next steps. We have completed, as you talked about before, phase two program for upper limb spasticity. We had our end of phase two meeting so we know what the program would look like to activate the phase three. And so it's just a function of the one we think it's the right time to lean in on that.

Mark Foley: The Beauty of Savings was kind of a halo program that, you know, cut across K-Promotions, DACI Promotions, and Bundling Promotions. And a lot of what we're doing right now is linking sort of purchases to training events since we found that a lot of the injectors, particularly given the unique performance profile of our products, really appreciate and find a lot of value in training and education, particularly when we can bring in sort of leaders in the industry that they can spend time with.

Speaker Change: The beauty of savings was kind of a halo program that, you know, cut across.

Speaker Change: for Motions, Taxi Promotions and Bundling Promotions. At a lot of what we're doing right now is we are linking sort of purchases to training events, since we found that a lot of the injectors particularly given the unique performance profile of our products.

Mark Foley: And then we've done also an IT and migraine to, you know, generate some of the early data there to inform that strategy. And so, you know, we think long term there's a very healthy opportunity. It's just a matter of, you know, to your point earlier, what's the right timing and we're continuing to evaluate that. Thank you.

Speaker Change: Really appreciate and find a lot of value in training and education, particularly when we can bring in sort of leaders in the industry that they can spend time with. And so that's been a big part of the beauty of savings, and then certainly on the bundling side, there's some additional economic advantages to folks that lean in at certain levels across.

Mark Foley: And so that's been a big part of the beauty of savings. And then certainly on the bundling side, there's some additional economic advantages to folks that lean in at certain levels across the portfolio. And we like what we're seeing, and we're seeing, you know, additional share in those accounts where, you know, we've been able to roll that out.

Mark Foley: And so that's been a big part of the beauty of savings. And then, certainly, on the bundling side, there are some additional economic advantages to folks that invest in at certain levels across the portfolio. And we like what we're seeing. And we're seeing, you know, additional share in those accounts where, you know, we've been able to roll that out. In terms of the, you know, kind of how we think about going forward with couponing and what we're going to do, you know, we're continuing to evaluate sort of what the return is.

Annabel Samimy: The next question comes from Delano, Annabel Samy with Spicell. Please proceed. Hi, thanks for taking my questions. So, I just want to confirm, have you washed out all of the accounts that have purchased, that have purchased under the prior price change? Is there still any impact lingering? I guess from the sort of so-called coupon that you offer them to sort of make them whole on that? So that's the first question. Then second is, can you talk a little bit about the loyalty program, the beauty of savings?

Speaker Change: The portfolio and we like what we're seeing and we're seeing, you know, additional share in those accounts where, you know, we've been able to roll that out.

Mark Foley: In terms of the, you know, kind of how we think about go forward, couponing and what we're going to do, you know, we're continuing to evaluate sort of what the return is. We don't have anything right now that's planned to be rolled out, but we're continuing to evaluate, you know, other ways that we might want to incentivize consumer engagement and programs and that sort of, you know, stay tuned on that.

Speaker Change: Unknown Speaker

Speaker Change: In terms of the, you know, kind of how we think about go forward couponing and what we're going to do, you know, we're continuing to evaluate sort of what the return is. We don't have anything right now that's planned to be rolled out, but we're continuing to evaluate, you know, other ways that we might want to incentivize consumer engagement and programs and that sort of, you know, stay tuned on that.

Mark Foley: We don't have anything right now that's planned to be rolled out, but we're continuing to evaluate other ways that we might want to incentivize consumer engagement and programs and that sort of, you know, stay tuned on that.

Annabel Samimy: Is this volume based? Or is it as soon as they order the products together? How exactly are they incentivized here? And then anything on the consumer side in terms of more comprehensive couponing for the actual patients. Thanks. Thanks, Annabel. So, in terms of the, you know, kind of where we are with the coupon that we ran in Q1, that sunset is at the end of April. And so that's done. And so there's no, you know, lingering effect there because of the timeframe for redemption on that.

Mark Foley: Okay.

Annabel Samimy: Okay, and if I could just squeeze one more in on the therapeutic side, I mean, you have stated a number of very positive statistics, you have your 84% commercial coverage, you're working with Medicare plans or Medicaid plans, you have Foreign Defense Veterans, and then you even stated a reorder rate. So I guess I'm curious if there were any residual revenues for therapeutics in the DACFI number. I'm just a little surprised that you have all this. This is Progress News. We're not reporting any revenues at all.

Mark Foley: And if I could just squeeze one more in on the therapeutic side. I mean, you have stated a number of very positive statistics. You have your 84% commercial coverage. You're working with Medicare plans or Medicaid plans. You have the foreign defense veterans. And then you are even stated a reorder rate. So I guess I'm curious if there was any residual revenues for therapeutics in the deck find a room. Just a little surprise that you have all these progress and you're not reporting any revenues at all. Yeah, well, I think, you know, if you first off, can you look at the metrics we gave around the aesthetics side?

Speaker Change: Okay, and if I could just squeeze one more in on the therapeutic side, I mean, you have stated a number of very positive statistics, you have your...

Speaker Change: Gave 4% commercial coverage with Medicare plans or Medicaid plans, you have the...

Speaker Change: Torn defense veterans, and then you're even stated a reorder rate. So I guess I'm curious if there was any residual revenues for therapeutics in the backside of room just a little surprise that you have all these progress and you're not reporting any revenues at all.

Annabel Samimy: So that's fully pulled through and done. And we recognize, you know, I'm really the offset of that program in Q1. And, you know, it was effective, you know, people really liked the program. It did what it was intended to do, which is to drive more patient trial and experience and engagement from the injector side of it. It was obviously less than optimal from a revenue perspective because we had to take the pull ups that we'll take those learnings forward in terms of, you know, how we think about subsequent programs.

Mark Foley: Yeah, well, I think, you know, if you first off, can you look at the metrics we gave around the aesthetic side, so you know, we saw 65% year over year unit growth. So, you know, almost all of the DAXI revenue is being driven by aesthetics.

Speaker Change: Yeah, well, I think, you know, if you first off, can you look at the metrics we gave around the aesthetic side? So, you know, we saw 65% year over year unit growth. So

Mark Foley: So, you know, we saw 65% Eurorear unit growth. So, you know, almost all of the taxi revenue is being driven by aesthetics. You know, we didn't launch until May. And so, you know, there was a limited amount of time. And again, the way that these practices buy even that he's still a pretty small market. It's $340 million in the US. These practices don't buy in volume. They buy to treat patients on the buying bill. And again, even though you've got reimbursement in place, they want to make sure that when they run it through their own system, that they're getting paid.

Speaker Change: Almost all of the taxi revenue is being driven by aesthetics. We didn't launch until May, and so there was a limited amount of time. And again, the way that these practices buy.

Annabel Samimy: The beauty of savings was kind of a halo program that, you know, cut across R&K promotions, equity promotions and bundling promotions. And a lot of what we're doing right now is we are linking sort of purchases to training events since we found that a lot of the injectors, particularly given the unique performance profile of our products, really appreciate and find a lot of value in training and education, particularly when we can bring in.

Mark Foley: You know, we didn't launch until May. And so, you know, there was a limited amount of time. And again, the way that these practices buy, Unknown Attendee, Chris Shibutani, Lachlan Hanbury, Mikaela Franceschina, Douglas Tsao, Uy Ear, Dustin Schilke, Serge Belanger, Douglas Tsao, Uy Ear, Douglas Tsao, Unknown Attendee, Chris Shibutani, Lachlan Hanbury, Mikaela Franceschina, Navann Dietschi, Jessica Serra, Stacy Ku, John Boyle, Charles Wang, Revance Therapeutics Inc, Even though you've got reimbursement in place, they want to make sure that when they run it through their own system that they're getting paid.

Speaker Change: Given that CD is still a pretty small market, it's $340 million in the US. These practices don't buy in volume, they buy to treat patients on the buy-in bill.

Speaker Change: And again, even though you've got reimbursement in place, they want to make sure that when they run it through their own system that they're getting paid. So they'll tend to treat, you know, one, two, three patients and then wait.

Mark Foley: So they'll tend to treat, you know, one, two, three patients and then wait the full reimbursement cycle before they, you know, see if they're going to get paid. And so while we like what we're seeing clinically, we like the progress that we're making on the reimbursement side, it's a conservative group. And a lot of these practices, you know, only see a certain number of these. And so we, again, just think it's going to take us time.

Mark Foley: So they'll tend to treat, you know, one, two, three patients, and then wait. The full reimbursement cycle before they, you know, see if they're going to get, they're going to get paid. And so, while we like what we're seeing clinically, we like the progress that we're making on the reimbursement side. It's a conservative group, and a lot of these practices, you know, only see a certain number of these. And so we, again, think it's going to take us time. I think we're pointing, we're pointing to sort of the clinical utility and value that that's the five rings, but it's just going to take a little while to unlock some of the revenue that's going to be associated with it.

Speaker Change: the full reimbursement cycle before they, you know, see if they're going to get they're going to get paid. And so while we like what we're seeing clinically, we like the progress that we're making on the reimbursement side. It's a conservative group and a lot of these

Annabel Samimy: Sort of leaders in the industry that they can spend time with. And so that's been a big part of the beauty of savings. And then certainly on the bundling side, there's some additional economic advantages to folks that lean in at certain levels across the portfolio. And we like what we're seeing. And we're seeing, you know, additional share in those accounts where, you know, we've been able to roll that out. In terms of the, you know, kind of how we think about go forward, couponing and what we're going to do, you know, we're continuing to evaluate sort of what the return is.

Speaker Change: practices, you know, only see a certain number of these. And so we, again, we just think it's going to take us time. I think we're pointing we're pointing to sort of the clinical utility and value that Daxify brings, but it's just going to take a little while to unlock some of the revenue that's going to be associated with it.

Mark Foley: I think we're pointing to sort of the clinical utility and value that Vaxify brings, but it's just going to take a little while to unlock some of the revenue that's going to be associated with it. Okay, great. Thank you.

Mark Foley: Okay.

Operator: Great.

Lachlan Hanbury: Thank you.

Speaker Change: Okay, great, thank you.

Lachlan Hanbury: The next question goes to the line of 10 logo with William Blair; please proceed. Hey guys, this is a lock on number 10. Thanks for taking the questions. So Michael is wondering, can you talk about any changes in how diversified is being used by the existing accounts since the price change? I mean, if they, beyond just using it more, change where they use it, use it more off label or different doses or anything.

Daniel: Thanks. Thanks, Daniel.

Operator: The next question goes to the line of Tim Lugo. Would William Blair please proceed?

Speaker Change: Thank you.

Speaker Change: The next question goes to the line of Tim Lugo. Would William Blair please proceed?

Annabel Samimy: We don't have anything right now that's planned to be rolled out, but we're continuing to evaluate, you know, other ways that we might want to incentivize consumer engagement and programs and that sort of, you know, stay tuned on that.

Lachlan Hanbury: Hey guys, this is Lachlan on for Tim. Thanks for taking the questions. So Mark, I was wondering if you could talk about any changes in how Daxify is being used by existing accounts since the price change? I mean, have they, you know, beyond just using it more, changed the way they use it? Use it more off label or different doses or anything? And second, Toby mentioned the soft filler market, and I think we've seen that sort of some softness across aesthetics with competitor reports as well.

Lachlan: Hey guys, this is Lachlan on for Tim. Thanks for taking the questions. So Mark, I was wondering, can you talk about any changes in how Daxify is being used by the EGC account since the price change? I mean, have they, you know, beyond just using it more, have they changed the way they use it? Use it more off-label or different doses or anything?

Mark Foley: Okay, and if I could just squeeze one more in on the therapeutic side, I mean, you you have stated a number of very positive statistics. You have your 84% commercial coverage, you're working with Medicare plans or Medicaid plans, you have the foreign defense veterans, and then you are even stated a reorder rate. So I guess I'm curious if there was any residual revenues for therapeutics in the Dexfine in the room, just a little surprise that you have all these, this progress and you're not reporting any revenues at all.

Lachlan Hanbury: And a second, Toby mentioned the soft filler market, and I think we've seen that sort of some softest across aesthetics with competitor reports as well. So just wanted to get your latest thoughts on sort of the state of the market for both toxins and fillers. And you know, it says any particular either driving the weakness or that you think could bring an end to it. Thanks. Thanks, Lachlan. So in terms of, you know, Daxie and how it's being used, I think with all these products, the more familiar they get with it, the more comfortable they get.

Speaker Change: I second Toby mentioned the software market and I think we've seen that.

Lachlan Hanbury: So just wanted to get your latest thoughts on sort of the state of the market for both toxins and fillers and, you know, if there's anything in particular either driving the weakness or that you think could, you know, bring an end to it. Thanks. Thanks, Lachlan. So in terms of DAXI and how it's being used, I think with all these

Speaker Change: and some softness across aesthetics with competitor reports as well, so just wanted to get your latest thoughts on sort of the state of the market for both toxins and fillers and, you know, if there's any particular either driving a weakness or that you think good.

Speaker Change: You're bringing in to it.

Mark Foley: Thanks, Lachlan. So in terms of, you know, DAXI and how it's being used, I think with all these products, the more familiar they get with them, the more comfortable they become. And that's, you know, toxins and fillers across. And so certainly, the more people use it, the more comfortable it gets. And while we are on label for a certain reconstitution, for example, we know that some practices really like to adjust the sort of how they reconstitute and how they administer it, and they do that with all the other toxins.

Speaker Change: Thanks.

Speaker Change: Thanks, Lachlan. So in terms of, you know, Daxi and how it's being used, I think with all these products, the more familiar they get with it, the more comfortable they get. And that's, you know, toxins and fillers across. And so certainly the more

Mark Foley: Yeah, well, I think, you know, if you first off, can you look at the metrics we gave around the aesthetics side? So, you know, we saw 65% Eurorear unit growth. So, you know, almost all of the taxi revenue is being driven by aesthetics. You know, we didn't launch until May. And so, you know, there was a limited amount of time. And again, the way that these practices buy even that he's still a pretty small market.

Mark Foley: And that's, you know, toxins and fillers across. And so certainly, the more people use it, the more comfortable. And while we are on label for a certain reconstitution, for example, we know that some practices really like to adjust sort of how they reconstitute and how they administer. And they do that with all the other toxins. And so I think we're finding that. Within any given practice, they're adapting what they believe is the best way to deliver or to get the outcome that they want. Yeah, we run phase two trials and upper facial lines, and what we hear in the marketplace is that injectors are comfortable using Daxie in a similar fashion to the other neurotoxins.

Speaker Change: People use it the more comfortable and while we are on level for a certain reconstitution, for example, we know that some practice is

Speaker Change: Really like to adjust sort of how they reconstitute and how they administer and they do that with all the other toxins and so I think we're finding that

Mark Foley: It's $340 million in the US. These practices don't buy in volume. They buy to treat patients on the buying bill. And again, even though you've got reimbursement in place, they want to make sure that when they run it through their own system that they're getting paid. So they'll tend to treat, you know, one, two, three patients and then wait. The full reimbursement cycle before they, you know, see if they're going to get they're going to get paid.

Mark Foley: And so I think we're finding that within any given practice, they're adapting what they believe is the best way to deliver to get the outcome that they want. Yeah, we run phase two trials and upper facial lines. And, you know, what we hear in the marketplace is that injectors are comfortable using Daxi in a similar fashion to the other neurotoxins. And so I don't know that we're necessarily seeing much of a change in terms of where they use the product.

Speaker Change: Within any given practice, they're adapting what they believe is the best way to deliver to get the outcome that they want.

Speaker Change: We run phase two trials in upper facial lines and what we hear in the marketplace is that

Mark Foley: I think they're comfortable with where they use it, but I think it's more in the function of like, how, how do they reconstitute? How do they dose? We definitely have seen some learning with the forehead, for example. You know, we've heard that, you know, Daxify appears to be more precise.

Speaker Change: Injectors are comfortable using Daxy in a similar fashion to the other neurotoxins. And so I don't know that we're necessarily seeing much of a change in terms of where they use the products. I think they're comfortable with where they use it. But I think it's more in the function of, like, how do they reconstitute, how do they dose?

Mark Foley: And so I don't know that we're necessarily seeing much of a change in terms of where they use the products. I think they're comfortable with where they use it. But I think it's more in the function of like how, how do they reconstitute, how do they dose. We've definitely seen some learning with the forehead, for example. You know, we've heard that, you know, Daxify appears to be more precise. So where you deliver it, it's day; you see less diffusion. And so for the forehead, which is a broader area, we hear that some accounts, for example, are doing more injection points, but just smaller delivery to make sure that they get the desired outcome.

Mark Foley: And so while we like what we're seeing clinically, we like the progress that we're making on the reimbursement side. It's a conservative group and a lot of these practices, you know, only see a certain number of these. And so we. Again, we just think it's going to take us time. I think we're pointing, we're pointing to sort of the clinical utility and value that that's the five rings, but it's just going to take a little while to unlock some of the revenue that's going to be associated with it.

Unknown Executive: Okay. Great.

Unknown Executive: Thank you.

Speaker Change: We've definitely seen some learning with the forehead, for example. You know, we've heard that Daxify appears to be more precise, so where you deliver it, it stays, you see less diffusion.

Mark Foley: So where you deliver it, it stays; you see less diffusion. And so for the forehead, which is a broader area, we hear that some accounts, for example, are doing more injection points, but just smaller delivery to make sure that they get the desired outcome. And I think the forehead is one of those areas that people, you know, need to take a little bit more time to figure out. But, then we'll see the range, you know, some are solely the full dose. Some have moderated their dose a little bit; some adjust their dose; it may be a little different in lavellar lines versus forehead.

Speaker Change: and so for the forehead which is a broader area, we hear that some accounts for example are doing more injection points but just smaller delivery to make sure that they get the desired outcome and I think the forehead is one of those areas that people.

Mark Foley: And I think the forehead is one of those areas that people, you know, need to take a little bit more time to figure out. And then we'll see range; you know, some are, you know, solely the full dose, some have moderated their dose a little bit, some adjust their dose, maybe a little different in lovelor lines versus forehead. And so the good news is, I think that, you know, with any new product, there's going to be its own unique personality, particularly with a product like ours that has a very different formulation with the peptide that I think universally what we're hearing for those accounts that are.

Lachlan Hanbury: The next question goes to the line of 10 will go with William Blair, please proceed. Hey guys, this is lock on on for Tim. Thanks for taking the questions. So Michael is wondering, can you talk about any changes in how diversified is being used by the existing accounts since the price change? I mean, if they beyond just using it more, they change where they use the more off label or different doses or anything.

Speaker Change: You know, need to take a little bit more time to figure out, but, and then we'll see range, you know, some are, are, you know, solely the full dose, some have.

Speaker Change: Moderated their dose a little bit, some adjust their dose, and maybe a little different in the other lines versus forehead, and so the good news is that I think that, you know, with any new product, there's going to be its own unique personality, particularly with a product like ours, that has a very different formulation with the peptide, but I think universally, what we're hearing for those accounts that are...

Mark Foley: And so the good news is that, you know, with any new product, there's going to be its own unique personality, and particularly with a product like ours that has a very different formulation with the peptide. But I think universally, what we're hearing from those accounts that are seeing the positive impact and the reinforcement is that they're saying it's different. What I'm seeing in terms of the onset skin quality is different that I can't get with the others.

Lachlan Hanbury: And second, Toby mentioned the soft filler market. And I think we've seen that sort of some softest across aesthetics with competitor reports as well. So just wanted to get your latest thoughts on sort of the state of the market for both toxins and fillers. And you know, it says any particular either driving the weakness or that you think could bring an end to it. Thanks. Thanks, Locklin. So in terms of, you know, Daxie and how it's being used, I think with all these products, the more familiar they get with it, the more comfortable they get.

Mark Foley: You know, seeing the positive impact and the reinforcement is that they're saying it's different. What I'm seeing in terms of the onset skin quality, it's different that I can't get with the others. And that's kind of where we see the real stickiness. And so we'll, you know, continue to try and, you know, make sure that we do everything we can to support these accounts and get them the proper training.

Speaker Change: Seeing the positive impact and the reinforcement is that they're saying it's different. What I'm seeing in terms of the onset...

Speaker Change: Skin Quality, it's different that I can't get with the others and that's kind of where we see the real stiffness and so we'll, you know, continue to try and, you know, make sure that we do that everything we can to support these accounts and get them the proper training.

Mark Foley: And that's kind of where we see the real stickiness. And so we'll, you know, continue to try and make sure that we do everything we can to support these accounts and get them the proper training.

Mark Foley: In terms of the overall market dynamics in terms of the soft filler market. Yeah, I think it's a combination of just some of the market dynamics out there and some of the, you know, the spend challenges that some consumers are having, and then certainly on the filler market, we've heard a little bit about, you know, the concern about looking artificial and not natural. And as I said previously, we think that that fits really well with RHA product line, because again, it's the most natural. It's got an indication around dynamic wrinkles and folds, meaning it's designed to move naturally with facial expression and make sure it looks very natural.

Lachlan Hanbury: And that's, you know, toxins and fillers across. And so certainly the more people use it, the more comfortable. And while we are, you know, on label for a certain reconstitution, for example, we know that some practices really like to adjust sort of how they reconstitute and how they administer and they do that with all the other toxins. And so I think we're finding that. Within any given practice, they're adapting what they believe is the best way to deliver or to get the outcome that they want.

Speaker Change: In terms of the overall market dynamics, in terms of a soft filler market, yeah, I think it's a combination of just some of the market dynamics out there and some of the, you know, the spend challenges that some consumers are having, and then certainly on the filler market, we've heard a little bit about, you know, the concern about looking artificial and not natural.

Speaker Change: And as I said previous, we think that that fits really well with RHA product line, because again, it's the most natural, it's got an indication around dynamic wrinkles and folds, meaning it's designed to move naturally with facial expression and make sure it looks very natural. And we're still in a small number of accounts, so we have the benefit of being in growth mode. The toxin market seems to be pretty steady.

Mark Foley: In terms of the overall market dynamics, in terms of the soft filler market, yeah, I think it's a combination of just some of the market dynamics out there and some of the spending challenges that some consumers are having. And then certainly on the filler market, we've heard a little bit about, you know, the concern about looking artificial and not natural. And as I said previously, we think that that fits really well with the RHA product line because again, it's the most natural, it's got an indication around dynamic wrinkles and folds, meaning it's designed to move naturally with facial expressions and make sure it looks very natural.

Lachlan Hanbury: Yeah, we run phase two trials and upper facial lines and, you know, what we hear in the marketplace is that injectors are comfortable using Daxie in a similar fashion to the other neurotoxins. And so I don't know that we're necessarily seeing much of a change in terms of where they use the products. I think they're comfortable with where they use it, but I think it's more in the function of like how, how do they reconstitute, how do they dose.

Mark Foley: And, you know, we're still in a small number of accounts. So we have the benefit of being in growth mode. But the top market seems to be pretty steady. And I think we've seen that in past times with, you know, even an economic downturn in 2008. And I think it's a lower cost treatment procedure. And I think once people get used to the outcome, it's a little bit like hair color, where they feel now they need my wrinkles back and go. So the top market feels more stable and steady. The filler market's been a little more soft, but obviously with the print that we put up in key two, we feel like, you know, we've got the product line and the strategy and the execution to continue to drive good growth.

Speaker Change: And I think we've seen that in past times with, you know, even an economic downturn in 2008, and I think it's a lower cost.

Speaker Change: Treatment Procedure, and I think once people get used to the outcome, it's a little bit like hair color, where they feel now they need my wrinkles to back and go.

Mark Foley: And, you know, we're still in a small number of accounts. So we have the benefit of being in growth mode, and the toxic market seems to be pretty steady. And I think we've seen that in past times with, you know, even an economic downturn in 2008. And I think it's a lower cost treatment procedure. And I think once people get used to the outcome, it's a little bit like hair color, where they feel now that their wrinkles are back and gone.

Mark Foley: So the toxic market feels more stable and steady; the filler markets have been a little more soft. But obviously, with the print that we put up in Q2, we feel like, you know, we've got the product line and the strategy and the execution to continue to drive good growth.

Lachlan Hanbury: We've definitely seen some learning with the forehead, for example, you know, we've heard that, you know, Daxie, if I appears to be more precise, so where you deliver it, it's day, you see less diffusion. And so for the forehead, which is a broader area, we hear that some accounts, for example, are doing more injection points, but just smaller delivery to make sure that they get the desired outcome. And I think the forehead is one of those areas that people, you know, need to take a little bit more time to figure out, but.

Speaker Change: The toxin market feels more stable and steady. The filler market's been a little more soft, but obviously with the print that we put up in Q2, we feel like, you know, we've got the product line and the strategy and the execution to continue to drive good growth.

Alana Lelo: Thank you. The next question comes from Alana, Yulie Ear, with Mizuno. Please proceed. Hey guys, thanks for taking our questions. So, I guess my first question is, would you be of the share with us the market share that you've gained in this quarter, as you did in the previous quarter, for that supply as well as for RHA? And secondly, what percentage of the 15% Yulie Ear growth in RHA came from the LIPS product? And thirdly, I just want to make sure that you guys add any account overall at all, because the press release says, you know, over 75, 100 accounts, and that was what was reported in the first quarter. Thanks.

Lachlan Hanbury: And then we'll see range, you know, some are, are, you know, solely the full dose, some have moderated their dose a little bit, some adjust their dose and maybe a little different in leveler lines versus forehead. And so the good news is, is I think that, you know, with any new product, there's going to be its own unique personality, particularly with a product like ours that has a very different formulation with the peptide that I think universally what we're hearing for those accounts that are.

Speaker Change: Thank you. Great. Thanks a lot.

Operator: The next question comes from Delana Uy Ear with Mizzou. Please proceed.

Speaker Change: The next question comes from Delana Uy Ear with Mizzou. Please proceed.

Uy Ear: Hey guys, thanks for taking our questions. So, um, my first question is, would you be able to share with us the market share that you gained in this quarter, as you did in the previous quarter for Daxify as well as for RHA? And secondly, what percentage of the 15% year-over-year growth and RHA came from the LIPS product? And thirdly, I just want to make sure; did you guys add any new accounts overall at all? Because the press release says, you know, over 75 or 100 accounts, and that was what was reported in the... first quarter.

Speaker Change: Hey guys, thanks for taking your questions, so I guess my first question is, would you be able to share with us the market share that you've gained in this quarter as you did in the previous quarter for Dr. Files, well as for RHA.

Lachlan Hanbury: You're seeing the positive impact and the reinforcement is that they're saying it's different what I'm seeing in terms of the onset skin quality. It's different that I can't get with the others and that's kind of where we see the real stickiness and so we'll, you know, continue to try and, you know, make sure that we do everything we can to support these accounts and get them the proper training. In terms of the overall market dynamics in terms of the soft filler market, yeah, I think it's a combination of just some of the market dynamics out there and some of the, you know, the spend challenges that some consumers are having and then certainly on the filler market, we've heard a little bit about, you know, the concern about looking artificial and natural.

Speaker Change: And secondly, what percentage of the 15% year-over-year growth

Speaker Change: and RHA came from the Phillips product.

Speaker Change: And thirdly, I just want to make sure, did you guys add any account overall at all, because the press release says, you know, over 75, 100 accounts, and that was what was reported in the

Tobin Schilke: Yeah, so let me hit that one first. So do you want to comment just on the account side of things? Because I think that there's an impact on our side here.

Toby Schilke: Yeah, so let me hit that one first. Toby, do you want to comment just on the account side of things? Because I think that there was an error on our side. Yeah, I think Yeah, and I appreciate the question, Uy and Stacy. You know, before I finish it, we would like to draw your attention to a numerical error in the second quarter release. We should have said that we ended the second quarter with over 8,000 aesthetic accounts and over 4,200 accounts that had ordered Daxify. I apologize about that.

Speaker Change: The first quarter. Thanks.

Speaker Change: Yeah, so let me let me hit that one first. Toby, do you want to comment just on the account side of things? Because I think that there's an error on our side. Yeah, I think...

Lachlan Hanbury: And as I said previously, we think that that fits really well with the RHA product line because again, it's the most natural. It's got an indication around dynamic wrinkles and folds, meaning it's designed to move naturally with facial expression and make sure it looks very natural. And, you know, we're still in a small number of accounts, so we have the benefit of being in growth mode. The top of the market seems to be pretty steady.

Tobin Schilke: Yeah, I appreciate the question, Louis and Stacy. You know, before I finish it, we would like to drive attention to a numerical error on the second quarter release. We should have said that we ended the second quarter at over 8,000 aesthetic accounts in over 42,100 accounts that have ordered Daxify. I apologize about that, and the speech to Stacy's confusion earlier in your confusion away, so again, it should be 8,000 aesthetic and 4,200 Daxify accounts.

Mark Foley: And I'll speak to Stacy's confusion earlier and your confusion, Uy. So again, it should be 8,000 aesthetic and 4,200 Daxify. Thanks.

Speaker Change: Yeah, and I appreciate the question, Uli and Stacey. You know, before I finish it, we would like to draw your attention to a numerical error on the second quarter release.

Toby Teat: We should have said that we ended the second quarter at over 8,000 aesthetic accounts in over 42, 100 accounts that have ordered to justify.

Lachlan Hanbury: And I think we've seen that in past times with, you know, even an economic downturn in 2008, and I think it's a lower cost treatment procedure. And I think once people get used to the outcome, it's a little bit like hair color where they feel now they need my wrinkles to back and go. So the top of the market feels more stable and steady. The filler market's been a little more soft, but obviously with the print that we put up in key two, we feel like, you know, we've got the product line and the strategy and the execution to continue to drive good growth.

Speaker Change: I apologize about that, and I'll speak to Stacy's confusion earlier and your confusion, Uy, so again, it should be 8,000 aesthetic and 4,200 DAXify accounts.

Mark Foley: Thanks for clarifying that. So we on your question on the market share side of it, you know, we're one of the few companies that reports your pet's reported market share on the past. So I think it's a little harder to necessarily compare it, and as always, the debate about what the source is. But if you look at, you know, the unit growth that we saw with Daxify, the revenue growth that we've seen with Daxify. I mean, I think it's fair to conclude that, you know, we're continuing to see, you know, good, healthy metrics around what that looks like.

Mark Foley: Thanks for clarifying that. So, Uy, on your question about market share, you know, we're one of the few companies that reports or has reported market share in the past. So I think it's a little harder to necessarily compare it. And there's always the debate about what the source is.

Speaker Change: Thanks. Thanks for clarifying that, Toby.

Uy: So, Uy, on your question on the market share side of it, we're one of the few companies that reports

Speaker Change: You're a pet's reported market share in the past so I think it's a little harder to necessarily compare it in as always the debate about what the source is but if you look at

Mark Foley: But if you look at, you know, the unit growth that we saw with Daxify, the revenue growth that we've seen with Daxify, I think it's fair to conclude that, you know, we're continuing to see good, healthy metrics around what that looks like. And then on the RHA side, the same thing, given that the market filler is soft and growing 15% year over year, you know, we continue to take share on that side of it.

Speaker Change: The unit growth that we saw with Daxify, the revenue growth that we've seen with Daxify. I mean, I think it's fair to conclude that we're continuing to see good, healthy.

Alana Lelo: Thank you, the next question comes from Alana, Yulie Ear, with Mizuo, please proceed. Hey guys, thanks for taking our questions, so I guess my first question is would you be to share with us the market share that you've gained in this quarter, as you did in the previous quarter, for Daxify as well as for RHA. And secondly, what percentage of the 15% Yulie Ear growth in RHA came from the LIPS product?

Mark Foley: And then on the RHA side, the same thing, given that the market filler softness and growing 15% year over year, you know, we continue to take share on that side of it.

Speaker Change: Metrics around what that looks like. And then on the RHA side, the same thing given the market filler softness and growing 15% year over year, you know, we continue to take year on that side of it. And so I think.

Mark Foley: And so, from our perspective and in discussions with investors, I think what they're most focused on is, you know, independent of sort of what's happening in the market. Are you growing, and are you seeing good, healthy metrics? And so we feel good about sort of the metrics that we're putting up, and even in a market that has seen a little bit of softness, the overall growth there. In terms of the 15% year over year growth and the question about how much of that is attributed to Lips, that's really hard to know because even though we have an indication for RHA for Lips, we do know that practices use a variety of different SKUs to treat Lips.

Mark Foley: And so I think, you know, from our perspective and in discussions with investors, I think with what they're most focused on is, you know, independent of sort of what's happening in the market, are you growing and are you seeing good, healthy metrics. And so we feel good about sort of the metrics that we're putting up, and even in a market that is seen a little bit of softness, the overall growth there.

Speaker Change: You know, from our perspective and in discussions with investors, I think with what Zero Most Focus on is, you know, independent of sort of what's happening in the market, are you growing and are you seeing good healthy metrics and so we feel good about sort of the metrics that we're putting up.

Speaker Change: and even in a market that is seen a little bit of softness, the overall growth there.

Mark Foley: In terms of the 15% year-over-year growth and question about how much is that is attributed to lips, that's really hard to know because even though we have an indication for RHA 3, 4 lips, we do know that practices use a variety of different skews to treat the lips. They have their own sort of preference on it. And then secondly, it's hard to know whether or not the product that they use, you know, where it's used in the face. We saw good, healthy growth across the portfolio of the RHA product line. We obviously leaned in and did some other promotions and incentives and training around RHA 3.

Speaker Change: In terms of the 15% year-over-year growth and question about how much of that is attributed to lifts, that's really hard to know because

Alana Lelo: And thirdly, I just want to make sure that you guys add any account overall at all, because the press release says, you know, over 75, 100 accounts and that was what was reported in the first quarter. Thanks. Yeah, so let me hit that one first, so do you want to comment just on the account side of things? Yeah, I appreciate the question, Louis and Stacy, you know, before I finish it, we would like to draw your attention to a numerical error on the second quarter release.

Speaker Change: Even though we have an indication for RHA-3-4 lips.

Speaker Change: Um, we do know that practices use a variety of difference.

Mark Foley: They have their own sort of preference for it. And then, secondly, it's hard to know whether or not the product that they use is effective, you know, where it's used in the face. We saw good, healthy growth across the portfolio of the RHA product line. We obviously leaned in and did some other promotions and incentives, and training around RH3. And so while Lips certainly was something that we were able to leverage to create excitement and engagement, you know, we saw that translate into broader usage across the face too.

Speaker Change: Excuse to treat the lips. They have their own sort of preference on it. And then secondly, it's hard to know whether or not the product they use, you know, where it's used in the face. We saw good healthy growth across the portfolio of the RHA product line.

Mark Foley: And so, while lips certainly was something that we were able to leverage to create excitement and engagement. You know, we saw that translate into what are used to do across the face too.

Speaker Change: We obviously leaned in and did some other promotions and incentives and training around RH3, and so while let's certainly was something that we were able to leverage to create excitement and engagement, you know, we saw that translate into whatever you should do across the phase two.

Alana Lelo: We should have said that we ended the second quarter at over 8,000 aesthetic accounts and over 42, 100 accounts that have ordered Daxify. I apologize about that, and the speak to Stacy's confusion earlier in your confusion away, so again, it should be 8,000 aesthetic and 4,200 Daxify accounts. Thanks for clarifying that. So on your question on the market share side of it, you know, we're one of the few companies that reports your pet's reported market share on the past.

Mark Foley: Okay, thanks.

Operator: Great, thank you. Thank you.

Speaker Change: Okay, thanks.

Serge Belanger: The next question comes from Delano, Serge Belanger; would need help and company, please proceed. Thank you, afternoon. I have a question from Mark. We're soon rising in marketing strategy around DAXI. So just here's where the price for Vile now stands, relative to where we were a year ago, and whether you expect that we'll change over the second half of the year. And then similarly, again, I'm pricing, but on the consumer side, now that we're at one more quarter, since you drop the restrictions on the advertised pricing, what kind of movements you've seen there from your injector customers?

Operator: The next question comes from the line of Serge Belanger with Needham and Company. Please proceed.

Speaker Change: Great, thank you.

Speaker Change: Thank you.

Serge Belanger: Hey, good afternoon. First one from Mark.

Speaker Change: Hey, good afternoon. First one from Mark.

Serge Belanger: We're soon coming up on the one year anniversary of when you changed the pricing and marketing strategy around DAXI. So just curious where Royce Perval now stands relative to where we were a year ago and whether you expect that to change over the second half of the year. Similarly, again, on pricing, but on the consumer side, now that we're at one more quarter since you dropped the restrictions on advertised pricing. What kind of movements have you seen there from your Injector customers? Thanks. Yeah, thanks. So on pricing and year over year, we

Speaker Change: We're soon coming up on the one year anniversary when you change the pricing and marketing strategy around DAXI. So just curious where the

Alana Lelo: So I think it's a little harder to necessarily compare it and as always the debate about what the source is, but if you look at the unit growth that we saw with Daxify, the revenue growth that we've seen with Daxify. I mean, I think it's fair to conclude that we're continuing to see good, healthy metrics around what that looks like. And then on the RHA side, the same thing given that the market filler softness and growing 15% year over year, you know, we continue to take share on that side of it.

Mark Foley: Price per vial now stands relative to where we were a year ago and whether you expect that will change over the second half of the year.

Speaker Change: And then similarly, again, I'm pricing, but on the consumer side, now that we're at one more quarter since you interrupt the restrictions on advertising is pricing.

Mark Foley: Yeah, thanks. So, on the pricing in the year over year, we feel really good that we fit sort of the right balance right now in terms of the price that we're charging our actual injectors. And so that's settled into a nice spot, and you can see that reported in or reflected in the Q2. So we've seen good, you know, steady pricing right now at the new level. It'll move a little bit because we still have the tiered pricing based on how much they buy that can influence sort of that range, but we like where we're situated from a pricing standpoint to the practice.

Mark Foley: Yeah, thanks. So on the pricing and year over year, we feel really good that we've hit sort of the right balance right now in terms of the price that we're charging our actual injectors. And so that's, you know, settled into a nice spot. And you can see that reported in reflected in the Q2. So we've seen good, you know, steady pricing right now at the new levels. It'll move a little bit because we still have the tiered pricing based on how much they buy, that can influence sort of that range.

Alana Lelo: And so I think, you know, from our perspective and in discussions with investors, I think with what they're most focused on is, you know, independent of sort of what's happening in the market. Are you growing and are you seeing good healthy metrics? And so we feel good about sort of the metrics that we're putting up. And even in a market that is seen a little bit of softness, the overall growth there.

Speaker Change: Yeah, thanks. So on the pricing and the year-over-year, we feel really good that we fit sort of the right balance right now in terms of the price that we're charging our actual injectors. And so that's, you know,

Speaker Change: Settle into a nice spot and, you know, you can see that reported in.

Speaker Change: reflected in the Q2. So we've seen good, you know, steady pricing right now at the new levels. It'll move a little bit because we still have the tiered pricing based on how much they buy that can influence sort of that range. But we like where we're situated from a pricing standpoint to the practice.

Alana Lelo: In terms of the 15% year over year growth and question about how much is that is turning to the lips. That's really hard to know because even though we have an indication for RHA 3, 4 lips, we do know that practices use a variety of different. Excuse to treat the lips. They have their own sort of preference on it. And then secondly, it's hard to know whether or not the product that they use, you know, where it's used in the face.

Mark Foley: But we like where we're situated from a pricing standpoint. The next question is, how well is that being translated to the consumer? And are they taking sort of that lower price that we're giving to them and passing it along to the consumer? And I would say that's taken a little bit more time.

Mark Foley: The next question is that how well is that being translated to the consumer? And are they taking sort of that lower price that we're giving to them and passing along to the consumer? And I would say that's taken a little bit more time, but now we do see that our pricing is coming much more in line with competitor pricing from a consumer standpoint, which is ultimately what we wanted to happen so that, you know, we're getting out of this whole hey at a premium price, the product has to have an elevated set of performance expectations above and beyond sort of the attributes that it has, which, you know, are helping drive adoption.

Speaker Change: The next question is that how well is that being translated to the consumer and are they taking sort of that lower price that we're giving to them and passing along to the consumer? And I would say that's taken a little bit more time, but now we do see that our...

Alana Lelo: We saw good healthy growth across the portfolio of the RHA product line. We obviously leaned in and did some other promotions and incentives and training around RHA 3. And so while lips certainly was something that we were able to leverage to create excitement and engagement. You know, we saw that translate into what are used across the face too. Okay, thanks. Great, thank you. Thank you. The next question comes from Delano, Serge Belanger, would you need him and company, please proceed.

Mark Foley: But now we do see that coming much more in line with competitor pricing from a consumer standpoint, which is ultimately what we wanted to have happen so that, you know, we're getting out of this whole, hey, at a premium price, the product has to have an elevated set of performance expectations above and beyond sort of the attributes that it has, which, you know, are helping drive adoption. And so we've been encouraged by seeing that the pricing that we're giving to the injector is passed along to the consumers, and we'll continue to monitor that.

Speaker Change: [inaudible]

Speaker Change: The pricing is coming much more in line with competitor pricings from a consumer standpoint, which is ultimately what we wanted to have happen so that, you know, we're getting out of this whole.

Speaker Change: Hey, at a premium price, the product has to have a elevated set of performance expectations.

Speaker Change: above and beyond sort of the attributes that it has, which, you know, are helping drive adoption. And so we've been encouraged.

Mark Foley: But we like that, and we like where it's also situated. And so we're encouraged that as we come up to sort of the annual point where we made the price change, I think that, you know, it will also allow us to show, you know, healthy year over year gains on that as well from a revenue standpoint. You know, in terms of the advertised pricing, no advertised pricing. Yeah, I think that, you know, if we look at our awareness trends, the promotional trends that we're seeing, you know, I just think that our injectors appreciate it because they want to be able to talk about it. They want to be able to say, hey, I've got this, you know, next generation toxin.

Mark Foley: And so we've been encouraged by saying that pricing that we're given to the injector, perhaps along to the consumers, and will continue to monitor that. But we like that; we like where that's also situated. And so we're encouraged as we come up to sort of the annual point where we made the price change. I think that, you know, we'll also allow us to show, you know, healthy year-over-year gains on that as well from a revenue standpoint. You know, in terms of the, you know, the advertised pricing, you know, advertised pricing, yeah, I think that, you know, if we look at our awareness trends, the promotional trends that we're seeing, you know, I just, I think that our injectors appreciate it because they want to be able to talk about it.

Speaker Change: by saying that.

Speaker Change: Pricing that we're giving to the injector passed along to the consumers and we'll continue to monitor that but we like that we like where that's also situated and so we're encouraged that as we come up to sort of the annual point where we made the price change I think that you know it will also allow us to show you know healthy year-over-year gains on that as well from a revenue standpoint. You know in terms of the

Alana Lelo: Thank you, afternoon. I have a question from Mark. We're soon coming up on the one ear anniversary. We, when you change the pricing and marketing strategy around Daxie, so just here's where the price for a vial now stands relative to where we were a year ago, and whether you expect that we'll change over the second half of the year. And then similarly, again, I'm pricing, but on the consumer side, now that we're one more quarter since you dropped restrictions on advertised pricing.

Speaker Change: You know, the advertised pricing, you know, advertised pricing. Yeah, I think that, you know, if we look at our awareness trends, the promotional trends that we're seeing, you know, I just, I think that.

Mark Foley: They want to be able to say, hey, I've got this, you know, next generation toxin. Come ask me about it. And so I think that that's also feeding into some of the increases that, again, we're seeing in awareness in some of the growth trends that we're seeing. Thank you.

Speaker Change: Our injectors appreciate it because they want to be able to talk about it, they want to be able to say, hey, I've got this, you know, next generation toxin, come ask me about it. And so I think that that's also feeding into some of the increases that, again, we're seeing in awareness and some of the growth trends that we're seeing.

Serge Belanger: Come and ask me about it. And so I think that that's also feeding into some of the increases that, again, we're seeing in awareness about some of the growth trends that we're seeing. Thank you. Great. Thank you, Serge. Thank you. The next question comes from the line of...

Alana Lelo: What kind of movements you've seen there from your injector customers? Thanks. Yeah, thanks. So on the pricing in the year over year, we feel really good that we fit sort of the right balance right now in terms of the price that we're charging our actual injectors. And so that's, you know, settled into a nice spot. And, you know, you can see that reported in reflected in the in the Q2. So we've seen good, you know, steady pricing right now at the new level.

Mark Foley: Great, thank you. Thank you.

Alana Lelo: It'll move a little bit because we still have the tiered pricing based on how much they buy that can influence sort of that range. But we like where we're situated from a pricing standpoint to the practice. You know, the next question is that how well is that being translated to the consumer? And are they taking sort of that lower price that we're giving to them and passing along to the consumer? And I would say that's taken a little bit more time.

Navann Dietschi: The next question comes from the line of Navantai with V&P Paraba, please proceed. Hi, thanks for taking my question. First, can you discuss the procedures, market recovery in age two, and do you need that market recovery to reach the world in your guidance? And second, we'll follow up to previous question. What is the contribution of RHA 3-4-Lips to RHA performing the failure's market? Thank you.

Speaker Change: Great thanks, sir.

Operator: The next question comes from the line of Navann Thai with BNP Paribas. Hi, thanks for taking my question.

Speaker Change: Thank you.

Speaker Change: The next question comes from the line of Navann Thai with BNP Paribas. Please proceed.

Navann Thai: Hi, thanks for taking my question. First, can you discuss the fillers market recovery in H2 and do you need that market recovery to reach the revenue guidance? And second, a follow-up to a previous question,

Speaker Change: The, what is the contribution of RHA three-fold lips to RHA performing the filter's market? Thank you.

Navann Dietschi: Thanks, Devon. So, in terms of the filler market health, again, you know, even in the midst of what I would say was the softer filler market, the first half of the year, and certainly Q2, we drove really healthy revenue. And so, listen, we think that the HA market is going to continue to be robust in that longer term; the growth dynamics will be there. And so, we're continuing to focus on delivering on the revenue plan independent of the market back drop. And so we're hoping that if interest rates drop a little bit, that that will drive a little bit healthier consumer, and things like that.

Navann Thai: Thanks, Devon. So in terms of the filler market health, again, you know, even in the midst of what I would say was a softer filler market, the first half of the year, and certainly in Q2, we drove really healthy revenue. And so, listen, we think that the HA market is going to continue to be robust in the longer term; the growth dynamics will be there. And so we're continuing to focus on delivering on the revenue plan, independent of the market's reversal. And so we're hoping that, you know, interest rates drop a little bit, but that will stimulate a little bit healthier consumer and things like that.

Speaker Change: Thanks, Devon. So, in terms of the solar market health, again, you know, even in the midst of what I would say was a softer solar market, the first half of year and certainly in Q2, we drove.

Alana Lelo: But now we do see that our pricing is coming much more in line with competitor pricing is from a consumer standpoint, which is ultimately what we wanted to happen so that, you know, we're getting out of this whole. Hey, at a premium price, the product has to have an elevated set of performance expectations above and beyond sort of the attributes that has which, you know, are helping drive adoption. And so we've been encouraged by saying that pricing that we're given to the injector perhaps along to the consumers and will continue to monitor that, but we like that we like where that's also situated.

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Mark Foley: But so far, when we pulse check with the field and the customers out there, you know, we feel good about where we're situated, where we're situated today. You know, I don't know that I have anything incremental to add to the RHA-3 and sort of where it was on LIPS. I mean, LIPS being the number one procedure, it certainly helped that we were able to lean in with that. But you know, injectors were already treating LIPS with other products.

Speaker Change: You know, interest rates drop a little bit, but that will drive a little bit healthier consumer and things like that. But so far when we post check with the, you know, the field and the customers out there, and we feel good about where we're situated, where we're situated today.

Mark Foley: But so far, when we've both checked with the field and the customers out there, we feel good about where we're situated today.

Mark Foley: You know, I don't know that I have anything incremental to add on the RHA 3 and sort of where it was on lips. I mean, lips being the number one procedure certainly helped that we were able to lean in with that. But, you know, injectors were already treating lips with other products. And so it wasn't like we opened up necessarily a new indication that wasn't getting treated. It allowed us to bring a spotlight and to promote lips with the RHA 3. So it definitely helped with engagement. We had sort of a whole thing about lips.

Alana Lelo: And so we're encouraged it as we come up to sort of the annual point where we made the price change. I think that, you know, we'll also allow us to show healthy year over year gains on that as well from a revenue standpoint. You know, in terms of the, you know, the advertised pricing, you know, advertised pricing. Yeah, I think that, you know, if we look at our awareness trends, the promotional trends that we're seeing, you know, I just, I think that our injectors appreciate it because they want to be able to talk about it.

Speaker Change: I don't know that I have anything incremental to add on the RHA-3 and sort of where it was on LIPS. I mean, LIPS being the number one procedure, it certainly helped that we were able to lean in with that. But, you know,

Speaker Change: Injectors were already treating lifts with other products and so it wasn't like we opened up necessarily

Mark Foley: And so it wasn't like we opened up necessarily a new indication that wasn't getting treated. It allowed us to shine a spotlight on LIPS with the RHA-3. So it definitely helped with engagement. We had sort of a whole thing about LIPS worth framing that drove social media and digital opportunities and content sharing. But it's hard for us to sort of really know, given, as I said before, that some people will use other SKUs than RHA-3 to treat LIPS, and we don't always know exactly where they use them.

Alana Lelo: They want to be able to say, hey, I've got this, you know, next generation toxin, come ask me about it. And so I think that that's also feeding into some of the increases that, again, we're seeing in awareness. And some of the growth trends that we're seeing. Great. Thanks, George. Thank you.

Speaker Change: A new indication that wasn't getting treated, it allowed us to bring a spotlight and promote lips with the, you know, RHA3. So it definitely helps with engagement. We had sort of a whole thing about lips worth framing that throw social media and digital opportunities.

Mark Foley: We're framing that throw social media and digital opportunities and content sharing. But it's hard for us to sort of really know, given, as I said before, that some people use other skews than RHA 3 did treat the lips. And we don't always know exactly where they use it. But when it was certainly helpful for sure, and we'll continue to leverage that going forward. It wasn't just a Q2 initiative. Thank you. That's helpful. Thanks. Thanks a lot. Thank you.

Speaker Change: content sharing.

Speaker Change: But it's hard for us to sort of really know.

Speaker Change: Given, as I said before, that some people use other skews that RHA3 did treat the lips, and we don't always know exactly where they use it, but when it was certainly helpful for sure, and we'll continue to leverage that going forward, it wasn't just a Q2 initiative.

Mark Foley: But it was certainly helpful. For sure. And, you know, we'll continue to leverage that going forward. It wasn't just a Q2 initiative.

Speaker Change: Thank you. That's helpful. Thanks.

Navann Dietschi: The next question comes from the line of Navann Tye, with V&P Paraba, please proceed. Hi, thanks for taking my question.

Operator: That concludes today's conference call. Thank you. You may now disconnect your line. Great. Thank you.

Operator: That concludes today's conference call. Thank you. You may now disconnect your line.

Speaker Change: Thanks for watching!

Speaker Change: Thank you.

Speaker Change: That concludes today's conference call. Thank you. You may now disconnect your line.

Mark Foley: Great, thank you.

Navann Dietschi: First, can you discuss the procedures market recovery in age two and do you need that market recovery to reach the revenue guidance? And second, we'll follow up to a previous question. What is the contribution of RHA three four lips to RHA, performing the figures market? Thank you. Thanks, Navann. So in terms of the filler market health, again, you know, even in the midst of what I would say was a softer filler market, the first half of the year and certainly in Q2, we drove really healthy revenue.

Speaker Change: Great, thank you.

Speaker Change: Good night!

Speaker Change: [inaudible]

Navann Dietschi: And so listen, we think that the H.A, market is going to continue to be robust in that longer term, the growth dynamics will be there. And so we're continuing to focus on delivering on the revenue plan independent of the market back to drop. And so we're hoping that, you know, interest rates drop a little bit, but that will drive a little bit healthier consumer and things like that. But so far, when we pulse check with the, you know, the field and the customers out there, we feel good about where we're situated, where we're situated today.

Mark Foley: You know, I don't know that I have anything incremental to add on the RHA three and sort of where it was on lips. I mean, lips being the number one procedure certainly helped that we were able to lean in with that. But, you know, injectors were already treating lips with other products. And so it wasn't like we opened up necessarily a new indication that wasn't getting treated. It allowed us to bring a spotlight and to promote lips with the, you know, RHA three.

Mark Foley: So it definitely helped with engagement. We had sort of a whole thing about lips. We're framing that throughout social media and digital opportunities and content sharing. But it's hard for us to sort of really know, given as I said before, that some people use other skews that RHA three did treat the lips. And we don't always know exactly where they use it. But when it was certainly helpful for sure. And, you know, we'll continue to leverage that going forward.

Navann Dietschi: It wasn't just a queue through a queue to initiative. Thank you. That's helpful. Thanks. Thanks a lot. Thank you.

Operator: That concludes today's conference call. Thank you. You may now disconnect your line. Great. Thank you. Good bye.

Q2 2024 Revance Therapeutics Inc Earnings Call

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