Q1 2025 Collegium Pharmaceutical Inc Earnings Call

And the answer session will follow the formal presentation. If anyone should require operator assistance. During this conference call. Please press star zero on your telephone keypad.

Speaker Change: [music].

Speaker Change: Please note that this conference call is being recorded I will now turn the call over to Ian Karp head of Investor Relations at Collegium. Thank you you may begin.

Victor Konami: Thanks, Maria and welcome to Collegium Pharmaceuticals first quarter earnings Conference call I'm joined today by Victor Konami, Our President and Chief Executive Officer, calling tougher, our Chief Financial Officer, and Scott Dreyer, Our Chief commercial officer.

Speaker Change: Before we begin today's call we want to remind participants that none of the information presented today is intended to be promotional and that any forward. Looking statements made today are made pursuant to the safe Harbor provisions of the private Securities Litigation Reform Act of 1995 <unk>.

Speaker Change: You are cautioned that such forward looking statements involve risks and uncertainties, including and without limitation. The risks that we may not be able to successfully commercialize our products that we may be that remaining for significantly expense in doing so and that we may not prevail in current or future litigation pertaining to our business. These risks and other risks of the company are detailed in the company's periodic reports.

Speaker Change: Filled with the SEC.

Speaker Change: Our future results may differ materially from our current expectations discussed today.

Speaker Change: Our earnings press release, and this call will include discussions of certain non-GAAP information you can find our press release, including relevant non-GAAP reconciliations on our corporate website and with that I'll now turn the call over to our president and CEO Vikram Cardone.

Vikram Cardone: Thank you Ian good afternoon, and thank you for joining the call today, we will discuss <unk> first quarter 2025 financial performance and provide an update on the company's recent progress.

Vikram Cardone: As Collegium embarks on a new phase of growth, we remain committed to three very clear strategic priorities first to drive significant growth in Jordan APM.

Vikram Cardone: Second to maximize the value of our pain portfolio and third to strategically deploy capital to further enhance shareholder value.

Vikram Cardone: I am pleased to report we have made significant progress on each of these three priorities in the first quarter and importantly, these accomplishments bring us one step closer towards achieving our goal of building a leading diversified biopharmaceutical company.

Vikram Cardone: Collegium was founded with an ambition to become the leader in responsible pain management and we've spent the past decade building a portfolio of differentiated responsible pain medicines.

Vikram Cardone: Today, we are the leader in responsible pain management.

Vikram Cardone: And have also expanded our vision further as we strive to improve the lives of people living with serious medical conditions beyond pain.

Vikram Cardone: In fact, we have already begun to diversify our business through the acquisition last year of an important medicine, Jordan APM for the treatment of ADHD.

Speaker Change: None of our past success would have been possible without the leadership of our founder Mike Heffernan, who will be retiring as chairman of our board of directors in the coming weeks.

Speaker Change: I'd like to take this opportunity to formally thank Mike for his dedication to patients is bold strategic vision and for positioning the company for continued growth in 2025 and beyond.

Speaker Change: I'd also like to recognize our employees for the critical role that they play in our growth and success.

Speaker Change: <unk> dedication to fostering a collaborative transparent and engaged culture was recently celebrated by our recognition in USA today's top workplaces list for the second year in a row as well as the Boston business Journal's Best places to work.

Speaker Change: I would like to extend a big thank you to our entire team for their steadfast commitment to our mission and the patients we serve.

Speaker Change: During the first quarter, we delivered strong performance, including 23% year over year revenue growth and significant cash flow generation.

Speaker Change: As expected we saw the largest growth come from our ADHD medicine journey.

Speaker Change: In our second full quarter of ownership.

Speaker Change: Prescriptions grew 24% year over year and generated $28 5 million in net revenue.

Speaker Change: We continue to expect full year journey net revenue to be in excess of $135 million, representing at least 34% annual growth from 2024.

Speaker Change: Importantly, our business continues to be highly profitable and our ability to generate significant cash flows allows us to invest for the future.

Speaker Change: We recently completed the expansion of our joint sales force, adding approximately 55, new sales representatives, bringing the total ADHD salesforce to about 180 reps. They are now fully trained deployed and focus on accelerating further prescription growth.

Speaker Change: In our pain portfolio, we generated another quarter of solid revenues with $149 2 million in sales up 3% year over year.

Speaker Change: All three of our pain medicines generated single digit revenue growth year over year in line with our expectations.

Speaker Change: In addition to these achievements. We also made important additions to our leadership team and board of directors further positioning Collegium for continued success.

Speaker Change: [music].

Speaker Change: We announced updates to our executive leadership team welcoming David dealer as executive Vice President and General Counsel.

Speaker Change: <unk> as executive Vice President strategy, and commercial development and Dean Patras as Chief people Officer.

Speaker Change: These proven industry leaders bring a strong track record of success and will be essential as we continue to grow and diversify our business.

Speaker Change: We also announced updates to our board of directors founder and Chairman, Michael Heffernan and Board member Gwen Malenkov will retire from Collegium sport at the annual General meeting on May 15th 2025, NGL Santini. The board's lead independent director has been nominated to become chairman.

Speaker Change: Dr. Carlos Pyre will there'll be nominated to the board and presented for shareholder approval at the AGM.

Speaker Change: These updates followed a recently announced appointment of Nancy Lurker to the board in February 2025, and reflect the boards ongoing focus on board refreshment and board succession planning and.

Speaker Change: And finally, we announced today our board has authorized a $25 million accelerated share repurchase program reinforcing our commitment to return value to shareholders.

Speaker Change: As we continue to grow our business our strategy will remain focused on driving significant growth for journey, maximizing our pain portfolio and strategically deploying capital to create value for our shareholders.

Speaker Change: G&A is highly differentiated as the only stimulant ADHD medicine with convenient evening dosing.

Speaker Change: Duvernay provide symptom control upon a weakening in the morning and throughout the day limiting the need for an additional booster.

Speaker Change: Our targeted investments throughout 2025, including our expanded sales force and marketing efforts position G&A for both near term growth and significant momentum in 2026 and beyond.

Speaker Change: We also remain dedicated to maximizing and enhancing the durability of our pain portfolio to generate significant operating cash flows.

Speaker Change: As evidenced by our first quarter performance, including year over year revenue growth for BELBUCA, <unk> ER and the NUCYNTA franchise. The pain portfolio continues to provide a strong financial foundation for the company. We are confident in the durability of our pain medicines and their ability to continue to drive cash generation.

Speaker Change: <unk>.

Speaker Change: Our third priority is to strategically deploy.

Speaker Change: Our capital as we seek to further grow our business and create value for shareholders.

Speaker Change: We are focused on diversifying and expanding our portfolio of medicines through disciplined business development.

Speaker Change: Rapid and paying down debt and Opportunistically repurchasing shares in the first quarter, we generated $55 4 million in cash from operations growing our cash position to nearly $200 million, which is up $35 million from year end, while also paying down an additional $16 1 million of debt.

Speaker Change: In terms of future business development as we continue to assess potential external opportunities. We do so from a position of financial strength. This is especially important given the broader political and economic pressures occurring right now within the overall health care sector.

Speaker Change: Before I turn the call over to Scott to give you more detailed commercial update I'd like also to provide a bit of context regarding the potential impact of tariff policies. Both here in the U S and across the globe.

Speaker Change: We do not expect recently announced tariffs to impact Allegiant business in any material way for the foreseeable future.

Speaker Change: All of our medicines are primarily sourced and manufactured in the U S. In addition, the overwhelming majority of our medicines are sold exclusively in the U S.

Speaker Change: 2025 is shaping up to be an exciting year for Collegium and we look forward to providing additional updates as the year progresses.

Scott: With that I will now turn it over to Scott.

Scott: Thanks, Vikram and good afternoon, everyone.

Scott: Joining is off to an extremely strong start to the year a clear continuation of the positive momentum we generated in 2024 and importantly, recent script growth was accomplished in advance of our field force expansion and any new commercial initiatives, we are deploying through the remainder of the year.

Scott: Underpinning this growth is joining as highly differentiated product profile.

Scott: As the only stimulant ADHD medicine with once daily evening dosing that provide symptom control upon awakening through the afternoon entity evening, which can limit the need for short acting stimulant add ons. This is important for pediatric adolescent and adult patients because it eliminates the need to dose throughout the day at school or at <unk>.

Scott: Work.

Scott: In fact in market research Hcp's ranked G&A as the number one recognized brand both for achieving all day symptom control with one dose and for controlling evening symptoms after school or work.

Scott: Joining is also the highest rated brand in terms of product favorability and when patients and caregivers request to try G&A Hcp's honor that request.

Scott: We plan to further leverage this dynamic through targeted marketing efforts for the remainder of the year.

Speaker Change: [music].

Scott: The first quarter of 2025, our second full quarter of G&A. Our ownership was marked by significant prescription growth.

Scott: This growth was particularly impressive when you consider the typical first quarter headwinds that can impact branded drugs in the highly genericize ADHD category as annual patient deductibles reset and out of pocket cost to patients increase in.

Jordan: In fact prescriptions during the quarter grew 24% year over year, and Jordan as market share of the long acting branded methylphenidate market increased to 23% up six 4% year over year.

Jordan: Importantly, <unk> has broad and growing prescriber base with over 25000 prescribers in the first quarter up 22% compared to the first quarter of 2024.

Jordan: This growing base of prescribers is a further testament to the impact of our sales force as they work to educate the health care community on G&A as differentiated profile.

Jordan: We see significant additional opportunities for G&A and are committed to investing in the brand to maximize its full potential.

Jordan: We've identified two main areas to make targeted investments first increasing awareness and adoption within an expanded set of prescribers.

Operator: A question and answer session will follow the formal presentation. If anyone should require operator assistance during this conference call, please press star zero on your telephone keypad. Please note that this conference call is being recorded.

Jordan: Raising awareness of Joern as unique and differentiated profile among patients and caregivers to drive HCP requests.

And out of pocket cost to patients increase.

Speaker Change: In fact prescriptions during the quarter grew 24% year over year, and Jordan as market share of the long acting branded methylphenidate market increased to 23% up six 4% year over year.

Jordan: Let's start with the primary action, we are taking to raise awareness and adoption among health care providers, we recently.

Ian Karp: I will now turn the call over to Ian Karp, Head of Investor Relations at Collegium. Thank you. You may begin.

Jordan: We completed the expansion of our sales force, adding approximately 55, new representatives, who are fully trained and deployed as of April.

Speaker Change: Importantly, <unk> has broad and growing prescriber base with over 25000 prescribers in the first quarter up 22% compared to the first quarter of 2024.

Ian Karp: Thanks, Maria, and welcome to Collegium Pharmaceutical's first quarter earnings conference. I'm joined today by Vikram Karnani, our President and Chief Executive Officer, Colleen Tupper, our Chief Financial Officer, and Scott Dreyer, our Chief Commercial Officer.

Jordan: Our expanded sales force, which is now a 180 representatives is targeting approximately 21000 prescribers.

Jordan: From 17000 targets prior to our expansion.

Speaker Change: This growing base of prescribers is a further testament to the impact of our sales force as they work to educate the health care community on G&A as differentiated profile.

Ian Karp: Before we begin today's call, we want to remind participants that none of the information presented today is intended to be promotional and that any forward-looking statements made today are made pursuant to the safe harbor provisions of the Private Securities Litigation Reform Act of 1995. You're a caution that such forward looking statements involve risks and uncertainties, including and without limitation, the risk that we may not be able to successfully commercialize our products, that we may be that we may incur significant expense in doing so, and that we may not prevail in current or future litigation pertaining to our business.

Jordan: We expect our expanded sales force to drive increased adoption of G&A and generate prescription growth in line with our guidance for the year, we expect to realize the full impact of the expanded sales force in 2026 and beyond.

Speaker Change: We see significant additional opportunities for G&A and are committed to investing in the brand to maximize its full potential.

Jordan: In addition to expanding the reach of our sales force. We believe it's important to further educate patients and caregivers on the unique benefits of G&A.

Speaker Change: We've identified two main areas to make targeted investments first increasing awareness and adoption within an expanded set of prescribers.

Speaker Change: Raising awareness of Jordan as unique and differentiated profile among patients and caregivers to drive HCP requests.

Jordan: Research indicates patient and caregiver requests are top influencer of HCP trial and today patient.

Ian Karp: These risks and other risks of the company are detailed in the company's periodic reports filed with the SEC.

Jordan: Patients and caregivers still have limited knowledge of G&A and its differentiated profile.

Speaker Change: Let's start with the primary action, we are taking to raise awareness and adoption among health care providers, we recently.

Ian Karp: Our future results may differ materially from our current expectations discussed.

Jordan: To raise awareness, we're launching new digital marketing and social media initiatives, along with new patient support materials, all designed to motivate patients to speak with their health care providers about G&A.

Speaker Change: We completed the expansion of our sales force, adding approximately 55, new representatives, who are fully trained and deployed as of April.

Ian Karp: Our earnings press release and this call will include discussions of certain non-GAAP information. You can find our press release, including relevant non-GAAP reconciliations, on our corporate website.

Speaker Change: Our expanded sales force, which is now a 180 representatives is targeting approximately 21000 prescribers.

Jordan: We will launch these new campaigns in advance of the back to school season.

Vikram Karnani: And with that, I'll now turn the call over to our president and CEO, Vikram Karnani. Thank you, Ian. Good afternoon, and thank you for joining the call.

Jordan: With <unk> current prescription and prescriber growth trajectory strong market access coverage and targeted investments joining is well on its way to becoming Collegium lead growth driver in 2025 and beyond.

Speaker Change: From 17000 targets prior to our expansion.

Speaker Change: We expect our expanded sales force to drive increased adoption of G&A and generate prescription growth in line with our guidance for the year, we expect to realize the full impact of the expanded sales force in 2026 and beyond.

Vikram Karnani: Today we will discuss Collegium's first quarter 2025 financial performance and provide an update on the company's recent progress. As Collegium embarks on a new phase of growth, we remain committed to three very clear strategic priorities. first to drive significant growth in journey PM Second, to maximize the value of our paying portfolio. And third, to strategically deploy capital to further enhance shareholder value. I am pleased to report we have made significant progress on each of these three priorities in the first quarter. And importantly, these accomplishments bring us one step closer towards achieving our goal of building a leading diversified biopharmaceutical company.

Jordan: Collegium has a history and reputation of being the leader in responsible pain management with a unique and differentiated portfolio of medicines.

Speaker Change: In addition to expanding the reach of our sales force. We believe it's important to further educate patients and caregivers on the unique benefits of G&A.

Jordan: BELBUCA <unk> and NUCYNTA ER collectively represent over half of the branded ER market, demonstrating the ongoing strength and reach of our portfolio.

Speaker Change: Market research indicates patient and caregiver requests are top influencer of HCP trial and today patient.

Jordan: Our pain portfolio delivered another strong quarter right in line with our expectations.

Speaker Change: Patients and caregivers still have limited knowledge of G&A and its differentiated profile.

Jordan: Total revenue growth for the portfolio was 3% year over year with all three medicines generating low single digit revenue growth.

Speaker Change: To raise awareness, we're launching new digital marketing and social media initiatives, along with new patient support materials, all designed to motivate patients to speak with their health care providers about G&A.

Jordan: As expected total prescriptions across the pain portfolio were pressured by both typical first quarter dynamics, where deductibles reset and out of pocket costs increase for patients as well as recent formulary changes impacting individual brands.

Vikram Karnani: Collegium was founded with an ambition to become the leader in responsible pain management. And we've spent the past decade building a portfolio of differentiated responsible pain medicine. Today, we are the leader in responsible pain management. and have also expanded our vision further as we strive to improve the lives of people living with serious medical conditions beyond pain.

Speaker Change: We will launch these new campaigns in advance of the back to school season.

Speaker Change: With <unk> current prescription and prescriber growth trajectory strong market access coverage and targeted investments joining is well on its way to becoming Collegium lead growth driver in 2025 and beyond.

Jordan: However, these script declines were in line with our expectations and offset by profitability improvements, which led to overall revenue growth in the quarter.

Vikram Karnani: In fact, we have already begun to diversify our business through the acquisition last year of an important medicine, Jornet PM, for the treatment of ADHD.

Jordan: Importantly, the business is performing as expected and continues to show great durability.

Speaker Change: Collegium has a history and reputation of being the leader in responsible pain management with a unique and differentiated portfolio of medicines Bell.

Jordan: While the overall pain market continues to decline in line with our expectations. We continue to see that there's ample market opportunity for our portfolio of differentiated medicines.

Vikram Karnani: None of our past success would have been possible without the leadership of our founder, Mike Heffernan, who will be retiring as Chairman of our Board of Directors in the coming weeks. I'd like to take this opportunity to formally thank Mike for his dedication to patience, his bold strategic vision, and for positioning the company for continued growth in 2025 and beyond. I'd also like to recognize our employees for the critical role that they play in our growth and Collegium's dedication to fostering a collaborative, transparent and engaged culture was recently celebrated by our recognition in USA Today's top workplaces list for the second year in a row, as well as the Boston Business Journal's Best Places to Work.

Speaker Change: BELBUCA stamps and NUCYNTA ER collectively represent over half of the branded ER market, demonstrating the ongoing strength and reach of our portfolio.

Jordan: For example, BELBUCA remains the only long acting opioid that uses buprenorphine buccal film technology in market research. It was ranked as the number one brand in ER opioid in terms of product differentiation and favorability.

Our pain portfolio delivered another strong quarter right in line with our expectations.

Speaker Change: Total revenue growth for the portfolio was 3% year over year with all three medicines generating low single digit revenue growth.

Jordan: Similarly, ex Samsung the only extended release Oxycodone medicine that uses our proprietary best in class abuse deterrent technology <unk> was ranked as the number one ER oxycodone medicine in terms of product differentiation and favorability.

Speaker Change: As expected total prescriptions across the pain portfolio were pressured by both typical first quarter dynamics, where deductibles reset and out of pocket costs increase for patients as well as recent formulary changes impacting individual brands.

Jordan: We continue to believe that the revenue and cash flows generated from our differentiated pain portfolio will remain durable in both the near and mid term importantly.

Speaker Change: However, these script declines were in line with our expectations and offset by profitability improvements, which led to overall revenue growth in the quarter.

Vikram Karnani: I would like to extend a big thank you to our entire team for their steadfast commitment to our mission and the patients we serve. During the first quarter, we delivered strong performance, including 23% year-over-year revenue growth and significant cash flow generation. As expected, we saw the largest growth come from our ADHD medicine journey. in our second full quarter of ownership. Prescriptions grew 24% year over year and generated 28.5 million in net revenue. We continue to expect full-year journey net revenue to be in excess of $135 million, representing at least 34% annual growth from 2024. Importantly, our business continues to be highly profitable and our ability to generate significant cash flows allows us to invest for the future.

Jordan: Importantly, we believe the lifecycle of these medicines may prove to be longer and more robust than is currently appreciated by the market.

Speaker Change: Importantly, the business is performing as expected and continues to show great durability.

Speaker Change: While the overall pain market continues to decline in line with our expectations. We continue to see that there's ample market opportunity for our portfolio of differentiated medicines.

Jordan: Ex Samsung for example, does not lose exclusivity until September of 2033.

Jordan: And the exclusivity for NUCYNTA ER and NUCYNTA IR were recently extended to July of 2027 and January of 2027, respectively.

Speaker Change: For example, BELBUCA remains the only long acting opioid that uses buprenorphine buccal film technology.

Jordan: Overall, I am proud of our commercial execution. So far this year, which includes generating impressive growth for G&A completing the expansion of our ADHD salesforce and delivering solid performance with our core pain business.

Speaker Change: In market research. It was ranked as the number one branded ER opioid in terms of product differentiation and favorability.

Speaker Change: Similarly at Samsung the only extended release Oxycodone medicine that uses our proprietary best in class abuse deterrent technology deter acts was ranked as the number one ER oxycodone medicine in terms of product differentiation and favorability.

Jordan: We remain well positioned to deliver on our commercial priorities for 2025.

Jordan: And to support our next phase of growth.

Jordan: I'll now hand, the call over to Colleen to discuss financial highlights.

Vikram Karnani: We recently completed the expansion of our Journey sales force, adding approximately 55 new sales representatives, bringing the total ADHD sales force to about 180 reps. They are now fully trained, deployed, and focused on accelerating further prescription growth. In our paying portfolio, we generated another quarter of solid revenues with $149.2 million in sales, up 3% year over year. All three of our pain medicines generated single digit revenue growth year over year in line with our expectations.

Speaker Change: We continue to believe that the revenue and cash flows generated from our differentiated pain portfolio will remain durable in both the near and midterm.

Jordan: Okay.

Colleen: Thanks, Scott Good afternoon, everyone in the first quarter of 2025, we delivered strong financial results, including growing revenue, 23% year over year, making targeted investments in our lead growth driver, joining and generating strong cash flows from our teen business.

Speaker Change: Importantly, we believe the lifecycle of these medicines may prove to be longer and more robust than it's currently appreciated by the market.

Speaker Change: Ex Samsung for example, does not lose exclusivity until September of 2033.

Colleen: Financial highlights for the first quarter of 2025 include net product revenues were $177 8 million up 23% year over year.

Speaker Change: And the exclusivity for NUCYNTA ER and NUCYNTA IR were recently extended to July of 2027 and January of 2027, respectively.

Colleen: Net revenue was $28 5 million, which represents our second full quarter of ownership.

Vikram Karnani: In addition to these achievements, we also made important additions to our leadership team and board of directors further positioning Collegium for continued We announce updates to our executive leadership team, welcoming David Dieter as Executive Vice President, General Counsel, Jane Gonneman as Executive Vice President, Strategy and Commercial Development, and Dean Patras as Chief People Officer. These proven industry leaders bring a strong track record of success and will be essential as we continue to grow and diversify our business.

Speaker Change: Overall, I am proud of our commercial execution. So far this year, which includes generating impressive growth for joining completing the expansion of our ADHD salesforce and delivering solid performance with our core pain business.

Colleen: BELBUCA net revenue was $51 7 million up 2% year over year.

Colleen: <unk> net revenue was $47 6 million up 4% year over year and NUCYNTA franchise net revenue was $47 1 million up 4% year over year.

Speaker Change: We remain well positioned to deliver on our commercial priorities for 2025.

Speaker Change: And to support our next phase of growth.

Speaker Change: I'll now hand, the call over to Colleen to discuss financial highlights.

Colleen: GAAP operating expenses were $75 6 million up 80% year over year.

Yeah.

Colleen: Thanks, Scott Good afternoon, everyone in the first quarter of 2025, we delivered strong financial results, including growing revenue, 23% year over year, making targeted investments in our lead growth driver journey and generating strong cash flows from our teen business.

Colleen: non-GAAP adjusted operating expenses were $62 2 million up 80% year over year. The increase in operating expenses reflects ongoing costs to commercialized journey as well as the targeted investments we've made to drive growth, including the expansion of our sales force.

Vikram Karnani: We also announced updates to our Board of Directors.

Vikram Karnani: Founder and Chairman Michael Heffernan and Board Member Gwen Mellinkoff will retire from Collegium's Board at the Annual General Meeting on May 15, 2025, and Gino Santini, the Board's Lead Independent Director, has been nominated to become Chairman. Dr. Carlos Paya will be nominated to the board and presented for shareholder approval at the AGM. These updates follow the recently announced appointment of Nancy Lerker to the board in February 2025 and reflect the board's ongoing focus on board refreshment and board succession.

Colleen: GAAP net income was $2 4 million compared to net income of $27 7 million in the first quarter of 2024.

Colleen: Highlights for the first quarter of 2025 include net product revenues were 177 8 million.

Colleen: As a reminder, net income in the first quarter was impacted by expenses associated with the iron ore acquisition as well as the executive transition expenses that do not represent ongoing operations.

Colleen: 23% year over year.

Colleen: <unk> net revenue was $28 5 million, which represents our second full quarter of ownership.

Colleen: BELBUCA net revenue was $51 7 million up 2% year over year <unk>.

Colleen: non-GAAP adjusted EBITDA was $95 2 million up 3% year over year.

Colleen: <unk> net revenue was $47 6 million up 4% year over year and NUCYNTA franchise net revenue was $47 1 million up 4% year over year.

Vikram Karnani: And finally, we announced today, our board has authorized a $25 million Accelerated Share Repurchase Program, reinforcing our commitment to return value to shareholders. As we continue to grow our business, our strategy will remain focused on driving significant growth for Journey, maximizing our pain portfolio, and strategically deploying capital to create value for our shareholders. Journey is highly differentiated as the only stimulant ADHD medicine with convenient evening dosing. Your innate provides symptom control upon awakening in the morning and throughout the day, limiting the need for an additional boost. Our targeted investments throughout 2025, including our expanded sales force and marketing efforts, position Journey for both near-term growth and significant momentum in 2026 and beyond.

Colleen: GAAP earnings per share was <unk> <unk> basic and <unk> <unk> diluted in the first quarter compared to GAAP earnings per share of <unk> 86, basic and <unk> 71 diluted in the prior year period.

Colleen: GAAP operating expenses were $75 6 million up 80% year over year.

Colleen: non-GAAP adjusted earnings per share was $1 49 in the first quarter versus $1 45 in the first quarter of 2024.

Colleen: non-GAAP adjusted operating expenses were $62 2 million up 80% year over year. The increase in operating expenses reflects ongoing costs to commercialized journey as well as the targeted investments we've made to drive growth, including the expansion of our sales force.

Colleen: Please see our press release issued earlier today for a reconciliation of GAAP to non-GAAP results in.

Colleen: In addition, we generated $55 $4 million in cash from operations and ended the quarter with $197 8 million in cash cash equivalents and marketable securities as of March 31st up $35 million from the end of the year.

Colleen: GAAP net income was $2 4 million compared to net income of $27 7 million in the first quarter of 2024.

Colleen: As a reminder, net income in the first quarter. It was impacted by expenses associated with the iron for acquisition as well as the executive transition expenses that do not represent ongoing operations.

Colleen: We are reaffirming our 2025 financial guidance, we expect net product revenues in the range of 735% to $750 million, an 18% increase year over year. This increase was primarily driven by G&A, which we expect to generate net revenue in excess of 100.

Vikram Karnani: We also remain dedicated to maximizing and enhancing the durability of our pain portfolio to generate significant operating cash. As evidenced by our first quarter performance, including year-over-year revenue growth for Belbuca, Extamsa ER, and the Lucinda franchise, the Payne portfolio continues to provide a strong financial foundation for the company. We are confident in the durability of our Payne medicines and their ability to continue to drive cash generation. Our third priority is to strategically deploy our capital as we seek to further grow our business and create value for shareholders. We are focused on diversifying and expanding our portfolio of medicines through disciplined business development, rapidly paying down debt, and opportunistically repurchasing shares.

Colleen: non-GAAP adjusted EBITDA was $95 2 million up 3% year over year gap.

Colleen: GAAP earnings per share was eight cents basic and <unk> <unk> diluted in the first quarter compared to GAAP earnings per share of <unk> 86 cents basic and <unk> 71 cents diluted in the prior year period.

Colleen: $35 million supported by continued performance across our pain portfolio.

Colleen: We expect adjusted EBITDA in the range of $435 million to $450 million, representing 10% growth year over year and adjusted operating expenses in the range of $220 million to $230 million.

Colleen: non-GAAP adjusted earnings per share was $1 49 in the first quarter versus $1.45 in the first quarter of 2024. Please.

Colleen: Please see our press release issued earlier today for a reconciliation of GAAP to non-GAAP results.

Colleen: The growth in adjusted operating expenses reflects targeted investments to support Jordan, a near term growth and drive significant momentum in 2026 and beyond.

Colleen: In addition, we generated $55 $4 million in cash from operations and ended the quarter with $197 $8 million in cash cash equivalents and marketable securities as of March 31st up $35 million from the end of the year.

Colleen: We expect quarterly adjusted operating expenses to trend down in the second half of the year.

Vikram Karnani: In the first quarter, we generated $55.4 million in cash from operations, growing our cash position to nearly $200 million, which is up $35 million from year end, while also paying down an additional $16.1 million of debt. In terms of future business development, as we continue to assess potential external opportunities, we do so from a position of financial strength. This is especially important given the broader political and economic pressures occurring right now within the overall healthcare. Before I turn the call over to Scott to give a more detailed commercial update, I'd like also to provide a bit of context regarding the potential impact of tariff policies both here in the U.S.

Colleen: We remain committed to strategically deploying capital to create value for our shareholders as demonstrated by our targeted investments in G&A to accelerate growth continued focus on evaluating opportunities to expand our portfolio through business development and rapid repayment of debt. We also.

Colleen: We are reaffirming our 2025 financial guidance, we expect net product revenues in the range of $735 million to $750 million, an 18% increase year over year. This increase was primarily driven by journey, which we expect to generate net revenue in excess of 135.

Colleen: A strong track record of returning value to our shareholders through share repurchases and our board recently authorized a $25 million accelerated share repurchase as part of our $150 million program.

Colleen: $5 million supported by continued performance across our pain portfolio.

Colleen: We expect adjusted EBITDA in the range of 435 to 450 million, representing 10% growth year over year and adjusted operating expenses in the range of $220 million to $230 million.

Colleen: We ended the first quarter with net leverage of one five times net debt to EBITDA and we expect to end 2025 with net leverage of less than one time.

Vikram Karnani: and across the globe. We do not expect recently announced tariffs to impact Collegium's business in any material way for the foreseeable future. All of our medicines are primarily sourced and manufactured in the U.S. In addition, the overwhelming majority of our medicines are sold exclusively in the U.S.

Colleen: We repaid $16 $1 million of our term loan this quarter and expect to repay an additional $48 $848 $4 million during the remainder of 2025.

Colleen: The growth in adjusted operating expenses reflects targeted investments to support Jordan, a near term growth and drive significant momentum in 2026 and beyond.

Speaker Change: We expect quarterly adjusted operating expenses to trend down in the second half of the year.

Vikram Cardone: I will now turn the call back to Vikram.

Colleen: Yeah.

Vikram Cardone: Thanks Colleen.

Speaker Change: We remain committed to strategically deploying capital to create value for our shareholders as demonstrated by our targeted investments in G&A to accelerate growth continued focus on evaluating opportunities to expand our portfolio through business development and rapid repayment of debt.

Speaker Change: We are proud of our strong performance in the first quarter, we generated stable cash flows from our pain portfolio drove impressive growth in G&A.

Vikram Karnani: 2025 is shaping up to be an exciting year for Collegium, and we look forward to providing additional updates as the year progresses.

Speaker Change: Our balance sheet and made investments to fuel our next phase of growth.

Scott Dreyer: With that, I will now turn it over. Thanks, Vikram, and good afternoon, everyone. Journey is off to an extremely strong start to the year, a clear continuation of the positive momentum we generated in 2024. And importantly, recent script growth was accomplished in advance of our field force expansion and any new commercial initiatives we're deploying through the remainder of the year. Underpinning this growth is Journey's highly differentiated product profile. It's the only stimulant ADHD medicine with once daily evening dosing that provides symptom control upon awakening through the afternoon and into the evening, which can limit the need for short acting stimulant add-ons.

Speaker Change: We are on track to achieve our 2025 financial guidance and look to the future beyond 2025 from a position of financial strength.

Speaker Change: We also have a strong track record of returning value to our shareholders through share repurchases and our board recently authorized a $25 million accelerated share repurchase as part of our $150 million program.

Speaker Change: Main focused on creating shareholder value and the strength of our balance sheet gives us the flexibility to maximize and grow our existing portfolio of differentiated medicines. While also prioritizing further diversification through disciplined business development and returning value to shareholders through share repurchases.

Speaker Change: We ended the first quarter with net leverage of one five times net debt to EBITDA and we expect to end 2025 with net leverage of less than one time.

Speaker Change: With the Jordan well on its way to becoming a lead growth driver supported by the long term durability of our pain portfolio and an industry leading executive team. We are confident as we enter our next phase of growth.

Speaker Change: We repaid $16 $1 million of our term loan this quarter and expect to repay an additional 48.8 $48 $4 million during the remainder of 2025.

Scott Dreyer: This is important for pediatric, adolescent, and adult patients because it eliminates the need to dose throughout the day, at school, or at work. In fact, in market research, HCPs rank Journey as the number one recognized brand, both for achieving all-day symptom control with one dose and for controlling evening symptoms after school or work. Journey is also the highest rated brand in terms of product favorability, and when patients and caregivers request to try Journey, HCPs honor that request. We plan to further leverage this dynamic through targeted marketing efforts for the remainder of the year. The first quarter of 2025, our second full quarter of journey ownership was marked by significant prescription growth.

Speaker Change: Ultimately our greatest success will be our ability to improve the lives of people living with serious medical conditions.

Vikram: I will now turn the call back to Vikram.

Vikram: Thanks Colin.

Speaker Change: We are proud of our strong performance in the first quarter, we generated stable cash flows from our pain portfolio growth impressive growth in G&A strengthen our balance sheet and made investments to fuel our next phase of growth.

Speaker Change: I will now open the call up for questions operator.

Speaker Change: Okay.

Speaker Change: Thank you we will now be conducting a question and answer session. If you would like to ask a question. Please press star one on your telephone keypad, a confirmation tone will indicate your line is in the question queue. You May Press Star two if you would like to remove your question from the queue.

Speaker Change: We are on track to achieve our 2025 financial guidance and look to the future beyond 2025 from a position of financial scale.

Speaker Change: We remain focused on creating shareholder value and the strength of our balance sheet gives us the flexibility to maximize and grow our existing portfolio of differentiated medicines. While also prioritizing further diversification through disciplined business development and returning value to shareholders through share repurchases.

Speaker Change: For participants using speaker equipment, it may be necessary to pick up your handset before pressing the star keys, one moment. Please poll for questions.

Speaker Change: Our first question comes from Les Sulewski with <unk> Securities. Please proceed with your question.

Scott Dreyer: This growth was particularly impressive when you consider the typical first-quarter headwinds that can impact branded drugs in the highly genericized ADHD category. As annual patient deductibles reset, an out-of-pocket cost to patients increased. In fact, prescriptions during the quarter grew 24% year-over-year, and Journey's market share of the long-acting branded methylphenidate market increased to 20.3%, up 6.4% year-over-year. Importantly, Journey has broad and growing prescriber base with over 25,000 prescribers in the first quarter, up 22% compared to the first quarter of 2024. This growing base of prescribers is a further testament to the impact of our sales force as they work to educate the healthcare community on Journey's differentiated profile.

Les Sulewski: Good evening, Thank you for taking my questions and congrats on the progress.

Speaker Change: Jordan is well on its way to becoming a lead growth driver supported by the long term durability of our pain portfolio and an industry leading executive team. We are confident as we enter our next phase of growth.

Les Sulewski: I have a couple for Scott and then one for.

Speaker Change: Scott So as we're heading to the tail end of this school year, how would you expect the journey scripts to trend before the new kind of season pick up.

Speaker Change: Intimately our greatest success will be our ability to improve the lives of people living with serious medical conditions.

Speaker Change: Given the recent investment in the sales force and then also on the.

Speaker Change: Touching on the sales force is this and the increasing touch points or is this more about geographic expansion.

Speaker Change: I will now open the call up for questions operator.

Speaker Change: Okay.

Speaker Change: Thank you we will now be conducting a question and answer session. If you would like to ask a question. Please press star one on your telephone keypad, a confirmation tone will indicate your line is in the question queue. You May Press Star two if you would like to remove your question from the queue.

Speaker Change: And I have a follow up to that.

Speaker Change: Thanks for the question less so first your question about seasonality. So yes. So there is an overall seasonality in the marketplace. So essentially what youll see when you look at weekly scripts is as we get to the May end of May June time period, depending on where you are in the country.

For participants using speaker equipment, it may be necessary to pick up your handset before pressing the star keys, one moment, please while we poll for questions.

Speaker Change: There can be a little bit of a slowing of scripts a bit in the overall market because some people will have their child take a little bit of a holiday during the summer from their prescriptions that then precedes the acceleration you see in back to school season, which is usually in the mid August time period, and then carry us well into the fall last year carried to the beginning of <unk>.

Scott Dreyer: We see significant additional opportunities for Journey and are committed to investing in the brand to maximize its full potential. We've identified two main areas to make targeted investments. First, increasing awareness and adoption within an expanded set of prescribers. Second, raising awareness of Journey's unique and differentiated profile among patients and caregivers to drive HCP requests.

Speaker Change: Our first question comes from Les Sulewski with Truest Securities. Please proceed with your question.

Les Sulewski: Good evening. Thank you for taking my questions and congrats on the progress. So I have a couple for Scott and then one for Scott. So as we're heading to the tail end of this school year, how would you expect the journey scripts to trend before then you kind of season pick up given.

Speaker Change: December so that's the seasonality you should expect when you look at the overall market.

Speaker Change: <unk> when it comes to our expansion, yes, there is multiple levers that we pulled so first and Tom in terms of touch points, we increased our target universe from about 17000 health care professionals to 'twenty 1000, So we're reaching more but with the expansion of 55 and going from 125 to 180 reps it.

Scott Dreyer: Let's start with the primary action we are taking to raise awareness and adoption among health care providers. We recently completed the expansion of our sales force, adding approximately 55 new representatives who are fully trained and deployed as of April. Our expanded sales force, which is now 180 representatives, is targeting approximately 21,000 prescribers. up from 17,000 targets prior to our expansion. We expect our expanded sales force to drive increased adoption of JORNE and generate prescription growth in line with our guidance for the year. We expect to realize the full impact of the expanded sales force in 2026 and beyond.

Les Sulewski: Given the recent investment in the sales force and then also on the touching on the sales forces. This is an increasing touch points or is this more about geographic expansion.

Les Sulewski: And I have a follow up to that.

Les Sulewski: Thanks for the question less so first your question about seasonality. So yeah. So there was an overall seasonality in the marketplace. So essentially what youll see when you look at weekly scripts is as we get to the May end of May June time period, depending on where you are in the country and there can be a little bit of a slowing of scripts a bit in the overall market because.

Speaker Change: Wasn't just about an increased reach to those new targets. It was also about increasing our frequency on the current targets. So overall, what we're looking to see is through expanded reach and frequency greater understanding of Jordan, a greater adoption of G&A and from a script standpoint, as I've shared before really seeing the impact.

Les Sulewski: Some people will have their child to take a little bit of a holiday during the summer from their prescriptions that then precedes the acceleration you see in back to school season, which is usually in the mid August time period, and then carry us well into the fall last year carried through to the beginning of December. So that's the seasonality you should expect when you look at the.

Speaker Change: <unk> start to kick in in about six months is what typically you see in terms of acceleration of scripts. So we have that more fourth quarter, and then into 2026 and beyond.

Scott Dreyer: In addition to expanding the reach of our sales force, we believe it's important to further educate patients and caregivers on the unique benefits of Journey. Market research indicates patient and caregiver requests are a top influencer of HCP trial. And today, patients and caregivers still have limited knowledge of JORNE and its differentiated profile. To raise awareness, we're launching new digital marketing and social media initiatives, along with new patient support materials, all designed to motivate patients to speak with their healthcare providers about joining. We'll launch these new campaigns in advance of the back-to-school season. With Journey's current prescription and prescriber growth trajectory, strong market access coverage, and targeted investments, Journey is well on its way to becoming Collegium's lead growth driver in 2025 and beyond.

That is helpful and then let's move behind.

Speaker Change: Methylphenidate is there an opportunity to utilize the journey pm.

Speaker Change: Overall market in ADHD when it comes to our expansion yeah, there's multiple levers that we pulled so first income in terms of touch points, we increased our target universe from about 17000 health care professionals to 'twenty 1000, So we're reaching more but with the expansion of our 55 and going from you know 125.

Speaker Change: At least technology.

Speaker Change: Potentially apply to additional compounds.

Speaker Change: For example, lateral or modafinil had these conversations occurred internally and what would be some of the required steps to push this through if this wasn't the case.

Speaker Change: Yes, I'll take that one.

Speaker Change: Those conversations I believe I think occurred even before.

Speaker Change: To 180 reps. It wasn't just about an increased reach to those new targets. It was also about increasing our frequency on the current targets. So overall, what we're looking to see is through expanded reach and frequency greater understanding of Jordan, a greater adoption of join a and from a script standpoint as I've shared.

Speaker Change: The acquisition.

Speaker Change: So onshore had already.

Speaker Change: Explored using their technology for other compounds and.

Speaker Change: I believe though the result of all of that work is the fact that we have G&A.

Speaker Change: Which is.

Speaker Change: Before really seen the impact start to kick in in about six months is what typically you see in terms of acceleration of scripts. So we have that more fourth quarter, and then into 2026 and beyond.

Speaker Change: Which will really was the technology worked really well for methylphenidate.

Scott Dreyer: Collegium has a history and reputation of being the leader in responsible pain management with a unique and differentiated portfolio of medicine. Belbuca, Extamsa, and Nucinta ER collectively represent over half of the branded ER market, demonstrating the ongoing strength and reach of our portfolio. Our paying portfolio delivered another strong quarter, right in line with our expectations. Total revenue growth for the portfolio was 3% year-over-year, with all three medicines generating low single-digit revenue growth. As expected, total prescriptions across the pain portfolio were pressured by both typical first quarter dynamics where deductibles reset and out-of-pocket costs increased for patients.

Speaker Change: Got it Okay and then become.

Speaker Change: Maybe touch on a little bit on the.

Speaker Change: That is helpful and then looking behind.

Speaker Change: The recent color around.

Speaker Change: A potential BD plans given.

Speaker Change: Methylphenidate is there an opportunity to utilize the journey P M.

Speaker Change: Given year, you've kind of seen it now.

Speaker Change: Collegium, what's what's kind of the appetite for a deal and has the current change in the environment kind of impacted your outlook for potential deals. Thank you.

Speaker Change: The late release technology.

Speaker Change: She applied to additional compounds.

For example, lateral or modafinil have these conversations occurred internally and what would be some of the required steps to push this through if this were the case.

Speaker Change: Yeah, Great question I think.

Speaker Change: As we stated in our prepared remarks.

Speaker Change: Yeah, I'll take that one.

Speaker Change: We always look at capital deployment in a very strategic way for the company and I think we've been consistent in our.

Speaker Change: Conversations I believe I think occurred even before.

Speaker Change: The acquisition happened so onshore had already explored using their technology for other compounds and.

Speaker Change: Our position that.

Speaker Change: We'll do the right thing to create value for our shareholders and that's a combination of both.

Scott Dreyer: as well as recent formulary changes impacting individual brands. However, these script declines were in line with our expectations and offset by profitability improvements which led to overall revenue growth in the quarter. Importantly, the business is performing as expected and continues to show great durability. While the overall pain market continues to decline in line with our expectations, we continue to see that there's ample market opportunity for our portfolio of differentiated medicine. For example, Belbuca remains the only long-acting opioid that uses buprenorphine buckle film technology. In market research, it was ranked as the number one branded ER opioid in terms of product differentiation and favorability.

Speaker Change: Business development.

Speaker Change: Is the right time and the right deal.

Speaker Change: I believe though the result of all of that work is the fact that we have journey.

Speaker Change: Paying down debt, which you have seen us do.

Speaker Change: Which is which will really was the technology works really well for methylphenidate.

Speaker Change: And Opportunistically repurchasing shares and returning value to our shareholders, which is exactly what we talked about today. So I would expect that that that type of approach that type of discipline will continue.

Speaker Change: Got it Okay and then become.

Speaker Change: Maybe touch on a little bit on the recent color around a potential BD plans given year, you've kind of seen it now collegium, what's what's kind of the appetite for a deal and has the current change in the environment kind of impacted your outlook for potential deals.

Speaker Change: As far as your question about this particular market environment.

Speaker Change: It does it does it increase or change our likelihood of getting a deal done I don't know that I would make a comment specifically around that I think whether it's this environment or otherwise we will.

Speaker Change: Thank you.

Speaker Change: As I've said before we look to.

Speaker Change: Yeah, Great question I think.

Speaker Change: Our portfolio of medicines, but I think we're going to do it in a very disciplined way, which has a strong track record that Collegium has had.

Speaker Change: As we stated in our prepared remarks.

Scott Dreyer: Similarly, EXTAMSA, the only extended-release oxycodone medicine that uses our proprietary best-in-class abuse-deterrent technology, DETERAX, was ranked as the number one ER oxycodone medicine in terms of product differentiation and favorability. We continue to believe that the revenue and cash flows generated from our differentiated pain portfolio will remain durable in both the near and mid-term. Importantly, we believe the life cycle of these medicines may prove to be longer and more robust than is currently appreciated by the market. Exstansa, for example, does not lose exclusivity until September of 2033. And the exclusivity for Nucynta ER and Nucynta IR were recently extended to July of 2027 and January of 2027 respectively.

Speaker Change: We always look at capital deployment in a very strategic way for the company.

Speaker Change: I think we've been consistent in our.

Speaker Change: In our position that will.

Speaker Change: For the next question.

Speaker Change: We'll do the right thing to create value for our shareholders and that's a combination of both.

Speaker Change: Our next question comes from Serge Belanger with Needham <unk> Co. Please proceed with your question.

Speaker Change: Business development.

Speaker Change: Is the right time and the ideal.

Speaker Change: We're paying down debt, which you have seen us do.

Serge Belanger: Hi, good afternoon.

Speaker Change: A couple of joining a question for Scott.

Speaker Change: And Opportunistically repurchasing shares and returning value to our shareholders, which is exactly what we talked about today. So I would expect that that that type of approach that type of discipline will continue.

Serge Belanger: Scott.

Speaker Change: I guess the first one can you remind us what is the overall ADHD market growth has been recently.

Serge Belanger: And secondly, <unk>.

Serge Belanger: So remind us the breakdown in the prescriber base between pediatrician.

Speaker Change: And as far as your question about this particular market environment.

Speaker Change: It does it does it increase or change our likelihood of getting a deal done I don't know that I would make a comment that specifically around that I think whether it's this environment or otherwise we will all work.

Serge Belanger: Psychiatrists.

Speaker Change: And then lastly, you.

Speaker Change: You did highlight market shares some significant gains over the last year, just curious where that market share is coming from is it from other branded products or other generics.

Scott Dreyer: Overall, I'm proud of our commercial execution so far this year, which includes generating impressive growth for Journey, completing the expansion of our ADHD sales force, and delivering solid performance with our core pain business.

Speaker Change: As I've said before we look to expand our.

Speaker Change: Generics and the interesting market. Thank you.

Speaker Change: Our portfolio of medicines, but I think we're going to do it in a very disciplined way, which has strong track record that collegium is half.

Serge Belanger: Alright surge you gave me a few of them there alright, so let's start with market growth. The market is growing at about 5% to 6% overall, that's been pretty consistent for the last few years, and that's where we expect the growth to continue going forward.

Scott Dreyer: We remain well positioned to deliver on our commercial priorities for 2025 and to support our next phase of growth.

Speaker Change: Go to the next question.

Colleen Tupper: I'll now hand the call over to Colleen to discuss financial highlights. Thanks, Scott. Good afternoon, everyone. In the first quarter of 2025, we delivered strong financial results, including growing revenue 23% year over year, making targeted investments in our lead growth driver, Journey, and generating strong cash flows from our Financial highlights for the first quarter of 2025 include net product revenues were $177.8 million, up 23% year over year. Journey net revenue was $28.5 million, which represents our second full quarter of ownership. Belbuca Net Revenue was $51.7 million, up 2% year-over-year. Exstansa Net Revenue was $47.6 million, up 4% year-over-year.

Speaker Change: Our next question comes from Serge Belanger with Needham <unk> Co. Please proceed with your question.

Serge Belanger: You look at the Prescriber base is pretty straightforward, it's roughly 40% is PD attrition. The other 40% is neuropsychiatry. Some of those are paid neuropsychiatrist and the remaining 20 is about half PCP and about half NPS or PAA is mid levels.

Serge Belanger: Hi, good afternoon.

Serge Belanger: A couple of join a question for for Scott I guess, the first one can you remind us what the overall ADHD market growth has been recently.

Serge Belanger: And secondly, also remind us the breakdown in the prescriber base between pediatrician and psychiatrists.

Serge Belanger: Ladder up to the specialties. So that's the prescriber base that were look at out there that drives the market and who we're focused on in our target audience and then lastly from a from a share perspective, yes, we've seen really strong share growth rate growing at 20% this year year over year, and our long acting branded methylphenidate market.

Serge Belanger: And then lastly, you did highlight market shows some significant gains over the last year, just curious where that market share is coming from is it from other branded products or really other.

Serge Belanger: And basically the biggest feeder of growth is the movement from generic immediate release products right. That's the biggest stage of the branded products and Thats, what we say and then we do get some switching from other branded products, but it's mostly the generic immediate release the feeds our business.

Serge Belanger: Generics in the D C market. Thank you.

Serge Belanger: All right surge you gave me a few of them there alright, so let's start with market broke yeah. The market is growing at about 5% to 6% overall, that's been pretty consistent for the last few years, and that's where we expect the growth to continue going forward.

Colleen Tupper: And Nucenta Franchise Net Revenue was $47.1 million, up 4% year-over-year.

Colleen Tupper: gap operating expenses were 75.6 million up 80% year over non-gap adjusted operating expenses were $62.2 million, up 80% year over year. The increase in operating expenses reflects ongoing costs to commercialize Journey, as well as the targeted investments we've made to drive growth, including the expansion of our sales. gap net income was 2.4 million compared to net income of 27.7 million in the first quarter of 2024. As a reminder, net income in the first quarter was impacted by expenses associated with the iron shore acquisition, as well as executive transition expenses that do not represent ongoing Non-GAAP-adjusted EBITDA was $95.2 million, up 3% year-over-year.

Serge Belanger: Great. Thank you.

Serge Belanger: When you look at the Prescriber base is pretty straightforward, it's roughly 40% is PD attrition. The other 40% is neuropsychiatric. Some of those are paid neuropsychiatrist and the remaining 20 is about half PCP and about half and pes or P. A is mid level.

Speaker Change: Our next question comes from David Anderson with Piper Sandler. Please proceed with your question.

Thanks, just a few on my end.

Speaker Change: <unk>.

Speaker Change: How large of a sales organization.

Speaker Change: Seth are you contemplating for Jordan IP, but if I recall, one vyvanse had exclusivity Shire salesforce was quite large a bit larger than what you have now I'm, not saying that youre going to go there but.

Serge Belanger: Is that ladder up to the specialties. So that's the prescriber base that we're looking out there that drives the market and who we're focused on in our target audience and then lastly from a from a share perspective, yes, we've seen really strong share growth rate growing at 20% this year year over year in a long acting branded methylphenidate market.

Speaker Change: There, obviously is a wide prescriber.

Speaker Change: Prescriber audience in the ADHD space. So how are you thinking about that.

Serge Belanger: And basically the biggest feeder of growth is the movement from generic immediate release products right. That's the biggest speeds of the branded products and that's what we see and then we do get some switching from other branded products, but it's mostly the generic immediate release that feeds our business.

Speaker Change: Secondly, can you share your views on what kind of peak sales range do you think is realistic.

Colleen Tupper: Gap earnings per share was $0.08 basic and $0.07 diluted in the first quarter compared to gap earnings per share of $0.86 basic and $0.71 diluted in the prior year. Non-GAAP-adjusted earnings per share was $1.49 in the first quarter versus $1.45 in the first quarter of 2020.

Speaker Change: Four P.

Speaker Change: And then lastly, a biz Dev question, how large of a transaction could you contemplate given the current state of the capital structure.

Serge Belanger: Great. Thank you.

Speaker Change: Yes, Thanks, David.

Speaker Change: Our next question comes from David Epsilon Piper Sandler. Please proceed with your question.

Speaker Change: Scott why don't you take the first question.

Scott: I'll take the question on on peak sales and then.

Colleen Tupper: Please see our press release issued earlier today for a reconciliation of gap to non-gap. In addition, we generated $55.4 million in cash from operations and ended the quarter with $197.8 million in cash, cash equivalents, and marketable securities as of March 31st, up $35 million from the end of the year.

Speaker Change: Thanks, just a few on my end.

Speaker Change: Between cutting and I will answer the last one.

Speaker Change: First.

Speaker Change: Yeah, that's great. So yeah. So thanks for the question David on the Salesforce look we sized at 180, because that's the right size now we did a bottom up we didn't have any constraints thats, reaching our target audience. That's the right target audience to drive the brand with the right level of reach and frequency, having really productive tariff.

Speaker Change: How large of a sales organization.

Speaker Change: Steady state are you contemplating for Jordan IP, but if I recall, one vyvanse had exclusivity Shire salesforce was quite large a bit larger than what you have now I'm, not saying that you're going to go there but.

Speaker Change:

Speaker Change: <unk>. So that's what led to where we are right now so we evaluate that on a regular basis every year as part of our planning process, we will be looking at that looking at the sales force seeing if we need to make any adjustments on the edges, but thats what the business demands right now into your <unk> comment I think the big difference is that with such a highly branded and competitive marketplace now.

Colleen Tupper: We are reaffirming our 2025 financial guidance. We expect net product revenues in the range of $735 to $750 million, an 18% increase year over year. This increase is primarily driven by Journey, which we expect to generate net revenue in excess of $135 million, supported by continued performance across our pain portfolio. We expect adjusted EBITDA in the range of $435 to $450 million, representing 10% growth year over year, and adjusted operating expenses in the range of $220 to $230 million. The growth in adjusted operating expenses reflects targeted investments to support Jornet near-term growth and drive significant momentum in 2026 and beyond.

Speaker Change: There, obviously is a wide prescriber audience in the ADHD space. So how are you thinking about that.

Speaker Change: Secondly, can you share your views on what kind of peak sales range do you think is realistic.

Speaker Change: Sure.

Speaker Change: P M and then lastly, a biz Dev question, how large of a transaction could you contemplate given the current state of the capital structure.

Now with you look at where you see such generic <unk> right. We really have only a couple of players that we're competing with for share of voice and so not only are we reaching the right customers, but we also feel like we have a really strong share of voice out there in the branded market.

Speaker Change: Yeah. Thanks, David.

Speaker Change: Scott why don't you take the first question.

Scott: I'll take the question on the on peak sales and then.

Speaker Change: The second question I think David you had was around peak sales floor of our journey, we have not.

Speaker Change: But being caught in and I will answer the last one.

Speaker Change: Yeah, that's great. So yeah. So thanks for the question David on the Salesforce look we sized at 180, because that's the right size now we did a bottom up we didn't have any constraints, that's reaching our target audience. That's the right target audience to drive the brand with the right level of reach and frequency, having really productive Tara.

Speaker Change: Talked about peak sales towards on APM.

Speaker Change: Eternally.

Colleen Tupper: We expect quarterly adjusted operating expenses to trend down in the second half of We remain committed to strategically deploying capital to create value for our shareholders, as demonstrated by our targeted investments in Journey to accelerate growth. Continued focus on evaluating opportunities to expand our portfolio through business development and rapid repayment of debt. We also have a strong track record of returning value to our shareholders through share repurchases, and our board recently authorized a $25 million accelerated share repurchase as part of our $150 million program. We ended the first quarter with net leverage of 1.5 times net debt to EBITDA and we expect to end 2025 with net leverage of less than one.

Speaker Change: The reason is we've just gone through an expansion and we have only owned the medicine now for two quarters.

Speaker Change: What we'd like to do is see the impact of the expansion.

Speaker Change: Tori so that's what led to where we are right now so we evaluate that on a regular basis every year as part of our planning process, we will be looking at that looking at the sales force seeing if we need to make any adjustments on the edges, but that's what the business demands right now onto your Vyvanse comment I think the big difference is that we're such a highly branded and competitive marketplace.

Speaker Change: As you can.

Speaker Change: There's a bit of a lag time between folks going into the field and seeing the the downstream effect on demand.

Speaker Change: Once we have a better sense of the impact of the expansion will give us a sense of the trajectory and we'll be in a much better place to talk about peak sales at that time.

Speaker Change: Now with you look where you see such a generic deflation right. We really have only a couple of players that we're competing with for share of voice and so not only are we reaching the right customers, but we also feel like we have a really strong share of voice out there in the branded market.

Speaker Change: And I think that your last question was about what what would be the size of our business.

Speaker Change: Transaction that we would contemplate at this time.

Speaker Change: I can begin and I'll have colleen provide some additional color but.

I don't know that we have necessarily talked about size of transaction I think it would be have talked about is our ability to.

Speaker Change: The second question I think David you had was around peak sales for of our journey, we have not.

Colleen Tupper: We repaid $16.1 million of our term loan this quarter and expect to repay an additional $48.4 million during the remainder of 2025.

Speaker Change: Talked about peak sales for G&A P M.

Speaker Change: To take on leverage if we need to so in terms of capacity I think we've talked about the fact that last year we ended.

Speaker Change: Totally.

Speaker Change: Part of the reason is we've just gone through an expansion and we have only owned the medicine now for two quarters.

Vikram Karnani: I will now turn the call back. Thanks, Colleen. We are proud of our strong performance in the first quarter. We generated stable cash flows from a pain portfolio growth, impressive growth in journey, strengthen our balance sheet and made investments to fuel our next phase of growth. We are on track to achieve our 2025 financial guidance and look to the future beyond 2025 from a position of financial strength. We remain focused on creating shareholder value, and the strength of our balance sheet gives us the flexibility to maximize and grow our existing portfolio of differentiated medicines, while also prioritizing further diversification through disciplined business development and returning value to shareholders through share repurchase.

Speaker Change: Net net debt over EBITDA at about 1819.

Speaker Change: What we'd like to do is see the impact of the expansion.

Speaker Change: This quarter, we're already down to about one and a half and we expect to end the year less than one so well what I can say is that we've.

Speaker Change: Which is as you can imagine there's a bit of a lag time between books going into the field and seen though the downstream effect on demand.

Speaker Change: Given the the situation given the ability to generate significant cash flows from operations, we feel that gives us enough capacity to do a meaningful transaction. If the transaction comes along we're not going to do a deal just to do one but it's got to be the right, one and calling anything else here that I think that's right I think the right deal for the right terms with size.

Speaker Change: Once we have a better sense of the impact of the expansion will give us a sense of the trajectory and we'll be in a much better place to talk about peak sales at that time.

Speaker Change: And I think that your last question was about what.

Speaker Change: What would be the size of a boost of.

Speaker Change: Transaction that we would contemplate at this time maybe ill.

Speaker Change: From a debt perspective, we'd be willing to potentially go up to three times for a commercial asset what.

Speaker Change: Can begin and I'll have called in and provide some additional color, but we.

Speaker Change: What you don't have an adequate gene is what is the target bring for EBITDA. So we consider that we're evaluating.

Speaker Change: I don't know that we havent necessarily talked about size of transaction I think it would be have talked about is our ability to.

Vikram Karnani: With Journey well on its way to becoming our lead growth driver supported by the long-term durability of our pain portfolio and an industry-leading executive team, we are confident as we enter our next phase of growth.

Speaker Change: Okay. Thank you.

Speaker Change: Thanks.

Speaker Change: To take on leverage if we need to so in terms of capacity I think we've talked about the fact that last year, we ended up.

Speaker Change: There are no further questions at this time and I would now like to turn the floor back over to Dave for closing comments.

Vikram Karnani: Ultimately, our greatest success will be our ability to improve the lives of people living with serious medical conditions.

Speaker Change: Net net debt over EBITDA at about 1.819.

Speaker Change: Well. Thank you everyone for joining the call today I wish everybody have a great evening.

Speaker Change: This quarter, we're already down to about one and a half and we expect to end the year less than one so well what I can say is that we've.

Operator: I will now open the call up for questions. Operator? Thank you.

Speaker Change: This concludes today's teleconference. You may disconnect your lines at this time. Thank you for your participation.

Operator: We will now be conducting a question and answer session. If you would like to ask a question, please press star 1 on your telephone keypad. A confirmation tone will indicate that your line is in the question queue. You may press star 2 if you would like to remove your question from the queue. For participants using speaker equipment, it may be necessary to pick up your handset before pressing the star 2.

Speaker Change: Given the the situation given the ability to generate significant cash flows from operations, we feel that gives us enough capacity to do a meaningful transaction. If the transaction comes along we're not going to do a deal just to do one but it's got to be the right one and called them anything else here that I think that's right I think the right deal for the right terms with size.

Operator: One moment, please, while we poll for questions.

Speaker Change: From a debt perspective, we'd be willing to potentially go up to three times for a commercial asset.

Les Sulewski: Our first question comes from Les Sulewski with Truist Securities. Please proceed with your question. Good evening. Thank you for taking my questions and congrats on the progress.

Speaker Change: What you don't have inadequate gene is what is the target bring for EBITDA. So we consider that as we're evaluating.

Speaker Change: Okay. Thank you.

Scott Dreyer: So, I have a couple for Scott and then one for Vikram. Scott, so, you know, as we're heading to the tail end of the school year, how would you expect the Journey scripts to trend before the new kind of season pickup, given the recent investment in the Salesforce? And then also, touching on the Salesforce, is this an increasing touchpoint or is this more about a geographic expansion? And I have a follow-up to that. Thanks for the question, Les. So first, your question about seasonality. So yeah, so there's an overall seasonality in the marketplace. So essentially, what you'll see when you look at weekly scripts is as we get to the end of May, June time period, depending on where you are in the country, there can be a little bit of a slowing of scripts a bit in the overall market, because some people will have their child take a little bit of a holiday during the summer from their prescriptions.

Speaker Change: Thanks.

Speaker Change: There are no further questions at this time I would now like to turn the floor back over to Dave for closing comments.

Dave: Well. Thank you everyone for joining the call today I wish everybody have a great evening.

Speaker Change: This concludes today's teleconference. You may disconnect your lines at this time. Thank you for your participation.

Speaker Change: [music].

Scott Dreyer: That then precedes the acceleration you see in back to school season, which hits usually in the mid-August time period, and then carries well into the fall last year, carried to the beginning of December. So that's the seasonality you should expect when you look at the overall market in ADHD. When it comes to our expansion, yeah, there's multiple levers that we pulled. So first, in terms of touch points, we increased our target universe from about 17,000 healthcare professionals to 21,000, so we're reaching more. But with the expansion of 55 and going from 125 to 180 reps, it wasn't just about an increased reach to those new targets.

Speaker Change: Yeah.

Speaker Change: [music].

Scott Dreyer: It was also about increasing our frequency on the current targets. So overall, what we're looking to see is through expanded reach and frequency, greater understanding of Journey, greater adoption of Journey, and from a script standpoint, as I've said, the impacts start to kick in in about six months is what typically you see in terms of acceleration of scripts. So we have that more fourth quarter and then into 2026 and beyond.

Les Sulewski: That is helpful.

Scott Dreyer: And then, you know, looking behind methylphenidate, is there an opportunity to utilize the journey PM in delayed release technology and, you know, potentially apply to additional compounds, for example, Adderall or modafinil?

Scott Dreyer: Have these conversations occurred internally? And, you know, what will be some of the required steps to push this through if this were the case?

Scott Dreyer: Yeah, I'll take that one. Those conversations, I believe, I think occurred even before the acquisition happened. So I am sure had already explored using that technology for other compounds. And I believe the result of all of that work is the fact that we have Journey, which is, which will really with that technology work really well for metal planet. Got it.

Vikram Karnani: Okay, then Vikram, you know, maybe touch on a little bit on the recent color around potential BD plans, given you're, you know, you've kind of seated now at Collegium, what's what's kind of the appetite for a deal? And has the current change in the environment kind of impacted your outlook for potential deals? Thank you. Yeah, great question. You know, I think, well, as we as we stated in our prepared remarks, we always look at capital deployment in a very strategic way for the company. And I think we've been consistent in our in our position that we'll do the right thing to create value for our shareholders.

Vikram Karnani: And that's a combination of business development, if it's the right time and the right deal. It's paying down debt, which you have seen us do. And opportunistically, repurchasing shares and returning value to our shareholders, which is exactly what we talked about today. So I would expect that that that type of approach, that type of discipline will continue. And as far as your question about this particular market environment, you know, does it does it increase or change our likelihood of getting a deal done? I don't know that I would make a comment specifically around that. I think whether it's this, this environment or otherwise, we're all we're, as I've said before, we look to expand our portfolio of medicines.

Vikram Karnani: But I think we're going to do it in a very disciplined way, which is strong track record that Collegium has.

Serge Belanger: Our next question comes from Serge Belanger with Needham & Co. Please proceed with your question. Hi, good afternoon.

Scott Dreyer: A couple of journey questions for Scott. I guess the first one, can you remind us what the overall ADAD market growth has been recently? And secondly, also remind us the breakdown in the prescriber base between pediatrician and psychiatrist. And then lastly, you did highlight market share has seen some significant gains over the last year. Just curious where that market share is coming from. Is it from other branded products or really other generics in the ADHD market? Thank you.

Scott Dreyer: All right, Serge, you gave me a few of them there. All right, so let's start with market growth. Yeah, the market's growing at about 5% to 6% overall. That's been pretty consistent for the last few years, and that's where we expect the growth to continue going forward. When you look at the prescriber base, it's pretty straightforward. It's roughly 40% is pediatrician. The other 40% is neuropsychiatry. Some of those are peed neuropsychiatrists. And the remaining 20 is about half PCP and about half NPs or PAs, mid-levels that ladder up to the specialties. So that's the prescriber base that we're looking at there that drives the market and who we're focused on in our target audience.

Scott Dreyer: And then lastly, from a share perspective, yeah, we've seen really strong share growth, right? Growing to 20% this year, year over year in the long-acting branded methylphenidate market. And basically, the biggest feeder of growth is the movement from generic immediate release products, right? That's the biggest feed to the branded products, and that's what we see. And then we do get some switching from other branded products, but it's mostly the generic immediate release that feeds our business. Great, thank you.

David Amsellem: Our next question comes from David Amsellem with Piper Sandler. Please proceed with your question. Thanks. Just a few on my end.

David Amsellem: First... How large of a sales organization My question is, when you're in a steady state, are you contemplating for joining APM? As far as I recall, when Vyvanse had exclusivity, Shire's sales force was quite large, a little bit larger than what you have now. I'm not saying that you're going to go there. But there obviously is a wide prescriber audience in the ADHD space. So how are you thinking about that?

David Amsellem: Secondly, can you share your views on what kind of peak sales range you think is realistic for during APM?

David Amsellem: And then lastly, a biz dev question, how large of a transaction could you contemplate given the current state of the capital structure? Yeah, thanks, David.

Scott Dreyer: Scott, why don't you take the first question? I'll take the question on on peak sales. And then between Colleen and I will answer the last Yeah, that's great. So yeah, so thanks for the question, David. On the Salesforce, look, we sized at 180, because that's the right size now. We did a bottom-up, we didn't have any constraints. That's reaching a target audience. That's the right target audience to drive the brand with the right level of reach and frequency, having really productive territory. So that's what led to where we are right now. So we evaluate that on a regular basis.

Scott Dreyer: Every year as part of our planning process, we will be looking at that, looking at the Salesforce, seeing if we need to make any adjustments on the edges. But that's what the business demands right now. And to your Vyvanse comment, I think the big difference is, that was such a highly branded and competitive marketplace. Now, if you look where you see such genericization, right, we really have only a couple of players that we're competing with for share of voice. And so not only are we reaching the right customers, but we also feel like we have a really strong share of voice out there in the branded market.

Vikram Karnani: The second question I think, David, you had was around peak sales for Journey. We have not talked about peak sales for Journey PM externally. You know, part of the reason is we've just gone through an expansion, and we have only owned the medicine now for two quarters. What we'd like to do is see the impact of the expansion, as you can imagine, there's a bit of a lag time between folks going into the field and seeing the downstream effect on demand. I think once we have a better sense of the impact of the expansion, it'll give us a sense of the trajectory, and we'll be in a much better place to talk about peak sales at the And I think that your last question was about what would be the size of a BizDev transaction that we would contemplate at this time.

Vikram Karnani: Maybe I can begin, and I'll have Colleen provide some additional color, but, you know, I don't know that we have necessarily talked about size of transaction. I think what we have talked about is our ability to... Thank you.

Operator: There are no further questions at this time, and I would now like to turn the floor back over to Vikram for closing comments. Thank you everyone for joining the call today. I wish everybody a great evening. This concludes today's teleconference. You may disconnect your lines at this time. Thank you for your participation.