Lantheus Holdings Inc Q1 2025 Earnings Call Transcript

The following is excerpted from the question-and-answer section of the transcript.

Question: Anthony Petrone - Mizuho Securities USA - Analyst : Thanks and good morning everyone. Hope everyone's well. Maybe start with PYLARIFY trends in the quarter. Obviously, good detail in the prepared remarks. But maybe just a little bit more on the competitive dynamics you're seeing out there, certainly by our math, you're looking at a fair amount of share shift here through the March ending quarter. So a little bit on the PYLARIFY competitive dynamics. And I'll have one quick follow-up on gross margin.

Question: Anthony Petrone - Mizuho Securities USA - Analyst : That's helpful. Go ahead.

Question: Anthony Petrone - Mizuho Securities USA - Analyst : All good. Thanks, Brian. Maybe just the SPECT sale caught us a little bit by surprise, so maybe just quickly on the rationale to exit SPECT now. And again, on the positive end here, I know you had the MK-6240 headline readout which was positive. When can we expect to see that data? Thanks.

Question: Roanna Ruiz - Leerink Partners - Analyst : Morning, everyone. So I was curious, I noticed you tightened your fiscal '25 guidance a bit. Could you talk a bit more about what drivers could put you on either the low end or the high end of that guidance by year end? And just tagging on a quick SPECT divestiture question, I assume it probably frees up certain resources and was curious where would you pivot those in terms of contributing to the rest of the commercial or development pipeline?

Question: Roanna Ruiz - Leerink Partners - Analyst : Oh sure. With the SPECT business divestiture, I was assuming that you were going to free up certain resources or capital, things like that, where would you want to use those in terms of either the pipeline or commercial efforts?

Question: Richard Newitter - Truist Securities - Analyst : All right. Thanks for taking the question. I wanted to maybe just ask on the acquisitions. Just looking at 2026, because that's going to be the first full year where these acquisitions will be in there, I think your prior guidance had assumed or your prior comments was low single-digit percent dilution from the combination of LMI and Evergreen. Is that still the right way to think about it? It sounds like you think LMI is going to be accretive right out of the gate. So I'm just wondering if you can give us an update on that. And then also I think last call, you had said you expect 2026 with acquisitions to be a double-digit revenue growth potential year. Is that still in the cards as well? Thank you.

Question: Matthew Taylor - Jefferies - Analyst : Hi. Thank you for taking the question. So I wanted to follow up on some commentary from last quarter. You had talked about in 2026 with the combination of your base business and these acquisitions of Evergreen and LMI being able to sustainably grow in the double digits. And I guess I just wondered if there's any change to that thinking, positive or negative. And maybe you could give us any color around the quantum within the double digits you could grow beyond this year? Thanks. REFINITIV STREETEVENTS | www.refinitiv.com | Contact Us consent of Refinitiv. 'Refinitiv' and the Refinitiv logo are registered trademarks of Refinitiv and its affiliated companies. MAY 07, 2025 / 12:00PM, LNTH.OQ - Q1 2025 Lantheus Holdings Inc Earnings Call

Question: Lawrence Solow - CJS Securities - Analyst : Good morning. Thanks for taking the question. First question just on the gross margin and a little bit higher cost. You mentioned the issue with TechneLite. Was gross margin impacted at all just by the, I guess, the overall price discounting on PYLARIFY? And is PYLARIFY pricing kind of in line with how you expect it to be so far?

Question: Yuan Zhi - B. Riley Securities - Analyst : Good morning. Thank you for taking our questions. Maybe to ask on this question a bit differently, can you please comment more on the effect of this long-term contract you signed? For clients in that bucket, do they grow in volume of PYLARIFY faster than others, than if we compare the growth rate across academic centers and the community centers? Is there a difference in terms of growth and market penetration? Thank you. REFINITIV STREETEVENTS | www.refinitiv.com | Contact Us consent of Refinitiv. 'Refinitiv' and the Refinitiv logo are registered trademarks of Refinitiv and its affiliated companies. MAY 07, 2025 / 12:00PM, LNTH.OQ - Q1 2025 Lantheus Holdings Inc Earnings Call

Question: Justin Walsh - Jones Trading - Analyst : Hi. Thanks for taking the question. Can you discuss how you view the long term opportunity for the GRPR-targeting imaging and therapy in prostate cancer? Specifically, I'm wondering if there's expected clinical value for imaging GRPR outside of enabling the therapeutic or if that's the key feature there. And if you'd expect therapeutic use ultimately to be in the post PSMA setting?

Question: Kemp Dolliver - Brookline Capital Markets - Analyst : All right. Thank you. On the smaller accounts in the market for PYLARIFY, are these accounts that are operating essentially on a spot basis or are they contracted with others? I'm trying to reconcile your position as a premium price product with what looks like a customer base that might have a commodity mindset. So can you reconcile that for me?

Question: Frances Dovell - TD Cowen - Analyst : Hi. This is Frances, on Tara. Can you elaborate on the extent of the MUC-based pricing impacts on revenue this quarter compared to other factors like the net pricing impacts? And are you still guiding to the MUC pricing affecting only about 10% of the total patients?

Question: Andy Hsieh - William Blair & Company - Analyst : Great. Thanks for taking our questions. We're curious about your long-term view on the Alzheimer's diagnostic market, specifically pertaining to the encroachment of serum-based biomarkers for diagnostic purposes. So Biogen, on the first quarter call, they mentioned for the potential for blood-based markers to potentially supplant the need for PET scans. So I'm just curious if you can comment on that and potentially provide your view there. And a quick follow-up for your 2030 PYLARIFY revenue guidance, I understand that PSMA addition opportunities is included and that's reading out later this year. But could you help us understand the growth potential for PSMA (inaudible) and some of the activity to buy assets that's moving earlier lines and recently moved to Phase 3 trials? Thank you.

Question: David Turkaly - Citizens - Analyst : Good morning. There was lots of debate heading in about the changes that might happen with the reimbursement and then debates about sort of clients, customers switching. And it sounds like you're saying these smaller centers maybe never use PYLARIFY and now you're going to focus on them, but despite discussions of whether these images, scans might be apples to apples or not. We're just curious, have you seen any evidence of switching either at the large accounts or the small accounts or even on a patient basis so far?

Question: John Vandermosten - Zacks Investment Research - Analyst : Thank you and good morning. Two for me. First, under what conditions does it make sense to launch a generic competitor to a branded pharmaceutical? And then second, what are some of the leading candidates in development that would benefit from MK-6240 and PI-2620?

Question: John Vandermosten - Zacks Investment Research - Analyst : Apologies. Under what conditions does it make sense to launch a generic competitor to a branded radiopharmaceutical? And the follow-up was, looking at the leading tau candidates in development right now, which ones might benefit from MK-6240 and PI-2620, the therapeutic side, what you're looking at?

Question: Richard Newitter - Truist Securities - Analyst : Hi. Thanks for the follow-up. Just wanted to go back to the PYLARIFY guidance. I'm sorry if you said this and I missed it. So flat to low single digits for the full year. You had previously said flat first half '25 year-over-year for PYLARIFY. Is that still intact and just basically maybe a little less recovery in the back half (inaudible) or how should we think of any changes to cadence? Thank you.