Neurocrine Biosciences Inc Q3 2025 Earnings Call Transcript

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

Question: Philip Nadeau - Cowen and Company LLC - Analyst : Good afternoon. Congratulations on a really strong quarter and great commercial performance. I wanted to just ask about the patient dynamics and patient starts for CRENESSITY. It did seem like enrollment forms were a little bit lower in Q3 than Q2. Was this seasonality or a sign of maybe an early launch bonus? Any insights you can give us on those trends would be helpful as we look to model the next several quarters of CRENESSITY?

Question: Tazeen Ahmad - Bofa Merrill Lynch Asset Holdings Inc - Analyst : Hi guys, good afternoon. Thanks for taking my question. Mine is going to be on CRENESSITY. So is it too early to know this, but are payers already looking for a certain level of steroid tapering in order to continue covering therapy? And just in terms of number of days in 3Q versus 4Q, we're heading into holiday season. So how should we be thinking about the potential for seasonal impact for CRENESSITY sales in 4Q?

Question: Mohit Bansal - Wells Fargo Securities LLC - Analyst : Great. Thank you very much for taking my question. And would love to touch upon the 10-Q filing and the talks about DOJ investigation. Any color you can provide on that? And how should we think about the next timeline from this one?

Question: Philip Nadeau - Cowen and Company LLC - Analyst : Hey, good afternoon, guys.

Question: Anupam Rama - JPMorgan Chase & Co - Analyst : Hey guys, thanks so much for taking the question and congrats on the quarter. Could you provide a little bit more color and maybe some quantification around the sales force expansion for both products in terms of the segments that are going to be targeted here for INGREZZA. Is its psychiatry, neurology, long term or for CRENESSITY, general endos versus pediatric endos?

Question: Jay Olson - Oppenheimer & Co Inc - Analyst : Congrats on the quarter. We have a pipeline question related to direclidine. As you look at potential indications beyond schizophrenia and bipolar, are you considering Alzheimer's psychosis? And are there any particular lessons you expect to learn from the Cobenfy Phase III study in Alzheimer's when that study reads out and any potential read across to direclidine?

Question: Marc Goodman - Leerink Partners LLC - Analyst : Yes. Matt, at the beginning of the year, you were pretty conservative with respect to the CRENESSITY launch. I think your main issue, if I remember, was just reimbursement concerns and how quickly that would be adopted. Obviously, that's been adopted way better than anybody could have expected, I suppose. So how do we think about gross to nets now? I mean they clearly have come down a lot, just working through the numbers. Are we continuing to move lower quite a bit outside of maybe the first quarter next year just because first quarter is unusual? But if you think about the next three, four quarters, are they just going to continue to come down and ramp down to more normalized levels for what we consider an orphan product like this?

Question: Sean Laaman - Morgan Stanley - Analyst : Thank you, and hi, Kyle and team. Hope everyone's well. Maybe just circling back on INGREZZA. But can you comment on neurology versus the psych split? And is it a focus on psych to the expense of neurology? I think I heard AUSTEDO had a strong uptake in neurology, especially during COVID? And what are your plans for neurology?

Question: Yigal Nochomovitz - Citibank Cameroon SA - Analyst : Alright, great, thank you very much for taking the question. I had one on capital management. You mentioned, obviously, the increase in SG&A of about $150 million to expand both sales forces. So with that in mind, I'm just curious how are you thinking about the continuation of the buyback at the pace of that buyback related to the new $500 million buyback allocation?

Question: Yigal Nochomovitz - Citibank Cameroon SA - Analyst : Thank you.

Question: Corinne Johnson - Goldman Sachs Group Inc - Analyst : Yeah, good afternoon, guys. Maybe a question for us. Can you talk about where you stand with respect to share of kind of new to category or new to class patients with INGREZZA versus AUSTEDO? And where do you think that could go? Maybe contextualize that versus where we were a year ago and where you think we could go with the expanded sales force over kind of the next year?

Question: Ashwani Verma - UBS AG - Analyst : Hi, thanks for doing your questions. I'm just trying to understand the medium-term growth outlook for INGREZZA given the sales force investment and the contracts that you've done. For the years before IRA impact, do you believe that you can grow at a higher pace versus where you've guided to this year?

Question: Sumant Kulkarni - Canaccord Genuity Corp - Analyst : Good afternoon. Thanks for taking my question. As the Inflation Reduction Act kicks in for your competitor, could you comment on where you might see the most impact on INGREZZA, either in terms of profile of patients or by prescriber type? And on the neuropsych side specifically, what might be the maximum number of products that you might be able to leverage the situation of your expanded neuropsych sales team?

Question: Myles Minter - William Blair Capital Partners - Analyst : Hey, thanks for taking the question. This one is just on CRENESSITY new starts. I think in the second quarter, you had 664. You got 540 this quarter. So some sort of warehousing effect that's bleeding out of those patients. Can we expect that sort of trajectory for the next quarter and maybe a return to growth when you get that sales force expansion hitting into the new year?

Question: Myles Minter - William Blair Capital Partners - Analyst : Awesome, thanks guys.

Question: Laura Chico - Wedbush Securities Inc - Analyst : Good afternoon. Thanks very much. One of the pipeline with respect to valbenazine and dyskinetic cerebral palsy. The data coming up here. Can you talk a little bit more about what will constitute a meaningful change in chorea score in a CP population? But also, I guess, against the backdrop of the INGREZZA field force expansion, how should we think about the size of the opportunity and overlap with existing INGREZZA prescribers?

Question: Laura Chico - Wedbush Securities Inc - Analyst : Thanks very much.

Question: David Hoang - Deutsche Bank AG - Analyst : Hi there, thanks for fitting me in and taking my question. So again, congrats on a strong quarter. I saw you have reiterated but not raised guidance. So I guess you mentioned the extra week in Q3 for ordering, but we think about the -- what the Q4 number may look like, I think the guide implies something to like down mid-single digits to flattish. Anything else to think about in there in terms of maybe whether you envision seasonal dynamics or perhaps there's some degree of embedded conservatism? REFINITIV STREETEVENTS | www.refinitiv.com | Contact Us consent of Refinitiv. 'Refinitiv' and the Refinitiv logo are registered trademarks of Refinitiv and its affiliated companies. OCTOBER 28, 2025 / 8:30PM, NBIX.OQ - Q3 2025 Neurocrine Biosciences Inc Earnings Call

Question: Evan Seigerman - Bank of Montreal - Analyst : Hi guys, thank you so much for taking my question. In your 10-Q filed today, there was a disclosure about the Make America Healthy Again commission issuing warning letters regarding DTC advertisements. You indicated that you got one for INGREZZA. Can you talk about what was in that letter and what you might need to correct given that, that is pretty important when it comes to the commercial plan for that asset?Thank you very much.