Full Press Release Details
Phathom Pharmaceuticals Reports Second Quarter 2025 Financial Results and Provides Business Updates
FLORHAM PARK, N.J., August 7, 2025 Phathom Pharmaceuticals, Inc. (Nasdaq: PHAT), a
biopharmaceutical company focused on developing and commercializing novel treatments for gastrointestinal (GI) diseases, today reported financial results for the second quarter ended June 30, 2025, and provided business updates.
The second quarter marked a significant step forward in Phathom s journey toward becoming a growth-oriented and profitable GI company, said
Steve Basta, President and Chief Executive Officer of Phathom. We delivered strong sequential revenue growth, implemented strategic cost reductions, and shifted our commercial strategy to focus on high-value prescribers. With over 580,000
VOQUEZNA prescriptions filled to date and extended market exclusivity, we believe we are well-positioned to accelerate VOQUEZNA s adoption and achieve profitability in 2026.
Recent Business Highlights and Second Quarter 2025 Results:
VOQUEZNA Commercial Progress:
Recent Business and Regulatory Updates:
Second Quarter 2025 Financial Results:
Conference Call and Webcast
conference call and webcast to discuss its second quarter 2025 financial results and business highlights today, August 7, 2025, at 8:00 a.m. EDT. A live webcast will be available on the investors page of Phathom s website under
Events & Presentations. A replay of the webcast will be available following the completion of the call and will be archived for up to 90 days.
Non-GAAP Financial Measures
This press release includes financial results prepared in accordance with accounting principles generally accepted in the United States (GAAP), and also
certain non-GAAP financial measures. In particular, Phathom has provided non-GAAP adjusted operating expense, net loss and adjusted net loss per share, adjusted to
exclude the items below. Non-GAAP financial measures are not an alternative for financial measures prepared in accordance with GAAP. However, Phathom believes the presentation of
non-GAAP adjusted operating expense, net loss and adjusted net loss per share, when viewed in conjunction with GAAP results, provides investors with a more meaningful understanding of ongoing operating
performance. These measures exclude (i) non-cash stock-based compensation, which is substantially dependent on changes in the market price of common shares, (ii) interest expense related to the
accounting for our revenue interest financing liability, which are in excess of the actual interest owed, and (iii) interest expense related to the amortization of debt discount on our term loan.
Phathom believes the presentation of these non-GAAP financial measures provides useful information to management and
investors regarding Phathom s results of operations. When GAAP financial measures are viewed in conjunction with these non-GAAP financial measures, investors are provided with a more meaningful
understanding of Phathom s ongoing operating performance and are better able to compare Phathom s performance between periods. In addition, these non-GAAP financial measures are among those
indicators Phathom uses as a basis for evaluating performance, and planning and forecasting future periods. These non-GAAP financial measures are not intended to be considered in isolation or as a substitute
for GAAP financial measures. A reconciliation between these non-GAAP measures and the most directly comparable GAAP measures is provided later in this press release.
About Phathom Pharmaceuticals, Inc.
Pharmaceuticals is a biopharmaceutical company focused on the development and commercialization of novel treatments for gastrointestinal diseases. Phathom has in-licensed the exclusive rights to vonoprazan, a first-in-class potassium-competitive acid blocker (PCAB) that is currently marketed in the United States as VOQUEZNA
(vonoprazan) tablets for the relief of heartburn associated with Non-Erosive GERD in adults, the healing and maintenance of healing of Erosive GERD in adults and relief of associated heartburn, in addition to
VOQUEZNA TRIPLE PAK (vonoprazan tablets, amoxicillin capsules, clarithromycin tablets) and VOQUEZNA DUAL PAK (vonoprazan tablets, amoxicillin capsules) for the treatment of H. pylori infection in adults. For more information about
Phathom, visit the company s website at www.phathompharma.com and follow on LinkedIn and X.
This press release contains forward-looking statements, including without limitation statements regarding: our plans, expectations and
goals for commercialization of VOQUEZNA and potential results of our commercialization efforts; our expectations regarding operating expenses and revenues; our goals and beliefs with respect to potential profitability; our expectations regarding non-patent regulatory exclusivity and the potential timeline for entry of a generic; our development plans and potential timelines; our business strategy, goals, mission and vision; and our other expectations,
forecasts and predictions as to future performance, results and likelihood of success. These statements involve known
and unknown risks, uncertainties and other important factors that may cause our actual results, performance or achievements to be materially different from any future results, performance or
achievements expressed or implied by the forward-looking statements, including the risk that: we may not be able to successfully commercialize VOQUEZNA or to achieve results or revenues at the levels we expect; the market opportunity for VOQUEZNA
may be significantly smaller than our expectations; market acceptance for VOQUEZNA from healthcare professionals, patients, and payors in the indications for which it is approved may be significantly lower than we anticipate; we may encounter
coverage, reimbursement, market access, or other issues in the course of our commercialization efforts that may negatively impact our efforts and results; the unmet need for new treatment options in GERD may not be as high as we anticipate;
estimates of the number of patients with the disorders for which VOQUEZNA is approved, now or in the future, and our estimates of potential market size may not be accurate; our decisions as to where to allocate our resources and focus our efforts
may not lead to the results we expect; we may not seek, achieve or maintain the patent and regulatory exclusivity we expect or that could be available to us and may encounter generic competition sooner than we anticipate; our results may be
negatively impacted by the launch of other competitive products; we may experience adverse impact as the result of our dependence on third parties in connection with commercialization, product manufacturing, research and preclinical and clinical
testing; we may be negatively impacted by regulatory developments or other governmental actions in the United States and foreign countries, including government healthcare reform; we may encounter unexpected adverse side effects or inadequate
efficacy of VOQUEZNA that may limit or impair market acceptance or impair current or future development or regulatory approvals, or may result in recalls, withdrawals or product liability claims; we may not be able to obtain and maintain
intellectual property protection important to our business, including patent term extensions; if we were to breach our license agreement with Takeda for vonoprazan, Takeda might take action, including termination, that would significantly impair our
business; our operating expenses may be higher than we anticipate, including if we decide to engage in activities not currently in our plan or if we face unexpected, or higher than anticipated, expenses, including as the result of unexpected events
such as litigation; depending on our results and activities, we may not achieve profitability on the timelines we expect or at all; in the future, we may not have sufficient cash to fund our operations at the levels we expect or to meet our
obligations under certain of our agreements or to enable us to achieve profit from operations; we may need to or decide to raise additional capital; we may not be able to raise capital on acceptable terms; and any of the foregoing or other factors
may negatively impact our ability to achieve our plans, goals, mission, vision and potential. For additional discussion of these and other risks, see the risk disclosure in our filings with the Securities and Exchange Commission (SEC), including our
Annual Report on Form 10-K and any subsequent filings with the SEC. You are cautioned not to place undue reliance on these forward-looking statements, which speak only as of the date hereof, and we undertake
no obligation to revise or update this presentation to reflect events or circumstances after the date hereof. All forward-looking statements are qualified in their entirety by this cautionary statement, which is made under the safe harbor provisions
of the Private Securities Litigation Reform Act of 1995.
VOQUEZNA, VOQUEZNA DUAL PAK, VOQUEZNA TRIPLE
PAK, Phathom Pharmaceuticals, and their respective logos are registered trademarks of Phathom Pharmaceuticals, Inc.
Selected Condensed Balance Sheets
| June 30, 2025 | December 31, 2024 | |||||||
| Assets | ||||||||
| Cash and cash equivalents | $ | 149,569 | $ | 297,263 | ||||
| Total assets | $ | 250,220 | $ | 378,318 | ||||
| Total liabilities | $ | 656,054 | $ | 631,898 | ||||
| Total stockholders deficit | $ | (405,834 | ) | $ | (253,580 | ) |
Condensed Statements of Operations and Comprehensive Loss
(in thousands, except share and per share amounts)
| Three Months Ended June 30, | Six Months Ended June 30, | |||||||||||||||
| 2025 | 2024 | 2025 | 2024 | |||||||||||||
| Product revenue, net | $ | 39,503 | $ | 7,324 | $ | 68,023 | $ | 9,236 | ||||||||
| Cost of revenue | 5,038 | 1,376 | 8,762 | 1,802 | ||||||||||||
| Gross profit | 34,465 | 5,948 | 59,261 | 7,434 | ||||||||||||
| Operating expenses: | ||||||||||||||||
| Research and development | 9,076 | 7,376 | 18,260 | 16,806 | ||||||||||||
| Selling, general and administrative | 85,313 | 75,872 | 179,787 | 137,882 | ||||||||||||
| Total operating expenses | 94,389 | 83,248 | 198,047 | 154,688 | ||||||||||||
| Loss from operations | (59,924 | ) | (77,300 | ) | (138,786 | ) | (147,254 | ) | ||||||||
| Other (expense) income: | ||||||||||||||||
| Interest income | 1,787 | 3,624 | 4,427 | 7,937 | ||||||||||||
| Interest expense | (17,518 | ) | (17,764 | ) | (35,588 | ) | (34,932 | ) | ||||||||
| Other expense, net | (155 | ) | (6 | ) | (179 | ) | (49 | ) | ||||||||
| Total other expense | (15,886 | ) | (14,146 | ) | (31,340 | ) | (27,044 | ) | ||||||||
| Net loss and comprehensive loss | $ | (75,810 | ) | $ | (91,446 | ) | $ | (170,126 | ) | $ | (174,298 | ) | ||||
| Net loss per share, basic and diluted | $ | (1.05 | ) | $ | (1.56 | ) | $ | (2.36 | ) | $ | (2.98 | ) | ||||
| Weighted-average shares of common stock outstanding, basic and diluted | 72,466,203 | 58,558,145 | 72,219,179 | 58,464,813 |
Reconciliation of GAAP to Non-GAAP Financial
(in thousands, except share and per share amounts)
| Three Months Ended June 30, | Six Months Ended June 30, | |||||||||||||||
| 2025 | 2024 | 2025 | 2024 | |||||||||||||
| Reconciliation of GAAP to Non-GAAP adjusted net loss: | ||||||||||||||||
| GAAP net loss | $ | (75,810 | ) | $ | (91,446 | ) | $ | (170,126 | ) | $ | (174,298 | ) | ||||
| Stock-based compensation expense (A) | 8,272 | 6,099 | 13,812 | 11,725 | ||||||||||||
| Non-cash interest on revenue interest financing liability | 10,306 | 11,553 | 21,309 | 23,509 | ||||||||||||
| Interest expense related to amortization of debt discount | 734 | 499 | 1,430 | 974 | ||||||||||||
| Non-GAAP adjusted net loss | $ | (56,498 | ) | $ | (73,295 | ) | $ | (133,575 | ) | $ | (138,090 | ) | ||||
| Reconciliation of GAAP to Non-GAAP adjusted net loss per share basic and diluted: | ||||||||||||||||
| GAAP net loss per share basic and diluted | $ | (1.05 | ) | $ | (1.56 | ) | $ | (2.36 | ) | $ | (2.98 | ) | ||||
| Stock-based compensation expense (A) | 0.11 | 0.10 | 0.19 | 0.20 | ||||||||||||
| Non-cash interest on revenue interest financing liability | 0.14 | 0.20 | 0.30 | 0.40 | ||||||||||||
| Interest expense related to amortization of debt discount | 0.01 | 0.01 | 0.02 | 0.02 | ||||||||||||
| Non-GAAP net loss per share basic and diluted | $ | (0.79 | ) | $ | (1.25 | ) | $ | (1.85 | ) | $ | (2.36 | ) | ||||
| Weighted-average shares of common stock outstanding, basic and diluted | 72,466,203 | 58,558,145 | 72,219,179 | 58,464,813 |
| Three Months Ended June 30, | Six Months Ended June 30, | |||||||||||||||
| 2025 | 2024 | 2025 | 2024 | |||||||||||||
| Research and development | 1,650 | 1,331 | 2,980 | 2,580 | ||||||||||||
| Selling, general and administrative | 6,622 | 4,768 | 10,832 | 9,145 |